Brazilian group Vale S.A has announced that it is in advanced discussions with Glencore to create a copper-focused joint venture in the Sudbury basin, Canada. The brownfield project envisages total copper production of about 900,000 tonnes over 21 years. The envisaged investment, estimated between $1.6bn and $2bn, would be equally shared between both companies, with a final decision expected in H1 2027.
This strategic initiative was unveiled at Vale's annual investor day in London, where the company also lifted its iron ore production targets. For 2026, Vale aims for between 335 and 345 million tonnes, with a target of 360 million by 2030. The group thus seeks to reclaim the title of global top producer, currently held by Australian Rio Tinto, after being displaced following the Brumadinho disaster in 2019.
The Canadian project fits within a broader strategy led by Vale Base Metals (VBM), the subsidiary responsible for copper and nickel operations. In 2023, this division already sold 10% of its capital to the Saudi fund Manara. VBM's CEO, Gustavo Pimenta, does not rule out another minority sale or a stock listing, depending on market evolution. For 2026, Vale projects autonomous copper production of between 350,000 and 380,000 tonnes, while nickel production could reach up to 200,000 tonnes.
