Do the right thing. THAT IS OUR COMMITMENT.
We are going through difficult times, involving a lot of work and many challenges. So, in order for people to better understand the actions we have been carrying out after the accident, we have prepared an objective and complete overview, with official information about the measures taken from the very first moment.
February 12th 2016
01
WHO WE ARE • Brazilian mining company, closely held, controlled 50/50 by BHP Billiton Brasil Ltda. and VALE S.A. • Founded in 1977 • Main product: iron ore pellets of high added value, sold to the global steel industry • In 2014, held the position of 10th largest exporter in the country, according to the Ministry of Development, Industry and Foreign Trade • Two industrial units, one located in Mariana (MG) and the other in Ponta Ubu (ES), connected by three iron ore slurry pipelines of about 400 km each • Own port facilities in Ubu (ES) from where our production is shipped overseas • Sales offices in Belo Horizonte (MG) and Vitória (ES) as well as in Amsterdam and Hong Kong.
February 12th 2016
02
WHO WE ARE ENVIRONMENT Ever since it started its operations, still in the decade of the 1970´s, Samarco has been making a concerted effort to reduce the impact of its operations and make optimal use of natural resources. Over the years, the Company’s environmental vision has evolved and led to the incorporation of practices and applications which more than meet legal requirements. The environmental control actions are incorporated into the entire production and planning process. The Company has invested in legal compliance and in controlling impacts related to subproducts, water and emission of greenhouse gases and particulate matter. As a result, we have achieved: Sustainable water use* • About 90% of water is recycled in the production process • 14.5% of the industrial consumption of electric energy at Samarco is supplied by the hydropower plants it owns outright or partially (Muniz Freire and Guilman-Amorim) • 185 million cubic meters of water were reused by the Company between 2011 and 2014 Reduction of emission in operations * • 91.5 kg CO2e/t is the rate of intensity of emission of greenhouse gases by Samarco, considering the ratio between the volume of emissions and the production of pellets and pellet feed Energy efficiency* • 7.6% of reduction in the consumption of energy compared to the estimate for 2014 Technological studies* Samarco is working with a portfolio of some 50 technological studies, focused on six themes: mineral resources, tailings and overburden/waste, water resources, renewable and/or alternative energies, energy efficiency, and atmospheric emissions. *Data from 2014
February 12th 2016
03
BRAZIL´S ECONOMY Samarco’s sales revenue is equivalent to about 6.4% of the GNP of Espírito Santo and 1.5% of the GNP of Minas Gerais
% Equivalence Samarco revenue to GNP MG
1.6%
% Equivalence Samarco revenue to GNP ES
6.4%
The Company paid R$ 1.5 billion in taxes in 2014. This corresponds to almost 20% of what the federal governance expects to collect annually with the new CPMF tax.
Expected CPMF revenue over 4 years
32,000,000
Samarco's direct taxes 2014 (1 year)
1,500,000
% Equivalence Samarco taxes/CPMF
19%
Amounts in R$ thou
In many localities, the taxes generated directly by Samarco’s activities are vital to the municipalities.
Taxes Mariana/MG
20,552 (54% of revenue)
Taxes Ouro Preto/MG
19,335 (35% of revenue)
Taxes Anchieta/ES
29,437 (50% of revenue)
Amounts in R$ thou
February 12th 2016
04
BRAZIL´S ECONOMY The Company’s exports represented 1% of Brazil´s total exports in 2015. Without the Company’s exports, the deficit in the Brazilian trade balance would have tripled in 2015.
Brazilian exports in 2015
191,134,324
Samarco revenue in 2015
1,921,460
Samarco's export representation
1%
Samarco's equity in the trade balance
10%
Amounts in R$ thou
Sources: MDIC, IBGE (2013), SEFAZ-MG, SEFAZ-ES (IPVA+ICMS+ITCD), Agência Brasil and Samarco
February 12th 2016
05
THE ACCIDENT Date: 5 November 2015 Dam accident The Fundão dam breached and the released tailings impacted the nearby Santarém dam – which stored water – causing a partial erosion of its right shoulder. The impact also provoked damage to the Selinha dike, one of the side walls of the Germano dam. Causes The investigations of the causes of the accident are being carried out by competent authorities, such as the Civil Police, and Samarco is supplying all the information necessary to expedite the process. In parallel, the Company is counting on the support of international firms, which are working on the investigations and collecting as much information as possible. The objective is for the data obtained – with the participation of experts in geotechnical engineering, geology, seismology and soil mechanics, among others – to explain the causes of the accident and also provide input for potential improvements in the Samarco’s production and safety procedures. There is no set date for the completion of the investigations, but in view of the complexity of the accident, it is expected that conclusive reports will be issued within six to twelve months.
