Vale SA, once the most generous dividend payer among major mining companies, may be poised to regain that status with its chief executive officer nearing debt targets and unwilling to hoard cash or rush into deals.
Like others in the industry, the biggest producer of iron ore and nickel cut dividends to defend against a commodity downturn that eroded profit and pushed up debt metrics.
With prices recovering as supply gluts ease, producers are once again rewarding shareholders. In March, Vale approved a plan to begin paying at least 30 percent of earnings before items minus sustaining investments. For the first quarter, that meant $1 billion. Continue Reading →