Vale CEO Fabio Schvartsman unveiled on Thursday new details about the restart of pellet producer Samarco. The executive had previously indicated the restart was expected for 2020, however, he now indicated a more precise timeline for the company to resume operations. Schvartsman said Samarco will “likely restart in the beginning of 2020.”
He added that the company will gradually increase production. “We won’t accelerate ramp-up for safety reasons. Our understanding is to put the company to restart because of needs of the region,” he said.
Schvartsman declined to comment on rumors about whether Vale could buy BHP’s 50 percent stake in the halted facility. He added that Samarco’s restart has more to do with Vale’s social responsibility to aid the city and former workers, affected by the Mariana disaster, which killed 19 people and halted Samarco production in November 2015.
“We don’t expect to make any money out of Samarco’s restart,” he said. “We still lack the final operational license, which should be granted next year, and would allow us to operate in 2020.”