The North Region Transportation Infrastructure Improvement Project is proposed to help improve Vale’s capacity and ability to transport iron ore from its mines to its ports, and to global markets. The Project will help Vale strengthen its operational efficiency through improving its logistics infrastructure. The contents of the Project include upgrade of the transportation infrastructure capacity of Vale’s Northern System in the states of Pará and Maranhão, encompassing the Carajás Railway and the Ponta da Madeira Port Terminal.

The Project’s Output is the improved transport (port and railway) infrastructure in Vale’s Northern System including the expansion of rail system, acquisition of locomotives, the expansion of port infrastructure. The Project’s main outcome is the increase Vale’s Northern System throughput by approximately 10 million tons per year.

The Project is to be implemented over five years. Procurement will be conducted in compliance with the national law and regulations, and meet the core principles of NDB’s policy.

The positive impacts of the Project include: (i) increased freight throughput by 10 million tonnes per year after 2023; (ii) improved transportation infrastructure including port and railway in Vale’s Northern System; (iii) improved labor safety standards; (iv) enhanced economic development within Vale’s relevant sectors resulting from improved logistics and increased trading capacity; (v) contribution to Brazil’s efforts to achieve sustained and inclusive growth. The Project is Category “A” in line with NDB’s Environment and Social Framework (ESF). Main environmental and social impacts are associated with a legally protected indigenous land (Terra Indígena Mãe Maria) due to high environmental and social sensitivity, and include impacts on biodiversity stemming from clearance of native vegetation and loss of habitats, noise from construction works and rolling stock, increased pressure on indigenous land and resources. Other significant E&S impacts are associated with the marine port terminal operations and include dust emissions, wastewater discharge, and occupational health & safety risks. E&S impact will be mitigated by adherence to the country system and Vale’s corporate E&S standards.