27 January 2020

Project No. 19-6029

Dr. Andressa de Oliveira Lanchotti email: alanchotti@mpmg.mp.br

State Prosecutor
Ministerio Público de Estado de Minas Gerais
367 Dias Adorno Street, 8th Floor
Belo Horizonte – MG Brazil 30190100

RESPONSE REVISION 0
25 JANUARY 2020 INQUIRY
STATUS OF STRUCTURES AT FÁBRICA MINE AND GONGO SOCO MINE AFTER SEVERE
RAINFALL EVENTS

Dear Dr. Lanchotti:

Thank you for your email of 25 January 2020 requesting information related to the status of
the structures in RIZZO International, Inc. (RIZZO) audit scope after recent severe rainfall
events. RIZZO deployed inspection teams on both 26 January 2020 and 27 January 2020 to
assess the status of the structures. We provide a summary of the observations and
recommendations made by RIZZO for Fábrica and Gongo Soco Sites.

1.0 MINA DE FÁBRICA

1.1 GENERAL COMMENTS

RIZZO deployed a dam inspection team consisting of dam engineers and geologists to
Fábrica Mine. The RIZZO Team discussed pluviometric data and conditions on critical
structures after the severe rainfall events last week. Rainfall at Fábrica Mine was less intense
than in other areas in Minas Gerais. Rainfall at Fábrica Mine was measured from a
pluviometric station located near the offices/control room; measurements in 24-hour
increments indicated:

 83.1 mm on 23 January 2020

 42.0 mm on 24 January 2020
 21.5 mm on 25 January 2020
Dr. Andressa de Oliveira Lanchotti 2 27 January 2020

The numbers above are 24-hour measurements from 9 a.m. to 9 a.m. the next day. Based on
preliminary information provided by VALE staff, no major issues were found after the rain
events; only minor slope failures and erosion along some roads. It should be noted that in
CPX Mine (near Belo Horizonte), 240 mm of rain were reported in 24 hours on 24 January
2020, which could potentially represent the 100-year rain event.

RIZZO staff reviewed some of the monitoring data which was being recorded at that time in
the geotechnical Control Room. RIZZO and VALE staff decided to prioritize the
inspections. The plan was to start with Forquilha III following with Forquilha I, II, and IV
and finally the open pit in Area 18 (adjacent Freitas Dike). Afterwards, one team went to the
Geotechnical Monitoring Center at MAC (Belo Horizonte) to discuss instrumentation and
monitoring of critical structures and the other team stayed in Fábrica Mine and continued
with inspection of other structures: Grupo, Prata and Mares II.

The inspections were aided by small unmanned aerial vehicles (sUAV) or “drones”.

1.2 FORQUILHA III

 A localized slope failure was observed in the access road to Forquilha

III Dam along the south bank of Forquilha III Reservoir, where a
drainage pipe from the railroad crosses the road and discharges into
Forquilha III Reservoir, approximately 500m upstream of the right
abutment (Figure 1). The slump scarp is roughly 3 m wide, 4 m long,
and 3 m deep. The potential failure mechanism was likely the excessive
seepage (piping) around the approximately 400 mm HDPE drainage
pipe.
 Other smaller localized slope failures were observed further downstream
near the pumping station (Figure 2). VALE personnel is planning to
replace all drainage pipes that discharge into the reservoir with a
different drainage system, to avoid discharging water into the reservoir
and prevent slope failures in this road that could obstruct access to the
dam.

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 3 27 January 2020

FIGURE 1
LOCALIZED SLOPE FAILURE IN AREA OF DRAINAGE PIPE AT FORQUILA III
RESERVOIR
 

FIGURE 2
SLOPE CRACK AT PUMPING AREA FORQUILA III RESERVOIR
 
 

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 4 27 January 2020

 There are two dewatering pumps in the Forquilha III reservoir. Each pump has a
capacity of 400 m3/h. However, only one pump is currently operational. VALE
staff is currently repairing the other pump.
 The drop inlet spillway is spilling water which indicates that the reservoir level is
above its crest (Figure 3). Flows from the dewatering pump are also discharged
into the spillway.
 VALE staff indicated that the reservoir level increased approximately 1 m due to
the recent storm events; they estimate that it will probably take two full days to
lower the reservoir level back to its previous level, without additional rainfall.
 RIZZO staff performed a drone reconnaissance over Forquilha III Dam. Based on
visual observations from the right abutment, no anomalies were identified that
could represent an imminent dam safety concern. No seepage or apparent
deformations were identified; however, we will have to review the drone footage
in more detail to confirm this information.
 VALE staff indicated that after evaluating the most recent monitoring data results,
they could not identify any anomalies that may be of concern. VALE cross
referenced data from two radar stations and compared them with the robotic total
station. Apparently, there is one radar that is showing displacements in some
areas but after checking these results against the other instruments (redundancy);
VALE’s interpretation is that these results are noise from the vegetation cover
and/or rain/humidity.

