Cover
Cover | 6 Months Ended |
Jun. 30, 2023 | |
Cover [Abstract] | |
Document Type | 6-K/A |
Amendment Flag | true |
Amendment Description | Vale is amending its report on Form 6-K furnished to the Securities and Exchange Commission on July 28, 2023 (File/Film Number: 001-15030 / 231119821) (the “Original 6-K”) solely for the purpose of adding Exhibit 101, which contains Interactive Data File disclosure in accordance with Rule 405 of Regulation S-T. Except as described above, this amendment does not amend any information set forth in the Original 6-K. |
Document Period End Date | Jun. 30, 2023 |
Current Fiscal Year End Date | --12-31 |
Entity Registrant Name | Vale S.A. |
Entity Central Index Key | 0000917851 |
Consolidated Income Statement
Consolidated Income Statement - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Continuing operations | ||||
Net operating revenue | $ 9,673 | $ 11,157 | $ 18,107 | $ 21,969 |
Cost of goods sold and services rendered | (5,940) | (5,950) | (10,889) | (10,572) |
Gross profit | 3,733 | 5,207 | 7,218 | 11,397 |
Operating expenses | ||||
Selling and administrative | (139) | (127) | (257) | (248) |
Research and development | (165) | (151) | (304) | (272) |
Pre-operating and operational stoppage | (103) | (111) | (227) | (265) |
Other operating expenses, net | (388) | (445) | (607) | (711) |
Impairment reversal (impairment) and results on disposal of non-current assets, net | (66) | (82) | (70) | 990 |
Operating income | 2,872 | 4,291 | 5,753 | 10,891 |
Financial income | 106 | 137 | 227 | 287 |
Financial expenses | (397) | (372) | (717) | (667) |
Other financial items, net | 134 | 1,056 | (197) | 959 |
Equity results and other results in associates and joint ventures | 5 | (56) | (50) | 155 |
Income before income taxes | 2,720 | 5,056 | 5,016 | 11,625 |
Income taxes | (1,792) | (911) | (2,210) | (3,002) |
Net income from continuing operations | 928 | 4,145 | 2,806 | 8,623 |
Net income attributable to noncontrolling interests | 36 | 52 | 77 | 74 |
Net income from continuing operations attributable to Vale's shareholders | 892 | 4,093 | 2,729 | 8,549 |
Discontinued operations | ||||
Net income from discontinued operations | 2,058 | 2,060 | ||
Net income from discontinued operations attributable to Vale's shareholders | 2,058 | 2,060 | ||
Net income | 928 | 6,203 | 2,806 | 10,683 |
Net income attributable to noncontrolling interests | 36 | 52 | 77 | 74 |
Net income attributable to Vale's shareholders | $ 892 | $ 6,151 | $ 2,729 | $ 10,609 |
Consolidated Income Statement (
Consolidated Income Statement (Parenthetical) - Ordinary shares [member] - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
IfrsStatementLineItems [Line Items] | ||||
Common share continuing operations, Basic | $ 0.20 | $ 0.88 | $ 0.62 | $ 1.80 |
Common share continuing operations, Diluted | 0.20 | 0.88 | 0.62 | 1.80 |
Common share, Basic | 0.20 | 1.32 | 0.62 | 2.24 |
Common share, Diluted | $ 0.20 | $ 1.32 | $ 0.62 | $ 2.24 |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Profit or loss [abstract] | ||||
Net income | $ 928 | $ 6,203 | $ 2,806 | $ 10,683 |
Items that will not be reclassified to income statement | ||||
Translation adjustments | 2,072 | (3,616) | 3,016 | 2,328 |
Retirement benefit obligations | (5) | 111 | (12) | 143 |
Fair value adjustment to investment in equity securities | 13 | 13 | ||
Total items that will not be reclassified to the income statement, net of tax | 2,080 | (3,505) | 3,017 | 2,471 |
Items that may be reclassified to income statement | ||||
Translation adjustments | (249) | 703 | (406) | (1,049) |
Net investment hedge | 95 | (145) | 144 | 74 |
Cash flow hedge | (4) | 312 | 15 | 8 |
Reclassification of cumulative translation adjustment to income statement | (3,072) | (3,222) | ||
Total items that may be reclassified to the income statement, net of tax | (158) | (2,202) | (247) | (4,189) |
Comprehensive income | 2,850 | 496 | 5,576 | 8,965 |
Comprehensive income attributable to noncontrolling interests | 36 | 46 | 84 | 68 |
Comprehensive income attributable to Vale's shareholders | $ 2,814 | $ 450 | $ 5,492 | $ 8,897 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Statement of cash flows [abstract] | ||||
Cash flow from operations | $ 3,259 | $ 5,738 | $ 7,539 | $ 11,269 |
Interest on loans and borrowings paid | (200) | (277) | (369) | (456) |
Cash received (paid) on settlement of derivatives, net | 134 | (42) | 172 | (118) |
Payments related to Brumadinho event | (497) | (319) | (621) | (383) |
Payments related to de-characterization of dams | (95) | (83) | (173) | (152) |
Interest on participative shareholders' debentures paid | (127) | (235) | (127) | (235) |
Income taxes (including settlement program) paid | (574) | (1,213) | (911) | (3,790) |
Net cash generated by operating activities from continuing operations | 1,900 | 3,569 | 5,510 | 6,135 |
Net cash generated by operating activities from discontinued operations | 41 | |||
Net cash generated by operating activities | 1,900 | 3,569 | 5,510 | 6,176 |
Cash flow from investing activities: | ||||
Capital expenditures | (1,208) | (1,293) | (2,338) | (2,429) |
Additions to investments | (1) | (8) | ||
Proceeds (payments) from the sale of investments, net | (67) | 437 | ||
Dividends received from associates and joint ventures | 105 | 71 | 105 | 136 |
Short-term investment | 67 | 101 | 12 | 103 |
Other investments activities, net | (30) | 48 | (97) | 48 |
Net cash used in investing activities from continuing operations | (1,067) | (1,073) | (2,393) | (1,705) |
Net cash used in investing activities from discontinued operations | (65) | (103) | ||
Net cash used in investing activities | (1,067) | (1,138) | (2,393) | (1,808) |
Cash flow from financing activities: | ||||
Loans and borrowings from third-parties | 1,500 | 200 | 1,800 | 625 |
Payments of loans and borrowings from third-parties | (581) | (1,433) | (620) | (1,828) |
Payments of leasing | (45) | (57) | (92) | (98) |
Dividends and interest on capital paid to Vale’s shareholders | (1,795) | (3,480) | ||
Dividends and interest on capital paid to noncontrolling interest | (5) | (4) | (8) | (7) |
Shares buyback program | (1,361) | (2,596) | (2,124) | (4,384) |
Stake acquisition on subsidiaries | (130) | (130) | ||
Net cash used in financing activities from continuing operations | (622) | (3,890) | (2,969) | (9,172) |
Net cash used in financing activities from discontinued operations | (11) | |||
Net cash used in financing activities | (622) | (3,890) | (2,969) | (9,183) |
Net increase (decrease) in cash and cash equivalents | 211 | (1,459) | 148 | (4,815) |
Cash and cash equivalents in the beginning of the period | 4,705 | 9,061 | 4,736 | 11,721 |
Effect of exchange rate changes on cash and cash equivalents | 67 | (417) | 99 | 290 |
Cash and cash equivalents from subsidiaries sold, net | (11) | |||
Cash and cash equivalents at end of the period | $ 4,983 | $ 7,185 | $ 4,983 | $ 7,185 |
Consolidated Statement of Finan
Consolidated Statement of Financial Position - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 4,983 | $ 4,736 |
Short-term investments | 46 | 61 |
Accounts receivable | 2,967 | 4,319 |
Other financial assets | 522 | 342 |
Inventories | 5,193 | 4,482 |
Recoverable taxes | 1,502 | 1,272 |
Other | 334 | 314 |
Current assets excluding assets held for sale | 15,547 | 15,526 |
Non-current assets | ||
Judicial deposits | 1,326 | 1,215 |
Other financial assets | 698 | 280 |
Recoverable taxes | 1,229 | 1,110 |
Deferred income taxes | 9,904 | 10,770 |
Other | 1,245 | 1,019 |
Total non-current assets excluding investments, intangible assets and property, plant and equipment | 14,402 | 14,394 |
Investments in associates and joint ventures | 1,901 | 1,798 |
Intangibles | 11,001 | 10,238 |
Property, plant, and equipment | 48,666 | 44,938 |
Total non current assets | 75,970 | 71,368 |
Total assets | 91,517 | 86,894 |
Current liabilities | ||
Suppliers and contractors | 5,240 | 4,461 |
Loans, borrowings, and leases | 912 | 489 |
Other financial liabilities | 1,599 | 1,672 |
Taxes payable | 882 | 470 |
Settlement program ("REFIS") | 416 | 371 |
Liabilities related to associates and joint ventures | 1,044 | 1,911 |
Provisions | 849 | 1,036 |
Liabilities related to Brumadinho | 1,201 | 944 |
De-characterization of dams and asset retirement obligations | 899 | 661 |
Dividends payable | 1,383 | |
Other | 514 | 493 |
Current liabilities excluding assets held for sale | 13,556 | 13,891 |
Non-current liabilities | ||
Loans, borrowings, and leases | 13,025 | 12,223 |
Participative shareholders' debentures | 2,528 | 2,725 |
Other financial liabilities | 2,771 | 2,843 |
Settlement program ("REFIS") | 1,886 | 1,869 |
Deferred income taxes | 1,411 | 1,413 |
Provisions | 2,700 | 2,446 |
Liabilities related to Brumadinho | 2,075 | 2,368 |
De-characterization of dams and asset retirement obligations | 6,786 | 6,520 |
Liabilities related to associates and joint ventures | 2,575 | 1,410 |
Streaming transactions | 1,693 | 1,612 |
Other | 220 | 216 |
Total non current liabilities | 37,670 | 35,645 |
Total liabilities | 51,226 | 49,536 |
Equity | ||
Equity attributable to Vale's shareholders | 38,812 | 35,867 |
Equity attributable to noncontrolling interests | 1,479 | 1,491 |
Total equity | 40,291 | 37,358 |
Total liabilities and equity | $ 91,517 | $ 86,894 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Equity - USD ($) $ in Millions | Issued capital [member] | Capital Reserves [Member] | Profit Reserves [Member] | Treasury shares [member] | Other Reserve [Member] | Reserve of exchange differences on translation [member] | Retained earnings [member] | Equity attributable to owners of parent [member] | Non-controlling interests [member] | Total |
Beginning balance, value at Dec. 31, 2021 | $ 61,614 | $ 1,139 | $ 15,702 | $ (5,579) | $ (1,960) | $ (36,444) | $ 34,472 | $ 834 | $ 35,306 | |
IfrsStatementLineItems [Line Items] | ||||||||||
Net income | 10,609 | 10,609 | 74 | 10,683 | ||||||
Other comprehensive income | 1,165 | 134 | (3,011) | (1,712) | (6) | (1,718) | ||||
Dividends and interest on capital of Vale's shareholders | (3,500) | (3,500) | (3,500) | |||||||
Dividends of noncontrolling interest | (5) | (5) | ||||||||
Acquisitions and disposal of noncontrolling interest | 585 | 585 | ||||||||
Shares buyback program | (4,384) | (4,384) | (4,384) | |||||||
Treasury shares canceled | (2,830) | 2,830 | ||||||||
Share-based payment programs | 19 | (4) | 15 | 15 | ||||||
Ending balance, value at Jun. 30, 2022 | 61,614 | 1,139 | 10,537 | (7,114) | (1,830) | (39,455) | 10,609 | 35,500 | 1,482 | 36,982 |
Beginning balance, value at Dec. 31, 2022 | 61,614 | 1,139 | 20,744 | (4,980) | (1,675) | (40,975) | 35,867 | 1,491 | 37,358 | |
IfrsStatementLineItems [Line Items] | ||||||||||
Net income | 2,729 | 2,729 | 77 | 2,806 | ||||||
Other comprehensive income | 1,402 | 7 | 1,354 | 2,763 | 7 | 2,770 | ||||
Dividends and interest on capital of Vale's shareholders | (437) | (437) | (437) | |||||||
Dividends of noncontrolling interest | (37) | (37) | ||||||||
Acquisitions and disposal of noncontrolling interest | 3 | 3 | (59) | (56) | ||||||
Shares buyback program | (2,124) | (2,124) | (2,124) | |||||||
Treasury shares canceled | (4,164) | 4,164 | ||||||||
Share-based payment programs | 26 | (15) | 11 | 11 | ||||||
Ending balance, value at Jun. 30, 2023 | $ 61,614 | $ 1,139 | $ 17,545 | $ (2,914) | $ (1,680) | $ (39,621) | $ 2,729 | $ 38,812 | $ 1,479 | $ 40,291 |
Corporate information
Corporate information | 6 Months Ended |
Jun. 30, 2023 | |
Corporate Information | |
Corporate information | Corporate information Vale S.A. (the “Parent Company”) is a public company headquartered in the city of Rio de Janeiro, Brazil with securities traded on the share exchanges of São Paulo – B3 S.A. (VALE3), New York - NYSE (VALE) and Madrid – LATIBEX (XVALO). Vale S.A. and its subsidiaries (“Vale” or the “Company”) are global producers of: (i) iron ore and iron ore pellets, which are key raw materials for steelmaking, (ii) nickel, that is used to produce stainless steel, electric vehicles and metal alloys employed in the production process of several products, (iii) copper, used in the construction sector to produce pipes and electrical wires, and (iv) platinum, gold, silver, and cobalt as by-products of nickel and copper. To outflow its production, Vale also operates a railroad and port logistics system in Brazil. Most of the Company’s products are sold to international markets, through the Company's main trading company, Vale International SA (“VISA”), a wholly owned subsidiary located in Switzerland. In addition, Vale has investments in associates and joint operations which operate energy assets to reduce energy costs, minimize the risk of shortages and meet its energy consumption needs through renewable sources. The Company also used to produce and sell thermal and metallurgical coal until April 2022, when Vale concluded the sale of this operation (note 15f). The results from the coal operation by the closing of the disposal process are presented in these interim financial statements as “discontinued operations”. |
Basis of preparation of interim
Basis of preparation of interim financial statements | 6 Months Ended |
Jun. 30, 2023 | |
Basis Of Preparation Of Interim Financial Statements | |
Basis of preparation of interim financial statements | Basis of preparation of interim financial statements The condensed consolidated interim financial statements of the Company (“interim financial statements”) have been prepared and are being presented in accordance with IAS 34 - Interim Financial Reporting, as issued by the International Accounting Standards Board (“IASB”). All relevant information for the interim financial statements, and only this information, are presented and consistent to those used by the Company's Management. The interim financial statements have been prepared to update users on the relevant events and transactions that occurred in the period and must be analyzed together with the financial statements for the year ended December 31, 2022. Accounting policies, accounting estimates and judgments, risk management and measurement methods are the same as those adopted in the preparation of the latest annual financial statements. These interim financial statements were authorized for issue by the Board of Directors on July 27, 2023. a) New and amended standards In June 2023, the International Sustainability Standards Board (“ISSB”) issued IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and IFRS S2 Climate-related Disclosures, which provide requirements for disclosures on sustainability-related risks and opportunities and climate-related specific disclosures, respectively. The Company is currently assessing the potential impacts arising from these standards, which are both effective for annual reporting periods beginning on or after 1 January 2024. Certain other new accounting standards, amendments and interpretations have been published that are not mandatory for December 31, 2023 reporting periods or have not materially impacted these interim financial statements. The Company did not early adopt any of these standards and does not expect them to have a material impact in future reporting periods. b) Functional currency and presentation currency The interim financial information of the Parent Company and its associates and joint ventures are measured using the currency of the primary economic environment in which each entity operates (“functional currency”), in the case of the Parent Company it is the Brazilian real (“R$”). For presentation purposes, these interim financial statements are presented in United States dollars (“US$”) as the Company believes that this is how international investors analyze the financial statements. The main exchange rates used by the Company to translate its foreign operations are as follows: Schedule of exchange rates used to translate its foreign operations Average rate Closing rate Three-month period ended June 30, Six-month period ended June 30, June 30, 2023 December 31, 2022 2023 2022 2023 2022 US Dollar ("US$") 4.8192 5.2177 4.9485 4.9265 5.0744 5.0783 Canadian dollar ("CAD") 3.6421 3.8550 3.6860 3.8573 3.7654 3.9937 Euro ("EUR") 5.2626 5.5694 5.3867 5.2409 5.4831 5.5568 |
Significant events in the three
Significant events in the three-month period ended June 30, 2023 | 6 Months Ended |
Jun. 30, 2023 | |
Significant Events In Three-month Period Ended June 30 2023 | |
Significant events in the three-month period ended June 30, 2023 | Significant events in the three-month period ended June 30, 2023 Relevant events and transactions Notes Income Statement Cash Flow Reversal of deferred income tax related to the Renova Foundation 23(c) (1,078) - Notes offering 9(c) - 1,500 Bond tender offers 9(c) (22) (500) Reversal of deferred income tax related to the Renova Foundation - 50 Under the agreement, Vale and BHPB will no longer be allowed to make direct payments to the Renova Foundation, instead they will have to make capital contributions to Samarco, which will be responsible to fund Renova. Therefore, following the change in the procedure to provide these contributions, Vale will no longer deduct these cash outflows from its income tax computation, resulting in the reversal of the deferred tax asset in the amount of US$1,078, recorded in the income statement and presented as “Income taxes”. Further details are presented in note 23 of these interim financial statements. Notes offering - 1,500 6.125 Bond tender offers - 500 22 Strategic partnership on the Energy Transition Metals business – 13 3.4 87 Therefore, the Company will retain control over VBM and this agreement shall be accounted for as an equity transaction with any result being recognized in shareholder’s equity upon closing of the transaction, which is expected to take place in 2024, subject to precedent condition, including the approval of the relevant antitrust and regulatory authorities. |
Information by business segment
Information by business segment and geographic area | 6 Months Ended |
Jun. 30, 2023 | |
Information By Business Segment And Geographic Area | |
Information by business segment and geographic area | Information by business segment and geographic area Segment Main activities Iron Solutions Comprise of the production and extraction of iron ore, iron ore pellets, manganese, other ferrous products, and its logistic related services. Energy Transition Metals Includes the production and extraction of nickel and its by-products (gold, silver, cobalt, precious metals and others), and copper, as well as its by-products (gold and silver). Coal (discontinued operation) Comprise of the production and extraction of metallurgical and thermal coal and its logistic related services. Other Includes the revenues and cost of other products, services, research and development, investments in joint ventures and associates of other business and corporate expenses unallocated to the reportable segments, financial information related to Midwestern system and costs related to the Brumadinho event. The segments are aligned with products and reflect the structure used by Management to evaluate the Company’s performance. The responsible bodies for making operational decisions, allocating resources and evaluating performance are the Executive Boards and Board of Directors. Accordingly, the performance of the operating segments is assessed based on a measure of adjusted EBITDA, among other measures. a) Adjusted EBITDA The definition of Adjusted EBITDA for the Company is the operating income or loss plus dividends received and interest from associates and joint ventures, and excluding the amounts charged as (i) depreciation, depletion and amortization and (ii) impairment reversal (impairment) and results on disposal of non-current assets. Schedule of adjusted EBITDA Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Iron ore 3,087 3,975 5,725 8,909 Iron ore pellets 818 1,140 1,485 1,977 Other ferrous products and services 36 32 51 63 Iron solutions 3,941 5,147 7,261 10,949 Nickel 240 580 593 1,105 Copper 236 23 456 249 Energy Transition Metals 476 603 1,049 1,354 Other (543) (496) (860) (835) Adjusted EBITDA from continuing operations 3,874 5,254 7,450 11,468 Depreciation, depletion and amortization 4(c) (779) (810) (1,435) (1,496) Impairment reversal (impairment) and results on disposal of non-current assets, net and other (i) 15 and 17 (118) (82) (157) 990 Dividends received and interest from associates and joint ventures 14 (105) (71) (105) (71) Operating income 2,872 4,291 5,753 10,891 Equity results and other results in associates and joint ventures 14 5 (56) (50) 155 Financial results 6 (157) 821 (687) 579 Income taxes 7 (1,792) (911) (2,210) (3,002) Net income from continuing operations 928 4,145 2,806 8,623 (i) Includes adjustments of US$ 52 87 Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Adjusted EBITDA from discontinued operations - - - 171 Impairment and results on disposals of non-current assets, net - (429) - (589) Operating loss 15(f) - (429) - (418) Financial results - 3,072 - 3,065 Derecognition of noncontrolling interest - (585) - (585) Income taxes - - - (2) Net income from discontinued operations 15(f) - 2,058 - 2,060 b) Net operating revenue by shipment destination Net operating revenue by shipment destination Three-month period ended June 30, 2023 Iron Solutions Energy Transition Metals Iron ore Iron ore pellets Other ferrous products and services Nickel and other products Copper Other Total Americas, except United States and Brazil - 102 - 123 2 - 227 United States of America - 97 - 334 - - 431 Germany 47 - 1 123 123 - 294 Europe, except Germany 321 119 - 181 312 - 933 Middle East, Africa, and Oceania - 507 - 9 - - 516 Japan 623 54 - 147 - - 824 China 4,364 2 - 217 55 - 4,638 Asia, except Japan and China 519 67 3 227 - - 816 Brazil 361 465 124 18 - 26 994 Net operating revenue 6,235 1,413 128 1,379 492 26 9,673 Three-month period ended June 30, 2022 Iron Solutions Energy Transition Metals Iron ore Iron ore pellets Other ferrous products and services Nickel and other products Copper Other Total Americas, except United States and Brazil - 131 5 111 - 76 323 United States of America - 47 - 427 - - 474 Germany 92 - - 140 83 - 315 Europe, except Germany 517 89 - 289 216 - 1,111 Middle East, Africa, and Oceania - 656 - 6 - 26 688 Japan 718 94 - 199 3 - 1,014 China 4,868 33 1 200 - - 5,102 Asia, except Japan and China 523 151 3 158 26 47 908 Brazil 395 579 123 17 - 108 1,222 Net operating revenue 7,113 1,780 132 1,547 328 257 11,157 Six-month period ended June 30, 2023 Iron Solutions Energy Transition Metals Iron ore Iron ore pellets Other ferrous products and services Nickel and other products Copper Other Total Americas, except United States and Brazil 1 248 - 266 2 - 517 United States of America - 183 - 759 - - 942 Germany 138 33 1 297 253 - 722 Europe, except Germany 693 258 - 543 574 - 2,068 Middle East, Africa, and Oceania - 923 - 18 - - 941 Japan 1,102 106 - 305 - - 1,513 China 7,639 2 - 295 109 - 8,045 Asia, except Japan and China 922 108 5 367 44 - 1,446 Brazil 722 874 229 37 - 51 1,913 Net operating revenue 11,217 2,735 235 2,887 982 51 18,107 Six-month period ended June 30, 2022 Iron Solutions Energy Transition Metals Iron ore Iron ore pellets Other ferrous products and services Nickel and other products Copper Other Total Americas, except United States and Brazil - 261 5 277 - 125 668 United States of America - 74 - 713 - - 787 Germany 221 - - 311 291 - 823 Europe, except Germany 978 164 - 504 419 - 2,065 Middle East, Africa, and Oceania - 1,150 - 9 - 26 1,185 Japan 1,334 148 - 388 5 - 1,875 China 9,952 41 8 490 - - 10,491 Asia, except Japan and China 1,129 174 7 281 87 47 1,725 Brazil 754 1,132 227 32 - 205 2,350 Net operating revenue 14,368 3,144 247 3,005 802 403 21,969 c) Assets by segment Assets by segment June 30, 2023 December 31, 2022 Iron Solutions Energy Transition Metals Other Total Iron Solutions Energy Transition Metals Other Total Investments in associates and joint ventures 1,310 12 579 1,901 1,296 - 502 1,798 Intangibles 9,054 1,886 61 11,001 8,330 1,847 61 10,238 Property, plant and equipment 27,331 18,577 2,758 48,666 24,718 17,808 2,412 44,938 Assets by segment Three-month period ended June 30, 2023 2022 Iron Solutions Energy Transition Metals Other Total Iron Solutions Energy Transition Metals Other Total Depreciation, depletion and amortization 502 262 15 779 497 299 14 810 Capital expenditures Sustaining capital (i) 472 326 34 832 477 343 24 844 Project execution 255 95 26 376 199 90 160 449 Product inventory 727 421 60 1,208 676 433 184 1,293 Six-month period ended June 30, 2023 2022 Iron Solutions Energy Transition Metals Other Total Iron Solutions Energy Transition Metals Other Total Depreciation, depletion and amortization 905 503 27 1,435 913 555 28 1,496 Capital expenditures Sustaining capital (i) 984 589 63 1,636 976 613 54 1,643 Project execution 491 167 44 702 381 157 248 786 Product inventory 1,475 756 107 2,338 1,357 770 302 2,429 (i) According to the Company's shareholder remuneration policy, dividends are calculated based on 30% of the adjusted EBITDA less sustaining capital investments. d) Assets by geographic area Assets by geographic area June 30, 2023 December 31, 2022 Investments in associates and joint ventures Intangible Property, plant and equipment Total Investments in associates and joint ventures Intangible Property, plant and equipment Total Brazil 1,889 9,119 31,653 42,661 1,798 8,391 28,210 38,399 Canada - 1,880 11,526 13,406 - 1,845 11,178 13,023 Americas, except Brazil and Canada - - 4 4 - - 4 4 Europe - - 722 722 - - 747 747 Indonesia 12 1 2,759 2,772 - 1 2,731 2,732 Asia, except Indonesia and China - - 760 760 - - 786 786 China - 1 16 17 - 1 19 20 Oman - - 1,226 1,226 - - 1,263 1,263 Total 1,901 11,001 48,666 61,568 1,798 10,238 44,938 56,974 |
Costs and expenses by nature
Costs and expenses by nature | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Costs and expenses by nature | 5. Costs and expenses by nature a) Cost of goods sold, and services rendered Schedule of cost of goods sold and services rendered Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Materials and services 1,007 855 1,816 1,534 Freight 999 1,175 1,681 2,002 Maintenance 954 806 1,766 1,433 Depreciation, depletion and amortization 737 777 1,350 1,422 Acquisition of products 547 674 1,082 1,135 Personnel 466 457 923 838 Fuel oil and gas 425 353 810 637 Royalties 320 279 552 488 Energy 185 180 352 332 Others 300 394 557 751 Total 5,940 5,950 10,889 10,572 Cost of goods sold 5,805 5,800 10,632 10,289 Cost of services rendered 135 150 257 283 Total 5,940 5,950 10,889 10,572 b) Selling and administrative expenses Schedule of selling and administrative expenses Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Personnel 52 44 97 98 Services 30 30 58 52 Selling 21 24 39 43 Depreciation and amortization 14 12 25 23 Other 22 17 38 32 Total 139 127 257 248 c) Other operating expenses, net Schedule of other operating expenses, net Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Expenses related to Brumadinho event 22 271 280 382 403 Expenses related to de-characterization of dam 24(a) - - - 37 Asset retirement obligations 24(b) 13 40 13 40 Provision for litigations 26(a) 52 48 83 64 Profit sharing program 32 19 87 67 Other 20 58 42 100 Total 388 445 607 711 |
Financial results
Financial results | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Financial results | Financial results Schedule of financial result Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Financial income Short-term investments 82 121 170 250 Other 24 16 57 37 106 137 227 287 Financial expenses Loans and borrowings gross interest (185) (162) (365) (323) Capitalized loans and borrowing costs 5 17 10 31 Interest on REFIS (38) (39) (76) (71) Interest on lease liabilities 21 (15) (16) (30) (32) Bond premium repurchase (22) (113) (22) (113) Other (142) (59) (234) (159) (397) (372) (717) (667) Other financial items, net Participative shareholders' debentures 20 321 537 274 288 Financial guarantees 15(a) - 356 - 479 Derivative financial instruments, net 18(c) 563 (270) 755 591 Foreign exchange and indexation gains (losses), net (i) (750) 433 (1,226) (399) 134 1,056 (197) 959 Total (157) 821 (687) 579 (i) It mainly includes foreign exchange gains or losses from accounts receivable (note 10) and loans (note 21) and indexation adjustments from liabilities related to Brumadinho (note 22), associates and joint ventures (note 23), de-characterization of dams and asset retirement obligations (note 24) and legal proceedings (note 26a). Financial guarantees As of June 30, 2023, the total guarantees granted by the Company (within the limit of its direct or indirect interest) for certain associates and joint ventures totaled US$ 277 1,522 103 |
Income taxes
Income taxes | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Income taxes | Income taxes a) Income tax reconciliation Income tax expense is recognized based on the estimate of the weighted average effective tax rate expected for the full year, adjusted for the tax effect of certain items that are recognized in full on the interim tax calculation. Therefore, the effective tax rate in the interim financial statements may differ from management’s estimate of the effective tax rate for the year. The reconciliation of the taxes calculated according to the nominal tax rates and the amount of taxes recorded is shown below: Schedule of income tax reconciliation Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Income before income taxes 2,720 5,056 5,016 11,625 Income taxes at statutory rate (34%) (925) (1,719) (1,705) (3,953) Adjustments that affect the taxes basis: Tax incentives 497 565 902 1,059 Equity results 33 22 3 30 Addition (reduction) of tax loss carryforward (172) 211 (243) (444) Reversal of deferred income tax related to Renova Foundation 3 and 23(c) (1,078) - (1,078) - Other (147) 10 (89) 306 Income taxes (1,792) (911) (2,210) (3,002) Current tax (404) (1,181) (622) (1,434) Deferred tax (1,388) 270 (1,588) (1,568) Income taxes (1,792) (911) (2,210) (3,002) b) Deferred income tax assets and liabilities Schedule of changes is deferred tax Assets Liabilities Deferred taxes, net Balance at December 31, 2022 10,770 1,413 9,357 Effect in income statement (1,620) (32) (1,588) Translation adjustment 784 32 752 Other comprehensive income (30) (2) (28) Balance at June 30, 2023 9,904 1,411 8,493 Balance at December 31, 2021 11,441 1,881 9,560 Effect in income statement (1,524) 44 (1,568) Translation adjustment 651 (1) 652 Other comprehensive income (25) 47 (72) Transfers between assets and liabilities (183) (183) - Other - (29) 29 Balance at June 30, 2022 10,360 1,759 8,601 c) Income taxes - Settlement program (“REFIS”) Schedule of income taxes settlement June 30, 2023 December 31, 2022 Current liabilities 416 371 Non-current liabilities 1,886 1,869 REFIS liabilities 2,302 2,240 SELIC rate 13.75 13.75 The balance is mainly related to the settlement program of claims regarding the collection of income tax and social contribution on equity gains of foreign subsidiaries and affiliates from 2003 to 2012. As of June 30, 2023, this amount bears SELIC interest rate (Special System for Settlement and Custody) and will be paid in monthly installments until October 2028. The impact of the SELIC over the liability is recorded under the Company’s financial results. d) Uncertain tax positions (“UTP”) There have not been any relevant developments on matters related to UTP since the financial statements for the year ended December 31, 2022. e) Recoverable and payable taxes Schedule of recoverable and payable taxes June 30, 2023 December 31, 2022 Current assets Non-current assets Current liabilities Current assets Non-current assets Current liabilities Value-added tax ("ICMS") 279 1 24 261 1 46 Brazilian federal contributions ("PIS" and "COFINS") 917 855 69 690 740 35 Income taxes 296 373 604 309 369 221 Financial compensation for the exploration of mineral resources ("CFEM") - - 66 - - 54 Other 10 - 119 12 - 114 Total 1,502 1,229 882 1,272 1,110 470 |
Basic and diluted earnings per
Basic and diluted earnings per share | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Basic and diluted earnings per share | Basic and diluted earnings per share The basic and diluted earnings per share are presented below: Schedule of basic and diluted earnings (loss) per share Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Net income attributable to Vale's shareholders Net income from continuing operations 892 4,093 2,729 8,549 Net income from discontinued operations - 2,058 - 2,060 Net income 892 6,151 2,729 10,609 Thousands of shares Weighted average number of common shares outstanding 4,396,778 4,668,739 4,424,788 4,737,806 Weighted average number of common shares outstanding and potential ordinary shares 4,400,609 4,673,377 4,428,619 4,742,444 Basic and diluted earnings per share from continuing operations Common share (US$) 0.20 0.88 0.62 1.80 Basic and diluted earnings per share from discontinued operations Common share (US$) - 0.44 - 0.43 Basic and diluted earnings per share Common share (US$) 0.20 1.32 0.62 2.24 |
Cash flows reconciliation
Cash flows reconciliation | 6 Months Ended |
Jun. 30, 2023 | |
Cash Flows Reconciliation | |
Cash flows reconciliation | Cash flows reconciliation a) Cash flow from operating activities: Cash flow from operating activities Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Cash flow from operating activities: Income before income taxes 2,720 5,056 5,016 11,625 Adjusted for: Equity results and other results in associates and joint ventures 14 and 23 (5) 56 50 (155) Impairment (impairment reversal) and results on disposal of non-current assets, net 15 and 17 66 82 70 (990) Provisions related to Brumadinho 22 140 126 140 126 Provision for de-characterization of dams 24 - - - 37 Depreciation, depletion and amortization 779 810 1,435 1,496 Financial results, net 6 157 (821) 687 (579) Changes in assets and liabilities: Accounts receivable 10 (247) 902 1,439 1,779 Inventories 11 (157) (305) (520) (609) Suppliers and contractors 12 570 432 465 (240) Other assets and liabilities, net (764) (600) (1,243) (1,221) Cash flow from operations 3,259 5,738 7,539 11,269 b) Cash flow from investing activities Cash flow from investing activities Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Cash received from the sale of California Steel Industries 15(d) - - - 437 Cash received from the sale of Companhia Siderúrgica do Pecém - - 1,082 - Cash contribution to Companhia Siderúrgica do Pecém 15(a) - - (1,149) - Proceeds (payments) from disposal of investments, net - - (67) 437 c) Reconciliation of debt to cash flows arising from financing activities Reconciliation of debt to cash flows Quoted in the secondary market Debt contracts in Brazil Debt contracts on the international market Total December 31, 2022 6,497 280 4,404 11,181 Additions 1,500 - 300 1,800 Payments (517) (38) (65) (620) Interest paid (i) (237) (16) (116) (369) Cash flow from financing activities 746 (54) 119 811 Effect of exchange rate 7 34 3 44 Interest accretion 234 16 131 381 Non-cash changes 241 50 134 425 June 30, 2023 7,484 276 4,657 12,417 Quoted in the secondary market Debt contracts in Brazil Debt contracts on the international market Total December 31, 2021 7,974 380 3,826 12,180 Additions - - 625 625 Payments (1,317) (174) (337) (1,828) Interest paid (i) (388) (37) (31) (456) Cash flow from financing activities (1,705) (211) 257 (1,659) Effect of exchange rate 71 77 (76) 72 Interest accretion 318 89 31 438 Non-cash changes 389 166 (45) 510 June 30, 2022 6,658 335 4,038 11,031 (i) Classified as operating activities in the statement of cash flows. Additions - 300 In June 2023, Vale issued notes of US$ 1,500 6.125 99.117 6.245 In January 2022, the Company contracted two loans of US$ 425 In May 2022, the Company contracted a loan of US$ 200 Payments - 24 In June 2023, Vale redeemed notes with maturity date in 2026, 2036 and 2039, in the total amount of US$ 500 22 In January 2022, the Company prepaid US$ 200 In June 2022, the Company repurchased US$ 1,291 113 d) Non-cash transactions Non-cash transactions Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Non-cash transactions: Additions to property, plant and equipment - capitalized loans and borrowing costs 5 17 10 31 |
Accounts receivable
Accounts receivable | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Accounts receivable | Accounts receivable Schedule of accounts receivable Notes June 30, 2023 December 31, 2022 Receivables from contracts with customers Related parties 29 118 211 Third parties Iron Solutions 2,146 3,132 Energy Transition Metals 731 984 Other 16 35 Accounts receivable 3,011 4,362 Expected credit loss (44) (43) Accounts receivable, net 2,967 4,319 No customer individually represented 10% or more of the Company’s accounts receivable or revenues in the periods presented above. Provisionally priced commodities sales – The sensitivity of the Company’s risk on final settlement of provisionally priced accounts receivables is presented below: Schedule of sensitivity of the company’s risk on final settlement June 30, 2023 Thousand metric tons Provisional price (US$/ton) Variation Effect on Revenue (US$ million) Iron ore 22,564 102 +/- 10 +/- 230 Copper 77 7,811 +/- 10 +/- 60 |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Inventories | Inventories Schedule of inventories June 30, 2023 December 31, 2022 Finished products Iron Solutions 2,638 2,126 Energy Transition Metals 638 651 3,276 2,777 Work in progress 901 800 Consumable inventory 1,157 1,010 Allowance to net realizable value (i) (141) (105) Total of inventories 5,193 4,482 (i) In the six-month period ended June 30, 2023, the effect of allowance to net realizable value was US$47 (2022: US$22). |
Suppliers and contractors
Suppliers and contractors | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Suppliers and contractors | Suppliers and contractors Schedule of amount due to suppliers and contractors Notes June 30, 2023 December 31, 2022 Third parties – Brazil 3,318 2,691 Third parties – Abroad 1,753 1,599 Related parties 29 169 171 Total 5,240 4,461 The Company has transactions with certain suppliers, which allows them to anticipate their receivables and the Company to extend its payment term within the short term, that is, during its operational cycle. The outstanding balance related to those transactions was US$ 1,531 743 314 202 |
Other financial assets and liab
Other financial assets and liabilities | 6 Months Ended |
Jun. 30, 2023 | |
Other Financial Assets And Liabilities | |
Other financial assets and liabilities | Other financial assets and liabilities Schedule of other financial assets and liabilities Current Non-Current Notes June 30, 2023 December 31, 2022 June 30, 2023 December 31, 2022 Other financial assets Restricted cash - - 108 77 Derivative financial instruments 18 522 342 559 196 Investments in equity securities (i) - - 31 7 522 342 698 280 Other financial liabilities Derivative financial instruments 18 47 90 98 186 Other financial liabilities - Related parties 29(b) 187 400 - - Financial guarantees provided (ii) 15(a) - - - 103 Liabilities related to the concession grant 13(a) 611 416 2,673 2,554 Contract liability and other financial liabilities (iii) 754 766 - - 1,599 1,672 2,771 2,843 (i) It mainly relates to a 2.66% noncontrolling interest in Boston Electrometallurgical Company, which aims to promote the development of a technology focused on reducing carbon dioxide emissions in steel production. (ii) In March 2023, the Company completed the sale of its interest in CSP and derecognized the financial guarantee granted by the Company. (iii) Includes advances received from customers that meets the definition of contract liability described in IFRS 15 – Revenue from Contracts with Customers and other financial liabilities that meets the definition of a financial liability described in IAS 32 - Financial Instruments: Presentation. a) Liabilities related to the concession grant Schedule of liabilities related to the concession grant December 31, 2022 Addition Present value adjustment Disbursements June 30, 2023 Payment obligation 954 5 131 (27) 1,063 Infrastructure investment 2,016 77 215 (87) 2,221 2,970 82 346 (114) 3,284 Current liabilities 416 611 Non-current liabilities 2,554 2,673 Liabilities 2,970 3,284 Discount rate in nominal terms - Payment obligation 11.04 11.04 Discount rate in nominal terms - Infrastructure investment 6.08 6.23 5.10 5.57 |
Investments in subsidiaries, as
