BHP is currently embroiled in a significant lawsuit in London’s High Court regarding the 2015 collapse of the Mariana dam in Brazil, which resulted in one of the worst environmental disasters in the country’s history. Key details include:
Lawsuit Overview: The lawsuit, potentially worth up to £36 billion ($47 billion), involves over 600,000 Brazilians, 46 local governments, and approximately 2,000 businesses suing BHP for its role in the disaster.
Impact of the Collapse: The dam’s failure unleashed toxic sludge that killed 19 individuals, displaced thousands, and severely polluted the Doce River.
BHP’s Defense: BHP contests liability, arguing that the lawsuit duplicates existing legal actions in Brazil and claims it has already compensated victims through the Renova Foundation, with around $8 billion paid out.
Claimants’ Argument: Lawyers for the claimants assert that BHP is trying to evade responsibility and that their compensation efforts are insufficient compared to the devastation caused.
Court Proceedings: The trial, which began recently, will last for 12 weeks and will determine BHP’s legal responsibility for the disaster. The court will also address whether Brazilian municipalities can pursue legal action and the implications of any settlements reached.
Negotiations with Brazilian Authorities: BHP is in discussions with Brazilian officials regarding a potential $30 billion compensation deal, although claimants feel excluded from this process and are determined to proceed with the trial.
The outcome of this case could have significant implications for BHP and its accountability in environmental disasters.