The world's biggest producer of iron ore, Companhia Vale do Rio Doce (Vale) has agreed to buy mining and surface rights in the Brazilian state of Minas Gerais, the firm said on Monday,

Vale will pay local mining company Mineracao Apolo $145-million for the rights, which contain resources of 1,1-billion tons of iron ore.

The new rights also offered potential synergies in the Iron Quadrangle region, Vale said.

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