Investments in subsidiaries, associates, and joint ventures | 6 Months Ended |
Jun. 30, 2023 | |
Investments In Subsidiaries Associates And Joint Ventures | |
Investments in subsidiaries, associates, and joint ventures | Investments in subsidiaries, associates, and joint ventures Schedule of investments in associates and joint ventures, equity results and dividends received Investments in associates and joint ventures Equity results Dividends received Three-month period ended June 30, Six-month period ended June 30, Three-month period ended June 30, Six-month period ended June 30, Associates and joint ventures Notes % ownership % voting capital June 30, 2023 December 31, 2022 2023 2022 2023 2022 2023 2022 2023 2022 Iron Solutions Baovale Mineração S.A. 50.00 50.00 28 24 - - 1 1 - - - - Companhia Coreano-Brasileira de Pelotização 50.00 50.00 69 80 5 10 9 22 14 10 14 10 Companhia Hispano-Brasileira de Pelotização 50.89 50.00 42 48 1 - 4 - 19 1 19 1 Companhia Ítalo-Brasileira de Pelotização 50.90 50.00 58 62 3 12 7 13 23 19 23 19 Companhia Nipo-Brasileira de Pelotização 51.00 50.00 147 145 8 12 15 22 33 41 33 41 MRS Logística S.A. 48.16 47.09 599 509 41 20 47 30 - - - - Samarco Mineração S.A. 23 50.00 50.00 - - - - - - - - - - VLI S.A. 29.60 29.60 366 428 31 (2) (90) (20) - - - - 1,309 1,296 89 52 (7) 68 89 71 89 71 Energy Transition Metals Korea Nickel Corp. (i) - - - - - 1 - 3 - - - - PT Kolaka Nickel Indonesia 20.00 20.00 12 - - - - - - - - - 12 - - 1 - 3 - - - - Others Aliança Geração de Energia S.A. 55.00 55.00 408 340 9 8 18 16 16 - 16 - Aliança Norte Energia Participações S.A. 51.00 51.00 112 106 (2) (1) (3) (3) - - - - California Steel Industries, Inc. 15(e) - - - - - - - - - - - 65 Other 60 56 2 1 2 3 - - - - 580 502 9 8 17 16 16 - 16 65 Equity results in associates and joint ventures 1,901 1,798 98 61 10 87 105 71 105 136 Other results in associates and joint ventures 15 - - (93) (117) (60) 68 - - - - Equity results and other results in associates and joint ventures 1,901 1,798 5 (56) (50) 155 105 71 105 136 (I) In September 2022, Vale completed the sale of its 25% stake in Korea Nickel Corp to Posco. for US$16. a) Changes in the period Schedule of changes in investments in associates and joint ventures 2023 2022 Balance at January 1, 1,798 1,751 Additions and capitalizations 1 - Equity results and other results in associates and joint ventures 10 87 Dividends declared (60) (48) Translation adjustment 142 111 Other 10 (110) Balance at June 30, 1,901 1,791 |
Acquisitions and divestitures
Acquisitions and divestitures | 6 Months Ended |
Jun. 30, 2023 | |
Acquisitions And Divestitures | |
Acquisitions and divestitures | Acquisitions and divestitures Schedule of acquisitions and divestitures Three-month period ended June 30, 2023 Six-month period ended June 30, 2023 Reference Impairment reversal (impairment) of non-current assets Equity results and other results in associates and joint ventures Impairment reversal (impairment) of non-current assets Equity results and other results in associates and joint ventures Companhia Siderúrgica do Pecém 15(a) - - - 37 Mineração Rio do Norte 15(c) - (93) - (93) - (93) - (56) Three-month period ended June 30, 2022 Six-month period ended June 30, 2022 Reference Impairment reversal (impairment) of non-current assets Equity results and other results in associates and joint ventures Impairment reversal (impairment) of non-current assets Equity results and other results in associates and joint ventures Midwestern System 15(d) (30) - 1,104 - California Steel Industries 15(e) - (5) - 292 Companhia Siderúrgica do Pecém 15(a) - (24) - (135) (30) (29) 1,104 157 Discontinued operations (Coal) 15(f) (429) (589) (459) (29) 515 157 a) Sale of Companhia Siderúrgica do Pecém (“CSP”) – 111 24 In March 2023, the Company completed the sale of its interest in CSP to ArcelorMittal, for US$ 2,194 11,147 2,296 11,665 67 b) Vale Oman Pelletizing Company LLC (“VOPC”) – c) Mineração Rio do Norte S.A. (“MRN”) – d) Midwestern System – The carrying amount of those assets were fully impaired in past years and the Company had a liability related to take-or-pay logistics contracts in the amount of US$ 902 892 These offers received during the sale process of the assets represented an objective evidence of impairment reversal and required the remeasurement of the existing provision, which led to a gain of US$ 1,104 202 902 e) California Steel Industries (“CSI”) - 50 437 292 142 150 f ) Discontinued operations (Coal) - In December 2021, the Company entered into a binding agreement with Vulcan Resources for the sale of coal assets. According to the sale agreement, Vulcan has committed to pay the gross amount of US$ 270 10 Therefore, the Company adjusted the net assets of the coal business to the fair value less cost of disposal, which resulted in an impairment loss of US$ 2,511 In April 2022, the transaction was completed and the Company recorded a net income from discontinued operations of US$ 2,060 3,072 589 Net income and cash flows from discontinued operations Schedule of net income and cash flows from discontinued operations Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Net income from discontinued operations Net operating revenue - - - 448 Cost of goods sold and services rendered - - - (264) Operating expenses - - - (13) Impairment and results on disposals of non-current assets, net - (429) - (589) Operating loss - (429) - (418) Cumulative translation adjustments 3,072 3,072 Derecognition of noncontrolling interest (585) (585) Financial results, net - - - (7) Net income before income taxes - 2,058 - 2,062 Income taxes - - - (2) Net income from discontinued operations - 2,058 - 2,060 Net income attributable to Vale's shareholders - 2,058 - 2,060 Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Cash flow from discontinued operations Operating activities Net income before income taxes - 2,058 - 2,062 Adjustments: Impairment and results on disposals of non-current assets, net - 429 - 589 Derecognition of noncontrolling interest - 585 - 585 Financial results, net - (3,072) - (3,065) Decrease in assets and liabilities - - - (130) Net cash generated by operating activities - - - 41 Investing activities Additions to property, plant and equipment - - - (38) Disposal of coal, net of cash - (65) - (65) Net cash used in investing activities - (65) - (103) Financing activities Payments - - - (11) Net cash used by financing activities - - - (11) Net cash used by discontinued operations - (65) - (73) |
Intangibles
Intangibles | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Intangibles | Intangibles Schedule of movements in intangibles Goodwill Concessions Software Research and development project Total Balance at December 31, 2022 3,189 6,434 87 528 10,238 Additions - 167 13 3 183 Disposals - (7) - - (7) Amortization - (123) (21) - (144) Translation adjustment 151 530 6 44 731 Balance at June 30, 2023 3,340 7,001 85 575 11,001 Cost 3,340 8,601 600 575 13,116 Accumulated amortization - (1,600) (515) - (2,115) Balance at June 30, 2023 3,340 7,001 85 575 11,001 Balance at December 31, 2021 3,208 5,223 86 494 9,011 Additions - 132 17 - 149 Disposals - (9) - - (9) Amortization - (120) (22) - (142) Translation adjustment 63 341 2 33 439 Balance at June 30, 2022 3,271 5,567 83 527 9,448 Cost 3,271 6,846 550 527 11,194 Accumulated amortization - (1,279) (467) - (1,746) Balance at June 30, 2022 3,271 5,567 83 527 9,448 |
Property, plant, and equipment
Property, plant, and equipment | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Property, plant, and equipment | Property, plant, and equipment Schedule of movements in property, plant and equipment Consolidated Notes Building and land Facilities Equipment Mineral properties Railway equipment Right of use assets Other Constructions in progress Total Balance at December 31, 2022 8,913 8,042 4,984 7,112 2,475 1,455 2,632 9,325 44,938 Additions (i) - - - - - 19 - 2,430 2,449 Disposals (8) (8) (5) - (5) - (1) (53) (80) Assets retirement obligation 24(b) - - - 99 - - - - 99 Depreciation, depletion and amortization (224) (250) (364) (241) (81) (91) (163) - (1,414) Translation adjustment 607 608 229 302 198 31 153 546 2,674 Transfers 772 586 371 46 47 - 166 (1,988) - Balance at June 30, 2023 10,060 8,978 5,215 7,318 2,634 1,414 2,787 10,260 48,666 Cost 17,700 14,330 12,418 16,285 4,455 2,196 5,903 10,260 83,547 Accumulated depreciation (7,640) (5,352) (7,203) (8,967) (1,821) (782) (3,116) - (34,881) Balance at June 30, 2023 10,060 8,978 5,215 7,318 2,634 1,414 2,787 10,260 48,666 Balance at December 31, 2021 8,137 7,232 4,743 7,742 2,334 1,537 2,484 7,722 41,931 Additions (i) - - - - - 29 - 2,343 2,372 Disposals (14) (8) (4) - (5) - (1) (45) (77) Assets retirement obligation 24(b) - - - (1,077) - - - - (1,077) Depreciation, depletion and amortization (205) (245) (351) (236) (82) (94) (147) - (1,360) Impairment reversal 56 34 64 39 - - 21 - 214 Transfer to asset held for sale - Midwestern System (56) (34) (64) (39) - - (21) - (214) Translation adjustment 348 370 128 75 151 26 78 201 1,377 Transfers 240 297 303 347 73 - 207 (1,467) - Balance at June 30, 2022 8,506 7,646 4,819 6,851 2,471 1,498 2,621 8,754 43,166 Cost 15,612 12,369 11,291 16,317 4,021 2,062 5,802 8,754 76,228 Accumulated depreciation (7,106) (4,723) (6,472) (9,466) (1,550) (564) (3,181) - (33,062) Balance at June 30, 2022 8,506 7,646 4,819 6,851 2,471 1,498 2,621 8,754 43,166 (i) Includes capitalized interest. Right-of-use assets (leases) Schedule of right of use assets (lease) December 31, 2022 Additions and contract modifications Depreciation Translation adjustment June 30, 2023 Ports 657 - (27) 6 636 Vessels 453 5 (21) - 437 Pelletizing plants 204 12 (25) 17 208 Properties 87 - (13) 7 81 Energy plants 39 - (3) 1 37 Mining equipment 15 2 (2) - 15 Total 1,455 19 (91) 31 1,414 Lease liabilities are presented in note 21. |
Financial and capital risk mana
Financial and capital risk management | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Financial and capital risk management | Financial and capital risk management a) Effects of derivatives on the statement of financial position Schedule of derivatives effects on statement of financial position June 30, 2023 December 31, 2022 Assets Liabilities Assets Liabilities Foreign exchange and interest rate risk CDI & TJLP vs. US$ fixed and floating rate swap 90 30 11 144 IPCA swap - 41 - 63 Dollar swap and forward transactions 868 - 407 7 LIBOR swap 8 - 7 - 966 71 425 214 Commodities price risk Gasoil, Brent and freight 70 71 78 56 Energy Transition Metals 45 - 35 1 115 71 113 57 Other - 3 - 5 Total 1,081 145 538 276 b) Net exposure June 30, 2023 December 31, 2022 Foreign exchange and interest rate risk CDI & TJLP vs. US$ fixed and floating rate swap 60 (133) IPCA swap (41) (63) Dollar swap and forward transactions 868 400 LIBOR swap (i) 8 7 895 211 Commodities price risk Gasoil, Brent and freight (1) 22 Energy Transition Metals 45 34 44 56 Other (3) (5) Total 936 262 (i) In March 2021, the UK Financial Conduct Authority (“FCA”), the financial regulator in the United Kingdom, announced the discontinuation of the LIBOR rate for all terms in pounds, euros, Swiss francs, yen and for terms of one week and two months in dollars at the end of December 2021 and the other terms at the end of June 2023. Vale has finalized the negotiations for the replacement of the reference interest rate of its financial contracts from LIBOR to Secured Overnight Financing Rate ("SOFR"), with spread adjustments to match the transaction costs. The Company does not expect material impacts on the cash flows of these operations. c) Effects of derivatives on the income statement Schedule of effects of derivatives on the income statement Gain (loss) recognized in the income statement Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Foreign exchange and interest rate risk CDI & TJLP vs. US$ fixed and floating rate swap 144 (121) 188 269 IPCA swap 23 (11) 30 66 Dollar swap and forward operations 376 (163) 538 198 LIBOR swap 2 7 5 42 Forwards 13 - 13 - 558 (288) 774 575 Commodities price risk Gasoil, Brent and freight 4 10 (20) 25 Energy Transition Metals - 16 (1) 9 4 26 (21) 34 Other 1 (8) 2 (18) Total 563 (270) 755 591 d) Effects of derivatives on the cash flows Financial settlement inflows (outflows) Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Foreign exchange and interest rate risk CDI & TJLP vs. US$ fixed and floating rate swap (4) (17) (8) (43) IPCA swap 2 8 3 11 Dollar swap and forward operations 98 54 118 84 LIBOR swap 4 - 4 (1) Forwards 13 - 13 - 113 45 130 51 Commodities price risk Gasoil, Brent and freight 1 6 3 9 Energy Transition Metals 20 (93) 39 (178) 21 (87) 42 (169) Total 134 (42) 172 (118) e) Market risk - Foreign exchange and interest rates Protection programs for the R$ denominated debt instruments and other liabilities Schedule of protection program Notional Fair value Financial Settlement Inflows (Outflows) Value at Risk Fair value by year Flow June 30, 2023 December 31, 2022 Index Average rate June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 2023 2024 2025+ CDI vs. US$ fixed rate swap 88 (83) (7) 23 8 16 64 Receivable R$ 5,696 R$ 6,356 CDI 100.13 Payable US$ 1,320 US$ 1,475 Fix 1.77 TJLP vs. US$ fixed rate swap (28) (50) (1) 3 (1) (3) (24) Receivable R$ 743 R$ 814 TJLP + 1.05 Payable US$ 186 US$ 204 Fix 3.45 60 (133) (8) 26 7 13 40 IPCA swap vs. US$ fixed rate swap (41) (63) 3 5 - (6) (35) Receivable R$ 1,186 R$ 1,294 IPCA + 4.54 Payable US$ 293 US$ 320 Fix 3.88 (41) (63) 3 5 - (6) (35) R$ fixed rate vs. US$ fixed rate swap 791 318 43 64 265 291 235 Receivable R$ 19,307 R$ 20,854 Fix 7.61 Payable US$ 3,665 US$ 3,948 Fix 0.00 Forward R$ 2,186 R$ 4,342 B 5.24 77 82 75 6 33 34 10 868 400 118 70 298 325 245 The sensitivity analysis of these derivative financial instruments is presented as follows: Schedule of sensitivity analysis of these derivative financial instruments Instrument Instrument's main risk events Fair value Scenario I (∆ of 25%) Scenario II (∆ of 50%) CDI vs. US$ fixed rate swap R$ depreciation 88 (229) (546) US$ interest rate inside Brazil decrease 88 46 - Brazilian interest rate increase 88 56 24 Protected item: R$ denominated liabilities R$ depreciation n.a. - - TJLP vs. US$ fixed rate swap R$ depreciation (28) (72) (116) US$ interest rate inside Brazil decrease (28) (33) (40) Brazilian interest rate increase (28) (36) (43) TJLP interest rate decrease (28) (34) (40) Protected item: R$ denominated debt R$ depreciation n.a. - - IPCA swap vs. US$ fixed rate swap R$ depreciation (41) (112) (183) US$ interest rate inside Brazil decrease (41) (50) (60) Brazilian interest rate increase (41) (54) (67) IPCA index decrease (41) (47) (53) Protected item: R$ denominated debt R$ depreciation n.a. - - R$ fixed rate vs. US$ fixed rate swap R$ depreciation 791 (57) (906) US$ interest rate inside Brazil decrease 791 728 663 Brazilian interest rate increase 791 666 548 Protected item: R$ denominated debt R$ depreciation n.a. - - Forward R$ depreciation 77 (8) (93) US$ interest rate inside Brazil decrease 77 73 68 Brazilian interest rate increase 77 68 60 Protected item: R$ denominated liabilities R$ depreciation n.a. - - Protection program for LIBOR floating interest rate US$ denominated debt Schedule of protection program Notional Fair value Financial Settlement Inflows (Outflows) Value at Risk Fair value by year Flow June 30, 2023 December 31, 2022 Index Average rate June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 2023 2024 LIBOR vs. US$ fixed rate swap 8 7 4 - 4 4 Receivable US$ 150 US$ 150 LIBOR 0.85 Payable US$ 150 US$ 150 Fix 0.85 8 7 4 - 4 4 The sensitivity analysis of these derivative financial instruments is presented as follows: Schedule of sensitivity analysis of these derivative financial instruments Instrument Instrument's main risk events Fair value Scenario I (∆ of 25%) Scenario II (∆ of 50%) LIBOR vs. US$ fixed rate swap US$ LIBOR decrease 8 7 6 Protected item: LIBOR US$ indexed debt US$ LIBOR decrease n.a. (7) (6) Protection for American treasury volatility related to tender offer transaction To reduce the volatility of the premium paid to investors on the tender offer transaction issued in June 2023, treasury lock transactions were implemented and have already been settled as of June 30, 2023. Schedule of protection for american treasury volatility Notional Fair value Financial Settlement Inflows (Outflows) Value at Risk Fair value by year Flow June 30, 2023 December 31, 2022 Index Average rate June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 2023 Forwards - - B - - - 13 - - f) Protection program for product prices and input costs Schedule of protection program Notional Fair value Financial settlement Inflows (Outflows) Value at Risk Fair value by year Flow June 30, 2023 December 31, 2022 Bought / Sold Average strike (US$) June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 2023 2024 Brent crude oil (bbl) Call options 31,139,250 22,600,500 B 95 68 74 - 15 6 62 Put options 31,139,250 22,600,500 S 62 (71) (51) - 16 (23) (48) Forward Freight Agreement (days) Freight forwards 960 2,085 B 13,791 2 (1) 3 1 2 - (1) 22 3 32 (15) 14 The sensitivity analysis of these derivative financial instruments is presented as follows: Schedule of sensitivity analysis of these derivative financial instruments Instrument Instrument's main risk events Fair value Scenario I (∆ of 25%) Scenario II (∆ of 50%) Brent crude oil (bbl) Options Price input decrease (3) (288) (759) Protected item: Part of costs linked to fuel oil prices Price input decrease n.a. 288 759 Forward Freight Agreement (days) Forwards Freight price decrease 2 (2) (5) Protected item: Part of costs linked to maritime freight prices Freight price decrease n.a. 2 5 g) Other derivatives, including embedded derivatives in contracts Schedule of other derivatives Notional Fair value Financial settlement Inflows (Outflows) Value at Risk Fair value by year Flow June 30, 2023 December 31, 2022 Bought / Sold Average strike (US$/ton) June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 2023+ Fixed price nickel sales protection (ton) Nickel forwards 2,580 766 B 20,842 - 7 3 3 - Hedge program for products acquisition for resale (ton) Nickel forwards - 384 S - - (1) 2 - - - 6 5 3 - Embedded derivative (pellet price) in natural gas purchase (volume/month) Call options 746,667 746,667 S 233 (3) (5) - 2 (3) (3) (5) - 2 (3) The sensitivity analysis of these derivative financial instruments is presented as follows: Schedule of sensitivity analysis of these derivative financial instruments Instrument Instrument's main risk events Fair value Scenario I (∆ of 25%) Scenario II (∆ of 50%) Fixed price sales protection (ton) Forwards Nickel price decrease - (14) (27) Protected item: Part of nickel revenues with fixed prices Nickel price decrease - 14 27 Hedge program for products acquisition for resale (ton) Forwards Nickel price increase - - - Protected item: Part of revenues from products for resale Nickel price increase - - - Embedded derivative (pellet price) in natural gas purchase agreement (volume/month) Embedded derivatives - Gas purchase Pellet price increase (3) (8) (16) h) Hedge accounting Schedule of effects of derivatives on other comprehensive income Gain (loss) recognized in the other comprehensive income Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Net investments hedge 96 (145) 145 74 Cash flow hedge (5) 312 14 8 Cash flow hedge Schedule of cash flow hedge Notional (ton) Fair value Financial settlement Inflows (Outflows) Value at Risk Fair value by year Flow June 30, 2023 December 31, 2022 Bought / Sold Average strike (US$/ton) June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 2023 Nickel revenue hedge program Forward (3,150) 6,300 S 34,929 45 28 34 4 45 45 28 34 4 45 The sensitivity analysis of these derivative financial instruments is presented as follows: Schedule of derivative financial instruments Instrument Instrument's main risk events Fair value Scenario I (∆ of 25%) Scenario II (∆ of 50%) Nickel Revenue Hedging Program Forward Nickel price increase 45 29 13 Protected item: Part of nickel revenues with fixed sales prices Nickel price increase n.a. (29) (13) i) Financial counterparties’ ratings The transactions of derivative instruments, cash and cash equivalents as well as short-term investments are held with financial institutions whose exposure limits are periodically reviewed and approved by the delegated authority. The financial institutions credit risk is performed through a methodology that considers, among other information, ratings provided by international rating agencies. The table below presents the ratings in foreign currency as published by Moody’s regarding the main financial institutions used by the Company to contract derivative instruments, cash and cash equivalents transaction. Schedule of ratings published by Moody's regarding the main financial institutions June 30, 2023 December 31, 2022 Cash and cash equivalents and investment Derivatives Cash and cash equivalents and investment Derivatives Aa1 36 - 32 - Aa2 726 - 342 5 Aa3 190 - 239 - A1 1,602 139 1,746 97 A2 736 296 938 145 A3 713 52 918 62 Baa1 - - - - Baa2 51 - 7 - Ba2 (i) 798 426 411 174 Ba3 (i) 177 168 164 54 5,029 1,081 4,797 538 (i) A substantial part of the balances is held with financial institutions in Brazil and, in local currency, they are deemed investment grade . |
Financial assets and liabilitie
Financial assets and liabilities | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Financial assets and liabilities | Financial assets and liabilities The Company classifies its financial instruments in accordance with the purpose for which they were acquired, and determines the classification and initial recognition according to the following categories: Schedule of financial instruments classification based on its recognition June 30, 2023 December 31, 2022 Financial assets Notes Amortized cost At fair value through OCI At fair value through profit or loss Total Amortized cost At fair value through OCI At fair value through profit or loss Total Current Cash and cash equivalents 21 4,983 - - 4,983 4,736 - - 4,736 Short-term investments 21 - - 46 46 - - 61 61 Derivative financial instruments 18 - - 522 522 - - 342 342 Accounts receivable 10 424 2,543 2,967 538 - 3,781 4,319 5,407 - 3,111 8,518 5,274 - 4,184 9,458 Non-current Judicial deposits 26(c) 1,326 - - 1,326 1,215 - - 1,215 Restricted cash 108 - - 108 77 - - 77 Derivative financial instruments 18 - - 559 559 - - 196 196 Investments in equity securities 13 - 31 - 31 - 7 - 7 1,434 31 559 2,024 1,292 7 196 1,495 Total of financial assets 6,841 31 3,670 10,542 6,566 7 4,380 10,953 Financial liabilities Current Suppliers and contractors 12 5,240 - - 5,240 4,461 - - 4,461 Derivative financial instruments 18 - - 47 47 - - 90 90 Loans, borrowings and leases 21 912 - - 912 489 - - 489 Liabilities related to the concession grant 13(a) 611 - - 611 416 - - 416 Other financial liabilities - Related parties 29 187 - - 187 400 - - 400 Contract liability and other financial liabilities 754 - - 754 766 - - 766 7,704 - 47 7,751 6,532 - 90 6,622 Non-current Derivative financial instruments 18 - - 98 98 - - 186 186 Loans, borrowings and leases 21 13,025 - - 13,025 12,223 - - 12,223 Participative shareholders' debentures 20 - - 2,528 2,528 - - 2,725 2,725 Liabilities related to the concession grant 13(a) 2,673 - - 2,673 2,554 - - 2,554 Financial guarantees - - - - - - 103 103 15,698 - 2,626 18,324 14,777 - 3,014 17,791 Total of financial liabilities 23,402 - 2,673 26,075 21,309 - 3,104 24,413 a) Hierarchy of fair value Schedule of assets and liabilities measured and recognized at fair value June 30, 2023 December 31, 2022 Notes Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Financial assets Short-term investments 21 46 - - 46 61 - - 61 Derivative financial instruments 18 - 1,081 - 1,081 - 538 - 538 Accounts receivable 10 - 2,543 - 2,543 - 3,781 - 3,781 Investments in equity securities 13 - 31 - 31 - 7 - 7 46 3,655 - 3,701 61 4,326 - 4,387 Financial liabilities Derivative financial instruments 18 - 145 - 145 - 276 - 276 Participative shareholders' debentures 20 - 2,528 - 2,528 - 2,725 - 2,725 Financial guarantees - - - - - 103 - 103 - 2,673 - 2,673 - 3,104 - 3,104 There were no transfers between levels 1, 2 and 3 of the fair value hierarchy during the period presented. b) Fair value of loans and borrowings Schedule of fair value and carrying amounts of loans and financing June 30, 2023 December 31, 2022 Carrying amount Fair value Carrying amount Fair value Quoted in the secondary market: Bonds 7,157 7,175 6,157 6,253 Debentures 227 223 233 225 Debt contracts in Brazil in: R$, indexed to TJLP, TR, IPCA, IGP-M and CDI 276 276 278 278 R$, with fixed interest - - 2 2 Debt contracts in the international market in: US$, with variable and fixed interest 4,512 3,587 4,266 4,391 Other currencies, with variable interest 9 5 9 9 Other currencies, with fixed interest 80 69 89 91 12,261 11,335 11,034 11,249 |
Participative shareholders_ deb
Participative shareholders’ debentures | 6 Months Ended |
Jun. 30, 2023 | |
Participative Shareholders Debentures | |
Participative shareholders’ debentures | Participative shareholders’ debentures Schedule of income and balance sheet Financial results Average price (R$) Three-month period ended June 30, Six-month period ended June 30, Liabilities 2023 2022 2023 2022 2023 2022 June 30, 2023 December 31, 2022 Participative shareholders’ debentures 31.35 43.39 321 288 274 288 2,528 2,725 On April 3, 2023, the Company made available for withdrawal as remuneration the amount of US$ 125 225 |
Loans, borrowings, leases, cash
Loans, borrowings, leases, cash and cash equivalents and short-term investments | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Loans, borrowings, leases, cash and cash equivalents and short-term investments | Loans, borrowings, leases, cash and cash equivalents and short-term investments a) Net debt The Company monitors the net debt with the objective of ensuring the continuity of its business in the long term. Schedule of net debt June 30, 2023 December 31, 2022 Debt contracts 12,417 11,181 Leases 1,520 1,531 Total of loans, borrowings and leases 13,937 12,712 (-) Cash and cash equivalents 4,983 4,736 (-) Short-term investments (i) 46 61 Net debt 8,908 7,915 (i) Substantially comprises investments in exclusive investment fund, whose portfolio is composed of committed transactions and Selic Treasury Notes (“LFTs”), which are floating-rate securities issued by the Brazilian government. b) Cash and cash equivalents Schedule of cash and cash equivalents June 30, 2023 December 31, 2022 R$ 1,147 1,770 US$ 3,598 2,798 Other currencies 238 168 4,983 4,736 c) Loans, borrowings, and leases i) Total debt Schedule of total debt Current liabilities Non-current liabilities Average interest rate (i) June 30, 2023 December 31, 2022 June 30, 2023 December 31, 2022 Quoted in the secondary market: US$ Bonds 6.02 - - 7,157 6,157 R$ Debentures (ii) 10.07 95 47 132 186 Debt contracts in Brazil in (iii): R$, indexed to TJLP, TR, IPCA, IGP-M and CDI 10.62 50 46 226 232 R$, with fixed interest 3.04 - 2 - - Debt contracts in the international market in: US$, with variable and fixed interest 5.37 400 54 4,112 4,212 Other currencies, with variable interest 4.10 - - 9 9 Other currencies, with fixed interest 3.87 12 11 68 78 Accrued charges 156 147 - - 713 307 11,704 10,874 (i) In order to determine the average interest rate for debt contracts with floating rates, the Company used the rate applicable as of June 30, 2023. (ii) The Company has debentures in Brazil obtained for the Company's infrastructure investment projects. (iii) The Company entered into derivatives to mitigate the exposure to cash flow variations of all floating rate debt contracted in Brazil, resulting in an average cost of 3.42% per year in US$. Future flows of debt payments, principal and interest Schedule of reconciliation of debt to cash flows arising from financing activities Principal Estimated future interest payments (i) 2023 39 387 2024 657 759 2025 451 733 2026 572 702 2027 1,700 609 Between 2028 and 2030 3,125 1,519 2031 onwards 5,717 2,173 Total 12,261 6,882 (i) Based on interest rate curves and foreign exchange rates applicable as of June 30, 2023 and considering that the payments of principal will be made on their contracted payments dates. The amount includes the estimated interest not yet accrued and the interest already recognized in the interim financial statements. Covenants Some of the Company’s debt agreements with lenders contain financial covenants. The primary financial covenants in those agreements require maintaining certain ratios, such as debt to EBITDA (as defined in note 4a) and interest coverage. The Company did not identify any instances of noncompliance as of June 30, 2023. ii) Lease liabilities Schedule of lease liabilities December 31, 2022 Additions and contract modifications Payments (i) Interest Translation adjustment June 30, 2023 Ports 690 - (34) 12 6 674 Vessels 441 5 (32) 8 (2) 420 Pelletizing plants 222 12 (2) 5 18 255 Properties 105 - (19) 2 8 96 Energy plants 52 - (2) 2 - 52 Mining equipment 21 2 (3) 1 2 23 Total 1,531 19 (92) 30 32 1,520 Current liabilities 182 199 Non-current liabilities 1,349 1,321 Total 1,531 1,520 (i) The total amount of the variable lease payments not included in the measurement of lease liabilities for the six-month period ended June 30, 2023 was US$ 74 143 Annual minimum payments and remaining lease term The following table presents the undiscounted lease obligation by maturity date. The lease liability recognized in the statement of financial position is measured at the present value of such obligations. Schedule of annual minimum payments related 2023 2024 2025 2026 2027 onwards Total Average remaining term (years) Discount rate Ports 49 66 65 52 697 929 3 20 3 5 Vessels 46 60 59 54 292 511 2 10 3 4 Pelletizing plants 59 50 47 17 115 288 1 10 2 5 Properties 25 28 18 16 38 125 1 10 1 6 Energy plants 5 7 7 6 46 71 1 7 5 6 Mining equipment 6 6 6 5 2 25 1 5 2 6 Total 190 217 202 150 1,190 1,949 |
Brumadinho dam failure
Brumadinho dam failure | 6 Months Ended |
Jun. 30, 2023 | |
Brumadinho Dam Failure | |
Brumadinho dam failure | Brumadinho dam failure In January 2019, a tailings dam (“Dam I”) experienced a failure at the Córrego do Feijão mine, in the city of Brumadinho, state of Minas Gerais, Brazil. The failure released a flow of tailings debris, destroying some of Vale’s facilities, affecting local communities and disturbing the environment. The tailings released have caused an impact of around 315 km in extension, reaching the nearby Paraopeba River. The dam failure in Brumadinho (“event”) resulted in 270 fatalities or presumed fatalities, including 3 victims still missing, and caused extensive property and environmental damage in the region. On February 4, 2021, the Company entered into a Judicial Settlement for Integral Reparation (“Global Settlement”), which was under negotiations since 2019, with the State of Minas Gerais, the Public Defender of the State of Minas Gerais and the Federal and the State of Minas Gerais Public Prosecutors Offices, to repair the environmental and social damage resulting from the Dam I rupture. The Global Settlement was ratified by the Minas Gerais State Court on February 4, 2021, and the res judicata was drawn up on April 7, 2021. As a result of the dam failure, the Company has been recognizing provisions to meet its assumed obligations, including indemnification to those affected by the event, remediation of the impacted areas and compensation to the society, as shown below: Schedule of changes in provisions to meet its assumed obligations, including de-characterization of the dams December 31, 2022 Operating expense Monetary and present value adjustments Disbursements Translation adjustment June 30, 2023 Global Settlement for Brumadinho Payment obligations 882 - 42 (243) 67 748 Provision for socio-economic reparation and others 867 - 62 (238) 63 754 Provision for social and environmental reparation 777 - 51 (25) 65 868 2,526 - 155 (506) 195 2,370 Commitments Tailings containment and geotechnical safety 559 - 30 (67) 45 567 Individual indemnification 45 82 2 (32) 3 100 Other commitments 182 58 1 (16) 14 239 786 140 33 (115) 62 906 Liability 3,312 140 188 (621) 257 3,276 Current liability 944 1,201 Non-current liability 2,368 2,075 Liability 3,312 3,276 Discount rate in nominal terms 9.08 9.37 (i) In addition, the Company has incurred expenses, which have been recognized straight to the income statement as “other operating expenses, net” (note 5c), in relation to tailings management, humanitarian assistance, payroll, legal services, water supply, among others. In the six-month period ended June 30, 2023, the Company incurred expenses in the amount of US$ 242 277 a) Global Settlement for Brumadinho The Global settlement includes: (i) payment obligations, of which the funds will be used directly by the State of Minas Gerais and Institutions of Justice for socio-economic and socio-environmental compensation projects; (ii) socioeconomic projects in Brumadinho and other municipalities; and (iii) compensation of the environmental damage caused by the dam failure. These obligations are projected for an average period of 5 years. For the measures (i) and (ii), the agreement specifies an amount for each project and changes in the original budget and deadlines may have an impact in the provision. In addition, the execution of the environmental recovery actions has no cap limit despite having been estimated in the Global Settlement due to the Company's legal obligation to fully repair the environmental damage caused by the dam failure. The expenses related to these obligations are deducted from the income tax calculation, in accordance with the Brazilian tax regulation, which is subject to periodic inspection by the competent authorities. Therefore, although Vale is monitoring this provision, the amount recorded could materially change depending on several factors that are not under the Company’s control. b) Provision for individual indemnification and other commitments The Company is also working to ensure geotechnical safety of the remaining structures at the Córrego do Feijão mine, in Brumadinho, and the removal and proper disposal of the tailings of Dam I, including dredging part of the released material and de-sanding from the channel of the river Paraopeba. For the individual indemnification, Vale and the Public Defendants of the State of Minas Gerais formalized an agreement on April 5, 2019, under which those affected by the Brumadinho’s dam failure may join an individual or family group out-of-Court settlement agreements for the indemnification of material, economic and moral damages. This agreement establishes the basis for a wide range of indemnification payments, which were defined according to the best practices and case law of Brazilian Courts, following rules and principles of the United Nations. c) Contingencies and other legal matters Public civil actions brought by the State of Minas Gerais and state public prosecutors for damages resulting from the failure of Dam I The Company is party to public civil actions brought by the State of Minas Gerais and justice institutions, claiming compensation for socioeconomic and socio-environmental damages resulting from the dam failure and seeking a broad range of preliminary injunctions ordering Vale to execute specific remediation and reparation actions. As a result of the Global Settlement, settled in February 2021, the requests for the reparation of socio-environmental and socioeconomic damages caused by the dam failure were substantially resolved. Indemnifications for individual damages was excluded from the Global Settlement, and the Term of Commitment signed with the Public Defendants of the State of Minas Gerais was ratified, whose parameters are utilized as a basis for the settlement of individual agreements. In the same year of 2021, the fulfilment of the Global Settlement was initiated, by Vale and other parties. Collective Labor Civil Action In 2021, public civil actions were filed with Labor Court of Betim in the State of Minas Gerais, by a workers' unions claiming the compensation for death damages to own and outsourced employees, who died as a result of the failure of Dam I. Initial decisions sentenced Vale to pay US$ 208 1 U.S. Securities class action suit Vale is defending itself against a class action brought before a Federal Court in New York and filed by holders of securities - American Depositary Receipts ("ADRs") - issued by Vale. Following the decision of the Court, in May 2020, that denied the Motion to Dismiss presented by the Company, the Discovery phase has started and is expected to be concluded in 2024. On November 24, 2021, a new complaint was filed before the same Court by eight Plaintiffs, all investment funds, as an “opt-out” litigation from the class action already pending in the Eastern District of New York court, asserting virtually the same allegations in the main class action. The likelihood of loss of these proceedings is considered possible. However, considering the initial phase of this class action, it is not yet possible to reliably estimate the amount of a potential loss. The amount of damages sought in these claims is unspecified. Arbitration proceedings filed by minority shareholders and a class association In Brazil, Vale is named as a defendant in (i) one arbitration filed by 385 minority shareholders, (ii) two arbitrations filed by a class association allegedly representing all Vale’s noncontrolling shareholders, and (iii) three arbitrations filed by foreign investment funds. In the six proceedings, the claimants argue that Vale was aware of the risks associated with the dam and failed to disclose it to its shareholders. Based on such argument, they claim compensation for losses caused by the decrease in share price. The expectation of loss is classified as possible for the six procedures and, considering the initial phase, it is not possible at this time to reliably estimate the amount of a possible loss. In one of the proceedings filed by foreign funds, the Claimants initially estimated the amount of the alleged losses would be approximately US$ 374 1,800 809 3,900 Securities and Exchange Commission (“SEC”) and investigations conducted by the CVM On April 28, 2022, the SEC filed a lawsuit against Vale in the U.S. District Court for the Eastern District of New York, alleging that certain Vale’s disclosures related to dam safety management prior to the dam failure in Brumadinho violated U.S. securities laws. On March 28, 2023, Vale reached a settlement with the SEC to fully resolve this litigation. Under the agreement, without admitting or denying the settled claims, Vale will make payments totaling US$ 56 CVM is also conducting investigations relating to Vale's disclosure of relevant information to shareholders, investors and the market in general, especially regarding the conditions and management of Vale's dams. The likelihood of loss of this proceeding is classified as possible and it is not yet possible to reliably estimate the amount of a potential loss to the Company. Criminal proceedings and investigations In January 2020, the State Prosecutors of Minas Gerais (“MPMG”) filed criminal charges against 16 individuals (including former executive officers of Vale and former employees) for a number of potential crimes, including homicide, and against Vale S.A. for alleged environmental crimes. In November 2021, the Brazilian Federal Police concluded the investigation on potential criminal responsibility related with the Brumadinho dam failure and the final report sent to the Federal Public Prosecutors (“MPF”). In January 2023, after the Federal Supreme Court recognized the competence of the Federal Court, the MPF ratified the complaint presented by MPMG, which was received by the competent authority. The MPF and the Brazilian Federal Police conducted a separate investigation into the causes of the dam failure in Brumadinho, which may result in new criminal proceedings. Vale is defending itself against the criminal claims and is not possible to estimate when a decision will be issued. The likelihood of a financial loss to the Company is classified as possible and it is not yet possible to reliably estimate the amount of a potential loss to Vale. Decision of the Brazilian Office of the Comptroller General of the Union (“CGU”) In October 2020, the CGU notified the Company about an administrative proceeding prosecution based on the same allegations mentioned above under the Brazilian Law 12,846/2013 in connection with inspection and monitoring activities related to the Brumadinho dam. In August 2022, the CGU concluded that Vale has failed to present reliable information to the Brazilian National Mining Agency (“ANM”), as once a positive stability condition statement (“DCE”) was issued for the Dam I, where it should be negative in the view of the CGU. Thus, even recognizing the non-existence of corruption acts or practices, the CGU fined Vale US$ 18 86 d) Insurance The Company is negotiating with insurers the payment of indemnification under its civil liability and Directors and Officers Liability Insurance. The Company received US$ 11 |
