The amount will be allocated for operational readiness and, mainly, optimization focused on the proper disposal of tailings, such as the construction of a new sandy tailings filtering plant and improvements in the concentrator that will reduce the generation of ultra-fine material by approximately four percent. In order to reach 60% of its production capacity, Samarco will continue to operate with dry tailings piling, without the use of dams.

The tailings filtering plant and improvements to the concentrator represent approximately R$ 560 million, in addition to R$ 753 million for maintenance and asset integrity. Approximately R$ 248 million will be invested already in 2023. The balance will be invested mainly throughout 2024.

The company CEO, Rodrigo Vilela, emphasized that, among Samarco's priorities are full compliance with the reparation of the damages caused by the failure of the Fundão Dam in 2015, the safety of geotechnical structures and the decharacterization works of the Germano mining pit and dam, which are at an advanced stage. At the same time, the proximity of the approval of the Judicial Recovery Plan will enable the optimization of the company's capital structure, further improving the investment capacity.

Currently, Samarco operates at 30% of its production capacity, which corresponds to nearly 9 million tons of iron ore pellets, through a pelletizing plant and a concentrator.

Production Increase

Reaching 60% of production capacity will result in the production of nearly 18 million tons of iron ore pellets per year.For this expansion, the company will use two concentrators and two tailings filtration plants at the Germano Complex (MG), one ore pipeline and two pellet plants at the Ubu Complex (ES). All structures are licensed through the Corrective Operating License (LOC), obtained by Samarco in October 2019.

Job creation

In order to increase production, Samarco expects to create around 3,000 jobs, of which 575 will be for operational technical level positions to work at its units in the states of Minas Gerais and Espírito Santo, and the remainder for temporary projects such as the construction of the new filtration plant, improvements in the concentrator that will commence operation and for operational readiness. These direct recruitments have already started promptly and most of the openings will be offered in the first half of 2024.

Samarco will prioritize recruiting from its host communities and also women and people with disabilities. In addition, the company will promote courses to train local labor according to the projects’ demands.