Brazilian President Luiz Inácio Lula da Silva said his government wants to meet with Vale (NYSE: VALE) representatives to “demand” that it compensate families affected by two mining dam failures in in Minas Gerais state.
A mining dam collapse in Brumadinho occurred in 2019 and one in Mariana in 2015. Lula has repeatedly criticized Vale for not paying compensation to the survivors of victims. The collapses killed a total of 289 people.
“We have to call Vale and demand that they pay for the damages that people have suffered,” Lula said in a speech announcing federal investments in the state of Pernambuco. He’s expected to meet with the company next week.
Last week, the Brazilian president said the mining company was “dragging its feet.” “To this day, the company has not paid the rights of the poor people,” he said.
Injunction
Lawyers representing claimants taking legal action over the 2015 Mariana disaster filed an injunction last week against miners BHP (NYSE: BHP) and Vale for allegedly “trying to derail” a potential £36 billion ($62.5 billion) London lawsuit.
Vale, BHP, and their joint venture Samarco presented Brazilian authorities with a US$26.09 billion offer to settle reparations for the dam collapse in June after Brazil rejected a previous offer.
In February 2021, two years after the Brumadinho dam collapsed, a settlement was reached.
Vale agreed to pay at least 37.68 billion reals (US$6.85 billion) in collective damages. Nearly 1.3 billion reals (US$240 million) was for direct reparations to the victims’ families.
Be the first to comment on "Brazil’s Lula to ‘demand’ Vale pay for mining disasters"