Liabilities related to associat
Liabilities related to associates and joint ventures | 6 Months Ended |
Jun. 30, 2023 | |
Liabilities Related To Associates And Joint Ventures | |
Liabilities related to associates and joint ventures | Liabilities related to associates and joint ventures a) Samarco dam failure In November 2015, the Fundão tailings dam owned by Samarco Mineração S.A. (“Samarco”) experienced a failure, releasing mine tailings downstream, flooding certain communities and impacting communities and the environment along the Doce River. The dam failure resulted in 19 fatalities and caused property and environmental damage to the affected areas. Samarco is a joint venture equally owned by Vale S.A. and BHP Billiton Brasil Ltda. (‘‘BHPB’’). In 2016, Vale, Samarco and BHPB, entered into a Framework Agreement with the Federal Government of Brazil, the states of Espírito Santo and Minas Gerais and certain other public authorities to establish the Renova Foundation that is developing and executing environmental and socio-economic programs to remediate and provide compensation for damage caused by the Samarco dam failure. In June 2018, Samarco, Vale and BHPB entered into a comprehensive agreement with the offices of the federal and state (Minas Gerais and Espírito Santo) prosecutors, public defenders and attorney general, among other parties (“TacGov Agreement”), improving the governance mechanism of Renova Foundation and establishing, among other things, a process for potential revisions to the remediation programs under the Framework Agreement. Under the Framework Agreement, Samarco has primary responsibility for funding Renova Foundation’s annual calendar year budget for the duration of the Framework Agreement. However, to the extent that Samarco does not meet its funding obligations, Vale and BHPB have secondary funding obligations under the Framework Agreement in proportion to their 50 per cent shareholding in Samarco. Samarco began to gradually recommence operations in December 2020, however, there remains significant uncertainty regarding Samarco’s long-term cash flow generation. b) Changes on the provisions in the period Schedule of changes on the provisions related to samarco dam failure December 31, 2022 Monetary and present value adjustments Disbursements Translation adjustments June 30, 2023 Renova Foundation reparation and compensation programs 3,124 128 (108) 257 3,401 De-characterization of the Germano dam 197 5 - 16 218 Liabilities 3,321 133 (108) 273 3,619 Current liabilities 1,911 1,044 Non-current liabilities 1,410 2,575 Liabilities 3,321 3,619 Discount rate in nominal terms 6.20 9.51 5.46 9.20 c) Judicial reorganization of Samarco In April 2021, Samarco filed for Judicial Reorganization (“JR”) with the Courts of Minas Gerais. In May 2023, Vale S.A. entered into a binding agreement jointly with BHPB, Samarco and certain creditors which hold together more than 50% of Samarco's debt, setting the parameters of Samarco’s debt restructuring to be implemented through a consensual restructuring plan (“Agreement”), subject for approval by the creditors and to be confirmed by the JR court. The plan aims to establish an independent and sustainable financial position for Samarco by resuming its high-quality pellets production, allowing Samarco to comply with its socio-environmental obligations. Under the Agreement, the payments to the financial creditors will be made from 2024 to 2030, in line with Samarco's operational ramp-up and cash flow generation. The Agreement also provides that additional cash demands that exceed these payments will be made to Fundação Renova through capital contributions to Samarco. The contributions have been carried out directly by Vale and BHPB to the Renova Foundation on behalf of Samarco and, therefore, they were deemed tax deductible as incurred, according to the Brazilian tax regulation. Therefore, due to the change in the mechanism to fund Renova, Vale will no longer be allowed to deduct future payments from its income tax computation as they are not tax deductible in Brazil. Thus, the deferred income tax asset over the provision in the amount of US$ 1,078 In addition, the Agreement does not require the capitalization of the expenses of US$ 699 3,371 d) Contingencies related to Samarco accident These proceedings include public civil actions brought by Brazilian authorities and multiple proceedings involving claims for significant amounts of damages and remediation measures. The Framework Agreements represents a model for the settlement of the public civil action brought by the MPF and other related proceedings. There are also putative securities class actions in the USA against Vale and some of its current and former officers and a criminal proceeding in Brazil. The main updates regarding the lawsuits in the year were as follows: Public Civil Action filed by the Federal Government and others and public civil action filed by the Federal Public Ministry ("MPF") Vale is a defendant in several legal proceedings brought by governmental authorities and civil associations claiming socioenvironmental and socioeconomic damages and a number of specific remediation measures as a result of the Samarco’s Fundão dam failure, including a claim brought by the Federal Public Prosecution Office in 2016 seeking US$ 32 155 However, as pre-requisites established in the TacGov Agreement, for renegotiation of the Framework Agreement were not implemented during the two-year period ended September 30, 2020, the Brazilian Federal and State prosecutors and public defenders filed a request for the immediate resumption of the US$ 32 155 Therefore, Vale, Samarco, BHPB and Federal and State prosecutors have been engaging in negotiations to seek a definitive settlement of the obligations under the Framework Agreement and the US$ 32 155 The potential agreement is still uncertain as it is subject to conclusion of the negotiations and approval by the Company, relevant authorities and intervenient parties. The estimate of the economic impact of a potential agreement will depend mainly on (i) a detailed assessment of the estimates of the amounts to be spent on the reparation and compensation projects being discussed, (ii) an analysis of the detailed scope of such projects to determine their overlap with the initiatives and amounts already provisioned; and (iii) the timing of the execution of projects and disbursements, which will impact the present value of the obligations. Therefore, until any revisions to the Programs are agreed, Renova Foundation will continue to implement the Programs in accordance with the terms of the Framework Agreement and the TacGov Agreement, for which the expected costs are reflected in the Company’s provision. Judicial decision requesting cash deposits In March 2023, as part of a proceeding related to a potential increase on the number of territories recognized as affected by the collapse of Samarco’s Fundão dam and covered by the TTAC, a Federal Court issued a decision ordering Vale and BHP Brasil to make judicial deposits in the total amount of US$ 2.1 10.3 Criminal proceedings In September 2019, the federal court dismissed all criminal charges against Vale representatives relating to the first group of charges, which concerns the results of the Fundão dam failure, remaining only the legal entity in the passive pole. The second group of charges against Vale S.A. and one of the Company’s employees, which concerns the accusation of alleged crimes committed against the Environmental Public Administration, remained unchanged. The Company cannot estimate when a final decision on the case will be issued. The likelihood of a financial loss to the Company is classified as possible and it is not yet possible to reliably estimate the amount of a potential loss to Vale. United Kingdom contribution claim As a result of the rupture of Samarco’s Fundão dam failure, BHP Group Ltd (“BHP”) was named as defendant in group action claims for damages filed in the courts of England and Wales (The “UK Claim”). The UK Claim includes only BHP and was filed on behalf of certain individuals and municipalities in Brazil only against BHP, for the allegedly damages caused by the Fundão dam failure. In December 2022, BHP filed a contribution claim against Vale, requesting the Company to be responsible for the indemnification payments in the proportion to its interest held in Samarco. The Company believes that it is not subject to the jurisdiction of the English Court and it does not have any contractual obligation in relation to this matter, therefore, the Company has assessed the risk of loss as remote. |
Provision for de-characterizati
Provision for de-characterization of dam structures and asset retirement obligations | 6 Months Ended |
Jun. 30, 2023 | |
Provision For De-characterization Of Dam Structures And Asset Retirement Obligations | |
Provision for de-characterization of dam structures and asset retirement obligations | Provision for de-characterization of dam structures and asset retirement obligations The Company is subject to local laws and regulations, that requires the decommissioning of the assets and mine sites that Vale operates at the end of their useful lives, therefore, expenses for demobilization occur predominantly after the end of operational activities. Depending on the geotechnical characteristics of the structures, the Company is required to de-characterize the structures, as shown in item a) below. Laws and regulations related to dam safety In September 2020, the Federal Government enacted Law no. 14.066, which modified the National Dam Safety Policy (Law no. 12,334/2020), reinforcing the prohibition of constructing and raising upstream dams in Brazil. The law also requires companies to de-characterize the structures built using the upstream method by 2022, or by a later date if it is proven that the de-characterization is not technically feasible by 2022. As made available to competent bodies, a substantial part of the Company's de-characterization projects will be completed in a period exceeding the date established in the legislation due to the characteristics and safety levels of the Company's geotechnical structures. Thus, in February 2022, the Company filed with the relevant bodies a request for an extension to perform the projects and, as a result, signed a Term of Commitment establishing legal and technical certainty for the process of de-characterization of the upstream dams, considering that the deadline defined was technically unfeasible, especially due to the necessary actions to increase safety during the works. With the signing of the agreement, the Company recorded an additional provision of US$ 37 In December 2022, the Federal Government published decree no. 11,310, which regulates dispositions of the National Dam Safety Policy, regulates dam supervision activities, establishes the competence to regulate the extension of the self-rescue zone for authorities acting in dam emergency situations, and presents guidelines on technical reports regarding the causes of a breach and other aspects of management of geotechnical structures. This decree also determined that companies must present guarantees for dams in an alert situation, however, the procedures for measuring and executing these guarantees are still being discussed by the responsible public agencies. In February 2023, ANM issued a resolution that modifies the current dam safety regulation. The main changes are new rules in connection with the active and passive monitoring during the de-characterization of dams, the simplified dam collapse study and simplified emergency action plan for specific cases, and the dam safety plan (“PSB”). The Company believes its provisions are sufficient to comply with the effective legal obligations. Thus, depending on the development of these laws, the provisions registered by the Company may be materially impacted in future periods. a) De-characterization of upstream and centerline geotechnical structures As a result of the Brumadinho dam failure (note 22) and, in compliance with Law 14,066, the Company has decided to speed up the plan to “de-characterize” of all its tailings dams built under the upstream method, certain “centerline structures” and dikes, located in Brazil. The Company also operates tailings dams in Canada, including upstream compacted dams. However, the Company decided that these dams will be decommissioned using other methods, thus, the provision to carry out the decommissioning of dams in Canada is recognized as “Obligations for decommissioning assets and environmental obligations”, as presented in item (b) below. These structures are in different stages of maturity, some of them still in the conceptual engineering phase, for which the estimate of expenditures includes in its methodology a high degree of uncertainty in the definition of the total cost of the project in accordance with best market practices. The cash flow for de-characterization projects are estimated for a period up to 13 years and were discounted at present value at a rate, which reduced from 6.16% to 5.72%. Changes in the provisions are as follows: Schedule of changes in the provisions, de-characterization of dam structures located in Brazil 2023 2022 Balance at January 1, 3,378 3,523 Additional provision - 37 Disbursements (173) (152) Present value valuation 179 (104) Translation adjustment 277 240 Balance at June 30, 3,661 3,544 June 30, 2023 December 31, 2022 Current liabilities 502 357 Non-current liabilities 3,159 3,021 Liabilities 3,661 3,378 Operational stoppage and idle capacity In addition, due to the de-characterization projects, the Company has suspended some operations due to judicial decisions or technical analysis performed by Vale on its upstream dam structures located in Brazil. The Company has been recording losses in relation to the operational stoppage and idle capacity of the ferrous mineral segment in the amounts of US$ 50 161 b) Asset retirement obligations and environmental obligations Schedule of changes in the provision of asset retirement obligations and environmental obligations Liability Discount rate Cash flow maturity June 30, 2023 December 31, 2022 June 30, 2023 December 31, 2022 June 30, 2023 December 31, 2022 Liability by geographical area Brazil 2,035 1,788 5.46% 6.20% 2096 2096 Canada 1,649 1,683 1.35 % - 1.61 % 1.11% 2151 2148 Oman 114 114 3.25% 3.90% 2035 2035 Indonesia 87 73 3.76% 4.33% 2062 2061 Other regions 139 145 1.70 % - 2.45 % 1.84 % - 2.00 % - - 4,024 3,803 Provision changes during the period Schedule of provision changes 2023 2022 Asset retirement obligations Environmental obligations Total Asset retirement obligations Environmental obligations Total Balance on January 1, 3,466 337 3,803 4,283 297 4,580 Adjustment to present value 64 1 65 26 1 27 Disbursements (61) (51) (112) (42) (28) (70) Revisions on projected cash flows (7) 80 73 (1,145) (6) (1,151) Transfer to assets held for sale - - - (49) (2) (51) Translation adjustment 168 27 195 33 18 51 Balance on June 30, 3,630 394 4,024 3,106 280 3,386 June 30, 2023 December 31, 2022 Asset retirement obligations Environmental obligations Total Asset retirement obligations Environmental obligations Total Current 243 154 397 210 94 304 Non-current 3,387 240 3,627 3,256 243 3,499 Liability 3,630 394 4,024 3,466 337 3,803 Financial guarantees The Company has issued letters of credit and surety bonds for US$ 891 644 |
Provisions
Provisions | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Provisions | Provisions Schedule of provisions Current liabilities Non-current liabilities Notes June 30, 2023 December 31, 2022 June 30, 2023 December 31, 2022 Provisions for litigation 26 121 106 1,347 1,186 Employee post retirement obligation 27 68 66 1,353 1,260 Payroll, related charges and other remunerations 660 864 - - 849 1,036 2,700 2,446 |
Litigations
Litigations | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Litigations | Litigations The Company is a defendant in numerous legal actions in the ordinary course of business, including civil, tax, environmental and labor proceedings. The Company makes use of estimates to recognize the amounts and the probability of outflow of resources, based on reports and technical assessments and on management’s assessment. Provisions are recognized for probable losses of which a reliable estimate can be made. Arbitral, legal and administrative decisions against the Company, new jurisprudence and changes of existing evidence can result in changes regarding the probability of outflow of resources and on the estimated amounts, according to the assessment of the legal basis. a) Provision for legal proceedings The Company has considered all information available to assess the likelihood of an outflow of resources and in the preparation on the estimate of the costs that may be required to settle the obligations. Tax litigations - Mainly refers to the lawsuit filed in 2011 by Valepar (merged by Vale) seeking the right to exclude the amount of dividends received in the form of interest on capital (“JCP”) from the PIS and COFINS tax base. The amount reserved for this proceeding as at June 30, 2023 is US$ 555 498 Civil litigations - Refers to lawsuits for: (i) indemnities for losses, payments and contractual fines due to contractual imbalance or non-compliance that are alleged by suppliers, and (ii) land claims referring to real estate Vale's operational activities. Labor litigations - Refers to lawsuits for individual claims by in-house employees and service providers, primarily involving demands for additional compensation for overtime work, moral damages or health and safety conditions. Environmental litigations - Refers mainly to proceedings for environmental damages and issues related to environmental licensing. The lawsuits related to Brumadinho event (note 22) and the Samarco dam failure (note 23) are presented in its specific notes to these financial statements and, therefore, are not disclosed below. Schedule of changes in provision for litigations Tax litigation Civil litigation Labor litigation Environmental litigation Total of litigation provision Balance at December 31, 2022 576 291 411 14 1,292 Additions and reversals, net 3 27 51 2 83 Payments (3) (23) (39) (3) (68) Indexation and interest 18 20 11 2 51 Translation adjustment 49 23 37 1 110 Balance at June 30, 2023 643 338 471 16 1,468 Current liabilities 20 24 75 2 121 Non-current liabilities 623 314 396 14 1,347 Balance at June 30, 2023 643 338 471 16 1,468 Balance at December 31, 2021 456 284 358 7 1,105 Additions and reversals, net 2 24 32 6 64 Payments (1) (26) (25) - (52) Indexation and interest 14 28 14 - 56 Translation adjustment 29 15 25 1 70 Discontinued operations (1) (7) (2) - (10) Balance at June 30, 2022 499 318 402 14 1,233 Current liabilities 15 23 64 6 108 Non-current liabilities 484 295 338 8 1,125 Balance at June 30, 2022 499 318 402 14 1,233 b) Contingent liabilities Schedule of contingent liabilities June 30, 2023 December 31, 2022 Tax litigations 6,892 6,590 Civil litigations 1,289 1,270 Labor litigations 492 569 Environmental litigations 1,269 1,102 Total 9,942 9,531 There have not been any relevant developments since the December 31, 2022, financial statements. c) Judicial deposits Schedule of judicial deposits June 30, 2023 December 31, 2022 Tax litigations 1,052 945 Civil litigations 116 123 Labor litigations 142 134 Environmental litigations 16 13 Total 1,326 1,215 d) Guarantees contracted for legal proceedings In addition to the above-mentioned tax, civil, labor and environmental judicial deposits, the Company contracted US$ 2.6 12.3 2.3 12 |
Employee benefits
Employee benefits | 6 Months Ended |
Jun. 30, 2023 | |
Employee Benefits | |
Employee benefits | Employee benefits a) Employee post retirement obligation Reconciliation of assets and liabilities recognized in the statement of financial position Schedule of reconciliation of assets and liabilities recognized in the statement of financial position June 30, 2023 December 31, 2022 Overfunded pension plans (i) Underfunded pension plans Other benefits Overfunded pension plans Underfunded pension plans Other benefits Balance at beginning of the period 1,114 - - 919 - - Interest income 53 - - 84 - - Changes on asset ceiling 350 - - 65 - - Translation adjustment 85 - - 46 - - Balance at end of the period 1,602 - - 1,114 - - Amount recognized in the statement of financial position Present value of actuarial liabilities (5,406) (643) (1,132) (5,142) (608) (1,057) Fair value of assets 7,103 354 - 6,340 339 - Effect of the asset ceiling (1,602) - - (1,114) - - Assets (liabilities) 95 (289) (1,132) 84 (269) (1,057) Current liabilities - (13) (55) - (10) (56) Non-current assets (liabilities) 95 (276) (1,077) 84 (259) (1,001) Assets (liabilities) 95 (289) (1,132) 84 (269) (1,057) (i) The pension plan asset is recorded as “Other non-current assets” in the statement of financial position. b) Long-term incentive programs The Company has long-term reward mechanisms that include the Matching Program and the Performance Shares Units (“PSU”) for eligible executives, whose objective is to encourage the permanence of employees and stimulate performance. The fair value of the programs is recognized on a straight-line basis over the three-year required service period, net of estimated losses. On March 30, 2023, a new cycle of the Matching program started, and the fair value estimate was based on the Company's share price and ADR at the grant date, R$ 81.82 15.94 1,330,503 1,437,588 On April 28, 2023, a new cycle of the PSU program has started, and the Company will grant 1,177,755 1,709,955 Schedule of assumptions used for the Monte Carlo simulation 2023 2022 Granted shares 1,177,755 1,709,955 Date shares were granted 04/28/2023 01/03/2022 VALE (R$) 88.88 78.00 VALE ON (US$) 16.60 13.81 Expected volatility (per year) 48.33 39.00 Expected term (in years) 3 3 Expected performance factor 72.42 53.08 The fair value of both programs will be recognized on a straight-line basis over the required three-year period of service, net of estimated losses. |
Equity
Equity | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Equity | Equity a) Share capital As at June 30, 2023, the share capital was US$61,614 corresponding to 4,539,007,580 shares issued and fully paid without par value. The Board of Directors may, regardless of changes to by-laws, approve the issue and cancelation of common shares, including the capitalization of profits and reserves to the extent authorized. Schedule of share capital June 30, 2023 Shareholders Common shares Golden shares Total Shareholders with more than 5% of total capital 959,040,176 - 959,040,176 Previ 395,686,156 - 395,686,156 Mitsui&co 286,347,055 - 286,347,055 Blackrock, Inc 277,006,965 - 277,006,965 Free floating 3,384,352,681 - 3,384,352,681 Golden shares - 12 12 Total outstanding (without shares in treasury) 4,343,392,857 12 4,343,392,869 Shares in treasury 195,614,711 - 195,614,711 Total capital 4,539,007,568 12 4,539,007,580 b) Cancelation of treasury shares Schedule of cancellation of treasury shares Number of canceled shares Carrying amount Cancelation approved on March 2, 2023 (i) 239,881,683 4,164 Six-month period ended June 30, 2023 239,881,683 4,164 Cancelation approved on February 24, 2022 (i) 133,418,347 2,830 Six-month period ended June 30, 2022 133,418,347 2,830 (i) During the six-month period ended June 30, 2023 and 2022, the Board of Directors approved cancelations of common shares issued by the Company, acquired and held in treasury, without reducing the amount of its share capital. The effects were transferred in shareholders' equity as "Treasury shares cancelled", between the "Revenue reserve" and "Treasury shares". c) Remuneration approved · On February 16, 2023, the Board of Directors approved shareholder’s remuneration of US$1,569, of which US$1,132 is part of the minimum mandatory remuneration, recorded as a liability for the year ended December 31, 2022, and US$437 as an additional remuneration, recorded in equity as “Additional remuneration reserve”. It was fully paid in March 2023. · On July 27, 2023 (subsequent event), the Board of Directors approved interest on capital to shareholders in the amount of US$1,744, which will be paid in September 2023 as anticipated remuneration for the year ended December 31, 2023. · On December 1, 2022, the Board of Directors approved interest on capital to shareholders in the amount of US$254, as an anticipation of the income for the year ended December 31, 2022, which is part of the minimum mandatory remuneration, recorded as a liability for the year ended December 31, 2022. It was fully paid in March 2023. · On February 24, 2022, the Board of Directors approved the remuneration to shareholders in the amount of US$3,500 as an additional remuneration for the year ended December 31, 2021, recorded in equity as “Additional remuneration reserve”. It was fully paid in March 2022. d) Share buyback program Schedule of share buyback program Total of shares repurchased Effect on cash flows Six-month period ended June 30, 2023 2022 2023 2022 Shares buyback program for 500,000,000 shares (i) Acquired by Parent 73,179,052 32,416,000 1,102 527 Acquired by wholly owned subsidiaries 67,979,481 38,027,798 1,022 606 141,158,533 70,443,798 2,124 1,133 Shares buyback program for 470,000,000 shares (ii) Acquired by Parent - 81,855,600 - 1,501 Acquired by wholly owned subsidiaries - 96,959,900 - 1,750 - 178,815,500 - 3,251 Shares buyback program 141,158,533 249,259,298 2,124 4,384 (i) On April 27, 2022, the Board of Directors approved the common shares buyback program, limited to a maximum of 500,000,000 common shares or their respective ADRs. (ii) On April 1, 2021, the Board of Directors approved the common shares buyback program, limited to a maximum of 270,000,000 common shares or their respective ADRs. Continuing the previous program, the Board of Directors approved a new shares buyback program on October 28, 2021, with a limit of up to 200,000,000 common shares or their respective ADRs. Both programs were concluded in 2022. |
Related parties
Related parties | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Related parties | Related parties The Company’s related parties are subsidiaries, joint ventures, associates, shareholders and its related entities and key management personnel of the Company. Related party transactions were made by the Company on terms equivalent to those that prevail in arm´s-length transactions, with respect to price and market conditions that are no less favorable to the Company than those arranged with third parties. Net operating revenue relates to sale of iron ore to the steelmakers and right to use capacity on railroads. Cost and operating expenses mostly relates to the variable lease payments of the pelletizing plants. Purchases, accounts receivable and other assets, and accounts payable and other liabilities relate largely to amounts charged by joint ventures and associates related to the pelletizing plants operational lease and railway transportation services. a) Transactions with related parties Schedule of transactions with related parties Three-month period ended June 30, 2023 2022 Net operating revenue Cost and operating expenses Financial result Net operating revenue Cost and operating expenses Financial result Joint Ventures Companhia Siderúrgica do Pecém - - - 126 - 4 Aliança Geração de Energia S.A. - (26) - - (28) - Pelletizing companies (i) - (45) (11) - (98) (11) MRS Logística S.A. - (114) - (5) (111) - Norte Energia S.A. - (33) - - (32) - Other 11 (2) - 19 - (1) 11 (220) (11) 140 (269) (8) Associates VLI 76 (5) - 83 (7) - Other - - - - - 2 76 (5) - 83 (7) 2 Major shareholders Bradesco - - 197 - - (103) Mitsui 85 - - 79 - - 85 - 197 79 - (103) Total 172 (225) 186 302 (276) (109) (i) Aggregated entities: Companhia Coreano-Brasileira de Pelotização, Companhia Hispano-Brasileira de Pelotização, Companhia Ítalo-Brasileira de Pelotização and Companhia Nipo-Brasileira de Pelotização. Six-month period ended June 30, 2023 2022 Net operating revenue Cost and operating expenses Financial result Net operating revenue Cost and operating expenses Financial result Joint Ventures Companhia Siderúrgica do Pecém 93 - - 255 - (2) Aliança Geração de Energia S.A. - (52) - - (53) - Pelletizing companies (i) - (88) (25) - (168) (20) MRS Logística S.A. - (178) - 1 (178) - Norte Energia S.A. - (60) - - (63) - Other 16 (5) - 19 (3) (1) 109 (383) (25) 275 (465) (23) Associates VLI 145 (11) (1) 146 (12) (1) 145 (11) (1) 146 (12) (1) Major shareholders Bradesco - - 269 - - 182 Mitsui 130 - - 157 - - 130 - 269 157 - 182 Total 384 (394) 243 578 (477) 158 (i) Aggregated entities: Companhia Coreano-Brasileira de Pelotização, Companhia Hispano-Brasileira de Pelotização, Companhia Ítalo-Brasileira de Pelotização and Companhia Nipo-Brasileira de Pelotização. b) Outstanding balances with related parties Schedule of outstanding balances with related parties Assets June 30, 2023 December 31, 2022 Cash and cash equivalents Accounts receivable Dividends receivable and other assets Cash and cash equivalents Accounts receivable Dividends receivable and other assets Joint Ventures Companhia Siderúrgica do Pecém - - - - 91 17 Pelletizing companies (i) - - 18 - - 25 MRS Logística S.A. - - 26 - - 25 Other - 5 15 - 4 50 - 5 59 - 95 117 Associates VLI - 94 - - 14 - Other - - 2 - - 1 - 94 2 - 14 1 Major shareholders Bradesco 387 - 385 335 - 154 Banco do Brasil 35 - - 30 - - Mitsui - 3 - - 89 - 422 3 385 365 89 154 Pension plan - 16 - - 13 - Total 422 118 446 365 211 272 (i) Aggregated entities: Companhia Coreano-Brasileira de Pelotização, Companhia Hispano-Brasileira de Pelotização, Companhia Ítalo-Brasileira de Pelotização and Companhia Nipo-Brasileira de Pelotização. Liabilities June 30, 2023 December 31, 2022 Supplier and contractors Financial instruments and other liabilities Supplier and contractors Financial instruments and other liabilities Joint Ventures Pelletizing companies (i) 81 187 63 400 MRS Logística S.A. 34 - 57 - Other 34 - 31 - 149 187 151 400 Associates VLI 6 156 5 53 Other 1 - 3 - 7 156 8 53 Major shareholders Bradesco - 23 - 75 Mitsui - - 1 - - 23 1 75 Pension plan 13 - 11 - Total 169 366 171 528 (i) Aggregated entities: Companhia Coreano-Brasileira de Pelotização, Companhia Hispano-Brasileira de Pelotização, Companhia Ítalo-Brasileira de Pelotização and Companhia Nipo-Brasileira de Pelotização. |
Basis of preparation of inter_2
Basis of preparation of interim financial statements (Policies) | 6 Months Ended |
Jun. 30, 2023 | |
Basis Of Preparation Of Interim Financial Statements | |
New and amended standards | a) New and amended standards In June 2023, the International Sustainability Standards Board (“ISSB”) issued IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and IFRS S2 Climate-related Disclosures, which provide requirements for disclosures on sustainability-related risks and opportunities and climate-related specific disclosures, respectively. The Company is currently assessing the potential impacts arising from these standards, which are both effective for annual reporting periods beginning on or after 1 January 2024. Certain other new accounting standards, amendments and interpretations have been published that are not mandatory for December 31, 2023 reporting periods or have not materially impacted these interim financial statements. The Company did not early adopt any of these standards and does not expect them to have a material impact in future reporting periods. |
Functional currency and presentation currency | b) Functional currency and presentation currency The interim financial information of the Parent Company and its associates and joint ventures are measured using the currency of the primary economic environment in which each entity operates (“functional currency”), in the case of the Parent Company it is the Brazilian real (“R$”). For presentation purposes, these interim financial statements are presented in United States dollars (“US$”) as the Company believes that this is how international investors analyze the financial statements. The main exchange rates used by the Company to translate its foreign operations are as follows: Schedule of exchange rates used to translate its foreign operations Average rate Closing rate Three-month period ended June 30, Six-month period ended June 30, June 30, 2023 December 31, 2022 2023 2022 2023 2022 US Dollar ("US$") 4.8192 5.2177 4.9485 4.9265 5.0744 5.0783 Canadian dollar ("CAD") 3.6421 3.8550 3.6860 3.8573 3.7654 3.9937 Euro ("EUR") 5.2626 5.5694 5.3867 5.2409 5.4831 5.5568 |
Basis of preparation of inter_3
Basis of preparation of interim financial statements (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Basis Of Preparation Of Interim Financial Statements | |
Schedule of exchange rates used to translate its foreign operations | Schedule of exchange rates used to translate its foreign operations Average rate Closing rate Three-month period ended June 30, Six-month period ended June 30, June 30, 2023 December 31, 2022 2023 2022 2023 2022 US Dollar ("US$") 4.8192 5.2177 4.9485 4.9265 5.0744 5.0783 Canadian dollar ("CAD") 3.6421 3.8550 3.6860 3.8573 3.7654 3.9937 Euro ("EUR") 5.2626 5.5694 5.3867 5.2409 5.4831 5.5568 |
Significant events in the thr_2
Significant events in the three-month period ended June 30, 2023 (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Significant Events In Three-month Period Ended June 30 2023 | |
Relevant events and transactions | Relevant events and transactions Notes Income Statement Cash Flow Reversal of deferred income tax related to the Renova Foundation 23(c) (1,078) - Notes offering 9(c) - 1,500 Bond tender offers 9(c) (22) (500) |
Information by business segme_2
Information by business segment and geographic area (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Information By Business Segment And Geographic Area | |
Schedule of adjusted EBITDA | Schedule of adjusted EBITDA Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Iron ore 3,087 3,975 5,725 8,909 Iron ore pellets 818 1,140 1,485 1,977 Other ferrous products and services 36 32 51 63 Iron solutions 3,941 5,147 7,261 10,949 Nickel 240 580 593 1,105 Copper 236 23 456 249 Energy Transition Metals 476 603 1,049 1,354 Other (543) (496) (860) (835) Adjusted EBITDA from continuing operations 3,874 5,254 7,450 11,468 Depreciation, depletion and amortization 4(c) (779) (810) (1,435) (1,496) Impairment reversal (impairment) and results on disposal of non-current assets, net and other (i) 15 and 17 (118) (82) (157) 990 Dividends received and interest from associates and joint ventures 14 (105) (71) (105) (71) Operating income 2,872 4,291 5,753 10,891 Equity results and other results in associates and joint ventures 14 5 (56) (50) 155 Financial results 6 (157) 821 (687) 579 Income taxes 7 (1,792) (911) (2,210) (3,002) Net income from continuing operations 928 4,145 2,806 8,623 (i) Includes adjustments of US$ 52 87 Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Adjusted EBITDA from discontinued operations - - - 171 Impairment and results on disposals of non-current assets, net - (429) - (589) Operating loss 15(f) - (429) - (418) Financial results - 3,072 - 3,065 Derecognition of noncontrolling interest - (585) - (585) Income taxes - - - (2) Net income from discontinued operations 15(f) - 2,058 - 2,060 |
Net operating revenue by shipment destination | Net operating revenue by shipment destination Three-month period ended June 30, 2023 Iron Solutions Energy Transition Metals Iron ore Iron ore pellets Other ferrous products and services Nickel and other products Copper Other Total Americas, except United States and Brazil - 102 - 123 2 - 227 United States of America - 97 - 334 - - 431 Germany 47 - 1 123 123 - 294 Europe, except Germany 321 119 - 181 312 - 933 Middle East, Africa, and Oceania - 507 - 9 - - 516 Japan 623 54 - 147 - - 824 China 4,364 2 - 217 55 - 4,638 Asia, except Japan and China 519 67 3 227 - - 816 Brazil 361 465 124 18 - 26 994 Net operating revenue 6,235 1,413 128 1,379 492 26 9,673 Three-month period ended June 30, 2022 Iron Solutions Energy Transition Metals Iron ore Iron ore pellets Other ferrous products and services Nickel and other products Copper Other Total Americas, except United States and Brazil - 131 5 111 - 76 323 United States of America - 47 - 427 - - 474 Germany 92 - - 140 83 - 315 Europe, except Germany 517 89 - 289 216 - 1,111 Middle East, Africa, and Oceania - 656 - 6 - 26 688 Japan 718 94 - 199 3 - 1,014 China 4,868 33 1 200 - - 5,102 Asia, except Japan and China 523 151 3 158 26 47 908 Brazil 395 579 123 17 - 108 1,222 Net operating revenue 7,113 1,780 132 1,547 328 257 11,157 Six-month period ended June 30, 2023 Iron Solutions Energy Transition Metals Iron ore Iron ore pellets Other ferrous products and services Nickel and other products Copper Other Total Americas, except United States and Brazil 1 248 - 266 2 - 517 United States of America - 183 - 759 - - 942 Germany 138 33 1 297 253 - 722 Europe, except Germany 693 258 - 543 574 - 2,068 Middle East, Africa, and Oceania - 923 - 18 - - 941 Japan 1,102 106 - 305 - - 1,513 China 7,639 2 - 295 109 - 8,045 Asia, except Japan and China 922 108 5 367 44 - 1,446 Brazil 722 874 229 37 - 51 1,913 Net operating revenue 11,217 2,735 235 2,887 982 51 18,107 Six-month period ended June 30, 2022 Iron Solutions Energy Transition Metals Iron ore Iron ore pellets Other ferrous products and services Nickel and other products Copper Other Total Americas, except United States and Brazil - 261 5 277 - 125 668 United States of America - 74 - 713 - - 787 Germany 221 - - 311 291 - 823 Europe, except Germany 978 164 - 504 419 - 2,065 Middle East, Africa, and Oceania - 1,150 - 9 - 26 1,185 Japan 1,334 148 - 388 5 - 1,875 China 9,952 41 8 490 - - 10,491 Asia, except Japan and China 1,129 174 7 281 87 47 1,725 Brazil 754 1,132 227 32 - 205 2,350 Net operating revenue 14,368 3,144 247 3,005 802 403 21,969 |
Assets by segment | Assets by segment June 30, 2023 December 31, 2022 Iron Solutions Energy Transition Metals Other Total Iron Solutions Energy Transition Metals Other Total Investments in associates and joint ventures 1,310 12 579 1,901 1,296 - 502 1,798 Intangibles 9,054 1,886 61 11,001 8,330 1,847 61 10,238 Property, plant and equipment 27,331 18,577 2,758 48,666 24,718 17,808 2,412 44,938 Assets by segment Three-month period ended June 30, 2023 2022 Iron Solutions Energy Transition Metals Other Total Iron Solutions Energy Transition Metals Other Total Depreciation, depletion and amortization 502 262 15 779 497 299 14 810 Capital expenditures Sustaining capital (i) 472 326 34 832 477 343 24 844 Project execution 255 95 26 376 199 90 160 449 Product inventory 727 421 60 1,208 676 433 184 1,293 Six-month period ended June 30, 2023 2022 Iron Solutions Energy Transition Metals Other Total Iron Solutions Energy Transition Metals Other Total Depreciation, depletion and amortization 905 503 27 1,435 913 555 28 1,496 Capital expenditures Sustaining capital (i) 984 589 63 1,636 976 613 54 1,643 Project execution 491 167 44 702 381 157 248 786 Product inventory 1,475 756 107 2,338 1,357 770 302 2,429 (i) According to the Company's shareholder remuneration policy, dividends are calculated based on 30% of the adjusted EBITDA less sustaining capital investments. |
Assets by geographic area | Assets by geographic area June 30, 2023 December 31, 2022 Investments in associates and joint ventures Intangible Property, plant and equipment Total Investments in associates and joint ventures Intangible Property, plant and equipment Total Brazil 1,889 9,119 31,653 42,661 1,798 8,391 28,210 38,399 Canada - 1,880 11,526 13,406 - 1,845 11,178 13,023 Americas, except Brazil and Canada - - 4 4 - - 4 4 Europe - - 722 722 - - 747 747 Indonesia 12 1 2,759 2,772 - 1 2,731 2,732 Asia, except Indonesia and China - - 760 760 - - 786 786 China - 1 16 17 - 1 19 20 Oman - - 1,226 1,226 - - 1,263 1,263 Total 1,901 11,001 48,666 61,568 1,798 10,238 44,938 56,974 |
