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Intangibles
 12 Months Ended
Dec. 31, 2023
Notes and other explanatory information [abstract]  
Intangibles

17. Intangibles

 

         
  Goodwill Concessions Software Research and development project Total
Balance as of December 31, 2021 3,208 5,223 86 494 9,011
Additions - 1,087 39 - 1,126
Disposals - (13) - - (13)
Amortization - (229) (43) - (272)
Translation adjustment (19) 366 5 34 386
Balance as of December 31, 2022 3,189 6,434 87 528 10,238
Cost 3,189 7,808 564 528 12,089
Accumulated amortization - (1,374) (477) - (1,851)
Balance as of December 31, 2022 3,189 6,434 87 528 10,238
Additions - 1,013 53 6 1,072
Disposals - (14) - - (14)
Amortization - (251) (41) - (292)
Transfer to held for sale (PTVI) (68) - (1) - (69)
Translation adjustment 142 507 6 41 696
Balance as of December 31, 2023 3,263 7,689 104 575 11,631
Cost 3,263 9,394 634 575 13,866
Accumulated amortization - (1,705) (530) - (2,235)
Balance as of December 31, 2023 3,263 7,689 104 575 11,631

 

a) Concessions – Includes the EFC and EFVM operating concession agreements (note 14a).

 

b) Goodwill – Includes the goodwill derived from acquisition of iron ore and nickel businesses and the goodwill from the incorporation of Valepar into Vale in 2017, which was recognized on the acquisition of Vale controlling interest by Valepar based on the expected future returns of the ferrous segment. The Company has not recognized the deferred taxes over the goodwill since there are no differences between the tax basis and accounting basis. Annually, the Company assesses the impairment of this asset, or more frequently when an indication of impairment is identified (note 19).

 

c) Research and development project - Refers to in-process research and development projects and patents identified in the business combination of New Steel Global N.V. acquired in 2019. The intangible assets of research and development are not subject to amortization until the operational phase is reached. Thus, the Company annually assesses the impairment of this asset, or more frequently when an indication of impairment is identified (note 19).

 

Accounting policy

 

Intangibles are carried at acquisition cost, net of accumulated amortization and impairment charges.

 

The estimated useful lives are as follows:

   
    Useful life
Railway concessions   5 to 37 years
Research and development project   19 years
Software   5 years