Material Topic Teck 2015 Sustainability Report | Environmental | Tailings and Mine Waste Management Tailings and Mine Waste Management

Why was Tailings and Waste Management a Material Topic in 2015? Global Context: As the global population grows and demand for products and services increases, wastes and by-products from consumer and business activities increase in tandem. Both hazardous and non-hazardous wastes have the potential to significantly impact the environment and human health. To mitigate those impacts, proper waste and material management is critical to ensuring human health and the environment are protected. Responsible corporations are taking greater ownership for their role in managing waste across the life cycle of their products.

Industry Context Teck Context What is in this Topic? Mining involves the management of large Teck operates seven mines with active 13 Management approach and performance quantities of material to produce an tailings storage facilities (TSFs) and we related to waste management, including end product. This process generates take extensive measures to ensure the the construction, operation, and ongoing non-economic materials consisting of safety of these facilities. Tailings storage monitoring of the various health, safety, rock and overburden from mining and facilities at all of our operations meet or and environmental risks and impacts tailings from processing. These combined exceed regulatory requirements and we associated with tailings storage (TSFs) materials have traditionally been termed are continually improving the management and waste rock facilities. mine wastes, but are not to be confused of our facilities by developing and with industrial wastes. If not responsibly incorporating best practice. Teck has Performance Highlights managed, the environment, health and played, and will continue to play, an active safety impacts associated with mine role in promoting best practices for tailings wastes have the potential to directly affect facility management, both in our own 6 communities of interest (COIs) and the operations and across the mining industry. The number of tailings review boards ongoing operations of mines. For example, our Vice President, in place, which covers 100% of our major active tailings facilities as detailed Tailings management is especially critical Environment was a member of the on page 95. for the mining industry. While very rare, aforementioned tailings management task recent tailings facility incidents in Canada force established by MAC. We believe that and Brazil at other companies served as a our ongoing efforts help us build trust in Learn More our communities, minimize legal and reminder of just how critical. In response Towards Sustainable Mining Tailings to these events, the industry is working regulatory challenges, and keep local Management Protocol — Mining collaboratively to review and improve ecosystems safe and healthy for decades Association of Canada standards and critical controls for tailings to come. management. For example, in November 2015, an independent task force commissioned by the Mining Association of Canada (MAC) submitted its review of tailings management requirements and guidance under MAC’s Towards Sustainable Mining (TSM) initiative. Another response was initiated in December 2015 when the International Council on Mining and Metals (ICMM) announced a global review, supported by external experts and member company representatives including Teck, of tailings storage facility standards and critical controls.

Pictured left: Garry Luini, Environmental Officer, at Line Creek Operations Pictured above: Reclamation activities are ongoing at Highland Valley Copper’s Highmont Tailings Pond 13 For purposes of reporting, “active tailings storage facilities” denotes a constructed impoundment involving one or more tailings dams in which tailings are currently being deposited. The seven operations with active TSFs include: Carmen de Andacollo, Elkview, Fording River, Greenhills, Highland Valley Copper, Pend Oreille and Red Dog. 91 How Does Teck Manage Tailings and Mine Waste?

Mining at Teck generates mineral waste materials consisting of Our Targets and Commitments tailings and fine coal refuse, coarse coal refuse and waste rock, We continually review our facilities and procedures, and are committed to as well as much smaller amounts of non-mineral wastes, including maintaining the highest standard of hazardous and non-hazardous materials. Responsible tailings and safety and environmental protection at our operations. waste management practices are a critical part of environmental management and operational integrity at Teck.

Table 21: Mining Waste Categories

Tailings and Fine Tailings and fine coal refuse are the finer fractions of the processed Coal Refuse material that have no economically recoverable mineral or coal content. Tailings and fine coal refuse are typically stored in tailings storage facilities (TSFs).

Coarse Coal Refuse Coarse coal refuse (CCR) is a coarse fraction of raw coal that is separated during processing; it is not currently an economic product. CCR is placed in designated engineered facilities or, if determined to not be susceptible to leaching, may be used as a construction material including for creating dams to store fine coal refuse.

Waste Rock and The rock that is removed to access ores and coal, which typically contains Overburden trace amounts of naturally occurring metals and other constituents, is commonly called waste rock. Waste rock must be properly managed to ensure geotechnically and geochemically sound storage to create stable landscapes that minimize effects on local waterbodies.

Hazardous Waste Hazardous wastes produced at our operations include such items as waste oil, solvents, antifreeze, paint, batteries and fluorescent tubes. This waste is recycled or transported off-site by licensed contractors to appropriately designated and regulated facilities.

Non-hazardous Waste Non-hazardous waste (e.g., scrap metal, wood waste, glass, tires, cardboard and paper) is recycled whenever possible.