February 12th 2016
06
EMERGENCY PLAN Emergency actions Immediately after the accident, together with the Civil Defense, Fire Department, Military Police and other authorities, Samarco performed all the actions outlined in its Dam Emergency Action plan which had been validated by the competent agencies. Guidelines Concerned with prevention, the Company has adopted additional safety measures which reinforce the procedures and instructions given to the residents of the communities of the Mariana region. Samarco teams are furnishing information about the emergency procedure, which includes the activation of fixed sirens and the establishment of meeting points. The additional emergency procedures further include 24/7 online monitoring using cameras, large screens, drones and radar, field inspections, and visual inspections of the SantarĂŠm and Germano dams.
February 12th 2016
07
DAMS Composition The Samarco dam system consists of the dams of Germano, Fundão and Santarém.
Aerial view of the dam region before the accident
Licensing All of the Samarco dams have valid Operating Licenses issued by the Regional Superintendency of Environmental Compliance (Supram). The last inspection – performed by a specialized geotechnical consulting company hired by Samarco – took place in July 2015, and in September the corresponding technical reports were delivered to the competent government agencies, showing that the dams were safe for operation. Samarco also carries out its own inspections, in compliance with the Federal Dam Safety Law, with a 24/7 team on duty for maintenance and monitoring.
February 12th 2016
08
DAMS Movements such as the one recorded on January 27 in Samarco’s dams were already expected due to the mass volume remaining in Fundão dam and the amount of rain registered in the period, which is much higher than the historical average. The constructions of sludge containment dikes below Santarém dam, which started just after the accident, contemplated this type of occurance. It is important to highlight that such movements do not cause any impact to Germano dam, which structure is steady. The major ongoing actions are related to the capture of water from the resevoir and constant monitoring of the structures with the use of a radar, other than the geotechnical inspections. Furthermore, since the accident, Santarém dam has been receiving strengthening works and is currently steady. Santarém dam’s spillway is opened, enabling the flow of the material from inside the reservoir to the sludge containment dikes below this dam. At the time of the incident, there was no need for the activation of a sound alarm by the company. The Civil Defense of Mariana and Barra Longa were duly informed on the fact immediately. The displaced volume remains between Fundão and Santarém dams, within Samarco’s areas. Due to all the measures undertaken, by means of monitoring, allert procedures and inspections, the community is not under risk.
February 12th 2016
09
DAMS Monitoring The monitoring room set in Germano Unit, in Mariana, received new equipment to enhance the control of the dams structures and dikes. The new equipment are part of an action plan that, even before the accident, complied with all measures required by law. Supported by cameras, large screens, drones, radars and field inspections, a team comprised by more than 40 people monitors 24 hours per day the situation of SantarĂŠm and Germano dams. Furthermore, it has been installed a station for visual monitoring, which also operates 24-7.
Monitoring room at the Germano Unit
February 12th 2016
10
impacted communities
February 12th 2016
11
HUMANITARIAN ACTIONS Implemented immediately after accident Below are some numbers of the relief provided by Samarco since the dam accident on Nov. 5, involving full assistance to the affected families, including food, personal hygiene items, health care and psychosocial support
Potable water supplied
553 million liters
Mineral water supplied
59 million liters
Families receiving psychosocial support
Animals rescued and cared for
1,185
6,893
Water analyses performed 55,000 on Rio Doce, 39,000 on sea water
100%
Communities with reestablished access
Families living in rented homes
Health agents hired
Prepaid allowance cards for families. Initial delivery of 2,718 cards
Bridges being built
365 (99.7% of total)
85
6 finished
Infrastructure and support for rescue of river fish: 150 thousand fish resgatados
* Figures updated on 26/01. Follow the daily updated www.samarco.com
Lodging for families In its effort to provide suitable housing for the residents impacted by the accident, Samarco reached January 26th with 99.7% of the families lodged in rented units or with relatives, in Mariana and Barra Longa. One family from Mariana, at their own option, continues at a hotel. The action has been duly recognized by the Public Prosecution Service. The relocation to the new homes has complied with the criteria and methodology of prioritization defined by the Committee of Representatives of Affected Communities. Priority is given to families with members over 65, or with children, newborns and pregnant women, people with special needs or requiring constant medical care. The homes all have brand new furniture, including household appliances and bed/ bath linen. When the families move in, they receive a full supply of food, including vegetables and fruit, as well as drinking water, in addition to basic cleaning products and personal hygiene items.
