Sustainable Development and the Minerals Industry Jeremy P. Richards Dept. Earth & Atmospheric Sciences University of Alberta Edmonton, Alberta, T6G 2E3, Canada Jeremy.Richards@UAlberta.CA Ontario Mineral Industry Cluster Council Second Forum April 28 29 2005
Overview Facing up to the negative image of the mining industry; legacy issues. Sustainable mineral resources development (as opposed to just development). Modern mining best-practice. Role of OMIC: promoter, facilitator, and exporter of best-practice.
Negative impacts of the mining industry
Smelting: Sudbury Lunar landscape caused by acid rain from smelters. The INCO smelter Superstack 1275 high Richards (2005)
Tailings spills: Breached tailings pond, Kam Kotia, Ontario, Canada (1997)
Tailings spill, Kam Kotia (1997)
Kam Kotia tailings: aerial view, 1989 ~6 million tonnes of unmanaged acid generating tailings covering more than 500 ha http://www.mndm.gov.on.ca/mndm/mines/mg/abanmin/kamkotia_e.asp#top
Kam Kotia tailings: aerial view, May 2003 ~$28m spent on rehabilitation to date, with further work planned (~$50m total cost) http://www.mndm.gov.on.ca/mndm/mines/mg/abanmin/kamkotia_e.asp#top
INAC estimates that cleanup costs of abandoned mines in northern Canada are at least C$555m. (Commissioner of the Environment and Sustainable Development, 2002) MiningWatch Canada says: There are at least 10,000 abandoned mines in Canada. Estimates of the costs of cleaning up of just some of the sites under federal responsibility are at least $1 billion. The Mining Association of Canada itself has estimated the cost of abandoned mine remediation in Canada at $6 billion. In the United States, the Mineral Policy Center puts the cost of abandoned mine remediation for that country at between $32 and $72 billion. At the global level, representatives of the mining industry themselves have placed the costs of closing and rehabilitating old and abandoned mines to be in the trillions of dollars. (MiningWatch Canada, 2002: Looking Beneath the Surface.) These are external costs which were not borne by original mine owners, but must now be borne by taxpayers.
The figures are not dissimilar so who profited? It is this sense that a few profited at the expense of the majority that fuels ire and distrust towards the mining industry.
Sustainable Development: Definitions: The Brundtland Report of the World Commission on Environment and Development defined sustainable development as meet[ing] the needs of the present without compromising the ability of future generations to meet their own needs (United Nations, 1987, p. 43). This definition does not imply that development should have no impact, nor even that development should be curbed. However, it does imply that any impact should be containable and should not have long-term deleterious effects. It also implies a duty to benefit and safeguard society.
Sustainable Development: Challenges: Population growth, combined with increased consumption expectations the real challenge to sustainability: The human population is projected to double by 2050 (from ~6 bn to ~12 bn). Newly mined materials will be essential to support this growing population. It is estimated that 5x the amount of metal mined in the world to date must be mined in the next 50 years to satisfy this growth.
Sustainable Development: What does it mean in the context of the minerals industry? Development must not exhaust the natural environment s ability to absorb change. A sustainably developed mine will leave no postclosure liabilities. Ideally, development will leave a net positive environmental legacy (e.g., parks, wetlands, fertile farmland, enhanced biodiversity, removal of natural contaminants). Development must not sterilize resources for future generations (e.g., by high-grading, careless infrastructure development and urban planning).
Sustainable Development: What does it mean in the context of the minerals industry? Development must leave a net positive, equitable, social legacy. Development must create net wealth that accrues to all genuine stakeholders. Stakeholders who are impacted by development or whose resources are being exploited must be properly compensated. Creative compensation packages that include training and investment should be implemented to ensure that sustainable societies are left after mining is complete.
Sustainable communities: Kimberley, BC: Site of the old Sullivan mine, now a thriving holiday destination
What is the minerals industry doing? Corporate leadership Global Mining Initiative (GMI) and the MMSD project Mining, Minerals & Sustainable Development now complete ( Breaking New Ground : MMSD, 2002). International Council on Mining & Metals (ICMM) taking over industry leadership role from GMI. Goal 1: Offer strategic leadership to achieve improved sustainable development performance in the mining, minerals and metals industry. Milos Statement (2005): The minerals community will contribute to a sustainable future through the use of our scientific, technical, educational, and research skills in minerals, metals, and fuels.