Costs and expenses by nature (T
Costs and expenses by nature (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of cost of goods sold and services rendered | Schedule of cost of goods sold and services rendered Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Materials and services 1,007 855 1,816 1,534 Freight 999 1,175 1,681 2,002 Maintenance 954 806 1,766 1,433 Depreciation, depletion and amortization 737 777 1,350 1,422 Acquisition of products 547 674 1,082 1,135 Personnel 466 457 923 838 Fuel oil and gas 425 353 810 637 Royalties 320 279 552 488 Energy 185 180 352 332 Others 300 394 557 751 Total 5,940 5,950 10,889 10,572 Cost of goods sold 5,805 5,800 10,632 10,289 Cost of services rendered 135 150 257 283 Total 5,940 5,950 10,889 10,572 |
Schedule of selling and administrative expenses | Schedule of selling and administrative expenses Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Personnel 52 44 97 98 Services 30 30 58 52 Selling 21 24 39 43 Depreciation and amortization 14 12 25 23 Other 22 17 38 32 Total 139 127 257 248 |
Schedule of other operating expenses, net | Schedule of other operating expenses, net Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Expenses related to Brumadinho event 22 271 280 382 403 Expenses related to de-characterization of dam 24(a) - - - 37 Asset retirement obligations 24(b) 13 40 13 40 Provision for litigations 26(a) 52 48 83 64 Profit sharing program 32 19 87 67 Other 20 58 42 100 Total 388 445 607 711 |
Financial results (Tables)
Financial results (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of financial result | Schedule of financial result Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Financial income Short-term investments 82 121 170 250 Other 24 16 57 37 106 137 227 287 Financial expenses Loans and borrowings gross interest (185) (162) (365) (323) Capitalized loans and borrowing costs 5 17 10 31 Interest on REFIS (38) (39) (76) (71) Interest on lease liabilities 21 (15) (16) (30) (32) Bond premium repurchase (22) (113) (22) (113) Other (142) (59) (234) (159) (397) (372) (717) (667) Other financial items, net Participative shareholders' debentures 20 321 537 274 288 Financial guarantees 15(a) - 356 - 479 Derivative financial instruments, net 18(c) 563 (270) 755 591 Foreign exchange and indexation gains (losses), net (i) (750) 433 (1,226) (399) 134 1,056 (197) 959 Total (157) 821 (687) 579 (i) It mainly includes foreign exchange gains or losses from accounts receivable (note 10) and loans (note 21) and indexation adjustments from liabilities related to Brumadinho (note 22), associates and joint ventures (note 23), de-characterization of dams and asset retirement obligations (note 24) and legal proceedings (note 26a). |
Income taxes (Tables)
Income taxes (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of income tax reconciliation | Schedule of income tax reconciliation Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Income before income taxes 2,720 5,056 5,016 11,625 Income taxes at statutory rate (34%) (925) (1,719) (1,705) (3,953) Adjustments that affect the taxes basis: Tax incentives 497 565 902 1,059 Equity results 33 22 3 30 Addition (reduction) of tax loss carryforward (172) 211 (243) (444) Reversal of deferred income tax related to Renova Foundation 3 and 23(c) (1,078) - (1,078) - Other (147) 10 (89) 306 Income taxes (1,792) (911) (2,210) (3,002) Current tax (404) (1,181) (622) (1,434) Deferred tax (1,388) 270 (1,588) (1,568) Income taxes (1,792) (911) (2,210) (3,002) |
Schedule of changes is deferred tax | Schedule of changes is deferred tax Assets Liabilities Deferred taxes, net Balance at December 31, 2022 10,770 1,413 9,357 Effect in income statement (1,620) (32) (1,588) Translation adjustment 784 32 752 Other comprehensive income (30) (2) (28) Balance at June 30, 2023 9,904 1,411 8,493 Balance at December 31, 2021 11,441 1,881 9,560 Effect in income statement (1,524) 44 (1,568) Translation adjustment 651 (1) 652 Other comprehensive income (25) 47 (72) Transfers between assets and liabilities (183) (183) - Other - (29) 29 Balance at June 30, 2022 10,360 1,759 8,601 |
Schedule of income taxes settlement | Schedule of income taxes settlement June 30, 2023 December 31, 2022 Current liabilities 416 371 Non-current liabilities 1,886 1,869 REFIS liabilities 2,302 2,240 SELIC rate 13.75 13.75 |
Schedule of recoverable and payable taxes | Schedule of recoverable and payable taxes June 30, 2023 December 31, 2022 Current assets Non-current assets Current liabilities Current assets Non-current assets Current liabilities Value-added tax ("ICMS") 279 1 24 261 1 46 Brazilian federal contributions ("PIS" and "COFINS") 917 855 69 690 740 35 Income taxes 296 373 604 309 369 221 Financial compensation for the exploration of mineral resources ("CFEM") - - 66 - - 54 Other 10 - 119 12 - 114 Total 1,502 1,229 882 1,272 1,110 470 |
Basic and diluted earnings pe_2
Basic and diluted earnings per share (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of basic and diluted earnings (loss) per share | Schedule of basic and diluted earnings (loss) per share Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Net income attributable to Vale's shareholders Net income from continuing operations 892 4,093 2,729 8,549 Net income from discontinued operations - 2,058 - 2,060 Net income 892 6,151 2,729 10,609 Thousands of shares Weighted average number of common shares outstanding 4,396,778 4,668,739 4,424,788 4,737,806 Weighted average number of common shares outstanding and potential ordinary shares 4,400,609 4,673,377 4,428,619 4,742,444 Basic and diluted earnings per share from continuing operations Common share (US$) 0.20 0.88 0.62 1.80 Basic and diluted earnings per share from discontinued operations Common share (US$) - 0.44 - 0.43 Basic and diluted earnings per share Common share (US$) 0.20 1.32 0.62 2.24 |
Cash flows reconciliation (Tabl
Cash flows reconciliation (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Cash Flows Reconciliation | |
Cash flow from operating activities | Cash flow from operating activities Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Cash flow from operating activities: Income before income taxes 2,720 5,056 5,016 11,625 Adjusted for: Equity results and other results in associates and joint ventures 14 and 23 (5) 56 50 (155) Impairment (impairment reversal) and results on disposal of non-current assets, net 15 and 17 66 82 70 (990) Provisions related to Brumadinho 22 140 126 140 126 Provision for de-characterization of dams 24 - - - 37 Depreciation, depletion and amortization 779 810 1,435 1,496 Financial results, net 6 157 (821) 687 (579) Changes in assets and liabilities: Accounts receivable 10 (247) 902 1,439 1,779 Inventories 11 (157) (305) (520) (609) Suppliers and contractors 12 570 432 465 (240) Other assets and liabilities, net (764) (600) (1,243) (1,221) Cash flow from operations 3,259 5,738 7,539 11,269 |
Cash flow from investing activities | Cash flow from investing activities Three-month period ended June 30, Six-month period ended June 30, Notes 2023 2022 2023 2022 Cash received from the sale of California Steel Industries 15(d) - - - 437 Cash received from the sale of Companhia Siderúrgica do Pecém - - 1,082 - Cash contribution to Companhia Siderúrgica do Pecém 15(a) - - (1,149) - Proceeds (payments) from disposal of investments, net - - (67) 437 |
Reconciliation of debt to cash flows | Reconciliation of debt to cash flows Quoted in the secondary market Debt contracts in Brazil Debt contracts on the international market Total December 31, 2022 6,497 280 4,404 11,181 Additions 1,500 - 300 1,800 Payments (517) (38) (65) (620) Interest paid (i) (237) (16) (116) (369) Cash flow from financing activities 746 (54) 119 811 Effect of exchange rate 7 34 3 44 Interest accretion 234 16 131 381 Non-cash changes 241 50 134 425 June 30, 2023 7,484 276 4,657 12,417 Quoted in the secondary market Debt contracts in Brazil Debt contracts on the international market Total December 31, 2021 7,974 380 3,826 12,180 Additions - - 625 625 Payments (1,317) (174) (337) (1,828) Interest paid (i) (388) (37) (31) (456) Cash flow from financing activities (1,705) (211) 257 (1,659) Effect of exchange rate 71 77 (76) 72 Interest accretion 318 89 31 438 Non-cash changes 389 166 (45) 510 June 30, 2022 6,658 335 4,038 11,031 (i) Classified as operating activities in the statement of cash flows. |
Non-cash transactions | Non-cash transactions Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Non-cash transactions: Additions to property, plant and equipment - capitalized loans and borrowing costs 5 17 10 31 |
Accounts receivable (Tables)
Accounts receivable (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of accounts receivable | Schedule of accounts receivable Notes June 30, 2023 December 31, 2022 Receivables from contracts with customers Related parties 29 118 211 Third parties Iron Solutions 2,146 3,132 Energy Transition Metals 731 984 Other 16 35 Accounts receivable 3,011 4,362 Expected credit loss (44) (43) Accounts receivable, net 2,967 4,319 |
Schedule of sensitivity of the company’s risk on final settlement | Schedule of sensitivity of the company’s risk on final settlement June 30, 2023 Thousand metric tons Provisional price (US$/ton) Variation Effect on Revenue (US$ million) Iron ore 22,564 102 +/- 10 +/- 230 Copper 77 7,811 +/- 10 +/- 60 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of inventories | Schedule of inventories June 30, 2023 December 31, 2022 Finished products Iron Solutions 2,638 2,126 Energy Transition Metals 638 651 3,276 2,777 Work in progress 901 800 Consumable inventory 1,157 1,010 Allowance to net realizable value (i) (141) (105) Total of inventories 5,193 4,482 (i) In the six-month period ended June 30, 2023, the effect of allowance to net realizable value was US$47 (2022: US$22). |
Suppliers and contractors (Tabl
Suppliers and contractors (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of amount due to suppliers and contractors | Schedule of amount due to suppliers and contractors Notes June 30, 2023 December 31, 2022 Third parties – Brazil 3,318 2,691 Third parties – Abroad 1,753 1,599 Related parties 29 169 171 Total 5,240 4,461 |
Other financial assets and li_2
Other financial assets and liabilities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Other Financial Assets And Liabilities | |
Schedule of other financial assets and liabilities | Schedule of other financial assets and liabilities Current Non-Current Notes June 30, 2023 December 31, 2022 June 30, 2023 December 31, 2022 Other financial assets Restricted cash - - 108 77 Derivative financial instruments 18 522 342 559 196 Investments in equity securities (i) - - 31 7 522 342 698 280 Other financial liabilities Derivative financial instruments 18 47 90 98 186 Other financial liabilities - Related parties 29(b) 187 400 - - Financial guarantees provided (ii) 15(a) - - - 103 Liabilities related to the concession grant 13(a) 611 416 2,673 2,554 Contract liability and other financial liabilities (iii) 754 766 - - 1,599 1,672 2,771 2,843 (i) It mainly relates to a 2.66% noncontrolling interest in Boston Electrometallurgical Company, which aims to promote the development of a technology focused on reducing carbon dioxide emissions in steel production. (ii) In March 2023, the Company completed the sale of its interest in CSP and derecognized the financial guarantee granted by the Company. (iii) Includes advances received from customers that meets the definition of contract liability described in IFRS 15 – Revenue from Contracts with Customers and other financial liabilities that meets the definition of a financial liability described in IAS 32 - Financial Instruments: Presentation. |
Schedule of liabilities related to the concession grant | Schedule of liabilities related to the concession grant December 31, 2022 Addition Present value adjustment Disbursements June 30, 2023 Payment obligation 954 5 131 (27) 1,063 Infrastructure investment 2,016 77 215 (87) 2,221 2,970 82 346 (114) 3,284 Current liabilities 416 611 Non-current liabilities 2,554 2,673 Liabilities 2,970 3,284 Discount rate in nominal terms - Payment obligation 11.04 11.04 Discount rate in nominal terms - Infrastructure investment 6.08 6.23 5.10 5.57 |
Investments in subsidiaries, _2
Investments in subsidiaries, associates, and joint ventures (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Investments In Subsidiaries Associates And Joint Ventures | |
Schedule of investments in associates and joint ventures, equity results and dividends received | Schedule of investments in associates and joint ventures, equity results and dividends received Investments in associates and joint ventures Equity results Dividends received Three-month period ended June 30, Six-month period ended June 30, Three-month period ended June 30, Six-month period ended June 30, Associates and joint ventures Notes % ownership % voting capital June 30, 2023 December 31, 2022 2023 2022 2023 2022 2023 2022 2023 2022 Iron Solutions Baovale Mineração S.A. 50.00 50.00 28 24 - - 1 1 - - - - Companhia Coreano-Brasileira de Pelotização 50.00 50.00 69 80 5 10 9 22 14 10 14 10 Companhia Hispano-Brasileira de Pelotização 50.89 50.00 42 48 1 - 4 - 19 1 19 1 Companhia Ítalo-Brasileira de Pelotização 50.90 50.00 58 62 3 12 7 13 23 19 23 19 Companhia Nipo-Brasileira de Pelotização 51.00 50.00 147 145 8 12 15 22 33 41 33 41 MRS Logística S.A. 48.16 47.09 599 509 41 20 47 30 - - - - Samarco Mineração S.A. 23 50.00 50.00 - - - - - - - - - - VLI S.A. 29.60 29.60 366 428 31 (2) (90) (20) - - - - 1,309 1,296 89 52 (7) 68 89 71 89 71 Energy Transition Metals Korea Nickel Corp. (i) - - - - - 1 - 3 - - - - PT Kolaka Nickel Indonesia 20.00 20.00 12 - - - - - - - - - 12 - - 1 - 3 - - - - Others Aliança Geração de Energia S.A. 55.00 55.00 408 340 9 8 18 16 16 - 16 - Aliança Norte Energia Participações S.A. 51.00 51.00 112 106 (2) (1) (3) (3) - - - - California Steel Industries, Inc. 15(e) - - - - - - - - - - - 65 Other 60 56 2 1 2 3 - - - - 580 502 9 8 17 16 16 - 16 65 Equity results in associates and joint ventures 1,901 1,798 98 61 10 87 105 71 105 136 Other results in associates and joint ventures 15 - - (93) (117) (60) 68 - - - - Equity results and other results in associates and joint ventures 1,901 1,798 5 (56) (50) 155 105 71 105 136 (I) In September 2022, Vale completed the sale of its 25% stake in Korea Nickel Corp to Posco. for US$16. |
Schedule of changes in investments in associates and joint ventures | Schedule of changes in investments in associates and joint ventures 2023 2022 Balance at January 1, 1,798 1,751 Additions and capitalizations 1 - Equity results and other results in associates and joint ventures 10 87 Dividends declared (60) (48) Translation adjustment 142 111 Other 10 (110) Balance at June 30, 1,901 1,791 |
Acquisitions and divestitures (
Acquisitions and divestitures (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Acquisitions And Divestitures | |
Schedule of acquisitions and divestitures | Schedule of acquisitions and divestitures Three-month period ended June 30, 2023 Six-month period ended June 30, 2023 Reference Impairment reversal (impairment) of non-current assets Equity results and other results in associates and joint ventures Impairment reversal (impairment) of non-current assets Equity results and other results in associates and joint ventures Companhia Siderúrgica do Pecém 15(a) - - - 37 Mineração Rio do Norte 15(c) - (93) - (93) - (93) - (56) Three-month period ended June 30, 2022 Six-month period ended June 30, 2022 Reference Impairment reversal (impairment) of non-current assets Equity results and other results in associates and joint ventures Impairment reversal (impairment) of non-current assets Equity results and other results in associates and joint ventures Midwestern System 15(d) (30) - 1,104 - California Steel Industries 15(e) - (5) - 292 Companhia Siderúrgica do Pecém 15(a) - (24) - (135) (30) (29) 1,104 157 Discontinued operations (Coal) 15(f) (429) (589) (459) (29) 515 157 |
Schedule of net income and cash flows from discontinued operations | Schedule of net income and cash flows from discontinued operations Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Net income from discontinued operations Net operating revenue - - - 448 Cost of goods sold and services rendered - - - (264) Operating expenses - - - (13) Impairment and results on disposals of non-current assets, net - (429) - (589) Operating loss - (429) - (418) Cumulative translation adjustments 3,072 3,072 Derecognition of noncontrolling interest (585) (585) Financial results, net - - - (7) Net income before income taxes - 2,058 - 2,062 Income taxes - - - (2) Net income from discontinued operations - 2,058 - 2,060 Net income attributable to Vale's shareholders - 2,058 - 2,060 Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Cash flow from discontinued operations Operating activities Net income before income taxes - 2,058 - 2,062 Adjustments: Impairment and results on disposals of non-current assets, net - 429 - 589 Derecognition of noncontrolling interest - 585 - 585 Financial results, net - (3,072) - (3,065) Decrease in assets and liabilities - - - (130) Net cash generated by operating activities - - - 41 Investing activities Additions to property, plant and equipment - - - (38) Disposal of coal, net of cash - (65) - (65) Net cash used in investing activities - (65) - (103) Financing activities Payments - - - (11) Net cash used by financing activities - - - (11) Net cash used by discontinued operations - (65) - (73) |
Intangibles (Tables)
Intangibles (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of movements in intangibles | Schedule of movements in intangibles Goodwill Concessions Software Research and development project Total Balance at December 31, 2022 3,189 6,434 87 528 10,238 Additions - 167 13 3 183 Disposals - (7) - - (7) Amortization - (123) (21) - (144) Translation adjustment 151 530 6 44 731 Balance at June 30, 2023 3,340 7,001 85 575 11,001 Cost 3,340 8,601 600 575 13,116 Accumulated amortization - (1,600) (515) - (2,115) Balance at June 30, 2023 3,340 7,001 85 575 11,001 Balance at December 31, 2021 3,208 5,223 86 494 9,011 Additions - 132 17 - 149 Disposals - (9) - - (9) Amortization - (120) (22) - (142) Translation adjustment 63 341 2 33 439 Balance at June 30, 2022 3,271 5,567 83 527 9,448 Cost 3,271 6,846 550 527 11,194 Accumulated amortization - (1,279) (467) - (1,746) Balance at June 30, 2022 3,271 5,567 83 527 9,448 |
Property, plant, and equipment
Property, plant, and equipment (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of movements in property, plant and equipment | Schedule of movements in property, plant and equipment Consolidated Notes Building and land Facilities Equipment Mineral properties Railway equipment Right of use assets Other Constructions in progress Total Balance at December 31, 2022 8,913 8,042 4,984 7,112 2,475 1,455 2,632 9,325 44,938 Additions (i) - - - - - 19 - 2,430 2,449 Disposals (8) (8) (5) - (5) - (1) (53) (80) Assets retirement obligation 24(b) - - - 99 - - - - 99 Depreciation, depletion and amortization (224) (250) (364) (241) (81) (91) (163) - (1,414) Translation adjustment 607 608 229 302 198 31 153 546 2,674 Transfers 772 586 371 46 47 - 166 (1,988) - Balance at June 30, 2023 10,060 8,978 5,215 7,318 2,634 1,414 2,787 10,260 48,666 Cost 17,700 14,330 12,418 16,285 4,455 2,196 5,903 10,260 83,547 Accumulated depreciation (7,640) (5,352) (7,203) (8,967) (1,821) (782) (3,116) - (34,881) Balance at June 30, 2023 10,060 8,978 5,215 7,318 2,634 1,414 2,787 10,260 48,666 Balance at December 31, 2021 8,137 7,232 4,743 7,742 2,334 1,537 2,484 7,722 41,931 Additions (i) - - - - - 29 - 2,343 2,372 Disposals (14) (8) (4) - (5) - (1) (45) (77) Assets retirement obligation 24(b) - - - (1,077) - - - - (1,077) Depreciation, depletion and amortization (205) (245) (351) (236) (82) (94) (147) - (1,360) Impairment reversal 56 34 64 39 - - 21 - 214 Transfer to asset held for sale - Midwestern System (56) (34) (64) (39) - - (21) - (214) Translation adjustment 348 370 128 75 151 26 78 201 1,377 Transfers 240 297 303 347 73 - 207 (1,467) - Balance at June 30, 2022 8,506 7,646 4,819 6,851 2,471 1,498 2,621 8,754 43,166 Cost 15,612 12,369 11,291 16,317 4,021 2,062 5,802 8,754 76,228 Accumulated depreciation (7,106) (4,723) (6,472) (9,466) (1,550) (564) (3,181) - (33,062) Balance at June 30, 2022 8,506 7,646 4,819 6,851 2,471 1,498 2,621 8,754 43,166 (i) Includes capitalized interest. |
Schedule of right of use assets (lease) | Schedule of right of use assets (lease) December 31, 2022 Additions and contract modifications Depreciation Translation adjustment June 30, 2023 Ports 657 - (27) 6 636 Vessels 453 5 (21) - 437 Pelletizing plants 204 12 (25) 17 208 Properties 87 - (13) 7 81 Energy plants 39 - (3) 1 37 Mining equipment 15 2 (2) - 15 Total 1,455 19 (91) 31 1,414 |
Financial and capital risk ma_2
Financial and capital risk management (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
IfrsStatementLineItems [Line Items] | |
Schedule of derivatives effects on statement of financial position | Schedule of derivatives effects on statement of financial position June 30, 2023 December 31, 2022 Assets Liabilities Assets Liabilities Foreign exchange and interest rate risk CDI & TJLP vs. US$ fixed and floating rate swap 90 30 11 144 IPCA swap - 41 - 63 Dollar swap and forward transactions 868 - 407 7 LIBOR swap 8 - 7 - 966 71 425 214 Commodities price risk Gasoil, Brent and freight 70 71 78 56 Energy Transition Metals 45 - 35 1 115 71 113 57 Other - 3 - 5 Total 1,081 145 538 276 b) Net exposure June 30, 2023 December 31, 2022 Foreign exchange and interest rate risk CDI & TJLP vs. US$ fixed and floating rate swap 60 (133) IPCA swap (41) (63) Dollar swap and forward transactions 868 400 LIBOR swap (i) 8 7 895 211 Commodities price risk Gasoil, Brent and freight (1) 22 Energy Transition Metals 45 34 44 56 Other (3) (5) Total 936 262 (i) In March 2021, the UK Financial Conduct Authority (“FCA”), the financial regulator in the United Kingdom, announced the discontinuation of the LIBOR rate for all terms in pounds, euros, Swiss francs, yen and for terms of one week and two months in dollars at the end of December 2021 and the other terms at the end of June 2023. Vale has finalized the negotiations for the replacement of the reference interest rate of its financial contracts from LIBOR to Secured Overnight Financing Rate ("SOFR"), with spread adjustments to match the transaction costs. The Company does not expect material impacts on the cash flows of these operations. |
Schedule of effects of derivatives on the income statement | Schedule of effects of derivatives on the income statement Gain (loss) recognized in the income statement Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Foreign exchange and interest rate risk CDI & TJLP vs. US$ fixed and floating rate swap 144 (121) 188 269 IPCA swap 23 (11) 30 66 Dollar swap and forward operations 376 (163) 538 198 LIBOR swap 2 7 5 42 Forwards 13 - 13 - 558 (288) 774 575 Commodities price risk Gasoil, Brent and freight 4 10 (20) 25 Energy Transition Metals - 16 (1) 9 4 26 (21) 34 Other 1 (8) 2 (18) Total 563 (270) 755 591 d) Effects of derivatives on the cash flows Financial settlement inflows (outflows) Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Foreign exchange and interest rate risk CDI & TJLP vs. US$ fixed and floating rate swap (4) (17) (8) (43) IPCA swap 2 8 3 11 Dollar swap and forward operations 98 54 118 84 LIBOR swap 4 - 4 (1) Forwards 13 - 13 - 113 45 130 51 Commodities price risk Gasoil, Brent and freight 1 6 3 9 Energy Transition Metals 20 (93) 39 (178) 21 (87) 42 (169) Total 134 (42) 172 (118) |
Schedule of protection program | Schedule of protection program Notional Fair value Financial Settlement Inflows (Outflows) Value at Risk Fair value by year Flow June 30, 2023 December 31, 2022 Index Average rate June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 2023 2024 LIBOR vs. US$ fixed rate swap 8 7 4 - 4 4 Receivable US$ 150 US$ 150 LIBOR 0.85 Payable US$ 150 US$ 150 Fix 0.85 8 7 4 - 4 4 |
Schedule of sensitivity analysis of these derivative financial instruments | Schedule of sensitivity analysis of these derivative financial instruments Instrument Instrument's main risk events Fair value Scenario I (∆ of 25%) Scenario II (∆ of 50%) CDI vs. US$ fixed rate swap R$ depreciation 88 (229) (546) US$ interest rate inside Brazil decrease 88 46 - Brazilian interest rate increase 88 56 24 Protected item: R$ denominated liabilities R$ depreciation n.a. - - TJLP vs. US$ fixed rate swap R$ depreciation (28) (72) (116) US$ interest rate inside Brazil decrease (28) (33) (40) Brazilian interest rate increase (28) (36) (43) TJLP interest rate decrease (28) (34) (40) Protected item: R$ denominated debt R$ depreciation n.a. - - IPCA swap vs. US$ fixed rate swap R$ depreciation (41) (112) (183) US$ interest rate inside Brazil decrease (41) (50) (60) Brazilian interest rate increase (41) (54) (67) IPCA index decrease (41) (47) (53) Protected item: R$ denominated debt R$ depreciation n.a. - - R$ fixed rate vs. US$ fixed rate swap R$ depreciation 791 (57) (906) US$ interest rate inside Brazil decrease 791 728 663 Brazilian interest rate increase 791 666 548 Protected item: R$ denominated debt R$ depreciation n.a. - - Forward R$ depreciation 77 (8) (93) US$ interest rate inside Brazil decrease 77 73 68 Brazilian interest rate increase 77 68 60 Protected item: R$ denominated liabilities R$ depreciation n.a. - - |
Schedule of sensitivity analysis of these derivative financial instruments | Schedule of sensitivity analysis of these derivative financial instruments Instrument Instrument's main risk events Fair value Scenario I (∆ of 25%) Scenario II (∆ of 50%) LIBOR vs. US$ fixed rate swap US$ LIBOR decrease 8 7 6 Protected item: LIBOR US$ indexed debt US$ LIBOR decrease n.a. (7) (6) |
Schedule of protection for american treasury volatility | Schedule of protection for american treasury volatility Notional Fair value Financial Settlement Inflows (Outflows) Value at Risk Fair value by year Flow June 30, 2023 December 31, 2022 Index Average rate June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 2023 Forwards - - B - - - 13 - - |
Schedule of protection program | Schedule of protection program Notional Fair value Financial settlement Inflows (Outflows) Value at Risk Fair value by year Flow June 30, 2023 December 31, 2022 Bought / Sold Average strike (US$) June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 2023 2024 Brent crude oil (bbl) Call options 31,139,250 22,600,500 B 95 68 74 - 15 6 62 Put options 31,139,250 22,600,500 S 62 (71) (51) - 16 (23) (48) Forward Freight Agreement (days) Freight forwards 960 2,085 B 13,791 2 (1) 3 1 2 - (1) 22 3 32 (15) 14 |
Schedule of sensitivity analysis of these derivative financial instruments | Schedule of sensitivity analysis of these derivative financial instruments Instrument Instrument's main risk events Fair value Scenario I (∆ of 25%) Scenario II (∆ of 50%) Brent crude oil (bbl) Options Price input decrease (3) (288) (759) Protected item: Part of costs linked to fuel oil prices Price input decrease n.a. 288 759 Forward Freight Agreement (days) Forwards Freight price decrease 2 (2) (5) Protected item: Part of costs linked to maritime freight prices Freight price decrease n.a. 2 5 |
Schedule of other derivatives | Schedule of other derivatives Notional Fair value Financial settlement Inflows (Outflows) Value at Risk Fair value by year Flow June 30, 2023 December 31, 2022 Bought / Sold Average strike (US$/ton) June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 2023+ Fixed price nickel sales protection (ton) Nickel forwards 2,580 766 B 20,842 - 7 3 3 - Hedge program for products acquisition for resale (ton) Nickel forwards - 384 S - - (1) 2 - - - 6 5 3 - Embedded derivative (pellet price) in natural gas purchase (volume/month) Call options 746,667 746,667 S 233 (3) (5) - 2 (3) (3) (5) - 2 (3) |
Schedule of sensitivity analysis of these derivative financial instruments | Schedule of sensitivity analysis of these derivative financial instruments Instrument Instrument's main risk events Fair value Scenario I (∆ of 25%) Scenario II (∆ of 50%) Fixed price sales protection (ton) Forwards Nickel price decrease - (14) (27) Protected item: Part of nickel revenues with fixed prices Nickel price decrease - 14 27 Hedge program for products acquisition for resale (ton) Forwards Nickel price increase - - - Protected item: Part of revenues from products for resale Nickel price increase - - - Embedded derivative (pellet price) in natural gas purchase agreement (volume/month) Embedded derivatives - Gas purchase Pellet price increase (3) (8) (16) |
Schedule of effects of derivatives on other comprehensive income | Schedule of effects of derivatives on other comprehensive income Gain (loss) recognized in the other comprehensive income Three-month period ended June 30, Six-month period ended June 30, 2023 2022 2023 2022 Net investments hedge 96 (145) 145 74 Cash flow hedge (5) 312 14 8 |
Schedule of cash flow hedge | Schedule of cash flow hedge Notional (ton) Fair value Financial settlement Inflows (Outflows) Value at Risk Fair value by year Flow June 30, 2023 December 31, 2022 Bought / Sold Average strike (US$/ton) June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 2023 Nickel revenue hedge program Forward (3,150) 6,300 S 34,929 45 28 34 4 45 45 28 34 4 45 |
Schedule of derivative financial instruments | Schedule of derivative financial instruments Instrument Instrument's main risk events Fair value Scenario I (∆ of 25%) Scenario II (∆ of 50%) Nickel Revenue Hedging Program Forward Nickel price increase 45 29 13 Protected item: Part of nickel revenues with fixed sales prices Nickel price increase n.a. (29) (13) |
Schedule of ratings published by Moody's regarding the main financial institutions | Schedule of ratings published by Moody's regarding the main financial institutions June 30, 2023 December 31, 2022 Cash and cash equivalents and investment Derivatives Cash and cash equivalents and investment Derivatives Aa1 36 - 32 - Aa2 726 - 342 5 Aa3 190 - 239 - A1 1,602 139 1,746 97 A2 736 296 938 145 A3 713 52 918 62 Baa1 - - - - Baa2 51 - 7 - Ba2 (i) 798 426 411 174 Ba3 (i) 177 168 164 54 5,029 1,081 4,797 538 (i) A substantial part of the balances is held with financial institutions in Brazil and, in local currency, they are deemed investment grade . |
Market Risk Foreign Exchange And Interest Rates [Member] | |
IfrsStatementLineItems [Line Items] | |
Schedule of protection program | Schedule of protection program Notional Fair value Financial Settlement Inflows (Outflows) Value at Risk Fair value by year Flow June 30, 2023 December 31, 2022 Index Average rate June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 2023 2024 2025+ CDI vs. US$ fixed rate swap 88 (83) (7) 23 8 16 64 Receivable R$ 5,696 R$ 6,356 CDI 100.13 Payable US$ 1,320 US$ 1,475 Fix 1.77 TJLP vs. US$ fixed rate swap (28) (50) (1) 3 (1) (3) (24) Receivable R$ 743 R$ 814 TJLP + 1.05 Payable US$ 186 US$ 204 Fix 3.45 60 (133) (8) 26 7 13 40 IPCA swap vs. US$ fixed rate swap (41) (63) 3 5 - (6) (35) Receivable R$ 1,186 R$ 1,294 IPCA + 4.54 Payable US$ 293 US$ 320 Fix 3.88 (41) (63) 3 5 - (6) (35) R$ fixed rate vs. US$ fixed rate swap 791 318 43 64 265 291 235 Receivable R$ 19,307 R$ 20,854 Fix 7.61 Payable US$ 3,665 US$ 3,948 Fix 0.00 Forward R$ 2,186 R$ 4,342 B 5.24 77 82 75 6 33 34 10 868 400 118 70 298 325 245 |
Financial assets and liabilit_2
Financial assets and liabilities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of financial instruments classification based on its recognition | Schedule of financial instruments classification based on its recognition June 30, 2023 December 31, 2022 Financial assets Notes Amortized cost At fair value through OCI At fair value through profit or loss Total Amortized cost At fair value through OCI At fair value through profit or loss Total Current Cash and cash equivalents 21 4,983 - - 4,983 4,736 - - 4,736 Short-term investments 21 - - 46 46 - - 61 61 Derivative financial instruments 18 - - 522 522 - - 342 342 Accounts receivable 10 424 2,543 2,967 538 - 3,781 4,319 5,407 - 3,111 8,518 5,274 - 4,184 9,458 Non-current Judicial deposits 26(c) 1,326 - - 1,326 1,215 - - 1,215 Restricted cash 108 - - 108 77 - - 77 Derivative financial instruments 18 - - 559 559 - - 196 196 Investments in equity securities 13 - 31 - 31 - 7 - 7 1,434 31 559 2,024 1,292 7 196 1,495 Total of financial assets 6,841 31 3,670 10,542 6,566 7 4,380 10,953 Financial liabilities Current Suppliers and contractors 12 5,240 - - 5,240 4,461 - - 4,461 Derivative financial instruments 18 - - 47 47 - - 90 90 Loans, borrowings and leases 21 912 - - 912 489 - - 489 Liabilities related to the concession grant 13(a) 611 - - 611 416 - - 416 Other financial liabilities - Related parties 29 187 - - 187 400 - - 400 Contract liability and other financial liabilities 754 - - 754 766 - - 766 7,704 - 47 7,751 6,532 - 90 6,622 Non-current Derivative financial instruments 18 - - 98 98 - - 186 186 Loans, borrowings and leases 21 13,025 - - 13,025 12,223 - - 12,223 Participative shareholders' debentures 20 - - 2,528 2,528 - - 2,725 2,725 Liabilities related to the concession grant 13(a) 2,673 - - 2,673 2,554 - - 2,554 Financial guarantees - - - - - - 103 103 15,698 - 2,626 18,324 14,777 - 3,014 17,791 Total of financial liabilities 23,402 - 2,673 26,075 21,309 - 3,104 24,413 |
Schedule of assets and liabilities measured and recognized at fair value | Schedule of assets and liabilities measured and recognized at fair value June 30, 2023 December 31, 2022 Notes Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Financial assets Short-term investments 21 46 - - 46 61 - - 61 Derivative financial instruments 18 - 1,081 - 1,081 - 538 - 538 Accounts receivable 10 - 2,543 - 2,543 - 3,781 - 3,781 Investments in equity securities 13 - 31 - 31 - 7 - 7 46 3,655 - 3,701 61 4,326 - 4,387 Financial liabilities Derivative financial instruments 18 - 145 - 145 - 276 - 276 Participative shareholders' debentures 20 - 2,528 - 2,528 - 2,725 - 2,725 Financial guarantees - - - - - 103 - 103 - 2,673 - 2,673 - 3,104 - 3,104 |
Schedule of fair value and carrying amounts of loans and financing | Schedule of fair value and carrying amounts of loans and financing June 30, 2023 December 31, 2022 Carrying amount Fair value Carrying amount Fair value Quoted in the secondary market: Bonds 7,157 7,175 6,157 6,253 Debentures 227 223 233 225 Debt contracts in Brazil in: R$, indexed to TJLP, TR, IPCA, IGP-M and CDI 276 276 278 278 R$, with fixed interest - - 2 2 Debt contracts in the international market in: US$, with variable and fixed interest 4,512 3,587 4,266 4,391 Other currencies, with variable interest 9 5 9 9 Other currencies, with fixed interest 80 69 89 91 12,261 11,335 11,034 11,249 |
Participative shareholders_ d_2
Participative shareholders’ debentures (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Participative Shareholders Debentures | |
Schedule of income and balance sheet | Schedule of income and balance sheet Financial results Average price (R$) Three-month period ended June 30, Six-month period ended June 30, Liabilities 2023 2022 2023 2022 2023 2022 June 30, 2023 December 31, 2022 Participative shareholders’ debentures 31.35 43.39 321 288 274 288 2,528 2,725 |
Loans, borrowings, leases, ca_2
Loans, borrowings, leases, cash and cash equivalents and short-term investments (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of net debt | Schedule of net debt June 30, 2023 December 31, 2022 Debt contracts 12,417 11,181 Leases 1,520 1,531 Total of loans, borrowings and leases 13,937 12,712 (-) Cash and cash equivalents 4,983 4,736 (-) Short-term investments (i) 46 61 Net debt 8,908 7,915 (i) Substantially comprises investments in exclusive investment fund, whose portfolio is composed of committed transactions and Selic Treasury Notes (“LFTs”), which are floating-rate securities issued by the Brazilian government. |
Schedule of cash and cash equivalents | Schedule of cash and cash equivalents June 30, 2023 December 31, 2022 R$ 1,147 1,770 US$ 3,598 2,798 Other currencies 238 168 4,983 4,736 |
Schedule of total debt | Schedule of total debt Current liabilities Non-current liabilities Average interest rate (i) June 30, 2023 December 31, 2022 June 30, 2023 December 31, 2022 Quoted in the secondary market: US$ Bonds 6.02 - - 7,157 6,157 R$ Debentures (ii) 10.07 95 47 132 186 Debt contracts in Brazil in (iii): R$, indexed to TJLP, TR, IPCA, IGP-M and CDI 10.62 50 46 226 232 R$, with fixed interest 3.04 - 2 - - Debt contracts in the international market in: US$, with variable and fixed interest 5.37 400 54 4,112 4,212 Other currencies, with variable interest 4.10 - - 9 9 Other currencies, with fixed interest 3.87 12 11 68 78 Accrued charges 156 147 - - 713 307 11,704 10,874 (i) In order to determine the average interest rate for debt contracts with floating rates, the Company used the rate applicable as of June 30, 2023. (ii) The Company has debentures in Brazil obtained for the Company's infrastructure investment projects. (iii) The Company entered into derivatives to mitigate the exposure to cash flow variations of all floating rate debt contracted in Brazil, resulting in an average cost of 3.42% per year in US$. |
Schedule of reconciliation of debt to cash flows arising from financing activities | Schedule of reconciliation of debt to cash flows arising from financing activities Principal Estimated future interest payments (i) 2023 39 387 2024 657 759 2025 451 733 2026 572 702 2027 1,700 609 Between 2028 and 2030 3,125 1,519 2031 onwards 5,717 2,173 Total 12,261 6,882 (i) Based on interest rate curves and foreign exchange rates applicable as of June 30, 2023 and considering that the payments of principal will be made on their contracted payments dates. The amount includes the estimated interest not yet accrued and the interest already recognized in the interim financial statements. |
Schedule of lease liabilities | Schedule of lease liabilities December 31, 2022 Additions and contract modifications Payments (i) Interest Translation adjustment June 30, 2023 Ports 690 - (34) 12 6 674 Vessels 441 5 (32) 8 (2) 420 Pelletizing plants 222 12 (2) 5 18 255 Properties 105 - (19) 2 8 96 Energy plants 52 - (2) 2 - 52 Mining equipment 21 2 (3) 1 2 23 Total 1,531 19 (92) 30 32 1,520 Current liabilities 182 199 Non-current liabilities 1,349 1,321 Total 1,531 1,520 (i) The total amount of the variable lease payments not included in the measurement of lease liabilities for the six-month period ended June 30, 2023 was US$ 74 143 |
Schedule of annual minimum payments related | Schedule of annual minimum payments related 2023 2024 2025 2026 2027 onwards Total Average remaining term (years) Discount rate Ports 49 66 65 52 697 929 3 20 3 5 Vessels 46 60 59 54 292 511 2 10 3 4 Pelletizing plants 59 50 47 17 115 288 1 10 2 5 Properties 25 28 18 16 38 125 1 10 1 6 Energy plants 5 7 7 6 46 71 1 7 5 6 Mining equipment 6 6 6 5 2 25 1 5 2 6 Total 190 217 202 150 1,190 1,949 |
Brumadinho dam failure (Tables)
Brumadinho dam failure (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Brumadinho Dam Failure | |
Schedule of changes in provisions to meet its assumed obligations, including de-characterization of the dams | Schedule of changes in provisions to meet its assumed obligations, including de-characterization of the dams December 31, 2022 Operating expense Monetary and present value adjustments Disbursements Translation adjustment June 30, 2023 Global Settlement for Brumadinho Payment obligations 882 - 42 (243) 67 748 Provision for socio-economic reparation and others 867 - 62 (238) 63 754 Provision for social and environmental reparation 777 - 51 (25) 65 868 2,526 - 155 (506) 195 2,370 Commitments Tailings containment and geotechnical safety 559 - 30 (67) 45 567 Individual indemnification 45 82 2 (32) 3 100 Other commitments 182 58 1 (16) 14 239 786 140 33 (115) 62 906 Liability 3,312 140 188 (621) 257 3,276 Current liability 944 1,201 Non-current liability 2,368 2,075 Liability 3,312 3,276 Discount rate in nominal terms 9.08 9.37 (i) In addition, the Company has incurred expenses, which have been recognized straight to the income statement as “other operating expenses, net” (note 5c), in relation to tailings management, humanitarian assistance, payroll, legal services, water supply, among others. In the six-month period ended June 30, 2023, the Company incurred expenses in the amount of US$ 242 277 |
