Brazil mining giant Vale said yesterday it planned to cut investments for the third year in a row, down to US$14.8 billion in 2014.

The figure is down 9.2 percent from 2013, and below the US$18 billion total from 2011.

The world's top iron ore producer said its board of directors approved capital expenditures of US$9.3 billion for project execution, US$4.5 billion to sustain existing operations and US$0.9 billion for research and development.

It noted the move "reflects the greater focus on capital efficiency," aiming to maximize shareholder value "through a smaller portfolio comprised of projects with a high risk-adjusted expected rate of return."

"We are strongly committed to deploying capital only in world-class assets with large reserves, low costs, high quality products and opportunities for low-cost brownfield expansions" said Vale chief executive officer Murilo Ferreira.

Some 58.2 percent of resources from project execution will go to the iron ore and its distribution network, which generate most of the company's revenues.

Earnings rose 113.7 percent in the third quarter compared with the same period of 2012, due to a recovery in sales and higher prices.

Between July and September, the company reported net profit of US$3.5 billion, an increase of US$1.86 billion from the third quarter of 2012.

Last week, Vale accepted an offer of a tax amnesty from the government that will see it pay the state the equivalent of 7.1 billion euros (US$9.6 billion).

The company said the payout will affect its 2013 net earnings to the tune of 6.6 billion euros.