Two subsidiaries of China-based Zijin Mining have been sued for property damage following a toxic spill at a tin mine after heavy rain triggered the collapse of a tailings dam last month.

The Guangdong Province Xinyi city government has sued Xinyi Zijin and Xinyi Baoyuan and sought CNY19.5mn ($2.9mn) to compensate economic losses.

The collapse of the dam killed at least 28 people.

The city government will take further action if the total amount of losses from the disaster, which is still under investigation, exceeds CNY19.5m, Zijin said.