BHP: agrees settlement with Brazil over 2015 mine failure

(CercleFinance.com) - Global miner BHP and its Brazilian partner Vale have reached an agreement with Brazil authorities to settle a 20 billion reais (c.
4.54 bilion euros) civil claim relating to the Samarco dam failure in 2015.

Under the agreement, the parties have agreed to file a petition to dismiss the 20 billion reais civil claim, and have also agreed on a process to dismiss certain other public civil actions.

Most importantly, the agreement provides for the suspension of the 155 billion reais civil claim for a period of two years, BHP said.

During that period, BHP, Vale and the Brazilian governement will work together and start a renegotiation process to progress towards settlement of the 155 billion reais case.

In 2016, federal prosecutors initiated proceedings against BHP and Vale, the owners of the mine, for 155 billion reais (approximately 41.5 billion dollars) for social, environmental and economic compensation relating to the dam's failure.

Logically the London-listed BHP share was up (+1.9%) after this announcement.



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