Tailings Management · Facilities conform to applicable standards, internal policies, industry best practices We take extensive measures to safeguard and the technical guidelines of the the tailings storage facilities at each of jurisdictions in which we operate our operations. We are committed to the safe and environmentally responsible The effective planning, design, construction, development, operation and management monitoring and maintenance of our tailings of tailings storage facilities. Planning, facilities is built on good corporate design, construction, operation, governance, technology, systems and decommissioning and closure are carried procedures, inspections and reviews, out in a manner such that: community of interest (COI) engagement, and reporting. We have multiple layers of · Structures are stable system protection, as identified in our · Solids and water are managed within internal policies and guidelines. designated areas We have comprehensive systems and · Facilities comply with regulatory procedures in place for the safe operation requirements and monitoring of tailing facilities that

92 Teck 2015 Sustainability Report | Environmental | Tailings and Mine Waste Management

follow best practices, organized around independent experts from relevant fields six levels of protection: such as geotechnical, hydrogeological, Update From Our Subject hydro-technical and geochemical. These Matter Experts · Surveillance Technology: Our sites boards meet from once to several times employ various systems such as GPS per year, depending upon the nature of “At Teck, we have hubs, piezometers, inclinometers, the facility and issues being considered comprehensive systems pressure gauges, remote sensing and by the board, to conduct a third-party other technologies to monitor tailings and procedures in place review of design, operation, surveillance dams, abutments, natural slopes and for the safe operation, and maintenance of our storage facilities. water levels. maintenance and monitoring Our facilities also have detailed Operations, · Staff Inspections: Tailings dams are of our tailing facilities which inspected by trained operators and expert Maintenance and Surveillance (OMS) technical staff as frequently as several manuals and Emergency Preparedness we consider to be industry times daily, with formal staff inspections and Response Plans, both of which are best practices. At the same at least once per month. regularly updated. We maintain site- specific Tailings Management Systems that time, we recognize the value · Annual External Inspections: Formal conform to or exceed industry standards of continued improvement dam safety inspections are conducted at of practice, that demonstrate responsibility least annually by an external Engineer of in tailings management and leadership through the commitment Record. Independent qualified engineers and actions of our employees, and that both for Teck and the also do periodic reviews, with timing are developed through consultation with industry. For example, dependent upon the consequence COIs. We continually review our facilities classification of the facility. For all I represented Teck in 2015 and procedures and are committed to facilities, the annual inspection reports maintaining the highest standard of safety on an independent task are provided to the appropriate authority at our operations. force to review Mining in each jurisdiction. Association of Canada’s · Internal Audits: On a rotation basis of In addition to internal assessments of approximately once every three years, performance against our own guidelines (MAC) Towards Sustainable our HSEC management team audits and practices noted as one of our six levels Mining (TSM) tailings of protection, we assess our tailings operations and legacy properties with management requirements. tailings storage facilities that could management practices under the MAC create an off-site impact. These facilities TSM Tailings Management Protocol. The task force made 29 are audited against Teck’s Tailings and Achieving a minimum of a “Level A” under recommendations to TSM is a requirement of our HSEC Water Retaining Structures guidance support the mining industry requirements. This guidance document Management Standards. A “Level A” was developed under our Tailings and indicates that tailings management in ensuring zero failures, Water Retaining Structures Policy, and practices that meet industry best practice, which have been accepted as defined by the MAC Tailings Guidelines, adheres to Teck’s HSEC Standards, by MAC’s membership MAC TSM Tailings Management Protocol have been developed and implemented. and associated guides, and several In addition to our minimum requirements, and will be integrated into other relevant national and international several of our facilities reach Level AAA, TSM during 2016.” guidance documents. which indicates that excellence and leadership in tailings management are Michael Davies, · Detailed Third-Party Reviews: demonstrated through validation by an Vice President, Environment Comprehensive third-party dam safety external, independent evaluation. reviews are conducted by an independent tailings reviewer(s) every five to 10 years As the need for updating the TSM for active and inactive facilities. The indicators is being evaluated and the call frequency of inspection is based upon for industry to re-evaluate its practices is the consequence classification for being heeded, we provided substantial each facility. support and input to the MAC; the Mining Association of BC; the Canadian Institute · Independent Review Boards: Our of Mining, Metallurgy and Petroleum; and operations and projects with existing or the ICMM in related discussions planned major tailing storage facilities throughout 2015. have Tailings Review Boards comprising

