‘#Nickel and #Copper’s time’: #Vale to split off metals group to capitalize on battery demand
Brazil-based Vale SA plans to separate its base metal operations into a distinct entity from its main iron ore business sometime in mid-2023, a move that will affect its nickel operations across Canada.
Executives cast the announcement, which came Wednesday at an
Ont.; Thompson, Man.; and Voisey’s Bay, NL — are fully valued and can access capital.
Demand for nickel and copper, the base metals Vale primarily produces, are expected to surge as the energy transition picks up speed and more people switch to electric vehicles.
But Vale executives said that in order to capitalize on this opportunity they need to ensure base metals operations receive appropriate investment and aren’t neglected in favour of the company’s much larger iron ore business.