Brazilian mining company MMX, controlled by billionaire Eike Batista, signed a contract for railway services with MRS Logistica SA to move iron ore to a port it plans to build on the coast of Rio de Janeiro.

The contract includes an annual volume of up to 36 million tons of iron ore through 2026 that will be taken from Minas Gerais state, MMX said in a securities filing.

MMX will pay a tariff of 26,463 reais ($14,100) per ton, free of taxes, which will be readjusted annually according to inflation and diesel prices. The contract does not envisage any investments by MMX.

"The signing of the contract with MRS ensures the integration of logistics in MMX's Sudeste system and completes the sequence of essential actions needed for the further development of the company," it said in the filing.

MMX currently has installed capacity to produce 10.8 million tons of iron ore per year but has plans to raise this volume, gradually reaching 40 million tons per year. (Reuters)