Vale fails to reach deal on Brazil railway concessions

[Train loaded with brown hematite iron ore in hills]
BeyondImages/iStock via Getty Images

Vale (NYSE:VALE [https://seekingalpha.com/symbol/VALE]) resumes trading following a halt, +0.2% in Thursday's trading after the company said it did not reach an agreement [https://api.mziq.com/mzfilemanager/v2/d/53207d1c-63b4-48f1-96b7-19869fae19fe/60c80ebd-e5f8-6eb9-fe19-71aba6498fe1?origin=1] with Brazil's National Land Transport Agency and federal government for new terms for licenses for the Carajás Railway and the Vitória-Minas Railway within established deadlines.

Vale (NYSE:VALE [https://seekingalpha.com/symbol/VALE]) said the concession contracts, which were pre-emptively extended until 2057 in 2020, remain in effect.

The company said it "remains committed to the general conditions of the renegotiation agreed upon in accordance with the terms of the agreement signed on December 30, 2024," and will fulfill all obligations set out in the contracts and adopt necessary measures to safeguard its rights.

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