Vale S.A. : Vale S.A. : Vale to conclude purchase option of Belvedere,
exercised in 2010, after independent valuation
Rio de Janeiro, January 31, 2013 - Vale S.A. (Vale) informs that it has
entered into agreements to complete a purchase option exercised by Vale in
June 2010, by which it will acquire an additional 24.5% stake in the Belvedere
coal project (Belvedere) from Aquila Resources Limited (Aquila). The purchase
price of A$ 150 million (US$ 156 million using AUD/USD of 1.04) is equivalent
to the fair market value recently determined by a third party expert engaged
by Vale and Aquila.
The acquisition is subject to Queensland Government indicative approvals. As
an outcome of this transaction, Vale will increase its participation in
Belvedere to 100%. Vale also agreed to settle Belvedere litigation and
disputes with Aquila for A$ 20 million (US$ 21 million).
Overall, Vale will have paid approximately US$ 338 million for 100% of
Belvedere. The Belvedere underground coal project is a future growth option
located in the southern Bowen Basin region, near the city of Moura, in the
state of Queensland, Australia. The project is still in early stage of
development and, consequently, its implementation is subject to Board
approval. According to our preliminary estimates, Belvedere has the potential
to reach a production capacity up to 7.0 million metric tons per year of
mainly coking coal.
For further information, please contact:
Roberto Castello Branco: email@example.com
Viktor Moszkowicz: firstname.lastname@example.org
Carla Albano Miller: email@example.com
Andrea Gutman: firstname.lastname@example.org
Christian Perlingiere: email@example.com
Marcelo Correa: firstname.lastname@example.org
Marcio Loures Penna: email@example.com
Rafael Rondinelli: firstname.lastname@example.org
Samantha Pons: email@example.com
This press release may include statements that present Vale's expectations
about future events or results. All statements, when based upon expectations
about the future and not on historical facts, involve various risks and
uncertainties. Vale cannot guarantee that such statements will prove correct.
These risks and uncertainties include factors related to the following: (a)
the countries where we operate, especially Brazil and Canada; (b) the global
economy; (c) the capital markets; (d) the mining and metals prices and their
dependence on global industrial production, which is cyclical by nature; and
(e) global competition in the markets in which Vale operates. To obtain
further information on factors that may lead to results different from those
forecast by Vale, please consult the reports Vale files with the U.S.
Securities and Exchange Commission (SEC), the Brazilian Comissão de Valores
Mobiliários (CVM), the French Autorité des Marchés Financiers (AMF), and The
Stock Exchange of Hong Kong Limited, and in particular the factors discussed
under "Forward-Looking Statements" and "Risk Factors" in Vale's annual report
on Form 20-F.
Vale to conclude purchase option of Belvedere
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information contained therein.
Source: Vale S.A. via Thomson Reuters ONE
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