MercoPress. South Atlantic News Agency

Mining company accountable for dam collapse in Brazil

The collapse of the Fundão Dam killed 19 people

The High Court of Justice in London found on Friday that the English mining company BHP was accountable for the collapse of the Fundão Dam in the city of Mariana, in the Brazilian State of Minas Gerais, ten years ago. The company is a shareholder of Samarco, which was responsible for the disaster.

According to the British court's ruling, it was “reckless” to maintain the dam's elevation. “The risk of dam collapse was foreseeable. Given the obvious signs of saturated tailings and numerous incidents of seepage and cracks, it was reckless to continue raising the dam without a proper risk analysis. A study would have identified safety factors. It is inconceivable that the decision was made to continue raising the dam level under these circumstances,” the court said in its rationale.

BHP replied in a statement that it would appeal Friday's decision. “BHP informs that it intends to appeal the British court's decision and reinforces BHP Brazil's commitment to the remediation process in Brazil and to the implementation of the New Rio Doce Agreement.”

The mining company emphasized that approximately R$70 billion (US$13.21 billion) was paid to residents of the Rio Doce Basin and also to public entities in Brazil. ”More than 610,000 people received compensation (...) The English court confirmed the validity of the agreements entered into, which should significantly reduce the size and value of the ongoing lawsuit,“ the company argued. BHP also stated that it believes the measures taken in Brazil are ”the most effective way” to compensate all those affected by the tragedy, as well as the environment.

A new hearing on the case will be held next year to assess the extent of the damage caused by the dam's collapse. There will also be a third stage, with the definition of individualized compensation. This stage, however, is only expected to take place in 2028.

On October 5, 2015, the collapse of the Fundão Dam dumped tons of mining waste and contaminated rivers. It also affected nearby municipalities and killed 19 people. (Source: Agencia Brasil)