Vale is said to be in talks with Asian companies regarding a potential sale of a minority stake at its Brazilian iron ore assets that could reach as much as $7 billion, according to a media report citing unnamed market sources.
Vale has been looking to raise cash and reduce debt, as it announced earlier this year plans to sell $10 billion in core assets.
Despite the ongoing discussions about a potential stake sale, sources said no agreements have been reached and talks may not result in a deal.
Additionally, Vale said on Monday it has paid $1 billion to amortize $3 billion debt in that it contracted through a credit line.
The iron ore producer said it used part of the $1.2 billion resources it raised through the sale of notes due in 2021 to diminish the $3 billion debt.