Vale Base Metals Eyes 700,000-Ton Copper as IPO Plans Accelerate | Shaun Usmar

Vale Base Metals CEO Shaun Usmar says the company is reshaping its nickel and copper portfolio as it advances a consortium that will invest more than $200 million in the Thompson Nickel Complex in Manitoba while accelerating high-return copper growth in Brazil. Speaking with Kitco Mining at the 35th BMO Global Metals, Mining & Critical Minerals Conference, Usmar said the Thompson transaction brings in new capital and partners while Vale Base Metals retains a 19% stake and remains a key customer, positioning the asset for renewed focus after more than 60 years of operation.The company is targeting a doubling of copper production from roughly 350,000 tonnes per year to 700,000 tonnes through brownfield expansions, delivering returns above 25%, with some projects exceeding 50% internal rates of return following capital reductions and design changes. Usmar said operational discipline is driving the turnaround, with EBITDA rising from about $1.3 billion in 2024 to $2.3 billion in 2025 and nearly $1 billion of cash performance improvement, much of it from management actions rather than price. “We exceeded guidance for the first time in the history of this business,” he said, adding that the company is positioning to be IPO-ready by mid- to late-2026 while driving its nickel operations into the lower half of the cost curve.Don’t forget to subscribe to the Kitco Mining & Kitco News YouTube channels to stay up to date on the latest industry news and interviews.Special thanks to our sponsor, First Majestic Silver. To learn more, visit https://firstmajestic.com/00:59 - Thompson Nickel Consortium Deal02:42 - Why a Minority Stake03:26 - Nickel Timing and Indonesia05:15 - Cutting Costs and Boosting Throughput07:07 - Canada Nickel Projects Reality Check08:15 - Copper Growth to 700k Tons13:14 - IPO Readiness and Timeline16:54 - Long Term Investing and Geopolitics20:24 - Valuation Expectations__________________________________________________________________Kitco Mining is dedicated to reporting on the mining industry. Our mandate is to be the top resource for all mining information and news, offering a clear perspective on where the industry is going through breaking news coverage, mining trends, and in-depth reporting, presented with precious, rare earth, base metals, and industry stock prices.Get important precious and base metal updates while on the go with the Kitco Gold LIVE! app - https://applications.kitco.comStay connected with usX - https://x.com/KitcoMiningInstagram - https://www.instagram.com/kitcominingLinkedIn - https://www.linkedin.com/company/kitco-miningFacebook - https://www.facebook.com/KitcoMiningConnect with the Kitco Mining anchorsPaul Harris - https://x.com/paulharrisgold For more in-depth mining coverage, visit us here - https://www.kitco.com/miningDisclaimer: Videos are not trading advice, and the views expressed may not reflect those of Kitco Metals Inc.Disclaimer: The views expressed in this podcast are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this podcast do not accept culpability for losses and/ or damages arising from the use of this publication.