Brazilian miner and iron ore producer Vale said this week it expects to reduce its net debt to between $14-16 billion in 2017.
The company did not unveil debt estimates for 2018, but said they should be significantly smaller when compared to the forecasted numbers for 2017.
As for Capex, Vale said it should spend about $4.2 billion in 2017, $3.5-4 billion in 2018, $3.2-3.7 billion in 2019, $2.9-3.5 billion in 2020, and $2.6-3.2 billion in 2021.
Vale said its new strategy is based on four pillars: performance, governance, sustainability and strategy.
On the performance side, the company expects to recover its least productive assets, while on the governance side it plans to transform Vale into a corporation, while changing its board for a better decision-making process.
In terms of sustainability, it expects, among other things, to develop a more ample strategy for communities and the environment, and to define a strategy for fighting climate change.
As for its strategy pillar, it expects to have stricter policies for Capex spending, with a focus on projects with increased return on investment. It also plans to diversify its operating cash flow based on its core competencies.