1October 18, 2010

2October 18, 2010

Roger AgnelliChief Executive Officer

The journey to sustainable

value creation

3This presentation may include declarations about Vale's expectations

regarding future events or results. All declarations based upon future

expectations, rather than historical facts, are subject to various risks and

uncertainties. Vale cannot guarantee that such declarations will prove to

be correct. These risks and uncertainties include factors related to the

following: (a) the countries where Vale operates, mainly Brazil and

Canada; (b) the global economy; (c) capital markets; (d) the mining and

metals businesses and their dependence upon global industrial

production, which is cyclical by nature; and (e) the high degree of global

competition in the markets in which Vale operates. To obtain further

information on factors that may give rise to results different from those

forecast by Vale, please consult the reports filed with the Brazilian

Comisso de Valores Mobilirios (CVM), the French Autorit des Marchs

Financiers (AMF), and with the U.S. Securities and Exchange Commission

(SEC), including Vales most recent Annual Report on Form 20F and its

reports on Form 6K.

Disclaimer

410th Vale listing anniversary

50

5

10

15

20

25

30

35

40

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

US

$

VALE the ADR representative of our common shares - started trading on the NYSE on

Wednesday, March 20, 2002

VALE P

VALEP started trading on the NYSE on

Tuesday, June 20, 2000

June 20, 2000

October 12, 2010

60

200

400

600

800

1,000

1,200

1,400

1,600

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

VALE P

MSCI metals & mining

MSCI World

It has been one of the best investment options. Each US$ 100,000 invested in VALEP has grown into US$ 1.2 million in October 2010

June 20, 2000

October 12, 2010

100

7 A promising outlook

Growth and value creation

The quest for sustainability

Agenda

8A promising outlook

9-4

-3

-2

-1

0

1

2

3

4

5

6

7

8

9

1970 1975 1980 1985 1990 1995 2000 2005 2010E 2015E

Developed Economies

Emerging Economies

Sources: Vale and IMF

Real GDP growth% annual

Convergence

Emerging economies will continue to be the key engine of global growth, with positive implications for the demand of minerals, metals and fertilizers

Convergence

10

0

5

10

15

20

25

30

35

19

90

19

92

19

94

19

96

19

98

20

00

20

02

20

04

20

06

20

08

Emerging Economies

Developed Economies

Steel consumption intensitymetric tons / US$ million of real GDP

Source: World Steel Association, WBMS, IMF and Vale

Intensity of metals consumption in emerging economies is expected to remain high in view of urbanization, industrialization and the rising consumption of consumer durables

20%

30%

40%

50%

60%

70%

80%

90%

1997

1999

2001

2003

2005

2007

2009

Iron Ore

Nickel

Copper

Share of emerging economies in global

consumption of metals

11

0

10

20

30

40

50

60

70

80

90

100

1950

1955

1960

1965

1970

1975

1980

1985

1990

1995

2000

2005

2010

2015

2020

Brazil

Korea

China

India

Urbanization rate%

Source: UN Department of Economic and Social Affairs, World Urbanization Prospects: the 2009 revision.

Chinas urbanization rate in 2010 is equal to Brazilsposition in the mid 50s and Korea in the early 70s

0

10

20

30

40

50

60

1950

1955

1960

1965

1970

1975

1980

1985

1990

1995

2000

2005

2010

2015

2020

China

World

Urbanization rate%

12

In spite of the substantial expansion, there is still room for large flows of infrastructure spending in China

2005 2009 2020F

Expressways (km) 41,000 65,000 100,000

Railways (km) 75,437 86,000 120,000

Airports (number) 140 166 244

F = Target

Sources: NBS, NDRC, CAAC and Ministry of Transport of China

13

India's ability to improve infrastructure is

critical for the sustainability of its high pace

of economic growth

Indian energy and logistics infrastructure is

inadequate to meet its growth aspirations.

The Indian government intends to double

infrastructure investment to US$ 1 trillion in

2012-2017 from US$ 500 billion in 2007-

2011.

14

Chinas car industry is already bigger than the US industry. However, the penetration is

still low, indicating a huge growth potential

Passenger cars per 1,000 people

2002

Sources: University of Sheffield, UK and CEIC

36

95

107

120

132

205

428

464

481

World

Mexico

Brazil

Russia

Korea

Japan

Western Europe

US

China 2008

15

Geological and institutional factors will continue to constrain the supply response to price incentives contributing to lengthen the cycle

Grades are declining while stripping ratios are

increasing.

World-class assets tend to be increasingly dependent on

more complex regions.

Restrictions on environmental permits are a major cause

of project delays.

