Canadian Mining Firms Worst for Environment, Rights: Report – by Toronto Star Reporter Les Whittington

Les Whittington is with the Ottawa Bureau of the Toronto Star, which has the largest circulation in Canada. The paper has an enormous impact on Canada’s federal and provincial politics as well as shaping public opinion. This article was originally published October 19, 2010.

OTTAWA—Canadian mining companies are far and away the worst offenders in environmental, human rights and other abuses around the world, according to a global study commissioned by an industry association but never made public.

“Canadian companies have been the most significant group involved in unfortunate incidents in the developing world,” the report obtained by the Toronto Star concludes.

“Canadian companies have played a much more major role than their peers from Australia, the United Kingdom and the United States” in these incidents, says the Canadian Centre for the Study of Resource Conflict, an independent, non-profit think tank.

The problems involving Canada’s mining and exploration corporations go far beyond workplace issues. “Canadian companies are more likely to be engaged in community conflict, environmental and unethical behaviour, and are less likely to be involved in incidents related to occupational concerns.”

The research surfaced as a long, fierce political battle over legislation to tighten federal government scrutiny of Canadian mining operations abroad comes to a head. Bill C-300, a private member’s bill put forward by Toronto Liberal MP John McKay, will be voted on in the Commons next week.

The proportion of incidents globally that involve Canadian corporations is very large, according to the report. “Of the 171 companies identified in incidents involving mining and exploration companies over the past 10 years, 34 per cent are Canadian,” the Centre found.

It said the high incidence of involvement of Canadian companies is in line with the Canadian industry’s dominant position in global mining and exploration.

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John Pollesel, Vale Canada COO and Director for Base Metal Operations North Atlantic, Speech to Sudbury Chamber of Commerce – October 13, 2010 – Sudbury, Ontario

John Pollesel, Vale Canada COO and Director for Base Metals North Atlantic

John Pollesel is the Director for Base Metal Operations North Atlantic and Chief Operating Officer for Vale Canada, reporting to Tito Martins, Executive Director Base Metals and Vale Canada Chief Executive Officer.

John Pollsel has extensive management experience, specializing in the mining industry where he has been employed for more than 20 years. He joined Vale in August of 2008 in the capacity of VP Sustainability and Business Services for the Ontario Operations and in July of 2009 was promoted to the role of VP Production Services and Support for the Canada/UK region and General Manager for Ontario Operations.

Mr. Pollesel is a Fellow of the Society of Management Accountants of Ontario and a Certified Management Accountant. He graduated from Laurentian University with a Masters degree in Business Administration and holds an Honors BA in Accounting from the University of Waterloo.

Our objective is to create a sustainable, profitable and long-term operation in Sudbury – contributing further decades of employment, economic growth and community support. There is an important caveat, however. We must demonstrate our willingness and ability to become a more productive and efficient operation. Aspiring to the status quo is simply no longer an option. – John Pollesel, Sudbury, Ont.

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Thank you, and good evening everyone. It’s a pleasure to have been invited to speak to you at your Chamber’s Annual General Meeting.

Vale is a proud member of the Chamber of Commerce and we’ve been active on the Chamber’s Board for many years. In fact, personally I was proud to have sat as a Board member a few years back.

Vale and the Chamber have enjoyed a very long and productive relationship together…the Chamber has been there for us during some tough times, and we’ve been there for the Chamber as an active partner on a number of fronts. It’s a beneficial and productive partnership that we look forward to continuing.

I want to especially recognize Debbi Nicholson, who has been an exemplary leader of the Chamber for more than 30 years.

Debbi – you lead with dignity, good business sense and a keen awareness of what is best for our community. I congratulate you and your team on all the things you’ve accomplished throughout your long tenure with the Greater Sudbury Chamber.

* * * * *

Tonight, I am here to speak to you about Vale and our future in the Sudbury Basin.

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Sarah Palin’s Defence of Alaskan Mine Threatens Canadian Fish [Mine Tailings in Lakes] – by Toronto Star National Writer Linda Diebel

Linda Diebel is a National Writer for the Toronto Star, which has the largest circulation in Canada. The paper has an enormous impact on Canada’s federal and provincial politics as well as shaping public opinion. This article was originally published October 3, 2010.

The Dolly Varden carp isn’t much of a looker except, perhaps, to the opposite sex of the same scaly species. What is exceptional (other than a name from Dickens) is how the impending death of about a thousand of these duller members of the salmon family changed Sarah Palin’s life and influenced the fate of fish across Canada.

