A plan submitted by creditors of Brazilian iron ore and pellet producer Samarco, as previously reported by SteelOrbis, received an addendum announced late last Friday.
Under the addendum, the original structure of the plan will be maintained, with part of Samarco’s financial debt transformed in shares and the consequent transference of ownership to the major creditors.
But with the addendum, such new controllers of the company would give priority to payments to labor-related creditors and to credits owned by small companies. The addendum also covers the maintenance of all jobs at Samarco for at least 30 months, counted from the date of the homologation of the plan by the authorities.
Controlled by Vale and BHP, Samarco is in judicial recovery since April 2021, resulting from the collapse of its Fundao waste dam in 2015, which caused 19 deaths and a massive environmental disaster.