Vale SA (ADR) (NYSE:VALE) has recently denied the rumors that it is planning to sell its future iron ore output through streaming finance transaction to generate cash.
In other news, the company has also revealed some significant changes in its Executive Board last week.
Executive Board Changes
Vale has appointed Clovis Torres as the new Executive Officer for Human Resources, Health and Safety, and Sustainability and Energy following the approval of the Board of Directors. The election of a new Executive Officer for Human Resources, Health and Safety, and Sustainability and Energy comes after Vania Somavilla left the company for new career endeavors, leaving the post vacant.
Nonetheless, he will still remain as the company’s General Counsel, Chief Compliance Officer, and Director of Mergers and Acquisitions (M&A) and Corporate Governance.
On the other hand, Vale disclosed that Galib Chaim, Vale Executive Officer for Capital Projects, had left the company as well. In line with this, the company is terminating the Executive Office for Implementation of Capital Projects. As a result, the Executive Officer for Capital Projects is now under Luciano Siani Pires, Vale Chief Financial Officer (CFO) and Executive Officer for Investor Relations.
Both former Executive Officers had played a significant role in the company’s success over the past few years. In a press release, Vale cited these substantial contributions in expressing utmost gratitude for Somavilla and Chaim.
Amendment on the 2013 Purchase Agreement with Silver Wheaton Corp. (USA) (NYSE:SLW) Silver Wheaton (Caymans) Ltd.
Earlier this month, Vale has entered into an agreement with Silver Wheaton (Caymans) to amend the original purchase agreement in 2013, selling an additional 25% on top of the payable gold stream in copper concentrate premium.
As a part of this new agreement, Vale is entitled to $800 million in initial cash payment, roughly $23 million in option value, and succeeding payments for every ounce of gold provided to Silver Wheaton (Caymans). Moreover, the company may also be entitled to an additional $113 million to $953 million in cash payment depending on the expansion size and timing, and ore grade.