Thousands of Brazilians braced Monday for the possible collapse of another tailings dam owned by mining giant Vale that threatens to spew millions of tons of toxic sludge over towns, rivers and forest.

The latest emergency comes <a href="https://www.wionews.com/world/deadly-brazil-dam-burst-likely-had-same-cause-as-previous-one-official-194495">four months after 242 people were killed</a> when a dam burst at another Vale-owned mine.

Vale and emergency services have warned that a section of the defunct Gongo Soco mine in the southeastern state of Minas Gerais is at risk of disintegrating, which could rupture the Sul Superior dam 1.5 kilometres (nearly one mile) away.

More than 400 people living around the dam, which holds nearly seven million cubic meters (247 million cubic feet) of mining waste, were evacuated in early February after monitoring systems detected abnormal movement in the northern slope of the mine, which was closed in 2016.&nbsp;

The slope usually shifts about 10 centimetres (four inches) a year, but that has accelerated in recent months. In the past few days, it has topped 20cm a day, local media reported Monday.

Around 6,000 inhabitants in Barao de Cocais municipality who are living in the so-called secondary safety zone have been on high alert, performing evacuation drills in preparation for the potential disaster.&nbsp;

They will have less than an hour and a half to reach safety.

Vale has "teams in a state of permanent readiness" but it said there was "no technical data that can confirm whether the eventual slippage will trigger a breach of the dam," according to its latest update on Friday.

"All preventive measures" have been taken, it added.

Apart from monitoring the dam 24-hours a day,<a href="https://www.wionews.com/world/deadly-brazil-dam-collapse-raises-fears-of-environmental-woes-194307"> Vale</a> has been building a containment wall six kilometres downstream and installing barriers to slow a potential flood in the hope of containing displaced material.

Another upstream tailings dam owned by Vale collapsed January 25, killing 242 people in one of Brazil's worst industrial disasters.

Emergency workers are still searching for 28 people listed as missing but almost certainly dead, according to the latest figures released Saturday.

That dam collapse was the second such disaster involving Vale in three years and forced the company to suspend operations at several mines.&nbsp;

Brazil has since banned the construction of new upstream dams, which are cheaper but less stable than other types of tailings dams, and ordered the decommissioning of existing ones.

Thousands of Brazilians braced Monday for the possible collapse of another tailings dam owned by mining giant Vale that threatens to spew millions of tons of toxic sludge over towns, rivers and forest.

Thousands of Brazilians braced Monday for the possible collapse of another tailings dam owned by mining giant Vale that threatens to spew millions of tons of toxic sludge over towns, rivers and forest. The latest emergency comes four months after 242 people were killed when a dam burst at another Vale-owned mine. Vale and emergency services have warned that a section of the defunct Gongo Soco mine in the southeastern state of Minas Gerais is at risk of disintegrating, which could rupture the Sul Superior dam 1.5 kilometres (nearly one mile) away. More than 400 people living around the dam, which holds nearly seven million cubic meters (247 million cubic feet) of mining waste, were evacuated in early February after monitoring systems detected abnormal movement in the northern slope of the mine, which was closed in 2016. The slope usually shifts about 10 centimetres (four inches) a year, but that has accelerated in recent months. In the past few days, it has topped 20cm a day, local media reported Monday. Around 6,000 inhabitants in Barao de Cocais municipality who are living in the so-called secondary safety zone have been on high alert, performing evacuation drills in preparation for the potential disaster. They will have less than an hour and a half to reach safety. Vale has "teams in a state of permanent readiness" but it said there was "no technical data that can confirm whether the eventual slippage will trigger a breach of the dam," according to its latest update on Friday. "All preventive measures" have been taken, it added. Apart from monitoring the dam 24-hours a day, Vale has been building a containment wall six kilometres downstream and installing barriers to slow a potential flood in the hope of containing displaced material. Another upstream tailings dam owned by Vale collapsed January 25, killing 242 people in one of Brazil's worst industrial disasters. Emergency workers are still searching for 28 people listed as missing but almost certainly dead, according to the latest figures released Saturday. That dam collapse was the second such disaster involving Vale in three years and forced the company to suspend operations at several mines. Brazil has since banned the construction of new upstream dams, which are cheaper but less stable than other types of tailings dams, and ordered the decommissioning of existing ones.

Hundreds of people evacuated as Brazil braces for another tailings dam collapse

Brazilian iron ore miner Vale SA Chief Executive Fabio Schvartsman and several other senior executives resigned on Saturday in what the company described as a temporary move, after one of its mining dams burst in January, killing hundreds.

Vale said Schvartsman offered his resignation, which the board "immediately accepted" after state and federal prosecutors recommended their removal late on Friday.

