On July 28, Brazilian mining giant Vale posted its financial results for the second quarter of 2011. Accordingly, Vale reported a 74 percent year-on-year increase in its net profit to $6.45 billion, thanks to increasing Chinese orders.
While Vale's operating revenues increased to a record $15.3 billion in the second quarter, up 55 percent compared to the same period of the previous year, its operating income rose to $7.47 billion, up 67.3 percent year on year.
Sales of bulk materials such as iron ore, pellet, manganese, ferroalloy and metallurgical and thermal coal also recorded a record high result of $11.68 billion in the second quarter, increasing by 22.7 percent year on year.
According to company statement, in the second quarter of the current year Vale's iron ore production increased by six percent year on year to 80.3 million mt, with the help of the end of rainy season. Pellet production in the given quarter rose by 3.8 percent year on year to 13.1 million mt.
China provided the largest share of the company's revenues with 32.6 percent in the second quarter of 2011. Vale also stated that in the first half of the current year China's total imports increased by 8.1 percent to 335 million mt.
In the second quarter, Vale's coal production reached 1.3 million mt, decreasing by 8.2 percent compared to the previous quarter, while nickel production decreased by 4.4 percent quarter on quarter to 56,200 mt.
Vale's planned investments for 2011 stand at about $24 billion, while the company made investments worth $4.03 billion in the second quarter.