At the Guaíba Island Terminal (TIG) in the state of Rio de Janeiro, Brazil, Vale has completed the installation of one of the country's largest battery energy storage systems for supplying electricity demand. In operation since the second half of last year, BESS (Battery Energy Storage Systems) has reduced electricity demand at peak times by 55%. By supplementing the supply from the concessionaire's electricity grid at this time, when the tariff is more expensive, the implementation allowed for a 40% reduction in spending with the local energy distributor that serves TIG.

Composed of lithium-ion batteries manufactured by Tesla and using software engineering from the company Micropower for consumption management, the equipment is charged whenever TIG's electrical demand is low, thus supplementing the supply from the utility at times when demand tariffs are higher.

"The pioneering system applied at TIG is now the largest in Brazil for an end consumer and lays the foundations for increasing the use of this technology within the company to meet a variety of needs. By reducing the use of the electricity grid, precisely at the time when the entire country's consumption is highest, we are helping to avoid the activation of thermoelectric plants based on fossil fuels, which tend to increase their participation at this time to reinforce the national interconnected system," says Ludmila Nascimento, Vale's Energy and Decarbonization director.

Developed in partnership with Siemens and Micropower, a joint venture involving Comerc Energia, Siemens and Equinor, the technology is in line with Vale's decarbonization strategy. The batteries are produced using lithium-ion technology and have a storage capacity of 10 megawatt-hours, enough to supply 45,000 homes for one hour. On their own, they can supply half of all the ore terminal's equipment at the same time for two hours a day. "We are very happy to contribute to a robust storage system in an operation as large as the one Vale has. Being able to save 40% of the value of a monthly demand bill is a significant amount, and this shows the high capacity of our system," says Sergio Jacobsen, CEO of Micropower.

Recently, Vale announced an investment of at least US$ 4 to 6 billion to reduce its absolute direct and indirect emissions by 33% by 2030, based on the assumptions of the Paris Agreement, in addition to its intention to zero its net emissions by 2050.

About Vale

Vale is a global mining company that exists to improve lives and transform the future together. One of the world's largest producers of iron ore and nickel and an important copper producer, Vale is headquartered in Brazil and operates globally. Its operations comprise integrated logistics systems, including approximately 2,000 kilometers of railroads, maritime terminals and 10 ports around the world. Vale's ambitions are to be recognized by society as a benchmark in safety, the best and most reliable operator, a talent-oriented organization, a leader in sustainable mining, and a reference in value creation and sharing.

About Micropower Energy

Micropower Energy is a joint venture created in 2017 with the participation of Siemens, Equinor and Comerc Energia. In 2021, the company was responsible for installing one of the largest batteries in Brazil, with a capacity of 10 MW. In 2023, the company participated in the installation of one of the largest isolated photovoltaic microgrids in the country, also supplying the battery responsible for storing the energy produced in the community of Xique-Xique (BA). Micropower Energy's batteries reduce energy costs during peak times and serve as a backup in the event of an interruption in the energy supply, bringing more security to companies and locations that need uninterrupted electricity.