Brazil court again suspends Vale's Sossego copper mine licence

17th April 2024 By: Reuters

SAO PAULO - A local court in Brazil has again suspended the operating license for Vale's Brazilian Sossego copper mine, the company and the country's Para state said.

The state won an appeal overturning a previous court ruling that had reinstated the mine's operating license, Vale said.

Vale said in a filing late on Monday that it had become aware of the latest decision, while adding it had not yet received a formal notification from the court. It said it will take appropriate legal measures to try to reverse the decision.

Para's environment department originally suspended the license to operate Sossego, which had produced 66 800 metric tons of copper in 2023, in February.

It flagged irregularities in an annual environmental report and "non-compliance" on mining mitigation efforts that it said resulted in conflicts with local communities.

Mining giant Vale later obtained an injunction temporarily allowing it to resume operations.

The suspension will remain until conditions established in the licensing and other control measures are verified, Para's environment secretary said in a statement on Tuesday.

A Vale executive said in February that it did not see signs of environmental or social breaches at the mine, adding that an administrative issue could have led to the suspension and the firm would work with authorities to resolve the matter.

Vale has been also in a court dispute against Para state about its Onca Puma nickel mine, which earlier this month also had its operating license suspended again.