Vale sees decline in iron ore output for Q1

Brazil-based mining giant Vale has announced its production results for the first quarter of 2012, registering a decrease mainly due to the intensity of the rainy season in Brazil.
 
In the first quarter, Vale produced almost 70 million mt of iron ore, decreasing 2.2 percent compared to the corresponding quarter of the previous year. The miner's pellet production increased by 1.4 percent year on year to 12.7 million mt, marking the highest output level registered in a first quarter.
 
Vale stated that the heavy rainfall has affected the company's operational activity, remarking that it declared force majeure at its southeastern and southern operations in January as the heavy rainfall led to stoppages in mining and railroad operations.
 
In the given quarter, Vale's metallurgical coal output increased to 1.2 million mt from 488,000 mt in the first quarter of 2011. The company announced a 7.5 percent increase in its nickel output compare to the same quarter of the previous year.