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BRASILIA, March 27 Brazilian miner Vale SA
said on Monday it has wrapped up the sale of a stake
in Mozambique's Moatize coal project to Japan's Mitsui & Co Ltd
and received an initial payment of $733 million, the
company said in a security filing.
The remainder of the $770 million transaction will be paid
after the financing for the project is concluded, Vale said.
The Japanese company acquired 15 percent of Vale's 95
percent share in the coal mine. It is also buying 50 percent of
Vale's 70 percent stake in the Nacala logistics corridor, a
railway system connecting production at the mine to the Nacala
port in Mozambique.
Vale said it expects to receive by the end of this month an
initial payment of $733 million from Mitsui from the equity
sale. The company said it would receive $2.7 billion more after
the financing for the project of the mine and the transportation
system is concluded.
Vale has been in talks with Mitsui over the Moatize mine for
almost three years. The firms previously had said any payments
or the conclusion of the deal would only take place once
financing for the mine and the transportation system was sealed.
Mitsui will have an option to transfer back to Vale the
stake in the project if financing is not completed by December.
(Reporting by Anthony Boadle; Editing by Diane Craft and Bill