According to Brazil’s Federal Public Ministry (MPF), a taskforce estimated the social, environmental and economic impact of the November 5 dam collapse to be 155 billion real ($US43 billion or $A58 billion).

“This value was based on costs already incurred for costs of repairing the damage caused by the Deepwater Horizon disaster, which occurred in the Gulf of Mexico in 2010, as acknowledged by the company British Petroleum, responsible for the leak of about 4.9 million barrels of oil which would have directly impacted 180,000sq.km of marine waters and killed 11 people,” MPF said in a translated statement. 

“It is estimated, based on preliminary studies, that human, economic and environmental impacts caused by the disruption of the Fundão dam are at least equivalent to those verified the Gulf of Mexico. 

“It does not seem credible, or technique, or morally, that the value of half human, cultural and environmental environment in Brazil is lower than in other countries.”

Vale acknowledged the action in a brief statement this morning.

“Vale clarifies that, according to the MPF complaint, the stated value is not based on the Samarco dam accident, but rather on an unjustified comparison with the Deepwater Horizon oil spill in the Gulf of Mexico,” the company said.

“Vale will take all necessary steps to defend itself.”  

The company argued that Samarco had taken all necessary emergency actions in connection with the accident, and studies and social, economic and environmental remedial measures were already underway, as part of the March settlement.  

In March, BHP and Vale entered into a $US2.4 billion settlement agreement with Brazilian authorities for long-term remediation and compensation.

That agreement settled the 20 billion real ($US5.1 billion) civil public claim against Samarco initiated by the Brazilian authorities immediately after the collapse.

The November 5 dam collapse last year killed at least 17 people and left hundreds homeless.