Natural resources nationalism hampers mining

investment.

Higher taxes are a threat to mining investment.

16

Growth and value creation

17

Mineral exploration

Greenfieldprojects

Acquisitions

Brownfieldprojects

Maximizing asset

performance

Our long-term growth strategy embodies a multilane

road to value creation built on discipline in capital

allocation and minimization of cost of capital

Discipline in capital allocation

Existing assets

New assets

ShareholderValue

Portfolio management

18

Focus on organic growth.

Massive investment in the development of

world-class assets supported by the expansion

of our infrastructure.

Enhancement of competitiveness in the Asian

market.

Development of an asset base in Africa.

Confidence in long-term global fundamentals underlies the continuity of our strategy to deliver strong and steady growth and value

19

Iron ore & pellets

Nickel

Coal

Copper

Phosphates & Potash

Logistics

Energy

Steel

Brownfield

Greenfield

2010 2012

Developing an exciting pipeline of world-class assets to exploit the opportunities stemming from rapid emerging economies growth

2011 2013 2014

ReferenceUS$ 1 billion

Ona

Puma

Conceio

Itabiritos

Carajs

Additional 30 Mtpy

Teluk Rubiah

Salobo

Tubaro VIII

Estreito

Oman

Bayovar

Karebbe

Long-Harbour

Serra Sul

(S11D)

Rio Colorado

Moatize

Totten

Apolo

Biofuel

Konkola North

Carajs

Additional 20 Mtpy

Tres Valles

Vargem Grande

Itabiritos

Salobo II

CSA

ALPA

CSP

CSU

Total project capex. Vale has a stake of 26.87%.

Total project capex. Vales investment depends on its final stake in the project

20

Many growth options to feed the project

pipeline in the future

Cristalino

Paulo Afonso

Furnas

Alemo

Salobo III

Polo

Kalumines

118

Neuqun

Carnalita

Regina

Bayovar III

Evate

Moatize II

EagleDowns

Ellensfield

Belvedere

Copper Phosphates Coal

Salitre

Simandou

Iron ore

Malaysia

Potash

Corumb

Visconde

Bayovar II

21

18 large projects are coming on stream in

2010 - 2012

Cash flow will start to be generated from the

US$ 26 billion of over time in these 18 projects.

The delivery of these projects lays the ground

for building new growth platforms through the

development of low-capex brownfield projects.

22

Maximizing competitive advantages: boosting

production of high-quality iron ore.

Minimizing competitive disadvantages:

building a low-cost portfolio of maritime

freight and distribution centers.

Changing the game in the Asian market

23

Carajs and Simandou, the best iron ore

growth platform in the world

Simandou

Carajs

24

Lower operating costs and superior value-in-

use recognized through price premia.

The use of Vales iron ores and pellets leads

to higher productivity and reduction in fuel

consumption and CO2 emission, addressing

Chinese concerns.

Demand is less sensitive to recessions and

tends to increase with rising needs for

blending.

The focus on high-quality iron ore output

25

Lower costs and mitigates freight price

volatility for clients.

Portfolio composed of own vessels -

capesizes and VLOCs - and long-term

contracts.

VLOCs, an innovative idea launched by Vale,

will promote a permanent cut in the costs of

Atlantic-Pacific dry bulk shipping.

The build up of a shipping fleet

26

The construction of Distribution Centers adds

flexibility to our operations, strengthening

competitiveness

Tubaro

San Nicolas

PDM Malaysia

Oman

Guaba

&

Itagua

Low seaborne transit time, inventories synergy and blending flexibility are among the unique

advantages of Vales DCs.

27

Easy discoveries are gone.

The discovery of new world-class deposits is

increasingly dependent on Africa.

Vale is taking steps to build a large African

asset base.

Africa: the new mining frontier

28

Simandou

The build up of an efficient logistics

infrastructure to anchor our African bulk

materials assets

Moatize

29

The quest for sustainability

30

While the benefits of carbon-based energy use

are current and highly focused, social costs

are delayed and dispersed.

Vale is developing several initiatives to

reconcile short and long term interests,

becoming an agent of global sustainability.

Contributing to global sustainability

31

Vale has been developing and implementing

several technological solutions in a quest for

continuous improvement of mining

Dry iron ore processing

Truckless mine

Green vessels

Renewable energies

- Biodiesel

- Synthetic diesel

32

Run of mine

Water

Lump

Sinter feed

Run of mine

Lump

Sinter feed

Conventional wet process

Reduction of water and energy consumption.

Reduction of CO2 emissions.

No need for tailings dam.

