Mitigation Hierarchy Study Case

Los Bronces District Mine Chile.Alejandro Tamayo / Environmental SpecialistIAIA 2017 November

Content

● Biodiversity in AngloAmerican

● Los Bronces Copper Business Unit (Chile)

● Mitigation Hierarchy – Los Bronces District Mine Study Case

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Where is it and what does it produce?

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Operations and Projects

Coal

London

Lima

Santiago

Belo Horizonte Johannesburg

New DelhiBeijing

Singapore

Brisbane

Offices

Nickel

Platinum

Diamonds (De Beers)

Iron Ore and Manganese

Copper

Biodiversity Strategy

Strategy to ensure Anglo American can deliver positive biodiversity outcomes

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Mitigation(avoid, minimize)

Rehabilitated

Offset

Net Positive Impact

No Net Loss of Significant Biodiversity

Additional Conservation Outcomes / Action

Biodiversity Standard

Environment Policy and Biodiversity Strategy

Application of Mitigation Hierarchy

Full Compliance to Regulatory Requirements

Los Bronces Copper Business Unit

● Located 65 kilometers from Santiago (Capital of Chile, population 6 million people) and 3.500 meters above sea level Los Bronces is one of biggest copper mines in the world

● Los Bronces is an open pit mine and main facilities are:

● Mine, plant and services area● Slurry and water pipeline ● Tailings dam

● Los Bronces 2016 production was 307.200 copper tons

● One of the most important environmental permit was in 2007

● Los Bronces is located within biodiversity Hot Spot Central Chile near 2 protected areas: Los Nogales and Yerba Loca (both are Nature Sanctuaries, according environmental regulations) 5

Anglo American – Los Bronces Copper Business UnitMain Facilities Location

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Los Nogales and Yerba Loca Nature SanctuaryLos Bronces Influence Area

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Mitigation Hierarchy in Anglo AmericanCopper Business Unit Schema

● Biodiversity Partners: coverage area and hierarchy levels working together with copper business unit Chile

Subsidiarycompanies

Business Unit

Biodiversity business partners,,,,

Global or

International

National

RegionalOr Provincial

Local

Increasing area of coverage

Increasing level of focus and detail

Level

Fauna & Flora International

Fauna & Flora International

National conservation bodies

Local government

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Provincial government

Conservation NGO’s

Bodies

Local NGO’s

Local communities

Biodiversity Cooper business partners

…”Making Mining in Central Chile a Challenge”…Hennie Faul, Copper CEO

● Los Bronces copper reserves

● Environmental impacts and land uses

● Many interests on territory

● Climate changes effects

● Sensible environmental assets

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El Mercurio (29/09/17)

El Pulso (24/08/17)

Los Bronces Mitigation Hierarchy: Optimize Positive Impacts and Opportunities

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Los Nogales Nature Sanctuary

● Los Nogales Sanctuary Statement dated on 1973. Defined Area : 11000 hectares, Anglo American is the owner of the 45% of it.

● The main objectives of Sanctuary are protect and motivate flora and fauna researches inside it.

● Statement highlight biodiversity and ecology value of mountains area in Chilean central zone.

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Los Nogales Nature SanctuarySustainability Land Use Plan

● Objectives● Management of conservation objects in relation to

their sensibilities to human use● Land use according to traditional culture and

interesting of conservation objects● Ensure good conditions of conservation objects

(restauration)● Collaboration on main activities with owners.

● Biodiversity Conservation Context (WCS Methodology):

● Private and public conservation strategy (working with partners)

● Key biodiversity elements● Identification of biodiversity conservation objects

● Owners. Sanctuary has 3 privates owners● A Parcel (1). Compañía Agrícola Los Nogales 4100

hectares● B Parcel (2). Anglo American 4950 hectares● C Parcel(3). Hacienda Los Nogales Society 1950

hectares12

Los Nogales Sustainability Plan Schedule

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1st Stage

• Los Nogales Nature Sanctuary information analyses

• Finished

2nd Stage

• Conservation objects analysis

• Collaboration work: meetings, field data collection, others.