February 12th 2016
12
HUMANITARIAN ACTIONS
See the various steps of the procedure for delivering homes to the families. Meeting with the community Twice a week, Samarco promotes meetings with representatives of the impacted communities, the Public Prosecution Service of Minas Gerais and other competent authorities to discuss the humanitarian relief actions and emergency measures. The criteria and the methodology for prioritization of assignment of homes are some of the issues defined in these meetings Social dialogue with household members In this phase, Samarco professionals go to where the families are temporarily lodged to listen to their needs, so that the home to be offered will meet their expectations. Among the aspects evaluated are the number and size of the rooms, availability of garage, location, type of residence and proximity to relatives. Purchase of furniture From the beginning of the relocation process, a Samarco team is in charge of the purchase of the furniture for the new homes, giving priority to local suppliers. All of the families receive new furniture, household appliances, bath/bed linen.
February 12th 2016
13
HUMANITARIAN ACTIONS Evaluation of available real estate Concomitantly with the social dialogue, another group of Samarco professionals searches the Mariana region to look for rental properties. They evaluate the condition of the homes, consider the infrastructure, safety aspects, paperwork and supply of electricity and water. So far, some 700 units have been mapped and inspected. Matching needs Once the Samarco professionals have determined the needs of each household, they crosscheck the data with the real estate mapping, and inform the families of the features of the available units. Cleaning and checking the infrastructure Samarco professionals visit the unit to perform the necessary clean-up and check on the electrical and plumbing system, so that the family will have no future problems in this regard. Discussion of options After the unit is cleaned and the infrastructure is approved, the families are shown the options that would meet their needs. The Company picks them up at their temporary lodging, accompanied by a social assistant of the Mariana city administration, and takes them to all the pre-selected homes. If they do not find a satisfactory home in the first round, additional visits are made to other units. Choosing the house After the visits are concluded, the families choose the unit they liked most and sign the corresponding term of agreement with Samarco. Preparation and organization As soon as the new furniture arrives, it is assembled and installed, and the household items and linen are organized in readiness for the new residents. Supply of foodstuff Samarco, in partnership with the Mariana city administration, supplies the family with staple foods, fruits and vegetables, cleaning products and personal hygiene items, from donations made to the affected families.
February 12th 2016
14
HUMANITARIAN ACTIONS Moving the family On the day of the move, the Samarco team picks the family at up its temporary lodging and takes it to the new home. Picking up donations After the move, the Company offers transportation for the family to go to the Mariana Convention Center to pick up available donated items.
