There are limited resources of potash around the world. Canada, Russia, and Belarus are the most important sources, and each of these countries only has a few producers.
Vale’s proven and probable copper reserves totaled 1.39 billion tons at the end of 2013. Salobo mine accounted for ~80% of these reserves.
Analysts are watching Vale’s base metals division to see if it can offset the falling revenue from iron ore. The production profile is well supported by ramp-ups and productivity gains.
Vale SA is the largest manganese producer in Brazil, accounting for roughly 70% of the country’s market. The Azul Mine in Para is responsible for 80% of its output.
Vale SA (VALE) produces metallurgical and thermal coal through its subsidiaries. Vale Mozambique, operates the Moatize mines. And Vale Australia operates coal assets in Australia through wholly owned companies and unincorporated joint ventures.
Vale SA achieved $1.2 billion in recurrent savings in 2014. Chiefly responsible—selling, general, and administrative expenses—which fell by ~23%, and pre-operating and stoppage expenses, which were cut by ~46%.
The S11D project will increase the mining and processing capacity at Vale’s Carajas mining complex, where the company produces high-content ~67% iron ore.
Realized prices for iron ore vary depending on quality, moisture content, freight costs, and pricing mechanisms. ROM sales reduced Vale’s realized price by about $6 per ton in 2013.
Vale SA offers technical assistance to its customers and operates sales support offices in several cities. These offices monitor customer requirements and ensure timely deliveries.
Most of the big iron ore players, including Vale, BHP, and Rio, are increasing production to take advantage of the inherent economies of scale enjoyed by large companies.
Vale SA’s freight costs are much higher than its rivals’ costs because of its location. Brazil is almost three times as far from Asian markets as Australia.
Vale SA (VALE) is the world’s largest producer of iron ore and pellets. Pellets are manufactured by gathering together the powder generated during the ore extraction process.
Although there hasn’t been any recent cause for concern, and the government doesn’t interfere in the day-to-day workings of Vale, there’s always a risk that the company could be pushed into pursuing objectives that aren’t in the best interests of all shareholders.
Currently, the the private sector is leading significant expansion and major rehabilitation of Mozambique’s infrastructure. Vale itself is investing in the development of the Nacala infrastructure project.
Vale SA (VALE) is a Brazilian multinational diversified metals and mining company. It is the world’s largest producer of iron ore and iron ore pellets and the world’s second-largest producer of nickel.
China is the world’s largest consumer. It’s also the largest aluminum producer. As a result, investors should closely watch the aluminum surplus in China.
Crude oil prices impacted Alcoa’s automotive sales. Under its transformation strategy, Alcoa (AA) is working to address the automotive companies’ lightweighting needs.
The aerospace segment is the one of the biggest aluminum consumers in the world. Alcoa (AA) got $4 billion in revenue from aerospace companies last year.
Recently, AA launched a new manufacturing technique to produce aluminum. AA named the technique Micromill. It already patented this technology.
Spot aluminum prices fell ~7% since the recent OPEC meeting. OPEC decided not to reduce crude output. This was negative news for crude prices. The crude oil market is already oversupplied.