What is the minerals industry doing? Practical measures Leadership by example: Best-practice by many individual companies, both small and large. Unfortunately, only the negative exceptions are noticed. Technological innovation in exploration, mining, mineral processing, and reclamation techniques (e.g., Falcon airborne gravity meter, remote mining, hydrometallurgy, bio-leaching, stable tailings management, waste-water treatment).
Placer Dome s Zaldívar porphyry Cu mine, Chile: An example of modern mining best-practice
Bulk mining, Zaldívar
Crushing plant, Zaldívar
Zaldívar leach pads and SX-EW plant, Chile: Minimal environmental impact
Zaldívar leach pads and solvent-extraction plant
Electrowinning plant, Zaldívar, Chile 99.999% Cu
What else is the minerals industry doing? A new perspective Recognition that there is more to the industry today than just making a profit, although intelligent and well-planned implementation of sustainable development practices can be both profitable and beneficial in terms of market and investor perception.
The three legs of the Mining Industry s stool (the Triple Bottom Line ) (Mining Journal, 17 Nov 2000)
A more stable model for the future?
Sustainable Development Models and Opportunities within the Minerals Industry Mineral Exploration (Geoscience): Improve discovery rate through application of innovative exploration methods. Development of predictive exploration models. Identify new resource types. Demonstrate responsible community engagement and environmental awareness from the outset.
Sustainable Development Models and Opportunities within the Minerals Industry Mining Techniques: Improve mining efficiency and safety. Minimize environmental impact. Preservation of access to unexploited resources for possible future use.
Sustainable Development Models and Opportunities within the Minerals Industry Extraction Techniques: * 3 4% of world s energy consumption used to crush & grind rocks and minerals. Up to 7% if smelting included. Improve efficiency and recovery. Develop new mineral processing techniques. Develop safer processing methods and reagents.
Sustainable Development Models and Opportunities within the Minerals Industry Mine Waste Management: * 2 Gt of waste rock produced in US each year. Total Resource Utilization. Positive potential of waste materials. Assurance of long-term containment and stability of waste. Remediation of contaminated sites.
Sustainable Development Models and Opportunities within the Minerals Industry Environmental Control and Management: * Probably < 0.1% of world s land surface disturbed by mineral extraction point source disturbance, and very small compared with forestry and farming. Upside potential: improvement of water quality, habitat. Increased biodiversity potential in reclaimed lands. *e.g. British Columbia, Canada: ~0.1% of land area disturbed by mining, compared with 51.5% designated as productive forest, >4% harvested since 1981 (Mining Assoc. B.C., 2001; B.C. Ministry of Forests, 2000).
Sustainable Development Models and Opportunities within the Minerals Industry Mine Closure and Remediation: Upside potential: development of properties for recreational, educational, and conservational use. Potential for long-term positive legacy.
Sustainable Development Models and Opportunities within the Minerals Industry Social and Health Issues: Upside potential through wealth-creation and infrastructure investment. Sustainable social development beyond mine closure. Potential for long-term positive legacy. Particular relevance to northern Canada.
Sustainable Development Models and Opportunities within the Minerals Industry Business and Law: Full-cost accounting. Proactive legal framework that encourages mining if satisfies sustainable criteria.
Opportunities for OMIC: PROMOTION of a positive image of the mining industry, backed up by proven best-practice. PROMOTION of the industry s contribution to Ontario: historical, present, future. PROMOTION of the industry s contribution to international development: actual development and export of best-practice. PARTNERSHIP with provincial and federal government agencies to develop fiscal and legal frameworks that support sustainable development. ENGAGEMENT in dialogue with civil society, to address legacy issues and future societal goals.
Conclusions 1. Unless we deny the development of the human species, the need for newly mined mineral resources will continue. 2. Exploitation of such resources should be planned and conducted in such a way that: Net benefits accrue fairly to all stakeholders; The environment is not impacted beyond its capacity to absorb change; Post-closure legacies are negligible or even positive. 3. OMIC has a leadership role to play in Ontario: promotion of best-practice, both locally and internationally.
The End