OREANDA-NEWS. Vale informs that it has declared force majeure (FM) on a number of its coal sales contracts on February 15, 2013. We are communicating with customers as required under our agreements with them.

High rainfall since early February 2013 and continuing over the last few days in Tete, Mozambique, has created serious challenges to the Linha do Sena railway, thus impacting the transportation of our coal products. So far, we estimate a loss of approximately 250,000 metric tons in metallurgical coal shipments.

Caminhos de Ferro Mocambique (CFM), owner of Serra-Beira railway, is taking all the necessary measures to restore the railway traffic and the situation is expected to be normalized by the end of this month.

We will disclose further information related to the evolution of these events until the situation has been normalized.