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Tailings dam burst victims seek revision of Vale's settlement deal – Mining.com

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Tailings dam burst victims seek revision of Vale's settlement deal – Mining.com

Groups representing victims of the fatal tailings dam rupture at Vale SA's Feijao iron ore mine in Brazil in January 2019 have approached the country's Supreme Court to change the terms of a settlement deal recently signed by Vale and the state of Minas Gerais, Mining.com reported Feb. 10.

The Brazilian mining company agreed Feb. 4 to pay about 37.69 billion reais, or about $7.02 billion, to deal with environmental and social damage resulting from the flood of mine waste that left about 270 people dead.

The petition for an amendment was filed by the Movement of People Affected by Dams, also known as MAB, and the Movement for Popular Sovereignty in Mining along with Brazilian political parties the Workers' Party and the Socialism and Liberty Party.

The groups said the recent settlement deal would not provide adequate benefits to the victims and noted that the agreement was signed without their participation.

"We do not want the agreement to be canceled but to be revised. The deal was signed by the state government and Vale," MAB member Maria Julia Zanon was quoted as saying. "They were to blame for the tragedy. What about the victims?"

Minas Gerais Gov. Romeu Zema said about 30% of the compensation would go toward building roads, hospitals and schools in the city of Brumadinho, while the victim representatives said plan would not provide direct benefits. The groups also said only 7.4 billion reais, or about $1.38 billion, of the total settlement will be directly set aside for the victims.

As of Feb. 10, $1 was equivalent to 5.37 Brazilian reais.