The production report released by the company on Thursday night pointed to a strong start in both production and sales.
The increase in production was mainly driven by strong performance from key assets in Brazil. The S11D mine in the state of Pará reached a record production level for the first quarter, while the Brucutu site in Minas Gerais recorded its highest first-quarter output since 2018. Capacity expansions at the Capanema and VGR1 projects also supported overall production.
The company’s iron ore sales rose by 3.9% in the same period to 68.7 million tons, marking the highest first-quarter sales volume since 2018. The increase was driven by newly commissioned production facilities.
On the pricing side, the average selling price of iron ore fines rose by 5.5% to USD 95.8 per ton. In contrast, pellet prices fell by 5% to USD 133.8 per ton, reflecting product-based differences in demand under prevailing market conditions.
Pellet production increased by 13.7% year-on-year in the first quarter to 8.2 million tons, while pellet sales rose by 2.7% to 7.7 million tons. Operational improvements at the company’s Tubarão facilities were a key factor in this increase.
Meanwhile, Vale reported that pellet production at its facilities in Oman was temporarily halted due to scheduled maintenance, and some construction activities in Sohar were suspended. The company stated that operations in Oman are expected to resume by the end of the third quarter, due to logistical constraints and regional developments.
During this period, pellet feed intended for Oman will be redirected to Vale’s Tubarão facilities in Brazil, while greater emphasis will be placed on fines sales. Vale also maintained its 2026 iron ore production guidance at 335–345 million tons and its agglomerate production forecast at 30–34 million tons.