An agreement establishing the total amount miners Vale (NYSE: VALE), BHP (ASX: BHP) and their joint venture Samarco must pay to compensate damages associated with the collapse of the Mariana dam is expected to be signed on Oct. 25, sources told Reuters on Friday.

Vale had already said a deal was expected to be reached in October, but no specific date had been set. Brazilian newspaper O Globo reported the date earlier on Friday.

The collapse of the dam at a Samarco iron ore mine near the city of Mariana nine years ago unleashed a wave of toxic tailings that killed 19 people, left hundreds homeless, flooded forests and polluted the length of the Doce River.

BHP released a statement late Friday, noting the companies are “continuing to negotiate a full and final settlement of the Framework Agreement obligations, the Federal Public Prosecution Office civil claim and other claims by the Public Authorities relating to Samarco’s Fundão dam failure on 5 November 2015 and are considering the terms of a settlement proposal.”

The miner stated that the parties are negotiating a settlement proposal that would provide a total financial value of approximately R$170 billion ($31.7 billion) on a 100% basis to be delivered to the people, communities and environment impacted by the dam failure.

BHP said the negotiations between the parties are ongoing and no final agreement has been reached on the settlement amount or terms.

(With files from Reuters)

Source: MINING.COM – Read More