Reduction of capex and opex

Tailings

Dry iron ore processing: saving water, an

increasingly scarce resource

Vales dry ore process

Pellet feed

33

The truckless operation at Serra Sul will mean

a reduction in carbon emissions, higher safety

and forest preservation

Conventional mining

Truckless transportation

34

Green vessels

Increasing global focus on carbon emissions.

Our 400,000 dwt vessels emit 34% less pollution.

VLOC400,000 dwt

LOA 360m

Capesize170,000 dwt

LOA 288m

35

GHG emissions reduction

Reduction of 12 millions tons of CO2equivalent in 25 years.

Income generation

Biodiesel

Allows the use of blend B-20 (20% pure biodiesel and 80% regular diesel) from 2014 onwards.

Benefits to about 2,000 families of small producers in the Amazon region.

Creation of over 6,000 direct jobs.

Recovery of degraded areas in the Amazon region.

70,000 ha. of natural forest.

60,000 ha. of palm trees.

Vales solutions for reduction of GHG emissions and carbon sequestration

Vales renewable source of energy - Biodiesel

36

High carbon feedstock

GasificationFischer Tropsch

SyntheticDiesel

* Under study / ** Demonstration plant under implementation and commercial plant under study

monetization of high ash coal (no commercial use) development of local economy

Coal to liquidsMozambique*

Supply of palm oil** from Vales biodiesel project

Sugar cane bagasse*

Biomass to liquidsBrazil

Output of high value products (synthetic fuels) without increasing agriculture area nor competing with food industry

reduce waste volume in mills use of non recycled waste

Waste to liquidsto be developed

Synthetic diesel is sulfur free.

Ready for carbon sequestration.

Vales renewable sources of energy Synthetic diesel

37

Installation of wind fences at the port of

Tubaro, Brazil, where we operate seven iron

ore pellet plants.

The wind fences minimize the emissions of up

to 120 km/hour.

Controlling dust pollution: wind fences

38

Vale protects 10,321 sq km of natural areas in South America, North America, Asia and

Oceania.

These include regions in several forests:

Amazon rainforest

Boreal

Atlantic

New Caledonia

Wellacea

Protecting natural wealth

39

Capacity to fund social investment through its own

endowment and fund raising with partners.

Capacity to execute projects.

Focus on infrastructure building, human and economic

development, quality of local administration and

management of mining impacts.

2009 investment reached 0.75 % of Vale net revenues,

the highest among global metals and oil companies.

Fundao Vale : one of the largest corporate

foundations in the world

40

October 18, 2010

Tito MartinsExecutive Officer of Basic

Materials Operations

41

Our base metals business involves nickel, copper,

aluminum and associated precious metals and

PGMs.

Transfer of interests in aluminum to Norsk Hydro is

expected to be concluded before year-end.

Centred in Toronto, Canada

Introdution

42

A global network of world-class assets

Principal mines &

operations

Development properties

Other metal

refineries

JV refineries

THOMPSON

SUDBURY

VOISEYS BAY

PTI

VNC

ONA PUMA, SALOBOCRISTALINO, POLO,FURNAS, ALEMAO

PORT COLBORNE

CLYDACH

ACTON

TAIWAN NICKEL

MATSUZAKA

KOREA NICKEL

DALIAN

TRES VALLES

SOSSEGO

KONKOLA

KALUMINES

LONG HARBOUR

PARAGOMINAS

43

Nickel

44

An overview

Two broad types of ore (laterite + sulphide) are used to produce nickel with

many different processing options dependant on the ore

There is an increasing shift to laterite ores

Sulphides are typically at the lower end of the cash cost curve

Different end-products can target specific markets; stainless represents 60-

65% of global nickel demand

FeNi, NPI, and some other low grade products target stainless steel;

represents majority of industry growth

Unlike copper, nickel is mostly integrated. 3rd party volumes used as top-up

Sulphide process assets (dealing with 3rd party trade) are generally

controlled by the top 5 producers

Our growth projects will contribute to maintain Vales share in 20% of the

global nickel market.

45

Carbonyl

Electro

Thompson

SudburyClydach

Matsusaka

KNC

TNRC

Dalian

Tonimet

Utility

VoiseysBay

PTIOnca

Puma

VNCRefinery

Mines

Development properties

FeNiMarketing or JV refinery

A global set of world-class refineries with a

diversified portfolio of high-quality products

for all nickel applications

46

Current

Sudbury

Voiseys Bay

Thompson

Indonesia (PTI)

Growth

Ona Puma

Vale New Caledonia (VNC)

Vale has a strong platform to grow the nickel

business a balance of sulphide and laterite properties

47

Vale has worlds largest nickel reserves

2,6

2,8

2,9

4,6

6,4

7,9

Eramet

BHP Billiton

Xstrata

Jinchuan

Norilsk Nickel

Vale

proven and probable reserves in 2009.

