Brazilian mining company Vale plans to invest $3.3bn (17.93bn reais) to increase copper and nickel production capacities in Brazil and Canada, Bloomberg reported.

This investment, spread over the next four years, aims to significantly boost output, particularly of copper, by 2028.

The company aims to expand copper production capacity to approximately 500,000t by 2028.

The target is set to be achieved primarily through enhancements at the Salobo and Sossego mines in Brazil.

Last year, Vale's copper production stood at 321,000t, indicating a substantial planned increase. Nickel production is also set to benefit from the planned capacity lift.

Vale Base Metals board chairman Mark Cutifani unveiled a comprehensive plan that encompasses a multi-billion-dollar capital expenditure.

This initiative is designed to enhance productivity and drive down costs in both nickel and copper mines, as well as their associated processing facilities.

Headquartered in Rio de Janeiro, the metal producer is exploring various liquidity options for its base metals business, which could potentially include a public offering, according to the news agency.

This move underscores Vale's commitment to optimising its operations and strengthening its market position in the base metals sector.

In July 2023, the Brazilian miner entered two agreements to offload a 13% stake in Vale Base Metals (VBM) for a total consideration of $3.4bn.

The first deal was signed with Manara Minerals, which agreed to acquire a 10% stake in VBM, and the other deal was signed with the US investment firm Engine No. 1, which agreed to buy a 3% stake.

This year, in April, Vale closed the sale of its 10% holding in VBM to Manara Minerals for $2.5bn.