Vale Puts ABB Robotics Into More Iron Ore Plants After Big Gains
One model plant in Minas Gerais reported a quarter more output per hour. Vale now wants the same systems in the rest of its processing plants. The post Vale Puts ABB Robotics Into More Iron Ore Plants After Big Gains appeared first on The Rio Times .
Vale and ABB have formalized a strategic partnership on August 11th, 2026 to expand the automation, artificial intelligence, and digitalization of iron ore processing plants in Brazil. This new agreement covers a broader range of digital transformation within Vale's iron ore operations compared to their previous collaboration. Both companies published announcements following the formalization of the agreement, though they did not disclose a contract value.
The relationship between Vale and ABB is not entirely new, as they have been working together on control systems for years. One of the key case studies for this partnership is the Conceição II plant in Minas Gerais, which Vale refers to as a model plant. This site underwent a 200 million reais ($38.7 million) investment and can process 11.2 million tonnes of ore annually.
Following the implementation of digital systems at Conceição II, productivity increased by 25%, premium ore production for direct reduction rose by 40%, and iron losses in tailings decreased by 26%. These relative improvements signify more saleable product from the same rock and less material in dams, which is particularly significant in Brazil after previous tailings-related disasters in Mariana and Brumadinho.
The agreement outlines a framework for gradually transferring these systems to other Vale processing plants, with Brucutu already entering the implementation phase, expected to start operating under the new systems in early 2027. Other sites will follow without a published schedule, making this rollout commercially significant for ABB.
This automation initiative is also a product mix story, as direct reduction ore, which commands a premium price due to its role in lower-carbon steelmaking, saw a 40% increase in output at one plant. This development is crucial because European steelmakers are increasingly switching to direct reduction, a process that requires this specific grade of ore.
By making better ore, not just more ore, Vale aligns with its strategy of selling higher grades rather than increasing overall tonnage. Vale's focus on higher grades is a strategic shift, emphasizing the commercial significance of this partnership.
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