Source: Companies reports and Brookhunt, 2009

million metric tons of contained nickel

48

Norilsk

20,6%

BHP

8,7%Xstrata

7,8%

Jinchuan

7,6%

Other

37,9%

Vale

17,4%

Share of world finished nickel production - 2008

Vale is one of the worlds leading nickel producers

Source: CRU Quarterly Q2 2009

49

Nickel output from sulphides is generally the lowest

on the cash cost curve2010 cash cost curves

NP

I B

F

Sulphides

NP

I E

AF

Laterite - FeNi

Source: Brookhunt, 2010 Q2

Laterite HPAL,

Caron

US$/lb

million lb

50

Ensure success of

projects1

The main goal of our nickel business

Reduce sustaining

capital2

Improve cost

efficiency3

Increase production4

Improve price

realization5

Complete and ramp-up of VNC, Ona Puma,

Long Harbour, Karebbe

=> Average gross fixed asset/throughput in 15 50% of 09 figure

Reduce the sustaining capital requirements of the

Canadian operations to 3% of gross fixed assets

Reduce the operating costs of the

Canadian operations by 5% in 15 over 09

Seek production improvements

=> Increase production in Indonesia

Maximize premium and maintain consistency of sales

51

Integration of the North Atlantic nickel flows

2010

Ni Oxide Sinter

Cobalt

Pellets& Powders

PGMsGold Silver

Copper anodes

Sudbury

minesClarabelle

mill

Copper Cliff

smelter Matteprocessing

Clydach nickel refinery

Copper Cliff nickel refinery

Port Colborne

Acton

Copperconcentrate

CathodeRounds

Thompson

mines Thompson

millThompson

smelter

Thompson

nickel refinery

Voiseys mill

Voiseys Baymine

Copper concentrate

52

VNC - New Caledonia

Design production of 60ktpa of

nickel.

Ramping-up to full production

has commenced.

Short-term strategy is to

produce an intermediate

product.

53

Ona Puma - Brazil

Design production rate of

58ktpa nickel as ferronickel.

Commissioning underway with

first production in Q4 2010.

Continuing construction on line

2 with commercial production

in 2011.

54

Long Harbour - Canada

Construction underway of

nickel concentrate refinery in

Newfoundland.

Design capacity of 50 ktpa

nickel.

Start-up in 2013.

55

Copper

56

An overview

In the copper industry the most value adding segment is mining /

concentration because:

The capex per ton in mining is only 50% higher than for smelting /

refinery.

Mining/concentration gets 90% of LME prices (just 10% for smelting /

refinery).

There is no major problem to sell clean concentrates to existing smelters.

The industry is only 46% vertically integrated (in comparison to almost 90%

in nickel).

Declining costs at existing operations and low grades of existing resources

of non developed projects demand high copper prices in the long term.

In addition, TC/RCs are expected to remain low, given the deficit in mine

supply.

Therefore, smelters must specialize in treating concentrates with impurities

in order to compensate for these very low TC/RCs.

57

Developing our copper business

Executing a pipeline of projects that will take

advantage of potential copper deficits in the

next 5 years.

Acquisitions may be an option to ensure scale

and flexibility.

58

Tres Valles - Chile

First international greenfield

copper project to be executed by

Vale.

First experience of downstream

and first cathode industrial scale

production.

The project is nearing completion

with commissioning in Q4 2010.

It has an expected lifetime of 11

years, with a production capacity

of 18.5 ktpa of copper cathodes.

59

Salobo - Brazil

Phase 1 of the Salobo project is

currently under construction.

The start-up for the Phase 1 is

scheduled for Q3 2011with a

design production rate of 100 ktpa

copper in concentrate.

Phase 2 of Salobo will double

copper and gold production and is

expected to be in production from

2013.

A Phase 3 is being considered.

60

Konkola North - Zambia

Konkola North, located at the north-

western extremity of the Zambian

portion of the Copperbelt.

It was discovered in 1924 and mined

until 1959.

Konkola North will be Vales first

operation in the Copperbelt and is a

JV with African Rainbow Minerals

(ARM).

All licenses and permits have already

been granted.

Design production is 45 ktpa of copper

in concentrate.

Start-up is expected in 2013.