The move comes slightly over a month after a tailings dam broke at Vale's Corrego do Feijao mine in the interior Brazilian state of Minas Gerais, likely killing over 300 people and releasing massive amounts of toxic sludge.

It was the second deadly burst at a Vale-linked tailings dam in Minas Gerais in four years.

The resignations came after documents emerged in recent weeks showing that Vale knew it had an elevated risk of rupture and that inspectors felt they were under pressure to certify the structure as safe.

Earlier this week, newspaper Folha de S Paulo reported that a Vale manager had told executives the integrity of the structure had worsened, though the company vigorously denied the report.

The company said it had appointed Eduardo Bartolomeo, executive director of base metals, as the new head of the firm.

Also resigning were Vale's head of ferrous minerals and coal, Peter Poppinga, planning director Lucio Flavio Gallon Cavalli and Silmar Magalhaes Silva, the head of a geographic division at Vale.

Vale said its board met on Friday night and Saturday morning following the prosecutors' recommendation.

In a letter sent to the board by Schvartsman and published by newspaper Folha de S.Paulo, in which he asked to be removed from the position of CEO on a "temporary" basis, the executive vigorously defended his conduct.

"I am absolutely convinced that the way I have acted personally, as well as the rest of our executive board ... has been absolutely appropriate, correct, and, mainly, loyal to our non-negotiable values of upholding operational security as a company," the letter read, according to Folha.

Vale did not immediately respond to a request for comment.

Bartolomeo, the incoming chief executive, was previously the executive director of marketing and of fertilizer and coal operations, according to Vale's website. He has also served on Vale's board of directors as well as its compliance and risk committee and finance committee.

According to his LinkedIn profile, he worked as executive director at Vale for 8 years until 2012, after which he worked as CEO of Brazil Hospitality Group then as CEO of Nova Transportadora do Sudeste, a gas pipeline company. He rejoined Vale in January of 2018.

He holds MBAs from the Massachusetts Institute of Technology and Katholieke Universiteit in Belgium, the website says.

The executives' departure was made public on Saturday evening during Brazil's Carnival holiday weekend. The country's main stock exchange will be closed on Monday and Tuesday although Vale's ADRs will reopen in New York on Monday.

Brazilian iron ore miner Vale SA Chief Executive Fabio Schvartsman and several other senior executives resigned on Saturday in what the company described as a temporary move, after one of its mining dams burst in January, killing hundreds.

Brazilian iron ore miner Vale SA Chief Executive Fabio Schvartsman and several other senior executives resigned on Saturday in what the company described as a temporary move, after one of its mining dams burst in January, killing hundreds. Vale said Schvartsman offered his resignation, which the board "immediately accepted" after state and federal prosecutors recommended their removal late on Friday. The move comes slightly over a month after a tailings dam broke at Vale's Corrego do Feijao mine in the interior Brazilian state of Minas Gerais, likely killing over 300 people and releasing massive amounts of toxic sludge. It was the second deadly burst at a Vale-linked tailings dam in Minas Gerais in four years. The resignations came after documents emerged in recent weeks showing that Vale knew it had an elevated risk of rupture and that inspectors felt they were under pressure to certify the structure as safe. Earlier this week, newspaper Folha de S Paulo reported that a Vale manager had told executives the integrity of the structure had worsened, though the company vigorously denied the report. The company said it had appointed Eduardo Bartolomeo, executive director of base metals, as the new head of the firm. Also resigning were Vale's head of ferrous minerals and coal, Peter Poppinga, planning director Lucio Flavio Gallon Cavalli and Silmar Magalhaes Silva, the head of a geographic division at Vale. Vale said its board met on Friday night and Saturday morning following the prosecutors' recommendation. In a letter sent to the board by Schvartsman and published by newspaper Folha de S.Paulo, in which he asked to be removed from the position of CEO on a "temporary" basis, the executive vigorously defended his conduct. "I am absolutely convinced that the way I have acted personally, as well as the rest of our executive board ... has been absolutely appropriate, correct, and, mainly, loyal to our non-negotiable values of upholding operational security as a company," the letter read, according to Folha. Vale did not immediately respond to a request for comment. Bartolomeo, the incoming chief executive, was previously the executive director of marketing and of fertilizer and coal operations, according to Vale's website. He has also served on Vale's board of directors as well as its compliance and risk committee and finance committee. According to his LinkedIn profile, he worked as executive director at Vale for 8 years until 2012, after which he worked as CEO of Brazil Hospitality Group then as CEO of Nova Transportadora do Sudeste, a gas pipeline company. He rejoined Vale in January of 2018. He holds MBAs from the Massachusetts Institute of Technology and Katholieke Universiteit in Belgium, the website says. The executives' departure was made public on Saturday evening during Brazil's Carnival holiday weekend. The country's main stock exchange will be closed on Monday and Tuesday although Vale's ADRs will reopen in New York on Monday.

