Vale in talks to sell iron ore pellets to U.S. client, CEO says

BELO HORIZONTE, BRAZIL, Sept 24 Tue Sep 24, 2013 11:48am EDT

BELO HORIZONTE, BRAZIL, Sept 24 (Reuters) - Brazilian mining company Vale SA said on Tuesday that it is in talks to sell iron ore pellets to a customer in the United States, the only major market where the world's largest ore producer has no significant business.

Rio de Janeiro based Vale currently has no pellet sales in the United States, Chief Executive Officer Murilo Ferreira said during a speech at a mining conference in Belo Horizonte, Brazil.

Even though Brazilian iron ore has a higher iron content than U.S. ores, most U.S. steelmakers get their ore from mines in and around the Great Lakes, which provide cheap water transportation for the heavy raw material.