Kitchen of one of the homes rented by Samarco
Financial support for the families In November, Samarco started delivering prepaid debit cards providing financial support to the families impacted by the dam accident. By the 12th of February, an overall total of 2,718 cards had been distributed. Delivery of new cards will continue as the people who apply for this benefit are duly registered and validated, until all eligible households receive this allowance. The objective of this action is to provide resources for the payment of personal, family and home expenses by people who have temporarily lost their source of livelihood. The families directly affected by the accident with the dam were listed by Samarco and the Civil Defense in Mariana and Barra Longa. The beneficiaries include families staying with relatives or those February 12th 2016
15
HUMANITARIAN ACTIONS lodged at the hotels and inns or temporary homes, as well as dependents of any age who live in the same residence and depend on the household’s source of income. In other words, relatives such as in-laws, aunts and uncles, brothers and sisters, children, will be each be entitled to the additional allowance for dependants. Beneficiaries will also include families living along the Doce River in Minas Gerais and Espírito Santo who suffered an impact on their livelihood derived from fishing and extracting sand and rock, based on an Agreement between Samarco and the Labor Public Prosecution Service of both states, resulting in the so-called Term of Adjustment of Conduct (TAC). By the 12th of February, 2,272 prepaid debit cards had been distributed to riverside dwellers and fishermen of both Minas Gerais and Espírito Santo, and are already being used. The survey of all eligible beneficiaries should be completed by February 2016. Teams from the company hired by Samarco for the management of this aspect, Golder Associates, are visiting families who live along the river to determine the impacts suffered. When it is found that the residents have lost their means of subsistence, they will receive one minimum wage per worker plus an additional 20% for each dependent, in addition to the value of a staple food basket as determined by the official entity DIEESE. This allowance is in the form of a prepaid debit card which can be used for purchases in stores and also allows withdrawals and transfers of funds at ATMs. These actions are prescribed by the Term of Adjustment of Conduct (TAC) signed between Samarco and the Public Prosecution Service at the state and federal levels in both Minas Gerais and Espírito Santo, as well as the Labor Public Prosecution Service. The TAC is a complement to the Preliminary Socioenvironmental Term of Commitment signed previously by Samarco. The document outlines the actions to be undertaken with the fishermen and riverside dwellers who have been prevented from carrying out their normal river-related work activities in the 37 municipalities along the Doce River. In addition to the TAC obligations, Samarco has developed a Plan of Social Attention to Fishermen and Riverside Dwellers, establishing actions to strengthen their associations and networks, such as support in areas of information management and management training.
February 12th 2016
16
HUMANITARIAN ACTIONS
Financial support debit cards
Psychosocial support Since November 5th, families from the communities of Mariana, Barra Longa and nearby districts have been receiving psychosocial support from psychologists and social workers. These professionals visit homes, hospitals, inns and hotels of the region to provide individual, family or group care to help the affected families. When the need for ongoing care is identified, the resident is referred to specialists in mental health of the Mariana city administration.
February 12th 2016
17
HUMANITARIAN ACTIONS Education In order to allow the closing out of the school year at the end of 2015, Samarco mobilized its resources to offer a new infrastructure for the students of the impacted communities. On November 16th, eleven days after the accident, the students were back in class. Over 600 students from Barra Longa, Claudio Manoel, Campinas, Pedras, Borba, Gesteira, Bonito, Bento Rodrigues and Paracatu – went back to school. They all received a kit with a backpack, pencils, coloring pencils, pens, play dough and other school material. In December, some 60 students from Bento Rodrigues, Paracatu de Baixo and Barra Longa, in Minas Gerais. Impacted by the dam accident, celebrated the end of the school year. Their graduation ceremonies were sponsored by Samarco. In Mariana, the Company organized two events for the students and their families at the Casa do Lago. The festivities included a mass, a buffet dinner and a prom, according to the planning developed by each institution. The students of Paracatu de Baixo had the extra participation of the community choir, which had received new musical instruments from Samarco. In Barra Longa, the 30 students who finished high school had a graduation ceremony in the hall of the Escola Estadual Padre José Epifânio Gonçalves, renovated by Samarco after the accident. The decoration was also provided by the Company.
Child back at school in the Mariana region February 12th 2016
18
HUMANITARIAN ACTIONS Public service centers In Colatina, Linhares, Marilândia and Baixo Guandu, in EspĂrito Santo, and in Mariana, Barra Longa and Tumiritinga, Minas Gerais, the population can be helped by professionals contracted by Samarco in booths set up at the locations designated by the government authorities. The objective of these centers is to centralize the grievances, doubts and requests of the community, facilitating compliance and monitoring of solutions. The Company is also available for support to the residents of these and other localities through the following channels assistencia.es@samarco.com, relacionamento@samarco.com, Public Relations (0800 031 2303) and Ombudsman (0800 721 0717). Health services agents Health services agents are visiting the homes in Governador Valadares to carry out a preventive action of endemic control, mainly dengue, leptospirosis and leishmaniasis, in addition to elimination of scorpions. These agents were contracted by Samarco in response to a request of the Health Inspection Department of the city administration, considering that the residents had been storing water at their homes during the period of interruption in water supply from the Doce River abstraction. All of the professionals were selected and trained by the department itself, and are residents of Governador Valadares and adjacent areas. Support to the families of missing people The families of missing people are receiving psychosocial support from professionals specialized in risk situations. Like all the rest of the communities of the affected areas, they also receive other forms of assistance, such as lodging at inns, relocation to rented homes, furniture kit, food and monthly allowance. For those that lost a family member as a result of the accident, the Company has paid for all costs of documentation and burial. In the case of outsourced employees, the Company provides lodging for the people who are from other regions and complements the life insurance to cover the costs of funeral expenses.
