🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

Brazil's Vale expects Samarco to restart mid-2017

Published 26/08/2016, 07:49 am
Brazil's Vale expects Samarco to restart mid-2017
BHPB
-
VALE
-

RIO DE JANEIRO, Aug 25 (Reuters) - Brazilian miner Vale SA VALE5.SA expects Samarco, an iron ore joint venture it owns with BHP Billiton BLT.L , to restart operations in the middle of 2017, a company executive said on Thursday.

Samarco's mine has been shut since November when a tailings dam on the site burst, killing 19 people and causing Brazil's worst ever environmental disaster.

André Figueiredo, head of investor relations at Vale, told a stock market event in Sao Paulo that he thought Samarco operations could restart by mid-2017 in comments first reported by the Estado de S.Paulo newspaper and confirmed by a Vale spokesperson.

Figueiredo did not provide any details on why he expected Samarco to be producing again by then.

Samarco had originally expected to resume production this year, but has since said that is unlikely. The state environmental body responsible for granting permission to resume operations, Semad, has said the process would continue into next year.

The financial strain of being without its primary revenue stream has led Samarco to consider talking to bondholders about changing the terms on $2.2 billion of securities or pursue an exchange offer, according to a Reuters report on Wednesday which cited two people with knowledge of the situation.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.