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Operating company Samarco Mineracao confirmed the breach at its Germano mine in a brief statement on its website.
The incident occurred near the towns of Ouro Preto and Mariana in Minas Gerais and pictures from local Brazilian television show a village flooded with muddy water and houses destroyed.
“The organisation is mobilising every effort to prioritise care for people and mitigation damage to the environment,” Samarco said.
“The authorities were informed and responsible teams are already in place to provide assistance.
“It is not possible at this time to confirm the causes and extent of the incident, as well as the existence of casualties.”
However, Reuters reported that 15-16 people had died and a further 44-45 people were missing.
BHP said it was aware of the incident but was seeking more information from Samarco.
“BHP Billiton is concerned for the safety of its employees and the local community,” the company said.
“We will provide updated information on the situation as soon as we are in a position to do so.”