61

Main projects by horizon and estimated

production capacity

Horizon 1

Horizon 2

2010-2012 2012-2016

Horizon 3

2016 onwards

Tres Valles 18

Salobo I 100

Salobo II 100

Cristalino 100

Konkola North 100

118 Oxide 36

Polo 100

Salobo III 80

Alemo 80

Kalumines 36

Visconde 90

118 Sulphide 36

Furnas 100

Paulo Afonso 160

000 metric tons

62

October 18, 2010

Eduardo LedshamExecutive Officer of

Exploration, Energy and Projects

63

Project overview

Project details

Short and medium term action plan

Simandou

64

Vale will unlock the development of

Simandou Project.

Last high grade iron ore similar to Carajas

65

Opportunity for Vale

Vale will consolidate its position as main

premium iron ore supplier in the seaborne

market.

Vales technologies and experience in the

implementation of large iron ore projects

will guarantee success of the project.

The current expansion in Carajas will provide

the engineering to support Simandou

The short distance between Brazil and

Guinea/Liberia allows continuous training for

different teams

66

Simandou project details

67

Extension:

40km

Average height:

600m

Hematite resources:

2 billion metric tons @ 66% Fe (potential)

Hematite resources:

6 billion metric tons @ 45% Fe (potential)

BSGR drilling campaign

Drillholes : 38

Metters drilled: 6,677m

Average depth: 175m

Access constructed: 70km

Drilling platforms: 9.5km2

Simandou ProjectBlocks 1 & 2 - highlights

68

2011 feasibility study drilling

campaign (Hematite focus):

Drillholes : 1009

Metters to be drilled: 115,400m

Average depth: 150m

Access to be constructed: 217km

Drilling platforms: 252.3km2

Simandou ProjectBlocks 1 & 2 - highlights

69

Simandou Project

Blocks 1 & 2 - geology

70

Simandou ProjectBlocks 1 & 2 - geology

71

Simandou Project

Blocks 1 & 2 - geology

72

Simandou Project

Blocks 1 & 2 - geology

73

Simandou Project

Blocks 1 & 2 open pit mine

74

Simandou Project

Blocks 1 & 2 dry process

75

Extension:

10km

Average height:

500m

Hematite resources:

220Mt @ 62% Fe (potential)

Hematite resources:

530Mt @ 45% Fe (potential)

Drilling campaign

Drillholes : 139

Metters drilled: 12,334m

Average depth: 88m

Access constructed: 39km

Drilling platforms: 34.8km2

Simandou Project

Zogota highlights

76

2011 drilling campaign:

Drillholes : 305

Metters to be drilled: 28,000m

Average depth: 100m

Access to be constructed: 56km

Drilling platforms: 76.3km2

Simandou Project

Zogota highlights

77

Zogota projectProcess plant project

78

Zogota project

Beneficiation flowsheet

79

Zogota project

Master plan : hematite final pit and future expansion

80

Simandou Project

Liberian logistics corridor

81

Simandou Project

Transguinea railway: rehabilitation in progress

82

Simandou Project

Hematite estimated production

83

Action plan finished

Project team organization

Infrastructure Development Agreement (IDA) Liberia

Construction companies bid process for the emergencial works

Drilling companies bid, sampling preparation laboratory bid, sampling assay solution

Drilling camp construction

Basic engineering for Zogota process plant

Action plan in progress

330Km (50% of the total extension) refurbishment of Transguinean railway, for general cargo and passengers

Aerial survey

Environmental studies and licenses

Definition of the VBG new port location

Acquisition of the process plant main equipments

Alternative sources of energy for the Guinean and Liberian operations

Basic engineering for railway

Simandou Project

Short and medium term action plan

84

Simandou: the largest integrated iron ore mine

and infrastructure project ever developed in Africa

85

October 18, 2010

Mrio BarbosaExecutive Officer of Fertilizers

86

Fertilizers in ValeIndustry perception, perspectives, strategy and initiatives

87

Fundamentals are strongFertilizer demand has been boosted by the required increase in

agriculture yields to support continued growth of food production

Population growth

Increasing per capita income and changing diets

Limited Agricultural Resources

- Lower per capita arable land

- Unbalanced soil conditions

- Limited water availability

Climate Changes

88

Fundamentals are strongSoil conditions and available land drive fertilizers demand

Source: IFA

Soil Resilience

Soil Performance

89

Fundamentals are strongAgricultural land, world grain productivity and fertilizer consumption

0

50

100

150

200

61 64 67 70 73 76 79 82 85 88 91 94 97 00 03 06 09

Fe

rtil

ize

r C

on

su

mp

tio

n (

Mt)

0

1000

2000

3000

4000

Ha

rve

ste

d A

rea

(M

ha

) a

nd

Pro

du

cti

vit

y(k

g/h

a)Harvested Area

Fertilizer Consumption

Grain Productivity

Fertilizer demand is driven by

two main factors.

