03:26 PM EDT, 10/22/2024 (MT Newswires) -- Vale (VALE), BHP (BHP), and their joint venture Samarco are reportedly close to finalizing a 170 billion reais ($29.81 billion) settlement to compensate for the 2015 dam collapse in Mariana, Brazil, Reuters reported Tuesday, citing sources.

As part of the settlement, the companies will pay 100 billion reais over 20 years for various recovery and compensation projects and additional 32 billion reais in obligations, including individual compensation and environmental restoration, , Reuters added. The total settlement includes 38 billion reais previously paid.

BHP Group ( BHP ) is facing a liability trial that began Monday in the UK. The deal, while expected to address most outstanding legal claims in Brazil by 2025, does not rule out future lawsuits linked to undiscovered damages from the disaster that killed 19 people, polluted the Doce River, and left thousands homeless, according to Reuters.

The companies hope the agreement will put away class action cases in the UK and Netherlands, the news outlet reported.

Vale and BHP did not immediately respond to MT Newswires' requests for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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