Financial and capital risk management (Tables)
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6 Months Ended |
Jun. 30, 2025 |
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| Notes and other explanatory information [abstract] |
|
| Schedule of derivatives effects on statement of financial position |
| Schedule of derivatives effects on statement of financial position |
|
|
|
|
| |
June 30, 2025 |
December 31, 2024 |
| |
Assets |
Liabilities |
Assets |
Liabilities |
| Foreign exchange and interest rate risk |
646 |
169 |
52 |
601 |
| Commodities price risk |
57 |
59 |
16 |
23 |
| Embedded derivatives |
– |
– |
– |
1 |
| Total |
703 |
228 |
68 |
625 |
|
| Schedule of net exposure |
| Schedule of net exposure |
|
|
| |
June 30, 2025 |
December 31, 2024 |
| Foreign exchange and interest rate risk |
477 |
(549) |
| Commodities price risk |
(2) |
(7) |
| Embedded derivatives |
– |
(1) |
| Total |
475 |
(557) |
|
| Schedule of effects of derivatives on income |
| Schedule of effects of derivatives on income |
|
|
|
|
| |
Gain (loss) recognized in the income statement |
| |
Three-month period ended June 30, |
Six-month period ended June 30, |
| |
2025 |
2024 |
2025 |
2024 |
| Foreign exchange and interest rate risk |
557 |
(455) |
1,321 |
(469) |
| Commodities price risk |
(9) |
(18) |
(9) |
(1) |
| Embedded derivatives |
– |
2 |
1 |
1 |
| Total |
548 |
(471) |
1,313 |
(469) |
|
| Schedule of effects of derivatives on cash flows |
| Schedule of effects of derivatives on cash flows |
|
|
| |
Financial settlement inflows (outflows) |
| |
Six-month period ended June 30, |
| |
2025 |
2024 |
| Foreign exchange and interest rate risk |
297 |
115 |
| Commodities price risk |
(14) |
9 |
| Total |
283 |
124 |
|
| Schedule of foreign exchange and interest rates volatility |
| Schedule of foreign exchange and interest rates volatility |
|
|
|
|
|
|
|
| |
Notional |
Fair value |
Fair value by year |
| Flow |
June 30, 2025 |
December 31, 2024 |
June 30, 2025 |
December 31, 2024 |
2025 |
2026 |
2027+ |
| Foreign Exchange and Interest Rate Derivatives |
US$ 9,719 |
US$ 11,490 |
477 |
(549) |
222 |
165 |
90 |
|
| Schedule of sensitivity analysis financial instruments |
| Schedule of sensitivity analysis financial instruments |
|
|
|
| Instrument's main risk events |
Fair value |
Scenario I (∆ de 25%) |
Scenario II (∆ de 50%) |
| R$ depreciation |
477 |
(1,125) |
(2,728) |
| US$ interest rate inside Brazil decrease |
477 |
316 |
130 |
| Brazilian interest rate increase |
477 |
89 |
(227) |
| TJLP interest rate decrease |
477 |
475 |
472 |
| IPCA index decrease |
477 |
236 |
26 |
| SOFR interest rate decrease |
477 |
442 |
405 |
| US Treasury rate increase |
477 |
478 |
478 |
|
| Schedule of protection program for product price |
| Schedule of protection program for product price |
|
|
|
|
|
|
|
| |
Notional |
Fair value |
Fair value by year |
| Flow |
June 30, 2025 |
December 31, 2024 |
June 30, 2025 |
December 31, 2024 |
2025 |
2026 |
2027+ |
| Brent crude oil (bbl) |
|
|
|
|
|
|
|
| Options |
18,954,750 |
24,050,625 |
6 |
11 |
(10) |
16 |
– |
| |
|
|
|
|
|
|
|
| Forward Freight Agreement (days) |
|
|
|
|
|
|
|
| Freight forwards |
4,380 |
3,240 |
(5) |
(11) |
(4) |
(1) |
– |
| |
|
|
|
|
|
|
|
| Fixed price nickel sales protection (ton) |
|
|
|
|
|
|
|
| Nickel forwards |
3,478 |
4,978 |
(3) |
(7) |
(3) |
– |
– |
|
| Schedule of derivative financial instruments |
| Schedule of derivative financial instruments |
|
|
|
|
| Instrument |
Instrument's main risk events |
Fair value |
Scenario I (∆ of 25%) |
Scenario II (∆ of 50%) |
| Brent crude oil (bbl) |
Decrease in fuel oil price |
6 |
(139) |
(390) |
| Forward Freight Agreement (days) |
Decrease in freight price |
(5) |
(25) |
(45) |
| Hedge for fixed-price nickel sales (tons) |
Decrease in nickel price |
(3) |
(16) |
(29) |
|
| Schedule of embedded derivatives |
| Schedule of embedded derivatives |
|
|
|
|
|
|
|
| |
Notional |
Fair value |
Fair value by year |
| Flow |
June 30, 2025 |
December 31, 2024 |
June 30, 2025 |
December 31, 2024 |
2025 |
2026 |
2027+ |
| Embedded derivative (pellet price) in natural gas purchase (volume/month) |
|
|
|
|
|
|
|
| Call options |
746,667 |
746,667 |
– |
(1) |
– |
– |
– |
|
| Schedule of sensitivity analysis of other derivatives financial instruments |
| Schedule of sensitivity analysis of other derivatives financial instruments |
|
|
|
|
| Instrument |
Instrument's main risk events |
Fair value |
Scenario I
(∆ de 25%) |
Scenario II
(∆ de 50%) |
| Embedded derivative (pellet price) in natural gas purchase agreement (volume/month) |
|
|
|
|
| Embedded derivatives - Gas purchase |
Pellet price increase |
– |
– |
(1) |
|
| Schedule of effects of derivatives on other comprehensive income |
| Schedule of effects of derivatives on other comprehensive income |
|
|
|
|
| |
Gain (loss) recognized in the other comprehensive income |
| |
Three-month period ended June 30, |
Six-month period ended June 30, |
| |
2025 |
2024 |
2025 |
2024 |
| Net investments hedge |
115 |
(202) |
286 |
(258) |
|
| Schedule of ratings published by Moody's regarding the main financial institutions |
| Schedule of ratings published by Moody's regarding the main financial institutions |
|
|
|
|
| |
June 30, 2025 |
December 31, 2024 |
| |
Cash and cash equivalents and investment |
Derivatives |
Cash and cash equivalents and investment |
Derivatives |
| Aa2 |
592 |
6 |
391 |
1 |
| A1 |
1,944 |
155 |
1,874 |
28 |
| A2 |
491 |
87 |
520 |
13 |
| A3 |
994 |
50 |
709 |
2 |
| Baa1 |
– |
– |
1 |
– |
| Baa2 |
6 |
– |
4 |
– |
| Ba1 (i) |
765 |
221 |
719 |
18 |
| Ba2 (i) |
904 |
184 |
788 |
6 |
| |
5,696 |
703 |
5,006 |
68 |
(i) A substantial part of the balances
is held with financial institutions in Brazil which are deemed investment grade in local currency.
|