Brazilian iron ore producer Vale has contracted a $3 billion revolving credit line facility, the company said Friday.
According to the company, the five-year contract was arranged by a syndicate comprised of 24 banks. BNP Paribas, Citibank, Crédit Agricole and Sumitomo led the operation.
The Bank of Nova Scotia, Intesa San Paolo, Canadian Imperial Bank of Commerce, Royal Bank of Canada, Mizuho, HSBC, Bank of Montreal, TD Securities, Barclays, Industrial and Commercial Bank of China, Société Générale, Standard Chartered, Santander, JP Morgan, Bank of Tokyo-Mitsubishi UFJ, Morgan Stanley, Bank of America, Goldman Sachs, ANZ Banking Group and DZ Bank also joined the operation.
The current revolving credit line will substitute the $3 billion credit Vale contracted in 2011. Vale also counts on another $2 billion credit, totaling $5 billion in revolving credit, it said.
“This instrument represents an additional source of liquidity and can be used by Vale and its subsidiaries at any moment of the lifetime of the operation,” it said. The $3 billion credit contracted this year expires in 2020, while the other $2 billion credit in 2018.