Vale's $1 Billion Energy Deal Secures Clean Power And Strengthens Finances

(MENAFN- The Rio Times) Vale closed a deal with Global Infrastructure Partners on September 18, 2025, selling 70 percent of its Aliança Energia unit for US$1 billion cash. Vale keeps a 30 percent stake and secures reliable renewable power for its Brazilian operations.

Aliança Energia now owns the 381 MW Sol do Cerrado solar farm and the 92 MW Risoleta Neves hydro plant in Minas Gerais, plus six more hydro plants and three wind farms in Rio Grande do Norte and Ceará.

These assets total 2 189 MW installed capacity, delivering about 1 003 MW on average. By fixing energy costs in U.S. dollars without inflation indexing, Vale shields itself from currency swings and rising local prices.



The cash boost helps Vale cut net debt toward its US$15–16 billion year-end target. A stronger balance sheet led S&P Global to raise Vale's credit rating to BBB (stable) on September 17.

BTG Pactual lifted Vale 's ADR price target to US$11, citing disciplined investment and robust iron ore prices near US$100 per tonne.

This joint venture anchors Vale's shift to 100 percent renewable energy, ensures budget certainty, and fuels debt reduction-key moves for long-term resilience and shareholder value.

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