Massive deal with Saudis will help Vale fund nickel, other mining projects – by Darren MacDonald (CTV News Northern Ontairo – July 31, 2023)

Vale Base Metals (VBM) Ltd. has signed deals worth $3.4 billion with two Saudi Arabian-owned entities as the company works to develop its base metals operations as a separate entity. The agreement will help Vale fund billions of capital projects in the base metals unit planned across its global holdings. The base metals unit is focused on increasing production of minerals needed for the conversion of the auto industry from gas-powered to electric vehicles.

“This strategic partnership will fast-track VBM’s expected US $25-$30 billion capital program over the next decade,” Vale said on its website in announcing the agreement.

“This program will generate jobs, economic growth, procurement and supplier opportunities as well as socioeconomic benefits in communities across the key critical mineral jurisdictions where VBM operates in Brazil, Canada and Indonesia.”

The goal is to increase base metals production of copper to 900,000 metric tons from 350,000 tons and of nickel to more than 300,000 tons from 175,000 tons. “We see these strategic investments as a major milestone in our path to accelerate accretive growth in our energy transition metals business platform,” Eduardo Bartolomeo, Vale’s CEO, said in the news release.

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