Brazil has reached a compensation agreement worth 170 billion reais ($29.85bn) with miners BHP, Vale, and Samarco for the Mariana dam collapse in 2015, one of the country’s worst environmental disasters. The dam collapse at the iron ore mine owned by Samarco, a joint venture between Vale and BHP, resulted in the death of 19 people, leaving hundreds homeless, flooding forests, and polluting the Doce River.
The agreement, signed on Friday, requires an initial payment of 5 billion reais ($878m) within 30 days. A total of 132 billion reais ($23bn) will be paid over 20 years to public authorities, with an additional 32 billion reais ($5.6bn) allocated for compensating affected individuals and environmental restoration efforts. The companies involved have also disbursed 38 billion reais ($6.6bn) so far.
The annual payments will continue until 2043, focusing on recovery efforts in the states of Minas Gerais and Espirito Santo. The agreement aims to provide justice to affected families, support environmental recovery, and revive economic activities in the region.
The agreement could potentially resolve over a hundred lawsuits against the mining companies in Brazil and may limit legal action abroad. BHP is currently contesting liability in a lawsuit in London’s High Court, arguing that it duplicates ongoing legal proceedings in Brazil and should be dismissed.
Overall, the compensation agreement is a significant step towards addressing the aftermath of the Mariana dam collapse and ensuring justice and reparations for those affected by the disaster.
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