(Alliance News) - BHP Group Ltd on Friday reported that it filed a defence and a contribution claim against Vale SA in a lawsuit regarding a dam collapse in Brazil.

The Melbourne-based diversified miner and its UK business are defendants in a dispute brought by claimants in the English High Court seeking damages for the losses in the Fundao Dam collapse in 2015. The dam was owned and operated by Samarco, a joint venture between BHP Billiton Brasil Ltda and Vale. Both parties hold 50% each in Samarco.

BHP said that the contribution claim was a "necessary procedural step", considering that Vale was not included as a defendant in the English proceedings.

With the defence claim, BHP and BHP Group UK deny the claims against them "in their entirety."

The company said that BHP Brasil remains committed to continuing to work with Samarco and Vale to support the local remediation efforts in Brazil. Those efforts have already provided roughly USD2.3 billion in compensation and direct financial aid in relation to the dam failure to 388,000 people as at June 30, BHP reported.

BHP shares closed down 0.6% at 2,549.78 pence each on Friday afternoon in London.

By Abby Amoakuh; abbyamoakuh@alliancenews.com

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