Vale's CEO, other executives, to step down after Brazil dam burst

Brazilian authorities ordered Vale SA to evacuate around 500 people from a dam area at its Gongo Soco mine in the state of Minas Gerais on Friday as a preventive measure, the mining company said.

On January&nbsp;25, a mine operated by Vale collapsed in the town of Brumadinho in the same state, killing an estimated 300 people in Brazil's deadliest mining disaster ever.

In a separate development on Friday, inhabitants of a city close to another dam in Minas Gerais state, operated by Arcelor Mittal, were also evacuated, firefighters said but did not give details or say why the dam was at risk.

Vale said in a statement that the Brazilian mining agency ordered the evacuation at the dam at Gongo Soco after engineering consultancy Walm said a certificate guaranteeing stability conditions had not been issued for the dam.

Vale said it has intensified inspections in the area and was installing equipment to detect vibrations and bringing in international consultants to assess the situation.

As a security measure, 500 inhabitants of the city of Barão dos Cocais, where the dam is situated, were taken to a gymnasium nearby, the municipality said on its Facebook page.

Also on Friday, authorities closed a port terminal operated by Vale in Vitoria, in the southeastern state of Espirito Santo, due to pollution issues.

The municipality of Vitoria said on Thursday that it had fined the miner 35 million reais ($9.5 million) for throwing mining residues in the sea. Vale said in a statement that it would take appropriate measures but added that recent inspections by local authorities had not detected problems.

In the wake of the Brumadinho mining disaster, the state of Minas Gerais cancelled Vale's license to operate another dam and a mine in the state, as the company has come under intense public pressure following the accident.

On Tuesday Vale declared force majeure on some iron ore contracts after a court-ordered halt to a mine responsible for nearly 9 percent of its output following the disaster.

&nbsp;

Brazilian authorities ordered Vale SA to evacuate around 500 people from a dam area at its Gongo Soco mine in the state of Minas Gerais on Friday as a preventive measure, the mining company said.

Brazilian authorities ordered Vale SA to evacuate around 500 people from a dam area at its Gongo Soco mine in the state of Minas Gerais on Friday as a preventive measure, the mining company said. On January 25, a mine operated by Vale collapsed in the town of Brumadinho in the same state, killing an estimated 300 people in Brazil's deadliest mining disaster ever. In a separate development on Friday, inhabitants of a city close to another dam in Minas Gerais state, operated by Arcelor Mittal, were also evacuated, firefighters said but did not give details or say why the dam was at risk. Vale said in a statement that the Brazilian mining agency ordered the evacuation at the dam at Gongo Soco after engineering consultancy Walm said a certificate guaranteeing stability conditions had not been issued for the dam. Vale said it has intensified inspections in the area and was installing equipment to detect vibrations and bringing in international consultants to assess the situation. As a security measure, 500 inhabitants of the city of Barão dos Cocais, where the dam is situated, were taken to a gymnasium nearby, the municipality said on its Facebook page. Also on Friday, authorities closed a port terminal operated by Vale in Vitoria, in the southeastern state of Espirito Santo, due to pollution issues. The municipality of Vitoria said on Thursday that it had fined the miner 35 million reais ($9.5 million) for throwing mining residues in the sea. Vale said in a statement that it would take appropriate measures but added that recent inspections by local authorities had not detected problems. In the wake of the Brumadinho mining disaster, the state of Minas Gerais cancelled Vale's license to operate another dam and a mine in the state, as the company has come under intense public pressure following the accident. On Tuesday Vale declared force majeure on some iron ore contracts after a court-ordered halt to a mine responsible for nearly 9 percent of its output following the disaster.

Brazil's Vale evacuates 500 people from dam area in preventive measure

The death toll from the collapse of a tailings dam in <a href="http://www.wionews.com/world/deadly-brazil-dam-collapse-raises-fears-of-environmental-woes-194307">Brazil's southeastern state of Minas</a> Gerais has risen to 110, with 238 still listed as missing, the state civil defense authorities said on Thursday.

According to the civil defense authorities out of the 110 victims, 71 have been identified.

The dam collapsed on January 25th in Brumadinho Municipality of Minas Gerais and<a href="http://www.wionews.com/world/new-dam-disaster-puts-vale-ceo-deals-and-dividends-under-scrutiny-193326"> caused a mudslide, which destroyed offices </a>of Vale company that operates a mine and a residential area in the vicinity. Now the affected area remains a dangerous zone, with normal life of local residents hard to be resumed within a short period of time.

At a service station where donated life supplies are piled, workers are on duty around the clock to make sure the affected residents can get the life necessities they need.

