Brazil government to sue Samarco and Vale for $5.3 billion

The value is to cover the recovery costs of damages areas after the

Published on 27/11/2015 - 19:43 By Paulo Victor Chagas reports from Agência Brasil - Brasília

Governador Valadares (MG) - Passagem da lama pelo Rio Doce, por causa do rompimento de duas barragens em Mariana, Minas Gerais, causa desastre ambiental (Leonardo Merçon/Instituto Últimos Refúgios/Divulgação)

The tragedy after the mining company's tailings dam burst and released more than 50 tons of mud over 850 kilometers along Rio Doce river in both states. Leonardo Merçon/Instituto Últimos Refúgios/Divulgação

The federal government and the states of Minas Gerais and Espírito Santo will sue Samarco and Vale and BHP Billiton companies for $5.34 billion to cover the recovery costs of the damaged areas hit by the tragedy after the mining company's tailings dam had burst in the town of Mariana, releasing more than 50 tons of mud over 850 kilometers along Rio Doce river in both states.

The lawsuit will be filed on Monday (Nov. 30) by the Attorney General's Office and will demand the mining company to begin to raise a resource fund of about $5.34 billion, to be administered for the next 10 years. The fund shall bear the costs of four proposed actions: halt the damages, minimize the disaster impacts, revive and restore the biological environment along Rio Doce's basin, and compensate people who have been harmed.

The case has been brought after the Brazilian Institute for Environment and Renewable Natural Resources (IBAMA), the National Water Agency (ANA) and the Chico Mendes Institute evaluated the area. According to Attorney-General Luís Inácio Adams, the lawsuit will be filed against Samarco, Vale and the Anglo-Australian company BHP Billiton. As the area continues to suffer damages, he reported that the value can increase during proceedings.

Brasília - Procurador-geral do ES, Rodrigo Rabello Vieira, o advogado-geral Luís Inácio Adams e a ministra do Meio Ambiente, Izabella Teixeira falam sobre o desastre ecológico de Mariana (Valter Campanato/Agência Brasil)

Brasília - Espírito Santo General-Prosecutor Rodrigo Rabello Vieira (left), Attorney-General Luís Inácio Adams (center) and Environment Minister Izabella Teixeira (right) talk about the environmental disaster in Mariana (Valter Campanato/Agência Brasil)Valter Campanato/Agência Brasil


The government's intention is for companies to make a direct repair to Justice, but if they do not, the federal government and the states can appeal for forfeiture of funds based on revenue or profit of these companies.

The decision was announced at the presidential palace after a meeting between President Rousseff and Minas Gerais and Espírito Santo governors, Fernando Pimentel and Paulo Hartung.

According to Environment Minister Izabella Teixeira, who also attended the meeting, the companies bear a civil and criminal liability for the damages, in addition to suffer financial penalties, and thus the funds will not be raised by the Federal Budget. According to the minister, "what has been lost there is lost. The biological chain will not be rebuilt." She further declared it will be necessary to create conditions to revive the basin.


Translated by Amarílis Anchieta


Fonte: Brazil government to sue Samarco and Vale for $5.3 billion

Edition: Nádia Franco / Olga Bardawil

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