Author: Yu Lu
Recently, Brazil’s Vale Corporation released its production and sales report and financial report for the second quarter of 2021. The report shows that Vale’s formal adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) in the second quarter was 11.239 billion US dollars, setting a new record for the company; net profit reached 7.586 billion US dollars, an increase of 20.40 from the first quarter. One hundred million U.S. dollars. In terms of basic metals business, many projects have reached important milestones, including the expansion project of the Voiseys Bay mining area in the northern part of Labrador, Canada-Reid Brook mine, which has been completed in June this year. The first batch of nickel ore was produced every month.
The report shows that in the second quarter, Vale’s iron ore output increased by 11% month-on-month, mainly due to better weather conditions, mining plans and the implementation of new projects. Since the Dongling mining area has achieved full production capacity, the current annual production capacity of Vale’s iron ore has reached 330 million tons. If this level of production can continue, it is expected that the average daily output of Vale iron ore will reach 1 million tons in the second half of 2021. .
In terms of basic metals business, in the second quarter, Vale’s nickel production was 41,500 tons, a decrease of 14.3% from the first quarter, mainly due to the company’s Sudbury (Sudbury) plant labor disruption and Clydach (Clydach) nickel Unplanned maintenance at the refinery affected Vale’s total production of finished nickel. However, the expansion project of the Reed Creek Mine successfully produced the first batch of nickel ore, which is an important achievement for Vale in continuously supplying high-quality, predictable and responsible raw materials to the market. Copper production was 73,500 tons, a decrease of 3.9% from the first quarter. This was mainly due to the labor interruption at the Sudbury plant and the delay in mining at the Voys Bay mining area, which affected Vale’s copper production to a certain extent. As mine maintenance work continues, the availability of equipment at the Salobo plant is increasing, and the mining situation is gradually improving. The plant’s mining volume has increased by 31.2% from the first quarter. Copper production is expected to continue to improve in the second half of 2021.