mining and sustainability – working together · mining and sustainability – working together...
TRANSCRIPT
Mining and Sustainability – Working Together
United Nations Commission on Sustainable DevelopmentNew York, Friday April 9, 2010
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BHP Billiton
Lihir Gold
MMG
ICMM member companies
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Barrick
Goldcorp
Teck
Vale
Mitsubishi Materials
Nippon Mining & Metals
Sumitomo Metal Mining
African Rainbow Minerals
AngloGold Ashanti
Gold Fields
Xstrata
Anglo American
Lonmin
Rio Tinto
Freeport-McMoRan Copper & Gold
Newmont
Australia
Brazil
Canada
Japan
South Africa
Switzerland
United Kingdom
United States
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ICMM member associations AmericasCámara Argentina de Empresarios MinerosCámara Asomineros Andi - Colombia Cámara Minera de México Cámara Minera de Venezuela Consejo Minero de Chile A.G. Instituto Brasileiro de Mineraçao - Brazil Mining Association of Canada National Mining Association - USAProspectors and Developers Association of CanadaSociedad Nacional de Minería - ChileSociedad Nacional de Minería, Petróleo y Energía – Peru
AfricaChamber of Mines of South AfricaMining Industry Associations of Southern Africa
EuropeEurometaux Euromines
Asia-PacificChina International Mining GroupFederation of Indian Mineral IndustriesIndonesian Mining Association Japan Mining Industry AssociationMinerals Council of Australia
Commodity AssociationsCobalt Development InstituteInternational Aluminium Institute International Copper AssociationInternational Lead AssociationInternational Molybdenum Association International Wrought Copper Council International Zinc Association Nickel Institute World Coal InstituteWorld Gold Council
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Location of member operations
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Over 500 sites in 59 countries
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Key Trends
1. People
2. Environment
3. Mining and Metals
4. Collaboration
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Key Trends - People
pressing need to address poverty, nutrition and health, particularly in emerging nations
enhanced involvement of local interests in decision-making
growing concern about respecting indigenous peoples’ values and concerns
increased demand for transparency
increased focus on respecting human rights
ongoing conflict in weak governance zones
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Key Trends - Environment
growing concerns about maintaining ecosystem integrity
growing emphasis on water, energy, biodiversity
continuing concerns about climate change
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Key Trends – Metals and Mining
worldwide consumption of key mined commodities UP;
demand in emerging economies UP;
increased dependence on metals to support a shift to a “green”economy;
increased role of developing regions in mineral production;
growing role of mining in the developing countries’ economies;
growing pressure to ensure consistency in the application of standards within countries, between countries, across the industry from small to large players;
increased efforts to deal with artisanal and small scale mining– on its own and in relationship to large scale mining
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Key Trends - Collaboration
growing formal recognition that no one party can do it alone;
delineating a fair distribution of benefits, costs, risks and responsibilities;
gaining the capacity and skills needed to do so (all).
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Understanding the System
1. Mine Project Life Cycle
2. Metals and Minerals Life Cycle
3. Ripple Affect
4. Communities of Interest
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Mine project life cycle
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Metals and minerals life cycle
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Ripple Affect
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DIRECT OUTPUTS
BENEFITS AND COSTSTO PEOPLE
all communities of interest
METAL AND MINERALPRODUCTS
BENEFITS AND COSTSTO THE ENVIRONMENTEnvironmental stress and
restoration: chemical,physical, biological
METAL AND MINERALSINDUSTRY
INDIRECT OUTPUTSBenefits and costs to
downstream consumers,operations,
communities andecosystems because of
enhanced supply of metal and mineral
products
DIRECT INPUTSStakeholder engagement,
labour, land, water,energy, feedstocks,
reagents and supplies
INDIRECT INPUTSBenefits and costs toupstream consumers,
operations,communities,and
ecosystems because ofdemand for inputs
Interests important to mining
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What is SD leadership?
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Leadership: walking the talk – a public statement of sustainability commitments supported by actions that deliver on the public promise of the CEO
Leadership: addressing both what (the substance) and how (the process) it is done
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ICMM member commitments
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1. Implement ethical business practices and apply good corporate governance
2. Integrate SD in corporate decision- making
3. Uphold fundamental human rights 4. Manage risks based on sound science5/6. Improve environment, health and
safety performance continuously7. Conserve biodiversity & conduct
integrated land use planning8. Apply materials and product
stewardship9. Contribute to community development 10. Publicly report, independently assure
and engage openly and transparently
Mining and Protected AreasMining: Partnerships for DevelopmentClimate ChangeMining and Indigenous PeoplesMercury Risk ManagementTransparency of Mineral RevenuesMineral Resources and Economic Development
10 Principles for Sustainable Development 7 Position Statements
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ICMM Programs
1. Reporting & Assurance
2. Socio-economic Contribution
•Resource Endowment• Community
3. Environmental Contribution
4. Health & Safety• Worker• Community
5. Materials Stewardship
Mining and Metals ContributionAccountability &Continuous Learning
6. Communications 7. Strategy and Administration
Core services
Associations Co-ordination Group
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ICMM Publications
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Mining’s macroeconomic contribution
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Foreign Direct Investment
Exports
Government Revenue
National Income (GDP & GNI)
Employment
60% - 90%
30% - 60%
3% - 20%
3% - 10%
1% - 2%
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(Tanzania since 2000: more than $2 billion of the $3 billion total FDI flows)
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Tanzania – The Sharing of Mining Revenues
Production costs 57%
Government taxes and royalties 15%
Shareholders 11%Loans and interests 10%Capital investment 7%
Estimated to total $25 billion - 1999-2034 from existing 6 mines.
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TANZANIA GDP: per capita growth (1950-2007)
-8%
-6%
-4%
-2%
0%
2%
4%
6%
8%
10%
12%
1951
1953
1955
1957
1959
1961
1963
1965
1967
1969
1971
1973
1975
1977
1979
1981
1983
1985
1987
1989
1991
1993
1995
1997
1999
2001
2003
2005
2007
Tanzania Founded
New Mining Codes
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+
-
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Overall goal of ‘Mining: Partnerships for Development’
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Scope for many more partnerships under MPfD
Goal of MPfD –To encourage a flourishing of multi-stakeholder partnerships
to enhance mining’s socio economic impacts across six
priority areas
1. Poverty reduction
4. Local Content
3. Regional Development
2. Revenue Management
5. Social Investment
6. Dispute Resolution
Civil Society
Comp- anies
Host Gov’t
Donor Agency
Civil Society
Comp- anies
Host Gov’t
Donor Agency
Civil Society
Comp- anies
Host Gov’t
Donor Agency
Civil Society
Comp- anies
Host Gov’t
Donor Agency
Civil Society
Comp- anies
Host Gov’t
Donor Agency
Civil Society
Comp- anies
Host Gov’t
Donor Agency
Priority areas
Partnerships
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Progress, Lessons and Future Directions
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Overarching
1. Systems perspective: mine life cycle, mineral life cycle, ripple affect, interests
2. Overall contribution to human and ecosystem wellbeing
Process
3. Engagement; collaboration
4. Transparency and accountability
5. Human rights
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Progress, Lessons and Future Directions
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Substance
6. Fair distribution of benefits, costs, risks and responsibilities
7. Indigenous people
8. Worker Health and Safety
9. Community health and well-being
10.Artisanal and small scale mining
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Progress, Lessons and Future Directions
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Substance
11.Climate change
12.Biodiversity
13. Integrated materials management
14.Post-closure implications
15.Consistency in standards and performance: within countries, between countries, across the industry from juniors to majors
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