Brazil rejects Vale, BHP settlement offer for dam disaster

Photo: Rogério Alves/TV Senado via Flickr

Brazil and the state of Espirito Santo have rejected a proposal by Vale, BHP and their iron ore joint venture Samarco regarding reparations for the deadly 2015 Mariana tailings dam collapse, reported Reuters

The failure of the Fundão Dam caused a giant mudslide in the Minas Gerais state, killing 19 people, leaving hundreds homeless and polluting the Doce River, a major waterway that flows through Espirito Santo.

The miners presented an offer last week to pay a total of 127 billion reais (US$25.03 billion) as reparations for the disaster, including 37 billion reais already disbursed.

In rejecting the offer, the office of Brazil’s solicitor general said in a statement that it “does not represent an advance” from a previous proposal in December and contains “inadmissible conditions.”

On May 7, Brazil’s government filed a request before a federal court in Minas Gerais state asking that the miners pay 79.6 billion reais ($15.73 billion) for the collapse. The petition also requested the court to block the companies’ assets if the amount is not paid within 15 days, reported Reuters.

Source: Reuters

Related posts