Vale's iron ore investing projects in the next 5 years

Oct. 26 MetalBiz--Brazil Vale's board of directors has approved the investing budget of US$12.9bln in 2010, and the budget soars by 29.3% compared to last fiscal year's US$10bln, and the majority of investment will be used for the fine iron ore, maintaining the current mines' operation, research and development as well as the implementing of the planning projects, while the minority will be invested the pellet, nonferrous and steel.

The 2010 investment plan continues reflecting the company's gradual improvement strategy, among them, 76.6% of investment will allocated to the research and development along with the implementing of greenbelt and palm projects. The expanding and newly-building iron ore programs are mainly located in the Northern system and Southeastern and Southern system, in addition, the Malaysia project is included. The Karagas mine is the head in the Northern system, the new-increased 176mln tons of Vale's production capacity in the incoming five years, 130mln tons are from Karagas. Besides, Conceição and VargemGrande projects in the Southeastern and Southern system plus the Apolo. After they are approved, Vale's iron ore yearly production capacity also will climb by 46mln tons. It is expected that two leader, iron ore and nickel, their outputs will reach 450mln tons and 380,000 tons respectively. In addition, Vale also produces copper for 650,000 tons, coal for 30mln tons, caustic potash for 3.1mln tons and phosphorite ore for 6.6mln tons per year.