- Increasing demand for food

as a result of population and

high per capita income

growth.

- Limitation of arable, good-

quality land.

Increase in grain production

depends heavily on higher

agricultural productivity, what

leads to higher dosage of

fertilizer.

Source: IFA

90

Fundamentals are strongPace of global demand growth is expected to accelerate in this

decade

0

40

80

120

160

200

61 73 83 89 92 95 98 '01 '04 '07 10 13 16 19

Fe

rtil

ize

r co

nsu

mp

tio

n,

Mt

K2O

P2O5

N

Global fertilizer consumption is

expected to reach ~ 200 Mt by the

end of this decade.

- Global population is estimated to reach

7.7 billion, 1.1% CAGR

- Most refers to urban population, which

has higher dietary standards .

That implies an average 3% CAGR

for the growth of fertilizers demand

the following years.

Emerging countries will lead this

growth and Brazils rate is expected

to keep is 6% aa pace.

Source: IFA

91

Fundamentals are strongFertilizer consumption has increased significantly specially in

emerging countries. Brazil presented the highest growth rate among

them in the last two decades

50

100

150

200

250

300

90 92 94 96 98 '00 '02 '04 '06 '08

Brazilian Market

World Market

90 00 05 06 08 %

China 27 34 44 46 48 3%

India 13 17 20 22 22 3%

USA 18 19 19 19 19 0%

Brazil 3 7 8 9 9 6%

World 137 137 153 159 160 1%

Source: IFA /ANDA

Fertilizer consumption, Mt Fertilizer consumption, index 1990=100

CAGR

92 Source: IFA

0

7000

14000

21000

28000

35000

Chi

na

Indi

aEU

AUE

Bra

sil

Out

ros

Nitrogen consumption

kt of N

0

3000

6000

9000

12000

15000

Chi

na

Indi

aEU

A

Bra

sil

UE

Out

ros

Phosphate consumption

kt of P2O5

0

1500

3000

4500

6000

7500

9000

Chi

na EUA

Bra

sil

UE

Indi

a

Out

ros

Potash consumption

kt of K2O

Fundamentals are strongChina, India, the US, EU and Brazil represent more than 70%

of the total demand for fertilizers

93

Fundamentals are strongChina is the main producer of nitrogen (ammonia) and phosphate

(phosphate rock), but its production is mainly consumed internally

32%

9% 8%6% 1%

China Russia India US Brazil

Ammonia production

153 Mt World in 2008

36%

18%

14%

6% 4%

China US Morocco Russia Brazil

Phos rock production

174 Mt World in 2008

33%

19%

15%

11%

2%

Canada Russia Belarus Germany Brazil

KCl production

54 Mt World in 2008

17%15%

13%

6%0%

US Canada Russia S. Arabia Brazil

Sulphur production

48 Mt World in 2008

Source: IFA

94

Global trading of fertilizer

94

Origin

Western Canada

Destination

Brazil

Destination

Argentina

Origin

Morocco

Origin

Arab Gulf

Origin

Eastern Europe

Origin

China **

Destination

India

Destination

Southeast Asia

Destination/Origin

US/Mexico

Potash

Phosphate

Dry Nitrogen

UAN (liquid Nitrogen)

* US exports only P. Us is a net importer of N and K. Mexico is a net importer of NPK

** China is the largest producer and consumer of fertilizer. China is the largest producer and a significant exporter of urea.

Source: IFA

95

Fundamentals are strongRaw material prices (excluding ammonia) are expected to stabilize in the

near future, and final products still have room to increase more

199233222

278

318

278

323

378

415435

475505

545

102105113

154

195

235

325330365

395420

455

588

522

274

'00 '02 '04 '06 '08 10 12 14 16 18 20

Raw Materials Ammonia FOB

Tampa US$/tBasic Fertilizer UREA Fob

Black Sea US$/t

Nitrogen

117 118118175

210

620

520

420360

440480 480 480480

100

300

500

700

900

'00 '02 '04 '06 '08 10 12 14 16 18 20

Basic Fertilizer KCl Fob Vancouver US$/t

Potash

43 40 434756

262

95 100 110

61

442

36

124147 146

177

216247

930

410

335365

430

467506

546

176

50543850 26

37

329

413

0

200

400

600

800

1000

'00 '02 '04 '06 '08 10 12 14 16 18 20

Raw Materials phosphate

rock Fob Morocco US$/t

Raw Material Sulphur Fob

Vancouver US$/t

Basic Fertilizer MAP Fob

Black Sea US$/t

Phosphates

Source: CRU

96

80%

20%

47%

53%

92%

8%

Imports in 2008

Brazilian production in 2008

Phosphate Potash

Source: IFA

Fundamentals are strongBrazil is highly dependent on imported fertilizers

Nitrogen

97

KCl consumption

Mt in 2010

Fundamentals are strongVale is the only producer of Potash in Brazil and supplies an average of 10 % of

