Brazilian miner Vale said late on Friday it has learned two indigenous associations have filed a public lawsuit asking the company’s S11D iron ore project to have its environmental license suspended.
According to the lawsuit, the environmental license of Vale’s S11D iron ore project, located in the city of Canaa dos Carajas, in the state of Para, should be provisionally suspended until a consultation with the alleged affected communities is conducted. The two associations have also asked Vale to pay BRL 2 million per month per village until research is concluded. They also claim a BRL 1 billion fine for moral damages. Vale said the cause’s total value is BRL 72.3 billion.
Vale said it will appeal the lawsuit. It labeled the lawsuit as “groundless”, as the communities live 12 km away from the project. Current regulations say communities should be 10 or more km away from the project, according to Vale.
Vale said it conducted researches and public consultations with the local communities, as required by law, while approving its environment license for the initiative.