Brazil’s environmental regulatory agency Ibama after four years of study gave authorization for the construction of the Porto Sul Port facility at Ilheus in Southern Bahia state, the agency said. The facility, aimed at the shipment of iron ore, will be built at an 1800 hectare area 15 kilometers from the city. The port is estimated to cost approximately $2.3 billion. The facility will be a terminal point for the Fiol East West railway line currently under construction by the Valec state railway company. In addition to the port facility, the government also gave authorization for a private terminal at the location by mining company Bamin.