BNDES pushes Vale and Petrobras toward critical minerals

BNDES President Aloizio Mercadante has advocated for increased participation by major Brazilian companies, such as Vale and Petrobras, in the development of critical mineral and rare earth chains. Speaking at a mining event in Brasília, Mercadante emphasized the need to expand into lithium, copper, and rare earths to add value through domestic processing and the manufacturing of products like battery cells.

Vale CEO Gustavo Pimenta noted that while the company is studying opportunities in lithium and rare earths, no final decision has been made regarding entry into these markets. Pimenta highlighted that while rare earths are a niche market compared to iron ore and copper, they remain geopolitically significant. He also identified processing and refining capacity, currently concentrated in China, as a major challenge for expanding these supply chains globally.