Agnelli's comments followed industry reports the company intended to concentrate on projects it has taken on already and didn't expect competition that could challenge its pre-eminence.

Vale is also banking on current prices continuing through 2011. Analysts said a slowing of Chinese iron ore demand that put a dampener on prices may be temporary. High prices of steel-making ingredients are also likely to keep steel prices stable at upper levels in the coming months, traders said.

In talks with investors at New York Stock Exchange, Agnelli indicated the company had bought sufficient quantities of iron ore over the past few years to rule out joining any scramble for raw materials.

Instead, he indicated, Vale would lavish cash resources -- up to $28 billion -- on pushing ahead with projects it already has in progress, including at least six in advanced stages of implementation.

Not all of the projects are iron or steel. Vale has amassed resources in other metals and one of the new projects will pit the company against OAO GMK Norilsk Nickel, Russia's largest mining company.

Vale also has plans to expand production of copper, mainstay of neighbor Chile, after failing to acquire Paranapanema S.A. in September.

The company aims to organize its global iron ore production to ensure it remains profitable even if prices collapse to $30 a ton. Prices have averaged between $130 and

$160 a ton in 2010 and a similar range is expected for 2011.

Vale has already taken advantage of the prices and boosted production by 24 percent in the just ended third quarter of the year for a total 82.6 million tons, the highest since the third quarter of 2008, when output reached 85.8 million tons.

The global industry's exports are among sectors hit by the falling dollar and Brazil's plight was accentuated by a whopping 9.3 percent gain by its currency, the real.

Last week iron ore prices dropped as Chinese buyers stayed away from markets after prices touched five-month highs. Analysts said some of the price spikes in iron ore could be due to the strength of the market for steel-making materials.

A recovery in the prices is already being predicted, and prices could bounce back to reach as high as $175 a ton, analysts said.

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