Vale Expects No Major Disruption at Gongo Soco Mine; Iron Ore Prices Fall Further

In a press release Vale announced that it detected movement in Gongo Soco mine on 31 May'19, however slippage should occur without any consequence. An embankment in the mine has begun to slide down into the bottom of the mining pit. Initially, authorities feared of the movement to destabilize the Sul Superior dam, about 1.5 Km away from the mine.

The pieces settled gently at the bottom of the pit with early assessments indicating that the wall is sliding gradually, verifying evaluations that any further slippage should occur without major consequence.However, the movement could not detect any possible threat to the stability of the dam.

As per Vale, the pit and the Sul Superior Dam, are remotely monitored 24 hours a day, using radar and a robotic station capable of detecting millimetric movements, as well as drone flyovers.

As per last update, Vale's Brucutu mines is still at hold due to orders by Minas Gerais Court of Justice (Tribunal de Justica do Estado de Minas Gerais - "TJMG").

Global iron ore fines prices slide down further

Global iron ore fines prices dropped to USD 99.8/MT, CFR China yesterday (31st May) as against USD 101.70/MT, CFR China on Thursday (30th May). The prices have dropped by 8% during the week as compared to USD 108/MT, CFR China towards beginning of the week.