BNamericas quoted Mr Alfredo Spooner labor union secretary at Sintraferrominera as saying that Venezuelan state briquette maker Orinoco Iron is now operating two production lines.

Mr Spooner said that "Line 2 is up and running and we expect this to increase briquette production and iron ore consumption."

According to Mr Spooner, the line began operating in late December 2011 with production capacity of 90 tonnes per hour. Production is expected to reach 105 tonnes per hour after some final adjustments are made in the next few days.

State iron ore producer Ferrominera Orinoco provided a portion of the capital to start up the line and will be paid with part of the briquette production. FMO is also helping BriqVen and Venprecar get briquette production levels back to normal.

Mr Spooner said that "FMO is providing broad support for the briquette makers to improve production, enabling iron ore processing and generating higher profits for everyone."

In November 2011, Mr Spooner told BNamericas that the company will start work to recover the third line in 2012 with an investment of about USD 10 million.

Orinoco Iron has four briquette production lines. The goal is to have at least three in working order so that when one is undergoing maintenance, the others continue operating. The company produces an average of 1.3 million tonnes per annum of briquettes under normal conditions.

The Venezuelan government announced the nationalization of Orinoco Iron in May 2009 and took over operative control in February 2010. The Orinoco Iron plant was 51% controlled by International Briquettes Holding, which was controlled by steelmaker Sivensa. The latter was also nationalized.

(Sourced from www.bnamericas.com)