BHP, Vale, Samarco propose nonbinding indicative settlement, WSJ says

BHP Brasil (BHP), Vale (VALE), and the companies joint venture Samarco are offering a nonbinding indicative settlement worth approximately $25.7B relating to the failure of the Samarco dam nearly a decade ago, the Wall Street Journal’s Pierre Bertrand report. The proposal comes amid talks over obligations, claims, and on resolving the failure, which resulted in flooding in southeast Brazil, the author notes. Under the terms of the proposal, Samarco will act as the main obligor, with Vale and BHP Brasil each assuming half of the settlement amount should Samarco fail to fund it, the author says.