Luciano, as a resident representative of the mining area, are among the volunteers to help affected people at the station, from which his six-member family also fetches some daily necessities.

"When the dam collapsed, I happened to be on the balcony of my home. Two small explosions had occurred before. Two or three minutes later, the dam collapsed with large quantities of mud from the mining area surging out of the dam. I'd never seen such a situation, so I led my family members to a higher place," Luciano said in an interview with China Central Television.

Luciano said though all the family members are safe now, but the dangers are still near at hand.

"The whole area is dangerous. The dangerous section of the road as assessed by the Vale company is right here. They said here is the edge of the dangerous area and that there's no danger upward," said Luciano, pointing to the road.

Luciano said the Vale, in fact, has an alarm system, but it didn’t ring at that time, which caused so many people to be buried.

According to Fabio Schvartsman, CEO of Vale, the dam collapsed so suddenly that the buzzer was swallowed before making a sound. However, local residents still doubt his explanation.

As search and rescue goes on, disease prevention is also an emergency in the affected area.

"We are worried about what will happen next, which may bring about some diseases, such as field fever, dengue, acute intestinal infectious diseases and some other diseases caused by chemicals in the mining area. We will monitor the spot and take measures to handle the diseases," said Marcelo Ribeiro, assistant director of the Minas Gerais State Hospital Foundation (FHEMIG).

The death toll from the collapse of a tailings dam in Brazil's southeastern state of Minas Gerais has risen to 110, with 238 still listed as missing, the state civil defense authorities said on Thursday.

The death toll from the collapse of a tailings dam in Brazil's southeastern state of Minas Gerais has risen to 110, with 238 still listed as missing, the state civil defense authorities said on Thursday. According to the civil defense authorities out of the 110 victims, 71 have been identified. The dam collapsed on January 25th in Brumadinho Municipality of Minas Gerais and caused a mudslide, which destroyed offices of Vale company that operates a mine and a residential area in the vicinity. Now the affected area remains a dangerous zone, with normal life of local residents hard to be resumed within a short period of time. At a service station where donated life supplies are piled, workers are on duty around the clock to make sure the affected residents can get the life necessities they need. Luciano, as a resident representative of the mining area, are among the volunteers to help affected people at the station, from which his six-member family also fetches some daily necessities. "When the dam collapsed, I happened to be on the balcony of my home. Two small explosions had occurred before. Two or three minutes later, the dam collapsed with large quantities of mud from the mining area surging out of the dam. I'd never seen such a situation, so I led my family members to a higher place," Luciano said in an interview with China Central Television. Luciano said though all the family members are safe now, but the dangers are still near at hand. "The whole area is dangerous. The dangerous section of the road as assessed by the Vale company is right here. They said here is the edge of the dangerous area and that there's no danger upward," said Luciano, pointing to the road. Luciano said the Vale, in fact, has an alarm system, but it didn’t ring at that time, which caused so many people to be buried. According to Fabio Schvartsman, CEO of Vale, the dam collapsed so suddenly that the buzzer was swallowed before making a sound. However, local residents still doubt his explanation. As search and rescue goes on, disease prevention is also an emergency in the affected area. "We are worried about what will happen next, which may bring about some diseases, such as field fever, dengue, acute intestinal infectious diseases and some other diseases caused by chemicals in the mining area. We will monitor the spot and take measures to handle the diseases," said Marcelo Ribeiro, assistant director of the Minas Gerais State Hospital Foundation (FHEMIG).

Brazil dam collapse: Death toll rises to 110; 238 still missing

When Fabio Schvartsman took the reins of Vale SA in 2017, he suggested a motto for the world's largest iron miner, turning the page on a tailings <a href="http://www.wionews.com/world/dam-collapses-in-brazil-several-feared-dead-192820">dam disaster that hit a small Brazilian town</a> two years before: "Mariana, never again."

That and many of Schvartsman's other big promises look destined for the scrap heap.

Four years later and some 100 km (60 miles) from Mariana, a breached Vale tailings dam on Friday unleashed a torrent of mud on another small Brazilian community, Brumadinho,&nbsp;<a href="http://www.wionews.com/world/brazil-resumes-search-for-missing-after-dam-collapse-ends-evacuation-193244">leaving hundreds missing and presumed dead</a>.

While the company's focus so far has been on the human tragedy, analysts and shareholders have little doubt that Vale cannot continue on the track its CEO set.

Schvartsman, 63, who said recently he would stay on through 2020 after his current term expires in May, designed Vale's strategy around spending more than $10 billion in annual free cash flow as China gobbled up its high-grade iron ore.

Offering generous dividends, reinvesting in money-losing divisions and searching for mid-sized acquisitions – many of those plans may have to be abandoned as Vale braces for lawsuits that could grow into the tens of billions of dollars.

