Inside Brazil’s US$68B Mining Project Pipeline

Brazil is quietly staging one of the most significant mining investment booms in the world—and it’s no longer just about iron ore. With a projected investment of US$68.4 billion between 2025 and 2029—a 6.6% increase over the previous five-year period. While iron ore remains the cornerstone, accounting for nearly US$19.6 billion in planned investment, what’s truly exciting is the country’s growing focus on critical minerals like lithium, rare earths, copper, and nickel.

In this blog, we break down the most important projects, where the money is going, and why Brazil is becoming one of the most strategic mining markets to watch.

Iron Ore: The Cornerstone

Iron ore remains the backbone of Brazil’s mining industry, attracting US$19.6 billion in investments, accounting for 28.7% of the total projected funding. Key Developments Include:

• Vale’s “New Carajás” Initiative: A US$12.26 billion investment to expand the Carajás complex in Pará state, aiming to increase iron ore production to 200 million tons annually by 2030 and boost copper output by 32% to 350,000 tons per year. The “New Carajás” program also emphasizes sustainable mining practices, including the use of dry processing techniques and investments in circular mining projects like the Gelado Project, which reuses tailings to produce iron ore.
• CSN Mineração’s Expansion: An investment of R$13.2 billion (approximately US$2.32 billion) to elevate annual capacity to 43.5 million tons by 2028.  A key part of the expansion is the Itabirito P15 Plant at the Casa de Pedra complex in Minas Gerais. It will produce high-grade pellet feed (67.5–68% iron), start operating in 2027, and reach full capacity by 2028, extending the mine’s life by 25 years to 2080.

Critical Minerals: Powering the Future

But the real buzz in industry circles is around critical minerals. Brazil is betting big on lithium, especially in the so-called “Lithium Valley” in Minas Gerais. Of the US$1.16 billion slated for lithium projects, a staggering 78% will flow into this region. Companies like Sigma Lithium and Companhia Brasileira de Lítio (CBL) are leading the charge. Sigma alone is scaling up its Greentech plant to boost output to over 520,000 tons annually, with further expansion already on the table.

Meanwhile, rare earths are gaining traction too. The Serra Verde mine has begun commercial production, targeting 5,000 tons annually with plans to double capacity by 2030. Meteoric Resources’ Caldeira Project, backed by potential U.S. financing of up to US$250 million, adds to the momentum and highlights Brazil’s growing relevance in breaking China’s near-monopoly on rare earth supply chains.

Copper and Nickel: Diversifying the Portfolio

Regarding copper and nickel, both metals are seeing renewed attention, not just because of rising prices but due to their strategic role in electrification and battery tech. Ero Copper is leading one of Brazil’s most advanced copper initiatives with its Tucumã project in Pará, targeting first production in late 2025. The company is investing heavily in low-emission infrastructure and water-efficient processing to meet sustainability goals. Vale’s Salobo 3 copper project, also in Pará, is expected to produce up to 40,000 tons annually by the end of 2024.

On the nickel front, Vale is also investing in a second furnace at its Onça Puma mine, projected to boost output by 15,000 tons/year starting in late 2025. Add to that the US$600 million investment by Appian Capital in the Santa Rita nickel operation in Bahia, and it’s clear Brazil is rapidly scaling its base metals capacity.

Conclusion

Regionally, Minas Gerais leads Brazil’s mining investment push with US$16.5 billion, driven largely by lithium and rare earths exploration. Close behind is Pará, benefiting from massive iron ore and copper developments like Vale’s Carajás expansion. Meanwhile, Bahia is emerging as a new hub for rare earth and nickel projects.

Still, Brazil faces real structural challenges. Permitting remains slow, especially for projects near environmentally sensitive areas or indigenous lands. Logistics infrastructure, particularly rail and ports, often lags behind demand—raising transport costs and impacting global competitiveness. And while the investment environment has improved, access to capital remains tough for junior and mid-tier miners, hindered by regulatory uncertainty and macroeconomic risk. These issues are genuine, but increasingly viewed as growing pains in a maturing mining market rather than fundamental barriers.

What’s clear is this: Brazil is no longer defined solely by iron ore. It’s evolving into a diversified, multi-mineral heavyweight, aligned with the world’s push toward electrification, decarbonization, and critical mineral security. With a pipeline of forward-looking projects, Brazil is shaping up to be one of the most important mining jurisdictions globally. For investors, mining companies, and technology providers seeking scale, strategic relevance, and long-term opportunity in Latin America, Brazil stands out like never before.

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