Vale’s iron ore fines production could be impacted by 11,000mt/day after the Brazilian miner suspended operations at its Viga concentration plant in Congonhas, Minas Gerais on September 24.
The miner noted in a statement on Monday that the temporary shutdown of the Viga mine was in compliance with a recent court decision, which directed Vale to suspend the disposal of tailings and the execution of works at the B7 dam in Minas Gerais. The Viga mine fulfills the requirements for the issuance of the B7 dam operating permit, Vale indicated, adding that it will appeal the court decision.
Vale expects to achieve an annual iron ore capacity of 400mn mt by intensifying production from all of its operations it had indicated recently. The mining company’s current production capacity is 318mn mt per year.
Brazil’s crude steel production increased by 6.5pc to 2.7mn mt in August from 2.53mn mt, produced in the same month last year, according to the latest figures released by the World Steel Association.