Liabilities related to associ_2
Liabilities related to associates and joint ventures (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Liabilities Related To Associates And Joint Ventures | |
Schedule of changes on the provisions related to samarco dam failure | Schedule of changes on the provisions related to samarco dam failure December 31, 2022 Monetary and present value adjustments Disbursements Translation adjustments June 30, 2023 Renova Foundation reparation and compensation programs 3,124 128 (108) 257 3,401 De-characterization of the Germano dam 197 5 - 16 218 Liabilities 3,321 133 (108) 273 3,619 Current liabilities 1,911 1,044 Non-current liabilities 1,410 2,575 Liabilities 3,321 3,619 Discount rate in nominal terms 6.20 9.51 5.46 9.20 |
Provision for de-characteriza_2
Provision for de-characterization of dam structures and asset retirement obligations (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Provision For De-characterization Of Dam Structures And Asset Retirement Obligations | |
Schedule of changes in the provisions, de-characterization of dam structures located in Brazil | Schedule of changes in the provisions, de-characterization of dam structures located in Brazil 2023 2022 Balance at January 1, 3,378 3,523 Additional provision - 37 Disbursements (173) (152) Present value valuation 179 (104) Translation adjustment 277 240 Balance at June 30, 3,661 3,544 June 30, 2023 December 31, 2022 Current liabilities 502 357 Non-current liabilities 3,159 3,021 Liabilities 3,661 3,378 |
Schedule of changes in the provision of asset retirement obligations and environmental obligations | Schedule of changes in the provision of asset retirement obligations and environmental obligations Liability Discount rate Cash flow maturity June 30, 2023 December 31, 2022 June 30, 2023 December 31, 2022 June 30, 2023 December 31, 2022 Liability by geographical area Brazil 2,035 1,788 5.46% 6.20% 2096 2096 Canada 1,649 1,683 1.35 % - 1.61 % 1.11% 2151 2148 Oman 114 114 3.25% 3.90% 2035 2035 Indonesia 87 73 3.76% 4.33% 2062 2061 Other regions 139 145 1.70 % - 2.45 % 1.84 % - 2.00 % - - 4,024 3,803 |
Schedule of provision changes | Schedule of provision changes 2023 2022 Asset retirement obligations Environmental obligations Total Asset retirement obligations Environmental obligations Total Balance on January 1, 3,466 337 3,803 4,283 297 4,580 Adjustment to present value 64 1 65 26 1 27 Disbursements (61) (51) (112) (42) (28) (70) Revisions on projected cash flows (7) 80 73 (1,145) (6) (1,151) Transfer to assets held for sale - - - (49) (2) (51) Translation adjustment 168 27 195 33 18 51 Balance on June 30, 3,630 394 4,024 3,106 280 3,386 June 30, 2023 December 31, 2022 Asset retirement obligations Environmental obligations Total Asset retirement obligations Environmental obligations Total Current 243 154 397 210 94 304 Non-current 3,387 240 3,627 3,256 243 3,499 Liability 3,630 394 4,024 3,466 337 3,803 |
Provisions (Tables)
Provisions (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of provisions | Schedule of provisions Current liabilities Non-current liabilities Notes June 30, 2023 December 31, 2022 June 30, 2023 December 31, 2022 Provisions for litigation 26 121 106 1,347 1,186 Employee post retirement obligation 27 68 66 1,353 1,260 Payroll, related charges and other remunerations 660 864 - - 849 1,036 2,700 2,446 |
Litigations (Tables)
Litigations (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of changes in provision for litigations | Schedule of changes in provision for litigations Tax litigation Civil litigation Labor litigation Environmental litigation Total of litigation provision Balance at December 31, 2022 576 291 411 14 1,292 Additions and reversals, net 3 27 51 2 83 Payments (3) (23) (39) (3) (68) Indexation and interest 18 20 11 2 51 Translation adjustment 49 23 37 1 110 Balance at June 30, 2023 643 338 471 16 1,468 Current liabilities 20 24 75 2 121 Non-current liabilities 623 314 396 14 1,347 Balance at June 30, 2023 643 338 471 16 1,468 Balance at December 31, 2021 456 284 358 7 1,105 Additions and reversals, net 2 24 32 6 64 Payments (1) (26) (25) - (52) Indexation and interest 14 28 14 - 56 Translation adjustment 29 15 25 1 70 Discontinued operations (1) (7) (2) - (10) Balance at June 30, 2022 499 318 402 14 1,233 Current liabilities 15 23 64 6 108 Non-current liabilities 484 295 338 8 1,125 Balance at June 30, 2022 499 318 402 14 1,233 |
Schedule of contingent liabilities | Schedule of contingent liabilities June 30, 2023 December 31, 2022 Tax litigations 6,892 6,590 Civil litigations 1,289 1,270 Labor litigations 492 569 Environmental litigations 1,269 1,102 Total 9,942 9,531 |
Schedule of judicial deposits | Schedule of judicial deposits June 30, 2023 December 31, 2022 Tax litigations 1,052 945 Civil litigations 116 123 Labor litigations 142 134 Environmental litigations 16 13 Total 1,326 1,215 |
Employee benefits (Tables)
Employee benefits (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Employee Benefits | |
Schedule of reconciliation of assets and liabilities recognized in the statement of financial position | Schedule of reconciliation of assets and liabilities recognized in the statement of financial position June 30, 2023 December 31, 2022 Overfunded pension plans (i) Underfunded pension plans Other benefits Overfunded pension plans Underfunded pension plans Other benefits Balance at beginning of the period 1,114 - - 919 - - Interest income 53 - - 84 - - Changes on asset ceiling 350 - - 65 - - Translation adjustment 85 - - 46 - - Balance at end of the period 1,602 - - 1,114 - - Amount recognized in the statement of financial position Present value of actuarial liabilities (5,406) (643) (1,132) (5,142) (608) (1,057) Fair value of assets 7,103 354 - 6,340 339 - Effect of the asset ceiling (1,602) - - (1,114) - - Assets (liabilities) 95 (289) (1,132) 84 (269) (1,057) Current liabilities - (13) (55) - (10) (56) Non-current assets (liabilities) 95 (276) (1,077) 84 (259) (1,001) Assets (liabilities) 95 (289) (1,132) 84 (269) (1,057) (i) The pension plan asset is recorded as “Other non-current assets” in the statement of financial position. |
Schedule of assumptions used for the Monte Carlo simulation | Schedule of assumptions used for the Monte Carlo simulation 2023 2022 Granted shares 1,177,755 1,709,955 Date shares were granted 04/28/2023 01/03/2022 VALE (R$) 88.88 78.00 VALE ON (US$) 16.60 13.81 Expected volatility (per year) 48.33 39.00 Expected term (in years) 3 3 Expected performance factor 72.42 53.08 |
Equity (Tables)
Equity (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of share capital | Schedule of share capital June 30, 2023 Shareholders Common shares Golden shares Total Shareholders with more than 5% of total capital 959,040,176 - 959,040,176 Previ 395,686,156 - 395,686,156 Mitsui&co 286,347,055 - 286,347,055 Blackrock, Inc 277,006,965 - 277,006,965 Free floating 3,384,352,681 - 3,384,352,681 Golden shares - 12 12 Total outstanding (without shares in treasury) 4,343,392,857 12 4,343,392,869 Shares in treasury 195,614,711 - 195,614,711 Total capital 4,539,007,568 12 4,539,007,580 |
Schedule of cancellation of treasury shares | Schedule of cancellation of treasury shares Number of canceled shares Carrying amount Cancelation approved on March 2, 2023 (i) 239,881,683 4,164 Six-month period ended June 30, 2023 239,881,683 4,164 Cancelation approved on February 24, 2022 (i) 133,418,347 2,830 Six-month period ended June 30, 2022 133,418,347 2,830 (i) During the six-month period ended June 30, 2023 and 2022, the Board of Directors approved cancelations of common shares issued by the Company, acquired and held in treasury, without reducing the amount of its share capital. The effects were transferred in shareholders' equity as "Treasury shares cancelled", between the "Revenue reserve" and "Treasury shares". |
Schedule of share buyback program | Schedule of share buyback program Total of shares repurchased Effect on cash flows Six-month period ended June 30, 2023 2022 2023 2022 Shares buyback program for 500,000,000 shares (i) Acquired by Parent 73,179,052 32,416,000 1,102 527 Acquired by wholly owned subsidiaries 67,979,481 38,027,798 1,022 606 141,158,533 70,443,798 2,124 1,133 Shares buyback program for 470,000,000 shares (ii) Acquired by Parent - 81,855,600 - 1,501 Acquired by wholly owned subsidiaries - 96,959,900 - 1,750 - 178,815,500 - 3,251 Shares buyback program 141,158,533 249,259,298 2,124 4,384 (i) On April 27, 2022, the Board of Directors approved the common shares buyback program, limited to a maximum of 500,000,000 common shares or their respective ADRs. (ii) On April 1, 2021, the Board of Directors approved the common shares buyback program, limited to a maximum of 270,000,000 common shares or their respective ADRs. Continuing the previous program, the Board of Directors approved a new shares buyback program on October 28, 2021, with a limit of up to 200,000,000 common shares or their respective ADRs. Both programs were concluded in 2022. |
Related parties (Tables)
Related parties (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of transactions with related parties | Schedule of transactions with related parties Three-month period ended June 30, 2023 2022 Net operating revenue Cost and operating expenses Financial result Net operating revenue Cost and operating expenses Financial result Joint Ventures Companhia Siderúrgica do Pecém - - - 126 - 4 Aliança Geração de Energia S.A. - (26) - - (28) - Pelletizing companies (i) - (45) (11) - (98) (11) MRS Logística S.A. - (114) - (5) (111) - Norte Energia S.A. - (33) - - (32) - Other 11 (2) - 19 - (1) 11 (220) (11) 140 (269) (8) Associates VLI 76 (5) - 83 (7) - Other - - - - - 2 76 (5) - 83 (7) 2 Major shareholders Bradesco - - 197 - - (103) Mitsui 85 - - 79 - - 85 - 197 79 - (103) Total 172 (225) 186 302 (276) (109) (i) Aggregated entities: Companhia Coreano-Brasileira de Pelotização, Companhia Hispano-Brasileira de Pelotização, Companhia Ítalo-Brasileira de Pelotização and Companhia Nipo-Brasileira de Pelotização. Six-month period ended June 30, 2023 2022 Net operating revenue Cost and operating expenses Financial result Net operating revenue Cost and operating expenses Financial result Joint Ventures Companhia Siderúrgica do Pecém 93 - - 255 - (2) Aliança Geração de Energia S.A. - (52) - - (53) - Pelletizing companies (i) - (88) (25) - (168) (20) MRS Logística S.A. - (178) - 1 (178) - Norte Energia S.A. - (60) - - (63) - Other 16 (5) - 19 (3) (1) 109 (383) (25) 275 (465) (23) Associates VLI 145 (11) (1) 146 (12) (1) 145 (11) (1) 146 (12) (1) Major shareholders Bradesco - - 269 - - 182 Mitsui 130 - - 157 - - 130 - 269 157 - 182 Total 384 (394) 243 578 (477) 158 (i) Aggregated entities: Companhia Coreano-Brasileira de Pelotização, Companhia Hispano-Brasileira de Pelotização, Companhia Ítalo-Brasileira de Pelotização and Companhia Nipo-Brasileira de Pelotização. |
Schedule of outstanding balances with related parties | Schedule of outstanding balances with related parties Assets June 30, 2023 December 31, 2022 Cash and cash equivalents Accounts receivable Dividends receivable and other assets Cash and cash equivalents Accounts receivable Dividends receivable and other assets Joint Ventures Companhia Siderúrgica do Pecém - - - - 91 17 Pelletizing companies (i) - - 18 - - 25 MRS Logística S.A. - - 26 - - 25 Other - 5 15 - 4 50 - 5 59 - 95 117 Associates VLI - 94 - - 14 - Other - - 2 - - 1 - 94 2 - 14 1 Major shareholders Bradesco 387 - 385 335 - 154 Banco do Brasil 35 - - 30 - - Mitsui - 3 - - 89 - 422 3 385 365 89 154 Pension plan - 16 - - 13 - Total 422 118 446 365 211 272 (i) Aggregated entities: Companhia Coreano-Brasileira de Pelotização, Companhia Hispano-Brasileira de Pelotização, Companhia Ítalo-Brasileira de Pelotização and Companhia Nipo-Brasileira de Pelotização. Liabilities June 30, 2023 December 31, 2022 Supplier and contractors Financial instruments and other liabilities Supplier and contractors Financial instruments and other liabilities Joint Ventures Pelletizing companies (i) 81 187 63 400 MRS Logística S.A. 34 - 57 - Other 34 - 31 - 149 187 151 400 Associates VLI 6 156 5 53 Other 1 - 3 - 7 156 8 53 Major shareholders Bradesco - 23 - 75 Mitsui - - 1 - - 23 1 75 Pension plan 13 - 11 - Total 169 366 171 528 (i) Aggregated entities: Companhia Coreano-Brasileira de Pelotização, Companhia Hispano-Brasileira de Pelotização, Companhia Ítalo-Brasileira de Pelotização and Companhia Nipo-Brasileira de Pelotização. |
Basis of preparation of inter_4
Basis of preparation of interim financial statements - Presentation currency (Details) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
United State Dollars [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Closing rate | 4.8192 | 4.8192 | 5.2177 | ||
Average rate | 4.9485 | 4.9265 | 5.0744 | 5.0783 | |
Canadian Dollar [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Closing rate | 3.6421 | 3.6421 | 3.8550 | ||
Average rate | 3.6860 | 3.8573 | 3.7654 | 3.9937 | |
Euro [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Closing rate | 5.2626 | 5.2626 | 5.5694 | ||
Average rate | 5.3867 | 5.2409 | 5.4831 | 5.5568 |
Significant events in the thr_3
Significant events in the three-month period ended June 30, 2023 (Details) $ in Millions | 3 Months Ended |
Jun. 30, 2023 USD ($) | |
Income Statement [Member] | |
IfrsStatementLineItems [Line Items] | |
Reversal of deferred income tax related to the Renova Foundation | $ (1,078) |
Notes offering | |
Bond tender offers | (22) |
Cashflow [Member] | |
IfrsStatementLineItems [Line Items] | |
Reversal of deferred income tax related to the Renova Foundation | |
Notes offering | 1,500 |
Bond tender offers | $ (500) |
Significant events in the thr_4
Significant events in the three-month period ended June 30, 2023 (Details Narrative) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | |
Jul. 31, 2023 | May 31, 2023 | Jun. 30, 2023 | |
IfrsStatementLineItems [Line Items] | |||
Uncovered bank debt claims percentage | 50% | ||
Equity interest | 13% | ||
Consideration value | $ 3,400 | ||
Diluting Vale percentage | 87% | ||
Cashflow [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Notes offering | $ 1,500 | ||
Notes offering percentage | 6.125% | ||
Bond tender offers | $ 500 | ||
Income Statement [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Notes offering | |||
Bond tender offers | $ 22 |
Information by business segme_3
Information by business segment and geographic area - Adjusted EBITDA (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
IfrsStatementLineItems [Line Items] | ||||
Adjusted EBITDA from continuing operations | $ 3,874 | $ 5,254 | $ 7,450 | $ 11,468 |
Depreciation, depletion and amortization | (779) | (810) | (1,435) | (1,496) |
Impairment reversal (impairment) and results on disposal of non-current assets, net and other (i) | (118) | (82) | (157) | 990 |
Dividends received and interest from associates and joint ventures | (105) | (71) | (105) | (71) |
Operating income | 2,872 | 4,291 | 5,753 | 10,891 |
Equity results and other results in associates and joint ventures | 5 | (56) | (50) | 155 |
Financial results | (157) | 821 | (687) | 579 |
Income taxes | (1,792) | (911) | (2,210) | (3,002) |
Net income from continuing operations | 928 | 4,145 | 2,806 | 8,623 |
Adjusted EBITDA from discontinued operations | 171 | |||
Impairment and results on disposals of non-current assets, net | (429) | (589) | ||
Operating loss | (429) | (418) | ||
Financial results | 3,072 | 3,065 | ||
Derecognition of noncontrolling interest | (585) | (585) | ||
Income taxes | (2) | |||
Net income from discontinued operations | 2,058 | 2,060 | ||
Iron ore | ||||
IfrsStatementLineItems [Line Items] | ||||
Adjusted EBITDA | 3,087 | 3,975 | 5,725 | 8,909 |
Iron Ore Pellets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Adjusted EBITDA | 818 | 1,140 | 1,485 | 1,977 |
Other Ferrous Products And Services [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Adjusted EBITDA | 36 | 32 | 51 | 63 |
Iron Solutions [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Adjusted EBITDA | 3,941 | 5,147 | 7,261 | 10,949 |
Nickel [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Adjusted EBITDA | 240 | 580 | 593 | 1,105 |
Base Metals [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Adjusted EBITDA | 236 | 23 | 456 | 249 |
Energy Transition Materials [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Adjusted EBITDA | 476 | 603 | 1,049 | 1,354 |
Other [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Adjusted EBITDA | $ (543) | $ (496) | $ (860) | $ (835) |
Information by business segme_4
Information by business segment and geographic area - Net operating revenue by shipment destination (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | $ 9,673 | $ 11,157 | $ 18,107 | $ 21,969 |
Iron Ore Pellets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 1,413 | 1,780 | 2,735 | 3,144 |
Nickel And Other Products [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 1,379 | 1,547 | 2,887 | 3,005 |
Base Metals [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 492 | 328 | 982 | 802 |
Iron ore | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 6,235 | 7,113 | 11,217 | 14,368 |
Other Ferrous Products And Services [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 128 | 132 | 235 | 247 |
Other [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 26 | 257 | 51 | 403 |
Americas Except United States And Brazil [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 227 | 323 | 517 | 668 |
Americas Except United States And Brazil [Member] | Iron Ore Pellets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 102 | 131 | 248 | 261 |
Americas Except United States And Brazil [Member] | Nickel And Other Products [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 123 | 111 | 266 | 277 |
Americas Except United States And Brazil [Member] | Base Metals [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 2 | 2 | ||
Americas Except United States And Brazil [Member] | Iron ore | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 1 | |||
Americas Except United States And Brazil [Member] | Other Ferrous Products And Services [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 5 | 5 | ||
Americas Except United States And Brazil [Member] | Other [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 76 | 125 | ||
Country United States Of America [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 431 | 474 | 942 | 787 |
Country United States Of America [Member] | Iron Ore Pellets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 97 | 47 | 183 | 74 |
Country United States Of America [Member] | Nickel And Other Products [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 334 | 427 | 759 | 713 |
Country Germany [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 294 | 315 | 722 | 823 |
Country Germany [Member] | Iron Ore Pellets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 33 | |||
Country Germany [Member] | Nickel And Other Products [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 123 | 140 | 297 | 311 |
Country Germany [Member] | Base Metals [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 123 | 83 | 253 | 291 |
Country Germany [Member] | Iron ore | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 47 | 92 | 138 | 221 |
Country Germany [Member] | Other Ferrous Products And Services [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 1 | 1 | ||
Europe Except Germany [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 933 | 1,111 | 2,068 | 2,065 |
Europe Except Germany [Member] | Iron Ore Pellets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 119 | 89 | 258 | 164 |
Europe Except Germany [Member] | Nickel And Other Products [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 181 | 289 | 543 | 504 |
Europe Except Germany [Member] | Base Metals [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 312 | 216 | 574 | 419 |
Europe Except Germany [Member] | Iron ore | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 321 | 517 | 693 | 978 |
Middle East Africa And Oceania [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 516 | 688 | 941 | 1,185 |
Middle East Africa And Oceania [Member] | Iron Ore Pellets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 507 | 656 | 923 | 1,150 |
Middle East Africa And Oceania [Member] | Nickel And Other Products [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 9 | 6 | 18 | 9 |
Middle East Africa And Oceania [Member] | Other [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 26 | 26 | ||
Country Japan [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 824 | 1,014 | 1,513 | 1,875 |
Country Japan [Member] | Iron Ore Pellets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 54 | 94 | 106 | 148 |
Country Japan [Member] | Nickel And Other Products [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 147 | 199 | 305 | 388 |
Country Japan [Member] | Base Metals [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 3 | 5 | ||
Country Japan [Member] | Iron ore | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 623 | 718 | 1,102 | 1,334 |
Country China [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 4,638 | 5,102 | 8,045 | 10,491 |
Country China [Member] | Iron Ore Pellets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 2 | 33 | 2 | 41 |
Country China [Member] | Nickel And Other Products [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 217 | 200 | 295 | 490 |
Country China [Member] | Base Metals [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 55 | 109 | ||
Country China [Member] | Iron ore | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 4,364 | 4,868 | 7,639 | 9,952 |
Country China [Member] | Other Ferrous Products And Services [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 1 | 8 | ||
Asia Except Japan And China [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 816 | 908 | 1,446 | 1,725 |
Asia Except Japan And China [Member] | Iron Ore Pellets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 67 | 151 | 108 | 174 |
Asia Except Japan And China [Member] | Nickel And Other Products [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 227 | 158 | 367 | 281 |
Asia Except Japan And China [Member] | Base Metals [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 26 | 44 | 87 | |
Asia Except Japan And China [Member] | Iron ore | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 519 | 523 | 922 | 1,129 |
Asia Except Japan And China [Member] | Other Ferrous Products And Services [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 3 | 3 | 5 | 7 |
Asia Except Japan And China [Member] | Other [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 47 | 47 | ||
Country Brazil [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 994 | 1,222 | 1,913 | 2,350 |
Country Brazil [Member] | Iron Ore Pellets [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 465 | 579 | 874 | 1,132 |
Country Brazil [Member] | Nickel And Other Products [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 18 | 17 | 37 | 32 |
Country Brazil [Member] | Iron ore | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 361 | 395 | 722 | 754 |
Country Brazil [Member] | Other Ferrous Products And Services [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | 124 | 123 | 229 | 227 |
Country Brazil [Member] | Other [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Net operating revenue | $ 26 | $ 108 | $ 51 | $ 205 |
Information by business segme_5
Information by business segment and geographic area - Assets (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | ||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | $ 1,901 | $ 1,901 | $ 1,798 | |||
Intangibles | 11,001 | 11,001 | 10,238 | |||
Property, plant and equipment | 48,666 | 48,666 | 44,938 | |||
Depreciation, depletion and amortization | 779 | $ 810 | 1,435 | $ 1,496 | ||
[custom:PaymentForDevelopmentProjectSustainingCapitalI] | [1] | 832 | 844 | 1,636 | 1,643 | |
Project execution | 376 | 449 | 702 | 786 | ||
Product inventory | 1,208 | 1,293 | 2,338 | 2,429 | ||
Iron Solutions [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | 1,310 | 1,310 | 1,296 | |||
Intangibles | 9,054 | 9,054 | 8,330 | |||
Property, plant and equipment | 27,331 | 27,331 | 24,718 | |||
Depreciation, depletion and amortization | 502 | 497 | 905 | 913 | ||
[custom:PaymentForDevelopmentProjectSustainingCapitalI] | [1] | 472 | 477 | 984 | 976 | |
Project execution | 255 | 199 | 491 | 381 | ||
Product inventory | 727 | 676 | 1,475 | 1,357 | ||
Energy Transition Materials [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | 12 | 12 | ||||
Intangibles | 1,886 | 1,886 | 1,847 | |||
Property, plant and equipment | 18,577 | 18,577 | 17,808 | |||
Depreciation, depletion and amortization | 262 | 299 | 503 | 555 | ||
[custom:PaymentForDevelopmentProjectSustainingCapitalI] | [1] | 326 | 343 | 589 | 613 | |
Project execution | 95 | 90 | 167 | 157 | ||
Product inventory | 421 | 433 | 756 | 770 | ||
All other segments [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | 579 | 579 | 502 | |||
Intangibles | 61 | 61 | 61 | |||
Property, plant and equipment | 2,758 | 2,758 | $ 2,412 | |||
Depreciation, depletion and amortization | 15 | 14 | 27 | 28 | ||
[custom:PaymentForDevelopmentProjectSustainingCapitalI] | [1] | 34 | 24 | 63 | 54 | |
Project execution | 26 | 160 | 44 | 248 | ||
Product inventory | $ 60 | $ 184 | $ 107 | $ 302 | ||
[1]According to the Company's shareholder remuneration policy, dividends are calculated based on 30% of the adjusted EBITDA less sustaining capital investments. |
Information by business segme_6
Information by business segment and geographic area - Assets by geographic area (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Dec. 31, 2021 |
IfrsStatementLineItems [Line Items] | ||||
Investments in associates and joint ventures | $ 1,901 | $ 1,798 | ||
Intangible | 11,001 | 10,238 | ||
Property, plant and equipment | 48,666 | 44,938 | $ 43,166 | $ 41,931 |
Total | 61,568 | 56,974 | ||
Country Brazil [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Investments in associates and joint ventures | 1,889 | 1,798 | ||
Intangible | 9,119 | 8,391 | ||
Property, plant and equipment | 31,653 | 28,210 | ||
Total | 42,661 | 38,399 | ||
Country Canada [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Intangible | 1,880 | 1,845 | ||
Property, plant and equipment | 11,526 | 11,178 | ||
Total | 13,406 | 13,023 | ||
Americas Except Brazil And Canada [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Property, plant and equipment | 4 | 4 | ||
Total | 4 | 4 | ||
Euro [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Property, plant and equipment | 722 | 747 | ||
Total | 722 | 747 | ||
Country Indonesia [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Investments in associates and joint ventures | 12 | |||
Intangible | 1 | 1 | ||
Property, plant and equipment | 2,759 | 2,731 | ||
Total | 2,772 | 2,732 | ||
Asia Except China And Indonesia [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Property, plant and equipment | 760 | 786 | ||
Total | 760 | 786 | ||
Country China [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Intangible | 1 | 1 | ||
Property, plant and equipment | 16 | 19 | ||
Total | 17 | 20 | ||
Country Oman [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Property, plant and equipment | 1,226 | 1,263 | ||
Total | $ 1,226 | $ 1,263 |
Information by business segme_7
Information by business segment and geographic area (Details Narrative) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2023 | Jun. 30, 2023 | |
Information By Business Segment And Geographic Area | ||
Transactions at market prices | $ 52 | $ 87 |
Costs and expenses by nature -
Costs and expenses by nature - Cost of goods sold and services (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Notes and other explanatory information [abstract] | ||||
Materials and services | $ 1,007 | $ 855 | $ 1,816 | $ 1,534 |
Freight | 999 | 1,175 | 1,681 | 2,002 |
Maintenance | 954 | 806 | 1,766 | 1,433 |
Depreciation, depletion and amortization | 737 | 777 | 1,350 | 1,422 |
Acquisition of products | 547 | 674 | 1,082 | 1,135 |
Personnel | 466 | 457 | 923 | 838 |
Fuel oil and gas | 425 | 353 | 810 | 637 |
Royalties | 320 | 279 | 552 | 488 |
Energy | 185 | 180 | 352 | 332 |
Others | 300 | 394 | 557 | 751 |
Total | 5,940 | 5,950 | 10,889 | 10,572 |
Cost of goods sold | 5,805 | 5,800 | 10,632 | 10,289 |
Cost of services rendered | 135 | 150 | 257 | 283 |
Total | $ 5,940 | $ 5,950 | $ 10,889 | $ 10,572 |
Costs and expenses by nature _2
Costs and expenses by nature - Other (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Notes and other explanatory information [abstract] | ||||
Personnel | $ 52 | $ 44 | $ 97 | $ 98 |
Services | 30 | 30 | 58 | 52 |
Selling | 21 | 24 | 39 | 43 |
Depreciation and amortization | 14 | 12 | 25 | 23 |
Other | 22 | 17 | 38 | 32 |
Total | $ 139 | $ 127 | $ 257 | $ 248 |
Costs and expenses by nature _3
Costs and expenses by nature - Other (Details 1) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Notes and other explanatory information [abstract] | ||||
Expenses related to Brumadinho event | $ 271 | $ 280 | $ 382 | $ 403 |
Expenses related to de-characterization of dam | 37 | |||
Asset retirement obligations | 13 | 40 | 13 | 40 |
Provision for litigations | 52 | 48 | 83 | 64 |
Profit sharing program | 32 | 19 | 87 | 67 |
Other | 20 | 58 | 42 | 100 |
Total | $ 388 | $ 445 | $ 607 | $ 711 |
Financial result (Details)
Financial result (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Financial income | ||||
Short-term investments | $ 82 | $ 121 | $ 170 | $ 250 |
Other | 24 | 16 | 57 | 37 |
106 | 137 | 227 | 287 | |
Financial expenses | ||||
Loans and borrowings gross interest | (185) | (162) | (365) | (323) |
Capitalized loans and borrowing costs | 5 | 17 | 10 | 31 |
Interest on REFIS | (38) | (39) | (76) | (71) |
Interest on lease liabilities | (15) | (16) | (30) | (32) |
Bond premium repurchase | (22) | (113) | (22) | (113) |
Other | (142) | (59) | (234) | (159) |
(397) | (372) | (717) | (667) | |
Other financial items, net | ||||
Participative shareholders' debentures | 321 | 537 | 274 | 288 |
Financial guarantees | 356 | 479 | ||
Derivative financial instruments, net | 563 | (270) | 755 | 591 |
Foreign exchange and indexation gains (losses), net (i) | (750) | 433 | (1,226) | (399) |
134 | 1,056 | (197) | 959 | |
Total | $ (157) | $ 821 | $ (687) | $ 579 |
Income taxes - Income tax recon
Income taxes - Income tax reconciliation (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Notes and other explanatory information [abstract] | ||||
Income before income taxes | $ 2,720 | $ 5,056 | $ 5,016 | $ 11,625 |
Income taxes at statutory rate (34%) | (925) | (1,719) | (1,705) | (3,953) |
Adjustments that affect the taxes basis: | ||||
Tax incentives | 497 | 565 | 902 | 1,059 |
Equity results | 33 | 22 | 3 | 30 |
Addition (reduction) of tax loss carryforward | (172) | 211 | (243) | (444) |
Reversal of deferred income tax related to Renova Foundation | (1,078) | (1,078) | ||
Other | (147) | 10 | (89) | 306 |
Income taxes | (1,792) | (911) | (2,210) | (3,002) |
Current tax | (404) | (1,181) | (622) | (1,434) |
Deferred tax | $ (1,388) | $ 270 | $ (1,588) | $ (1,568) |
Income taxes - Changes in defer
Income taxes - Changes in deferred tax (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Notes and other explanatory information [abstract] | ||
Balance at beginning of period, Assets | $ 10,770 | $ 11,441 |
Balance at beginning of period, Liabilities | 1,413 | 1,881 |
Balance at beginning of period, Deferred taxes, net | 9,357 | 9,560 |
Effect in income statement, Assets | (1,620) | (1,524) |
Effect in income statement, Liabilities | (32) | 44 |
Effect in income statement, Deferred taxes, net | (1,588) | (1,568) |
Translation adjustment, Assets | 784 | 651 |
Translation adjustment, Liabilities | 32 | (1) |
Translation adjustment, Deferred taxes, net | 752 | 652 |
Other comprehensive income, Assets | (30) | (25) |
Other comprehensive income, Liabilities | (2) | 47 |
Other comprehensive income, Deferred taxes, net | (28) | (72) |
Balance at Ending of period, Assets | 9,904 | 10,360 |
Balance at Ending of period, Liabilities | 1,411 | 1,759 |
Balance at Ending of period, Deferred taxes, net | $ 8,493 | 8,601 |
Transfers between, assets | (183) | |
Transfers between, liabilities | (183) | |
Other, Liabilities | (29) | |
Other, Deferred taxes, net | $ 29 |
Income taxes - Settlement progr
Income taxes - Settlement program (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Dec. 31, 2022 | |
Notes and other explanatory information [abstract] | ||
Current liabilities | $ 416 | $ 371 |
Non-current liabilities | 1,886 | 1,869 |
REFIS liabilities | $ 2,302 | $ 2,240 |
SELIC rate (in percentage) | 13.75% | 13.75% |
Income taxes - Recoverable and
Income taxes - Recoverable and payable taxes (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2021 |
IfrsStatementLineItems [Line Items] | ||
Current tax assets, current | $ 1,502 | $ 1,272 |
Current tax assets, non-current | 1,229 | 1,110 |
Current tax liabilities, current | 882 | 470 |
Value Added Tax [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current tax assets, current | 279 | 261 |
Current tax assets, non-current | 1 | 1 |
Current tax liabilities, current | 24 | 46 |
Brazilian Federal Contributions [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current tax assets, current | 917 | 690 |
Current tax assets, non-current | 855 | 740 |
Current tax liabilities, current | 69 | 35 |
Income Taxes [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current tax assets, current | 296 | 309 |
Current tax assets, non-current | 373 | 369 |
Current tax liabilities, current | 604 | 221 |
Financial Compensation For Exploration Of Mineral Resources [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current tax liabilities, current | 54 | |
Others [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current tax assets, current | 10 | 12 |
Current tax liabilities, current | $ 119 | $ 114 |
Basic and diluted earnings (los
Basic and diluted earnings (loss) per share (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Net income attributable to Vale's shareholders | ||||
Net income from continuing operations | $ 892 | $ 4,093 | $ 2,729 | $ 8,549 |
Net income from discontinued operations | 2,058 | 2,060 | ||
Net income | $ 892 | $ 6,151 | $ 2,729 | $ 10,609 |
Thousands of shares | ||||
Weighted average number of common shares outstanding | 4,396,778 | 4,668,739 | 4,424,788 | 4,737,806 |
Weighted average number of common shares outstanding and potential ordinary shares | 4,400,609 | 4,673,377 | 4,428,619 | 4,742,444 |
Ordinary shares [member] | ||||
Thousands of shares | ||||
Basic earnings (loss) per share from continuing operations | $ 0.20 | $ 0.88 | $ 0.62 | $ 1.80 |
Diluted earnings (loss) per share from continuing operations | 0.20 | 0.88 | 0.62 | 1.80 |
Basic earnings (loss) per share from discontinued operations | 0.44 | 0.43 | ||
Diluted earnings (loss) per share from discontinued operations | 0.44 | 0.43 | ||
Common share, Basic | 0.20 | 1.32 | 0.62 | 2.24 |
Common share, Diluted | $ 0.20 | $ 1.32 | $ 0.62 | $ 2.24 |
Financial results (Details Narr
Financial results (Details Narrative) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Notes and other explanatory information [abstract] | ||
Joint ventures | $ 277 | $ 1,522 |
Fair value | $ 103 |
Cash flows reconciliation - Cas
Cash flows reconciliation - Cash folw from operating activities (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Cash flow from operating activities: | ||||
Income before income taxes | $ 2,720 | $ 5,056 | $ 5,016 | $ 11,625 |
Adjusted for: | ||||
Equity results and other results in associates and joint ventures | (5) | 56 | 50 | (155) |
Impairment (impairment reversal) and results on disposal of non-current assets, net | 66 | 82 | 70 | (990) |
Provisions related to Brumadinho | 140 | 126 | 140 | 126 |
Provision for de-characterization of dams | 37 | |||
Depreciation, depletion and amortization | 779 | 810 | 1,435 | 1,496 |
Financial results, net | 157 | (821) | 687 | (579) |
Changes in assets and liabilities: | ||||
Accounts receivable | (247) | 902 | 1,439 | 1,779 |
Inventories | (157) | (305) | (520) | (609) |
Suppliers and contractors | 570 | 432 | 465 | (240) |
Other assets and liabilities, net | (764) | (600) | (1,243) | (1,221) |
Cash flow from operations | $ 3,259 | $ 5,738 | $ 7,539 | $ 11,269 |
Cash flows reconciliation - c_2
Cash flows reconciliation - cash flow from investing activities (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Cash Flows Reconciliation | ||||
Cash received from the sale of California Steel Industries | $ 437 | |||
Cash received from the sale of Companhia Siderúrgica do Pecém | 1,082 | |||
Cash contribution to Companhia Siderúrgica do Pecém | (1,149) | |||
Proceeds (payments) from disposal of investments, net | $ (67) | $ 437 |
Cash flows reconciliation - Rec
Cash flows reconciliation - Reconciliation of debt to cash flow (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
IfrsStatementLineItems [Line Items] | |||||
Liabilities arising from financing activities | $ 11,181 | $ 12,180 | |||
Additions | 1,800 | 625 | |||
Payments | $ (581) | $ (1,433) | (620) | (1,828) | |
Interest paid | [1] | (369) | (456) | ||
Cash flow from financing activities | 811 | (1,659) | |||
Effect of exchange rate | 44 | 72 | |||
Interest accretion | 381 | 438 | |||
Non-cash changes | 425 | 510 | |||
Liabilities arising from financing activities | 12,417 | 11,031 | 12,417 | 11,031 | |
Quoted In Secondary Market [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Liabilities arising from financing activities | 6,497 | 7,974 | |||
Additions | 1,500 | ||||
Payments | (517) | (1,317) | |||
Interest paid | [1] | (237) | (388) | ||
Cash flow from financing activities | 746 | (1,705) | |||
Effect of exchange rate | 7 | 71 | |||
Interest accretion | 234 | 318 | |||
Non-cash changes | 241 | 389 | |||
Liabilities arising from financing activities | 7,484 | 6,658 | 7,484 | 6,658 | |
Debt Contract Brazil [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Liabilities arising from financing activities | 280 | 380 | |||
Payments | (38) | (174) | |||
Interest paid | [1] | (16) | (37) | ||
Cash flow from financing activities | (54) | (211) | |||
Effect of exchange rate | 34 | 77 | |||
Interest accretion | 16 | 89 | |||
Non-cash changes | 50 | 166 | |||
Liabilities arising from financing activities | 276 | 335 | 276 | 335 | |
Debt Contracts International Markets [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Liabilities arising from financing activities | 4,404 | 3,826 | |||
Additions | 300 | 625 | |||
Payments | (65) | (337) | |||
Interest paid | [1] | (116) | (31) | ||
Cash flow from financing activities | 119 | 257 | |||
Effect of exchange rate | 3 | (76) | |||
Interest accretion | 131 | 31 | |||
Non-cash changes | 134 | (45) | |||
Liabilities arising from financing activities | $ 4,657 | $ 4,038 | $ 4,657 | $ 4,038 | |
[1] Classified as operating activities in the statement of cash flows. |
Cash flows reconciliation - Non
Cash flows reconciliation - Non cash transaction (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Cash Flows Reconciliation | ||||
Additions to property, plant and equipment - capitalized loans and borrowing costs | $ 5 | $ 17 | $ 10 | $ 31 |
Cash flows reconciliation (Deta
Cash flows reconciliation (Details Narrative) - USD ($) $ in Millions | 1 Months Ended | 6 Months Ended | |||||||
Mar. 31, 2023 | Jun. 30, 2022 | May 31, 2022 | Jan. 31, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Jan. 31, 2023 | |||
IfrsStatementLineItems [Line Items] | |||||||||
Loans and borrowings from third-parties | $ 1,800 | $ 625 | |||||||
Additions issued | $ 1,500 | ||||||||
Maturing percentage | 6.125% | ||||||||
Sale of percentage | 99.117% | ||||||||
Principal amount percentage | 6.245% | ||||||||
Principal interest debentures | $ 24 | ||||||||
Line of credit prepaid | $ 200 | ||||||||
Purchase of treasury shares | $ 1,291 | [1] | 3,251 | [1] | |||||
Repurchase bond premium | $ 113 | ||||||||
Bonds 3. 75 Percent [Member] | |||||||||
IfrsStatementLineItems [Line Items] | |||||||||
Amount of bond redeemed | 500 | ||||||||
Premium paid on early redemption of debt security | $ 22 | ||||||||
Bank Of China Limited [Member] | |||||||||
