Environmental regulation supporting the development of mine water management case Terrafame Mine

Transcription

1 Environmental regulation supporting the development of mine water management case Terrafame Mine PhD student, M.Sc. (Law), B.Sc. (Economic Geology) Saara Österberg , EELF 2017 Copenhagen

2 Content 1. Object and task (2) 2. Methodology (1) 3. Ex post evaluation (1) 4. Case Terrafame (5) 5. Preliminary results of the study (1) 2

3 Object and task The object of the research project is to discern the role of environmental regulation in R&D of mine water management during the mine lifecycle through case studies (in Finland) 1. Exploration 2. Mine development 3. Mine operation 4. Closure 3

4 The task of this case study is to analyze how environmental regulation has affected the R&D of mine water management in Terrafame mine through the law enforcement Environmental permits 1. Regional State Environmental Agency 2. Vaasa Administrative Court 3. Supreme Administrative Court Supervising permits Centre for Economic Development, Transport and the Environment (ELY) 4

5 Methodology qualitative empirical legal research case-study: investigating contemporary phenomen within real-life context (Yin 1994) in-depth investigation, descriptive analysis: How environmental regulation has affected the R&D of mine water management in this case? Combining the innovation approach (focused in the final product) and the process approach (focused in the R&D process) to recognize effects of law enforcement on innovations of mine water management to recognize the interactive mechanism between the law enforcement and the R&D process of the mine 5

6 Ex post evaluation The evaluation of existing laws and regulations through ex post impact analysis is necessary to ensure that they are effective and efficient. (OECD 2015) 1. How the innovation goals of environmental regulation concerning the mine water management have been achieved in the case Terrafame? (innovation approach) Vedung s side-effect model 2. How the effectiveness of environmental decisions has been built on the interaction between the enforcement authority/court and the mining company? (process approach) 6

7 Case Terrafame Mine A Finnish multi-metal mining company Products: Nickel (NiCoS) Ni 50%, Zinc (ZnS) Zn 60%, Copper (CuS) One of the largest known sulfide Ni/Zn deposits in Europe Production methods: 1. Quarrying 2. Crushing 3. Agglomeration 4. Bioheapleaching 5. Metal production Outside operation Metal Factory Metal Production (2016) Nickel t (aim t) Zinc t Total quarrying 14.2 Mt (the annual aim of ore production 18.0 Mt) 7

8 History of Terrafame Mine The deposit of Talvivaara was originally found in 1977 by the Geological Survey of Finland (GTK). The sulfide nickel deposit was large but too poor for existing extractive technology The mining rights were obtained by Outokumpu Corp. and were sold to mining engineer Pekka Perä in The testing of bioheapleaching in Ni extraction from black-schist ore of Talvivaara deposit was started earlier and the results were promising The Talvivaara Mining Company was established in The company was listed on the London Stock Exchange in Environmental permit of the mine was obtained in 2007 and the mining was started in late 2008 The problems of the Talvivaara Mining Company were cumulated in consequence of the insufficient mine water management, problems in the ramp-up of the fullscale production, uncertainty of the funding and the fall of metal prices. The situation degenerated into social conflict after a leak of mine waste water from a gypsum waste pond in late The company decided to file for bankruptcy in State-owned Terrafame Ltd acquired the operations and assets in August

9 Mine Wastewater Management System of Terrafame (Simplified) Closed water cycle in metal factory (from 2013), no wastewater The annual rain and snowmelt means 6-10 Mm 3 water to the catchment area of the mine Water (rain and snowmelt) + outside mining operation + metal-containing soil = wastewater Wastewater ponds The Central Wastewater Treatment Plant Lime neutralization BAT, cost-efficient, automatic, efficent metal precipitation (Before 1/2017 a couple of small lime neutralization plants) H 2 O + Na 2 SO 4 Bioheapleaching process NaFe 3+ 3(SO 4 ) 2 (OH) 6 Evaporation Metal production Reject with sulphate (2016: 5700t SO 4 ) H 2 O Neutralization Reverse Osmosis Plant Membrane purification processes for sulphate containing water (2016: 0,7Mm 3 pure water) Water discharge to the Lake Nuasjärvi (pipeline) or nearby watercourse areas (2016: 9,6 Mm 3 ) 9

10 Mine water management and the law enforcement 08/ /2017 Water at mine site 10,1Mm 3 (1/16) 7,3Mm 3 (7/16) 4,6Mm 3 (10/16) 3,8Mm 3 (12/16) 3,0Mm 3 (03/17) Aim of the water balance 1-3Mm 3 Terrafame started the mining (08/15), new waterbinding ore to the bioheapleaching process TF started additional discharges of purified sulphate-containing water from mine site because of the endangered dam security (SNOWMELT 12/15) TF started to lead the sulphatecontaining reject of RO-plant to the bioheapleaching (3/16 ) TF started again additional discharges because of the endangered dam security (SNOWMELT 04/16) TF started the Central Wastewater Treatment Plant (1/17) Administra tive Court Decision: maximum emission of sulphate t/year, 1000 t/month in water discharge (9/15) * Supervisory Authority didn t allow the additional discharges as exceptional situation in accordance with Environmental Protection Act, provision to stop and prevent discharges (01/16, 04/16) Administrative Court Decision: 1. TF had to hand over the application for new Environmental Permit until Maximum emission of sulphate t /year, 1000 t/month but 2000 t /month when snowmelt (04/16) Regional State Environmen tal Agency Decision: The Environmen tal Permit for the central wastewater treatment plant (1/17) Administrative Court decision: The decision of Supervisory Authority (1/15) is overruled. The additional disharges were the exceptional situation in meaning of the Environmental Protection Act, The decision of Court (9/15)* was contributing to the situation. (2/17) Decision of Supreme Administrative Court: 1. The Environmental Permit of the Mine ( ) has legal force 2. The permits of the mine water discharge pipeline and the mine were confirmed to been temporary, valid until the end of 2018 (as Court 4/16) (5/17) 10

11 Mine water management and the law enforcement 08/ /2017 The Environmental Permit 2007 The Environmental Permit 2013 (05/2017) The Environmental Permit 2014 (12/2018) The Environmental Permit of the discharge pipeline 2015 (12/2018) The Environmental Permit of the central waste water treatment plant 2017 EIA of the water management EIA of the mining production

12 Preliminary results of the study The mine water management at Terrafame Mine depends on 1.) the water efficiency of the production process and 2.) the use of BAT purification technology. The most of R&D is developing the process and produces process innovations. How has it affected the effectiveness of the law enforcement? Relatively strict limits for sulphate emissions (water discharge) have affected the water management: negative side-effects: additional discharges in pressure for better water treatment instead of maximum use of discharge pipeline to achieve better water balance The impact problem: the goal has been achieved through the development of the bioheapleaching process but because of the strict regulation or because of the efficient production ramp-up? 12

13 Thank you! Thank you! + joku kuva The research is funded by 13