GR

OU

ND

C O M M O N

A strategy for improving themining industry’s performanceby aligning its actions withthe priorities and values ofCanadians.

A process for finding commonground with our communitiesof interest, to build a bettermining industry today and inthe future.

The Mining Association of Canada

TOWARDS SUSTAINABLE MINING TSM

From the outset, TSM has beenabout performance.

When early research revealed thatthe mining industry needed to workon crisis communications prepared-ness, MAC developed Guidelines forCorporate Crisis ManagementPlanning, a leading-edge guide oncrisis management. Training work-shops were held across Canada.

Over the past few years, MAC hasalso developed best practice guidesand training workshops in tailingsmanagement, energy management,and external dialogue and outreach.Already, these efforts are betteringthe mining industry’s performanceand reinforcing its commitment tocontinuous improvement.

Public reporting on performancebegan in 2004. In the TowardsSustainable Mining Progress Reportand on the MAC web site, membersreport on how their performancemeasures up against specific perform-ance indicators. These indicators,which provide clear criteria for eval-uating performance, allow companiesto see not only how they are per-forming, but also how they canimprove.

To reflect the priorities and values ofthe industry and Canadians at large,performance indicators should bebased on common ground. To thatend, the TSM indicators have beendeveloped with the help of represen-tatives from the mining industry’scommunities of interest. As TSMmoves ahead, the Community ofInterest Advisory Panel will helpmake sure that the indicators remainrelevant, that reporting is transpar-ent and that the mining industry

stays focused on the issues that mat-ter to all Canadians.

WHO SUPPORTS TSM?

All members of The MiningAssociation of Canada take part inTSM. Our members represent a largepercentage of all mineral and metalproduction in Canada. They includecompanies involved in mining,smelting and refining of base andprecious metals, and companies thatmine iron ore, diamonds, oil sands,coal and industrial minerals. TheMining Association of BritishColumbia supports TSM, and we areencouraging other provincial miningassociations to follow suit.

SUSTAINABILITY

The Mining Association of Canada

TSM IN ACTION

TSM Makes the Connection

“The world is more connected than ever before. Whatever happens, wherever it happens, is known quickly around theglobe. In a very positive way, TSM helps the mining industry put social responsibility into practice, bridging any gap betweenindustry and community.”

TSMThe Mining Association of Canada (MAC) is the national organization of the Canadian mining industry.

For more information about MAC and TSM, visit The Mining Association of Canada’s web site

(www.mining.ca) or contact MAC by phone (613-233-9391) or by e-mail (mlafleche@mining.ca).

The Honourable John Efford, federal Ministerof Natural Resources, presents GordonPeeling, MAC’s President and CEO, with theVCR Leadership award for the association cat-egory for its “extraordinary commitment,action and/or leadership” towards the volun-tary reduction of GHG emissions. MAC is theonly industry association to win the awardtwice (2001, 2003).

– Derek Pannell, President and CEO of Noranda Inc.and Chair of the TSM Governance Team

A scenic view of Lake Superior at PukaskwaNational Park

Mining representatives tour Pukaskwa NationalPark, located near the Hemlo mining camp.

GR

OU

ND

As members of The Mining Association of Canada, our role is to responsibly meetsociety’s needs for minerals, metals and energy products. To achieve this we engagein the exploration, discovery, development, production, distribution and recyclingof these products. We believe that our opportunities to contribute to and thrive inthe economies in which we operate must be earned through a demonstrated com-mitment to sustainable development.*

Accordingly, our actions must demonstrate a responsible approach to social, eco-nomic and environmental performance that is aligned with the evolving prioritiesof our communities of interest.** Our actions must reflect a broad spectrum of val-ues that we share with our employees and communities of interest, including hon-esty, transparency and integrity. And they must underscore our ongoing efforts toprotect our employees, communities, customers and the natural environment.

GUIDING PRINCIPLES

C O M M O N

ENVIRONMENT

We will demonstrate leadership world-wide by:

■ involving communities of interestin the design and implementationof our Towards Sustainable Mininginitiative

■ proactively seeking, engaging andsupporting dialogue regarding ouroperations

■ fostering leadership throughout ourcompanies to achieve sustainableresource stewardship wherever weoperate

■ conducting all facets of our businesswith excellence, transparency andaccountability

■ protecting the health and safety ofour employees, contractors andcommunities

■ contributing to global initiatives topromote the production, use andrecycling of metals and minerals ina safe and environmentally respon-sible manner

■ seeking to minimize the impact ofour operations on the environmentand biodiversity, through all stagesof development, from explorationto closure

■ working with our communities ofinterest to address legacy issues,such as orphaned and abandonedmines

■ practising continuous improvementthrough the application of new tech-nology, innovation and best prac-tices in all facets of our operations

In all aspects of our business and oper-ations, we will:

