Highlights

• Vale reopens Capanema mine after 22 years with natural moisture processing and autonomous trucks, avoiding tailings dams.
• R$ 67 billion investment in Minas Gerais by 2030 will expand dry stacking, modernise complexes, and reduce dam reliance.
• Circular mining practices like reprocessing waste piles and producing Sustainable Sand aim to lower risks and environmental impacts.

Vale has inaugurated the Capanema mine in Ouro Preto, Minas Gerais, after more than two decades of inactivity.

The reopening marks a fresh phase for the company in the state, backed by R$ 67 billion in investments until 2030. This funding will focus on safer, more innovative, and sustainable mining practices, with an emphasis on lowering carbon emissions, reducing reliance on tailings dams, and applying circular mining techniques.

The mine itself will operate with natural moisture processing, which eliminates the use of water and the generation of tailings, which means dams will no longer be required. It is also equipped with autonomous off-road trucks and incorporates solutions such as reprocessing iron ore from an old waste pile.

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With this approach, Capanema is expected to add 15 million tonnes of iron ore annually to Vale’s output, which helps the company reach its guidance of 340–360 Mtpa by 2026.

To reactivate the site, Vale invested R$ 5.2 billion, modernising facilities and linking the mine with other operations in the region to improve efficiency and reduce environmental impacts.

The construction effort lasted five years, involving 40 companies and more than 6,000 workers during peak activity, with priority given to local hiring. The mine now provides 800 direct jobs.

Looking ahead, Vale’s R$ 67 billion investment plan in Minas Gerais will generate R$ 440 million in annual royalties and around R$ 3 billion in annual salaries for about 60,000 workers. A large share of this funding will expand tailings filtering and dry stacking, aiming to reduce dam use from 30% to 20%.

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The strategy also includes modernisation of Vale’s five operational complexes, improvements in geotechnical safety systems, and upgrades in fleet renewal, connectivity, and monitoring technologies.

Another major priority is the decharacterisation of upstream dams under Vale’s safety programme. Since 2019, about 60% of this effort has been completed, and the remaining inactive structures are monitored 24/7.

The company is pairing these efforts with circular mining practices, which involve recovering iron ore from old waste deposits and decommissioned dams. In 2025 alone, Vale produced 9 million tonnes through these programmes, a 14% increase from the previous year, with Minas Gerais contributing 80% of this output.

Vale is also developing co-product initiatives, such as Sustainable Sand production, which has sold over 3 million tonnes in the past two years, and the Block Factory in Itabirito, which turns tailings into construction materials. These solutions reduce the need for waste disposal areas and introduce new value chains in the region.

The company’s presence in Minas Gerais transcends mining. In 2023, Vale’s activities represented 3.5% of the state’s GDP, with the state accounting for about 45% of Vale’s total iron ore production.

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In addition to economic activity, the company has funded 335 cultural projects worth R$ 370 million, benefitting over one million people in 45 municipalities. Vale also protects 73,000 hectares of green areas through reserves and partnerships, more than double the size of Belo Horizonte.

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Source: Vale