Vale (VALE3) declassifies dam in Minas Gerais; mining company estimates deadline for Mariana agreement – ​​Money Times


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Vale has completed the decommissioning of Dike 1B of the Conceição System (Image: REUTERS/Adriano Machado)

A Vale (ELECTION 3) informed the market, this Friday (20), that it has completed the decharacterization of Dike 1B of the Conceição System, located in Itabira–MG. According to the mining company, this is the 15th upstream structure eliminated, completing 50% of the Upstream Dam Decharacterization Program.

Initially, the deadline for the decharacterization works was December 2024. From now on, the decharacterization will undergo the evaluation and validation process of the competent bodies, in accordance with applicable legislation.

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“Since 2019, Vale has consistently advanced its commitment to eliminate all of its upstream dams in Brazil. Vale has already disbursed more than R$9 billion to implement the program. The structures are inactive and under permanent monitoring, 24 hours a day, by the Company’s Geotechnical Monitoring Centers,” the company highlights.

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Mariana deal on Vale's horizon

Earlier this week, the Minister of Mines and EnergyAlexandre Silveira, stated that Vale, BHP and Samarco could close a global agreement for reparation and compensation for the dam collapse in Mariana (MG) that would involve total payments of R$167 billion, including new money, works carried out by the mining companies and payments already made.

“Now we have reached R$100 billion in new money, and we were talking about R$49 billion in 2022…”, said Silveira, in an interview with Itatiaia radio.

In response to the minister's comments, Vale confirmed in a statement that negotiations on the agreement to compensate for the Mariana disaster are advanced, “based on proposals previously presented and disclosed by the parties”. However, to date, no definitive agreement has been reached.

“The Company expects to reach a final agreement in the mediation process in October 2024, which will be duly disclosed to the market,” it said in a note.

*With information from Estadão Conteúdo and Reuters

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