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Photographer: Vale Archive
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Photographer: Vale Archive

Vale's Production and Sales report for 4Q24 is now available. 

The 4Q24 report was released this Tuesday, January 28th. Below are the key highlights and the full report.   
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Fotógrafo: Ricardo Teles

Highlights 

  • Vale’s performance in 2024 was marked by greater operational stability and the start-up of key projects. Iron ore production reached 328 Mt, the highest since 2019, surpassing the original guidance of 310-320 Mt¹. In Copper, the Salobo complex reached record annual production. In Nickel, a significant milestone was achieved with the VBME project construction completion. 

  • Iron ore production totaled 85.3 Mt in Q4, 4.1 Mt (-5%) lower y/y, as per plan after the portfolio optimization decision, which prioritized production of higher-margin products. As a result, Southern System’s output decreased, while S11D achieved record production. Pellets production totaled 9.2 Mt, 0.7 Mt (-7%) lower y/y. Iron ore sales were 81.2 Mt, 9.1 Mt (-10%) lower y/y, driven by the decision to reduce high-silica products sales in the quarter, improving all-in premiums. 

  • Copper production totaled 101.8 kt in Q4, 2.7 kt (+3%) higher y/y, positively impacted by stronger operational performance at Salobo and Sudbury and the ramp-up of the Voisey’s Bay underground mines. 

  • Nickel production totaled 45.5 kt in Q4, 0.6 kt (+1%) higher y/y, even after PTVI deconsolidation, mainly reflecting higher output at Onça Puma after the furnace rebuild and stronger performance in Sudbury and Voisey’s Bay. 
​​¹As announced on December 5th, 2023. 

Check out the results of our key products below 

  • Northern System: production increased by 3.1 Mt y/y, driven by record production at S11D in Q4. In 2024, S11D achieved a record output of 83.0 Mt, as a result of the optimized maintenance strategy, which enabled greater asset availability and operational stability. Serra Norte’s production was in line with the production plan. 

  • Southeastern System: production increased by 0.5 Mt y/y, driven by Brucutu’s fourth processing line commissioning, resulting in the site’s highest quarterly production since 2019. This was partially offset by maintenance activities at the Conceição 2 plant, which impacted Itabira’s performance. In November, Vale started the Capanema project’s commissioning, which aims to add 15 Mtpy of iron ore at the Mariana complex. Capanema will produce sinter feed using the natural moisture process, enhancing Vale’s operations and product portfolio flexibility. 

  • Southern System: production was 7.7 Mt lower y/y, driven by the decision to prioritize the production ofhigher-margin products in response to current market conditions. Consequently, the production of high-silica ores and third-party purchases declined y/y. 

  • Pellets: production was 0.7 Mt lower y/y, mainly due to the Vargem Grande plant performance, impacted by maintenance activities in November and December. 

  • Iron ore sales totaled 81.2 Mt, 9.1 Mt lower y/y, mainly due to a 7.5 Mt reduction in direct sales of high-silica products. This reduction was driven by portfolio optimization based on current market conditions, resulting in highsilica products being predominantly directed to the formation of blended products (BRBF) and concentration plants in China (PFC1). As a result, the all-in premium improved by US$ 2.9/t q/q, totaling US$ 4.6/t², with the iron ore fines average premium reaching US$ 1.0/t in the quarter (vs. US$ -1.9/t in Q3). 

  • The average realized iron ore fines price was US$ 93.0 /t, US$ 2.4/t higher q/q, largely attributed to higher average premiums and higher iron ore prices, which were partially offset by the negative impact of pricing mechanisms related to provisional pricing adjustments. The average realized iron ore pellet price was US$ 143.0/t, US$ 5.2/t lower q/q, mainly due to the negative impact of lagged prices on pricing mechanisms. 

 ² Iron ore fines premium of US$ 1.0/t and the weighted average contribution of the pellet business of US$ 3.6/t. 

  • Salobo: copper production increased by 3.6 kt y/y, as a result of improved performance at Salobo 1&2 and the completion of the Salobo 3 ramp-up. The Salobo complex continues to perform well, with a 10% increase in ore processed y/y. 

  • Sossego: copper production decreased by 3.3 kt y/y, mainly due to lower feed grade to the mill, as per the plan. 

  • Canada: copper production increased by 2.5 kt y/y, mainly reflecting increased mill throughput in Sudbury and the ramp-up of VBME. Quarter-on-quarter, production increased by 5.3 kt as the mines and mill operations have fully resumed after maintenance in Q3. 

  • Payable copper sales³ totaled 99 kt in the quarter, up 1.5 kt y/y, in line with the strong production figures. 

  • The average copper realized price was US$ 9,187/t, US$ 171/t higher q/q, despite lower LME reference prices, due to timing of final pricing and lower TC/RC discounts, reflecting a favorable spot market for copper concentrates. 

³ Sales volumes are lower than production volumes due to payable copper vs. contained copper: part of the copper contained in the concentrates is lost in the smelting and refining process, hence payable quantities of copper are approximately 3.5% lower than contained volumes. 

  • Sudbury-sourced ore: finished nickel production increased by 0.6 kt y/y, as a result of a 17% increase in mill throughput. Quarter-on-quarter, production decreased by 1.5 kt due to lower nickel inventories availability after Q3 maintenance. 

  • Thompson-sourced ore: finished nickel production was largely in line y/y. 

  • Voisey’s Bay-sourced ore: finished nickel production increased by 3.0 kt y/y, as underground mines continued to ramp-up. The Eastern Deeps bulk handling system, a major project milestone, was commissioned in November, which will allow the accelerated ramp-up of the underground project, which is expected to be concluded in 2H26. 

  • Onça Puma: nickel production increased by 4.2 kt y/y, as furnace 1 has been halted for rebuilding in 4Q23. Quarter-on-quarter, the production decreased by 1.4 kt as the plant experienced a power disruption after a severe windstorm in October. 

  • Nickel sales totaled 47.1 kt, largely in line y/y. 

  • The average nickel realized price was US$ 16,163/t, down US$ 849/t q/q, mainly due to lower LME reference prices.

Vale's Performance in 4Q24 

The 4Q24 financial statements will be released on February 19th. Following the release, our executives will host, on February 20th, a webcast (real-time audio teleconference) with analysts and investors to discuss 4Q24 earnings.   

Fotógrafo: Arquivo Vale