BHP liable for 2015 Brazil dam collapse, UK court rules
London’s High Court has ruled that BHP could be held responsible for the collapse of a dam in south-east Brazil in 2015, in a case that plaintiffs’ lawyers had previously valued at $48.32 billion.
Hundreds of thousands of Brazilians, dozens of local governments and nearly 2,000 businesses have sued BHP over the collapse of the Fundao dam in the Marianas in southeastern Brazil, which is owned and operated by BHP and Vale’s Samarco joint venture.
Brazil’s worst environmental disaster unleashed a wave of toxic mud that killed 19 people, left thousands homeless, flooded forests and polluted a length of the Doce River.
In her ruling, Judge Finola O’Farrell said continuing to increase the height of the dam when it was unsafe was the “direct and immediate cause” of the dam’s collapse, meaning BHP was liable under Brazilian law.
BHP said it would appeal the decision and continue to fight the case.
BHP’s President of Mines for the Americas, Brandon Craig, said in a statement that “compensation has already been paid in Brazil” to the 240,000 people who are plaintiffs in the London case.
“We believe this will significantly reduce the size and value of claims in the UK class action,” he added.
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