United States
Securities and Exchange Commission
Washington, D.C. 20549
FORM 6-K
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
of the
Securities Exchange Act of 1934
For the month of
October 2024
Vale S.A.
Praia de Botafogo nº 186, 18º andar,
Botafogo
22250-145 Rio de Janeiro, RJ, Brazil
(Address of principal executive office)
(Indicate by check mark whether the registrant files
or will file annual reports under cover of Form 20-F or Form 40-F.)
(Check One)
Form 20-F x Form 40-F ¨
Press Release |
|
Vale updates on settlement negotiation for the full reparation of
Samarco’s Fundão dam collapse
Rio de Janeiro, October 18, 2024 –
In attention to recent press articles on the status of negotiations for a Definitive Settlement of claims relating to the Fundão
dam collapse in Mariana, Minas Gerais, Brazil, Vale S.A. (“Vale” or “Company”) informs that Samarco Mineração
S.A. (“Samarco”), BHP Billiton Brasil Ltda. (“BHP Brasil”) and the Company (jointly, “the Companies”),
together with the Brazilian Federal Government, the State Governments of Minas Gerais and Espírito Santo, the Federal and State
Public Prosecutors’ and Public Defenders’ Offices and other Brazilian public entities (jointly, “the Parties”)
are considering the general terms for the Definitive Settlement.
The general terms under discussion aims
at fair and effective terms for a mutually beneficial resolution for all parties, especially for the impacted people, communities, and
the environment, while creating definitiveness and legal certainty for the Companies. They reinforce Vale’s commitment to the full
reparation of Samarco’s Fundão dam collapse.
Financial value and main obligations
The general terms under discussion provide
for a total financial value of approximately R$ 170 billion[1], comprising past and future obligations, to serve the people,
communities and environment impacted by the dam failure. It includes three main lines of obligations:
| § | R$ 38 billion[2] in amounts
already invested on remediation and compensation measures, |
| § | R$ 100 billion[3]
paid in installments[4] over 20 years to the Federal Government, the States of Minas Gerais and Espírito Santo and the
municipalities to fund compensatory programs and actions tied to public policies, |
| § | R$ 32 billion[5] in performance
obligations by Samarco, including initiatives for individual indemnification, resettlement, and environmental recovery. |
Parties’ legitimacy and contemplated
claims
A high-level mediation process by the
Brazilian Federal Court of Appeals of the 6th Region and the engagement of Brazilian public institutions, playing their Constitutional
role as authentic representatives of the affected people, have ensured transparency and legitimacy to the settlement process. The general
terms under discussion can pave the way for a Definitive Settlement of all controversies set forth in public civil actions and other proceedings
brought by the signatory Brazilian public authorities relating to the Samarco’s Fundão dam collapse, while defining measures
to fully repair all socio-environmental damages and all collective and diffuse socio-economic damages arising from the rupture. The Definitive
Settlement is also expected to bring voluntary-based alternatives for individual indemnification.
Vale’s incremental provision and
cash outflow expectation
Vale reaffirms its commitments to supporting
Samarco on repairing the damage caused by the Fundão dam collapse and to the shareholders' previously agreed obligation to finance,
up to a 50% share, the amounts that Samarco may eventually fail to fund as the primary obligor. Considering the financial value under
consideration, and based on preliminary cash outflow expectations, Vale estimates that R$ 5.3 billion (US$ 956 million[6])
will be added to liabilities associated with Mariana’s reparation in the 3Q24 results. The estimated timeline for disbursement will
be updated in due course.
[1] On a 100% basis.
[2] Approximately US$ 7.9 billion, considering exchange
rates and disbursements up to September 30, 2024.
[3] Approximately US$ 18.0 billion, considering an average
exchange rate of 5.5415 in September 2024.
[4] Adjusted by the Brazilian inflation index IPCA.
[5] Approximately US$ 5.8 billion, considering an average
exchange rate of 5.5415 in September 2024.
[6] Considering an average exchange rate of 5.5415 in
September 2024.
Definitive Settlement
The negotiations between the Parties are
ongoing and, therefore, no final agreement has been signed. The Definitive Settlement is subject to conclusion of the terms and conditions
of a final settlement agreement and the definitive settlement documentation, with approvals and signing by the Parties, including Vale’s
Board of Directors.
Murilo Muller
Executive Vice President, Finance and Investor
Relations
For further information, please contact:
Vale.RI@vale.com
Thiago Lofiego: thiago.lofiego@vale.com
Mariana Rocha: mariana.rocha@vale.com
Luciana Oliveti: luciana.oliveti@vale.com
Patricia Tinoco: patricia.tinoco@vale.com
Pedro Terra: pedro.terra@vale.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, 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) and in particular the factors discussed under “Forward-Looking Statements” and “Risk
Factors” in Vale’s annual report on Form 20-F.
Signatures
Pursuant to the requirements of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
|
Vale S.A.
(Registrant) |
|
|
|
By: |
/s/ Thiago Lofiego |
Date: October 18, 2024 |
|
Director of Investor Relations |
Vale (NYSE:VALE)
Gráfico Histórico do Ativo
De Nov 2024 até Dez 2024
Vale (NYSE:VALE)
Gráfico Histórico do Ativo
De Dez 2023 até Dez 2024