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United States

Profile: Vale SA (VALE.N)

VALE.N on New York Stock Exchange

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9 Dec 2016
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Vale S.A. (Vale), incorporated on January 11, 1943, is a metals and mining company. The Company is also a producer of iron ore and iron ore pellets, and nickel. The Company's segments include Ferrous minerals, Coal, Base metals, Fertilizers and Others. The Company produces manganese ore, ferroalloys, metallurgical and thermal coal, copper, platinum group metals (PGMs), gold, silver, cobalt, potash, phosphates and other fertilizer nutrients. The Company is engaged in greenfield mineral exploration in over six countries. The Company operates logistics systems in Brazil and other regions of the world, including railroads, maritime terminals and ports, which are integrated with its mining operations. In addition, the Company has a portfolio of maritime freight assets, floating transfer stations and distribution centers to support the distribution of iron ore around the world. Directly and through affiliates and joint ventures, the Company also has investments in energy and steel businesses.

The Company's Ferrous minerals consists of the production and extraction of ferrous minerals, as iron ore, pellets and its logistic services (railroads, ports and terminals), manganese and ferroalloys, and other ferrous products and services. Its Coal segment consists of the extraction of coal and its logistic services (railroads, ports and terminals). Its Base metals segment includes the production and extraction of non-ferrous minerals, and is presented as nickel and its by-products (ferro-nickel, copper, precious metals and others) and copper (copper concentrated). Its Fertilizers segment includes the production of the three major groups of nutrients (potash, phosphate and nitrogen) and other fertilizers products. Its Others segment consists of sales and expenses of other products, services and investments in joint ventures and associate in other businesses.

Ferrous minerals

The Company's operates over four systems in Brazil for producing and distributing iron ore, which it refer to as the Northern, Southeastern, Southern and Midwestern Systems. The Northern and the Southeastern Systems are fully integrated, consisting of mines, railroads, maritime terminals and a port. The Southern System consists of over three mining complexes and two maritime terminals. It also has iron ore pellet operations in several locations, some of which are conducted through joint ventures. It operates over 10 pellet plants in Brazil and over two in Oman. The Company conducts its manganese mining operations through its subsidiaries in Brazil, and it produces various types of manganese ferroalloys through a subsidiary in Brazil.

Base metals

The Company's principal nickel mines and processing operations are conducted by its subsidiary Vale Canada Limited (Vale Canada), which has operations in Canada and Indonesia. It also has nickel operations in Onca Puma, in the Brazilian state of Para. It also own and operate, or have interests in, nickel refining facilities in the United Kingdom, Japan, Taiwan, China and South Korea. In Brazil, it produces copper concentrates at Sossego and Salobo, in Carajas, in the Brazilian state of Para. In Zambia, its joint venture produces copper concentrates at Lubambe, located in the Zambian Copperbelt. It produces cobalt as a by-product of its nickel mining and processing operations in Canada and refines the majority of it at its Port Colborne facilities, in the Province of Ontario, Canada.

Coal

The Company conducts its coal operations in Mozambique, through Vale Mocambique, S.A. (Vale Mocambique), where it operates metallurgical and thermal coal operations. It also has a coal operation in Australia through Rio Doce Australia Pty Ltd (Vale Australia), where it produce metallurgical coal in Carborough Downs. It also has minority interests in a Chinese coal and coke producer.

Fertilizer nutrients

The Company's conduct its potash operations in Rosario do Catete, in the Brazilian state of Sergipe. The Company conducts its main phosphate operations through its subsidiary Vale Fertilizantes S.A. (Vale Fertilizantes), which holds its fertilizer assets in Brazil. Vale Fertilizantes is the producer of phosphate rock and phosphate fertilizers and the producer of nitrogen fertilizers. It also has a phosphate rock mine operation in Peru.

Logistics infrastructure

The Company is the operator of logistics services in Brazil and other regions of the world, with railroads, maritime terminals, distribution centers and ports. Two of the Company's four iron ore systems include an integrated railroad network linked to port and terminal facilities. The Company also has an interest in MRS Logistica S.A. (MRS), which transports its iron ore products from the Southern System mines to its maritime terminals, and VLI S.A. (VLI), which provides integrated logistics solutions to general cargo through railroads, inland and maritime terminals in Brazil. The Company own and charter dry bulk vessels to transport the products that the Company sells on a cost and freight (CFR) basis to customers.

The Company competes with BHP Billiton plc, Rio Tinto Ltd., Fortescue Metals Group Ltd, Kumba Iron Ore Limited, Luossavaara Kiirunavaara AB (LKAB), Societe Nationale Industrielle et Miniere (SNIM), Iron Ore Company of Canada, Gerdau S.A., Companhia Siderurgica Nacional (CSN), Vallourec Tubos do Brasil S.A., Usiminas, Arcelor Mittal and Bahrain Steel.

Company Address

Vale SA

Av. Graca Aranha, 26 12 andar, C
RIO DE JANEIRO     20.030-900
P: +5521.38144540
F: +5521.38149935

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