domestic demand (6.5 Mt KCl in 2010). Agricultural frontiers head to the

northeastern part of the country and total KCl consumption is expected to reach

almost 10 Mt/y by the end of the decade

KCl consumption

Mt in 2020

> 900 > 600 and < 900 > 400 and < 600 > 100 and < 400 < 100

Source: Agroconsult

Taquari-

Vassouras

98

> 500

> 300 and < 500

> 200 and < 300

> 100 and < 200

P205 consumption

kt

< 100

Sources: ANDA, Conab, DIFM, Agroconsult

Uberaba

Catalo

Cubato

Guar

Arax

Patos de Minas

Fundamentals are strongP2O5 consumption in Brazil is 3.4 Mt and the projected demand is 4.7 Mt by

the end of the decade. Vale assets supply around 45% of this total and are

well located to support the regions with higher demand and growth potential

99

An exciting portfolio of projects and

operations supports Vales growth strategy

PotashPhosphate

Neuqun -

Argentina

Taquari

Vassouras

Carnalita

Evate Mozambique

Bayovar - Peru

Regina -

Canada

Rio Colorado -

Argentina

Vale

Fertilizantes

Vale Fosfatados

Salitre

Anitpolis

Vale

Fosfatados

expansions

Expansion

Bayovar

Regina II -

Canada

100

Achievements made through organic growth

and acquisitions have strengthen our

positioning

Acquisition of fertilizer assets.

Start up of Bayovar in July 2010.

Asset integration and

optimization: synergies

assessment and capture already

in place.

Salitre project to be submitted to

Board approval on November

2010.

Evate project under development

Rio Colorado : submission to

Board approval on November

2010.

Carnalita and Regina (Canada)

projects under development.

Phosphate Potash

101

and have expanded Vale`s presence in the fertilizer industry

Natural gas

Nafta

Asphalt residue

N

Sulphur

S

Phosphate

rock

P

Potash

K

Ammonia

Nitric

acid

Sulfuric

acid

Phosphoric

acid

Urea

Ammonium

nitrate

Ammonium

sulphate

MAP/DAP

TSP

SSP

KCl

Natu

ral re

so

urc

es

Init

ial in

du

str

iali

zati

on

Fin

al in

du

str

iali

zati

on

Gra

nu

lati

on

an

d b

len

din

g

NP

K

Farm

er

Vale presence

DCP

102

Our goal is to become one of the global

leaders in the industry

3,2

3,5

3,5

4,2

4,6

5,5

9,0

9,6

10,5

11,5

16,5

18,2

44,7

CF Industries

Foskor

Ferphos

Kara Tau

Rotem Amfert Negev

Gecopham

Ma'aden

PCS Phosphates

GCT / CPG

JPMC

Vale

Mosaic

OCP 18,9

10,7

9,7

7,0

6,3

6,1

4,3

3,0

2,8

2,4

2,3

1,5

1,2

1,2

1,2

15,1

Intrepid Mining

Mengo Potash Project

Cleveland Potash

Iberpotasas

EuroChem

Arab Potash

Agrium

Qinghai Salt Lake

Dead Sea Works

K+S

Silvinit

Uralkaliy

Belaruskaliy

Vale

Mosaic

PotashCorp

Source: Fertecon, Vale

Potash production capacity 2017 (Mt KCl)Phosphate rock production capacity 2017 (Mt rock)

Note: Considers total capacity of the projects PRC 4.35 Mta, VSP I 2.9 Mta, Carnalita I and II 1.6 Mta, Neuqun 1.0 Mta; UOTV 0.8 Mta

Note: Considers total capacity of the projects Bayovar 3.9 Mta, Bayovar II and III 3.8 Mta, Evate 3.5 Mta, Salitre 2.0 Mta, Anitpolis 0.3 Mta

103

Current operations

104

KCl production.

Underground mine room and pillar mining.

Estimate production for 2010 ~ 710 kt.

Average KCl grade of 27% (2009).

Life of mine up to 2019.

Potash - Taquari -Vassouras

105

Phosphate - Brazil

mines

plants

Arax

Tapira

Cajati

Guar

Uberaba

Catalo

Cubato/Piaaguera

(Mine and Port)

Patos de Minas

Araucria

106

Phosphates - Bayovar (Peru)

TonnageGrade

P2O5

Tonage

P2O5

MT % MT

Proven 237.1 17.3 41.0

Probable 1.9 15.9 0.3

Total 239.0 17.2 41.1

Reserves

Located in Piura region in Peru.

