Vale to buy 30% stake in Ligga as it seeks additional Carajas iron ore

By Reuters News

SAO PAULO, Sept 22 (Reuters) - Brazilian miner Vale VALE3.SA has agreed to acquire a 30% stake in Ligga S.A. for about $190 million to secure long-term access to additional volumes of high-quality iron ore from the Carajas region, it said in a securities filing on Tuesday.

  • Ligga operates the Ferro Sul mine in the Carajas of Para state, with a current capacity of 2 million metric tons per year and plans to expand it to 8 million tons per year.

  • Carajas is already a key operating area for Vale, one of the world's largest iron ore producers.

  • The deal enables Vale to secure additional iron ore volumes with lower capital intensity than developing its own operations, it said.

  • Vale will exclusively purchase 100% of the sinter feed iron ore produced by Ligga under a long-term agreement, it added.


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