3 Q1 1 Results 3 Q1 1 Results 1 Disclaimer sc a e This - PDF document

October 2 7 , 2 0 1 1 3 Q1 1 Results 3 Q1 1 Results 1

Disclaimer sc a e “This presentation may include statements that present Vale's expectations about future events or results about future events or results. All statements when based upon expectations All statements, when based upon expectations about the future and not on historical facts, involve various risks and uncertainties. Vale cannot guarantee that such statements will prove correct. These risks and uncertainties include factors related to the following: (a) the countries where we operate, especially Brazil and Canada; (b) the global economy; (c) the capital markets; (d) the mining and metals prices and their economy; (c) the capital markets; (d) the mining and metals prices and their dependence on global industrial production, which is cyclical by nature; and (e) global competition in the markets in which Vale operates. To obtain further information on factors that may lead to results different from those forecast by f f ff f f Vale, please consult the reports Vale files with the U.S. Securities and Exchange Commission (SEC), the Brazilian Comissão de Valores Mobiliários (CVM), the ( ) ( ) French Autorité des Marchés Financiers (AMF), and The Stock Exchange of Hong Kong Limited, and in particular the factors discussed under “Forward- Looking Statements” and “Risk Factors” in Vale’s annual report on Form 20 F ” Looking Statements and Risk Factors in Vale s annual report on Form 20-F. 2

Agenda g � Continuing to create value � Market fundamentals 3

Continuing to create value 4

An outstanding operational performance QoQ YoY 3Q11 All-time high production figures � Iron ore 87.9 Mt 1 +9.5% +6.4% � Pellet 14 2 Mt 2 � Pellet 14.2 Mt 2 +8 3% +8.3% +4.3% +4 3% � Copper 84 300 t � Copper 84,300 t +34 3% 34.3% +45 6% 45.6% � Thermal coal 1.2 Mt +60.4% +20.0% ¹ Includes 2.9 Mt of Vale’s attributable iron ore production from Samarco 5 ² Includes 2.8 Mt of Vale’s attributable pellets production from Samarco

An outstanding financial performance QoQ YoY 3Q11 All-time high figures � Operating revenues of US$ 16.7 billion +9.1% +15.5% � Adjusted EBIT of US$ 8 4 billion � Adjusted EBIT of US$ 8.4 billion +8.1% +8 1% +6 9% +6.9% � Adjusted EBITDA of US$ 9 6 billion � Adjusted EBITDA of US$ 9.6 billion +6 2% 6.2% +9 3% 9.3% 6

Increase in sales volumes was the main driver for EBITDA performance p Adjusted EBITDA US$ million 1 111 1,111 77 77 (70) (70) (77) (77) (103) (103) (376) (376) 9,631 9,069 Δ FX R&D¹ Price Dividends² Costs & variation expenses ³ Sales volume volume 2Q11 2Q11 3Q11 3Q11 ¹ This change relates to the accounting figure, differing from the financial disbursement used for Investments ² Dividends received from affiliated non-consolidated companies. ³ Costs excluding depreciation and amortization. Expenses include SG&A + other operating expenses. 7

Our cash generation continues to reach record- high levels, allowing us to successfully deal with high levels allowing us to successfully deal with the trilemma faced by growing companies 36.745 LTM Adjusted EBI TDA 35.929 US$ billion 32.437 26.116 19.853 19.392 19.018 17.570 17.480 16.319 13.591 13 591 13.077 9.717 9.739 9.165 1Q08 Q 2Q08 Q 3Q08 Q 4Q08 Q 1Q09 Q 2Q09 Q 3Q09 Q 4Q09 Q 1Q10 Q 2Q10 Q 3Q10 Q 4Q10 Q 1Q11 Q 2Q11 Q 3Q11 Q 8

Dividend distribution in 2011 will reach US$ 9.0 billion a record figure billion, a record figure Dividends US$ billion 9.0 3 0 3.0 2.9 2.7 1.9 2007 2008 2009 2010 2011E 9

Powerful cash flow supports a healthy balance sheet with a low risk debt portfolio sheet with a low-risk debt portfolio Total debt Debt cost and m aturity Total debt - US$ billion¹ Liquid asset s - US$ billion ¹ , ² Total debt/LTM EBITDA (x)¹ 2 50 2.50 2 42 2.42 Average cost of debt Average debt maturity 2.20 % Years 1.76 6.0 11.0 1.49 1.30 5.8 10.5 1.00 1 00 1 00 1.00 5.6 10.1 5.5 0.70 0.68 0.63 10.0 5.4 25.3 25.3 24.5 24.0 23.7 9.5 23.6 23.0 22.9 5.2 21.2 19.5 19 5 5.0 9.0 18.4 9.1 4.8 8.5 13.2 13.0 12.2 11.8 11.2 4.7 11.1 11.0 4.6 9.7 9.4 8.0 7 6 7.6 4.4 6.2 7.5 4.2 4.0 7.0 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 ¹ at end of quarter. ² cash and cash equivalent. 10

