Steel pipe maker Vallourec halts Brazil mine after heavy rain affected dam

PARIS (Reuters) – French steel pipe maker Vallourec said it had suspended its mining operations in Pau Branco, Brazil, after a safety incident resulting from heavy rainfall, which lead to the company being fined some 45 million euros by authorities.

“Some material from a waste pile associated with the operations of Vallourec’s Pau Branco mine slid into a rainwater dam, causing it to overflow, and resulting in the interruption of traffic on the nearby highway”, the company said in a statement.

The operations of the mine have been suspended and the company’s teams are discussing with the authorities about a “rapid restart”, Vallourec added.

The company said it intended to legally challenge the fine.

(Reporting by Tassilo Hummel; Editing by Chris Reese)