IfrsStatementLineItems [Line Items] | |||||||||
Loans and borrowings from third-parties | $ 300 | ||||||||
Bank Of Nova Scotia [Member] | |||||||||
IfrsStatementLineItems [Line Items] | |||||||||
Loans and borrowings from third-parties | $ 425 | ||||||||
M U F G Bank [Member] | |||||||||
IfrsStatementLineItems [Line Items] | |||||||||
Loans and borrowings from third-parties | $ 200 | ||||||||
[1]On April 1, 2021, the Board of Directors approved the common shares buyback program, limited to a maximum of 270,000,000 common shares or their respective ADRs. Continuing the previous program, the Board of Directors approved a new shares buyback program on October 28, 2021, with a limit of up to 200,000,000 common shares or their respective ADRs. Both programs were concluded in 2022. |
Accounts receivable (Details)
Accounts receivable (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
IfrsStatementLineItems [Line Items] | ||
Related parties | $ 118 | $ 211 |
Accounts receivable | 3,011 | 4,362 |
Expected credit loss | (44) | (43) |
Accounts receivable, net | 2,967 | 4,319 |
Iron Solutions [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Third parties | 2,146 | 3,132 |
Energy Transition Materials [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Third parties | 731 | 984 |
All other segments [member] | ||
IfrsStatementLineItems [Line Items] | ||
Third parties | $ 16 | $ 35 |
Accounts receivable - Sensitivi
Accounts receivable - Sensitivity of the Company's risk on final settlement (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | |
Iron ore | ||
IfrsStatementLineItems [Line Items] | ||
Thousand metric tons | 22,564 | |
Thousand metric tons | 102 | |
Variation percentage | 10% | |
Effect on Revenue from increase in risk assumption | $ 230 | |
Copper [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Thousand metric tons | 77 | |
Thousand metric tons | 7,811 | |
Variation percentage | 10% | |
Effect on Revenue from increase in risk assumption | $ 60 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
IfrsStatementLineItems [Line Items] | |||
Finished products | $ 3,276 | $ 2,777 | |
Work in progress | 901 | 800 | |
Consumable inventory | 1,157 | 1,010 | |
Allowance to net realizable value (i) | [1] | (141) | (105) |
Total of inventories | 5,193 | 4,482 | |
Iron Solutions [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Finished products | 2,638 | 2,126 | |
Energy Transition Materials [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Finished products | $ 638 | $ 651 | |
[1]In the six-month period ended June 30, 2023, the effect of allowance to net realizable value was US$47 (2022: US$22). |
Suppliers and contractors (Deta
Suppliers and contractors (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
IfrsStatementLineItems [Line Items] | ||
Related parties | $ 169 | $ 171 |
Total trade and other current payables | 5,240 | 4,461 |
Country of domicile [member] | ||
IfrsStatementLineItems [Line Items] | ||
Third parties | 3,318 | 2,691 |
Foreign countries [member] | ||
IfrsStatementLineItems [Line Items] | ||
Third parties | $ 1,753 | $ 1,599 |
Suppliers and contractors (De_2
Suppliers and contractors (Details Narrative) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Notes and other explanatory information [abstract] | ||
Outstanding balance related transactions | $ 1,531 | $ 743 |
Receivables interest | $ 314 | $ 202 |
Other financial assets and li_3
Other financial assets and liabilities (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
Other Financial Assets And Liabilities | |||
Restricted cash-noncurrent | $ 108 | $ 77 | |
Derivative financial instruments- current | 522 | 342 | |
Derivative financial instruments - Non-Current | 559 | 196 | |
Investments in equity securities -Non- Current | [1] | 31 | 7 |
Total other financial assets - Current | 522 | 342 | |
Total other financial assets - Non-Current | 698 | 280 | |
Derivative financial instruments - Current | 47 | 90 | |
Derivative financial instruments - Non-Current | 98 | 186 | |
Related parties - Current | 187 | 400 | |
Financial guarantees provided -Non current | [2] | 103 | |
Liabilities related to the concession grant-Current | 611 | 416 | |
Liabilities related to the concession grant-Non current | 2,673 | 2,554 | |
Contract liability | [3] | 754 | 766 |
Total other financial liabilities - Current | 1,599 | 1,672 | |
Total other financial liabilities - Non-Current | $ 2,771 | $ 2,843 | |
[1]It mainly relates to a 2.66% noncontrolling interest in Boston Electrometallurgical Company, which aims to promote the development of a technology focused on reducing carbon dioxide emissions in steel production.[2]In March 2023, the Company completed the sale of its interest in CSP and derecognized the financial guarantee granted by the Company.[3]Includes advances received from customers that meets the definition of contract liability described in IFRS 15 – Revenue from Contracts with Customers and other financial liabilities that meets the definition of a financial liability described in IAS 32 - Financial Instruments: Presentation. |
Other financial assets and li_4
Other financial assets and liabilities - Liabilities related to the concession grant (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | |
IfrsStatementLineItems [Line Items] | ||
Other Provision, beginning | $ 2,970 | |
Addition | 82 | |
Present value adjustment | 346 | |
Disbursements | (114) | |
Other Provision, Ending | 3,284 | |
Current liabilities | 611 | $ 416 |
Non-current liabilities | 2,673 | 2,554 |
Liabilities | 3,284 | 2,970 |
Payment Obligation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Other Provision, beginning | 954 | |
Addition | 5 | |
Present value adjustment | 131 | |
Disbursements | (27) | |
Other Provision, Ending | 1,063 | |
Liabilities | $ 1,063 | $ 954 |
Discount rate | 11.04% | 11.04% |
Infrastructure Investment [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Other Provision, beginning | $ 2,016 | |
Addition | 77 | |
Present value adjustment | 215 | |
Disbursements | (87) | |
Other Provision, Ending | 2,221 | |
Liabilities | $ 2,221 | $ 2,016 |
Infrastructure Investment [Member] | Bottom of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Discount rate | 5.10% | 6.08% |
Infrastructure Investment [Member] | Top of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Discount rate | 5.57% | 6.23% |
Investments in subsidiaries, _3
Investments in subsidiaries, associates and joint ventures - Guarantees provided (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Mar. 31, 2023 | Mar. 31, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | ||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | $ 1,901 | $ 1,798 | ||||
Equity results in income statement | 10 | $ 87 | ||||
Ferrous Minerals [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | 1,309 | 1,296 | ||||
Equity results in income statement | $ 89 | $ 52 | (7) | 68 | ||
Dividends received | 89 | 71 | 89 | 71 | ||
Base Metals [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | $ 12 | |||||
Equity results in income statement | 1 | 3 | ||||
Base Metals [Member] | Korea Nickel Corp [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Equity results in income statement | [1] | 1 | 3 | |||
Base Metals [Member] | P T Kolaka Nickel Indonesia [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Ownership interest in joint venture (as a percent) | 20% | |||||
% Voting capital | 20% | |||||
Investments in associates and joint ventures | [1] | $ 12 | ||||
All other segments [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | 580 | 502 | ||||
Equity results in income statement | 9 | 8 | 17 | 16 | ||
Dividends received | 16 | $ 16 | 65 | |||
Baovale Mineracao S.a [Member] | Iron Solutions [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Ownership interest in joint venture (as a percent) | 50% | |||||
% Voting capital | 50% | |||||
Baovale Mineracao S.a [Member] | Ferrous Minerals [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | $ 28 | 24 | ||||
Equity results in income statement | $ 1 | 1 | ||||
Companhia Coreano Brasileira De Pelotizacao [Member] | Iron Solutions [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Ownership interest in joint venture (as a percent) | 50% | |||||
% Voting capital | 50% | |||||
Companhia Coreano Brasileira De Pelotizacao [Member] | Ferrous Minerals [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | $ 69 | 80 | ||||
Equity results in income statement | 5 | 10 | 9 | 22 | ||
Dividends received | 14 | 10 | $ 14 | 10 | ||
Companhia Hispano Brasileira De Pelotizacao [Member] | Iron Solutions [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Ownership interest in joint venture (as a percent) | 50.89% | |||||
% Voting capital | 50% | |||||
Companhia Hispano Brasileira De Pelotizacao [Member] | Ferrous Minerals [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | $ 42 | 48 | ||||
Equity results in income statement | 1 | 4 | ||||
Dividends received | 19 | 1 | $ 19 | 1 | ||
Companhia Italo Brasileira De Pelotizacao [Member] | Iron Solutions [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Ownership interest in joint venture (as a percent) | 50.90% | |||||
% Voting capital | 50% | |||||
Companhia Italo Brasileira De Pelotizacao [Member] | Ferrous Minerals [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | 62 | |||||
Equity results in income statement | 3 | 12 | $ 7 | 13 | ||
Dividends received | 23 | 19 | 23 | 19 | ||
Companhia Italo Brasileira De Pelotizacao One [Member] | Ferrous Minerals [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | $ 58 | |||||
Companhia Nipo Brasileira De Pelotizacao [Member] | Iron Solutions [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Ownership interest in joint venture (as a percent) | 51% | |||||
% Voting capital | 50% | |||||
Companhia Nipo Brasileira De Pelotizacao [Member] | Ferrous Minerals [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | $ 147 | 145 | ||||
Equity results in income statement | 8 | 12 | 15 | 22 | ||
Dividends received | 33 | 41 | $ 33 | 41 | ||
Mrs Logistica S.a. [Member] | Iron Solutions [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Ownership interest in joint venture (as a percent) | 48.16% | |||||
% Voting capital | 47.09% | |||||
Mrs Logistica S.a. [Member] | Ferrous Minerals [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | $ 599 | 509 | ||||
Equity results in income statement | 41 | 20 | $ 47 | 30 | ||
Samarco Mineracao S.a. [Member] | Iron Solutions [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Ownership interest in joint venture (as a percent) | 50% | |||||
% Voting capital | 50% | |||||
Vli S.a. [Member] | Iron Solutions [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Ownership interest in joint venture (as a percent) | 29.60% | |||||
% Voting capital | 29.60% | |||||
Vli S.a. [Member] | Ferrous Minerals [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | $ 366 | 428 | ||||
Equity results in income statement | 31 | (2) | $ (90) | (20) | ||
Alianca Geracao de Energia S.A. | All other segments [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Ownership interest in joint venture (as a percent) | 55% | |||||
% Voting capital | 55% | |||||
Investments in associates and joint ventures | $ 408 | 340 | ||||
Equity results in income statement | 9 | 8 | 18 | 16 | ||
Dividends received | 16 | $ 16 | ||||
Alianca Norte Energia Participacoes S.a. [Member] | Ferrous Minerals [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Equity results in income statement | (3) | |||||
Alianca Norte Energia Participacoes S.a. [Member] | All other segments [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Ownership interest in joint venture (as a percent) | 51% | |||||
% Voting capital | 51% | |||||
Investments in associates and joint ventures | $ 112 | 106 | ||||
Equity results in income statement | (2) | (1) | (3) | |||
California Steel Industries, Inc | All other segments [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Dividends received | 65 | |||||
Other [Member] | All other segments [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | 60 | 56 | ||||
Equity results in income statement | 2 | 1 | 2 | 3 | ||
Equity Results In Associates And Joint Ventures [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | 1,901 | 1,798 | ||||
Equity results in income statement | 98 | 61 | 10 | 87 | ||
Dividends received | 105 | 71 | 105 | 136 | ||
Other Results In Associates And Joint Ventures [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Equity results in income statement | (93) | (117) | (60) | 68 | ||
Equity Results And Other Results In Associates And Joint Ventures [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Investments in associates and joint ventures | 1,901 | $ 1,798 | ||||
Equity results in income statement | 5 | (56) | (50) | 155 | ||
Dividends received | $ 105 | $ 71 | $ 105 | $ 136 | ||
[1]In September 2022, Vale completed the sale of its 25% stake in Korea Nickel Corp to Posco. for US$16. |
Investments in subsidiaries, _4
Investments in subsidiaries, associates and joint ventures - Changes in the year (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Investments In Subsidiaries Associates And Joint Ventures | ||
Balance at the beginning | $ 1,798 | $ 1,751 |
Additions and capitalizations | 1 | |
Equity results and other results in associates and joint ventures | 10 | 87 |
Dividends declared | (60) | (48) |
Translation adjustment | 142 | 111 |
Others | 10 | (110) |
Balance at the end | $ 1,901 | $ 1,791 |
Acquisitions and divestitures -
Acquisitions and divestitures - Vale Moambique (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
IfrsStatementLineItems [Line Items] | ||||
Equity results and other results in associates and joint ventures | $ (29) | $ 157 | ||
Equity results and other results in associates and joint ventures | $ (93) | (29) | $ (56) | 157 |
Impairment reversal (impairment) of non-current assets gross | (30) | 1,104 | ||
Impairment reversal (impairment) of non-current assets, Net | (459) | 515 | ||
Companhia Siderurgica Do Pecem [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Equity results and other results in associates and joint ventures | (24) | 37 | (135) | |
Mineracao Rio Do Norte [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Equity results and other results in associates and joint ventures | $ (93) | $ (93) | ||
Midwestern System [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Impairment reversal (impairment) of non-current assets gross | (30) | 1,104 | ||
California Steel Industries [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Equity results and other results in associates and joint ventures | (5) | 292 | ||
Discontinued operations [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Impairment reversal (impairment) of non-current assets gross | $ (429) | $ (589) |
Acquisitions and divestitures_2
Acquisitions and divestitures - Discontinued operations (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Net income from discontinued operations | ||||
Net operating revenue | $ 9,673 | $ 11,157 | $ 18,107 | $ 21,969 |
Cost of goods sold and services rendered | (5,940) | (5,950) | (10,889) | (10,572) |
Operating loss | 2,872 | 4,291 | 5,753 | 10,891 |
Derecognition of noncontrolling interest | (585) | (585) | ||
Net income before income taxes | 2,720 | 5,056 | 5,016 | 11,625 |
Net income from discontinued operations | 2,058 | 2,060 | ||
Net income attributable to Vale's shareholders | 2,058 | 2,060 | ||
Investing activities | ||||
Net cash used in investing activities | (65) | (103) | ||
Financing activities | ||||
Net cash used by financing activities | (11) | |||
Discontinued operations [member] | ||||
Net income from discontinued operations | ||||
Net operating revenue | 448 | |||
Cost of goods sold and services rendered | (264) | |||
Operating expenses | (13) | |||
Impairment and results on disposals of non-current assets, net | (429) | (589) | ||
Operating loss | (429) | (418) | ||
Cumulative translation adjustments | 3,072 | 3,072 | ||
Derecognition of noncontrolling interest | (585) | (585) | ||
Financial results, net | (7) | |||
Net income before income taxes | 2,058 | 2,062 | ||
Income taxes | (2) | |||
Net income from discontinued operations | 2,058 | 2,060 | ||
Net income attributable to Vale's shareholders | 2,058 | 2,060 | ||
Investing activities | ||||
Impairment and results on disposals of non-current assets, net | 429 | 589 | ||
Derecognition of noncontrolling interest | 585 | 585 | ||
Financial results, net | (3,072) | (3,065) | ||
Decrease in assets and liabilities | (130) | |||
Net cash generated by operating activities | 41 | |||
Additions to property, plant and equipment | (38) | |||
Disposal of coal, net of cash | (65) | (65) | ||
Net cash used in investing activities | (65) | (103) | ||
Financing activities | ||||
Payments | (11) | |||
Net cash used by financing activities | (11) | |||
Net cash used by discontinued operations | $ (65) | $ (73) |
Acquisitions and divestitures_3
Acquisitions and divestitures (Details Narrative) R$ in Millions, $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||||
Dec. 31, 2021 USD ($) | Dec. 21, 2021 USD ($) | Jun. 30, 2023 USD ($) | Mar. 31, 2023 USD ($) | Mar. 31, 2023 BRL (R$) | Jun. 30, 2022 USD ($) | Mar. 31, 2022 USD ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
IfrsStatementLineItems [Line Items] | ||||||||||
Impaired its investment | $ 111 | |||||||||
Provision for accounts receivable | 24 | |||||||||
Sale of of interest | $ 2,194 | R$ 11147 | ||||||||
Outstanding net debt | 2,296 | R$ 11665 | ||||||||
Completion of transaction | $ 67 | |||||||||
Contracts in the amount | $ 902 | |||||||||
Net assets | $ 892 | |||||||||
Gain from disposals of non-current assets | $ 1,104 | |||||||||
Non-current assets net | 202 | |||||||||
Fair Value Adjustment on Property, Plant And Equipment, Recognised as of Acquisition Date | $ 902 | 902 | ||||||||
Reclassification adjustments on exchange differences on translation, net of tax | $ 3,072 | 3,222 | ||||||||
Discontinued operations [member] | ||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||
Gain from disposals of non-current assets | $ 2,511 | |||||||||
Net income from discontinued operations | 2,060 | |||||||||
Reclassification adjustments on exchange differences on translation, net of tax | 3,072 | |||||||||
Working capital adjustments | $ 589 | |||||||||
Discontinued operations [member] | Nucor Corporation [Member] | California Steel Industries, Inc | ||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||
Proportion of voting rights held in joint venture | 50% | |||||||||
Discontinued operations [member] | Nucor Corporation [Member] | Disposal Of Joint Venture [Member] | ||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||
Cash flows from losing control of subsidiaries or other businesses, classified as investing activities | $ 437 | |||||||||
Gains on Disposals of Equity Method Investments including Cumulative Translation Adjustments | 292 | |||||||||
Gains on disposals of investments | 142 | |||||||||
Reclassification Adjustments on Translation from Stockholders Equity to Income Statement | $ 150 | |||||||||
Discontinued operations [member] | Vulcan Minerals | ||||||||||
IfrsStatementLineItems [Line Items] | ||||||||||
Receivable from coal net assets | $ 270 | |||||||||
Royalty consideration, term | 10 years |
Intangibles - (Details)
Intangibles - (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
IfrsStatementLineItems [Line Items] | ||
Balance at beginning of year | $ 10,238 | $ 9,011 |
Additions | 183 | 149 |
Disposals | (7) | (9) |
Amortization | (144) | (142) |
Translation adjustment | 731 | 439 |
Balance at end of year | 11,001 | 9,448 |
Intangible assets and goodwill | 11,001 | 9,448 |
Gross carrying amount [member] | ||
IfrsStatementLineItems [Line Items] | ||
Intangible assets and goodwill, cost | 13,116 | 11,194 |
Accumulated depreciation, amortisation and impairment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Accumulated amortization | (2,115) | (1,746) |
Goodwill [member] | ||
IfrsStatementLineItems [Line Items] | ||
Balance at beginning of year | 3,189 | 3,208 |
Translation adjustment | 151 | 63 |
Balance at end of year | 3,340 | 3,271 |
Intangible assets and goodwill | 3,340 | 3,271 |
Goodwill [member] | Gross carrying amount [member] | ||
IfrsStatementLineItems [Line Items] | ||
Intangible assets and goodwill, cost | 3,340 | 3,271 |
Ifrs Concessions [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Balance at beginning of year | 6,434 | 5,223 |
Additions | 167 | 132 |
Disposals | (7) | (9) |
Amortization | (123) | (120) |
Translation adjustment | 530 | 341 |
Balance at end of year | 7,001 | 5,567 |
Intangible assets and goodwill | 7,001 | 5,567 |
Ifrs Concessions [Member] | Gross carrying amount [member] | ||
IfrsStatementLineItems [Line Items] | ||
Intangible assets and goodwill, cost | 8,601 | 6,846 |
Ifrs Concessions [Member] | Accumulated depreciation, amortisation and impairment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Accumulated amortization | (1,600) | (1,279) |
Computer software [member] | ||
IfrsStatementLineItems [Line Items] | ||
Balance at beginning of year | 87 | 86 |
Additions | 13 | 17 |
Amortization | (21) | (22) |
Translation adjustment | 6 | 2 |
Balance at end of year | 85 | 83 |
Intangible assets and goodwill | 85 | 83 |
Computer software [member] | Gross carrying amount [member] | ||
IfrsStatementLineItems [Line Items] | ||
Intangible assets and goodwill, cost | 600 | 550 |
Computer software [member] | Accumulated depreciation, amortisation and impairment [member] | ||
IfrsStatementLineItems [Line Items] | ||
Accumulated amortization | (515) | (467) |
Research And Development Project And Patents [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Balance at beginning of year | 528 | 494 |
Additions | 3 | |
Translation adjustment | 44 | 33 |
Balance at end of year | 575 | 527 |
Intangible assets and goodwill | 575 | 527 |
Research And Development Project And Patents [Member] | Gross carrying amount [member] | ||
IfrsStatementLineItems [Line Items] | ||
Intangible assets and goodwill, cost | $ 575 | $ 527 |
Property, plant and equipment -
Property, plant and equipment - Movements (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | ||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning of year | $ 44,938 | $ 41,931 | |
Additions (i) | [1] | 2,449 | 2,372 |
Disposals | (80) | (77) | |
Assets retirement obligation | 99 | (1,077) | |
Depreciation, depletion and amortization | (1,414) | (1,360) | |
Translation adjustment | 2,674 | 1,377 | |
Impairment reversal | 214 | ||
Balance at end of year | 48,666 | 43,166 | |
Transfer to asset held for sale - Midwestern System | (214) | ||
Gross carrying amount [member] | |||
IfrsStatementLineItems [Line Items] | |||
Property, plant and equipment, cost | 83,547 | 76,228 | |
Accumulated depreciation, amortisation and impairment [member] | |||
IfrsStatementLineItems [Line Items] | |||
Accumulated depreciation | (34,881) | (33,062) | |
Land and buildings [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning of year | 8,913 | 8,137 | |
Disposals | (8) | (14) | |
Depreciation, depletion and amortization | (224) | (205) | |
Translation adjustment | 607 | 348 | |
Impairment reversal | 56 | ||
Transfers | 772 | 240 | |
Balance at end of year | 10,060 | 8,506 | |
Transfer to asset held for sale - Midwestern System | (56) | ||
Land and buildings [member] | Gross carrying amount [member] | |||
IfrsStatementLineItems [Line Items] | |||
Property, plant and equipment, cost | 17,700 | 15,612 | |
Land and buildings [member] | Accumulated depreciation, amortisation and impairment [member] | |||
IfrsStatementLineItems [Line Items] | |||
Accumulated depreciation | (7,640) | (7,106) | |
Facilities [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning of year | 8,042 | 7,232 | |
Disposals | (8) | (8) | |
Depreciation, depletion and amortization | (250) | (245) | |
Translation adjustment | 608 | 370 | |
Impairment reversal | 34 | ||
Transfers | 586 | 297 | |
Balance at end of year | 8,978 | 7,646 | |
Transfer to asset held for sale - Midwestern System | (34) | ||
Facilities [Member] | Gross carrying amount [member] | |||
IfrsStatementLineItems [Line Items] | |||
Property, plant and equipment, cost | 14,330 | 12,369 | |
Facilities [Member] | Accumulated depreciation, amortisation and impairment [member] | |||
IfrsStatementLineItems [Line Items] | |||
Accumulated depreciation | (5,352) | (4,723) | |
Machinery [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning of year | 4,984 | 4,743 | |
Disposals | (5) | (4) | |
Depreciation, depletion and amortization | (364) | (351) | |
Translation adjustment | 229 | 128 | |
Impairment reversal | 64 | ||
Transfers | 371 | 303 | |
Balance at end of year | 5,215 | 4,819 | |
Transfer to asset held for sale - Midwestern System | (64) | ||
Machinery [member] | Gross carrying amount [member] | |||
IfrsStatementLineItems [Line Items] | |||
Property, plant and equipment, cost | 12,418 | 11,291 | |
Machinery [member] | Accumulated depreciation, amortisation and impairment [member] | |||
IfrsStatementLineItems [Line Items] | |||
Accumulated depreciation | (7,203) | (6,472) | |
Tangible exploration and evaluation assets [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning of year | 7,112 | 7,742 | |
Assets retirement obligation | 99 | (1,077) | |
Depreciation, depletion and amortization | (241) | (236) | |
Translation adjustment | 302 | 75 | |
Impairment reversal | 39 | ||
Transfers | 46 | 347 | |
Balance at end of year | 7,318 | 6,851 | |
Transfer to asset held for sale - Midwestern System | (39) | ||
Tangible exploration and evaluation assets [member] | Gross carrying amount [member] | |||
IfrsStatementLineItems [Line Items] | |||
Property, plant and equipment, cost | 16,285 | 16,317 | |
Tangible exploration and evaluation assets [member] | Accumulated depreciation, amortisation and impairment [member] | |||
IfrsStatementLineItems [Line Items] | |||
Accumulated depreciation | (8,967) | (9,466) | |
Railway Equipment [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning of year | 2,475 | 2,334 | |
Disposals | (5) | (5) | |
Depreciation, depletion and amortization | (81) | (82) | |
Translation adjustment | 198 | 151 | |
Transfers | 47 | 73 | |
Balance at end of year | 2,634 | 2,471 | |
Property, plant and equipment, cost | 4,455 | 4,021 | |
Railway Equipment [Member] | Accumulated depreciation, amortisation and impairment [member] | |||
IfrsStatementLineItems [Line Items] | |||
Accumulated depreciation | (1,821) | (1,550) | |
Right-of-use assets [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning of year | 1,455 | 1,537 | |
Additions (i) | [1] | 19 | 29 |
Depreciation, depletion and amortization | (91) | (94) | |
Translation adjustment | 26 | ||
Impairment reversal | 31 | ||
Balance at end of year | 1,414 | 1,498 | |
Right-of-use assets [member] | Gross carrying amount [member] | |||
IfrsStatementLineItems [Line Items] | |||
Property, plant and equipment, cost | 2,196 | 2,062 | |
Right-of-use assets [member] | Accumulated depreciation, amortisation and impairment [member] | |||
IfrsStatementLineItems [Line Items] | |||
Accumulated depreciation | (782) | (564) | |
Other property, plant and equipment [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning of year | 2,632 | 2,484 | |
Disposals | (1) | (1) | |
Depreciation, depletion and amortization | (163) | (147) | |
Translation adjustment | 153 | 78 | |
Impairment reversal | 21 | ||
Transfers | 166 | 207 | |
Balance at end of year | 2,787 | 2,621 | |
Transfer to asset held for sale - Midwestern System | (21) | ||
Other property, plant and equipment [member] | Gross carrying amount [member] | |||
IfrsStatementLineItems [Line Items] | |||
Property, plant and equipment, cost | 5,903 | 5,802 | |
Other property, plant and equipment [member] | Accumulated depreciation, amortisation and impairment [member] | |||
IfrsStatementLineItems [Line Items] | |||
Accumulated depreciation | (3,116) | (3,181) | |
Construction in progress [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at beginning of year | 9,325 | 7,722 | |
Additions (i) | [1] | 2,430 | 2,343 |
Disposals | (53) | (45) | |
Translation adjustment | 546 | 201 | |
Transfers | (1,988) | (1,467) | |
Balance at end of year | 10,260 | 8,754 | |
Construction in progress [member] | Gross carrying amount [member] | |||
IfrsStatementLineItems [Line Items] | |||
Property, plant and equipment, cost | $ 10,260 | $ 8,754 | |
[1] Includes capitalized interest. |
Property, plant and equipment_2
Property, plant and equipment - Right-of-use assets (Leases) (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Ports [Member] | |
IfrsStatementLineItems [Line Items] | |
Beginning balance | $ 657 |
Depreciation | (27) |
Translation adjustment | 6 |
Ending balance | 636 |
Ships [member] | |
IfrsStatementLineItems [Line Items] | |
Beginning balance | 453 |
Depreciation | (21) |
Ending balance | 437 |
Additions and contract modifications | 5 |
Pelletizing Plants [Member] | |
IfrsStatementLineItems [Line Items] | |
Beginning balance | 204 |
Depreciation | (25) |
Translation adjustment | 17 |
Ending balance | 208 |
Additions and contract modifications | 12 |
Properties [Member] | |
IfrsStatementLineItems [Line Items] | |
Beginning balance | 87 |
Depreciation | (13) |
Translation adjustment | 7 |
Ending balance | 81 |
Energy Plants [Member] | |
IfrsStatementLineItems [Line Items] | |
Beginning balance | 39 |
Depreciation | (3) |
Translation adjustment | 1 |
Ending balance | 37 |
Mning Equipment And Locomotives [Member] | |
IfrsStatementLineItems [Line Items] | |
Beginning balance | 15 |
Depreciation | (2) |
Ending balance | 15 |
Additions and contract modifications | 2 |
Property Plant And Equipments [Member] | |
IfrsStatementLineItems [Line Items] | |
Beginning balance | 1,455 |
Depreciation | (91) |
Translation adjustment | 31 |
Ending balance | 1,414 |
Additions and contract modifications | $ 19 |
Financial and capital risk ma_3
Financial and capital risk management - Effects of derivatives on statement of financial position and Net exposure (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
IfrsStatementLineItems [Line Items] | |||
Assets | $ 522 | $ 342 | |
Liabilities | 47 | 90 | |
Not Designated As Hedging Instruments [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Assets | 1,081 | 538 | |
Liabilities | 145 | 276 | |
Derivative Financial Assets Liabilities | 936 | 262 | |
Not Designated As Hedging Instruments [Member] | Foreign Exchange And Interest Rate Risk [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Assets | 966 | 425 | |
Liabilities | 71 | 214 | |
Derivative Financial Assets Liabilities | 895 | 211 | |
Not Designated As Hedging Instruments [Member] | Commodity price risk [member] | |||
IfrsStatementLineItems [Line Items] | |||
Assets | 115 | 113 | |
Liabilities | 71 | 57 | |
Derivative Financial Assets Liabilities | 44 | 56 | |
Not Designated As Hedging Instruments [Member] | Cdi Tjlp Versus Usd Fixed And Floating Rate Swap [Member] | Foreign Exchange And Interest Rate Risk [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Assets | 90 | 11 | |
Liabilities | 30 | 144 | |
Derivative Financial Assets Liabilities | 60 | (133) | |
Not Designated As Hedging Instruments [Member] | Ipca Swap [Member] | Foreign Exchange And Interest Rate Risk [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Liabilities | 41 | 63 | |
Derivative Financial Assets Liabilities | (41) | (63) | |
Not Designated As Hedging Instruments [Member] | Dollar Swap [Member] | Foreign Exchange And Interest Rate Risk [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Assets | 868 | 407 | |
Liabilities | 7 | ||
Derivative Financial Assets Liabilities | 868 | 400 | |
Not Designated As Hedging Instruments [Member] | Libor Swap [Member] | Foreign Exchange And Interest Rate Risk [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Assets | 8 | 7 | |
Derivative Financial Assets Liabilities | [1] | 8 | 7 |
Not Designated As Hedging Instruments [Member] | Bunker Oil Gasoil And Brent [Member] | Commodity price risk [member] | |||
IfrsStatementLineItems [Line Items] | |||
Assets | 70 | 78 | |
Liabilities | 71 | 56 | |
Derivative Financial Assets Liabilities | (1) | 22 | |
Not Designated As Hedging Instruments [Member] | Energy Transition Materials [Member] | Commodity price risk [member] | |||
IfrsStatementLineItems [Line Items] | |||
Assets | 45 | 35 | |
Liabilities | 1 | ||
Derivative Financial Assets Liabilities | 45 | 34 | |
Not Designated As Hedging Instruments [Member] | Other Options [Member] | Commodity price risk [member] | |||
IfrsStatementLineItems [Line Items] | |||
Liabilities | 3 | 5 | |
Derivative Financial Assets Liabilities | $ (3) | $ (5) | |
[1]In March 2021, the UK Financial Conduct Authority (“FCA”), the financial regulator in the United Kingdom, announced the discontinuation of the LIBOR rate for all terms in pounds, euros, Swiss francs, yen and for terms of one week and two months in dollars at the end of December 2021 and the other terms at the end of June 2023. Vale has finalized the negotiations for the replacement of the reference interest rate of its financial contracts from LIBOR to Secured Overnight Financing Rate ("SOFR"), with spread adjustments to match the transaction costs. The Company does not expect material impacts on the cash flows of these operations. |
Financial and capital risk ma_4
Financial and capital risk management - Effects of derivatives on the income statement, cash flow and other comprehensive income (Details) - Not Designated As Hedging Instruments [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
IfrsStatementLineItems [Line Items] | |||||
Gain (loss) recognized in the income statement | $ 563 | $ (270) | $ 755 | $ 591 | |
Financial settlement inflows outflows | 134 | (42) | 172 | (118) | |
Foreign Exchange And Interest Rate Risk [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Gain (loss) recognized in the income statement | 558 | (288) | 774 | 575 | |
Financial settlement inflows outflows | [1] | 113 | 45 | 130 | 51 |
Commodity price risk [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Gain (loss) recognized in the income statement | 4 | 26 | (21) | 34 | |
Financial settlement inflows outflows | 21 | (87) | 42 | (169) | |
Cdi Tjlp Versus Usd Fixed And Floating Rate Swap [Member] | Foreign Exchange And Interest Rate Risk [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Gain (loss) recognized in the income statement | 144 | (121) | 188 | 269 | |
Financial settlement inflows outflows | (4) | (17) | (8) | (43) | |
Ipca Swap [Member] | Foreign Exchange And Interest Rate Risk [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Gain (loss) recognized in the income statement | 23 | (11) | 30 | 66 | |
Financial settlement inflows outflows | 2 | 8 | 3 | 11 | |
Dollar Swap [Member] | Foreign Exchange And Interest Rate Risk [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Gain (loss) recognized in the income statement | 376 | (163) | 538 | 198 | |
Financial settlement inflows outflows | 98 | 54 | 118 | 84 | |
Libor Swap [Member] | Foreign Exchange And Interest Rate Risk [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Gain (loss) recognized in the income statement | 2 | 7 | 5 | 42 | |
Financial settlement inflows outflows | [1] | 4 | 4 | (1) | |
Forwards [Member] | Foreign Exchange And Interest Rate Risk [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Gain (loss) recognized in the income statement | 13 | 13 | |||
Financial settlement inflows outflows | [1] | 13 | 13 | ||
Bunker Oil Gasoil And Brent [Member] | Commodity price risk [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Gain (loss) recognized in the income statement | 4 | 10 | (20) | 25 | |
Financial settlement inflows outflows | 1 | 6 | 3 | 9 | |
Energy Transition Materials [Member] | Commodity price risk [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Gain (loss) recognized in the income statement | 16 | (1) | 9 | ||
Financial settlement inflows outflows | 20 | (93) | 39 | (178) | |
Other Options [Member] | Commodity price risk [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Gain (loss) recognized in the income statement | $ 1 | $ (8) | $ 2 | $ (18) | |
[1]A substantial part of the balances is held with financial institutions in Brazil and, in local currency, they are deemed investment grade . |
Financial and capital risk ma_5
Financial and capital risk management - Protection programs for the R and EUR denominated debt instruments and other liabilities (Details) R$ in Millions, $ in Millions | 6 Months Ended | |||
Jun. 30, 2023 USD ($) | Jun. 30, 2023 BRL (R$) | Dec. 31, 2022 USD ($) | Dec. 31, 2022 BRL (R$) | |
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | $ 88 | $ (83) | ||
Financial settlement inflows outflows | (7) | |||
Value at risk | 23 | |||
Receivable | $ 5,696 | 6,356 | ||
Average receivable rate | 100.13% | 100.13% | ||
Payable | $ 1,320 | 1,475 | ||
Average payable rate | 1.77% | 1.77% | ||
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | Not later than one year [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | $ 8 | |||
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | Later than one year and not later than two years [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 16 | |||
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | Later Than Two Year And There After [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 64 | |||
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | (28) | (50) | ||
Financial settlement inflows outflows | (1) | |||
Value at risk | $ 3 | |||
Receivable | R$ | R$ 743 | R$ 814 | ||
Average receivable rate | 1.05% | 1.05% | ||
Payable | $ 186 | 204 | ||
Average payable rate | 3.45% | 3.45% | ||
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Not later than one year [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | $ (1) | |||
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Later than one year and not later than two years [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | (3) | |||
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Later Than Two Year And There After [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | (24) | |||
C D I And T J L P [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 60 | (133) | ||
Financial settlement inflows outflows | (8) | |||
Value at risk | 26 | |||
C D I And T J L P [Member] | Not later than one year [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 7 | |||
C D I And T J L P [Member] | Later than one year and not later than two years [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 13 | |||
C D I And T J L P [Member] | Later Than Two Year And There After [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 40 | |||
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | (41) | (63) | ||
Financial settlement inflows outflows | 3 | |||
Value at risk | $ 5 | |||
Receivable | R$ | R$ 1186 | 1,294 | ||
Average receivable rate | 4.54% | 4.54% | ||
Payable | $ 293 | 320 | ||
Average payable rate | 3.88% | 3.88% | ||
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap [Member] | Later than one year and not later than two years [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | $ (6) | |||
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap [Member] | Later Than Two Year And There After [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | (35) | |||
I P C A [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | (41) | (63) | ||
Financial settlement inflows outflows | 3 | |||
Value at risk | 5 | |||
I P C A [Member] | Later than one year and not later than two years [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | (6) | |||
I P C A [Member] | Later Than Two Year And There After [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | (35) | |||
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 791 | 318 | ||
Financial settlement inflows outflows | 43 | |||
Value at risk | $ 64 | |||
Receivable | R$ | R$ 19307 | 20,854 | ||
Average receivable rate | 7.61% | 7.61% | ||
Payable | $ 3,665 | 3,948 | ||
Average payable rate | 0% | 0% | ||
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | Later than one year and not later than two years [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | $ 291 | |||
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | Later Than Two Year And There After [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 235 | |||
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 265 | |||