FIGURE 3
ACTIVATED DROP INLET SPILLWAY (INTAKE TOWER) AT FORQUILA III
RESERVOIR

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 5 27 January 2020

1.3 FORQUILHA I AND II

 RIZZO staff performed a drone reconnaissance over Forquilha I, II and IV.

 The common spillway of Forquilha I and II Dams was dry, which indicates
that the reservoir level is below its crest. The drainage collectors on the left
abutment of Forquilha I seemed dry as well, from the inspection area.
Standing water was observed at the toe of both Forquilha I and II Dams.
 Based on visual observations performed on site, no anomalies were
identified that could represent an imminent dam safety concern in Forquilha
I, II and IV dams. No new seepage or apparent deformations were
identified; however, the RIZZO Team will review the drone footage in more
detail to confirm this information.
 At the bottom of Forquilha I Dam, there is a gravel embankment that was
built as part of an internal road for transportation of earth materials.
Between the gravel embankment and the toe of Forquilha I Dam, there is a
tailings deposit according to VALE staff. Just southeast of the gravel
embankment, there is a saddle dike as art of the same road which is showing
signs of severe erosion (Figure 4). If the dike is breached and the tailings
contained between the road embankment and the toe of Forquilha I Dam
mobilize, this could lead to a decreased confinement of the toe of Forquilha
I Dam. Repair actions are currently not possible due to the prohibition of
personnel access to the Self Rescue Zone (Zona de Autosalvamento – ZAS)
of Forquilha I and II Dams. This feature is a head cut at a drainage pipe
outlet. It appears to have head cut back at least 6 m.

FIGURE 4
EROSION OF SADDLE DIKE AT THE BOTTOM OF FORQUILHA I DAM

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 6 27 January 2020

FIGURE 5
EROSION OF SADDLE DIKE AT THE BOTTOM OF FORQUILHA I DAM
(CLOSE UP)

1.4 FORQUILHA IV

 The RIZZO Team observed an erosion gully at the groin on the left
abutment of Forquilha IV Dam. Apparently this feature did not
significantly increase in size after the storm events. Drone footage will
be reviewed to evaluate this condition in more detail. VALE staff
indicated that they have a plan to remediate the erosion in both abutments
after access is allowed. This plan also includes the replacement of five
pumps in Forquilha IV reservoir; currently only one is operating.

 Given the insufficient pumping capabilities currently in operation at

Forquilha IV reservoir, the beach is observed to have shrunk by about 30
m as a result of the recent rainfall events (Figure 6). The beach is
currently 170 m wide.

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 7 27 January 2020

FIGURE 6
UPSTREAM SLOPE AND BEACH OF FORQUILHA IV DAM

1.5 FORQUILHA V

 Observations made at a distance (from the road) do not indicate any

erosion problems on the upstream slope of Forquilha V Dam.

1.6 AREA 18 PIT

 The slope failures due to uncontrolled seepage through the benches are
deteriorating from lack of maintenance and excessive rainfall.
 VALE staff indicated that they have geophysical testing results in this
area which have not been interpreted. These data will provide valuable
information for the regrading and seepage control/dewatering design.
VALE indicated that the rehabilitation design will be provided to RIZZO
by the end of this week.
 The continuous deterioration of Area 18 Pit could impact Freitas Dike and
reservoir if erosion in the Pit is not controlled in a timely manner.

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 8 27 January 2020

FIGURE 7
EROSION IN AREA 18 PIT AND FREITAS DIKE

1.7 FREITAS

 The Freitas Dike appears to be in good condition and no signs of erosion

were observed from a view point above Area 18 Pit across from Freitas
Dike or from the road. However, as stated above, there is a concern for
stability of Freitas Dike if the ongoing erosion at the Area 18 Pit is not
addressed in a timely manner.

1.8 GRUPO

 Very little water is visible in the Grupo reservoir, and wide beach at the
Dam.
 RIZZO staff flew reconnaissance with the drone over Grupo Dam.

1.9 MARÉS II

 Dewatering pumps are running; water is being drained to the spillway.

 The reservoir level is about 3 m below the spillway crest, so all water
going out the spillway is being pumped.

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 9 27 January 2020

 Two pumps are in operation. One is rated to 450 m3/h and the other at
50 m3/h. For a total of 500 m3/h. Both were in operation on 26 January
2020.
 RIZZO staff flew reconnaissance with the drone over Marés II (Figure 8).