Of course, they’re not the only factor. Still, their role is impressive, considering these particular fish in southeastern Alaska’s Lower Slate Lake are, in all likelihood, quite dead.

It’s a sprawling story that begins with fish and grows to include mining conglomerates, politicians, lobbyists, promoters, environmental activists and, in Canada, lakes with names like Bucko, Bamoos, Fish (Teztan Biny to the Tsilhqot’in people), Sandy Pond and Ruby Creek.

Already, there are winners and losers; there will undoubtedly be more. Let me explain.

In June, 2007, Palin was governor of Alaska with political ambitions as vast as the northern sky. She’d already hired a savvy East Coast PR firm to promote Alaska (and herself) but she needed serendipity. And that’s exactly what pulled into Juneau in the form of a luxury cruise, sponsored by the conservative magazines The Weekly Standard and National Review. On board were elite American journalists, including William Kristol, Fred Barnes and Michael Gerson.

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Mining Corporate Social Responsibility, Barrick Gold and Bill C-300 – by Stan Sudol

Stan Sudol is a Toronto-based communications consultant, who writes extensively about mining issues.(stan.sudol@republicofmining.com)

As a child of Polish immigrants who came to Canada after the Second World War and settled in the nickel mining centre of Sudbury, Ontario, I witnessed the stable and prosperous life my parents had due to my father’s life-long employment at Inco Limited. In the mid-seventies, I also had the good fortune to work at Inco’s Clarabell Mill for one year before going to college and spent one summer underground at their Frood-Stobie Mine which help pay for my college education.

So I am always surprised about the bad press and demonization major mining companies receive about their activities in lesser-developed countries and am very concerned about Bill C-300, the proposed federal anti-mining legislation introduced by a Liberal backbencher.

Take for example Barrick Gold’s annual meeting to shareholders in Toronto last April where many protesters gathered to denounce the company’s activities in their home countries. Chairman Peter Munk, is a Hungarian-Jew who escaped his Nazi-occupied homeland in 1944 and immigrated to Canada after the Second World War where he founded Barrick in 1983. During his presentation to shareholders, he had a few choice comments about the anti-mining NGOs.

“By moving into these countries and developing their mines, we provide – way beyond the importance of money – we provide human dignity,” Peter Munk said. “We provide an opportunity for these people to earn their money, rather than hold out their hands and depend on charity.”

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Russian Hydrology Student Particpates in De Beers Peatlands Reseach at Northern Ontario Diamond Mine

Russian Hydrology Student Yulia Orlova at De Beers Canada's Victor Diamond Mine

This article was provided by the Ontario Mining Association (OMA), an organization that was established in 1920 to represent the mining industry of the province.

Russian graduate student Yulia Orlova hopes to take lessons she is learning about muskeg at De Beers Canada’s Victor Mine home to better understand the dynamics of  Siberian peatlands.  She came to Canada last year and started her Masters in Geography at the University of Toronto.  Ms. Orlova is researching the impact of mine dewatering and mercury in peatlands under the direction of U of T professor Brian Branfireun.  This is one of the major research projects De Beers Canada’s Victor Mine is helping to sponsor.   

The 26 year old native of St. Petersburg graduated from St. Petersburg State University with a degree in hydrology.  She worked for three years both for the Russian government and a non-governmental environmental agency before continuing her studies in Canada. 

“There is expertise in Canada on peatlands and funding support and there were more opportunities to do research in my area.” – Russian Hydrology Student Yulia Orlova

“I wanted to come to Canada to study here,” said Ms. Orlova.  “There is expertise in Canada on peatlands and funding support and there were more opportunities to do research in my area.”  To complete her thesis on the hydrology of the James Bay lowlands, she collects and tests water samples from streams around the mine site and carries out analysis of the results and examines water chemistry.

Along with the academic component of her studies, Ms. Orlova, like all students and professors on the Victor site, is regularly engaged in safety training and orientation sessions. 

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De Beers Canada Victor Diamond Mine Doubles as Environmental Research Station

A casual observer could be forgiven for confusion over whether De Beers Canada’s Victor operation is Ontario’s first diamond mine, or a high-tech, sub-Arctic scientific research centre.  The mine itself has 13 employees dedicated to environment related jobs and at any time there could be at least 15 researchers on site.  Much of this ground breaking scientific work is related to commitments made in impact-benefit agreements with local First Nations.

In collaboration with five Canadian universities and various components of government, the Victor mine, which is located 1,070 kilometres north of Toronto near Attawapiskat, supports a number of independent but inter-related scientific research projects.  The mine invests $3.1 million annually in rehabilitation and environmental monitoring studies. 

