The VGR1 Plant (VGR1) has been operating with natural moisture since 2019 due to the unavailability of water capture and disposal at the Vargem Grande dam, which is undergoing the decharacterisation process.

The Project consists of adjusting the water circuit and waste containment system at VGR1, with the implementation of new assets allowing for the resumption of wet concentration operations. As a result, the average quality of the site is expected to improve by approximately 2% of contained iron.

Vargem Grande 1 was completed within budget and with the commissioning starting one month ahead of schedule. The Project represents an important step towards the iron ore production guidance of 340 – 360 million t in 2026, resulting in an improvement of the product portfolio quality, greater production capacity and greater operational flexibility.