SINOBRAS:

Sustainable Development

The promotion of economic development and the care with the environment: these are some of the actions developed by SINOBRAS - Siderúrgica Norte Brasil S.A, under its social-environmental policy. Since 2003, SINOBRAS has been planting eucalyptus in its 13 reforestation farms located in the state of Tocantins, thus investing in the preservation of the environment and in quality of life.
Within this context, SINOBRAS works focusing on a Sustainability Plan forecasting the production of charcoal to make its steel mill self-sustainable by 2014. This comprises over 24,000 ha of own areas, 10,700 ha of which already planted and 3,300 ha at planting stage, generating 16 million new trees. The reforestation process uses eucalyptus seedlings (clones), more suited to the region and to the final products, based on the control of the productivity of each re-forested area.

Before every legal deforestation, the animals living in the area are captured by a team contracted for this purpose and released again in the farm's preserved area, which corresponds to 7,000 ha. One of these permanent preservation areas is the Salto waterfall, in the São Martinho farm. Before starting plantation at a new venture, SINOBRAS conducts the Environmental Impact Study and elaborates the Environmental Impact Report, so as to comply with all legal procedures, such as:

SINOBRAS's reforestation farms generate 400 direct jobs and 1,000 indirect, developing workers' dignity and contributing for the social/economical increment of the region. Engaged in humanization, the company is a member of the International Labor Organization (ILO) and member of the Citizen Coal Institute (ICC, the Portuguese acronym), which aims at providing orientation, assistance and inspection to all activities related to the production chain of charcoal. The entity is also active in the enforcement of the labor law and other norms regarding workers' health and safety and in the preservation of the work environment. At the ICC, SINOBRAS participates in the process of hiring workers released by the Labor and Employment Ministry from slavery-like regimes. SINOBRAS was the company that hired the highest number of people in these conditions in 2007, who received training, support and orientation for the execution of their jobs upon joining the company.

Social

SINOBRAS's employees who have not completed elementary education receive basic schooling through an agreement with the City's Secretary of Education of Marabá/PA. The company also provides training at technical schools, SENAI, on-the-job training, internships at other steel mills and suppliers (including abroad), lectures at universities and incentive for scientific development under a partnership with the Federal University of Pará (UFPA), among other actions.

The company makes investments through donations to entities and sponsorship of projects in Marabá/PA, like the Minor's Christian Foundation, which provides assistance to over 400 children and teenagers through education and sports.

SINOBRAS is a member of the Citizen Coal Institute (ICC, the Portuguese acronym), which aims at providing orientation, assistance and inspection to all activities related to the production chain of charcoal. The entity is also active in the enforcement of the labor law and other norms regarding workers' health and safety and in the preservation of the work environment, among other actions to ensure workers' citizenship in the coal sector.

At the ICC, participates in the process of hiring workers released by the Labor and Employment Ministry from slavery-like regimes. SINOBRAS SINOBRAS was the company that hired the highest number of people in these conditions in 2007, who received training, support and orientation for the execution of their jobs upon joining the company. SINOBRAS is also a partner of the International Labor Organization (ILO).

Environment

SINOBRAS - Siderúrgica Norte Brasil S.A. works every day to fulfill its mission of producing steel in a sustainable manner. Therefore, the company's environmental actions are worth mentioning.
In the operational area in Marabá, as well as in its reforestation farms in Tocatins, the company develops pioneering work, promoting the verticalization of steel production without forgetting about Environmental preservation and the quality of life of their workers and of the community.

The first integrated steel mill in the North and Northeast regions of Brazil, SINOBRAS is responsible for the generation of 1,050 direct jobs and 10,500 indirect, with an expected annual output of 300,000 t of long steel products, generating more tax revenues to Marabá and to the State of Pará.
Committed to preserving the environment, SINOBRAS invests in dust removal systems. The German-origin technology works by using air filters for engines which retrieve solid particles from the air, returning clean air to the atmosphere. The particles retained by the dust removal system will be reused in the sintering process, which generates raw material for Blast Furnaces, reducing the consumption of iron ore and coal.

Also in the operational area, BF gases generated during pig iron production are treated and used in the billet reheating oven for steel rolling process. This initiative prevents the emission of gases in the environment while reducing energy consumption.

Environmental Policy

SINOBRAS also aims at preserving one of the natural resources most essential to man: water. As a key input for the operations of the mill, water is used in large volume in cooling equipment and products. In order to meet the demand and reduce losses, a closed water circuit, with recirculation, was installed for all processes in the mill. Using water from hydrocyclones, decanting tanks, centrifuges, filters, cooling towers and storage tanks segmented per type of water, the only loss is caused by evaporation. Under the environmental licensing granted by the State Secretary of Environment, water is impounded from the Itacaiúnas river (Marabá - PA) and treated at SINOBRAS's Water Treatment Station, under the highest quality standards. Rainwater is drained by means of a network covering the whole area of the mill, following to decanting tanks and further released in the water sources. SINOBRAS also has two Sewage Treatment Stations (STSs), in closed system, allowing the reuse of effluents after treated.

Besides all investments in the industrial area, SINOBRAS also invests in its reforestation project. The company currently owns 13 farms located in the state of Tocantins, totaling more than 22,000 ha, with 10,700 ha already planted and 3,300 ha to be planted by the end of the year, which means 16 million new trees planted. SINOBRAS works every day to fulfill its mission of producing steel in a sustainable manner.

The company also participates in pro-environment actions in its field of activity. Since September, 2007, the company is a supporter of the Marabá Zoobotanic Foundation. Resources are used in the preservation of species, treatment of animals living in the Marabá Zoobotanic Park, in the improvement of facilities and in an environmental education work developed in the community by means of technical visits. The Foundation, which is a non-profit civil society, is supported by local businesses and governmental entities, and develops an important work in the region.