May 21, 2018 / 12:52 PM / a year ago

UPDATE 1-Brazil's CCR seeks modification of highway concession in key soy transport route

(Updates source to CCR securities filing; it was earlier sourced to a newspaper report)

SAO PAULO, May 21 (Reuters) - Brazilian toll road company CCR SA has asked a court to force the nation’s ANTT ground transport agency to modify the terms of a highway concession the company won in 2013, it said on Monday.

CCR asked a Brazilian court to change the terms of a concession that a CCR subsidiary won to operate 845 kilometers (525 miles) of BR-163 in interior Mato Grosso do Sul state, a key soy transport route, according to a securities filing.

The company said the original terms of the deal are now not economically viable.

CCR had agreed to invest 4.3 billion reais ($1.15 billion) in the road, newspaper Valor Economico said in an earlier report. Those plans were complicated after Brazilian state development bank BNDES financed only 40 percent of the project after initially agreeing to finance 70 percent, the paper said.

At the same time, rising asphalt prices and decreasing traffic affected the viability of the concession terms.

The ANTT did not immediately respond to a request for comment.

($1 = 3.74 reais)

Reporting by Gram Slattery; Editing by Bernadette Baum

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