Laurentian University, Queen’s University, University of Western Ontario, University of Waterloo and University of Toronto are all involved in various components of these research projects.  Professors along with PhD and Masters candidates from various disciplines are contributing to the advancement of knowledge about the James Bay lowlands and its ecology – knowledge that is shared for future benefit.

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De Beers Canada Victor Mine Creates Enormous Opportunities for Northern Ontario First Nations

This article was provided by the Ontario Mining Association (OMA), an organization that was established in 1920 to represent the mining industry of the province.

 Ontario Mining Association member De Beers Canada’s Victor diamond mine is a sparkling example of promoting Aboriginal employment.  The Victor diamond mine, which is located about 90 kilometres west of Attawapiskat in the James Bay lowlands, currently has 226 employees from First Nations, or 43% of its workforce.

More than 90 employees from this group are from Attawapiskat with large representation from Fort Albany, Moosonee and Moose Factory and Kashechewan and 40 are from First Nations outside the James Bay area.  In Canada, mining is the largest private sector employer of Aboriginals.  This group comprises 7.5% of the mining workforce, which is up from 3.6% of the country’s total mineral sector workforce in 2006.

The Victor Mine operates with three different impact-benefit agreements – one each with Attawapiskat, Fort Albany/Kashechewan and Moose Factory/Moosonee.  “Negotiating the impact-benefit agreement is the relatively easy bit, implementing it is the tough part and making sure everyone understands their role is more difficult,” said Jonathan Fowler, De Beers Canada Vice President Aboriginal Affairs and Sustainability. 

“One of our strengths is in striving to build a culture of diversity,” he added.  “We don’t believe in a having a specific percentage of First Nation employment.  We want to provide opportunities for people to grow and develop and the real target is to maximize First Nation employment.”

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Anglo American Chairman Sir Mark Moody-Stuart Speech to the Leadership Conference on Global Corporate Citizenship in New York (January, 29, 2009)

This speech by Anglo American Chairman Sir Mark Moody-Stuart is an excellent example of the mining sector’s corporate social responsibility initiatives throughout Africa – Stan Sudol

Anglo American is one of the world’s largest mining companies focusing on platinum group metals, diamonds, copper, nickel, iron ore, metallurgical and thermal coal. For more info about their corporate social responsibility initiatives, go to: http://www.angloamerican.co.uk/aal/siteware/docs/sd-report-2009.pdf

Anglo American Chairman Sir Mark Moody-Stuart

Mining companies don’t normally get much publicity and when we do, it tends not to be particularly positive. Nor are our products well-known
brands – for good reason. We don’t sell at JC Penney or Wal-Mart. Unlike our colleagues in the oil and gas sector, we don’t sell at the gas station. We produce commodities that are vital for modern society in a whole host of ways. But I confess I’ve never heard a dinner-table conversation revolve around whether someone’s home electrics are built with Anglo American copper, or their car’s catalytic converter with Anglo American platinum.

Both are possible: indeed the latter is quite likely, since Anglo American is the world’s leading primary producer of platinum, and platinum is a key element in cleaning exhaust emissions. Our other core businesses include base metals – copper, nickel, zinc; iron ore; coal; and diamonds – we are the largest shareholder in De Beers.

We are present in about 45 countries around the world, and employ some 190,000 people. Speaking here in New York, I guess I owe you a word of explanation about our name. We do not have major operations in America. But the United States did play a vital part in our history, alongside the United Kingdom, as these two countries were the source of the original capital that was raised by our founder Sir Ernest Oppenheimer to establish the company, over 90 years ago now, in 1917 in South Africa.

Despite being one of the largest mining companies in the world, with operations in so many countries, the reality of our business is that we sell
into bulk commodity markets. Commodity markets care a great deal about quality of the product; but quality aside, they don’t really care who
produces the metals. The result? We are not known as a brand by the general public.

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Anglo American CEO Cynthia Carroll – Speech to the Mining Indaba Cape Town, 2 February 2010 – “Making a Real Difference”

Anglo American CEO Cynthia Carrol

Mining Indaba is the world’s largest gathering of mining’s most influential stakeholders and decision-makers vested in African mining.

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“Making a Real Difference”

Minister Shabangu, fellow delegates… Good morning, everybody. Once again, it’s a great pleasure to address the Mining Indaba……one of the foremost events in the mining calendar.