One executive at a pension fund that holds Vale shares, who asked for anonymity due to the sensitivity of the matter, said it would be hard to justify big shareholder payouts in coming quarters, adding that a full review of Vale's governance was needed.

Indeed, the company said in a late Sunday filing that it was suspending its planned shareholder dividends, share buybacks, and executive bonuses because of the disaster.

Vale said in a statement that it was focused on helping the disaster victims. During a Sunday visit to the rescue efforts, Schvartsman pledged to renew Vale's focus on safety, going "above and beyond any national or international standards."

"We will create a cushion of safety far superior to what we have today to guarantee this never happens again," he said.

One of Vale's top shareholders, public-sector pension fund Caixa de Previdencia, known as Previ, on Saturday took the unusual step of issuing a statement saying it will demand a thorough investigation of the accident and will ensure the company helps the families and communities affected.

The fund did not reply to an additional request for comment. Another major shareholder, Bradespar SA, the investment company of Brazilian lender Banco Bradesco SA, declined to comment.

PLUNGING SHARES

US-listed Vale shares tumbled 8 per cent on Friday after the disaster. Brazilian markets were closed for a holiday.

On Saturday, rating agency Standard &amp; Poor's put Vale's rating on credit watch negative, warning that it could cut the BBB- rating by several notches depending on fines and the possible loss of an operating license in the affected area.

Three court orders over the weekend have already frozen 11 billion reais ($2.9 billion) of Vale assets pending damages.

In a statement on Sunday, Vale said it agreed to deposit 1 billion reais, but argued that the court orders freezing the additional 10 billion reais were counterproductive because they could block resources need for relief support.

Vale had 24 billion reais of cash and equivalents on hand at the end of September.

Mining analysts at Jefferies said the disaster was "likely to be an overhang on the Vale share price for an extended period" in a note cutting their price target more than 20 per cent and downgrading the stock from Buy to Hold.

"The overall impact of the dam failure is nearly impossible to quantify for now," wrote the analysts led by Christopher LaFemina. "Stringent safety inspections could affect production from other mines in Brazil as well."

Estimating the cost of a disaster on this scale is a challenge for analysts, who still steer clear of putting a final price on the 2015 dam collapse involving Samarco Mineracao SA, a joint venture between Vale and BHP Group.

As part of an agreement to settle a lawsuit, Vale and BHP committed to spending 20 billion reais on a foundation set up in Mariana to assist victims and recover the local ecosystem. The Renova Foundation spent 2 billion reais in 2018 and expects to spend 11.3 billion reais through 2030, the companies said in a statement.

A federal prosecutor told Reuters in an interview on Saturday that Friday's disaster could upend talks to settle a far bigger Samarco lawsuit seeking 155 billion reais.

The renewed legal risks are also likely to delay talks with Samarco creditors that had been based on hopes it could reopen operations soon and start making debt payments. One person involved in the talks said they might now be suspended.

EXPANSION IN DOUBT

It is unclear if Schvartsman will be able to pour fresh resources into expanding operations as planned.

Vale laid out plans in December to pump $500 million into its struggling New Caledonia nickel mine after failing to sell it or find a partner, hoping to ride out a tumble in prices and cash in eventually on an expected surge in electric vehicle sales.

The miner has also been pursuing mid-sized acquisitions in its core iron ore business, after deciding not to pursue blockbuster deals with the surging cash flow provided by rising iron ore prices last year.

In December, Vale announced the acquisition of iron miner Ferrous Resources Ltd from its controlling shareholder Icahn Enterprises for $550 million. The deal is expected to close this year.

($1 = 3.7695 reais) 
&nbsp;

When Fabio Schvartsman took the reins of Vale SA in 2017, he suggested a motto for the world's largest iron miner, turning the page on a tailings dam disaster that hit a small Brazilian town two years before: "Mariana, never again.

