Vale Int (LSE:VALE)
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Brazil mining company Vale SA (VALE) is looking at taking part in a consortium to build the Belo Monte power dam in the Lower Amazon region, the Valor newspaper reported Tuesday.

Vale's likely consortium partners would be GDF Suez SA (GSZ.FR), Brazil electricity company CPFL Energia SA (CPL) and Neoenergia.

Contacted by Dow Jones, Vale said it would not comment on the report.

Belo Monte in Para State, northern Brazil, will generate 4,600 megawatts, and would likely cost up to 30 billion Brazilian reals ($17 billion), Valor reported.

According to the report, Vale's interest in taking part in the dam would be to guarantee a 20% share of the electricity produced, around 920 MW, to smelt energy-hungry aluminum at its Albras and Alunorte plants in the region.

Vale currently consumes 4% of Brazil's energy supply and is constantly seeking to generate more of its own electricity.

Although the Belo Monte site is still awaiting environmental licensing, an auction for the project is expected this year, Valor said.

Valor also said a rival consortium also hopes to build the dam.

The second consortium would likely be made up of Brazil construction companies Grupo Odebrecht, Andrade Gutierrez and Camargo Correa.

-By John Kolodziejski, Dow Jones Newswires; 55-21-2586-6086; John.Kolodziejski@dowjones.com