This morning I’d like to talk to you on three main topics:

•First Anglo American itself and how we’ve restructured the business to drive sustainable long-term performance and how we’re positioned optimally for economic recovery.
•Second some of the great challenges our industry is facing energy, water, sustainability and climate change.
•Third the continued good progress that Africa is making on both the political and economic fronts.
•And, finally, a few words on the outlook for the mining industry.

Let me start with the excellent progress we have made at Anglo American. Anglo American is a leading global mining company, and the biggest mining company on the African continent. Our roots were planted here in South Africa more than 90 years ago, and we have grown now to market capitalisation of around 370 billion rand or $50 billion.

Anglo American’s mining focus is on those commodities with the most attractive longterm through-the-cycle returns.

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Nunavut’s Inuit and Agnico-Eagle Partner and Embrace Mining to Secure Their Futures – by Marilyn Scales

Marilyn Scales is a field editor for the Canadian Mining Journal, Canada’s first mining publication. She is one of Canada’s most senior mining commentators and visited Baker Lake, Nunavut to file this article.

A true partnership has been forged by Agnico-Eagle Mines and the Inuit of Baker Lake, Nunavut, one that treats the land with respect and provides a modern future for young members of the community. The elders have embraced Agnico’s vision of gold mining. They know mining will provide education, training and well-paying jobs for many years. And most importantly, they trust Agnico to be a responsible steward of their land.

The Meadowbank project offered many firsts for all involved. It is the first project Agnico has pursued in the Arctic. It is the first gold mine in Nunavut (and currently the only mine). It is the first to be developed on Inuit land. It is the first mine to be covered by a water compensation agreement, signed in April 2008 with the Kivalliq Inuit Association.

The Inuit elders have embraced Agnico’s vision of gold mining.
They know mining will  provide  education, training and well-paying jobs for many years.

Agnico gained control of the Meadowbank deposit when it purchased Cumberland Resources in 2007. Cumberland had great success exploring the deposit in the previous decade. A pre-feasibility report was completed in 2000 and updated five years later. The takeover of Cumberland cost $710 million, but it increased Agnico’s gold reserves by 23%.

The acquisition brought with it 10 Crown mining leases and three Nunavut Tunngavik exploration licences in the Kivalliq District, 70 km west of Baker Lake. Three deposits -Portage, Goose Island and Vault -dot the property along a 25-km-long trend. The gold deposits are of Archean age and hosted within volcanic and sedimentary rocks.

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De Beers Canada – Sustainable Mining Contributes to Northern Economies and Aboriginal Employment

This article was provided by the Ontario Mining Association (OMA), an organization that was established in 1920 to represent the mining industry of the province.

De Beers Canada celebrated two official diamond mine openings back-to-back in July 2008 – the Victor Mine in Ontario and the Snap Lake Mine in the Northwest Territories. However, the path to those production start-ups took a circuitous and difficult journey of almost 50 years. It took vision, faith and dedication to complete the trek.

De Beers, which is acknowledged as the world’s leading diamond company, began in 1888 in South Africa. The company commenced its exploration activities in Canada in the early 1960s with a staff of four. The first geological field season for De Beers in Canada was 1961.

If you move forward almost half a century to 2009 and De Beers Canada’s first full year of production, you can look at the results. From an operational standpoint, Victor turned out 696,000 carats and Snap Lake produced 444,000 carats for a total diamond output of 1,140,000 carats. This led to a revenue of $316.4 million ($243.7 Victor and $72.7 Snap Lake).

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Goldcorp is Losinging its Social Licence to Operate in Guatemala – by Marilyn Scales

Marilyn Scales is a field editor for the Canadian Mining Journal, Canada’s first mining publication. She is one of Canada’s most senior mining commentators.

Mining companies often speak of having a “social licence” to operate. This reflects the willingness of local communities to support their endeavours. The more the miner and the indigenous people talk, the better their understanding and ability to accommodate one another.

What sounds straightforward is often complicated by unrealistic expectations, earlier history, cultural rigidity and interference by third parties.

The latest company on the verge of losing its social licence is Vancouver’s Goldcorp, that operates the Marlin gold mine in Guatemala. The most recent report to examine Goldcorp’s record there was commissioned by the company in response to charges of human rights violations at the Marlin mine. The report concluded that the company had failed to respect the right of indigenous peoples in that country, but also had brought jobs, healthcare and education to the impoverished western highlands region. Goldcorp further insists that allegations of environmental problems are unfounded.

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Barrick Gold Contributes to a New Beginning for Australia’s Aboriginal Wiradjuri

 Photo Courtesy of Otis WilliamsThis article is from the April 2009 issue of Beyond Borders: A Barrick Gold Report on Responsible Mining.

