The Nikkei business daily reported that Sumitomo Corp plans to increase production capacity 70% by 2013 at a Brazilian iron mine it operates with a leading local steelmaker,

The Japanese trading house acquired a 30% stake in a subsidiary of Usiminas in 2010 through a Brazilian unit.

The mine is slated to produce 7 million tonnes of ore in 2011. To increase output, processing equipment for low grade ore with roughly 40 percent iron content will be added next year at a projected cost of USD 450 million, the business daily said.

The mine that Sumitomo jointly operates is expected to produce 12 million tonnes of ore in 2013.

(Sourced from Reuters)