Brazilian metals and mining company Vale has announced its $6.358bn capital expenditure fund for project execution and $3.809bn for sustaining existing operations, as part of its investment budget for 2015.
The company's primary growth initiatives in iron ore are responsible for 71% of the $6.358bn alllocated for project execution in 2015.
As part of the programme, the company will expand its integrated iron ore operations in Carajás ($3.696bn) through the S11D and CLN S11D projects.
Plans also include the completion of the Itabirites projects for the partial replacement of capacity, as well as increasing production and quality of iron ore at Southern and Southeastern Systems ($659m). This includes the Conceição Itabiritos II, Vargem Grande Itabiritos and Cauê Itabiritos projects.
The capital budget will provide funding for five classes of initiatives, including operations for building and expanding waste dumps and tailings dams, health and safety, corporate social responsibility (CSR) and administration.
According to the company, the 2015 budget represents a 16.2% decrease from last year.
The $1.929bn budget for the ferrous minerals business and will be mainly directed to operations ($1.203bn), health and safety ($344m), waste dumps and tailings dams ($246m), CSR (S$108m) and others functions ($28m).
Base metals sustaining investments will total $1.388bn and consist primarily of operations ($1.039bn), waste dumps and tailings dams ($70m), health and safety ($56m) and CSR ($193m), which includes $61m for the clean AER project ($31m).