Saudi’s Manara Minerals to acquire minority stake in Brazil’s Vale

Saudi’s Manara Minerals to acquire minority stake in Brazil’s Vale

Manara Minerals Investment Company, a joint venture between Saudi Arabian Mining Company (Ma’aden) and the Public Investment Fund (PIF), has signed a binding agreement to acquire a 10 percent stake in Brazil’s base metals company Vale.

Vale, which has projects in Canada, Brazil and Indonesia, is being acquired with an enterprise value of $26 billion, Ma’aden said in a statement to Saudi Arabia’s Tadawul stock exchange, where its shares are traded.

“Manara’s investment into Vale will play a key role in helping it expand the production of copper and nickel across its asset portfolio, which is critical to the development of new technologies that will benefit the global energy transition. The acquisition furthers Ma’aden’s strategy of increasing the supply of strategic minerals and enabling Saudi Arabia to play a growing role in the global energy transition supply chains,” the company said.

The deal, which is subject to regulatory approvals and other conditions, is expected to be completed in the first quarter of 2024.

The capital program is expected to expand copper production from 350kt/year to 900kt/year, as well as nickel production from 175kt/year to more than 300kt/year.

Eduardo Bartolomeo

CEO – Vale “We see these strategic investments as a major milestone in our path to accelerate