Forward contract [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 77 | 82 | ||
Financial settlement inflows outflows | 75 | |||
Value at risk | $ 6 | |||
Payable | R$ | R$ 2186 | R$ 4342 | ||
Average payable rate | 5.24% | 5.24% | ||
Forward contract [member] | Later than one year and not later than two years [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | $ 34 | |||
Forward contract [member] | Later Than Two Year And There After [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 10 | |||
Forward contract [member] | Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 33 | |||
Brazilian Fixed Rate Versus U S Fixed Rate [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 868 | $ 400 | ||
Financial settlement inflows outflows | 118 | |||
Value at risk | 70 | |||
Brazilian Fixed Rate Versus U S Fixed Rate [Member] | Later than one year and not later than two years [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 325 | |||
Brazilian Fixed Rate Versus U S Fixed Rate [Member] | Later Than Two Year And There After [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | 245 | |||
Brazilian Fixed Rate Versus U S Fixed Rate [Member] | Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Derivative financial liabilities | $ 298 |
Financial and capital risk ma_6
Financial and capital risk management - Sensitivity analysis of derivative financial instruments (Details 1) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | $ 88 | $ (83) |
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Real Depreciation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 88 | |
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Real Depreciation [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (229) | |
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Real Depreciation [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (546) | |
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 88 | |
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 46 | |
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Interest Rate Increase [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 88 | |
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Interest Rate Increase [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 56 | |
Brazilian Interbank Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Interest Rate Increase [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 24 | |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (28) | (50) |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Real Depreciation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (28) | |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Real Depreciation [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (72) | |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Real Depreciation [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (116) | |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (28) | |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (33) | |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (40) | |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Interest Rate Increase [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (28) | |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Interest Rate Increase [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (36) | |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Interest Rate Increase [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (43) | |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Tjlp Interest Rate Decrease [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (28) | |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Tjlp Interest Rate Decrease [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (34) | |
Long Term Interest Rate Versus U S Fixed Rate Swap [Member] | Risk Tjlp Interest Rate Decrease [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (40) | |
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap Membe [Member] | Risk Brazilian Real Depreciation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (41) | |
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap Membe [Member] | Risk Brazilian Real Depreciation [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (112) | |
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap Membe [Member] | Risk Brazilian Real Depreciation [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (183) | |
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap Membe [Member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (41) | |
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap Membe [Member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (50) | |
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap Membe [Member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (60) | |
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap Membe [Member] | Risk Brazilian Interest Rate Increase [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (41) | |
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap Membe [Member] | Risk Brazilian Interest Rate Increase [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (54) | |
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap Membe [Member] | Risk Brazilian Interest Rate Increase [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (67) | |
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap Membe [Member] | Risk Ipca Index Decrease [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (41) | |
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap Membe [Member] | Risk Ipca Index Decrease [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (47) | |
Ndice Nacional De Preos Ao Consumidor Amplo Versus U S Fixed Rate Swap Membe [Member] | Risk Ipca Index Decrease [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (53) | |
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 791 | 318 |
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Real Depreciation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 791 | |
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Real Depreciation [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (57) | |
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Real Depreciation [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (906) | |
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 791 | |
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 728 | |
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 663 | |
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Interest Rate Increase [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 791 | |
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Interest Rate Increase [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 666 | |
Brazilian Real Fixed Rate Versus U S Fixed Rate Swap [Member] | Risk Brazilian Interest Rate Increase [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 548 | |
Forward contract [member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 77 | $ 82 |
Forward contract [member] | Risk Brazilian Real Depreciation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 77 | |
Forward contract [member] | Risk Brazilian Real Depreciation [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (8) | |
Forward contract [member] | Risk Brazilian Real Depreciation [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (93) | |
Forward contract [member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 77 | |
Forward contract [member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 73 | |
Forward contract [member] | Risk U S Interest Rate Inside Brazil Decrease [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 68 | |
Forward contract [member] | Risk Brazilian Interest Rate Increase [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 77 | |
Forward contract [member] | Risk Brazilian Interest Rate Increase [Member] | Sensitivity Scenario I [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 68 | |
Forward contract [member] | Risk Brazilian Interest Rate Increase [Member] | Sensitivity Scenario Ii [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | $ 60 |
Financial and capital risk ma_7
Financial and capital risk management - Protection program for Libor floating interest rate US denominated debt (Details 2) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | |
Euro Fixed Rate Versus U S Fixed Rate Swap [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Derivative financial liabilities | $ 8 | $ 7 |
Financial settlement inflows outflows | 4 | |
Derivative assets, notional amount | $ 150 | 150 |
Derivative receivable interest rate | 0.85% | |
Derivative liabilities, notional amount | $ 150 | 150 |
Derivative payable interest rate | 0.85% | |
Euro Fixed Rate Versus U S Fixed Rate Swap [Member] | Not later than one year [member] | ||
IfrsStatementLineItems [Line Items] | ||
Derivative financial liabilities | $ 4 | |
L I B O R [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Derivative financial liabilities | 8 | $ 7 |
Financial settlement inflows outflows | 4 | |
L I B O R [Member] | Not later than one year [member] | ||
IfrsStatementLineItems [Line Items] | ||
Derivative financial liabilities | $ 4 |
Financial and capital risk ma_8
Financial and capital risk management - Sensitivity analysis of derivative financial instruments (Details 3) - Risk U S Libor Decrease [Member] $ in Millions | Jun. 30, 2023 USD ($) |
U S Floating Rate Versus U S Fixed Swap Rate [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | $ 8 |
U S Floating Rate Versus U S Fixed Swap Rate [Member] | Sensitivity Scenario I [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | 7 |
U S Floating Rate Versus U S Fixed Swap Rate [Member] | Sensitivity Scenario Ii [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | 6 |
Protected Item Libor U S Indexed Debt [Member] | Sensitivity Scenario I [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | (7) |
Protected Item Libor U S Indexed Debt [Member] | Sensitivity Scenario Ii [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | $ (6) |
Financial and capital risk ma_9
Financial and capital risk management - Sensitivity analysis of derivative financial instruments (Details 4) $ in Millions | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Bunker Oil Call Options Bought [Member] | |
IfrsStatementLineItems [Line Items] | |
Financial settlement inflows outflows | $ 13 |
Financial and capital risk m_10
Financial and capital risk management - Sensitivity analysis of derivative financial instruments (Details 5) bbl in Millions, $ in Millions | 6 Months Ended | |
Jun. 30, 2023 USD ($) bbl | Dec. 31, 2022 USD ($) bbl | |
Bunker Oil Call Options Bought [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Notional amount per barrel | bbl | 31,139,250 | 22,600,500 |
Average strike per ton | 95 | |
Fair value of liabilities | $ 68 | $ 74 |
Value at risk | 15 | |
Financial settlement inflows outflows | 13 | |
Bunker Oil Call Options Bought [Member] | Not later than one year [member] | ||
IfrsStatementLineItems [Line Items] | ||
Value at risk | 6 | |
Bunker Oil Call Options Bought [Member] | Later than one year [member] | ||
IfrsStatementLineItems [Line Items] | ||
Value at risk | $ 62 | |
Bunker Oil Put Options Sold [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Notional amount per barrel | bbl | 31,139,250 | 22,600,500 |
Average strike per ton | 62 | |
Fair value of liabilities | $ (71) | $ (51) |
Value at risk | 16 | |
Bunker Oil Put Options Sold [Member] | Not later than one year [member] | ||
IfrsStatementLineItems [Line Items] | ||
Value at risk | (23) | |
Bunker Oil Put Options Sold [Member] | Later than one year [member] | ||
IfrsStatementLineItems [Line Items] | ||
Value at risk | $ (48) | |
Bunker Oil Forwards Contract Bought [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Notional amount per barrel | bbl | 960 | 2,085 |
Average strike per ton | 13,791 | |
Fair value of liabilities | $ 2 | $ (1) |
Value at risk | 1 | |
Financial settlement inflows outflows | 3 | |
Bunker Oil Forwards Contract Bought [Member] | Freight Forwards [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Value at risk | 2 | |
Forward Freight [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (1) | $ 22 |
Value at risk | 32 | |
Financial settlement inflows outflows | 3 | |
Forward Freight [Member] | Not later than one year [member] | ||
IfrsStatementLineItems [Line Items] | ||
Value at risk | (15) | |
Forward Freight [Member] | Later than one year [member] | ||
IfrsStatementLineItems [Line Items] | ||
Value at risk | $ 14 |
Financial and capital risk m_11
Financial and capital risk management - Sensitivity analysis of derivative financial instruments (Details 6) - Risk Bunker Oil Price Decrease [Member] $ in Millions | Jun. 30, 2023 USD ($) |
Bunker Crude Oil Options [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | $ (3) |
Bunker Crude Oil Options [Member] | Sensitivity Scenario I [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | (288) |
Bunker Crude Oil Options [Member] | Sensitivity Scenario Ii [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | (759) |
Protected Item Part Of Costs Linked To Fuel Oil Prices [Member] | Sensitivity Scenario I [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | 288 |
Protected Item Part Of Costs Linked To Fuel Oil Prices [Member] | Sensitivity Scenario Ii [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | 759 |
Forwards Frieght [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | 2 |
Forwards Frieght [Member] | Sensitivity Scenario I [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | (2) |
Forwards Frieght [Member] | Sensitivity Scenario Ii [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | (5) |
Protected Item Part Of Costs Linked To Bunker Oil Prices [Member] | Sensitivity Scenario I [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | 2 |
Protected Item Part Of Costs Linked To Bunker Oil Prices [Member] | Sensitivity Scenario Ii [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | $ 5 |
Financial and capital risk m_12
Financial and capital risk management - Embedded derivatives in contracts (Details 7) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Fixed Price Sales Protection Nickel Forwards Bought [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Nominal amount of hedging instrument | 2,580 | 766 |
Average strike per ton | 20,842 | |
Fair value of liabilities | $ 7 | |
Financial settlement inflows outflows | $ 3 | |
Value at risk | 3 | |
Hedge Program For Products Acquisition For Resale Nickel Forwards Sold [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Nominal amount of hedging instrument | 384 | |
Fair value of liabilities | $ (1) | |
Financial settlement inflows outflows | 2 | |
Nickel Forwards [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | $ 6 | |
Financial settlement inflows outflows | 5 | |
Value at risk | $ 3 | |
Embedded Call Options Sold [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Nominal amount of hedging instrument | 746,667 | 746,667 |
Average strike per ton | 233 | |
Fair value of liabilities | $ (3) | $ (5) |
Value at risk | 2 | |
Embedded Call Options Sold [Member] | Not later than one year [member] | ||
IfrsStatementLineItems [Line Items] | ||
Value at risk | (3) | |
Call Options [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | (3) | $ (5) |
Value at risk | 2 | |
Call Options [Member] | Not later than one year [member] | ||
IfrsStatementLineItems [Line Items] | ||
Value at risk | $ (3) |
Financial and capital risk m_13
Financial and capital risk management - Sensitiity analysis other derivatives (Details 8) $ in Millions | Jun. 30, 2023 USD ($) |
Fixed Price Sales Protection Forwards [Member] | Risk Nickel Price Increase [Member] | Sensitivity Scenario I [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | $ (14) |
Fixed Price Sales Protection Forwards [Member] | Risk Nickel Price Increase [Member] | Sensitivity Scenario Ii [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | (27) |
Protected Item Part Of Nickel Revenues With Fixed Prices [Member] | Risk Nickel Price Increase [Member] | Sensitivity Scenario I [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | 14 |
Protected Item Part Of Nickel Revenues With Fixed Prices [Member] | Risk Nickel Price Increase [Member] | Sensitivity Scenario Ii [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | 27 |
Embedded Derivatives Gas Purchase [Member] | Risk Pellet Price Increase [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | (3) |
Embedded Derivatives Gas Purchase [Member] | Risk Pellet Price Increase [Member] | Sensitivity Scenario I [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | (8) |
Embedded Derivatives Gas Purchase [Member] | Risk Pellet Price Increase [Member] | Sensitivity Scenario Ii [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | $ (16) |
Financial and capital risk m_14
Financial and capital risk management - Effects of derivatives on other comprehensive income (Details 9) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Net Investments Hedge [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Gain (loss) recognised in other comprehensive income | $ 96 | $ (145) | $ 145 | $ 74 |
Cash Flow Hedge Nickel And Palladium [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Gain (loss) recognised in other comprehensive income | $ (5) | $ 312 | $ 14 | $ 8 |
Financial and capital risk m_15
Financial and capital risk management - Cash flow hedge (Details 10) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Nickel Revenue Hedging Programs Forward Options Sold [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Nominal amount of hedging instrument | (3,150) | 6,300 |
Average strike per ton | 34,929 | |
Fair value of liabilities | $ 45 | $ 28 |
Financial settlement inflows outflows | 34 | |
Value at risk | 4 | |
Nickel Revenue Hedging Programs Forward Options Sold [Member] | Not later than one year [member] | ||
IfrsStatementLineItems [Line Items] | ||
Value at risk | 45 | |
Nickel Revenue Hedge Program [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Fair value of liabilities | 45 | $ 28 |
Financial settlement inflows outflows | 34 | |
Value at risk | 4 | |
Nickel Revenue Hedge Program [Member] | Not later than one year [member] | ||
IfrsStatementLineItems [Line Items] | ||
Value at risk | $ 45 |
Financial and capital risk m_16
Financial and capital risk management - Sensitivity analysis of hedge accounting (Details 11) - Risk Nickel Price Increase [Member] $ in Millions | Jun. 30, 2023 USD ($) |
Nickel Revenue Hedge Program Options [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | $ 45 |
Nickel Revenue Hedge Program Options [Member] | Sensitivity Scenario I [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | 29 |
Nickel Revenue Hedge Program Options [Member] | Sensitivity Scenario Ii [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | 13 |
Nickel Revenue Hedging Program Protected Item Part Of Nickel Revenues With Fixed Sales Prices [Member] | Sensitivity Scenario I [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | (29) |
Nickel Revenue Hedging Program Protected Item Part Of Nickel Revenues With Fixed Sales Prices [Member] | Sensitivity Scenario Ii [Member] | |
IfrsStatementLineItems [Line Items] | |
Fair value of liabilities | $ (13) |
Financial and capital risk m_17
Financial and capital risk management - Financial counterparties' ratings (Details 12) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
Cash And Cash Equivalents Current [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | $ 5,029 | $ 4,797 | |
Cash And Cash Equivalents Current [Member] | Moody Aa 1 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | 36 | 32 | |
Cash And Cash Equivalents Current [Member] | Moody Aa 2 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | 726 | 342 | |
Cash And Cash Equivalents Current [Member] | Moody Aa 3 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | 190 | 239 | |
Cash And Cash Equivalents Current [Member] | Moody A 1 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | 1,602 | 1,746 | |
Cash And Cash Equivalents Current [Member] | Moody A 2 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | 736 | 938 | |
Cash And Cash Equivalents Current [Member] | Moody A 3 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | 713 | 918 | |
Cash And Cash Equivalents Current [Member] | Moody Baa 2 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | 51 | 7 | |
Cash And Cash Equivalents Current [Member] | Moody Ba 2 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | [1] | 798 | 411 |
Cash And Cash Equivalents Current [Member] | Moody Ba 3 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | [1] | 177 | 164 |
Derivatives [member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | 1,081 | 538 | |
Derivatives [member] | Moody Aa 2 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | 5 | ||
Derivatives [member] | Moody A 1 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | 139 | 97 | |
Derivatives [member] | Moody A 2 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | 296 | 145 | |
Derivatives [member] | Moody A 3 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | 52 | 62 | |
Derivatives [member] | Moody Ba 2 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | [1] | 426 | 174 |
Derivatives [member] | Moody Ba 3 Rating [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Credit exposure | [1] | $ 168 | $ 54 |
[1]A substantial part of the balances is held with financial institutions in Brazil and, in local currency, they are deemed investment grade . |
Financial assets and liabilit_3
Financial assets and liabilities (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
IfrsStatementLineItems [Line Items] | ||
Total current financial assets | $ 8,518 | $ 9,458 |
Non-current financial assets | 2,024 | 1,495 |
Financial assets | 10,542 | 10,953 |
Current financial liabilities | 7,751 | 6,622 |
Non-current financial liabilities | 18,324 | 17,791 |
Financial liabilities | 26,075 | 24,413 |
Cash And Cash Equivalents Current [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Total current financial assets | 4,983 | 4,736 |
Short Term Investment [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Total current financial assets | 46 | 61 |
Derivatives [member] | ||
IfrsStatementLineItems [Line Items] | ||
Total current financial assets | 522 | 342 |
Non-current financial assets | 559 | 196 |
Current financial liabilities | 47 | 90 |
Non-current financial liabilities | 98 | 186 |
Accounts Receivable Current [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Total current financial assets | 2,967 | 4,319 |
Judicial Deposits [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Non-current financial assets | 1,326 | 1,215 |
Restricted Cash [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Non-current financial assets | 108 | 77 |
Investments In Equity Securities Noncurrent [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Non-current financial assets | 31 | 7 |
Suppliers And Contractors Current [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current financial liabilities | 5,240 | 4,461 |
Loans And Borrowings Current [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current financial liabilities | 912 | 489 |
Non-current financial liabilities | 13,025 | 12,223 |
Government Grant [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current financial liabilities | 611 | 416 |
Non-current financial liabilities | 2,673 | 2,554 |
Other Financial Liabilities [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current financial liabilities | 187 | 400 |
Contract Liability [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current financial liabilities | 754 | 766 |
Participative Stockholders Debentures Noncurrent [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Non-current financial liabilities | 2,528 | 2,725 |
Financial Guarantees [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Non-current financial liabilities | 103 | |
Amortized cost | ||
IfrsStatementLineItems [Line Items] | ||
Total current financial assets | 5,407 | 5,274 |
Non-current financial assets | 1,434 | 1,292 |
Financial assets | 6,841 | 6,566 |
Current financial liabilities | 7,704 | 6,532 |
Non-current financial liabilities | 15,698 | 14,777 |
Financial liabilities | 23,402 | 21,309 |
Amortized cost | Cash And Cash Equivalents Current [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Total current financial assets | 4,983 | 4,736 |
Amortized cost | Accounts Receivable Current [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Total current financial assets | 424 | 538 |
Amortized cost | Judicial Deposits [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Non-current financial assets | 1,326 | 1,215 |
Amortized cost | Restricted Cash [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Non-current financial assets | 108 | 77 |
Amortized cost | Suppliers And Contractors Current [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current financial liabilities | 5,240 | 4,461 |
Amortized cost | Loans And Borrowings Current [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current financial liabilities | 912 | 489 |
Non-current financial liabilities | 13,025 | 12,223 |
Amortized cost | Government Grant [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current financial liabilities | 611 | 416 |
Non-current financial liabilities | 2,673 | 2,554 |
Amortized cost | Other Financial Liabilities [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current financial liabilities | 187 | 400 |
Amortized cost | Contract Liability [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current financial liabilities | 754 | 766 |
Financial assets at fair value through profit or loss, category [member] | ||
IfrsStatementLineItems [Line Items] | ||
Total current financial assets | 3,111 | 4,184 |
Non-current financial assets | 559 | 196 |
Financial assets | 3,670 | 4,380 |
Financial assets at fair value through profit or loss, category [member] | Short Term Investment [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Total current financial assets | 46 | 61 |
Financial assets at fair value through profit or loss, category [member] | Derivatives [member] | ||
IfrsStatementLineItems [Line Items] | ||
Total current financial assets | 522 | 342 |
Non-current financial assets | 559 | 196 |
Financial assets at fair value through profit or loss, category [member] | Accounts Receivable Current [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Total current financial assets | 2,543 | 3,781 |
Financial assets measured at fair value through other comprehensive income, category [member] | ||
IfrsStatementLineItems [Line Items] | ||
Non-current financial assets | 31 | 7 |
Financial assets | 31 | 7 |
Financial assets measured at fair value through other comprehensive income, category [member] | Investments In Equity Securities Noncurrent [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Non-current financial assets | 31 | 7 |
Financial Liabilities At Fair Value Through Profit Or Loss Category Membe [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current financial liabilities | 47 | 90 |
Non-current financial liabilities | 2,626 | 3,014 |
Financial liabilities | 2,673 | 3,104 |
Financial Liabilities At Fair Value Through Profit Or Loss Category Membe [Member] | Derivatives [member] | ||
IfrsStatementLineItems [Line Items] | ||
Current financial liabilities | 47 | 90 |
Non-current financial liabilities | 98 | 186 |
Financial Liabilities At Fair Value Through Profit Or Loss Category Membe [Member] | Participative Stockholders Debentures Noncurrent [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Non-current financial liabilities | $ 2,528 | 2,725 |
Financial Liabilities At Fair Value Through Profit Or Loss Category Membe [Member] | Financial Guarantees [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Non-current financial liabilities | $ 103 |
Financial assets and liabilit_4
Financial assets and liabilities - Hierarchy of fair value (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
IfrsStatementLineItems [Line Items] | ||
Financial assets | $ 3,701 | $ 4,387 |
Financial liabilities | 2,673 | 3,104 |
Derivatives [member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial liabilities | 145 | 276 |
Participative Stockholders Debentures Noncurrent [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial liabilities | 2,528 | 2,725 |
Financial Guarantees [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial liabilities | 103 | |
Shorts Term Investments [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial assets | 46 | 61 |
Derivatives [member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial assets | 1,081 | 538 |
Accounts Receivable Current [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial assets | 2,543 | 3,781 |
Investments In Equity Securities Noncurrent [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial assets | 31 | 7 |
Level 1 of fair value hierarchy [member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial assets | 46 | 61 |
Level 1 of fair value hierarchy [member] | Shorts Term Investments [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial assets | 46 | 61 |
Level 2 of fair value hierarchy [member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial assets | 3,655 | 4,326 |
Financial liabilities | 2,673 | 3,104 |
Level 2 of fair value hierarchy [member] | Derivatives [member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial liabilities | 145 | 276 |
Level 2 of fair value hierarchy [member] | Participative Stockholders Debentures Noncurrent [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial liabilities | 2,528 | 2,725 |
Level 2 of fair value hierarchy [member] | Financial Guarantees [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial liabilities | 103 | |
Level 2 of fair value hierarchy [member] | Derivatives [member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial assets | 1,081 | 538 |
Level 2 of fair value hierarchy [member] | Accounts Receivable Current [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial assets | 2,543 | 3,781 |
Level 2 of fair value hierarchy [member] | Investments In Equity Securities Noncurrent [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Financial assets | $ 31 | $ 7 |
Financial assets and liabilit_5
Financial assets and liabilities - Loans and financing (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
IfrsStatementLineItems [Line Items] | ||
Loans and financing | $ 13,937 | $ 12,712 |
Gross carrying amount [member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 12,261 | 11,034 |
Gross carrying amount [member] | U S D [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 4,512 | 4,266 |
Gross carrying amount [member] | E U R [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 9 | 9 |
Gross carrying amount [member] | Tjlp Tr Ipca Igp M And Cdi [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 276 | 278 |
Gross carrying amount [member] | Fixed interest rate [member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 2 | |
Gross carrying amount [member] | Fixed interest rate [member] | Currencies Other Than U S Dollar And Brazilian Real [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 80 | 89 |
Gross carrying amount [member] | Bond [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 7,157 | 6,157 |
Gross carrying amount [member] | Debentures [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 227 | 233 |
At fair value [member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 11,335 | 11,249 |
At fair value [member] | U S D [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 3,587 | 4,391 |
At fair value [member] | E U R [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 5 | 9 |
At fair value [member] | Tjlp Tr Ipca Igp M And Cdi [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 276 | 278 |
At fair value [member] | Fixed interest rate [member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 2 | |
At fair value [member] | Fixed interest rate [member] | Currencies Other Than U S Dollar And Brazilian Real [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 69 | 91 |
At fair value [member] | Bond [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | 7,175 | 6,253 |
At fair value [member] | Debentures [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Loans and financing | $ 223 | $ 225 |
Participative shareholders debe
Participative shareholders debentures (Details) $ in Millions | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2023 USD ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2023 R$ / shares | Dec. 31, 2022 USD ($) | Jun. 30, 2022 R$ / shares | |
Participative Shareholders Debentures | |||||||
Average Price Per Debenture | R$ / shares | R$ 31.35 | R$ 43.39 | |||||
Financial income related to debenture | $ 321 | $ 288 | $ 274 | $ 288 | |||
Liability related to debenture | $ 2,528 | $ 2,528 | $ 2,725 |
Participative shareholders_ d_3
Participative shareholders’ debentures (Details Narrative) - USD ($) $ in Millions | 6 Months Ended | |
Apr. 03, 2023 | Jun. 30, 2022 | |
Participative Shareholders Debentures | ||
Remuneration amount | $ 125 | $ 225 |
Loans, borrowings, leases, ca_3
Loans, borrowings, leases, cash and cash equivalents and short-term investments - Net debt and Short-term investments (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | |
Notes and other explanatory information [abstract] | |||||||
Debt contracts | $ 12,417 | $ 11,181 | |||||
Leases | 1,520 | 1,531 | |||||
Total of loans, borrowings and leases | 13,937 | 12,712 | |||||
Cash and cash equivalents | 4,983 | $ 4,705 | 4,736 | $ 7,185 | $ 9,061 | $ 11,721 | |
Short-term investments | [1] | 46 | 61 | ||||
Net debt (cash) | $ 8,908 | $ 7,915 | |||||
[1]Substantially comprises investments in exclusive investment fund, whose portfolio is composed of committed transactions and Selic Treasury Notes (“LFTs”), which are floating-rate securities issued by the Brazilian government. |
Loans, borrowings, leases, ca_4
Loans, borrowings, leases, cash and cash equivalents and short-term investments - Cash and cash equivalents (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
IfrsStatementLineItems [Line Items] | ||||||
Cash and cash equivalents | $ 4,983 | $ 4,705 | $ 4,736 | $ 7,185 | $ 9,061 | $ 11,721 |
B R L [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Cash and cash equivalents | 1,147 | 1,770 | ||||
U S D [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Cash and cash equivalents | 3,598 | 2,798 | ||||
Other Curriencies [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Cash and cash equivalents | 238 | 168 | ||||
Total Curriencies [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Cash and cash equivalents | $ 4,983 | $ 4,736 |
Loans, borrowings, leases, ca_5
Loans, borrowings, leases, cash and cash equivalents and short-term investments - Total debt (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
IfrsStatementLineItems [Line Items] | |||
Non-current portion of non-current borrowings. gross | $ 11,704 | $ 10,874 | |
Current borrowings. gross | 713 | 307 | |
Accrued charges | $ 156 | 147 | |
Quoted In Secondary Market [Member] | Bond [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Borrowings, interest rate | [1] | 6.02% | |
Non-current portion of non-current borrowings. gross | $ 7,157 | 6,157 | |
Quoted In Secondary Market [Member] | Debentures [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Borrowings, interest rate | [1],[2] | 10.07% | |
Current borrowings. gross | [2] | $ 95 | 47 |
Quoted In Secondary Market [Member] | Eurobonds [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Non-current portion of non-current borrowings. gross | [2] | 132 | 186 |
Debt Contract Brazil [Member] | U S D [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Non-current portion of non-current borrowings. gross | 4,112 | 4,212 | |
Current borrowings. gross | 400 | 54 | |
Debt Contract Brazil [Member] | Currencies Other Than U S Dollar And Brazilian Real [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Non-current portion of non-current borrowings. gross | $ 9 | 9 | |
Debt Contract Brazil [Member] | Tjlp Tr Ipca Igp M And Cdi [Member] | B R L [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Borrowings, interest rate | [1],[3] | 10.62% | |
Non-current portion of non-current borrowings. gross | [3] | $ 226 | 232 |
Current borrowings. gross | [3] | $ 50 | 46 |
Debt Contract Brazil [Member] | Fixed interest rate [member] | B R L [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Borrowings, interest rate | [1],[3] | 3.04% | |
Current borrowings. gross | [3] | 2 | |
Debt Contract Brazil [Member] | Fixed interest rate [member] | Currencies Other Than U S Dollar And Brazilian Real [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Non-current portion of non-current borrowings. gross | $ 68 | 78 | |
Current borrowings. gross | $ 12 | $ 11 | |
Debt Contracts International Markets [Member] | U S D [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Borrowings, interest rate | [1] | 5.37% | |
Debt Contracts International Markets [Member] | Currencies Other Than U S Dollar And Brazilian Real [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Borrowings, interest rate | [1] | 4.10% | |
Debt Contracts International Markets [Member] | Fixed interest rate [member] | Currencies Other Than U S Dollar And Brazilian Real [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Borrowings, interest rate | [1] | 3.87% | |
[1]In order to determine the average interest rate for debt contracts with floating rates, the Company used the rate applicable as of June 30, 2023.[2]The Company has debentures in Brazil obtained for the Company's infrastructure investment projects.[3]The Company entered into derivatives to mitigate the exposure to cash flow variations of all floating rate debt contracted in Brazil, resulting in an average cost of 3.42% per year in US$. |
Loans, borrowings, leases, ca_6
Loans, borrowings, leases, cash and cash equivalents and short-term investments - Debt payments (Details) $ in Millions | Jun. 30, 2023 USD ($) | |
IfrsStatementLineItems [Line Items] | ||
Principal | $ 12,261 | |
Estimated future interest payments | 6,882 | [1] |
Not Excess Of One Year In Remainder Of Current Fiscal Year [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Principal | 39 | |
Estimated future interest payments | 387 | [1] |
Fiscal Year After Current Fiscal Year [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Principal | 657 | |
Estimated future interest payments | 759 | [1] |
Second Fiscal Year After Current Fiscal Year [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Principal | 451 | |
Estimated future interest payments | 733 | [1] |
Third Fiscal Year After Current Fiscal Year [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Principal | 572 | |
Estimated future interest payments | 702 | [1] |
Fourth Fiscal Year After Current Fiscal Year [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Principal | 1,700 | |
Estimated future interest payments | 609 | [1] |
Later Than Four Years And Not Later Than Nine Years [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Principal | 3,125 | |
Estimated future interest payments | 1,519 | [1] |
Later Than Nine Years [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Principal | 5,717 | |
Estimated future interest payments | $ 2,173 | [1] |
[1]Based on interest rate curves and foreign exchange rates applicable as of June 30, 2023 and considering that the payments of principal will be made on their contracted payments dates. The amount includes the estimated interest not yet accrued and the interest already recognized in the interim financial statements. |
Loans, borrowings, leases, ca_7
Loans, borrowings, leases, cash and cash equivalents and short-term investments - Lease liabilities (Details) - USD ($) $ in Millions | 6 Months Ended | |||
Jun. 30, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | ||
IfrsStatementLineItems [Line Items] | ||||
Lease liabilities, beginning | $ 1,531 | |||
Payment | [1] | (92) | ||
Interest | 30 | |||
Translation adjustment | 32 | |||
Lease liabilities, ending | 1,520 | |||
Additions and contact modifications | 19 | |||
Non-current liabilities | 37,670 | $ 35,645 | ||
Lease liabilities | 1,520 | 1,531 | ||
Measurement Lease liabilities | 74 | $ 143 | ||
Lease liabilities [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Current liabilities | 199 | 182 | ||
Non-current liabilities | 1,321 | 1,349 | ||
Ports [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Lease liabilities, beginning | 690 | |||