When Fabio Schvartsman took the reins of Vale SA in 2017, he suggested a motto for the world's largest iron miner, turning the page on a tailings dam disaster that hit a small Brazilian town two years before: "Mariana, never again." That and many of Schvartsman's other big promises look destined for the scrap heap. Four years later and some 100 km (60 miles) from Mariana, a breached Vale tailings dam on Friday unleashed a torrent of mud on another small Brazilian community, Brumadinho, leaving hundreds missing and presumed dead. While the company's focus so far has been on the human tragedy, analysts and shareholders have little doubt that Vale cannot continue on the track its CEO set. Schvartsman, 63, who said recently he would stay on through 2020 after his current term expires in May, designed Vale's strategy around spending more than $10 billion in annual free cash flow as China gobbled up its high-grade iron ore. Offering generous dividends, reinvesting in money-losing divisions and searching for mid-sized acquisitions – many of those plans may have to be abandoned as Vale braces for lawsuits that could grow into the tens of billions of dollars. One executive at a pension fund that holds Vale shares, who asked for anonymity due to the sensitivity of the matter, said it would be hard to justify big shareholder payouts in coming quarters, adding that a full review of Vale's governance was needed. Indeed, the company said in a late Sunday filing that it was suspending its planned shareholder dividends, share buybacks, and executive bonuses because of the disaster. Vale said in a statement that it was focused on helping the disaster victims. During a Sunday visit to the rescue efforts, Schvartsman pledged to renew Vale's focus on safety, going "above and beyond any national or international standards." "We will create a cushion of safety far superior to what we have today to guarantee this never happens again," he said. One of Vale's top shareholders, public-sector pension fund Caixa de Previdencia, known as Previ, on Saturday took the unusual step of issuing a statement saying it will demand a thorough investigation of the accident and will ensure the company helps the families and communities affected. The fund did not reply to an additional request for comment. Another major shareholder, Bradespar SA, the investment company of Brazilian lender Banco Bradesco SA, declined to comment. PLUNGING SHARES US-listed Vale shares tumbled 8 per cent on Friday after the disaster. Brazilian markets were closed for a holiday. On Saturday, rating agency Standard & Poor's put Vale's rating on credit watch negative, warning that it could cut the BBB- rating by several notches depending on fines and the possible loss of an operating license in the affected area. Three court orders over the weekend have already frozen 11 billion reais ($2.9 billion) of Vale assets pending damages. In a statement on Sunday, Vale said it agreed to deposit 1 billion reais, but argued that the court orders freezing the additional 10 billion reais were counterproductive because they could block resources need for relief support. Vale had 24 billion reais of cash and equivalents on hand at the end of September. Mining analysts at Jefferies said the disaster was "likely to be an overhang on the Vale share price for an extended period" in a note cutting their price target more than 20 per cent and downgrading the stock from Buy to Hold. "The overall impact of the dam failure is nearly impossible to quantify for now," wrote the analysts led by Christopher LaFemina. "Stringent safety inspections could affect production from other mines in Brazil as well." Estimating the cost of a disaster on this scale is a challenge for analysts, who still steer clear of putting a final price on the 2015 dam collapse involving Samarco Mineracao SA, a joint venture between Vale and BHP Group. As part of an agreement to settle a lawsuit, Vale and BHP committed to spending 20 billion reais on a foundation set up in Mariana to assist victims and recover the local ecosystem. The Renova Foundation spent 2 billion reais in 2018 and expects to spend 11.3 billion reais through 2030, the companies said in a statement. A federal prosecutor told Reuters in an interview on Saturday that Friday's disaster could upend talks to settle a far bigger Samarco lawsuit seeking 155 billion reais. The renewed legal risks are also likely to delay talks with Samarco creditors that had been based on hopes it could reopen operations soon and start making debt payments. One person involved in the talks said they might now be suspended. EXPANSION IN DOUBT It is unclear if Schvartsman will be able to pour fresh resources into expanding operations as planned. Vale laid out plans in December to pump $500 million into its struggling New Caledonia nickel mine after failing to sell it or find a partner, hoping to ride out a tumble in prices and cash in eventually on an expected surge in electric vehicle sales. The miner has also been pursuing mid-sized acquisitions in its core iron ore business, after deciding not to pursue blockbuster deals with the surging cash flow provided by rising iron ore prices last year. In December, Vale announced the acquisition of iron miner Ferrous Resources Ltd from its controlling shareholder Icahn Enterprises for $550 million. The deal is expected to close this year. ($1 = 3.7695 reais)

Brazil dam burst puts Vale CEO, deals and dividends under scrutiny

Fears of a <a href="http://www.wionews.com/world/nearly-24000-ordered-to-evacuate-after-brazil-dam-burst-250-still-missing-193224">second dam breach</a> at a Brazilian mining complex receded Sunday, enabling a search to resume for the more than 300 people still missing two days after a dam collapse that has killed at least 58 people.&nbsp;

Loudspeakers rang out at 5:30 am (0730 GMT) among homes surrounding the Corrego do Feijao mining complex in southeastern Brazil, warning of dangerously high water levels, according to mine owner Vale.

Workers at the complex are still reeling after a barrier at the site burst on Friday, spewing millions of tons of treacherous sludge and engulfing buildings, vehicles and roads.

Firefighters halted the search for survivors and immediately began evacuating communities near the dike, which contains at least three million cubic meters (800 million gallons) of water.

But several hours later, civil defense officials gave the all clear.

"There is no more risk of a break," said Lieutenant Colonel Flavio Godinho, a spokesman for the state civil defense agency, explaining that the high water levels had been drained off.

"The search has resumed -- by land, by aircraft and with dogs."