February 12th 2016
19
HUMANITARIAN ACTIONS Job prospects In alignment with the actions of the Occupation, Employment and Income, 225 residents of Mariana, Barra Longa and region were offered new opportunities in the job market, in December and January. The hiring was carried out by partnering firms, which are working on different fronts, such as the renovation of real estate units, fencing and rehabilitation of rural properties, revegetation, organization of donations and care of rescued animals. In addition, some 30 youths from the communities of Bento Rodrigues and Paracatu (MG) enrolled in the selection process of the Instituto Federal de Minas Gerais (IFMG) for technical courses, and Ensino MÊdio Integrado in the areas of Industrial Automation, Administration, Metallurgy and Building Design. In November, they attended a lecture on professional development delivered by professionals of IFMG, with the support of Samarco, the city administration of Mariana and the Grupo Coaching Condor Blanco. Employment and income Over 800 people from Mariana and Barra Longa impacted by the dam accident had their professional profile surveyed by the Occupation, Employment and Income team, one of Samarco’s work fronts. The objective of this work is to seek the reintegration of those impacted by the accident into their former functions, reestablishing their work conditions or potentially opening up new fronts. Among the population of the sub-districts of Mariana, 374 interviews were held with those aged 14 or more. In Barra Longa (MG), 38 tradespeople were interviewed.
February 12th 2016
20
HUMANITARIAN ACTIONS And in the municipalities along the Doce River, 170 properties that had their sustainability conditions affected were mapped and visited. Seventy professionals, including Samarco employees, zootechnicians, agricultural technicians and agronomy engineers, have been mobilized to perform this activity, and all the necessary support equipment provided. All of the information collected during the interviews is fed into a database, according to seven criteria – people who totally lost their agribusiness, people who suffered a partial loss of their agribusiness, people living on the property where the agribusiness was affected, people who lost their store, people who lost their means to be service providers, people who lost their job, occupations, and professional development training. This work will continue throughout 2016. In parallel with this work, 20 stores in Barra Longa were able to reopen after cleaning and renovation, letting the owners resume their activities.
Young adults participating in lectures on the selection process for IFMG courses
February 12th 2016
21
HUMANITARIAN ACTIONS Barra Longa Clean-up of homes Samarco teams have already performed heavy duty cleaning in 90 homes affected by the accident, and detailed cleaning on 79 of them. In addition, they have cleaned up 40 yards, 8 units are being renovated and 6 stores have been prepared to resume their activities.
Reclamation work continues in Barra Longa
Candonga Five teams are working on cleaning the outside area of the Candonga Reservoir, responsible for feeding the Risoleta Neves hydropower plant, in the municipalities of Santa Cruz do Escalvado and Rio Doce, about 100 km from Mariana. The work is being done by companies hired by Samarco who are being monitored by the consortium Alianรงa Energia, which operates the plant, with the objective of reestablishing normal operating conditions.
February 12th 2016
22
Infrastructure Samarco delivers the last bridge in the city of Mariana Samarco concluded this Friday, January 22, the construction of the bridge located in Ponte do Gama, sub-district of Mariana (MG). Built with steel beams and concrete floors, the structure is 30 meters long and a load capacity of 70 tons. This is the fifth bridge delivered in 78 days since the accident of the dam in Fundão, the fourth and final foreseen for Mariana. The other two bridges hit, both in Barra Longa (MG), are under construction. In addition to the seven large bridges, the company recovered a small structure that connects the district of Monsenhor Horta to the sub-district of Paracatu de Baixo, two days after it happened.
