Notice to the Market – Port of Itaguaí (developments)

Notice to the Market

São Paulo, April 19th, 2021  Companhia Siderúrgica Nacional (“CSN”) and CSN Mineração S.A. (“CSN Mineração”) (together with CSN, the “Companies”), in addition to the Notice to the Market released on April 16, inform that.

1. On April 16, that is, on the same date of the drafting of a Temporary Interdiction Order, the Municipal Department of Environment and Planning of the Municipality of Itaguaí / RJ, due to the request of INEA – Instituto Estadual do Ambiente (“State Institute of the Environment”) and the dispatch of its legal sector, requested the Authorization Order 004-CA/2021 and 005-CA/2021. This maintained the full port operations of the Container Terminal of Sepetiba Tecon, controlled by CSN, and the Coal Terminal – TECAR, from CSN Mineração.

2. On April 17, in order to guarantee the legal certainty of the Companies’ port operations, a precautionary measure was filed in the Court of Justice of the State of Rio de Janeiro, which accepted the requests and suspended all illegal acts from the Municipality of Itaguaí against Sepetiba Tecon and CSN Mineração, in virtue of an injunction that determined the suspension of the effects of the Temporary Interdiction Notices and the Infraction Notices until the end of the judgement.

3. Both port operations at Itaguaí/RJ continue running at a normal pace, therefore, there was no operational impact for CSN and CSN Mineração or any of its customers due to the arbitrary act of the Municipality of Itaguaí.

4. The Companies reinforce that they do not recognize any of the charges allegedly imputed and clarify that the oversight took place without legal basis and arbitrarily, without any opportunity to provide clarifying information or defense, and point out that a Municipal Government does not have the jurisdiction to interdict a port with federal customs, duly licensed by the competent State Environmental Agency.

5. CSN and CSN Mineração reiterate total environmental compliance and confirm the validity of all environmental licenses for their port operations in Itaguaí/RJ, which attests that their performance is completely based on what the legislation determines.

6. The Companies will continue to take all legal measures that may be necessary to ensure the full operation of their exercises.

CSN and CSN Mineração will keep the market informed about any developments of this fact.

To access the full document, click here.