On January 21, Mitsui & CO.,LTD. announced that it has reached a basic agreement to transfer its Moatize coal mine and Nakara Corridor railway and port infrastructure projects to Brazil's resources giants Vale for $1 each. The transfer process is projected to be completed by the end of 2021. (The photo is reprinted from Mitsui's official website.)

In March 2017, Mitsui acquired a 15% interest in its subsidiary, which holds a 95% interest in Moatize, from Vale, and a 50% interest in the subsidiary of the company, which promotes Nakara, and has been working to promote business development and improve operations, in response to Vale's decision to withdraw from the coal business in terms of focus on core businesses and ESG (environmental, social and governance) investment. Mitsui has also recently decided to sell to Vale as part of its restructuring of its business portfolio. Vale plans to continue operations after acquiring the business from Mitsui and eventually consider selling it to a third party.

Mitsui has commented that it is "currently under scrutiny" of the expected losses associated with the transfer, and will promptly notify the company of any matters that need to be disclosed in the future.

The global community is currently accelerating its efforts toward decarbonization, which is a headwind for resource companies. Among energy officials, "Each company is working to review its assets" (analysts).

(IRuniverse)

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