MARK Cutifani is stepping down as chair of Vale Base Metals after two years amid a possible listing of the copper and nickel business which parent company Vale is considering, said the Financial Times on Wednesday.
Vale spun out the base metals business as a separate unit in 2023, appointing Cutifani, the former CEO of Anglo American, as chair the same year.
Vale Base Metals is poised to be among the world’s fastest-growing copper producers, aiming to double copper production within a decade as it brings several new mines online in Brazil, said the Financial Times.
Vale’s new CEO Gustavo Pimenta will replace Cutifani as chair of VBM from July, the companies announced in separate statements.
Cutifani’s departure comes as anticipation builds about a possible initial public offering for VBM, in which Saudi Arabian mining fund Manara Minerals bought a 10% stake for $2.5bn in 2023.
During his tenure, Cutifani helped hire VBM’s CEO Shaun Usmar and the rest of the executive team. He told the Financial Times his tenure had always been planned to last two or three years, to improve productivity and prepare the company for a potential IPO.
“Shaun is in place and has already done good things and so he doesn’t need me looking over his shoulder,” Cutifani said. “When the leadership steps up, [it is] time for the foundation builders to step back.”
Cutifani explained that Pimenta was taking the chair role because he will make the final decision on whether to list VBM. He added that he would pursue other projects including at Odin Financial, a boutique investment bank.
For Pimenta, growing copper output remains a key priority, aiming to boost annual production from 350,000 to 700,000 tons through expanding projects in Brazil’s Carajás region, said the newspaper.
