Vale S.A.

Good morning, ladies and gentlemen. Welcome to Vale's conference call to discuss the fourth quarter of 2021 results. At this time, all participants are in a listen-only mode. Later, we'll conduct a question and answer session, and instructions will be given at the time. If you should require assistance during the call, please press the star followed by zero. As a reminder, this conference is being recorded and the recording will be available on the company's website at vale.com at investors link. This conference call is accompanied by slide presentation, also available at investors link at the company's website and is transmitted via internet as well. The broadcasting via internet, both the audio and the slides change, has a few seconds delay in relation to the audio transmitted via phone. Before proceedings, Let me mention the forward-looking statements are being made under the safe harbor of the Security Litigation Reform Act of 1996. Actual performance could differ materially from that anticipated in any forward-looking comment as a result of macroeconomic conditions, market risks, and other factors. With us today are Mr. Eduardo de Sales Bartolomeu, Chief Executive Officer, Mr. Gustavo Pimenta, Executive Vice President, Finance and Investors Relations Mr. Marcelo Spinelli, Executive Vice President, IRR and Mrs. Dashni Naidoo, Executive Vice President, Base Medeiros First, Mr. Eduardo Bartolomeu will proceed to the presentation on Vale's 4th quarter of 2021 performance and after that, he will be available for questions and answers It's now my pleasure to turn the call over to Mr. Eduardo Bartolomeu. Sir, you may now begin.

Good morning, everyone. I hope you are fine. Keeping people, safety, and reparation as priorities, we performed well in 2021 in our business, in safety, in the Brumadinho reparation, and in our sustainability agenda. We are glad about the progress and confident in delivering increasingly consistent results. I would like to start our conversation by reinforcing our roadmap to build a better value. We are reducing risks associated with our operations and resizing our company, focusing on key businesses, cost optimization, and organic growth. We have updated our roadmap, moving our ESG agenda From values de-risking to re-rating, as we understand that is an important lever to push our ambitions. We remain committed to making Vale a safer and more reliable company, a benchmark in value creation and sharing, supported by a robust cash generation and disciplined capital allocation. The year Thank you very much. We had the highest sales volume of iron ore for a fourth quarter in our history, with 82.5 million tons. And as well, we have advanced with the actions to reduce the use of dams, starting operations of tailings filtration plants in Vargem Grande and Itabira. Base Metals, even with big challenges ahead, we have started 2022 with good prospects, with the conclusion of Ontario's Operations Rampart after the Sudbury stoppage, and with the resumption of the activities at the Totten Mine earlier this month. As you know, we want to make Vale each day safer. To that end, our cultural transformation continues to advance. We have increased the maturity of implementation of our management model, the VPS, with a good improvement in our operational stability. That helped us to prevent accidents. We ended 2021 with the lowest recordable injury rate in our history. Finally, we have made significant progress in optimizing our portfolio and in the disciplined capital allocation. I'll talk a little bit more about this later, but first, I'd like to update you on the progress of the Brumadinho Reservation. We ended 2021 with disbursements of $1.3 billion, including the full payment of the income transfer program. For 2022, we estimate a disbursement of around $1 billion under the reparation settlement. We have also advanced in the compensation of individual damages within the minification agreements for around 12,800 people, totaling around R$ 3 billion. As already said, we will never forget Brumadinho. We are repairing Brumadinho with active listening and in a fair, fast and agile way. In their management, we underwent an importment test earlier this year, with rains much higher than expected in Minas Gerais. About 30% of rain forecasts for the year were seen in just 12 days. In this very difficult scenario, our dams and operations showed resilience and a very good performance. A key measure to reduce values risks is our program to eliminate upstream dams in Brazil. Out of 30 structures, we have already eliminated seven, and in 2022, we will eliminate five more. By 2025, we will have eliminated Gustavo Pimenta will address this later. In conclusion, I reaffirm our commitment to the implementation of the Global Industry Standard on Tailings Management, the GISTM. Speaking now about our ESG agenda, we have made bold commitments since 2019, in line with the great challenges of society. We are delivering what we promised and disclosing our results with greater transparency. On this slide, you can see the deliveries in each of these dimensions. We have a goal of zeroing accidents with high potential injuries by 2025. In 2021, we have seen an important reduction in the injury rate, as I have already mentioned. I draw your attention to our climate agenda towards carbon neutrality by 2050. In 2021, we announced investments between $4 to $6 billion for actions in Scope 1 and 2 until 2030. In Scope 3 emissions, We are engaging with customers who already represent 40% of our emissions for partnerships in decarbonization solutions. We also launched the Green Brickette in 2021, which is essential for reducing CO2 emissions in the steel industry. More importantly, Palis is strategically positioned to face the climate challenge with a differentiated portfolio of high-quality iron ore, Which we will start now calling Class 1, Copping the Nicomar Concept, and our differentiated reserves of nickel and copper. Still on the ESG agenda, it's essential to strengthen our social performance. On the last Valley Day, we launched our social ambition with clear targets, which included 15,500,000 people out of extreme poverty, helping to develop resilient communities. We have also performed well in our commitment to double the female share in our workforce, from 13% to 26%, to the point that we have anticipated its completion forecast to 2025 from 2030, since we have already increased that share to around 19%. And to expand our ethnic racial diversity, we have made a commitment to achieve a 40% stake of black leadership by 2026. As you can see, with that, we are seeking a significant positive long-term impact on society and building a more diverse and inclusive company. In portfolio optimization, we have made substantial progress. We have entered into a binding agreement for the sale of coal business, with closing expected for the first half. We also completed the sale of the stake in CSI for over $400 million this month. Portfolio optimization solved cash drains and monetized non-strategic assets such as, for example, VNC, Mosaic, and the Manganese Ferro Alloys operations. We continue to work on the investments to focus on assets and initiatives that actually create value for the company and push us towards leadership in sustainable mining. To conclude, speaking of creating and sharing value, we distributed 95% of our 2021 cash generation to our shareholders between dividends and buyback. And yesterday, we announced the distribution of $3.5 billion in dividends. With our buyback program, we have also increased by 6% the stake of our shareholders in our future earnings. In other words, with good operational performance and capital discipline, we are returning the good results to our shareholders and allowing us to build a value-sharing agenda with the society as a whole. 2021 was a year of good deliveries. So, I would like to thank our employees, partners, customers, and suppliers for their resilience and strong commitment to the various work fronts. Now, I would like to turn the floor over to our new Vice President of Base Metals, Daphne Naidoo, and I wish her much success in her challenge and thank Mark Travers for his contributions while at the helm of the business. Thank you.

