From Reuters:
* Purchase of vessels is part of Vale's investment plan
* Terms of loan not disclosed
* Vessels will transport ore to China from Brazil (Adds context on Brazil-China ties, updates share prices in paragraphs 6-8)
Vale (VALE5.SA)(VALE.N), the world's largest iron ore producer, said it plans to borrow $1.23 billion from two Chinese lenders to finance the construction of 12 shipping vessels, taking advantage of falling borrowing costs to fund expansion.
The 13-year loan will be disbursed over the next three years, Vale said in a regulatory filing on Friday. The loan from the Bank of China (601988.SS) and the Export-Import Bank of China will help cover 80 percent of the cost of the project, the filing said.
The ships will be used to transport iron ore to China from Brazil. The deal marks yet another sign of growing commercial ties between the two countries....MORE
*From last week's "Brazil Miner Vale Wants To Be Global Fertilizer Leader" Taps Debt Markets (VALE, BHP, POT, RTP, MOS, IPI, AAUKF):
Internal flaws under the spotlight, as the world's most indebted miner shores up cash flow.
Brazilian supergroup Vale, the world's No 2 miner by value, and most indebted miner, today announced that it would be selling ten year notes, and additional 6.875% guaranteed notes due 2039. Market reports indicated that Vale would immediately seek to raise USD 1bn in the shorter end notes, and around USD 500m in notes due 2039....