Deliveries 12/5 - Bridge between the districts of Águas Claras and Monsenhor Horta in Mariana 12/11 - Bridge that connects the districts of Pedras and Borba to Águas Claras and Campinas in Mariana 12/20 - Campinas Bridge, located between the communities of Campinas and Barreto 1/6 - Ponte do Onça in Barra Longa 1/22 - Bridge in the sub-district of Ponte do Gama in Mariana 6/2 - Gesteira in Barra Longa
One of the six bridges delivered in Mariana
February 12th 2016
23
Dialogue Documentation Samarco has maintained permanent contact with the competent entities and the municipal, state and federal governments to offer all of the information requested, in addition to any analyses and expert reports produced periodically by the Company. Community Samarco maintains a constant dialogue with the communities of Mariana, Barra Longa and Governador Valadares, in Minas Gerais, and Colatina, Linhares and Marilandia, in EspĂrito Santo. Periodically it holds meetings with representatives of various categories, in addition to public entities and competent agencies, with the objective of making joint decisions to meet the specific needs of each community.
Dialogue with the community
February 12th 2016
24
Dialogue Extraordinary Dam Committee On December 21st, Samarco representatives participated in a meeting at the State Legislature of Minas Gerais, at the Extraordinary Dam Committee, providing information about the accident and outlining the Company’s humanitarian and socioenvironmental actions. Congressmen On November 30th, Samarco had received, at the Germano unit, congressmen who are members of the Extraordinary Dam Committee. The Director of Operations and Infrastructure of Samarco, Kleber Terra, accompanied them to the dam monitoring room and also on a visit to the dams. During the visit, they saw how the dams are being monitored in real time, showing Samarco’s determination to assure the stability of these structures. The monitoring includes radar and daily inspections performed by the technical staff of Samarco and contracted specialized companies. In addition, there is the use of drones, laser scanning and existing geotechnical instrumentation for technical evaluation. For the Germano dam, readings are automated with the acquisition of online data. National Association of Mayors On 23 November, Samarco participated in a dialogue with the National Association of Mayors (FNP) in Mariana. The meeting had the presence of 18 mayors from cities in Minas Gerais: Alpercata, Belo Horizonte, Belo Oriente, Bom Jesus do Galho, Caratinga, Córrego Novo, Ipaba, Mariana, Marliéria, Naque, Ouro Preto, Rio Casca, Rio Doce, Santa Cruz do Escalvado, São Domingos do Prata, São José do Goiabal, São Pedro dos Ferros and Sem Peixe. Samarco listened to their concerns about the emergency needs of the municipalities affected by the dam accident and responded to their questions as to the next work front actions. Cohab On 18 November, a round table discussion and weekly negotiation was established between Samarco and the Minas Gerais housing institution - Companhia de Habitação de Minas Gerais (Cohab MG) for the solution of the socioenvironmental problems arising from the dam accident. The action was defined in compliance with a decree issued by the Governor of Minas Gerais, Fernando Pimentel.
February 12th 2016
25
Water 553 million liters of potable water and 59 million liters of mineral water distributed in municipalities of EspĂrito Santo and Minas Gerais* *Numbers updated on 26/01/2016
Consumption The analysis reports of the companies responsible for supplying the affected cities along the Doce River confirm that the water arriving at the homes of the population is fit for human consumption and complies with the parameters established by the national sanitary inspection agency (Anvisa) – Ruling 2914/2011. Governador Valadares (MG) The supply to this city was normalized on 16 November. After its abstraction from the Doce River by the water treatment plant, the water receives an organic coagulant based on tannin, extracted from the bark of the black wattle tree (Acacia mearnsii), which stimulates the formation of small flocks with the solids that are dissolved in the water, accelerating their decantation.
February 12th 2016
26
Water These are the solids that make the water look muddy. The use of the coagulant accelerates the clarification of the water and allows it to undergo the conventional treatment process carried out by local water utility, Serviço Autônomo de Água e Esgoto (SAAE). The solution was defined by a joint effort among the teams of Samarco, SAAE, the state water utility Copasa, and companies which supply water treatment products. Baixo Guandu (ES) Since 16 November, the water supplied to the municipality of Baixo Guandu has come from the Guandu River, an alternative made possible by the installation of three water supply pipes to the treatment plant, an action of SAAE and the city administration of Baixo Guandu, with the support of Samarco through the supply of material and technical support. Colatina (ES) Since 24 November, the water supply to Colatina has been resumed gradually. Reports of the local sanitation utility, Cesan, attest that the water treated by the water utility Serviço Colatinense de Meio Ambiente e Saneamento Ambiental (Sanear) - is potable. To this end, Samarco worked jointly with the municipal administration to reestablish the water intake for the city. Among the initiatives carried out, the Company offered the use of a natural flocculant, extracted from the bark of the black wattle/acacia tree, which is not harmful to the environment.