■ respect human rights and treatthose with whom we deal fairly andwith dignity

■ respect the cultures, customs andvalues of people with whom ouroperations interact

■ recognize and respect the uniquerole, contribution and concerns ofAboriginal (First Nations, Inuitand Métis) and indigenous peoplesworldwide

■ obtain and maintain businessthrough ethical conduct

■ comply with all laws and regula-tions in each country where weoperate and apply the standardsreflecting our adherence to theseguiding principles and our adher-ence to best international practices

■ support the capability of communi-ties to participate in opportunitiesprovided by new mining projectsand existing operations

■ be responsive to community priori-ties, needs and interests through allstages of mining exploration, devel-opment, operations and closure

■ provide lasting benefits to localcommunities through self-sustain-ing programs to enhance the eco-nomic, environmental, social, edu-cational and health care standardsthey enjoy

TSM Governance

TSM is guided by the TSM GovernanceTeam, a committee led by MAC’s Boardof Directors. Within each member com-pany, TSM is supported by internal rep-resentatives called “initiative leaders.”Committees of MAC members lead thedevelopment of performance indicatorsand technical guidelines for implement-ing TSM.

Community ofInterest AdvisoryPanel

The TSM Community of InterestAdvisory Panel includes representativesfrom labour, Aboriginal organizationsand communities, NGOs, mining com-munities and the investment sector. The14-member panel, which held its found-ing meeting in March 2004, meets twicea year. Its mandate is to help MAC mem-bers and communities of interestimprove the industry’s performance, tofoster dialogue between the industry andits communities of interest, and to helpshape TSM goals.

* We draw on the 1987 BrundtlandCommission definition of sustainabledevelopment: “development that meetsthe needs of the present withoutcompromising the ability of futuregenerations to meet their own needs.”

** We use the term “communities ofinterest” to include all of the individualsand groups who have or believe theyhave an interest in the management ofdecisions about our operations that mayaffect them. This includes employees,contractors, Aboriginal or indigenouspeoples, mining community members,suppliers, customers, environmentalorganizations, governments, the financialcommunity and shareholders.

© T

he M

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g A

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Can

ada

2005

MAC TSN Broch V2 Eng April 6.qxp 4/6/2005 12:23 PM Page 2

In 2002 MAC’s Board of Directors adopted a three-year plan for TSM that includes some ambitious tasks:

■ developing performance indicators for tailings management, energy management, external outreach and crisiscommunications management

■ developing additional indicators for newperformance areas

■ establishing a Community of InterestAdvisory Panel

■ designing a system to verify performance

■ developing TSM-based criteria for mem-bership in MAC

Ambitious as it is, the TSM plan is on track.An important objective as we move forward isto encourage mining companies that don’tbelong to MAC to adopt TSM, its guidingprinciples and its obligations.

For the Canadian mining industry, theTowards Sustainable Mining initiative, orTSM, is about many things. It’s aboutearning our social licence to operate. It’sabout improving our reputation by better-ing our performance. It’s about aligningour actions with the priorities and valuesof Canadians, about finding commonground with our communities of interest.

Members of The Mining Association ofCanada (MAC) subscribe to the TSM

guiding principles, a set of commitmentsthat address all areas of our industry’s per-formance.

These guiding principles are backed byspecific performance indicators, whichcompanies report against each year.Performance indicators help to showCanadians what the industry’s currentperformance is and how it can beimproved.

Respect for human rights, respect for thecultures and customs of the people we workwith, and recognition of the unique role andcontribution of indigenous peoples – theseare fundamental goals for TSM. These goalsmake good business sense, and they are thekey to the mining industry’s future.

In 2003 MAC developed performance indi-cators for four initial areas: tailings manage-ment, energy use and greenhouse gas man-agement, external outreach and corporatecrisis management planning. In three ofthese areas – tailings management, energyuse and greenhouse gas management, andexternal outreach – the indicators are sup-ported by a ranking system and clear criteriafor evaluating performance and monitoringprogress. For each indicator there are fivelevels of performance, with criteria for eachlevel. In general, the levels represent the fol-lowing degrees of activity:

Level 1 No action has been taken; activi-ties purely reactive, no systems inplace

Level 2 Some actions, but sporadic andnot fully documented;systems/processes planned andbeing developed

Level 3 Systems/processes are developedand implemented

Level 4 Integration into managementdecisions and business functions

Level 5 Excellence and leadershipA reporting company selects the level thatmost clearly represents the company’s orfacility’s performance. Only one level can bechosen for each indicator, and it can be cho-sen only if all criteria for that level and allpreceding levels have been met.

In the case of corporate crisis managementplanning, companies assess their performanceagainst criteria by answering yes/no (metrequirements/did not meet requirements).One of the indicators in this area – adher-ence to best practices – applies to MACitself. This indicator requires that MAC’sGuidelines for Corporate Crisis ManagementPlanning be reviewed and updated every twoyears to reflect best practices in the industry.

