Finance
BHP wins bid to throw out UK contempt case linked to Brazil dam collapse
Published by Global Banking & Finance Review®
Posted on March 16, 2026
2 min readLast updated: March 16, 2026
Quick Summary
BHP successfully had UK contempt-of-court proceedings dismissed in connection to alleged interference via funding litigation in Brazil, even as it awaits appeal permission on liability for the 2015 Mariana dam collapse, for which R$170 billion has been agreed in compensation in Brazil.
BHP Prevails in UK Contempt Case over Brazil Dam Disaster Litigation
Overview of the BHP Contempt Case and Ongoing Litigation
Background: The Mariana Dam Disaster and Legal Fallout
LONDON, March 16 (Reuters) - BHP on Monday won its bid to throw out a contempt of court case in Britain over the funding of litigation to try to prevent some Brazilian municipalities suing the mining giant in London over one of Brazil's worst environmental disasters.
The judgment comes as BHP waits for a decision on whether it can challenge a ruling that it is liable for the 2015 collapse of the Mariana dam in southeastern Brazil that was owned and operated by BHP and Vale's Samarco joint venture.
Allegations Against BHP
Lawyers representing the claimants suing BHP - which include hundreds of thousands of Brazilians, as well as local governments and businesses – said the company had funded Brazilian litigation to stop the municipalities suing in London.
They alleged that, by procuring and funding a lawsuit by Brazilian mining lobby group Ibram, BHP was in contempt of court by interfering with the administration of justice.
Court Proceedings and Outcome
BHP unsuccessfully tried to throw the case out last year, but the Court of Appeal overturned that decision on Monday, bringing the contempt proceedings to an end.
BHP welcomed the ruling, while the claimants' lawyers said their focus was on the underlying litigation over the collapse of the dam.
Appeal and Next Steps
Last week, BHP sought permission to appeal against the ruling that it was liable for the disaster, which came after a mammoth trial that began in October and finished in March.
Ahead of a second trial due to begin in April 2027 to decide what damages are owed, BHP argued it should be allowed to challenge the High Court's decision.
The Court of Appeal is expected to give its ruling on BHP's application for permission to appeal in the coming weeks.
BHP's Position and Compensation Agreement
BHP has always denied liability and says the case duplicates legal proceedings and reparation and repair programs in Brazil.
In the trial's first week, Brazil signed a 170 billion reais ($31.94 billion) compensation agreement with BHP, Vale and Samarco.
($1 = 5.3232 reais)
Reporting and Editorial Information
(Reporting by Sam Tobin; Editing by Kirsten Donovan)
Key Takeaways
- •The UK Court of Appeal overturned a prior decision, ending the contempt case accusing BHP of funding litigation (via IBRAM) aimed at blocking Brazilian municipalities from suing in London (iom3.org).
- •BHP is awaiting a ruling on its permission to appeal the High Court finding it liable for the 2015 Mariana dam disaster—a trial that concluded in March 2025 (apnews.com).
- •In Brazil, BHP, Vale and Samarco signed a definitive reparation agreement in October–November 2024 committing to R$170 billion (approx. US$31–32 billion) in total compensation and remediation efforts (bhp.com).
References
Frequently Asked Questions about BHP wins bid to throw out UK contempt case linked to Brazil dam collapse
1What is the BHP contempt case about?
The BHP contempt case involved allegations that BHP funded Brazilian litigation to stop municipalities from suing the company in London over the Mariana dam collapse.
2Why was BHP in court in the UK?
BHP faced a UK contempt of court case related to claims that it interfered with justice by supporting lawsuits in Brazil over the 2015 dam disaster.
3What was the outcome of the UK contempt case for BHP?
The UK Court of Appeal overturned a previous decision, bringing the contempt proceedings against BHP to an end.
4Is BHP still liable for the Mariana dam disaster?
BHP is waiting for a decision on whether it can appeal a ruling that held the company liable for the Mariana dam collapse.
5What compensation agreement was signed after the Mariana dam disaster?
Brazil signed a 170 billion reais ($31.94 billion) compensation agreement with BHP, Vale, and Samarco.