World class resource with lowest

cost in phosphate rock

production.

Start up July 10, 2010.

Estimated production of 3.96

Mtpa of phosphate rock to be

reached in 2014.

Life of mine: 27 years.

Potential expansion under

evaluation.

107

Port

Storage and conveyor belt

Conveyor belt

Phosphates - Bayovar (Peru)

108

Projects in the pipeline

109

Potash - Rio Colorado

Located in Mendoza, Argentina

Successful solution mining pilot trials

undertaken

Logistics and natural gas supply had

been set on, mitigating project risk

Proprietary technology defined and

acquired

Life of mine of at least 70 years

Large resource and planned

infrastructure can support further

expansion

Total capacity 4.3 Mt/y

- First phase starting in 2013 and

reaching 2.4 Mt/y by 2016

- Second phase starting in 2017 and

reaching 1.9 Mt/y by 2023

TonnageGrade

P2O5

Tonage

P2O5

MT % MT

Probable 360.8 34.2 123.4

Total 360.8 34.2 123.4

Reserves

110

Implementation plan : critical

path to guarantee schedule is

ongoing.

Energy solution: JV 50% Vale to

dedicated gas supply.

Logistic solution: concession

agreement already signed with

Ferrosur.

Permits already granted.

- general for mine and plant.

- electric line.

- port .

Potash - Rio Colorado

La Pampa

Neuqun

Rio Negro

Buenos AiresZapala

. Baha Blanca Port

111

Well drilling

Potash - Rio Colorado

112

Located in the leading potash

producing province of

Saskatchewan, Canada, with

logistics and infrastructure in place.

Development stage: FEL 1 (to be

concluded in 2010).

Solution mine envisaged.

- 9 new holes drilled in 2009-2010.

- All historic and new holes

intersected the 3 potash beds with

a combined thickness of 20m -

30m.

Resources to produce up 2.9 Mtpa

of KCl/year.

- Start-up in 2015 and reaching full

capacity of 2.9 Mt/y by 2024.

Location

Potash - Regina

113

Located in Sergipe, Brazil, near Taquari-Vassouras operations

Solution mining method

Development stage: FEL2 pilot plant operation

with two wells commenced in Aug/08

Test of first layer concluded with good results

Geomechanic tests in progress

Environmental permit granted in April 08, 2010

100% to domestic market.

Gas supply (Long term): contract with Sergas

First phase starting in 2015 and reaching1.2 Mt/y by 2016

Potash - Carnalita

CARNALITA

PROJECT

UOTV

ARACAJU

TMIB

Pilot plant

114

Located in Patrocnio/MG, Brazil, in the heart of a fast growing market.

Open pit mine and sulfuric acid, phosphoric acid, MAP, DAP and TSP plants.

Development stage: FEL 3.

Start-up scheduled for 2014.

Board approval in November/2010.

Best practice on project development recognized by IPA (Independent Project

Analysis).

Pilot mining Mine, plant and infrastructure

Phosphate - Salitre

115

Northeast Mozambique, 65 km from the port of Nacala

Location

Consists of 3 types of phosphates:

High grade sands: 6Mt @ 20% P2O5

Low grade sands: 54Mt @ 8% P2O5

Hard rock: 208Mt @ 12% P2O5

Development stage: FEL 1

It is strategically located to supply the South and Southeast Asian markets

Phosphate - Evate

116

FertilizersSummary of estimated production capacity

Current Additional Total 2017

Potash (KCl)

Phosphates

Ammonia

MAP (high)

0.85 kt/y 10 Mt/t 11 Mt/y

9.2 Mt/y 8.0 Mt/y 17 Mt/y

620 kt/y 0 620 kt/y

1,180 kt/y 1,300 kt/y 2,480 kt/y

TSP (high) 865 kt/y

SSP

Dicalcium

Phosp

Urea

2,500 kt/y

500 kt/y

610 kt/y

670 kt/y 1,535 kt/y

120 kt/y 620 kt/y

0 2,500 kt/y

610 kt/y0

117

Conclusion

Vale has established a robust platform to build a world-class

fertilizer business.

Strong position in the most important and fast growing

Brazilian market.

Our goal is to become a global leader in fertilizer industry.

Some important issues that should be addressed.

- Define optimal corporate structure for fertilizer assets.

- Integrate and capture synergies from acquired assets .

- Delivery of projects on time and on budget.

- Cost control and operational efficiency.

118

Vale,

a global leader