MAC members report their assessments eachyear in the TSM Progress Report. Informationon the performance indicators, including thecriteria for each level, is included in thereport and at www.mining.ca/english/tsm/p-indicators.html.

Moving Towards ExternalVerificationThe 2004 results for performance indicatorspublished in the TSM Progress Report arebased on company self-assessments. TheMAC Board felt that self-assessment was anecessary first step to familiarize companieswith the TSM indicators and the reportingprocess. However, the Board also recognizesthat it is crucial to assure MAC members andcommunities of interest that the reportedresults are consistent and accurate.

The Board has thus endorsed a three-stepapproach to phasing in a TSM verificationsystem:

■ Year 1 (2004): Members self-assess andsubmit performance data to MAC forreporting on an aggregate basis in the2004 TSM Progress Report.

■ Year 2 (2005): As above. MAC mem-bers will be asked to acknowledge TSMin their annual or sustainable develop-ment reports. Audit protocols will bedeveloped and tested.

■ Year 3 (2006): External verification ofthe TSM performance indicators resultswill be undertaken by each reportingcompany.

To implement the verification system and tomake reporting more consistent across themembership, TSM initiative leaders frommember companies are working together todevelop audit protocols for all performanceindicators. The protocols should be ready forpiloting in 2005 and then employed in exter-nal verification in 2006.

In 2006 MAC will assess the verification pro-gram and, with advice from the TSMCommunity of Interest Advisory Panel, willdetermine whether further steps are neededto meet TSM objectives. This process willinclude a review of the information beingreported and an evaluation of the effective-ness of external verifiers.

COMMUNITYTHE PATH FORWARD

HEALTH & SAFETY Performance IndicatorsOUR COMMITMENT TSM PERFORMANCE INDICATORS

Aboriginal elders take pause during a fish palatability study at theDiavik diamond mine.

Criteria for MAC membership

Self-auditing by MAC member companies leading to external verification

Development of Performance Elements

Internal Alignment /Limited External Dialogue

Guiding Principles /Internal Alignment

Initial Gap Analysis

COI Advisory Panel

TSM Reporting

2000 2001 2002 2003 2004 2005

TSM’s Path Forward

This brochure is printed on recycled paper. Please recycle after use.

Tailings ManagementEnergy Use and

Greenhouse Gas (GHG)Emissions Management

External OutreachCorporate Crisis

Management Planning

Tailings management policyand statement of commitments

Energy use and GHGemissions management systems

Community of interest (COI)identification process

Corporate crisis managementpreparedness

Tailings management system Energy use and GHGemissions reporting systems

Effective COI communicationsand engagement processes Annual review

Responsibility for tailingsmanagement assigned to a senior official

Energy intensity performance COI response mechanism Training

Annual senior managementreview

GHG emissions intensityperformance Reporting performance Adherence to best practices

Operation, maintenance andsurveillance (OMS) manual

In November 2004 the MAC Board made TSM a condition of membership, requiring all member companies toendorse the TSM Guiding Principles and commit to reporting on TSM performance elements within three years.

MAC TSN Broch V2 Eng April 6.qxp 4/6/2005 12:22 PM Page 1

In 2002 MAC’s Board of Directors adopted a three-year plan for TSM that includes some ambitious tasks:

■ developing performance indicators for tailings management, energy management, external outreach and crisiscommunications management

■ developing additional indicators for newperformance areas

■ establishing a Community of InterestAdvisory Panel

■ designing a system to verify performance

■ developing TSM-based criteria for mem-bership in MAC

Ambitious as it is, the TSM plan is on track.An important objective as we move forward isto encourage mining companies that don’tbelong to MAC to adopt TSM, its guidingprinciples and its obligations.

For the Canadian mining industry, theTowards Sustainable Mining initiative, orTSM, is about many things. It’s aboutearning our social licence to operate. It’sabout improving our reputation by better-ing our performance. It’s about aligningour actions with the priorities and valuesof Canadians, about finding commonground with our communities of interest.

Members of The Mining Association ofCanada (MAC) subscribe to the TSM

guiding principles, a set of commitmentsthat address all areas of our industry’s per-formance.

These guiding principles are backed byspecific performance indicators, whichcompanies report against each year.Performance indicators help to showCanadians what the industry’s currentperformance is and how it can beimproved.

Respect for human rights, respect for thecultures and customs of the people we workwith, and recognition of the unique role andcontribution of indigenous peoples – theseare fundamental goals for TSM. These goalsmake good business sense, and they are thekey to the mining industry’s future.