FIGURE 8
MARÉS II

As of this writing, RIZZO expects to obtain additional reports from VALE with additional
information on the structures inspected by RIZZO on 26 January 2020. RIZZO will also
provide observations on additional structures inspected on 27 January 2020. Following is a
list of structures that will be addressed in a revised Report:

 Marés I
 Barnabé
 Baixo João Pereira
 Alto Jacutinga
 Barnabé 1
 CB-3
 Gambá
 Mata Porcos
 Prata

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 10 27 January 2020

1.10 VISIT TO GEOTECHNICAL MONITORING CENTER AT MINA DE AGUAS CLARAS

(MAC)

 RIZZO staff discussed monitoring data obtained by VALE in Fábrica

structures. We prioritized the status of Forquilha I, II and III Dams and
briefly discussed and compared some results prior and after the storm
events between 23 January 2020 and 26 January 2020.
 VALE reiterated the issue of vegetation control and resulting noise in
their radar results.
 As an example, Piezometer 93 located at the lower portion of the
downstream slope of Forquilha III Dam showed an increase of
approximately 60cm in the last few days as a result of the recent storm
events: El. 1088.33 on 23 January 2020 and El. 1088.96 on 26 January
2020. The pluviometric reading was 84mm on 23 January 2020. It was
noted that this increase does not occur immediately after the storm but
several hours/days after.
 VALE staff has evaluated and determined alert thresholds for
piezometric readings in several dams. However, this evaluation has not
been completed for Forquilha III Dam which is critical. VALE is
preparing a report with the monitoring data including two months of
piezometric readings for critical dams (Levels 2 and 3).

2.0 MINA DE GONGO SOCO

RIZZO’s main focus at Gongo Soco Mine was the close inspection of Sul Inferior Dam via
helicopter and drone surveys. RIZZO makes the following observations and
recommendations.

Observations:

 No deformations or fractures are observed in the body of the Dam

outside the eroded area.
 No leaks are observed in the body of the Dam. The material of the Dam
is dry in general.
 No presence of turbidity in water released in bottom drain of the Dam.
 The area affected by the erosion is approximately 85 m long, 3 m wide,
and 4 m high).
 There is an extended area showing fractures near the top and bottom of
area visible between the eroded area and the crest drain on the left
(approximately 15 m long).
 The current elevation of the impounded water permitted the observation
of the full extent of the erosion in the affected area.

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 11 27 January 2020

 The pumping system remains idle, despite the urgent need for it to be
functional.
 Obstructions (debris and vegetation) are observed in the crest drain to
the left of the Dam.
 Surveys conducted on 27 January 2020 indicate the following confirmed
elevations for the crest of Sul Inferior Dam and the water level of Sul
Inferior Reservoir:

- Crest: 884.29, 884.28, 884.30 (average 884.29)

- Water Level: 880.36, 880.40, 880.38 (average 880.38)

 Based on the confirmed elevations above, the height of the

erosion scarp is at least 3.9 m.

Recommendations:

 It is an urgent matter that the upper berm is rebuilt as soon as possible,

in order to prevent any further damage to the body of the dam.
 It is necessary to remove obstructions (debris and vegetation) from
surficial drains, especially the crest drain.
 To carry out the above actions, it is necessary that the Authorities
consider the release of controlled access to this area, subject to VALE
presenting a detailed procedure for the suggested reconstruction of
eroded berm, cleaning of surface drains; enablement of the pumping
system, installation of instruments for control and monitoring of this
body. This should allow a more controlled and safe operation and
decharacterization of these dams.

Photographs of Sul Inferior Dam are provided on Figure 9 through Figure 15.

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 12 27 January 2020

FIGURE 9
SUL INFERIOR DAM (DOWNSTREAM FACE – LOOKING UPSTREAM)

FIGURE 10
SUL INFERIOR RESERVOIR AT THE TOE OF SUL SUPERIOR
(LOOKING UPSTREAM)

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 13 27 January 2020

FIGURE 11
SUL INFERIOR DAM – GENERAL VIEW OF EROSION OF UPSTREAM SLOPE

FIGURE 12
SUL INFERIOR DAM – LATERAL VIEW 1 OF EROSION OF UPSTREAM SLOPE

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 14 27 January 2020

FIGURE 13
SUL INFERIOR DAM – LATERAL VIEW 2 OF EROSION OF UPSTREAM SLOPE

FIGURE 14
SUL INFERIOR DAM – LATERAL VIEW 3 OF EROSION OF UPSTREAM SLOPE

L-MPMG-29 196029/20
Dr. Andressa de Oliveira Lanchotti 15 27 January 2020

FIGURE 15
SUL INFERIOR DAM – SPILLWAY

3.0 CLOSING COMMENTS

RIZZO plans to revise this Letter Report to include additional information gathered today
onsite, as well as to provide post-processed images and footing from drone surveys.

If you have any questions, please do not hesitate to contact me by telephone at +1 (412) 825-
2210 or by email at juan.gutierrez@rizzointl.com.

Respectfully submitted,
RIZZO International, Inc.
Juan Gutierrez
Senior
Engineer ,Rizzo
International, Inc.
Juan J. Gutiérrez, Ph.D., P.E.
Chief Infrastructure Engineer

JJG/ljr

cc: Paulo Gouvea, VALE

Juliana Pedra, VALE
Daniel Bastos, VALE

L-MPMG-29 196029/20