Dozens of helicopters were set to be deployed because the thick mud was too treacherous for ground rescuers.

The latest official toll from the dam breach was 58 dead and 305 missing, according to Godinho. He said rescuers found a bus full of bodies.

Vale, the Brazilian mining giant, said people were being allowed to return to their homes.&nbsp;

"I had to leave with my family, my children," Jose Maria Silva, 59, told AFP.&nbsp;

"We are upset, tense, because leaving our house is not easy. We've been here 15 years, and now we have to leave everything and run away.'

Fagner Miranda, 29, added: "several people ran out, desperate... Those with no car fled on foot, with a backpack on their backs and what they could carry."&nbsp;

Shaken by disaster 
So far, 192 people have been rescued alive, 23 of whom were hospitalized with injuries, officials said.

President Jair Bolsonaro flew over the devastated zone on Saturday, later tweeting that it was "difficult to not be emotional before this scene."&nbsp;

All was being done to care for survivors and "determine the facts, to demand justice and prevent new tragedies," he added.

The military said it deployed 1,000 soldiers, including sniffer dogs, to the disaster zone.

The disaster was the first big emergency faced by Bolsonaro and his government since he took office in early January, and it may be one of the deadliest disasters in Brazil's history.

Vale has been shaken by the disaster, the second in three years it has suffered in the same state.

Workers at its mine had been at lunch in an administrative area Friday when they were suddenly swamped by millions of tons of muddy trailings -- a waste byproduct of the iron-ore mining operations.

The ruptured dam, 42 years old and 282 feet (86 meters) high, had been in the process of being decommissioned. Vale said it had recently passed structural safety tests.

Vale assets frozen 
After overflowing a second dam, the muddy mass barreled down toward Brumadinho but only glanced along the town's edge before roaring through vegetation and farmland, smashing houses and swallowing tractors and roads in its path.

Brazilian judicial authorities announced they had frozen $3 billion of Vale's assets, saying real estate and vehicles would be seized if the company could not come up with the full amount.

The company also has been hit with fines by the federal and state government totaling some $92.5 million.

Vale share prices fell Friday more than eight percent on the New York Stock Exchange.

The mining company, one of the world's biggest, was involved in a 2015 mine collapse elsewhere in Minas Gerais that claimed 19 lives in what is regarded as the country's worst-ever environmental disaster.

"There used to be people here, houses. I'm just floored by this tragedy," Rosilene Aganetti, a 57-year-old resident in one of the affected villages, told AFP, pointing to an expanse of mud.

"Several of my friends who were in the Vale cafeteria are missing," she said, holding back sobs.

Another woman, Suely de Olivera Costa, was desperately trying to find her husband, who worked at the mine. She angrily accused Vale of "destroying Brumadinho, and nobody is doing anything -- which will be the next town?"

The Brazilian branch of environmental group Greenpeace said the dam break was "a sad consequence of the lessons not learned by the Brazilian government and the mining companies."

Such incidents "are not accidents but environmental crimes that must be investigated, punished and repaired," it added.

Fears of a second dam breach at a Brazilian mining complex receded Sunday, enabling a search to resume for the more than 300 people still missing two days after a dam collapse that has killed at least 58 people.

