promoting competitive and responsible mining in …
TRANSCRIPT
PROMOTING COMPETITIVE AND RESPONSIBLE MINING IN COLOMBIA
Prospectors and Developers Association of Canada Convention Toronto, March 2014
PROGRESS
ANM MILESTONES
*
* RUCOM: Unique Register of Mineral Traders
ANM
NEW REGISTRATION INFORMATION SYSTEM • Re-opening of applications system.
3,916 new requests between July 2013 and February 2014
• Clear rules for entitlement. Standardized and transparent process.
• Assistance throughout the process
• Guaranties for the mining user. • First come first served • Support of control entities
World Bank about re-opening of the application system:
"Congratulations on the success of the inaugural session. Processing 2,188 requests in a single day is definitely (at least to my knowledge) a new world record. And if everything
went well, without fail and without incident, it is to be justifiably proud. "
TRANSPARENT MINING INFORMATION
• Procedures via web - Redesign of declaration, payment of royalties and surface rent into electronic forms
• Mining Management Integrated System: Project awarded to Canadian-
Mexican consortium Expected completion 2015
COMPREHENSIVE AUDIT 30
312
15.062
8%
53%
10.161
COMPREHENSIVE AUDIT Evidence of good mining practices
Cable
Improving roads
Ecological Activities
Cultural activities
Nursery
GREATER TRANSPARENCY AND CONTROL OF MINERAL COMMERCIALIZATION IN COLOMBIA
Unique Register of Mineral Traders - RUCOM
Online platform in operation since 12th of January, 2014
3.000
Requests for register
100%
Digitalized
MODERNIZING RESCUE EQUIPMENTS: A 30 YEAR LEAP
• Acquisition of latest technology of self-contained breathing equipment (265 units), renewing existing ones after 30 years of use
• Purchase of 5 mobile rescue units with a 6 tons capacity
INCREASED REGIONAL PRESENCE OF ANM BY 40%
MINING FACTS
37% OF EXISTING MINING TITLES ARE IN EXPLORATION STAGE
* February 20
Entitlement area of 5.3 M Ha 37% in exploration: 3,619 24% in assembly and construction: 2,349 39% in production: 3,737
ENTITLEMENT FOR PRECIOUS METALS ACCOUNTS FOR HALF OF THE TITLE UNIVERSE
11 STRATEGIC MINERALS: POTENTIAL OF AN UNEXPLORED TERRITORY
Source: ANM
Gold - 19.9 Mll Ha.
Copper - 12 Mll Ha.
Platinum - 1.9 Mll Ha.
Iron Ore - 1.8 Mll Ha.
Coal - 11.4 Mll Ha.
Coltan - 2.4 Mll Ha.
Potassium - 1.1 Mll Ha.
Magnesium - 0.5 Mll Ha.
Nickel - 0.5 Mll Ha.
Phosphate - 3.5 Mll Ha.
Uranium - 5.2 Mll Ha.
META
VICHADA
AMAZONAS
CAQUETA
GUAINIA
VAUPES
CHOCO
ANTIOQUIA
GUAVIARE
CAUCA
NARIÑO
CASANARE
CESAR
TOLIMA
HUILA
BOLIVAR
ARAUCA
BOYACA
SANTANDER
CORDOBA
PUTUMAYO
MAGDALENA
LA GUAJIRA
SUCRE
CUNDINAMARCA
VALLE DEL CAUCA
NORTE DE SANTANDER
CALDAS
ATLANTICO
RISARALDA
QUINDIO
SANTA FE DE BOGOTA D. C.
PRODUCTION 2013: 85,5 Mton
• Titles: 1,644 (552 in exp. and 559 in
prod.)
• 95% Thermal coal , 5% Metallurgic coal
• 90% Open Pit, 5% Underground mining PRODUCTION BY DEPARTAMENTS
• 92% in La Guajira and Cesar
• 8% in Cundinamarca, Boyacá, Norte de Santander and others (Córdoba, Antioquia,
Casanare, Cauca, Santander, y Valle del Cauca which producen less than 1 Mill Ton)
COAL
GOLD
PRODUCTION 2013: 55.8 Ton
• Titles: 2,036
• 1,162 in exploration and 349 in
production PRODUCTION BY DEPARTAMENTS
• 47% in Antioquia and 27% in Chocó
• 8% in Cauca and 6% in Nariño
• 4% in Bolívar and 3% in Caldas
• 5% Rest of the country
COPPER
PRODUCTION 2013: 4,000 Ton
• Titles: 744 • 539 in exploration and 11 in production High mineral potential discovered since the 1970s
Production projects: • “El Roble” Mine (Antioquia) Exploration projects: • Mocoa (Putumayo) • Santa Helena (Antoquia) • Comitá (Chocó) • Ramos-Laverde (Nariño)
GOING FORWARD
ANM’S VISION FOR THE MINIG SECTOR
Responsible mining through a virtous triangle.
SOCIAL CHALLENGES FOR MINING ACTIVITY
Within the next 5 years
THE PERCEPTION ABOUT MINING IS CHANGING
• Within the next years, 63% of mining companies intend to expand operations
• 66% considers mining to be positive for the country
• 78% believe that “well done” mining generates development in the regions
• 63% believe that it is possible to have a socially responsible mining activity
Source: Centro Nacional de Consultoría – Brújula Minera, 2014
Reduce operations Stay Expand operations
MINING IS A KEY DRIVER FOR THE 4G INFRASTRUCTURE PROJECT
Between 2015 y 2020, a new boost in demand for building materials
939 mill Ton of steel
11 mill. M3 of asphalt
12 mill. M3 of concrete
3 mill. Ml of drain pipe
SUPPORTING MINING FEASIBILITY
• High level support of strategic projects • CONPES PINES (3,762) • Timely and effective
management in order to make possible the future of Induprimas – Peldar and Sumicol – Corona
• Implementation of
public works in roadway corridors, ports infrastructure, rivers and railways
• Supporting title owners in implementing social clauses
THE GOVERMENT IS IMPROVING THE PROCESS IN PRIOR CONSULTATION
Improvement in prior consultation with the indigenous and Afro-descendant peoples
Presidential Directive to implement a guide
Inter-institutional Coordination Protocol (Decree 2613/2013)
Creation of inter-institutional committees
Simplification of process to obtain the certificate of presence of indigenous and Afro-descendant peoples (The Ministry of Interior)
Expediting legalization of prior consultation. Now with The Ministry of Interior (before, with ANLA)
In process, single window tool (“ventanilla única”) to follow environmental and social stages in projects.
STRATEGIC MINING AREAS
• Collaborative effort by several entities (Ministry of Mines, Geological Service, UPME, ANM)
• Support of World Bank in constructing tender methodology
• Data collection by the Colombian Geological Service
• Data diffusion policy
• Tender procedures (preparing information, launch and opening, qualification, award)