In 2003 MAC developed performance indi-cators for four initial areas: tailings manage-ment, energy use and greenhouse gas man-agement, external outreach and corporatecrisis management planning. In three ofthese areas – tailings management, energyuse and greenhouse gas management, andexternal outreach – the indicators are sup-ported by a ranking system and clear criteriafor evaluating performance and monitoringprogress. For each indicator there are fivelevels of performance, with criteria for eachlevel. In general, the levels represent the fol-lowing degrees of activity:

Level 1 No action has been taken; activi-ties purely reactive, no systems inplace

Level 2 Some actions, but sporadic andnot fully documented;systems/processes planned andbeing developed

Level 3 Systems/processes are developedand implemented

Level 4 Integration into managementdecisions and business functions

Level 5 Excellence and leadershipA reporting company selects the level thatmost clearly represents the company’s orfacility’s performance. Only one level can bechosen for each indicator, and it can be cho-sen only if all criteria for that level and allpreceding levels have been met.

In the case of corporate crisis managementplanning, companies assess their performanceagainst criteria by answering yes/no (metrequirements/did not meet requirements).One of the indicators in this area – adher-ence to best practices – applies to MACitself. This indicator requires that MAC’sGuidelines for Corporate Crisis ManagementPlanning be reviewed and updated every twoyears to reflect best practices in the industry.

MAC members report their assessments eachyear in the TSM Progress Report. Informationon the performance indicators, including thecriteria for each level, is included in thereport and at www.mining.ca/english/tsm/p-indicators.html.

Moving Towards ExternalVerificationThe 2004 results for performance indicatorspublished in the TSM Progress Report arebased on company self-assessments. TheMAC Board felt that self-assessment was anecessary first step to familiarize companieswith the TSM indicators and the reportingprocess. However, the Board also recognizesthat it is crucial to assure MAC members andcommunities of interest that the reportedresults are consistent and accurate.

The Board has thus endorsed a three-stepapproach to phasing in a TSM verificationsystem:

■ Year 1 (2004): Members self-assess andsubmit performance data to MAC forreporting on an aggregate basis in the2004 TSM Progress Report.

■ Year 2 (2005): As above. MAC mem-bers will be asked to acknowledge TSMin their annual or sustainable develop-ment reports. Audit protocols will bedeveloped and tested.

■ Year 3 (2006): External verification ofthe TSM performance indicators resultswill be undertaken by each reportingcompany.

To implement the verification system and tomake reporting more consistent across themembership, TSM initiative leaders frommember companies are working together todevelop audit protocols for all performanceindicators. The protocols should be ready forpiloting in 2005 and then employed in exter-nal verification in 2006.

In 2006 MAC will assess the verification pro-gram and, with advice from the TSMCommunity of Interest Advisory Panel, willdetermine whether further steps are neededto meet TSM objectives. This process willinclude a review of the information beingreported and an evaluation of the effective-ness of external verifiers.

COMMUNITYTHE PATH FORWARD

HEALTH & SAFETY Performance IndicatorsOUR COMMITMENT TSM PERFORMANCE INDICATORS

Aboriginal elders take pause during a fish palatability study at theDiavik diamond mine.

Criteria for MAC membership

Self-auditing by MAC member companies leading to external verification

Development of Performance Elements

Internal Alignment /Limited External Dialogue

Guiding Principles /Internal Alignment

Initial Gap Analysis

COI Advisory Panel

TSM Reporting

2000 2001 2002 2003 2004 2005

TSM’s Path Forward

This brochure is printed on recycled paper. Please recycle after use.

Tailings ManagementEnergy Use and

Greenhouse Gas (GHG)Emissions Management

External OutreachCorporate Crisis

Management Planning

Tailings management policyand statement of commitments

Energy use and GHGemissions management systems

Community of interest (COI)identification process

Corporate crisis managementpreparedness

Tailings management system Energy use and GHGemissions reporting systems

Effective COI communicationsand engagement processes Annual review

Responsibility for tailingsmanagement assigned to a senior official

Energy intensity performance COI response mechanism Training

Annual senior managementreview

GHG emissions intensityperformance Reporting performance Adherence to best practices

Operation, maintenance andsurveillance (OMS) manual

In November 2004 the MAC Board made TSM a condition of membership, requiring all member companies toendorse the TSM Guiding Principles and commit to reporting on TSM performance elements within three years.

MAC TSN Broch V2 Eng April 6.qxp 4/6/2005 12:22 PM Page 1

In 2002 MAC’s Board of Directors adopted a three-year plan for TSM that includes some ambitious tasks:

■ developing performance indicators for tailings management, energy management, external outreach and crisiscommunications management

■ developing additional indicators for newperformance areas

■ establishing a Community of InterestAdvisory Panel

■ designing a system to verify performance

■ developing TSM-based criteria for mem-bership in MAC

Ambitious as it is, the TSM plan is on track.An important objective as we move forward isto encourage mining companies that don’tbelong to MAC to adopt TSM, its guidingprinciples and its obligations.

