Brazil-based mining company Vale has received an environmental licence to expand its Carajás open pit mine in the state of Para.
Instituto Brasileiro do Meio Ambiente e dos Recursos Naturais Renováveis (IBAMA) issued the licence, which will help the company expand its N4WS mine in Carajás, as it aims to boost production by 50%.
Vale will now seek authorisation for vegetal suppression from IBAMA and to develop the mine.
Gaining the oeprating licence will clear the way to commence production by 2015 and 2016 in the Carajás mining complex.
Vale, the world's largest iron ore producer, is investing $37bn on iron ore mining and logistics projects. The company proposes to push its output to about 450 million tonnes by 2018, reported Bloomberg.
The company is developing the industry's most expensive project and the world's largest iron ore complex at the S11D Serra Sul mine and logistics venture in Carajás. Construction work on the $19.49bn S11D expansion project has reached the halfway point.
Vale has also revealed that it will work with Brazilian authorities to secure a licence for N5S mine pit in the Northern System of Carajás.
Image: Carajás open pit mine, which is located in the state of Para. Photo: courtesy of NASA Earth Observatory/Wiki.