February 12th 2016
27
Water Artesian wells and water supply pipes As part of the plan to assure uninterrupted water supply, Samarco has installed water mains and drilled artesian wells in several cities. In Colatina, EspĂrito Santo, the Company built water mains and drilled six artesian wells close to the water treatment plants, allowing an increase of 39 liters per second to the supply network. In Governador Valadares, Minas Gerais, in addition to the three water treatment plans which serve the municipality, Samarco has provided a mobile plant to help in the treatment and resumption of supply, in addition to a water main of 2.7 km. A system for alternative intake from the Suaçui Grande river was built, to prevent any potential interruption in water supply resulting from the dam accident. In Baixo Guandu, EspĂrito Santo, the Company supplied material and technical support to SAAE and the local administration, in the installation of three water intake lines to the water treatment plant on the Guandu River. Galileia (MG), Resplendor (MG) and Regencia (ES) also had artesian wells drilled by Samarco.
February 12th 2016
28
Monitoring of water quality Doce River The water, the tailings and the sediments along the Doce River are being monitored by Samarco on a daily basis. Along a stretch of 637 km, from the site of the accident in Mariana to the sea in Regencia, there are dozens of monitoring stations, testing some 200 quality parameters. pH From the beginning of the monitoring, the pH results have been normal, between 6 and 9, as established by environmental law. These values are suitable for maintaining aquatic life and show that the tailings are not reacting with the water nor are they changing the neutrality conditions of the river. Tailings are not toxic The tests show that the tailings from the Fundão dam are not toxic and do not present any risk to human health. The metals found in the test results have always been present in the Doce waterway. With the passage of the turbidity plume, they were stirred up and came to the surface. This is why some of the indexes are higher than the limit established by law. The tendency is for the numbers to return to normal as the plume settles. River sediments free of contaminants Ecotoxicity studies show that the water of the Doce River is not toxic to the environment. In regard to the sediments, no abnormality was found, even after the passage of the plume. In other words, the water which has settled to the bottom of the river bed does not present any hazard to the environment. This result is consistent with the report provided by the Brazilian Geological Service – CPRM, which brings data from Minas Gerais close to the dam area. The report further points out that there has been on increase in the presence of heavy metals in the water and in the sediments compared to the 2010 data, also collected by CPRM.
February 12th 2016
29
Fauna and flora Animal rescue Animals of different species have been rescued from the affected areas. They have been receiving daily care from Samarco professionals, NGOs and outsourced companies, as well as proper nourishment and veterinary assistance. Many of the animals have already been identified by their owners and taken home. Others will temporarily stay at the shelters provided by the Company, always under specialized care.
