Samarco Unveils Restructuring Talks as Vale Spill Hits Bonds

Samarco Mineracao SA, the Brazilian mining venture that caused an environmental catastrophe in 2015, disclosed that it has been is in advanced debt restructuring talks just days after it’s co-owner Vale SA suffered a similar dam rupture that has killed at least 65 people, Bloomberg News reported. The distressed joint venture owned by Vale and BHP Group Ltd. had reached a preliminary deal with creditors to restructure its debt by issuing new notes, according to documents Samarco disclosed on Monday night. Samarco bonds have tanked since Jan. 25 on concerns that Brazil’s latest mining disaster will delay or even derail Samarco’s own restart. "Negotiations may or may not continue," the company said in statement on its website that details the back and forth between the parties involved. Read more