For the Canadian mining industry, theTowards Sustainable Mining initiative, orTSM, is about many things. It’s aboutearning our social licence to operate. It’sabout improving our reputation by better-ing our performance. It’s about aligningour actions with the priorities and valuesof Canadians, about finding commonground with our communities of interest.

Members of The Mining Association ofCanada (MAC) subscribe to the TSM

guiding principles, a set of commitmentsthat address all areas of our industry’s per-formance.

These guiding principles are backed byspecific performance indicators, whichcompanies report against each year.Performance indicators help to showCanadians what the industry’s currentperformance is and how it can beimproved.

Respect for human rights, respect for thecultures and customs of the people we workwith, and recognition of the unique role andcontribution of indigenous peoples – theseare fundamental goals for TSM. These goalsmake good business sense, and they are thekey to the mining industry’s future.

In 2003 MAC developed performance indi-cators for four initial areas: tailings manage-ment, energy use and greenhouse gas man-agement, external outreach and corporatecrisis management planning. In three ofthese areas – tailings management, energyuse and greenhouse gas management, andexternal outreach – the indicators are sup-ported by a ranking system and clear criteriafor evaluating performance and monitoringprogress. For each indicator there are fivelevels of performance, with criteria for eachlevel. In general, the levels represent the fol-lowing degrees of activity:

Level 1 No action has been taken; activi-ties purely reactive, no systems inplace

Level 2 Some actions, but sporadic andnot fully documented;systems/processes planned andbeing developed

Level 3 Systems/processes are developedand implemented

Level 4 Integration into managementdecisions and business functions

Level 5 Excellence and leadershipA reporting company selects the level thatmost clearly represents the company’s orfacility’s performance. Only one level can bechosen for each indicator, and it can be cho-sen only if all criteria for that level and allpreceding levels have been met.

In the case of corporate crisis managementplanning, companies assess their performanceagainst criteria by answering yes/no (metrequirements/did not meet requirements).One of the indicators in this area – adher-ence to best practices – applies to MACitself. This indicator requires that MAC’sGuidelines for Corporate Crisis ManagementPlanning be reviewed and updated every twoyears to reflect best practices in the industry.

MAC members report their assessments eachyear in the TSM Progress Report. Informationon the performance indicators, including thecriteria for each level, is included in thereport and at www.mining.ca/english/tsm/p-indicators.html.

Moving Towards ExternalVerificationThe 2004 results for performance indicatorspublished in the TSM Progress Report arebased on company self-assessments. TheMAC Board felt that self-assessment was anecessary first step to familiarize companieswith the TSM indicators and the reportingprocess. However, the Board also recognizesthat it is crucial to assure MAC members andcommunities of interest that the reportedresults are consistent and accurate.

The Board has thus endorsed a three-stepapproach to phasing in a TSM verificationsystem:

■ Year 1 (2004): Members self-assess andsubmit performance data to MAC forreporting on an aggregate basis in the2004 TSM Progress Report.

■ Year 2 (2005): As above. MAC mem-bers will be asked to acknowledge TSMin their annual or sustainable develop-ment reports. Audit protocols will bedeveloped and tested.

■ Year 3 (2006): External verification ofthe TSM performance indicators resultswill be undertaken by each reportingcompany.

To implement the verification system and tomake reporting more consistent across themembership, TSM initiative leaders frommember companies are working together todevelop audit protocols for all performanceindicators. The protocols should be ready forpiloting in 2005 and then employed in exter-nal verification in 2006.

In 2006 MAC will assess the verification pro-gram and, with advice from the TSMCommunity of Interest Advisory Panel, willdetermine whether further steps are neededto meet TSM objectives. This process willinclude a review of the information beingreported and an evaluation of the effective-ness of external verifiers.

COMMUNITYTHE PATH FORWARD

HEALTH & SAFETY Performance IndicatorsOUR COMMITMENT TSM PERFORMANCE INDICATORS

Aboriginal elders take pause during a fish palatability study at theDiavik diamond mine.

Criteria for MAC membership

Self-auditing by MAC member companies leading to external verification

Development of Performance Elements

Internal Alignment /Limited External Dialogue

Guiding Principles /Internal Alignment

Initial Gap Analysis

COI Advisory Panel

TSM Reporting

2000 2001 2002 2003 2004 2005

TSM’s Path Forward

This brochure is printed on recycled paper. Please recycle after use.

Tailings ManagementEnergy Use and

Greenhouse Gas (GHG)Emissions Management

External OutreachCorporate Crisis

Management Planning

Tailings management policyand statement of commitments

Energy use and GHGemissions management systems

Community of interest (COI)identification process

Corporate crisis managementpreparedness

Tailings management system Energy use and GHGemissions reporting systems

Effective COI communicationsand engagement processes Annual review

Responsibility for tailingsmanagement assigned to a senior official

Energy intensity performance COI response mechanism Training

Annual senior managementreview

GHG emissions intensityperformance Reporting performance Adherence to best practices

Operation, maintenance andsurveillance (OMS) manual

In November 2004 the MAC Board made TSM a condition of membership, requiring all member companies toendorse the TSM Guiding Principles and commit to reporting on TSM performance elements within three years.

