Vale ( NYSE: VALE ) said Wednesday it expects to produce 310M-320M metric tons of iron ore in 2023 , slightly above 310M tons produced this year, with plans to grow in the coming years to reach 340M-360M tons in 2026 and more than 360M starting in 2030.
Vale ( VALE ) also provided new estimates for nickel and copper production, seeing nickel output dropping to 160K-175K tons next year from ~180K tons in 2022, while copper production is expected to jump to 335K-370K tons in 2023 from ~260K tons this year.
In the longer term, Vale ( VALE ) forecasts nickel production to resume an upward trend to 230K-245K tons in 2026 and more than 300K tons after 2030, while copper output should reach 900K tons starting in 2030.
The company also plans capital spending of $6B in 2023, up from $5.5B this year, and will average $6B-$6.5B annually during 2024-27.
The bust in the Chinese housing market should weigh on iron ore prices in the short term, but in the long run Vale ( VALE ) will benefit from a secular bull market in Brazilian equities and Brazil's currency, Romil Patel writes in an analysis newly posted on Seeking Alpha .
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Vale sees 2023 iron ore output ticking up as high as 320 million tons