Brazilian iron ore producer Vale and the city of Brumadinho have reached a compensation agreement due to the miner’s dam break in January 2019.
According to a court document obtained by SteelOrbis, Vale will pay Brumadinho BRL 108.7 million ($20.9 million) as a fine for the dam break disaster, which killed 259 people and still left 11 people missing, presumably dead.
A Minas Gerais state court said the compensation can’t be used for environmental repair works, as Vale has already been ordered in a separate lawsuit, to mitigate the harm it caused to the environment.
Brumadinho city will use the proceeds for infrastructure works, which will be informed to state prosecutors, so they can follow-up projects.