MAC TSN Broch V2 Eng April 6.qxp 4/6/2005 12:22 PM Page 1

GR

OU

ND

C O M M O N

A strategy for improving themining industry’s performanceby aligning its actions withthe priorities and values ofCanadians.

A process for finding commonground with our communitiesof interest, to build a bettermining industry today and inthe future.

The Mining Association of Canada

TOWARDS SUSTAINABLE MINING TSM

From the outset, TSM has beenabout performance.

When early research revealed thatthe mining industry needed to workon crisis communications prepared-ness, MAC developed Guidelines forCorporate Crisis ManagementPlanning, a leading-edge guide oncrisis management. Training work-shops were held across Canada.

Over the past few years, MAC hasalso developed best practice guidesand training workshops in tailingsmanagement, energy management,and external dialogue and outreach.Already, these efforts are betteringthe mining industry’s performanceand reinforcing its commitment tocontinuous improvement.

Public reporting on performancebegan in 2004. In the TowardsSustainable Mining Progress Reportand on the MAC web site, membersreport on how their performancemeasures up against specific perform-ance indicators. These indicators,which provide clear criteria for eval-uating performance, allow companiesto see not only how they are per-forming, but also how they canimprove.

To reflect the priorities and values ofthe industry and Canadians at large,performance indicators should bebased on common ground. To thatend, the TSM indicators have beendeveloped with the help of represen-tatives from the mining industry’scommunities of interest. As TSMmoves ahead, the Community ofInterest Advisory Panel will helpmake sure that the indicators remainrelevant, that reporting is transpar-ent and that the mining industry

stays focused on the issues that mat-ter to all Canadians.

WHO SUPPORTS TSM?

All members of The MiningAssociation of Canada take part inTSM. Our members represent a largepercentage of all mineral and metalproduction in Canada. They includecompanies involved in mining,smelting and refining of base andprecious metals, and companies thatmine iron ore, diamonds, oil sands,coal and industrial minerals. TheMining Association of BritishColumbia supports TSM, and we areencouraging other provincial miningassociations to follow suit.

SUSTAINABILITY

The Mining Association of Canada

TSM IN ACTION

TSM Makes the Connection

“The world is more connected than ever before. Whatever happens, wherever it happens, is known quickly around theglobe. In a very positive way, TSM helps the mining industry put social responsibility into practice, bridging any gap betweenindustry and community.”

TSMThe Mining Association of Canada (MAC) is the national organization of the Canadian mining industry.

For more information about MAC and TSM, visit The Mining Association of Canada’s web site

(www.mining.ca) or contact MAC by phone (613-233-9391) or by e-mail (mlafleche@mining.ca).

The Honourable John Efford, federal Ministerof Natural Resources, presents GordonPeeling, MAC’s President and CEO, with theVCR Leadership award for the association cat-egory for its “extraordinary commitment,action and/or leadership” towards the volun-tary reduction of GHG emissions. MAC is theonly industry association to win the awardtwice (2001, 2003).

– Derek Pannell, President and CEO of Noranda Inc.and Chair of the TSM Governance Team

A scenic view of Lake Superior at PukaskwaNational Park

Mining representatives tour Pukaskwa NationalPark, located near the Hemlo mining camp.

GR

OU

ND

As members of The Mining Association of Canada, our role is to responsibly meetsociety’s needs for minerals, metals and energy products. To achieve this we engagein the exploration, discovery, development, production, distribution and recyclingof these products. We believe that our opportunities to contribute to and thrive inthe economies in which we operate must be earned through a demonstrated com-mitment to sustainable development.*

Accordingly, our actions must demonstrate a responsible approach to social, eco-nomic and environmental performance that is aligned with the evolving prioritiesof our communities of interest.** Our actions must reflect a broad spectrum of val-ues that we share with our employees and communities of interest, including hon-esty, transparency and integrity. And they must underscore our ongoing efforts toprotect our employees, communities, customers and the natural environment.

