What's Happening?
Vale Base Metals has commenced operations of a second processing furnace at its Onça Puma mining complex in Brazil's Pará state. This expansion increases the facility's nameplate capacity to 40,000 tons per year, adding 15,000 tons of nickel capacity. The project was completed on schedule and under budget, creating 2,500 jobs during construction and supporting over 1,800 permanent positions. The expansion positions Onça Puma favorably on the global nickel cost curve and strengthens Brazil's role as a strategic exporter of nickel.
Why It's Important?
The increase in nickel production is crucial for the global stainless steel industry, which relies heavily on nickel. This expansion by Vale Base Metals not only enhances Brazil's export capabilities but also contributes to the global supply chain, potentially stabilizing nickel prices. The project underscores the importance of strategic investments in mining infrastructure to meet growing demand for critical minerals, which are essential for various industries, including technology and manufacturing.
What's Next?
Vale Base Metals aims to meet its 2025 guidance of 160,000 to 175,000 tons of nickel, with plans to increase group output to between 210,000 and 250,000 tons by 2030. The company will continue to focus on its copper growth ambitions in Brazil, which could further enhance its position in the global mining sector.
