ArcelorMittal Brazil, the local subsidiary of steelmaking group ArcelorMittal, said this week it has reached an agreement with the community of Pinheiros in the city of Itatiaiuçu in Minas Gerais state, following the evacuation of families near the company’s Serra Azul dam.
According to the company, it has signed a complimentary commitment term in which it agrees to pay indemnities for housing, economic and agriculture-related losses for those affected. The agreement also includes partial collective damage payments.
ArcelorMittal Brazil did not disclose the combined amount it should pay to all families. The company said the iron ore dam was deactivated in 2012. The company plans to decommission it. The dam is currently at level 2, out of 3, in which level 3 means the dam is likely to collapse.
ArcelorMittal Brazil said it monitors the dam 24 hours a day and it has presented no changes in its safety indicators.