Investments¹ grew by 48.5% YoY in 9M11, despite the challenges in project implementation g p j p 9 M1 0 9 M1 1 US$ 7 .6 1 4 billion US$ 1 1 .3 0 8 billion Proj ect s Project s 66.9% 66 9% 67 4% 67.4% R&D St ay-in- R&D St ay-in- 10.3% business 10.6% business 22 0% 22.0% 22 8% 22.8% ¹ Excluding M&A. 11

Continuing to create shareholder value: growth and high rates of return on invested capital and high rates of return on invested capital 40% 200 35% 180 180 30% 160 140 25% ROI C LTM 1 on US$ billio 120 20% 100 I nvested capital 15% 80 US$ billion US$ billion 60 10% 40 5% 20 0% 0 1Q06 3Q06 1Q07 3Q07 1Q08 3Q08 1Q09 3Q09 1Q10 3Q10 1Q11 3Q11 ¹ ROIC LTM = return on capital invested for the last twelve-month period. 12

Delivering our first African project: Moatize, a world-class asset world class asset � Moatize I Total capacity: 11 Mtpy, 8.5 Mtpy metallurgical coal and 2.5 Mtpy of thermal coal. thermal coal. Moatize I, the first phase of the Moatize coal project, province of Tete, Mozambique started production in Mozambique, started production in 3Q11. 13

Moatize main branded product Chipanga Prime HCC parameters p Main Main 9 CSN 69 69 CSR CSR 1.32 Rank (Ro max) 228 Volatile matter 10.5 Ash (% ad) ( ) 0.75 Sulphur (% ad) 0 085 0.085 Phosphorus Phosphorus 80.8 Vitrinite 118 Max dilatation Max fluidity 380 Mt 14

The Board of Directors approved the expansion of Moatize leveraging our rich coal resources in of Moatize, leveraging our rich coal resources in Mozambique, and… � Moatize II: mine Additional 11 Mtpy of nominal production capacity, totaling 22 Mtpy for Moatize. Includes duplication of the coal handling and duplication of the coal handling and preparation plant (CHPP) and expansion of the infrastructure. Production is estimated to be composed of 70% HCC and 30% thermal coal. Capex: US$ 2 07 billion Capex: US$ 2.07 billion. Start up: expected for the second half of 2014. 15

… creating an integrated coal operation with the Nacala corridor the Nacala corridor � Nacala corridor: 912 km–long railway and maritime g y terminal Handling capacity: estimated at 18 Mtpy of coal. Capex: US$ 4.444 billion, US$ 3.435 billion for the railroad and US$ 1.009 billion for the maritime t terminal. i l Start up: expected for the second half of 2014. half of 2014. ¹ Vale holds a 67% stake in Sociedade Desenvolvimento Corredor do Norte S.A. (SDCN), the company that controls each of the existing railways in Mozambique (CDN) and Malawi (CEAR).. 16

Enhancing the infrastructure: a new hydropower plant plant � Karebbe Karebbe Total capacity: 130MW The Karebbe hydropower plant in Sorowako Indonesia will support expansion plans and The Karebbe hydropower plant, in Sorowako, Indonesia, will support expansion plans and at the same time will have an important role in our efforts to curb the production costs of our Indonesian nickel operations. 17

Market fundamentals 18

Global IP has recovered, driven by the US, Japan and China and supporting the demand for minerals and China and supporting the demand for minerals and metals Global industrial production 16 % 3mma, saar¹ 14 14 12 10 10 8 6 6 4 2 2 0 - 2 2 Dec- 09 Apr- 10 Aug- 10 Dec- 10 Apr- 11 Aug- 11 ¹ Seasonally adjusted annualized rate Source: Vale and J.P. Morgan 19

The recovery of DM has been running at below- trend rates, being a drag to global growth trend rates being a drag to global growth GDP growth 1 g % 6 6 4 4 4 2 2 0 0 3T07 2Q08 4Q08 2Q09 4Q09 2Q10 4Q10 2Q11 -2 4Q07 2Q08 4Q08 2Q09 4Q09 2Q10 4Q10 2Q11 -2 -4 -4 -6 6 -6 Zona do Euro -8 US -8 -10 -10 Average GDP growth Average GDP growth Average GDP growth A GDP th -12 -12 1997-2007: 2.3% 1997-2007: 3.1% 3Q09-2Q11: 1.9% 3Q09-2Q11: 2.6% ¹ Annualized rate, sazonally adjusted. Source: Haver Analytics 20

Given the fiscal adjustment underway and bank funding stress, the probability of a recession in g , p y the Euro Zone has increased Euro Zone 1 0.9 0.8 0.7 0 6 0.6 0.5 0.4 0.3 0.2 0 1 0.1 0 1970 1974 1978 1982 1986 1990 1994 1998 2002 2006 2010 Recession probabilit y Recession probabilit y Recession according the Euro area business cycle dating committee Sources: Vale and Euro area business cycle dating committee. 21

China’s growth is more moderate but steady Chinese GDP grow th % 18 16 14 12 10 8 9.1% 6 8.0% YoY YoY 4 QoQ¹ 2 0 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 ¹ Seasonally adjusted annualized rate. Sources: Haver Analytics/CEIC and Vale. 22