The mining company whose tailings dam burst in Brazil has agreed to pay a 1 billion-real (263 million-U.S. dollar) fine in damages, local officials said Monday.
The dam's collapse on Nov. 5 has left at least 11 people dead and 12 others missing and threatens supply of drinking water and endangers wildlife. Mining firm Samarco has signed an agreement to pay half the fine in 10 days, and the rest in a month, according to officials from Minas Gerais, the southeastern state where the tragedy occurred.
Samarco is co-owned by mining giants Vale of Brazil and BHP Billiton of Australia. The initial payment of the fine will be used to carry out emergency measures to contain further damage of the accident, considered the biggest mining disaster in Brazil's history, and one of the worst worldwide.
The cause of the dam's collapse is still under investigation. Samarco has had its assets frozen in the wake of the disaster to ensure that it pays the damages, and has faced other fines, including 65 million dollars imposed by the Brazilian Institute of Environment and Renewable Natural Resources.
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