Our Business

Vale Base Metals Limited (the “Company”), a UK-incorporated company, and its subsidiaries (collectively referred to as "the Group") are engaged in the exploration, extraction, milling, smelting, refining, distribution, and marketing of copper and nickel products. This includes copper concentrate, copper cathode, high-purity class I, and class II nickel products. The Group also produces cobalt, precious metals, and platinum group metals (PGMs) as by-products of copper and nickel mining and processing. The Group primarily sells its products in North America, Europe, and Asia.

Vale Base Metals Limited is the holding company of the Group, with headquarters in the United Kingdom. The Group's primary mining and processing facilities are in Canada and Brazil, with stand-alone refineries in the United Kingdom and Japan. 

For more information on our global business, please click here.  

Our Approach to Tax in the UK 

Our approach to tax supports our business strategy and balances the various interests of our stakeholders, including investors, governments, our people, customers, consumers, suppliers, and the communities in which we operate. It is built on principles of compliance, transparency, and sustainable value creation. We aim to manage our global tax position effectively while maintaining our commitment to responsible tax practices and risk management.

Key Pillars 
1) CORE BUSINESS PRINCIPLES 
We manage our tax affairs effectively and actively, striking a balance that supports our business strategy while creating consistent long-term value for our stakeholders where we operate. Our business operations are guided by economic fundamentals and market realities, with tax considerations integrated into our overall cost structure. 

2) TRANSPARENCY AND COLLABORATION WITH AUTHORITIES 
We value transparency and openness in our relationships with tax authorities. We maintain an open, transparent, and collaborative relationship with HMRC in the UK. We are in regular contact with our Customer Compliance Manager at HMRC and proactively discuss significant tax matters and business developments. We proactively disclose relevant tax information and work collaboratively to resolve any issues. We approach these discussions professionally and efficiently to reach an agreement on tax obligations.

3) TAX PLANNING, RISKS AND TRANSACTIONS 
When considering tax planning, we limit our activities to jurisdictions where we maintain genuine substance and commercial presence, focusing on business-driven structures rather than tax-driven schemes. We aim for certainty in our tax positions. In some cases, when the law is unclear, we will have effective frameworks in place to identify, monitor, control, and manage our tax risks, considering a position that can be accepted upon examination by the relevant tax authorities. External tax advice is sought in relation to areas of complexity or uncertainty to support in complying with our UK and global tax strategy.

4) TAX INCENTIVES 
We utilize tax incentives when they apply to our business operations, which are available to all taxpayers, and align with relevant tax legislation, such as government programs designed to stimulate economic growth. We ensure our application of these incentives aligns with their intended statutory and regulatory purpose. We do not maintain operations in OECD-defined “tax havens” without a legitimate commercial purpose.

Why does taxation matter to our business? 
Our goal is to ensure that our global operations remain competitive and generate sustainable shareholder value. Our strategy supports significant investments in our mines and surface plants, enabling us to grow the business. Ultimately, we aim to deliver efficient growth, consistent value creation, credibility and trust, and engagement for all our stakeholders. 

Our approach to taxation aligns with our ambitions and business strategy while balancing the diverse interests of our stakeholders, including investors, governments, employees, customers, suppliers, and the communities in which we operate. 

We advocate adopting international best practices and governance standards. We actively support initiatives that establish clear, fair, and consistent taxation for global companies like ours. While tax can be complex and uncertain, we recognize its critical importance for all our stakeholders. 

We understand the significance of our social and economic impact on the communities where we operate. Our total economic contribution, including taxes, can play a vital role in wealth creation for these communities. Our tax contributions encompass corporation tax and import duties, and we also collect certain taxes on behalf of governments, including excise duties and VAT. Furthermore, our economic contribution includes jobs, investments, purchases of goods and services, and the transfer of knowledge and skills. 

We ensure our business has the necessary mechanisms to comply with our tax principles. We manage and report our tax affairs to ensure compliance with the law and with international best-practice guidelines, such as international accounting standards and OECD standards. Our Code of Conduct sets the expectations for everyone working at or for VBML, and our Global Tax Policy is grounded in its principles. 

This tax strategy has been prepared in accordance with the requirements of paragraph 19 (2) contained within Schedule 19 of the Finance Act 2016.