Vale receives negative safety report for 3 dams, sees no impact on output

3rd September 2020 By: Reuters

RIO DE JANEIRO/SAO PAULO - Brazilian miner Vale failed to meet safety standard levels for three dams in Minas Gerais state, the company said in a securities filing on Wednesday, adding it did not see any impact on iron ore production this year.

Three dams and three dikes have received negative stability condition declarations after regular rounds of inspections, the company said. No evacuation of personnel or nearby communities is needed, Vale said.

The structures are on level 1 of the emergency protocol, a four-level scale in which 0 is no risk and 3 is imminent risk of failure.

The company said it started on Wednesday the level 1 protocol procedures for Paracatu and Patrimônio dikes in a preventative capacity.

Another four dams that had negative safety reports have already had level 1 protocols initiated previously also in a preventive manner, according to the company.

These structures are Borrachudo II, at the Cauê Mine, in Itabira, dams 6 and 7A, at the Águas Claras mine, in Nova Lima, and Area IX, at the Fábrica complex, in Ouro Preto.