13th Mar 2025 15:04
(Alliance News) - A trial as to whether Melbourne-based mining company BHP Group Ltd is liable for one of Brazil's worst environmental disasters concludes in London on Thursday, with hundreds of thousands of victims demanding billions in compensation.
The 2015 dam collapse killed 19 people and unleashed a deluge of thick toxic mud into villages, fields, rainforest, rivers and the ocean.
The Fundao tailings dam at an iron ore mine in the mountains of Minas Gerais state was managed by Samarco, co-owned by BHP and Rio de Janeiro-based miner Vale SA.
The London High Court hearing, which began in October, heard evidence on behalf of BHP and hundreds of thousands of claimants in relation to the dam collapse that may trigger a payout worth billions of pounds.
At the time of the disaster, BHP had global headquarters in Britain and Australia.
Should the court rule later this year that BHP is liable, a further trial would be held to determine the amount of compensation.
"I'm hoping [for a judgement] towards the end of the second quarter, perhaps in June or July this year," Tom Goodhead, of law firm Pogust Goodhead which brought the case, told AFP on Thursday.
"And then there's another trial... which has been scheduled for October 2026 in the event that it's necessary to prove the damages that people have suffered."
Goodhead added that for the victims, "accountability" was even more important than "money".
A separate case in Brazil has seen Vale and BHP offer to pay around USD30 billion in compensation.
This was increased from almost USD25 billion at around the start of the London trial.
"We respect the London process," Fernanda Lavarello, head of corporate affairs at BHP Brazil, said on Thursday.
"We continue to defend ourselves here [in London] but we think that Brazil is the right place for us to address all these outstanding issues," she told AFP.
More than 620,000 complainants – including 46 Brazilian local authorities, companies and indigenous peoples – are seeking an estimated GBP36 billion in damages in the civil trial.
BHP, while acknowledging that a "tragedy" occurred, argues that it cannot be deemed to be the "direct polluter" as the dam was managed by Samarco.
The dam collapse in the town of Mariana unleashed almost 45 million cubic metres, or 1.59 billion cubic feet, of highly toxic mining waste sludge, flooding 39 towns and leaving more than 600 people homeless.
"I'm here for justice," Pamela Fernandes, who lost her five-year old daughter Manu in the tragedy, told AFP outside court on Thursday.
"I will feel relief when I hear that the company will pay for what it did."
According to the victims' lawyers, BHP was aware that the accumulation of toxic sludge, estimated at 1.3 million tonnes per year, far exceeded the annual limit set – a build-up which they say contributed to the disaster.
BHP and Vale estimate that more than 430,000 complainants have already received compensation, including more than 200,000 party to the London case.
Attending the hearing's final day was Mariana's mayor, Juliano Duarte.
"Today we came to follow the final part of the trial... seeking justice for the city of Mariana, since it was the city most affected by the dam collapse," he said.
"We hope to have better justice in London, to receive amounts commensurate with the scale of the tragedy."
BHP has noted that the Renova Foundation, which manages compensation and rehabilitation programmes, has paid out more than USD7.9 billion in emergency aid.
The Australian mining company has also said the quality of water in the river system contaminated by the fallout has returned to pre-disaster levels.
BHP shares were 0.6% higher at 1,890.50 pence each on Thursday afternoon in London, while in Johannesburg, they were 0.7% higher at ZAR447.94 each. Vale shares were 1.9% higher at USD9.46 each in New York.
By Olivier Devos
source: AFP
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