Log in
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Dynamic quotes 

MarketScreener Homepage  >  Equities  >  Bolsa de valores de Sao Paulo  >  Vale S.A.    VALE3   BRVALEACNOR0


News SummaryMost relevantAll newsPress ReleasesOfficial PublicationsSector newsAnalyst Recommendations

Steinmetz's BSGR seeks to reopen $1.25 bln Guinea ruling

share with twitter share with LinkedIn share with facebook
share via e-mail
05/23/2020 | 05:11am EDT
FILE PHOTO: A logo of Brazilian mining company Vale SA is pictured in front of the headquarters of the company in downtown Rio de Janeiro

By Zandi Shabalala and Helen Reid

Billionaire Beny Steinmetz's BSG Resources Ltd (BSGR) is seeking to reopen an arbitration case that ordered it to pay $1.25 billion to Brazilian minder Vale SA over an abandoned mining joint venture in Guinea.

BSGR has filed documents, seen by Reuters, with a U.S. court which it said shows that Vale was aware of potential bribery or "red flags" when the companies partnered to develop Simandou, one of the world's biggest iron ore deposits containing billions of tonnes of the steelmaking ingredient.

The companies are locked in a long-running legal dispute over the joint venture, which was created in 2010 but has since been abandoned. Simandou remains undeveloped.

"The Vale Board should assume full responsibility for their misconduct, publicly clear BSGR of all wrong doing and compensate fully for the commercial value of the loss to BSGR, which could run into billions of dollars," Steinmetz said in an emailed statement.

Vale has accused BSGR of fraudulently inducing it to buy a 51 percent stake in the joint venture to develop the mine, a concession later by the Guinean government in 2014 after it said it had evidence BSGR obtained the rights through corruption.

Vale on Friday denied BSGR's accusation, saying it was confident that any court or tribunal would find it in the right.

"Vale is confident that the effort will continue to be rejected by any court or tribunal considering the full record of Vale's extensive diligence efforts and the extraordinary means that Steinmetz undertook to conceal his fraud from Vale," the Brazilian company said in a statement.

Guinea's President Alpha Conde at the time said Vale was not involved in, or aware of, the corruption.

BSGR, which went into administration in 2018, has denied any wrongdoing in obtaining the Simandou rights. It walked away from the project last year as part of a settlement with Guinea's government in which both parties agreed to drop outstanding legal action.

Vale filed a U.S. lawsuit in April 2019 to force BSGR to pay it about $1.25 billion, as mandated by a London arbitrator in the dispute, plus interest and expenses, amounting to a total of more than $2 billion.

The lawsuit is still active.

(Reporting by Helen Reid in Johannesburg and Zandi Shabalala in London; Additional reporting by Marta Nogueira in Rio de Janeiro; Editing by Alistair Bell)

share with twitter share with LinkedIn share with facebook
share via e-mail
Latest news on VALE S.A.
05/28Glencore chairman Hayward defends climate policy
05/27VALE S A : 05/27/2020 Vale becomes aware of a lawsuit filed by the MPMG
05/26NEW CENTURY RESOURCES : Vale enters into exclusivity to negotiate the sale of Va..
05/25VALE S A : 05/25/2020 Vale enters into exclusivity to negotiate the sale of Vale..
05/23Steinmetz's BSGR seeks to reopen $1.25 bln Guinea ruling
05/21Correction to Brazil's Coronavirus Crisis Article on May 20
05/20Brazil's Coronavirus Crisis Disrupts Iron-Ore Market; Prices Surge -- Update
05/20Brazil's Coronavirus Crisis Disrupts Iron-Ore Market, as Prices Surge
05/18Vale Resumed Operations at Teluk Rubiah Terminal After Securing Safety Resour..
05/14Norway wealth fund blacklists Glencore, other commodity giants over coal
More news
Financials (USD)
Sales 2020 31 983 M - -
Net income 2020 5 858 M - -
Net Debt 2020 4 444 M - -
P/E ratio 2020 9,66x
Yield 2020 0,68%
Capitalization 55 781 M 55 732 M -
EV / Sales 2019
EV / Sales 2020 1,88x
Nbr of Employees 79 646
Free-Float 74,3%
Chart VALE S.A.
Duration : Period :
Vale S.A. Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends VALE S.A.
Short TermMid-TermLong Term
Income Statement Evolution
Mean consensus BUY
Number of Analysts 8
Average target price 11,70 $
Last Close Price 10,87 $
Spread / Highest target 50,8%
Spread / Average Target 7,62%
Spread / Lowest Target -37,1%
EPS Revisions
Eduardo Bartolomeo Chief Executive Officer
José Maurício Pereira Coelho Chairman
Luciano Siani Pires Chief Financial Officer
Oscar Augusto de Camargo Filho Director
Marcel Juviniano Barros Director
Sector and Competitors
1st jan.Capitalization (M$)
VALE S.A.4.43%55 732
NMDC LIMITED-33.85%3 459
FERREXPO PLC17.84%1 383
HBIS RESOURCES CO., LTD.-13.20%1 177