Payment | [1] | (34) | ||
Interest | 12 | |||
Translation adjustment | 6 | |||
Lease liabilities, ending | 674 | |||
Lease liabilities | 674 | 690 | ||
Ships [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Lease liabilities, beginning | 441 | |||
Payment | [1] | (32) | ||
Interest | 8 | |||
Translation adjustment | (2) | |||
Lease liabilities, ending | 420 | |||
Additions and contact modifications | 5 | |||
Lease liabilities | 420 | 441 | ||
Pellets Plants [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Lease liabilities, beginning | 222 | |||
Payment | [1] | (2) | ||
Interest | 5 | |||
Translation adjustment | 18 | |||
Lease liabilities, ending | 255 | |||
Additions and contact modifications | 12 | |||
Lease liabilities | 255 | 222 | ||
Properties [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Lease liabilities, beginning | 105 | |||
Payment | [1] | (19) | ||
Interest | 2 | |||
Translation adjustment | 8 | |||
Lease liabilities, ending | 96 | |||
Lease liabilities | 96 | 105 | ||
Energy Plants [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Lease liabilities, beginning | 52 | |||
Payment | [1] | (2) | ||
Interest | 2 | |||
Lease liabilities, ending | 52 | |||
Lease liabilities | 52 | 52 | ||
Mning Equipment And Locomotives [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Lease liabilities, beginning | 21 | |||
Payment | [1] | (3) | ||
Interest | 1 | |||
Translation adjustment | 2 | |||
Lease liabilities, ending | 23 | |||
Additions and contact modifications | 2 | |||
Lease liabilities | $ 23 | $ 21 | ||
[1]The total amount of the variable lease payments not included in the measurement of lease liabilities for the six-month period ended June 30, 2023 was US$ 74 143 |
Loans, borrowings, leases, ca_8
Loans, borrowings, leases, cash and cash equivalents and short-term investments - Annual minimum payments (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 1,949 |
Not later than one year [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 190 |
Later than one year and not later than two years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 217 |
Later than two years and not later than three years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 202 |
Later than three years and not later than four years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 150 |
Later Than Four Years [Member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 1,190 |
Ports [Member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 929 |
Ports [Member] | Bottom of range [member] | |
IfrsStatementLineItems [Line Items] | |
Average Remaining Term | 3 years |
Discount rate | 3% |
Ports [Member] | Top of range [member] | |
IfrsStatementLineItems [Line Items] | |
Average Remaining Term | 20 years |
Discount rate | 5% |
Ports [Member] | Not later than one year [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 49 |
Ports [Member] | Later than one year and not later than two years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 66 |
Ports [Member] | Later than two years and not later than three years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 65 |
Ports [Member] | Later than three years and not later than four years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 52 |
Ports [Member] | Later Than Four Years [Member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 697 |
Ships [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 511 |
Ships [member] | Bottom of range [member] | |
IfrsStatementLineItems [Line Items] | |
Average Remaining Term | 2 years |
Discount rate | 3% |
Ships [member] | Top of range [member] | |
IfrsStatementLineItems [Line Items] | |
Average Remaining Term | 10 years |
Discount rate | 4% |
Ships [member] | Not later than one year [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 46 |
Ships [member] | Later than one year and not later than two years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 60 |
Ships [member] | Later than two years and not later than three years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 59 |
Ships [member] | Later than three years and not later than four years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 54 |
Ships [member] | Later Than Four Years [Member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 292 |
Pellets Plants [Member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 288 |
Pellets Plants [Member] | Bottom of range [member] | |
IfrsStatementLineItems [Line Items] | |
Average Remaining Term | 1 year |
Discount rate | 2% |
Pellets Plants [Member] | Top of range [member] | |
IfrsStatementLineItems [Line Items] | |
Average Remaining Term | 10 years |
Discount rate | 5% |
Pellets Plants [Member] | Not later than one year [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 59 |
Pellets Plants [Member] | Later than one year and not later than two years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 50 |
Pellets Plants [Member] | Later than two years and not later than three years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 47 |
Pellets Plants [Member] | Later than three years and not later than four years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 17 |
Pellets Plants [Member] | Later Than Four Years [Member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 115 |
Properties [Member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 125 |
Properties [Member] | Bottom of range [member] | |
IfrsStatementLineItems [Line Items] | |
Average Remaining Term | 1 year |
Discount rate | 1% |
Properties [Member] | Top of range [member] | |
IfrsStatementLineItems [Line Items] | |
Average Remaining Term | 10 years |
Discount rate | 6% |
Properties [Member] | Not later than one year [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 25 |
Properties [Member] | Later than one year and not later than two years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 28 |
Properties [Member] | Later than two years and not later than three years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 18 |
Properties [Member] | Later than three years and not later than four years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 16 |
Properties [Member] | Later Than Four Years [Member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 38 |
Energy Plants [Member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 71 |
Energy Plants [Member] | Bottom of range [member] | |
IfrsStatementLineItems [Line Items] | |
Average Remaining Term | 1 year |
Discount rate | 5% |
Energy Plants [Member] | Top of range [member] | |
IfrsStatementLineItems [Line Items] | |
Average Remaining Term | 7 years |
Discount rate | 6% |
Energy Plants [Member] | Not later than one year [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 5 |
Energy Plants [Member] | Later than one year and not later than two years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 7 |
Energy Plants [Member] | Later than two years and not later than three years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 7 |
Energy Plants [Member] | Later than three years and not later than four years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 6 |
Energy Plants [Member] | Later Than Four Years [Member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 46 |
Mining Equipment [Member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 25 |
Mining Equipment [Member] | Bottom of range [member] | |
IfrsStatementLineItems [Line Items] | |
Average Remaining Term | 1 year |
Discount rate | 2% |
Mining Equipment [Member] | Top of range [member] | |
IfrsStatementLineItems [Line Items] | |
Average Remaining Term | 5 years |
Discount rate | 6% |
Mining Equipment [Member] | Not later than one year [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 6 |
Mining Equipment [Member] | Later than one year and not later than two years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 6 |
Mining Equipment [Member] | Later than two years and not later than three years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 6 |
Mining Equipment [Member] | Later than three years and not later than four years [member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | 5 |
Mining Equipment [Member] | Later Than Four Years [Member] | |
IfrsStatementLineItems [Line Items] | |
Annual minimum payments | $ 2 |
Brumadinho dam failure (Details
Brumadinho dam failure (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
IfrsStatementLineItems [Line Items] | |||
Monetary and present value adjustments | $ 188 | ||
Disbursements | (621) | ||
Translation adjustment | 257 | ||
Operating expense | 140 | ||
Liability | 3,276 | $ 3,312 | |
Current liabilities | 1,201 | 944 | |
Non-current liabilities | 2,075 | $ 2,368 | |
Expense incurred in relation to Brumadinho event | 242 | $ 277 | |
Global Settlement For Brumadinho [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 2,526 | ||
Monetary and present value adjustments | 155 | ||
Disbursements | (506) | ||
Translation adjustment | 195 | ||
Balance at the ending | $ 2,370 | ||
Discount rate | 9.37% | 9.08% | |
Global Settlement For Brumadinho [Member] | Payment Obligations [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | $ 882 | ||
Monetary and present value adjustments | 42 | ||
Disbursements | (243) | ||
Translation adjustment | 67 | ||
Balance at the ending | 748 | ||
Global Settlement For Brumadinho [Member] | Provision For Socio Economic Reparation And Others [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 867 | ||
Monetary and present value adjustments | 62 | ||
Disbursements | (238) | ||
Translation adjustment | 63 | ||
Balance at the ending | 754 | ||
Global Settlement For Brumadinho [Member] | Provision For Social And Environmental Reparation [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 777 | ||
Monetary and present value adjustments | 51 | ||
Disbursements | (25) | ||
Translation adjustment | 65 | ||
Balance at the ending | 868 | ||
Commitment [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 786 | ||
Monetary and present value adjustments | 33 | ||
Disbursements | (115) | ||
Translation adjustment | 62 | ||
Balance at the ending | 906 | ||
Operating expense | 140 | ||
Commitment [Member] | Tailings Containment And Geotechnical Safety [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 559 | ||
Monetary and present value adjustments | 30 | ||
Disbursements | (67) | ||
Translation adjustment | 45 | ||
Balance at the ending | 567 | ||
Commitment [Member] | Individual Indemnification [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 45 | ||
Monetary and present value adjustments | 2 | ||
Disbursements | (32) | ||
Translation adjustment | 3 | ||
Balance at the ending | 100 | ||
Operating expense | 82 | ||
Commitment [Member] | Other Commitments [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 182 | ||
Monetary and present value adjustments | 1 | ||
Disbursements | (16) | ||
Translation adjustment | 14 | ||
Balance at the ending | 239 | ||
Operating expense | $ 58 |
Brumadinho dam failure (Detai_2
Brumadinho dam failure (Details Narrative) $ in Thousands, R$ in Millions | 6 Months Ended | ||||||
Apr. 28, 2022 USD ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2023 BRL (R$) | Dec. 31, 2021 USD ($) | Dec. 31, 2021 BRL (R$) | Oct. 31, 2020 USD ($) | Oct. 31, 2020 BRL (R$) | |
IfrsStatementLineItems [Line Items] | |||||||
Paid to labors | $ 208 | R$ 1 | |||||
Total payments | $ 56,000 | ||||||
Established of minimum amount | $ 18,000 | R$ 86 | |||||
Insurers amoun received | $ 11,000 | ||||||
Arbitration Proceedings In Brazil Filed By Shareholders And Class Association Proceeding One [Member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Estimated Loss on Legal Proceedings | 374,000 | R$ 1800 | |||||
Arbitration Proceedings In Brazil Filed By Shareholders And Class Association Proceeding Two [Member] | |||||||
IfrsStatementLineItems [Line Items] | |||||||
Estimated Loss on Legal Proceedings | $ 809,000 | R$ 3900 |
Liabilities related to associ_3
Liabilities related to associates and joint ventures - Changes on the provisions (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | |
IfrsStatementLineItems [Line Items] | ||
Liabilities, beginning | $ 3,321 | |
Monetary and present value adjustments | 133 | |
Disbursements | (108) | |
Translation adjustments | 273 | |
Liabilities, ending | 3,619 | |
Non-current liabilities | 37,670 | $ 35,645 |
Liabilities | $ 51,226 | $ 49,536 |
Bottom of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Discount rate | 5.46% | 6.20% |
Top of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Discount rate | 9.20% | 9.51% |
Fundao Dam Rupture And De Characterization Of Germano Dam [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Current liabilities | $ 1,044 | $ 1,911 |
Non-current liabilities | 2,575 | 1,410 |
Liabilities | 3,619 | $ 3,321 |
Renova Foundation Reparation And Compensation Programs [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Liabilities, beginning | 3,124 | |
Monetary and present value adjustments | 128 | |
Disbursements | (108) | |
Translation adjustments | 257 | |
Liabilities, ending | 3,401 | |
De Characterization Of The Germanod Dam [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Liabilities, beginning | 197 | |
Monetary and present value adjustments | 5 | |
Translation adjustments | 16 | |
Liabilities, ending | $ 218 |
Liabilities related to associ_4
Liabilities related to associates and joint ventures (Details Narrative) R$ in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||||
Mar. 31, 2023 USD ($) | Mar. 31, 2023 BRL (R$) | Jun. 30, 2023 USD ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2023 BRL (R$) | Jun. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2022 BRL (R$) | |
IfrsStatementLineItems [Line Items] | |||||||||
Deferred income tax assets | $ 1,078 | $ 1,078 | |||||||
Capitalization of expenses | $ 699 | R$ 3371 | |||||||
Amount claim from federal public | $ 9,673 | $ 11,157 | 18,107 | $ 21,969 | |||||
Deposits of total amount | $ 2,100 | R$ 10300 | |||||||
Public Civil Claim Filed By Federal Government And Others [Member] | |||||||||
IfrsStatementLineItems [Line Items] | |||||||||
Amount claim from federal public | 32,000 | R$ 155000 | |||||||
Public Civil Claim Filed By Federal Government And Others [Member] | Tac Gov Agreement [Member] | |||||||||
IfrsStatementLineItems [Line Items] | |||||||||
Amount claim from federal public | 32,000 | 155,000 | |||||||
Public Civil Claim Filed By Federal Government And Others [Member] | Framework Agreement [Member] | |||||||||
IfrsStatementLineItems [Line Items] | |||||||||
Amount claim from federal public | $ 32,000 | R$ 155000 |
Provision for de-characteriza_3
Provision for de-characterization of dam structures and asset retirement obligations - De-characterization of dam structures located in Brazil (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
IfrsStatementLineItems [Line Items] | |||
Additional provision | $ 65 | $ 27 | |
Disbursements | (112) | (70) | |
Translation adjustment | 257 | ||
Current liabilities | 849 | $ 1,036 | |
Non-current liabilities | 2,700 | 2,446 | |
Liabilities | 51,226 | 49,536 | |
De Characterization Of Upstream Dams [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 3,378 | 3,523 | |
Additional provision | 37 | ||
Disbursements | (173) | (152) | |
Present value valuation | 179 | (104) | |
Translation adjustment | 277 | 240 | |
Balance at the end | 3,661 | $ 3,544 | |
Current liabilities | 502 | 357 | |
Non-current liabilities | 3,159 | 3,021 | |
Liabilities | $ 3,661 | $ 3,378 |
Provision for de-characteriza_4
Provision for de-characterization of dam structures and asset retirement obligations - Asset retirement obligations and environmental obligations (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Dec. 31, 2022 | |
IfrsStatementLineItems [Line Items] | ||
Other provisions | $ 4,024 | $ 3,803 |
Provision For Decommissioning Restoration And Rehabilitation Costs And Environmental Provisions [Member] | Country Brazil [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Other provisions | $ 2,035 | $ 1,788 |
Discount rate | 5.46% | 6.20% |
Cash flow maturity | 2096 | 2096 |
Provision For Decommissioning Restoration And Rehabilitation Costs And Environmental Provisions [Member] | Country Canada [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Other provisions | $ 1,649 | $ 1,683 |
Discount rate | 1.11% | |
Cash flow maturity | 2151 | 2148 |
Provision For Decommissioning Restoration And Rehabilitation Costs And Environmental Provisions [Member] | Country Canada [Member] | Bottom of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Discount rate | 1.35% | |
Provision For Decommissioning Restoration And Rehabilitation Costs And Environmental Provisions [Member] | Country Canada [Member] | Top of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Discount rate | 1.61% | |
Provision For Decommissioning Restoration And Rehabilitation Costs And Environmental Provisions [Member] | Country Oman [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Other provisions | $ 114 | $ 114 |
Discount rate | 3.25% | 3.90% |
Cash flow maturity | 2035 | 2035 |
Provision For Decommissioning Restoration And Rehabilitation Costs And Environmental Provisions [Member] | Country Indonesia [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Other provisions | $ 87 | $ 73 |
Discount rate | 3.76% | 4.33% |
Cash flow maturity | 2062 | 2061 |
Provision For Decommissioning Restoration And Rehabilitation Costs And Environmental Provisions [Member] | Other Regions [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Other provisions | $ 139 | $ 145 |
Provision For Decommissioning Restoration And Rehabilitation Costs And Environmental Provisions [Member] | Other Regions [Member] | Bottom of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Discount rate | 1.70% | 1.84% |
Provision For Decommissioning Restoration And Rehabilitation Costs And Environmental Provisions [Member] | Other Regions [Member] | Top of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Discount rate | 2.45% | 2% |
Provision for de-characteriza_5
Provision for de-characterization of dam structures and asset retirement obligations - Provision changes during (Details) - USD ($) $ in Millions | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | ||
IfrsStatementLineItems [Line Items] | ||||
Balance at the beginning | $ 3,803 | $ 4,580 | ||
Adjustment to present value | 65 | 27 | ||
Disbursements | (112) | (70) | ||
Revisions on projected cash flows | 73 | (1,151) | [1] | |
Transfer to assets held for sale | (51) | |||
Translation adjustment | 195 | 51 | ||
Balance at the end | 4,024 | 3,386 | ||
Balance at the end | 4,024 | 3,386 | $ 3,803 | |
Current | 397 | 304 | ||
Non-current | 3,627 | 3,499 | ||
Liability | 4,024 | 3,803 | ||
Provision for decommissioning, restoration and rehabilitation costs [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Balance at the beginning | 3,466 | 4,283 | ||
Adjustment to present value | 64 | 26 | ||
Disbursements | (61) | (42) | ||
Revisions on projected cash flows | (7) | (1,145) | [1] | |
Transfer to assets held for sale | (49) | |||
Translation adjustment | 168 | 33 | ||
Balance at the end | 3,630 | 3,106 | ||
Balance at the end | 3,630 | 3,106 | 3,466 | |
Current | 243 | 210 | ||
Non-current | 3,387 | 3,256 | ||
Liability | 3,630 | 3,466 | ||
Other environment related provision [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Balance at the beginning | 337 | 297 | ||
Adjustment to present value | 1 | 1 | ||
Disbursements | (51) | (28) | ||
Revisions on projected cash flows | 80 | (6) | [1] | |
Transfer to assets held for sale | (2) | |||
Translation adjustment | 27 | 18 | ||
Balance at the end | 394 | 280 | ||
Balance at the end | 394 | $ 280 | 337 | |
Current | 154 | 94 | ||
Non-current | 240 | 243 | ||
Liability | $ 394 | $ 337 | ||
[1]The pension plan asset is recorded as “Other non-current assets” in the statement of financial position. |
Provision for de-characteriza_6
Provision for de-characterization of dam structures and asset retirement obligations (Details Narrative) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | ||
Feb. 28, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
IfrsStatementLineItems [Line Items] | ||||
Additional provision | $ 65 | $ 27 | ||
Segment amount | 50 | $ 161 | ||
Credit bonds | $ 891 | $ 644 | ||
Samarco Minerao S. A. [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
Additional provision | $ 37 |
Provisions (Details)
Provisions (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | Jun. 30, 2022 |
IfrsStatementLineItems [Line Items] | |||
Current liabilities | $ 849 | $ 1,036 | |
Non-current liabilities | 2,700 | 2,446 | |
Legal proceedings provision [member] | |||
IfrsStatementLineItems [Line Items] | |||
Current liabilities | 121 | 106 | $ 108 |
Non-current liabilities | 1,347 | 1,186 | $ 1,125 |
Employee Postretirement Obligation Provision [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Current liabilities | 68 | 66 | |
Non-current liabilities | 1,353 | 1,260 | |
Payroll Related Charges And Other Remunerations [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Current liabilities | $ 660 | $ 864 |
Litigations - Changes (Details)
Litigations - Changes (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
IfrsStatementLineItems [Line Items] | |||
Payments | $ (621) | ||
Translation adjustment | 257 | ||
Current liabilities | 849 | $ 1,036 | |
Non-current liabilities | 2,700 | 2,446 | |
Tax Litigation [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 576 | $ 456 | |
Additions and reversals, net | 3 | 2 | |
Payments | (3) | (1) | |
Indexation and interest | 18 | 14 | |
Translation adjustment | 49 | 29 | |
Balance at the ending | 643 | 499 | |
Current liabilities | 20 | 15 | |
Non-current liabilities | 623 | 484 | |
Provisions | 643 | 499 | |
Discontinued operations | (1) | ||
Civil Litigation [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 291 | 284 | |
Additions and reversals, net | 27 | 24 | |
Payments | (23) | (26) | |
Indexation and interest | 20 | 28 | |
Translation adjustment | 23 | 15 | |
Balance at the ending | 338 | 318 | |
Current liabilities | 24 | 23 | |
Non-current liabilities | 314 | 295 | |
Provisions | 338 | 318 | |
Discontinued operations | (7) | ||
Labor Litigation [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 411 | 358 | |
Additions and reversals, net | 51 | 32 | |
Payments | (39) | (25) | |
Indexation and interest | 11 | 14 | |
Translation adjustment | 37 | 25 | |
Balance at the ending | 471 | 402 | |
Current liabilities | 75 | 64 | |
Non-current liabilities | 396 | 338 | |
Provisions | 471 | 402 | |
Discontinued operations | (2) | ||
Environmental Litigation [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 14 | 7 | |
Additions and reversals, net | 2 | 6 | |
Payments | (3) | ||
Indexation and interest | 2 | ||
Translation adjustment | 1 | 1 | |
Balance at the ending | 16 | 14 | |
Current liabilities | 2 | 6 | |
Non-current liabilities | 14 | 8 | |
Provisions | 16 | 14 | |
Legal proceedings provision [member] | |||
IfrsStatementLineItems [Line Items] | |||
Balance at the beginning | 1,292 | 1,105 | |
Additions and reversals, net | 83 | 64 | |
Payments | (68) | (52) | |
Indexation and interest | 51 | 56 | |
Translation adjustment | 110 | 70 | |
Balance at the ending | 1,468 | 1,233 | |
Current liabilities | 121 | 108 | 106 |
Non-current liabilities | 1,347 | 1,125 | $ 1,186 |
Provisions | $ 1,468 | 1,233 | |
Discontinued operations | $ (10) |
Litigations - Contingent liabil
Litigations - Contingent liabilities (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Tax Litigation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Contingent liabilities | $ 6,892 | $ 6,590 |
Civil Litigation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Contingent liabilities | 1,289 | 1,270 |
Labor Litigation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Contingent liabilities | 492 | 569 |
Environmental Litigation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Contingent liabilities | 1,269 | 1,102 |
Legal proceedings provision [member] | ||
IfrsStatementLineItems [Line Items] | ||
Contingent liabilities | $ 9,942 | $ 9,531 |
Litigations - Judicial deposits
Litigations - Judicial deposits (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
IfrsStatementLineItems [Line Items] | ||
Judicial deposits, non-current | $ 1,326 | $ 1,215 |
Tax Litigation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Judicial deposits, non-current | 1,052 | 945 |
Civil Litigation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Judicial deposits, non-current | 116 | 123 |
Labor Litigation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Judicial deposits, non-current | 142 | 134 |
Environmental Litigation [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Judicial deposits, non-current | 16 | 13 |
Legal proceedings provision [member] | ||
IfrsStatementLineItems [Line Items] | ||
Judicial deposits, non-current | $ 1,326 | $ 1,215 |
Litigations (Details Narrative)
Litigations (Details Narrative) $ in Millions, R$ in Billions | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 USD ($) | Dec. 31, 2022 USD ($) | Jun. 30, 2023 BRL (R$) | Dec. 31, 2022 BRL (R$) | |
Notes and other explanatory information [abstract] | ||||
Legal proceedings reserved | $ 555 | $ 498 | ||
Guarantee Obligations, Bank Guarantee | $ 2,600 | $ 2,300 | R$ 12.3 | R$ 12.0 |
Employee benefits - Reconciliat
Employee benefits - Reconciliation of net liabilities recognized in the statement of financial position (Details) - Country of domicile [member] - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2023 | Dec. 31, 2022 | Mar. 31, 2023 | ||||
Overfunded Pension Plans [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Benefit obligation (Plan assets) as at beginning of the year | $ 1,114 | [1] | $ 919 | |||
Interest income | 53 | [1] | 84 | |||
Changes on asset ceiling | 350 | [1] | 65 | |||
Translation adjustment | 85 | [1] | 46 | |||
Benefit obligation (Plan assets) as at ending of the year | [1] | 1,602 | 1,114 | |||
Benefit obligation (Plan assets) as at beginning of the year | 95 | [1] | 84 | |||
Non-current provisions for employee benefits | 84 | $ 95 | [1] | |||
Provisions for employee benefits | 95 | [1] | 84 | |||
Overfunded Pension Plans [Member] | Present value of defined benefit obligation [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Benefit obligation (Plan assets) as at beginning of the year | (5,406) | [1] | (5,142) | |||
Overfunded Pension Plans [Member] | Plan assets [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Benefit obligation (Plan assets) as at beginning of the year | 7,103 | [1] | 6,340 | |||
Overfunded Pension Plans [Member] | Effect of asset ceiling [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Benefit obligation (Plan assets) as at beginning of the year | (1,602) | [1] | (1,114) | |||
Underfunded Pension Plans [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Benefit obligation (Plan assets) as at beginning of the year | (289) | (269) | ||||
Current provisions for employee benefits | (13) | (10) | ||||
Non-current provisions for employee benefits | (259) | $ (276) | ||||
Provisions for employee benefits | (289) | (269) | ||||
Underfunded Pension Plans [Member] | Present value of defined benefit obligation [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Benefit obligation (Plan assets) as at beginning of the year | (643) | (608) | ||||
Underfunded Pension Plans [Member] | Plan assets [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Benefit obligation (Plan assets) as at beginning of the year | 354 | 339 | ||||
Other Benefits [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Benefit obligation (Plan assets) as at beginning of the year | (1,132) | (1,057) | ||||
Current provisions for employee benefits | (55) | (56) | ||||
Non-current provisions for employee benefits | (1,077) | (1,001) | ||||
Provisions for employee benefits | (1,132) | (1,057) | ||||
Other Benefits [Member] | Present value of defined benefit obligation [member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Benefit obligation (Plan assets) as at beginning of the year | $ (1,132) | $ (1,057) | ||||
[1]The pension plan asset is recorded as “Other non-current assets” in the statement of financial position. |
Employee benefits - Remeasureme
Employee benefits - Remeasurement of the fair value of plans (Details) - Performance Share Unit Program [Member] | Jun. 30, 2023 | Dec. 31, 2022 |
Shares Granted Measurement Input [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Measurement unit | 1,177,755 | 1,709,955 |
Shares Granted Share Price Brl [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Measurement unit | 88.88 | 78 |
Share Granted Share Price Brl [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Measurement unit | 16.60 | 13.81 |
Historical volatility for shares, measurement input [member] | ||
IfrsStatementLineItems [Line Items] | ||
Measurement unit | 48.33 | 39 |
Expected Term Measurement Input [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Measurement unit | 3 | 3 |
Expected Value Of Performance Factor Measurement Input [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Measurement unit | 72.42 | 53.08 |
Employee benefits (Details Narr
Employee benefits (Details Narrative) | Mar. 30, 2023 $ / shares shares | Mar. 30, 2023 R$ / shares shares | Apr. 28, 2023 shares | Apr. 28, 2022 shares | Mar. 30, 2022 shares |
Employee Benefits | |||||
Fair value price per shares | (per share) | $ 15.94 | R$ 81.82 | |||
Number of shares issued | 1,330,503 | 1,330,503 | 1,177,755 | 1,709,955 | 1,437,588 |
Equity - Shareholders' Agreemen
Equity - Shareholders' Agreement (Details) | Jun. 30, 2023 shares |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 4,343,392,869 |
Shares in treasury | 195,614,711 |
Total issued shares | 4,539,007,580 |
Ordinary shares [member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 4,343,392,857 |
Shares in treasury | 195,614,711 |
Total issued shares | 4,539,007,568 |
Preference shares [member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 12 |
Total issued shares | 12 |
Shareholders With More Than 5 Of Total Capital [Member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 959,040,176 |
Shareholders With More Than 5 Of Total Capital [Member] | Ordinary shares [member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 959,040,176 |
Previ [Member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 395,686,156 |
Previ [Member] | Ordinary shares [member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 395,686,156 |
Mitsui Co. Ltd [Member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 286,347,055 |
Mitsui Co. Ltd [Member] | Ordinary shares [member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 286,347,055 |
Blackrock Inc [Member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 277,006,965 |
Blackrock Inc [Member] | Ordinary shares [member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 277,006,965 |
Free Floating [Member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 3,384,352,681 |
Free Floating [Member] | Ordinary shares [member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 3,384,352,681 |
Golden Shares [Member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 12 |
Golden Shares [Member] | Preference shares [member] | |
IfrsStatementLineItems [Line Items] | |
Shares outstanding | 12 |
Equity - Cancellation of treas
Equity - Cancellation of treasury shares (Details) - Cancellation Of Treasury Shares [Member] - USD ($) $ in Millions | 6 Months Ended | |||||
Mar. 02, 2023 | [1] | Feb. 24, 2022 | [1] | Jun. 30, 2023 | Jun. 30, 2022 | |
IfrsStatementLineItems [Line Items] | ||||||
Number of shares held in treasury cancelled | 239,881,683 | 133,418,347 | 239,881,683 | 133,418,347 | ||
Treasury shares carrying amount | $ 4,164 | $ 2,830 | $ 4,164 | $ 2,830 | ||
[1]During the six-month period ended June 30, 2023 and 2022, the Board of Directors approved cancelations of common shares issued by the Company, acquired and held in treasury, without reducing the amount of its share capital. The effects were transferred in shareholders' equity as "Treasury shares cancelled", between the "Revenue reserve" and "Treasury shares". |
Equity - Share buyback program
Equity - Share buyback program (Details) - USD ($) $ in Millions | 1 Months Ended | 6 Months Ended | ||||
Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||||
IfrsStatementLineItems [Line Items] | ||||||
Number of shares repurchased | [1] | 178,815,500 | ||||
Purchase of treasury shares | $ 1,291 | [1] | $ 3,251 | [1] | ||
Share buyback program number of shares authorized to be repurchased | [1] | 141,158,533 | 249,259,298 | |||
Share buyback program number of value authorized to be repurchased | [1] | $ 2,124 | $ 4,384 | |||
Acquired Parent [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Number of shares repurchased | [2] | 73,179,052 | 32,416,000 | |||
Purchase of treasury shares | [2] | $ 1,102 | $ 527 | |||
Acquired By Wholly Owned Subsidiaries [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Number of shares repurchased | [2] | 67,979,481 | 38,027,798 | |||
Purchase of treasury shares | [2] | $ 1,022 | $ 606 | |||
Shares Buyback Program [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Number of shares repurchased | [2] | 141,158,533 | 70,443,798 | |||
Shares Buyback Program 1 [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Purchase of treasury shares | [2] | $ 2,124 | $ 1,133 | |||
Acquired Parent 1 [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Number of shares repurchased | [1] | 81,855,600 | ||||
Purchase of treasury shares | [1] | $ 1,501 | ||||
Acquired By Wholly Owned Subsidiaries 1 [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Number of shares repurchased | [1] | 96,959,900 | ||||
Purchase of treasury shares | [1] | $ 1,750 | ||||
[1]On April 1, 2021, the Board of Directors approved the common shares buyback program, limited to a maximum of 270,000,000 common shares or their respective ADRs. Continuing the previous program, the Board of Directors approved a new shares buyback program on October 28, 2021, with a limit of up to 200,000,000 common shares or their respective ADRs. Both programs were concluded in 2022.[2]On April 27, 2022, the Board of Directors approved the common shares buyback program, limited to a maximum of 500,000,000 common shares or their respective ADRs. |
Related parties - Transactions
Related parties - Transactions with related parties (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
IfrsStatementLineItems [Line Items] | |||||
Net operating revenue | $ 172 | $ 302 | $ 384 | $ 578 | |
Financial result | 186 | (109) | 243 | 158 | |
Cost and operating expenses | (225) | (276) | (394) | (477) | |
Joint ventures where entity is venturer [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Net operating revenue | 126 | 93 | 255 | ||
Financial result | 4 | (2) | |||
Alianca Geracao de Energia S.A. | |||||
IfrsStatementLineItems [Line Items] | |||||
Cost and operating expenses | (26) | (28) | (52) | (53) | |
Pelletizing Companies [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Financial result | [1] | (11) | (11) | (25) | (20) |
Cost and operating expenses | [1] | (45) | (98) | (88) | (168) |
Mrs Logistica S.a. [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Net operating revenue | 1 | ||||
Cost and operating expenses | (114) | (111) | (178) | (178) | |
Net operating revenue | (5) | ||||
Norte Energia S.a. [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Cost and operating expenses | (33) | (32) | (60) | (63) | |
Other Joint Ventures [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Net operating revenue | 11 | 19 | 16 | 19 | |
Financial result | (1) | (1) | |||
Cost and operating expenses | (2) | (5) | (3) | ||
Joint ventures [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Net operating revenue | 11 | 140 | 109 | 275 | |
Financial result | (11) | (8) | (25) | (23) | |
Cost and operating expenses | (220) | (269) | (383) | (465) | |
Vli S.a. [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Net operating revenue | 76 | 83 | 145 | 146 | |
Financial result | (1) | (1) | |||
Cost and operating expenses | (5) | (7) | (11) | (12) | |
Other Associates [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Financial result | 2 | ||||
Associates [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Net operating revenue | 76 | 83 | 145 | 146 | |
Financial result | 2 | (1) | (1) | ||
Cost and operating expenses | (5) | (7) | (11) | (12) | |
Bradesco [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Financial result | 197 | (103) | 269 | 182 | |
Mitsui Co. Ltd [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Net operating revenue | 85 | 79 | 130 | 157 | |
Major Stockholders [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Net operating revenue | 85 | 79 | 130 | 157 | |
Financial result | $ 197 | $ (103) | $ 269 | $ 182 | |
[1]Aggregated entities: Companhia Coreano-Brasileira de Pelotização, Companhia Hispano-Brasileira de Pelotização, Companhia Ítalo-Brasileira de Pelotização and Companhia Nipo-Brasileira de Pelotização. |
Related parties - Outstanding b
Related parties - Outstanding balances with related parties (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
IfrsStatementLineItems [Line Items] | |||
Supplier and contractors | $ 169 | $ 171 | |
Liabilities Financial instruments and other liabilities | 366 | 528 | |
Aggregate continuing and discontinued operations [member] | |||
IfrsStatementLineItems [Line Items] | |||
Accounts receivable | 118 | 211 | |
Dividends receivable and other assets | 446 | 272 | |
Cash and cash equivalents | 422 | 365 | |
Companhia Siderurgica Do Pecem [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Accounts receivable | 91 | ||
Dividends receivable and other assets | 17 | ||
Pelletizing Companies [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Dividends receivable and other assets | [1] | 18 | 25 |
Supplier and contractors | [1] | 81 | 63 |
Liabilities Financial instruments and other liabilities | [1] | 187 | 400 |
Mrs Logistica S.a. [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Dividends receivable and other assets | 26 | 25 | |
Supplier and contractors | 34 | 57 | |
Other Joint Ventures [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Accounts receivable | 5 | 4 | |
Dividends receivable and other assets | 15 | 50 | |
Supplier and contractors | 34 | 31 | |
Joint ventures where entity is venturer [member] | |||
IfrsStatementLineItems [Line Items] | |||
Accounts receivable | 5 | 95 | |
Dividends receivable and other assets | 59 | 117 | |
Supplier and contractors | 149 | 151 | |
Liabilities Financial instruments and other liabilities | 187 | 400 | |
Vli S.a. [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Accounts receivable | 94 | 14 | |
Supplier and contractors | 6 | 5 | |
Liabilities Financial instruments and other liabilities | 156 | 53 | |
Other Associates [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Dividends receivable and other assets | 2 | 1 | |
Supplier and contractors | 1 | 3 | |
Associates [member] | |||
IfrsStatementLineItems [Line Items] | |||
Accounts receivable | 94 | 14 | |
Dividends receivable and other assets | 2 | 1 | |
Supplier and contractors | 7 | 8 | |
Liabilities Financial instruments and other liabilities | 156 | 53 | |
Bradesco [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Dividends receivable and other assets | 385 | 154 | |
Cash and cash equivalents | 387 | 335 | |
Liabilities Financial instruments and other liabilities | 23 | 75 | |
Banco Do Brasil [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Cash and cash equivalents | 35 | 30 | |
Mitsui Co. Ltd [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Accounts receivable | 3 | 89 | |
Supplier and contractors | 1 | ||
Major Stockholders [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Accounts receivable | 3 | 89 | |
Dividends receivable and other assets | 385 | 154 | |
Cash and cash equivalents | 422 | 365 | |
Supplier and contractors | 1 | ||
Liabilities Financial instruments and other liabilities | 23 | 75 | |
Pension Plan [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Accounts receivable | 16 | 13 | |
Supplier and contractors | $ 13 | $ 11 | |
[1]Aggregated entities: Companhia Coreano-Brasileira de Pelotização, Companhia Hispano-Brasileira de Pelotização, Companhia Ítalo-Brasileira de Pelotização and Companhia Nipo-Brasileira de Pelotização. |