RIO DE JANEIRO, April 30, 2024 /PRNewswire/ -- Following approval
from the relevant regulatory authorities, Vale S.A. ("Vale" or
"Company") is pleased to announce the completion of its
approximately US$2.5 billion sale to
Manara Minerals, a joint venture between Ma'aden and Saudi Arabia's Public Investment Fund, under
which Manara Minerals will acquire 10% of Vale Base Metals Limited
("VBM").
This strategic partnership, first announced in July 2023, will accelerate value generation from
the best-in-class set of assets and projects VBM has across its
portfolio, allowing VBM to help advance the global energy
transition at a faster pace and at scale across the key critical
mineral jurisdictions where it operates. Over the next decade, VBM
is expected to invest in new projects across Brazil, Canada and Indonesia, moving towards a significant
increase in copper production from 350kt/year to 900kt/year and in
nickel production from 175kt/year to 300kt/year.
In July 2023, Vale S.A. also
announced an agreement on a strategic partnership with Engine No. 1
under which the U.S.-based investment firm would own a 3% equity
stake in VBM. Following further negotiations in recent months, both
sides have agreed not to move forward with the previously agreed
terms and conditions but remain open to future partnerships. Engine
No. 1 is a valued partner whose commitment to creating sustainable
infrastructure and supply chains is complementary to Vale's mission
as a responsible critical materials provider.
"We are proud to close a major milestone in our Energy
Transition Metals platform, following a successful business
carve-out. This strategic investment by Manara reflects the
confidence in our unique mineral endowment and ability to deliver
metals needed for the energy transition. Manara brings mining
experience and is a key strategic partner with a shared long-term
view," said Eduardo Bartolomeo,
Vale's CEO.
Mark Cutifani, Chair of VBM, said, "We are pleased to officially
welcome Manara Minerals as a strategic partner in Vale Base Metals
as we look to unlock operational and financial value from our
high-quality portfolio of assets and position ourselves as the
leading energy transition materials company, and we look forward to
potential future cooperation with Engine No. 1."
Bob Wilt, Vice
Chairman, Manara Minerals, and CEO, Ma'aden, said: "As the
inaugural investment made by Manara, our partnership with VBM is a
strong statement of the company's ambition and mandate to globally
source minerals that are vital for sustainable and diversified
economic growth. We will continue to build mining as the third
pillar of the Saudi economy, and we look forward to working with
VBM at a time when critical minerals have never been more
important."
Contact: Media Relations, Vale S.A. –
imprensa@vale.com; Vale Base Metals -
Media.valebasemetals@vale.com
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