Vale to acquire 30% stake in Ligga iron ore mine for $190M
2026-09-23 11:09:23 [Print]
Vale has confirmed it will acquire a 30% minority stake in Ligga S.A. to expand iron ore production, following questions from Brazil's stock exchange over why the deal had not been disclosed to investors.
In a market notice issued Tuesday, Vale said the offtake agreement involves about $190 million in investment and grants the company exclusive rights to purchase 100% of Ligga's sinter feed output. The deal is designed to support an expansion that would boost Ligga's production fourfold, from roughly 2 million tonnes to 8 million tonnes per year.
Ligga operates the Ferro Sul mine in the Carajás region of Pará state in northern Brazil, an area that hosts some of the world's largest iron ore operations. The company plans to begin expanded operations in mid-2028 and will be able to export its production globally.
Vale's Sept. 22 notice came after B3, the Brazilian stock exchange, requested clarification following a report by InfoMoney a day earlier. That report estimated the expansion project would attract about $97 million in investment and put Ligga's iron ore reserves at approximately 1.5 billion tonnes.
In a market notice issued Tuesday, Vale said the offtake agreement involves about $190 million in investment and grants the company exclusive rights to purchase 100% of Ligga's sinter feed output. The deal is designed to support an expansion that would boost Ligga's production fourfold, from roughly 2 million tonnes to 8 million tonnes per year.
Ligga operates the Ferro Sul mine in the Carajás region of Pará state in northern Brazil, an area that hosts some of the world's largest iron ore operations. The company plans to begin expanded operations in mid-2028 and will be able to export its production globally.
Vale's Sept. 22 notice came after B3, the Brazilian stock exchange, requested clarification following a report by InfoMoney a day earlier. That report estimated the expansion project would attract about $97 million in investment and put Ligga's iron ore reserves at approximately 1.5 billion tonnes.