GUIDING PRINCIPLES

C O M M O N

ENVIRONMENT

We will demonstrate leadership world-wide by:

■ involving communities of interestin the design and implementationof our Towards Sustainable Mininginitiative

■ proactively seeking, engaging andsupporting dialogue regarding ouroperations

■ fostering leadership throughout ourcompanies to achieve sustainableresource stewardship wherever weoperate

■ conducting all facets of our businesswith excellence, transparency andaccountability

■ protecting the health and safety ofour employees, contractors andcommunities

■ contributing to global initiatives topromote the production, use andrecycling of metals and minerals ina safe and environmentally respon-sible manner

■ seeking to minimize the impact ofour operations on the environmentand biodiversity, through all stagesof development, from explorationto closure

■ working with our communities ofinterest to address legacy issues,such as orphaned and abandonedmines

■ practising continuous improvementthrough the application of new tech-nology, innovation and best prac-tices in all facets of our operations

In all aspects of our business and oper-ations, we will:

■ respect human rights and treatthose with whom we deal fairly andwith dignity

■ respect the cultures, customs andvalues of people with whom ouroperations interact

■ recognize and respect the uniquerole, contribution and concerns ofAboriginal (First Nations, Inuitand Métis) and indigenous peoplesworldwide

■ obtain and maintain businessthrough ethical conduct

■ comply with all laws and regula-tions in each country where weoperate and apply the standardsreflecting our adherence to theseguiding principles and our adher-ence to best international practices

■ support the capability of communi-ties to participate in opportunitiesprovided by new mining projectsand existing operations

■ be responsive to community priori-ties, needs and interests through allstages of mining exploration, devel-opment, operations and closure

■ provide lasting benefits to localcommunities through self-sustain-ing programs to enhance the eco-nomic, environmental, social, edu-cational and health care standardsthey enjoy

TSM Governance

TSM is guided by the TSM GovernanceTeam, a committee led by MAC’s Boardof Directors. Within each member com-pany, TSM is supported by internal rep-resentatives called “initiative leaders.”Committees of MAC members lead thedevelopment of performance indicatorsand technical guidelines for implement-ing TSM.

Community ofInterest AdvisoryPanel

The TSM Community of InterestAdvisory Panel includes representativesfrom labour, Aboriginal organizationsand communities, NGOs, mining com-munities and the investment sector. The14-member panel, which held its found-ing meeting in March 2004, meets twicea year. Its mandate is to help MAC mem-bers and communities of interestimprove the industry’s performance, tofoster dialogue between the industry andits communities of interest, and to helpshape TSM goals.

* We draw on the 1987 BrundtlandCommission definition of sustainabledevelopment: “development that meetsthe needs of the present withoutcompromising the ability of futuregenerations to meet their own needs.”

** We use the term “communities ofinterest” to include all of the individualsand groups who have or believe theyhave an interest in the management ofdecisions about our operations that mayaffect them. This includes employees,contractors, Aboriginal or indigenouspeoples, mining community members,suppliers, customers, environmentalorganizations, governments, the financialcommunity and shareholders.

© T

he M

inin

g A

ssoc

iatio

n of

Can

ada

2005

MAC TSN Broch V2 Eng April 6.qxp 4/6/2005 12:23 PM Page 2

GR

OU

ND

C O M M O N

A strategy for improving themining industry’s performanceby aligning its actions withthe priorities and values ofCanadians.

A process for finding commonground with our communitiesof interest, to build a bettermining industry today and inthe future.

The Mining Association of Canada

TOWARDS SUSTAINABLE MINING TSM

From the outset, TSM has beenabout performance.

When early research revealed thatthe mining industry needed to workon crisis communications prepared-ness, MAC developed Guidelines forCorporate Crisis ManagementPlanning, a leading-edge guide oncrisis management. Training work-shops were held across Canada.

Over the past few years, MAC hasalso developed best practice guidesand training workshops in tailingsmanagement, energy management,and external dialogue and outreach.Already, these efforts are betteringthe mining industry’s performanceand reinforcing its commitment tocontinuous improvement.

Public reporting on performancebegan in 2004. In the TowardsSustainable Mining Progress Reportand on the MAC web site, membersreport on how their performancemeasures up against specific perform-ance indicators. These indicators,which provide clear criteria for eval-uating performance, allow companiesto see not only how they are per-forming, but also how they canimprove.

To reflect the priorities and values ofthe industry and Canadians at large,performance indicators should bebased on common ground. To thatend, the TSM indicators have beendeveloped with the help of represen-tatives from the mining industry’scommunities of interest. As TSMmoves ahead, the Community ofInterest Advisory Panel will helpmake sure that the indicators remainrelevant, that reporting is transpar-ent and that the mining industry

stays focused on the issues that mat-ter to all Canadians.

WHO SUPPORTS TSM?

All members of The MiningAssociation of Canada take part inTSM. Our members represent a largepercentage of all mineral and metalproduction in Canada. They includecompanies involved in mining,smelting and refining of base andprecious metals, and companies thatmine iron ore, diamonds, oil sands,coal and industrial minerals. TheMining Association of BritishColumbia supports TSM, and we areencouraging other provincial miningassociations to follow suit.

