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Judge Orders BHP to Halt Funding Legal Challenge Against Mariana Dam Disaster Claim

Published July 25, 2024
2 months ago


In a defining moment for the pursuit of environmental justice, London's High Court has issued a ruling that compels mining giant BHP Group to stop financing legal maneuvers aimed at impeding Brazilian municipalities from advancing a considerable compensation lawsuit in the UK. The legal action stems from the catastrophic fallout of the Mariana dam failure, an event that stands as one of Brazil’s most grievous ecological crises.


In 2015, a calamitous breach occurred in the Mariana dam, sending an onslaught of toxic waste barreling through nearby communities and ecological systems. Operated by Samarco, a joint venture between Vale and BHP, the tragedy ended 19 lives, displaced numerous individuals, and inflicted enduring harm on the Doce River's ecosystem.


The communities devastated by the disaster have since initiated one of the largest lawsuits in English legal history, seeking accountability and reparations from BHP. In response to the mounting legal pressures, Brazilian Mining Association IBRAM, funded by BHP, pursued measures within Brazil’s Supreme Court to halt the municipalities' case. They posited that these international proceedings encroached on national sovereignty—a claim dismissed by the London court.


This ruling underlines a significant shift, as BHP, the world's pre-eminent miner by market capitalization, had previously agreed to evenly share the financial weight of any British lawsuit's damages with Vale. BHP's involvement as the primary defendant in the UK has not wavered, notwithstanding the fact that it disputes any culpability for the disaster.


Contemporary legal developments in March spotlighted Vale and Samarco's Dutch subsidiary when they were named defendants in a separate lawsuit in the Netherlands, a proceeding in which BHP is not implicated. The English legal action remains distinct from the Brazilian litigation, which traditionally concentrated on governmental claims rather than those of individuals affected.


In efforts to mitigate the damage and address the massive fallout, BHP and its partners offered $26.09 billion to Brazilian officials to settle reparation claims—a proposition Brazil previously rejected. In a display of commitment to remediation, BHP has highlighted the endeavors of the Renova Foundation, which was formed by Samarco and its associates in 2016. This institution has reportedly allocated over $6 billion towards rebuilding communities and restoring environments afflicted by the incident.


As the courtroom gavel continues to echo, the initial trial addressing pivotal legal questions is set for October, and the outcomes of these legal confrontations will indubitably resonate far beyond the courts, echoing the sentiments of communities longing for justice and restoration following the Mariana dam catastrophe.



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