Known as the people of the three rivers, the Wiradjuri have inhabited modern-day New South Wales, Australia for at least 40,000 years. At the time of European colonization, there were an estimated 3,000 Wiradjuri living in the region, representing the largest cultural footprint in the state. Their country extends from the Great Dividing Range in the east, and is bordered by the Macquarie, Lachlan and Murrumbidgee rivers. The Wiradjuri were a hunter-gatherer society, made up of small clans or family groups whose movements followed seasonal food gathering and ritual patterns. The decline of the Wiradjuri population in New South Wales was accelerated in the 1820s when indigenous people were forced off their traditional lands by an influx of European settlers. Today, major Wiradjuri populations can be found in the New South Wales towns of Condobolin, Peak Hill, Narrandera and Griffith. (With files from Bathurst Regional Council, New South Wales)

Five years ago, the Wiradjuri community of Condobolin decided to take their future into their own hands. In the words of one Elder, it was to be “a new beginning” for the long marginalized, oft en overlooked indigenous community in the heart of New South Wales, Australia.

 That hope for a better future and “a new beginning” was enshrined as the motto of the Wiradjuri Condobolin Corporation (WCC), an organization that is transforming the lives of local Wiradjuri people, creating new opportunities for the community that were unthinkable just a few years ago.

The WCC was created through a Native Title Agreement between the Wiradjuri people and Barrick, negotiated during the development of the company’s Cowal gold mine. That agreement included provisions and funding to ensure Wiradjuri share in the benefits of mining, empowering them to break the cycle of despair that had gripped their community for years. 

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Barrick Gold Empowers Women in Papua New Guinea

 

This article is from the April 2009 issue of Beyond Borders: A Barrick Gold Report on Responsible Mining.

 

 

About Porgera Joint Venture, PNG

  • Barrick is the operator (95 per cent interest), PNG government and landowners (5 per cent)
  • 2, 500 employee and over 500 contractors
  • Significant investments in health, education, skills training, infrastructure and local business development
  • A partner in the “Restoring Justice Initiative”,  a government community effort to strengthen law and order, which encompasses issues such as violence against women

Women in Papua New Guinea’s Porgera Valley, home to the Porgera Joint Venture mine, are using resources provided by the company to pursue higher education, gain new skills and become financially independent.

Through its assistance programs, the Porgera mine is helping local Porgeran women become respected members and leaders in a society that has traditionally been male-dominated. In 1999, the company funded the establishment of the Porgera District
Women’s Association, a non-governmental organization that now has a membership of more than 2,000 women across 20 wards in PNG. With financial support from the mine, the group is providing local women with training in leadership and management skills, health and education, law and order, micro business and agriculture.

 

 

 

MICRO CREDIT SCHEME

One of the association’s most successful programs is the micro credit scheme project, which loans money to women for small-scale projects that generate income. The program has a very successful 99.9 per cent repayment rate. Since it commenced in 2000, it has enabled 181 women to become self-reliant.

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Barrick Gold’s Tanzanian Corporate Social Responsibility: The Lake Zone Health Initiative

 

 

 

 

 

Barrick's Lake Zone Health Initiative in Tanzania
Barrick's Lake Zone Health Initiative in Tanzania

 This article is from the April 2010 issue of Beyond Borders: A Barrick Gold Report on Responsible Mining. The Lake Zone Health Initiative was established by Barrick to help combat HIV/AIDS, malaria and tuberculosis and improve access to health services for underserved populations. This collaborative effort involves the Tanzanian government, aid agencies and other partners.

They are called the Big Three. They are HIV/AIDS, malaria and tuberculosis. Together, they kill thousands of people each year in Tanzania.

These life-threatening diseases pose a serious risk to employees in the mining sector and communities near mining operations, resulting in soaring health care costs and a high rate of employee absenteeism.

Building on a long history of providing successful disease prevention programs in Tanzania, in 2008 Barrick launched the Lake Zone Health Initiative in an effort to improve health services to underserved populations in the Lake Zone region. Home to nine million residents, Tanzania’s Lake Zone wraps around Lake Victoria and spans seven regions, including the Mara and Kahama districts where the Bulyanhulu, Buzwagi and North Mara mines are located. While these mines are now operated by African Barrick Gold, the new public company created by Barrick earlier this year, the commitment to continue this flagship community health program remains as strong as ever.

The public-private sector health initiative is making it possible for companies, the government, health NGOs and donors like USAID to work collaboratively together to combat HIV, malaria and TB.

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