What's happened
London's High Court has ruled that BHP is liable for the 2015 Mariana dam collapse in Brazil, which caused environmental damage, killed 19 people, and devastated villages. The ruling holds BHP responsible despite not owning the dam at the time. A second phase will determine damages.
What's behind the headline?
The ruling signifies a shift in holding multinational corporations accountable for environmental disasters, even when they do not directly own the infrastructure. BHP's liability despite not owning the dam underscores the importance of corporate responsibility and oversight. The decision may influence future legal actions against global companies for environmental harm. The second phase of the trial will determine compensation, which could reach billions, impacting BHP's financial standing. This case also highlights the complex legal landscape of environmental liability across jurisdictions, especially when multinational entities are involved. The environmental damage, including the destruction of villages and ecosystems, will likely take decades to remediate, emphasizing the long-term consequences of corporate negligence.
What the papers say
The Guardian reports that BHP is responsible despite not owning the dam, emphasizing the court's focus on negligence and the ongoing legal battle. SBS highlights the liability ruling and the environmental devastation caused. Al Jazeera notes BHP's intention to appeal and the broader implications for corporate accountability. All sources agree that this case marks a significant legal precedent, but differ slightly on the potential financial impact and BHP's future legal strategies.
How we got here
The 2015 Mariana dam disaster involved a tailings dam operated by Samarco, in which BHP owned a 50% stake. The collapse released 40 million cubic meters of mining waste into the Doce River, causing extensive environmental and human harm. The case was filed in London because BHP's legal entity was based there, and it coincided with Brazil's multibillion-dollar settlement with the companies involved.
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Samarco Mineração S.A. is a Brazilian mining company founded in 1977. It is currently a joint-venture between the Brazilian Vale and the English-Australian BHP, each one holding 50% of the company's stocks.
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Brazil, officially the Federative Republic of Brazil, is the largest country in both South America and Latin America. At 8.5 million square kilometers and with over 211 million people, Brazil is the world's fifth-largest country by area and the sixth most
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BHP Group Limited, founded as the Broken Hill Proprietary Company, is an Australian multinational mining and metals corporation. BHP was established in August 1885 and is headquartered in Melbourne, Victoria.
As of 2024, BHP was the world's largest mining