Fears of a second dam breach at a Brazilian mining complex receded Sunday, enabling a search to resume for the more than 300 people still missing two days after a dam collapse that has killed at least 58 people. Loudspeakers rang out at 5:30 am (0730 GMT) among homes surrounding the Corrego do Feijao mining complex in southeastern Brazil, warning of dangerously high water levels, according to mine owner Vale. Workers at the complex are still reeling after a barrier at the site burst on Friday, spewing millions of tons of treacherous sludge and engulfing buildings, vehicles and roads. Firefighters halted the search for survivors and immediately began evacuating communities near the dike, which contains at least three million cubic meters (800 million gallons) of water. But several hours later, civil defense officials gave the all clear. "There is no more risk of a break," said Lieutenant Colonel Flavio Godinho, a spokesman for the state civil defense agency, explaining that the high water levels had been drained off. "The search has resumed -- by land, by aircraft and with dogs." Dozens of helicopters were set to be deployed because the thick mud was too treacherous for ground rescuers. The latest official toll from the dam breach was 58 dead and 305 missing, according to Godinho. He said rescuers found a bus full of bodies. Vale, the Brazilian mining giant, said people were being allowed to return to their homes. "I had to leave with my family, my children," Jose Maria Silva, 59, told AFP. "We are upset, tense, because leaving our house is not easy. We've been here 15 years, and now we have to leave everything and run away.' Fagner Miranda, 29, added: "several people ran out, desperate... Those with no car fled on foot, with a backpack on their backs and what they could carry." Shaken by disaster So far, 192 people have been rescued alive, 23 of whom were hospitalized with injuries, officials said. President Jair Bolsonaro flew over the devastated zone on Saturday, later tweeting that it was "difficult to not be emotional before this scene." All was being done to care for survivors and "determine the facts, to demand justice and prevent new tragedies," he added. The military said it deployed 1,000 soldiers, including sniffer dogs, to the disaster zone. The disaster was the first big emergency faced by Bolsonaro and his government since he took office in early January, and it may be one of the deadliest disasters in Brazil's history. Vale has been shaken by the disaster, the second in three years it has suffered in the same state. Workers at its mine had been at lunch in an administrative area Friday when they were suddenly swamped by millions of tons of muddy trailings -- a waste byproduct of the iron-ore mining operations. The ruptured dam, 42 years old and 282 feet (86 meters) high, had been in the process of being decommissioned. Vale said it had recently passed structural safety tests. Vale assets frozen After overflowing a second dam, the muddy mass barreled down toward Brumadinho but only glanced along the town's edge before roaring through vegetation and farmland, smashing houses and swallowing tractors and roads in its path. Brazilian judicial authorities announced they had frozen $3 billion of Vale's assets, saying real estate and vehicles would be seized if the company could not come up with the full amount. The company also has been hit with fines by the federal and state government totaling some $92.5 million. Vale share prices fell Friday more than eight percent on the New York Stock Exchange. The mining company, one of the world's biggest, was involved in a 2015 mine collapse elsewhere in Minas Gerais that claimed 19 lives in what is regarded as the country's worst-ever environmental disaster. "There used to be people here, houses. I'm just floored by this tragedy," Rosilene Aganetti, a 57-year-old resident in one of the affected villages, told AFP, pointing to an expanse of mud. "Several of my friends who were in the Vale cafeteria are missing," she said, holding back sobs. Another woman, Suely de Olivera Costa, was desperately trying to find her husband, who worked at the mine. She angrily accused Vale of "destroying Brumadinho, and nobody is doing anything -- which will be the next town?" The Brazilian branch of environmental group Greenpeace said the dam break was "a sad consequence of the lessons not learned by the Brazilian government and the mining companies." Such incidents "are not accidents but environmental crimes that must be investigated, punished and repaired," it added.

Brazil dam burst: Death toll touches 58, rescuers find bus full of bodies

A dam in southeast Brazil collapsed on Friday, unleashing a torrent of mud that killed "several" people living in an area close to the city of Belo Horizonte, an official with the local fire service told AFP.

Emergency services were still responding to the situation in and around the town of Brumadinho and did not yet have a precise toll, the official said.

"According to accounts that we are receiving, there were several deaths," he said.

Television images taken from the air showed a wide swath of devastation cut through vegetation and farmland in which several homes were seen, many damaged and some destroyed, with nothing but their tiled roofs left sitting on mud.

A rescue helicopter was seen hovering close to two survivors trapped up to their waist in mud, with its crew trying to pull them to safety.

An online video showed the moment the river of tons of mud cut across a road.

The dam belonged to Brazil's biggest mining company Vale, which confirmed its collapse and said "the total priority is to protect the lives of employees and inhabitants."

Brumadinho's municipality issued an alert on social media warning residents to move away from the Paraopeba river that the dam had been holding back.

The emergency recalled trauma from a 2015 dam break in a different part of the same state of Minas Gerais, at Mariana, in which 19 people died. That was considered the country's worst environmental disaster.

A dam in southeast Brazil collapsed on Friday, unleashing a torrent of mud that killed "several" people living in an area close to the city of Belo Horizonte, an official with the local fire service told AFP.

A dam in southeast Brazil collapsed on Friday, unleashing a torrent of mud that killed "several" people living in an area close to the city of Belo Horizonte, an official with the local fire service told AFP. Emergency services were still responding to the situation in and around the town of Brumadinho and did not yet have a precise toll, the official said. "According to accounts that we are receiving, there were several deaths," he said. Television images taken from the air showed a wide swath of devastation cut through vegetation and farmland in which several homes were seen, many damaged and some destroyed, with nothing but their tiled roofs left sitting on mud. A rescue helicopter was seen hovering close to two survivors trapped up to their waist in mud, with its crew trying to pull them to safety. An online video showed the moment the river of tons of mud cut across a road. The dam belonged to Brazil's biggest mining company Vale, which confirmed its collapse and said "the total priority is to protect the lives of employees and inhabitants." Brumadinho's municipality issued an alert on social media warning residents to move away from the Paraopeba river that the dam had been holding back. The emergency recalled trauma from a 2015 dam break in a different part of the same state of Minas Gerais, at Mariana, in which 19 people died. That was considered the country's worst environmental disaster.

Dam collapses in Brazil; several feared dead

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