Vale informs that it has signed a Memorandum of Understanding (MoU) with XCMG Construction Machinery Limited (XCMG Machinery), a subsidiary of Xuzhou Construction Machinery Group Co., Ltd. (XCMG) which is China's largest machinery manufacturer, for the potential supply of mining and infrastructure equipment, including zero-emission and autonomous equipment. According to the MoU, prototypes of the equipment including two electrical battery-powered mining haul trucks up to 72t with zero emission will be delivered to Vale to be tested in its operations in Minas Gerais (Brazil) and Indonesia in the first half of 2022. Another electrical truck up to 240t with zero emission will also be tested in a date to be defined.

The signing took place on Tuesday, October 26th in Nanjing, during the celebrations of the 25th anniversary of sister state-province relationship between the Brazilian state of Minas Gerais and the Chinese province of Jiangsu.

The MoU was signed by Mr. Antonio Cardoso, Head of Procurement China of Vale and Mr. Sam Shang, Deputy General Manager of Xuzhou Construction Machinery Group Import and Export Co., Ltd, with witness from Mr. Gilberto Fonseca Guimarães de Moura, Consul-General of Brazil in Shanghai, Mr. Hui Jianlin, Vice Governor of Jiangsu Province, Ms. Tracy Xie, President of Vale China and Mr. Hansen Liu, Vice President of XCMG Machinery.

Following the signing ceremony, Mr. Alexandre Pereira, Vale’s Executive Vice President for Global Business Solutions, congratulated on this initiative. He highlighted the search of Vale and XCMG to expand the use of electric battery -powered vehicles, which took the companies to include in the MoU the intention of supplying such equipment.

“This initiative is in line with Vale's goal of reducing its carbon emissions of scope 1 and 2 by 33% by 2030 and achieving net zero emissions by 2050 and reinforces our ambition to lead the road to low carbon mining. We also see this partnership with XCMG Machinery as one more important step in the deepening of our long-term and win-win partnership with China, which dates back to 1973, when we sent our first iron ore shipment to this country”, Pereira said.

Marcello Spinelli, Vale’s Executive Vice President, Iron Ore added “this is yet another example of our efforts on this regard, we will receive by 2022 the first units of a 72t battery truck to be tested in our operations. We intend to continue to develop zero-emissions solutions with global partners, as XCMG”.

“It is an honorable pleasure to establish a deeper partnership with Vale. XCMG is committed to serving global customers by providing energy-saving construction and mining solutions. We will increase R&D investment into zero-emission technologies to help customers achieve the goal of green mining. We believe that MOU signed with Vale will drive our value chain to promote environmental protection.” Mr. Hansen Liu said.

About Vale

Vale was founded in 1942 and headquartered in the city of Rio de Janeiro, Brazil. Vale is one of the largest metals and mining companies in the world based on market capitalization and one of the world’s largest producers of iron ore and nickel. We also produce iron ore pellets, manganese ore, ferroalloys, metallurgical and thermal coal, copper, platinum group metals (PGMs), gold, silver and cobalt. We operate large logistics systems in Brazil and other regions of the world, including railroads, maritime terminals and ports, which are integrated with our mining operations. In addition, we have a distribution center to support the delivery of iron ore worldwide. Directly and through associates and joint ventures, we also have investments in energy and steel businesses. Since our first shipment of iron ore to China in 1973, we have been a long-term partner of China for 48 years, during which we have contributed to China’s economic growth by consistently supplying the country with high-quality iron ore and other mineral resources necessary for China’s ongoing development.

About XCMG

Founded in 1943, XCMG has developed into a 100 billion-level leading enterprise in China's construction machinery industry, which is of large scale, full varieties and series of products, powerful competitiveness, influence, and national strategic importance. Currently ranking No.1 in the domestic industry, No.3 in the global industry, No. 4 in the Top 100 Chinese Machinery Industry and No. 409 in the Top 500 Global Brands, it functions as an appealing business card for China's equipment manufacturing industry. For more information, please visit: www.xcmg.com, or “XCMGGroup” on Facebook, Twitter, YouTube, LinkedIn and Instagram.