Samarco Mineração SA is gearing up for a major iron-ore comeback, with plans to invest over US$1B to fully restore its iron ore operations by January 2028. This ambitious target comes more than 12 years after a tailings dam disaster brought the operations to a halt.
In a recent interview with Bloomberg News, CEO Rodrigo Vilela and other top executives revealed that the final budget will be confirmed next year. Samarco, a joint venture between Brazilian giants Vale SA and BHP Group, initially ceased production in November 2015 following the dam collapse. It wasn’t until five years later that the company began to slowly resume operations.
Since then, Samarco has poured approximately US$260M into reviving the facility in Mariana, Minas Gerais. As of Monday, the site has impressively ramped up to 60% of its capacity. The company is now focused on restarting a second concentration facility and launching a new tailings filtration plant.
Earlier this year, Vale and BHP signed a US$28B settlement with Brazil over the disastrous dam collapse. It was reported to be the largest-ever deal of its kind globally. When the tailings dam collapsed it unleashed a torrent of waste that killed as many as 19 people and contaminated waterways in Minas Gerais and Espirito Santo.
Bloomberg states that Samarco anticipates producing 15Mt of iron ore pellets in 2025, aiming to reclaim its position among the top three global exporters of this iron ore, alongside LKAB and leading producer Vale. This marks a significant increase from the approximately 9Mt expected this year, with shipments destined for steel mills across Japan, Europe, the Middle East, and the Americas.
Additionally, Samarco has implemented plans to shut down the Germano dam in 2026, the only remaining one in the mining complex, the report said.
