Vale considers shorter CEO term for Bartolomeo

Vale (NYSE: VALE) is considering reappointing Eduardo Bartolomeo as CEO for a shorter second term in a move with a looming deadline. 

It’s one alternative being discussed involving shareholders and the government of Brazilian President Luiz Inácio Lula da Silva, according to Valor Econômico, the country’s largest business newspaper. 

Bartolomeo’s current three-year term expires at the end of May. He must be informed if he will remain in the position four months before the contract expires, suggesting an end-of-January cutoff. A board meeting is scheduled for Jan. 31.  

Da Silva’s administration has agreed to an “abbreviated” extension of the current term as long as former Brazilian Minister of Finance Guido Mantega takes a board seat, the paper reported. Mantega would represent Previ, the pension fund for Banco do Brasil employees that is a Vale shareholder.

Luis Henrique Guimarães, a Vale board member and the former CEO of Cosan, a bioethanol, sugar and energy producer, is also among those being considered to take over the mining company’s leadership. 

Rubens Ometto, owner of Cosan, which acquired 5% of Vale in 2022, supports Guimarães for the miner’s top post. 

Still, Valor Econômico says Mantega’s name continues to carry weight among federal government leaders.

In addition to Cosan, Vale has shareholders such as giant asset manager Black Rock Capital, Japanese conglomerate Mitsui and Bradespar, the investment arm of the Brazilian bank Bradesco.

Da Silva’s government is approaching large companies with a decarbonization agenda, such as Vale, according to Valor Econômico. 

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Vale has been discussing potential green hydrogen projects with state-owned oil company Petrobras and is also in talks with the National Bank for Economic and Social Development to create an investment fund to finance critical mineral projects.