Vale S.A., the Brazilian mining giant, has regained its operating permit in the municipality of Congonhas, Minas Gerais. This follows the suspension of operations at the Fábrica and Viga mines due to a water overflow incident that occurred in January.

According to a statement from the local municipal government, Vale has fulfilled all rectification requirements. These include implementing structural containment, cleaning and dredging the affected watercourses, and paying a total fine of 13.71 million Brazilian reais. An inspection by the municipal technical team confirmed the implementation of the corrective measures.

However, despite the clearance of administrative obstacles at the municipal level, it remains uncertain whether the two mines can resume operations immediately. This is because the state government of Minas Gerais had also previously ordered the suspension of operations at these two mines. State-level authorities still need to verify that safety and environmental control conditions at the site have been fully restored.

The Fábrica and Viga mines have a combined annual production capacity of approximately 8 million tons, accounting for about 2.4% of the company's projected 2026 iron ore production (335 to 345 million tons). Vale had previously stated its expectation to resume operations at these two mines before March. As of the time of reporting, the company has not commented on the latest developments or a restart timeline.