• Ongoing

3rd Stage

• Definition best uses to land according conservation objects

• Mapping zones for sustainability management

• Ongoing

4th Stage

• Action plans definition (restauration and sustainability land use and natural resources

• 2017 December

Los Nogales Nature Sanctuary - Geographic Context

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SlopeDEM Aspect Hydrography Isotherm

Land Use Infrastructure Landsat RGB Landsat NDVI

Focus and Priority Conservation Objects

LO BARNECHEAMOUNTAIN AREA

Wetlands

Water System

Los Andes Mountain

Vegetation

Condor

Frangel Scrub

sensible flora and fauna site Hydrologic regulation Stockbreeding Use

Natural hazards detention Flora and fauna habitat Low resilience

Los Andes iconic specie Touristic attraction Ecologic role

Representative distribution Ecologic role (resource)

Ecosystem integrity maintenance Consumption and recreation

activities

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Hydrologic System Analyses

WATER SYSTEM

ResourceExtraction without

permits

Water Contamination

Insufficient control by authorities

Insufficient monitoring planning measures

Precipitation regimen change by

climate change

Lack of mitigation and adaptation measures

WaterStorage and provision

Unique Habitats

Recreation

Clean water access

Feel good sensation

Preserve Cultural tradition

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Indirect Threat Direct Threat Eco systemic Service Human Comfort

Los Andes Mountains Vegetation Analyses

LOS ANDES VEGETATION

Overuse by stockbreeding

activitiesLack of stockbreeding management and

adaptability to current mountain situation

Precipitation regimen change by

climate change

Industrial building

Reduction of mitigation and adaptability measures

Overlay regulatory instruments and

authorities interests

Flow regulation and snow

preservation

Protected Slope

Carbon footprint control

Particular material retention

Cleaning water process

Cleaning air process

Natural hazards protection

Indirect supplies

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Indirect Threat Direct Threat Eco systemic Service Human Comfort

Conservation Objects: Mapping and Zonification

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Water System Condor Habitat Wetlands System Vegetation SystemProductive and Services Area

Equal Areas

Conservation objects overlayand conservation priority

definition accordingsensitive of each one

Conservation Objects Overlay Priority

0 Low

1 Low

2 Medium

3 Medium

4 High

5 High

Our Proposal on Land Use

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Land Use Area (Hectares) %

Low PriorityConservation 2.233 20,3

Medium PriorityConservation 7.698 69,9

High PriorityConservation 401 3,7

Industry and Services Area 668 6,1

TOTAL 11.000 100,0

Ongoing and Next Steps

Los Nogales Sustainability Land Use Plan

● Zonification Process:● Discussion and validation process with owners● Detailed analysis on High Conservation Zone

● Action Plan:● Stakeholders: Ongoing education and knowledge process● Restauration pilot Project on high or medium priority zone (species from Explorador Quilapilun Park / Garden

Center)

● Process Results Communication:● Authorities● Neighbors communities● Stakeholders and others

Another Mitigation Hierarchy Activities

● Ongoing collaboration process with Lo Barnechea Local Authority in Sustainability Land Use Plan for Yerba Loca Nature Sanctuary

● Ongoing collaboration on diffusion education biodiversity program20

“Parque Explorador Quilapilún”Biodiversity Inside Copper Business Unit

● Anglo American Explorador Quilapilún Park, is the first botanic garden within the Santiago Region to grow and preserve native flora and vegetation species

● Its area is 4,5 hectares, the Park included more than 30.000 natives trees and plants of Chilean Central. This means to be the first researcher and diffusion center of central Chilean native flora and vegetation

● There is a garden center where native plants species will be produced for future conservation activities

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Cactochilensis enParque Quilapilún

Cactochilensis enSantuario Los Nogales

Final Words

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THANK YOU