Mariana tragedy: UK court sets deadline for Vale’s defense
A British court has given mining giant Vale three months to file a defense after those affected by the tragedy in Mariana, Minas Gerais state, demanded compensation from Anglo-Australian mining company BHP Billiton. The ruling was published Monday (Aug. 7), and the company must submit a statement by November 10. Vale’s arguments contesting the jurisdiction of British courts have been rejected.
In a note to the market, Vale stated that “its legal advisers will carefully consider the decision and present the appropriate measures,” adding it remains committed to repairing the damage per the agreements signed in Brazil.
The tragedy took place in November 2015, when a tailings dam located in Mariana ruptured. The facility belonged to Samarco, which has Vale and BHP Billiton as shareholders. In the episode, the avalanche flowed through the Doce river basin, impacting dozens of towns in Minas Gerais and the neighboring state of Espírito Santo. Nineteen people died.
Based in London, BHP Billiton is facing the lawsuit that has been pending in UK courts since 2018, filed by thousands of affected people represented by law firm Pogust Goodhead. Municipalities, companies, and religious institutions that claim to have been impacted by the tragedy have also joined in.
In March this year, 500 thousand new plaintiffs entered the lawsuit, which now has over 700 thousand people and entities represented by Pogust Goodhead. The defense of those affected argues that Brazil has not been able to ensure fair reparation.
At first, BHP Billiton claimed trials were being duplicated, and contended that reparation should take place solely under the supervision of Brazilian courts. After the UK courts agreed to bring the case under scrutiny, the Anglo-Australian organization advocated the inclusion of Vale, claiming that, in the event of a conviction in the UK, the two companies should share the costs of the case and contribute at least half of any amount to be paid to those affected.
In a note, Pogust Goodhead approved the decision released Monday (Aug. 7) and said it hopes that, after the inclusion of Vale in the case, the mining companies will propose an agreement. The text also includes a statement by lawyer Tom Goodhead, managing partner of the firm. “It is time for BHP and Vale to finally reach an effective resolution and do the right thing for the victims, who have had their suffering prolonged for more than eight years.”
The hearings to assess whether the mining companies bear responsibility for the tragedy are scheduled for October 2024.
