Brazil mining authority halts two Vale complexes

  • Friday, February 22, 2019
  • Source:ferro-alloys.com

  • Keywords:Vale, halt, mining
[Fellow]Brazil mining authority halts two Vale complexes

[ferro-alloys.com]Brazil's mining agency (ANM) has ordered Vale (NYSE:VALE) to suspend operations at its Fabrica and Vargem Grande complexes, as part of an ongoing crack down following last month's deadly dam break at the iron producer’s Corrego do Feijão mine.

The Rio de Janeiro-based company said the ANM’s decision was made in light of a possible failure of five dams at both complexes, which are located in Minas Gerais, the same state where the Feijão mine dam collapse last month likely killed over 300 people.

Since last month's dam collapse, the second such accident involving Vale in about three years, both authorities and companies have stepped up scrutiny of so-called upstream dams, the cheapest but generally regarded as the riskiest method to store mine waste.

While Vale said it was abiding by the regulator's decision, it has asked the agency for permission to dismantle the dams, while continuing some operations to limit impacts on production.

The Vargem Grande complex, which accounts for around 13 million tonnes of iron ore per year, had been shut since early February, as part of Vale's previously announced plans to curb 40 million tonnes of output.

(Mining.com)

  • [Editor:王可]

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