Brazil Secures $30 Billion Compensation Deal Over 2015 Dam Collapse

Two mining firms have signed a deal with the Brazilian government to pay nearly $30 billion (£23 billion) in compensation for the Mariana dam collapse. The agreement between the government and the miners BHP, Vale and Samarco was signed on Friday. The dam collapse in 2015 is one of the country’s worst environmental disasters.

The collapse of the dam at the iron ore mine near the city of Mariana in southeastern Brazil killed 19 people and left hundreds homeless. Also, the collapse released toxic waste and mud, which flooded nearby towns, rivers, and forests. The dam was owned by Samarco, a joint venture between BHP and Vale. As per the agreement, the firms must pay around $17.5 billion to local authorities over twenty years and $5.6 billion towards compensating and resettling the victims, as well as repairing the harm caused to the environment.

"I hope the mining companies have learned their lesson; it would have cost them less to prevent the disaster," said President Lula, who attended a ceremony to mark the signing of the agreement. The Mariana dam stored nearly 50 million cubic metres of iron ore sludge and collapsed on November 5, 2015. According to an Al Jazeera report, hundreds of Indigenous people living near the Doce River were left without clean drinking water. It should be mentioned that the toxic waste travelled as far as the Atlantic Ocean. The Doce River has still not fully recovered from the damage.