Vale was ordered by a Brazilian labor court to close three iron-ore mines at its Itabira complex in Minas Gerais state after an outbreak of Covid-19 among workers.
The decision restores a ban on operations at the Conceicao, Caue and Periquito pits after Vale last week fended off an attempt by prosecutors to close the complex, according to a statement on the prosecutors’ website dated Friday.
Until now, the top iron-ore producer had managed to continue operating through the pandemic, adopting safety measures without stalling output. A prolonged stoppage at a complex that accounts for a tenth of Vale’s production could help prices of the steelmaking ingredient extend a rally that has been fueled by robust Chinese demand.