Vale has agreed to sell its Moatize coal mine and Nacala Logistics Corridor in Mozambique to mining company Vulcan, part of the Jindal Group, to accelerate its strategy to become a leader in low-carbon mining.

It sold the mine and logistics corridor for US$270 million. The purchase is subject to approval from the Ministry of Mineral Resources and Energy of Mozambique and the national government.

It follows a plan launched in early 2021 when Vale said it would divest from its entire coal mine portfolio and focus its core business on contributing to the global energy transition.

Eduardo Bartolomeo, chief executive officer of Vale, said the "responsible transaction" will benefit communities and governments and offer "a sustainable future for operations."

"This is another accomplishment on our commitment to reshape our company, focusing on our core businesses," Bartolomeo said.