1st Jul 2016 06:10
LONDON (Alliance News) - BHP Billiton PLC on Friday said Brazilian courts have been told to suspend their decision on whether to ratify the framework agreement that will start to rectify the aftermath of the Samarco dam failure that occurred last year.
BHP, alongside its partner Vale SA, had the framework agreement approved by courts in early May, but said Friday that the Superior Court of Justice in Brazil has now issued an interim order suspending the decision of the Federal Court of Appeal to ratify the agreement.
BHP said the effect of the interim order from the Superior Court of Justice is to reinstate a BRL20.00 billion public civil claim made by Brazilian authorities against Samarco, the joint venture company that operates the project, and its 50:50 owners BHP and Vale.
BHP said it intends to appeal the decision of the court, but Samarco will continue its remedial work in the meantime.
The Samarco iron ore operation suffered from a tailings dam burst in early November last year that caused significant damage to the surrounding areas and led to multiple deaths.
By Joshua Warner; [email protected]; @JoshAlliance
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