Thank you Eduardo. Good morning everyone. It is a pleasure to be talking to you today as the head of the base metals business. This is truly an exciting time for base metals. Nickel, copper and cobalt are starting a renaissance due to the global low carbon energy transition. Increased demand coupled with a lack of supply will attract significant interest across the industry. Thank you for watching. As we know, renewable energy generation consumes more copper than the traditional energy supply. We have the right assets and an unmatched resource base in strong jurisdictions with technical expertise to unlock the value chain to deliver into this demand growth. With the fundamentals of the Class I market remaining strong, our North Atlantic operations are very well positioned to respond and meet the required demand. Our Canadian nickel resources are high quality and polymetallic, With well-established downstream facilities that are capable to supply not only premium nickel products, but also cobalt and copper that are so important to the energy transition. In South Atlantic, we have a platform to growing copper in Carajas, an unparalleled mineral province that Vale knows and operates well in. We have an advanced projects pipeline with Alamal, which will allow us to grow in copper and the extension of the Sosego plant life through the development of the South Harp mines starting with Cristolino. Also, we have advanced in our drilling campaigns on the North Harp's deposits and studies to potentially expand the Saloba capacity through a fourth line processing plant. Additionally, we are also studying the expansion capacity in Ansapuma with the construction of the second furnace. In Indonesia, we have a long history of operating over several decades. In our project portfolio, Biodopi is advancing well and we are close to an FID decision that we will take in the first half of the year. Thank you very much. Production potential, possibly around 350,000 tons of copper and 220,000 ounces of gold. This is a game changer. The next slide. So our focus is clear. We need to continue towards zero harm. We have decreased our thrift rate by 20% to 0.39% over the last three years. We will continue to focus on our control effectiveness as part of our HERA program. We will look to continue to advance our resource potential and increase our reserves and resources to support the future replacement and growth plans we have. In 2021 alone, we drilled over 450,000 meters, more than we've executed over the last 25 years, and we are planning to increase that by another 20% in 2022 to 550,000 meters. We have a disciplined program to improve our mining cycle times across all mines to increase productivity. We are pivoting our products into EV supply. We signed last year a long-term contract with a global OEM for 5% of our nickel powders, and we are in discussions with several other EV supply chain participants, leveraging our resource base to further add value to business and to society. Along those lines, we take our commitment to society seriously, starting with the progress on our low-carbon agenda. This has included the third-party verification of our Long Harbour Nickel Rounds, which supports our commitment to transparency and our ambition to be a leader in low carbon. Admittedly, however, 2021 was not a good year. In terms of our planned compliance, primarily as a result of the Sudbury strike, the mine maintenance and the long-distance conveyor belt fire in Silovo. We, however, closed the fourth quarter on a more positive note and hence are confident that we are better set up to deliver 2022. Sudbury operations largely concluded the ramp-up following the strike. Totten resumed activities earlier this month as we have started to hoist ore. The Long Harbour Refinery achieved the best-to-date annual production of 38,000 tonnes. Matosaka Refinery and Onsapuma had a strong fourth quarter after significant maintenance. In copper, Saloba Mine Movement had achieved A run rate of 11 to 12 million tons in the fourth quarter and in fact in December achieving close to 12 million tons. With that, we have increased our nickel production by almost 60% in the fourth quarter and 12% of our copper production. I now hand over to Marcelo to take us through the I&O performance.