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Brazilian minister refuses to provide licenses allowing Samarco to restart production

Tuesday, 17 May 2016 23:46:27 (GMT+3)   |   Sao Paulo
       
As Brazil transitions to a provisional government, after elected president Dilma Rousseff was suspended as part of on-going investigations that could impeach her, the nation’s environmental minister, Jose Sarney Filho, has refused to sign a term that would commit the government to allow Samarco resume its operations in Brazil.

The minister said co-owners BHP Billiton and Brazil’s Vale won’t be allowed to restart Samarco’s operations without assuring the causes and damages of the deadly iron ore waste dam collapse are finally fixed.

In a visit to the city of Mariana, in the state of Minas Gerais, the minister said he wasn’t comfortable participating in any act that agrees with facilitating the return of Samarco’s operations.

Mariana’s mayor signed a provisional license allowing Samarco to recover equipment, build new dams and prepare itself for a restart. However, Samarco would still need state and federal licenses to resume operations.

Sarney Filho also questioned a BRL 20 billion deal inked between Samarco, Vale, BHP Billiton and the Brazilian government to clean up the disaster area and compensate victims within a 15-year timeframe.

Samarco forecasts a Q4 restart.



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