Brazilian miner and iron ore producer Vale denied on Friday it was mulling the acquisition of an undisclosed stake of local iron ore producer Congonhas Minerios, following a media report from local newspaper O Globo.
Vale said it has not talked or discussed with its board any acquisition of Congonhas Minerios or its Casa de Pedra mine, which are owned by Brazilian steelmaker Companhia Siderurgica Nacional (CSN).
“Additionally, we inform there were never any talks to acquire CSN’s assets,” Vale said in a statement.
According to a media report from O Globo, Vale could potentially establish a JV or buy an undisclosed stake at Congonhas Minerios, which also owns the Engenho and Pires iron ore mines in addition the Casa de Pedra mine.
Indebted CSN has been looking to raise cash, and could potentially sell a stake in Congonhas Minerios to Vale, according to the media report, which noted that Vale would benefit from using CSN’s port to export its iron ore.