2015 Retrospective

About Vale

2015 Retrospective

Completion of projects on schedule and below budget, growth in production, expansion of world-class assets, cost reductions and many other restructuring initiatives. 2015 was a year of great progress. Check out some operational and financial milestones of the year.

30th anniversary of Vale’s operations in Pará and Maranhão, Brazil
The Carajás Iron Project’s operation began 30 years ago, putting Pará among the first of the world's mineral industry. In the same year, the Carajás Railway came into operation to transport the iron ore and manganese from Carajás to our customers, turning itself into the most efficient railroad in Brazil.
Fechar
60th anniversary of Vale’s partnership with Japan
During these 60 years, more than 1.2 billion tons of iron ore have been sold to Japan. The partnership has intensified so much that it has gone well beyond the expansion of trade flows, translating into joint ventures and investments in ferrous minerals, coal, logistics, steel, fertilizers and base metals. It has also changed the pattern of global navigation, has helped to lead Japan to the being the second economic power and it has transformed Brazil into a major exporter of raw materials in the world.
Fechar
Higher production
volumes and lower costs
in all our main
commodities, resulted by
our productivity efforts
Opening of N4WS and N5S extension mines in Carajás, Brazil
The expansion of Carajás N5S mine shows that we continue to expand the mined area of iron ore in the North. Meanwhile, the N4WS orebody complements the exploitation of N4 as N5 mines, world-class assets in operation since mid-1980 and 1990 in Carajás. The opening of those mines ensures the improvement in the average quality of our product and the decrease of the cost of production. In addition, the average cost of transporting the product inside the Carajás Complex is also reduced.
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Completion of the projects Conceição Itabiritos II and Cauê Itabiritos, in Brazil, and of the project Moatize II, in Mozambique
Conceição Itabiritos II and Cauê Itabiritos operations are part of the Itabiritos project, which will add 65 million tons per year to Vale’s nominal output. The project, considered the third wave of mining, is designed to benefit poor ores with up to 40% iron content and high presence of contaminants (silica and phosphorus), so-called compact itabirites, arising from the current area of mining and stockpiles. With the installation of a new cava and doubling the capacity of the processing plant in Moatize, Moatize II will double the coal production capacity in Moatize to 22 million metric tons per year.
Fechar
Consistent progress at S11D on schedule
and below budget
Located in Canaã dos Carajás, in Pará, Brazil, the S11D is the largest iron ore project in Vale's history, with estimated production capacity of 90 million tons per year. In 2015, the mine reached 77% of physical progress, with 100% of the modules positioned at site, while the railway branch reached 75%. The development also includes a beneficiation plant and port expansion.
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Berthing of fully loaded Valemaxes in China
With a 400,000-dwt capacity, the Valemaxes brings new economies of scale, helping to maintain competitive freight rates in the long term. Considered the world’s biggest ore carrier, it also offers improved safety features, higher operational efficiency and award-winning reductions in greenhouse gas emissions.
Fechar
Ramp up of the Malaysia Distribution Center, producing the “Brazilian Blend” Fines with excellent acceptance by the market
The Malaysia Distribution Center represents one of Vale’s biggest steps to continuously improve the supply of the best iron ore to its customers in Asia. The center is a distribution point in Asia where the Brazilian ore can be stored and blended, producing the Brazilian Blend Fines. Resulting of the blend of 70% of Carajás ore with 30% of the ore of the Southern and Southeastern Systems, the Brazilian Blend Fines (BRBF) has higher iron content, less phosphorus and less alumina when compared to Australian ore.
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More than US$ 2.1 billion
in EBITDA – cash generation from operating activities - generated by Vale’s initiatives in the first nine months of 2015 (9M15)
Significant strides and focus on increasing Base Metal’s competitive position
Nickel production increased 25%, while copper production increased 55%. Both had reduced costs consistently, staying at U $ 7.900/t (nickel) and U $ 1.970/t (copper).
Fechar
Sale of non-profitable operations in Australia:
Isaac Plains was sold in July and Integra in August
First shipment from Nacala port, in Mozambique
Sustainable savings
reached more than
US$ 5 billion
Divestment of non-core assets totaled US$ 3 billion