Vale successfully completed its first test of the use of biochar, a renewable product created through biomass carbonisation, in its production of pellets.

This allowed Vale to decrease its greenhouse gas emissions in the pellet production process by 10%, the company said. Pellet plants are the largest source of Vale's carbon emissions, accounting for 33% of the company's overall emissions.

The test took place at the pelletising plant in San Luis, Brazil. Vale tested production of 57,000 pellets where 25% of the charcoal that was used originated from vegetable matter.

Vale plans another test in San Luis where biochar will make up 50% of the load.

"Our objective is, in 2022, to test the technical feasibility of further increasing the share of the use of biochar in the furnace," engineer Rodrigo Boyer, who led the initiative, said.

Vale also plans to test biochar use in its Vargem Grande pellet plant in Minas Gerais next year.

The biochar test is part of the company's plan to reduce carbon by one-third by 2030, and achieve net zero by 2050. Vale said it is investing between US$4 billion and US$6 billion to achieve these targets.