93 How Does Teck Manage Tailings and Mine Waste?

Coarse Coal Refuse Hazardous Waste and Non- Snapshot Management Hazardous Waste Management Coarse coal refuse is mixed with Although a small volume relative to our Learning from the Mount dewatered fine coal refuse within tailings and waste rock, we treat our other Polley Tailings Pond Breach engineered structures at several of our waste management responsibilities with In light of tailings storage operations for storage efficiency and equal focus. Hazardous and non-hazardous facilities failures at the Mount optimal geotechnical performance. wastes are segregated and disposed of in Polley mine and Samarco mine, Long-term storage of coarse coal refuse is accordance with waste management plans we recognize the need for the conducted in accordance with approved and regulatory requirements. The primary mining sector as a whole to closure plans involving contouring, hazardous wastes produced at our improve its performance and covering and revegetation to achieve operations include waste oil, solvents, provide greater assurance to established land use objectives. antifreeze, paint, batteries and fluorescent the public of the measures tubes. This waste is recycled or disposed taken to ensure the integrity Waste Rock Management of off-site by licensed contractors. Non- of tailings facilities. The bulk of waste rock from our operations hazardous waste (e.g., scrap metal, wood While we have confidence in is placed in areas that are specifically waste, glass, tires, cardboard and paper) our policies and procedures designed to contain the rock, or it is used is recycled whenever possible. We have relating to tailings to backfill open pits and underground systems in place to responsibly manage all management, following the workings. Waste rock that is not susceptible of our waste materials. Mount Polley incident we to oxidation processes, which can lead to undertook a comprehensive metal leaching, is also used for reclamation review of our tailings activities and to construct dams and roads. management systems. In Long-term storage of waste rock is addition to conducting specific conducted in accordance with closure reviews of our facilities to plans approved by regulatory authorities. ensure safety and stability These plans can include contouring, following the Mount Polley covering and revegetation to achieve failure, we also reviewed our established land use objectives. dam consequence classification scoring system to ensure tailings dams are classified based on risk. Our tailings storage facilities scores were also reviewed, as well as potential inundation impacts, and surveillance and monitoring practices. The review concluded that our practices were appropriate. A company-wide tailings database, which contains key information for our facilities, was updated and will be reviewed annually. We have also increased COI engagement activities, to better inform COIs about our tailings management practices and about our emergency response and evacuation procedures.

94 Teck 2015 Sustainability Report | Environmental | Tailings and Mine Waste Management

What was Our Performance in Tailings and Mine Waste Management in 2015?

In this section, we report on tailings management and waste Emerging Risk — Tailings management performance. Management Technologies Societal concern on how tailings are focus on reviewing our tailings Tailings Management Performance managed has increased in the wake of management practices and facilities to Well before the incidents at Mount Polley tailings dam failures in 2014 and 2015. ensure they meet evolving best practice. and Samarco operations, Teck had in place There are growing COI expectations We continue to assess and improve our a tailings management policy and guidance that mining companies will implement operating, inspection, monitoring and alternatives to water-covered tailings document and employed industry best maintenance practices. Table 22 below storage facilities for new mine practices such as review boards. However, outlines the internal and external review developments. This may result in changes as a result of these recent tailings mechanisms that are in place. to regulatory requirements, increased incidents, we have further intensified our mine construction costs and community opposition if preferred tailings alternatives Table 22: Summary of Management At Active Tailings Storage Facilities at Teck1,2 are not employed. At the same time, this focus has the potential to drive new advancements in tailings technologies Annual Detailed Third- Tailings over the longer term. Staff External Party Reviews Review Operation Type Inspection Inspection (Frequency) Board Outlook for Tailings and Carmen de Tailings Ye s Ye s N/A1 Ye s Mine Waste Management Andacollo Impoundment As the mining industry reviews and improves best practices for tailings Elkview Tailings Ye s Ye s Every 5 years Ye s management, Teck will continue to Impoundment play an active role in collaborating Fording River Tailings Ye s Ye s Every 7 years Ye s with industry partners. In 2016, Teck Impoundment will participate in the ICMM global tailings management review, the Greenhills Tailings Ye s Ye s Every 7 years Ye s review of Towards Sustainable Impoundment Mining (TSM) Tailings Management Protocol and other industry forums. Highland Tailings Ye s Ye s Every 5 years Ye s At our operations, we will continue Valley Copper Impoundment to review our facilities and procedures to maintain the highest Pend Oreille Tailings Ye s Ye s Every 5 years N/A2 standard of safety while meeting Impoundment all environmental management objectives. Red Dog Tailings Ye s Ye s Every 5 years Ye s Impoundment

(1) This type of review not mandated in Chile — Teck utilizes the Tailings Review Board for this function. (2) Pend Oreille Operations is not a major facility with a credible failure mode, so a tailings review board has not been struck.

Waste Management Performance · 9 million tonnes of coarse coal refuse (11 million tonnes in 2014) In 2015, our operations generated approximately 822 million tonnes of · 744 million tonnes of waste rock mineral waste, with the vast majority being (829 million tonnes in 2014) waste rock from the extraction of ore and We don’t currently track office and coal. In 2015, we generated approximately: construction waste, which are managed · 69 million tonnes of tailings and fine coal by external waste service providers. refuse from processing ore and raw coal Hazardous and non-hazardous waste in 2015 (73 million tonnes in 2014) numbers can be found on www.teck.com.

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