Brazil’s Vale wants to sell half its stake in the Nacala Corridor

Brazilian mining group Vale plans to sell off half of its stake in the Nacala Corridor, despite retaining control of the project, the group’s CEO, Murilo Ferreira, said in New York on Monday. The Nacala Corridor project involves the mining group, with a current stake of 70%, and state port and rail company Portos e Caminhos de Ferro de Moçambique, with the remaining 30%. The main focus of the project is construction of a railway between Moatize, in Tete province, and the port of Nacala, in Nampula province, which will be modernised and where a large coal terminal will be built. At a meeting with analysts, Ferreira said that the group planned to sell off half of its stake but gave assurances that after the sale it would have one more share than the future buyer, giving it control of the project that will require investment of the equivalent of R44 billion.