SUSTAINABILITY

The Mining Association of Canada

TSM IN ACTION

TSM Makes the Connection

“The world is more connected than ever before. Whatever happens, wherever it happens, is known quickly around theglobe. In a very positive way, TSM helps the mining industry put social responsibility into practice, bridging any gap betweenindustry and community.”

TSMThe Mining Association of Canada (MAC) is the national organization of the Canadian mining industry.

For more information about MAC and TSM, visit The Mining Association of Canada’s web site

(www.mining.ca) or contact MAC by phone (613-233-9391) or by e-mail (mlafleche@mining.ca).

The Honourable John Efford, federal Ministerof Natural Resources, presents GordonPeeling, MAC’s President and CEO, with theVCR Leadership award for the association cat-egory for its “extraordinary commitment,action and/or leadership” towards the volun-tary reduction of GHG emissions. MAC is theonly industry association to win the awardtwice (2001, 2003).

– Derek Pannell, President and CEO of Noranda Inc.and Chair of the TSM Governance Team

A scenic view of Lake Superior at PukaskwaNational Park

Mining representatives tour Pukaskwa NationalPark, located near the Hemlo mining camp.

GR

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As members of The Mining Association of Canada, our role is to responsibly meetsociety’s needs for minerals, metals and energy products. To achieve this we engagein the exploration, discovery, development, production, distribution and recyclingof these products. We believe that our opportunities to contribute to and thrive inthe economies in which we operate must be earned through a demonstrated com-mitment to sustainable development.*

Accordingly, our actions must demonstrate a responsible approach to social, eco-nomic and environmental performance that is aligned with the evolving prioritiesof our communities of interest.** Our actions must reflect a broad spectrum of val-ues that we share with our employees and communities of interest, including hon-esty, transparency and integrity. And they must underscore our ongoing efforts toprotect our employees, communities, customers and the natural environment.

GUIDING PRINCIPLES

C O M M O N

ENVIRONMENT

We will demonstrate leadership world-wide by:

■ involving communities of interestin the design and implementationof our Towards Sustainable Mininginitiative

■ proactively seeking, engaging andsupporting dialogue regarding ouroperations

■ fostering leadership throughout ourcompanies to achieve sustainableresource stewardship wherever weoperate

■ conducting all facets of our businesswith excellence, transparency andaccountability

■ protecting the health and safety ofour employees, contractors andcommunities

■ contributing to global initiatives topromote the production, use andrecycling of metals and minerals ina safe and environmentally respon-sible manner

■ seeking to minimize the impact ofour operations on the environmentand biodiversity, through all stagesof development, from explorationto closure

■ working with our communities ofinterest to address legacy issues,such as orphaned and abandonedmines

■ practising continuous improvementthrough the application of new tech-nology, innovation and best prac-tices in all facets of our operations

In all aspects of our business and oper-ations, we will:

■ respect human rights and treatthose with whom we deal fairly andwith dignity

■ respect the cultures, customs andvalues of people with whom ouroperations interact

■ recognize and respect the uniquerole, contribution and concerns ofAboriginal (First Nations, Inuitand Métis) and indigenous peoplesworldwide

■ obtain and maintain businessthrough ethical conduct

■ comply with all laws and regula-tions in each country where weoperate and apply the standardsreflecting our adherence to theseguiding principles and our adher-ence to best international practices

■ support the capability of communi-ties to participate in opportunitiesprovided by new mining projectsand existing operations

■ be responsive to community priori-ties, needs and interests through allstages of mining exploration, devel-opment, operations and closure

■ provide lasting benefits to localcommunities through self-sustain-ing programs to enhance the eco-nomic, environmental, social, edu-cational and health care standardsthey enjoy

TSM Governance

TSM is guided by the TSM GovernanceTeam, a committee led by MAC’s Boardof Directors. Within each member com-pany, TSM is supported by internal rep-resentatives called “initiative leaders.”Committees of MAC members lead thedevelopment of performance indicatorsand technical guidelines for implement-ing TSM.

Community ofInterest AdvisoryPanel

The TSM Community of InterestAdvisory Panel includes representativesfrom labour, Aboriginal organizationsand communities, NGOs, mining com-munities and the investment sector. The14-member panel, which held its found-ing meeting in March 2004, meets twicea year. Its mandate is to help MAC mem-bers and communities of interestimprove the industry’s performance, tofoster dialogue between the industry andits communities of interest, and to helpshape TSM goals.

* We draw on the 1987 BrundtlandCommission definition of sustainabledevelopment: “development that meetsthe needs of the present withoutcompromising the ability of futuregenerations to meet their own needs.”

** We use the term “communities ofinterest” to include all of the individualsand groups who have or believe theyhave an interest in the management ofdecisions about our operations that mayaffect them. This includes employees,contractors, Aboriginal or indigenouspeoples, mining community members,suppliers, customers, environmentalorganizations, governments, the financialcommunity and shareholders.

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