The Mangaratiba City Government in Rio de Janeiro, Brazil, has fined Vale $8m and ordered the company to close its Guaíba Island Terminal (TIG) project over pollution problems.
The government also claimed that the terminal, a port facility that typically transports iron ore, was operating without the necessary licences.
This is the second time the TIG has been forced to close this year. Initially, the terminal was closed in January due to its non-compliance with environmental regulations. While Vale was later permitted to reestablish operations at the terminal, the local government has again ordered the facility be closed.
The Mangaratiba City Government suspended activities at the terminal following an injunction due to the alleged non-submission of the terminal’s environmental licenses.
At that time, Vale submitted all the required licences and the city decided to cancel the interdiction order made on the same day.
Brazil’s port regulator said that every year around 40 million tonnes of iron ore go through Vale’s Guaíba Island Terminal.
Vale said in a statement: “Vale confirms that it has all the required licenses for the regular operation of the terminal, issued by the competent authorities and, accordingly, it will take all appropriate measures to ensure the reestablishment of its activities at TIG.”
Additionally, the company said that it would take adequate measures to resume the port operation.
The closure is Vale’s latest setback in Brazil, following a disaster at a tailings dam near the city of Brumadinho, which has claimed the lives of at least 169 people.