Vale and Caterpillar have announced a significant expansion of their longstanding collaboration, signing a new five-year global framework agreement.

A key focus of this renewed collaboration is the continued development of a dual-fuel haul truck, capable of operating on a blend of diesel and ethanol. This initiative, initially announced in April 2024, represents a significant step towards reducing greenhouse gas emissions in Vale's operations. Diesel fuel consumption currently accounts for approximately 15% of Vale's direct CO2 equivalent emissions, making the transition to cleaner fuels a crucial component of their sustainability strategy. The dual-fuel technology promises to significantly reduce this footprint while maintaining operational efficiency.

The initial phase of the dual-fuel truck development will concentrate on adapting the technology for Vale's fleet of 240-ton haul trucks. Looking ahead, the companies plan to extend the application of this technology to the larger 320-ton trucks, further amplifying the potential for emissions reductions. There are 150 of these trucks currently in operation at Vale's various sites. Testing and validation of the dual-fuel trucks will begin at Caterpillar's facilities in the United States, followed by real-world trials at Vale's mining operations. This rigorous testing process will ensure the reliability and effectiveness of the technology under real-world conditions.

Beyond the dual-fuel initiative, Vale also plans to test Caterpillar's battery electric haul truck and the innovative Cat Dynamic Energy Transfer System (DET). These explorations underscore the commitment of both companies to a multi-faceted approach to decarbonization. By investigating and potentially implementing a range of alternative power solutions, Vale and Caterpillar are positioning themselves at the forefront of sustainable mining practices.

Marco Braga, Vale’s procurement director, emphasized the strategic importance of this agreement, stating, “The framework agreement represents an evolution in our relationship with Caterpillar, amplifying our focus on maximizing the performance of Vale’s assets and allowing us to advance on our decarbonization path in an economically responsible way.”

Denise Johnson, group president of Caterpillar’s resource industries segment, echoed this sentiment, adding, “The agreement with Vale reflects our commitment to developing solutions that support our customers’ operational and sustainability goals.” This reinforces Caterpillar's dedication to providing cutting-edge technology that not only enhances productivity but also contributes to a more sustainable future.

This agreement solidifies their commitment to driving advancements in productivity, innovation, and decarbonization within Vale's mining operations. The partnership will leverage the combined expertise of both industry giants to develop and implement sustainable solutions for the challenges facing the mining sector.