Brazil Court Rejects BHP Appeal in Samarco Dam Collapse Case

London’s court of appeal has ruled that BHP cannot appeal against a high court decision finding the company liable for the 2015 collapse of a dam in south-eastern Brazil. The decision, handed down overnight, means the case against the Australian-headquartered mining company can proceed to a trial on damages expected to begin in April 2027.

The high court ruled in November that BHP was responsible under Brazilian law for the failure of the Fundao dam in Mariana. The dam was owned and operated by Samarco, a joint venture between BHP and Brazilian company Vale. The collapse unleashed a wave of toxic sludge that killed 19 people, left thousands homeless, flooded forests and polluted the length of the Doce River.

At a trial that started in 2024, lawyers representing hundreds of thousands of Brazilian and other claimants accused the company of trying to avoid responsibility. The company argued that the UK lawsuit duplicated legal proceedings and reparation programs already under way in Brazil.

Brazil signed a 170bn reais compensation deal with the company, Vale and Samarco during the first week of the trial. The company said work done since 2015 and the agreement with Brazil provide the quickest and most efficient solution to compensate those affected.

It added that about 240,000 claimants, representing roughly 40 percent of the claimant class, had already received compensation in Brazil and their claims will be discontinued. The law firm representing the claimants called the appeal court decision a further victory for the victims.

The initial stage of the case determined liability, with the damages phase now set to follow in 2027.