Brazil court releases $10m in frozen funds to Vale for studies on Brumadinho

In January, leaked tailings from Vale’s Feijao mine spread into the mine’s administrative area and to parts of the local community Vila Forteco, near the town of Brumadinho. Photo by Portal | Twitter

The court of the state of Minas Gerais is releasing $48 million reais ($10.4 million) to iron ore miner Vale (NYSE: VALE) to fund the technical consultancy that will determine the losses caused by the collapse of a tailings dam in Brumadinho in January 2019.

In March 2019, a Brazilian court ordered Vale to freeze 1 billion reais (about $260 million) in funds as compensation for affected communities following the January dam disaster at the company’s Corrego do Feijão mine, which left at about 300 people dead

G1 reported Thursday that the $10.4 million is part of the $1 billion blocked since last year.

Vale is analyzing the decision in detail and will comment further at a later date, the company said in an email to MINING.COM.


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