SKIP TO MAIN CONTENT

Brazil judge ratifies dam burst agreement

A settlement between the Brazilian government and the mining company Samarco and its owners BHP Billiton and Vale SA has been ratified by a judge.

2 min read

Published

Source: AAP


Skip to article content

A Brazilian judge has ratified the settlement Samarco and its owners, BHP Billiton and Vale SA, signed with the Brazilian government in March to cover damages for a deadly dam spill last year, Vale says.

Thursday's move potentially saps some of the energy from a separate $US44 billion ($A59 billion) lawsuit filed by federal prosecutors on Tuesday who criticised the settlement as insufficient.

The agreement will see Samarco, BHP and Vale pay a government-estimated 20 billion reals ($A7.5 billion) over 15 years to cover and repair damages.

Vale, however, has said it expects to pay far less than that due to the way the deal is structured, calculating future payments depending on how much work remains to be done.

"It's a very important step because you remove any uncertainty about the agreement's validity," said Marilene Ramos, President of Brazil's federal environment agency Ibama which formed part of the settlement.

News that makes sense

Your trusted source for staying up-to-date with the world around you. Get free daily news updates and analysis, straight to your inbox.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

"The programs outlined in the agreement can now be implemented by the companies," Ramos added, referring to the environmental reparation plan which includes work on sewage, landfill, reforestation and water treatment.

The settlement has been strongly criticised by federal prosecutors who called it little more than a "letter of intent" in their lawsuit.

"It is absolutely insufficient," said Jorge Munhs de Souza, one of the prosecutors working on the case.


Get SBS News straight to your inbox

Sign up now for daily news from Australia and around the world. You can also subscribe to Insight's weekly newsletter for in-depth features and first-person stories.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Follow SBS News

Download our apps

Listen to our podcasts

Get the latest with our News podcasts on your favourite podcast apps.

Watch on SBS

SBS World News

Take a global view with Australia's most comprehensive world news service

Stream now

Watch the latest news videos from Australia and across the world