For emergency purposes, the Company provided a shelter in the urban zone of Mariana to house some animals, as well as a warehouse in Antonio Pereira to store consumables, feed, sawdust and gravel, in addition to a farm for boarding large animals. Samarco supplies all the necessary logistics to support the transfer of the animals for treatment in specialized clinics when needed, as well as vehicles with drivers to help rescue animals. Samarco also provides personal protection equipment such as rubber boots, vests and helmets, and also manpower for security and cleaning services, in addition to office material. Another action also being carried out is the distribution of consumables (corn, cornmeal, feed, silage, salt, etc.) to almost 3,000 animals which are staying at farms in Bento Rodrigues, Barra Longa, Bicas, Camargos, Gesteira, Guerra, Paracatu de Baixo, Pedras, Ponte do Gama, Santo Ant么nio de Pedras, Barretos and Campinas, pursuant to the roster of producers prepared by the Mariana administration, through the Agriculture Secretariat. February 12th 2016
30
Fauna and flora On 18 December, Samarco signed the Preliminary Term of Commitment (TCP) with the Public Prosecution Service of Minas Gerais to formalize the actions focused on care with animals. The document confirmed the effort that has been made in conjunction with various associations and volunteers. The information obtained during a fly-over will allow the creation of a video to serve as input for possible new rescue actions and attention to isolated animals. As provided in the TCP, the Company will formalize, within a period of 45 days, a plan for the establishment, care and rescue of animals. Specialized professionals are already working on this and are assuring proper care, including behavioral and psychological, stimulating the natural behaviors of each species. For the animals in the shelter, Samarco is making long term plans to seek a definitive home for them, either finding their owners or putting them up for adoption
Rescued animals
February 12th 2016
31
Fauna and flora Sonar on Rio Doce A study performed by a specialized consultancy firm, AQUA Consultoria, between December 3-11, 2015, confirms that there are still fish, both individuals and shoals, living in the Doce River. The study focused on 215 points along the water way, and evaluating 20 sections of the river between the mouth of the Doce River and the dam of the Risoleta Neves hydropower plant. The objective was to determine the existence of fish along this stretch of 670 km2 of the Doce River, taking into account both the areas that were affected by the turbidity plume resulting from the accident in Mariana, and those that were not affected, such as tributaries of the Doce River. With sonar attached to a boat with an outboard motor, each one of these sections of the river was inspected adopting a zigzag course, recorded simultaneously with GPS and video (with images of the water column). This method was chosen due to the quick feedback, without any need for capturing or killing any fish. In any case, bearing in mind the primary objective of the diagnostic, which was to detect the presence of fish, the conventional methods (nets, cast nets, etc.) could result in false negative findings. In other words, when there are fish but these are not caught, and this therefore does not represent the reality, as explained by biologist and ichthyofauna expert Fabio Vieira, who works for AQUA Consultoria and has been studying the aquatic life of the Doce River for over twenty years. For purposes of the calculations, we considered the entire length of the affected river channel (approximately 670 km) assuming an average river width of 1 km, which is admittedly over-estimated, thus resulting in an effectively affected area of 670 km2 (river channels and riverine areas). The area impacted by the plume represents approximately 0.81% of the total area of the Doce River basin, estimated at 83,000 km2
February 12th 2016
32
Fauna and flora Fish and crustaceans As a preventive action, species of fish and crustaceans from the regions of Baixo Guandu, Colatina, Linhares and Aimorés were rescued and taken to other waterways, with characteristics similar to those of their original habitat. Aqua Ambiental, a firm specialized in environmental monitoring, and the Instituto de Pesquisa e Reabilitação de Animais Marinhos (IPRAM), engaged by Samarco, have collected 2,308 species between Linhares and Baixo Guandu. In Aimorés, work is being carried out by Brandt Meio Ambiente, in the form of specialized consultancy in environmental programs and studies, responsible for the rescue of an additional 244 species. After the collection of the fish, the companies are performing technical work such as the cataloguing and identification of native and exotic species.
February 12th 2016
33
Environmental rehabilitation plan Samarco has engaged Golder Associates, a world class consulting specialist in engineering, environment and environmental emergencies, which will be in charge of developing the plans, management and supervision of the actions to be implemented in all the areas impacted along the Doce River. The company will also be responsible for the supervision and management of the related actions. Golder has already submitted an action plan, which will be executed over the next months.
Socio - institutional recovery plan With consultancy support from ERM – Environmental Resources Management, an international firm with experience in environment, health, social and security services, Samarco is developing the planning for the recovery of the communities impacted by the accident. Among the actions to be carried out is the resettlement of the families of Bento Rodrigues and Paracatu, to a location yet to be determined, as well as the reconstruction of other communities. All of the decisions will be taken by mutual agreement with the communities, through collective and individual meetings. Planning also includes the recovery of the regional economic development. The work is divided into four phases, and currently the scope of all the action fronts is being defined. The activities will comply with international standards and criteria.
February 12th 2016
34
Employ e e s / contractors Alternatives Until 29 November, Samarco employees were on paid leave. Between 30 November and 04 January, they will be on mandatory vacation, and will be returning to work on 11 January. The Company has signed a commitment with the Labor Public Prosecution Service to not engage in any mass layoffs prior to 01 March 2016.
Action map Samarco has mobilized all available resources, human and financial, to meet emergency needs and seek solutions. Follow updated information on our site www.samarco.com
February 12th 2016
35
www.samarco.com