Promoting the circular economy

Circular mining is an emerging concept that integrates sustainable and circular economy practices into the mining sector. Traditionally, mining has been associated with the linear extraction of mineral resources, in which materials are mined, processed and used, while any portion that cannot be recovered is discarded. Circular mining, by contrast, seeks to maximize the use of mineral resources by preventing waste generation and making productive use of the waste that is generated, such as waste rock and tailings.

In this context, circularity in mining has become a fundamental pillar of Vale’s strategy, serving as an essential business driver while creating significant opportunities for shared value.

Waste to Value circular mining program

Aligned with the global movement to protect the planet, Vale is implementing circularity through its circular mining program, called Waste to Value. Through this program, we are working toward our vision of maximizing the use of our mineral reserves while generating as little waste rock and tailings as possible, while also delivering carbon emission benefits across the iron ore production value chain.

The program has already identified more than 100 circular mining initiatives at Vale, many of which are already underway, demonstrating that circularity is now a reality in our operations. In 2025, we produced 26.3 million metric tons of iron ore from circular sources, 107% more than in 2024. By 2030, we have the potential for approximately 10% of our iron ore production to come from circular mining, driven by the expansion and consolidation of material recovery solutions throughout the production chain.

Waste to Value is transforming the way mining is carried out, reshaping the future of the industry through process innovation, reinforcing Vale’s commitment to an even more responsible mining industry and establishing itself as an important driver of sustainability and new business opportunities for the Company.

Watch this video to learn more about our circular mining program

The program’s main areas of focus and examples of circular mining at Vale

1. Waste rock recovery

One of the Waste to Value program’s value streams is the recovery of materials previously classified as waste rock through the development or adaptation of mineral processing methods and the adoption of higher levels of innovation and technology. We are recovering waste rock from iron formations while maintaining the product quality expected by the market and meeting our customers’ requirements. In other words, we are transforming this material into an economically viable resource.

2.1 Phosphorus waste rock stockpile
Originally, ore processing at the Alegria mine in Minas Gerais was carried out using wet processing, making it impossible to recover ore from materials with high phosphorus content. When the operation transitioned to dry processing, the phosphorus waste rock stockpile became a viable source of plant feed due to its high iron content, while also contributing to the removal of this geotechnical structure. The material is currently reused by blending it with other materials, and the phosphorus waste rock stockpile has become an important mining front at the Alegria mine.

2.2 WH waste rock stockpile
The Capanema Maximization Project, in Minas Gerais, began with the recovery of the WH waste rock stockpile, using material similar to that found in the Capanema pit.

Using no water in processing and harnessing the ore’s natural moisture content, the plant was restarted as a tailings-free operation, eliminating the need for a tailings dam. The operation includes a long-distance conveyor belt connecting Capanema to the Timbopeba plant, where the material is processed, reducing truck traffic in the region. With fewer processing steps and no water added during processing, recovery from the stockpile is a fully circular operation, maximizing the use of mineral resources while delivering a more efficient, safer and more sustainable process.

Approximately BRL 5.2 billion was invested in reactivating the operation, which had been idle for 22 years. The investment included modernization of the facilities and integration with other mines in the region to optimize processes and reduce environmental impacts. Construction lasted five years, involving around 40 companies and more than 6,000 workers at peak activity, with priority given to hiring local labor. The operation currently employs 800 people.

Photo: Vale Archive

Tailings recovery and reduction

We have developed techniques to reduce tailings generation and consequently lessen the environmental impacts associated with their disposal while maximizing the use of mineral resources.

2.1 Gelado
The Gelado project in Carajás, Pará, which began operating in 2023, has been recovering iron ore tailings that had accumulated behind the Gelado Dam since 1985, using 100% electric dredges to enable more sustainable extraction and directly contribute to reducing CO₂e emissions. With the potential to produce 25 million metric tons by 2030, the project will help reduce environmental impacts and support the Company’s decarbonization goals. In addition, magnetic concentration—the first application of this mineral processing technology in the state of Pará—improves the quality of the material, which has a high iron content. The project, which reinforces Vale’s strategy of developing innovative solutions for reusing production waste, has been highlighted by the ICMM as an example of circularity in the mining industry.

2.2 Vargem Grande Dam
As part of the decharacterization of the Vargem Grande Dam, the tailings removed from the structure are processed at our plants to produce pellet feed or sold to mining partners. This reduces the need for temporary disposal in open pits and eliminates the need for new areas to build stockpiles, minimizing associated geotechnical risks. The decharacterization process, including the recovery of tailings at the Vargem Grande Complex’s processing plants, is expected to continue until 2028.

Photo: Vale Archive

3. Development of coproducts

Through investments in research, development and innovation, we are identifying and promoting products made from waste generated during iron ore processing, transforming tailings and waste rock into commercially viable products. Particular emphasis has been placed on materials for the construction and agricultural sectors, contributing to business sustainability while creating shared value. 

3.1 Pico mine block plant 
In 2020, after 10 years of research and development carried out in technical cooperation with the Federal Center for Technological Education of Minas Gerais (CEFET-MG), we opened a block plant at the Pico Mine in the municipality of Itabirito, Minas Gerais. The facility transforms mining tailings into interlocking paving blocks, promoting the circular economy in iron ore processing operations. In 2025, more than 407,000 interlocking paving blocks were produced at the Pico mine.

Photo: Vale Archive

3.2 Sustainable sand 
The extraction of natural sand often exceeds its natural replenishment rate, causing severe environmental impacts, while sand itself is a finite natural resource. At the same time, iron ore processing generates tailings composed primarily of silica, the main component of sand. After seven years of research aimed at finding solutions to reuse these tailings, we began producing sustainable sand in 2021 at the Brucutu mine in São Gonçalo do Rio Abaixo, Minas Gerais, as a substitute for sand extracted from the natural environment. That same year, Vale began marketing the product for use in the construction industry. It features high silica content, low iron content and high chemical and particle size uniformity. In 2023, the startup Agera was established to develop and expand this business at Vale. By the end of 2025, more than 3 million metric tons of sustainable sand had been produced and distributed.
In addition to creating economic value, the initiative helps reduce the extraction of natural sand and generates social benefits, exemplified by the donation of 30,000 metric tons of sustainable sand to the municipality of São Gonçalo do Rio Abaixo in 2025. This material was used to pave the road connecting the community of Vargem da Lua to the Brucutu mine.

Learn more about Agera here. 

Photo: Vale Archive