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T OWARDS S USTAINABLE M INING P ROGRESS R EPORT 2005 The Mining Association of Canada Table of Contents President’s Message 1 Towards Sustainable Mining 2 A Report on TSM Progress 2005 3 Statement from the Community of Interest Advisory Panel 10 Feature De Beers Canada: Creating Value Through Community Partnerships 11 The Mining Association SECTION 1: of Canada again Managing Releases and Materials 13 showcases the photography of one of its Summary of Industry Progress 13 own—Pierre Gratton, Releases of Minerals and Metals 13 Vice President of Sustainable Development and Public Affairs. This Feature report features photos Teck Cominco Pierre has taken across Delivers E-Scrap Solution 15 Canada while attending mine tours, pausing SECTION 2: between business Collaborative Research Delivering Results 16 meetings or simply travelling. Mine Environment Neutral Drainage (MEND) 16 Pierre remains “a very Metals in the Human Environment Research Network (MITHE-RN) 17 amateur photographer” but has been reading up Feature on photographic Progressive Aboriginal Relations: techniques, including Diavik and Syncrude Lead the Way 18 working with light, shadow and other SECTION 3: natural effects. In addition to the second- Improving Responsible Mine Management 19 hand telephoto lens he Orphaned/Abandoned Mines in Canada 19 acquired last year, he has broadened his horizons Tailings and Water Management Facilities 20 with a wide-angle lens. He still resists the Feature pressure to go digital. Albian’s Bird Deterrence System Recognized Worldwide 21 SECTION 4: Highlights of Company Actions 22 President’s Message It has been another exciting year for the Also provided are updates on the industry’s key Towards Sustainable Mining initiative. In spring research initiatives, MITHE-RN and MEND, 2005 MAC was honoured with the Globe both of which are improving our understanding Foundation’s Award for Environmental of how to address the industry’s environmental Performance in the industry association cate- and health impacts. gory, mostly because of our development of This year we present four feature articles that TSM. As I said at the time, such recognition illustrate the mining industry’s commitment to helps us on our path. It motivates us to go TSM and sustainable development. One article farther, while making others in the mining showcases Albian Sands’ bird deterrence industry aware that change is necessary. system, which is gaining worldwide recogni- TSM made a great deal of progress over the past tion. Teck Cominco describes how its Trail facil- year. Learning from the first year of measuring ity is getting into the e-scrap business, recycling and reporting on TSM performance, MAC old computers instead of sending them to land- members took steps to improve the reporting fill. A third article looks at the Canadian Gordon R. Peeling process, iron out inconsistencies and raise the Council for Aboriginal Business and its President and CEO bar. As described in this report, companies are Progressive Aboriginal Relations (PAR) program. The Mining Association now using comprehensive assessment protocols Two MAC members, Syncrude and Diavik, have of Canada for all performance areas: tailings management, achieved PAR gold status. In the fourth article energy use and greenhouse gas management, De Beers Canada, soon to be this country’s crisis management and external outreach. After largest diamond producer, describes its sustain- a year of training personnel in how to use the able development philosophy and actions. protocols, we now have a measurement system I hope you find this report interesting and infor- that is rigorous and exacting. We have also mative. As support for and commitment to TSM designed a verification system so that, starting broadens and deepens across the Canadian next year, member companies and the public industry, your feedback is important to us. I can be confident about the accuracy of reported encourage you to complete the comment card results. at the end of this report and urge you to contact This report takes a detailed look at our progress us directly if you have any questions. and performance in the past year. It also Sincerely, describes how we have benefitted from the invaluable advice of our Community of Interest Gordon R. Peeling Advisory Panel on the design and implementa- President and CEO tion of TSM. As always, you will find thorough reporting of the industry’s releases to the environment, including efforts to reduce greenhouse gases. Detailed release data are provided in the 1 bulletins in the back pocket of this report and also on MAC’s website (www.mining.ca). Towards Sustainable Mining Progress Report Towards Sustainable Mining A Letter from the Chair of the TSM As the TSM initiative unfolds, it is firmly taking Governance Team root and becoming better known across the mining industry. Thanks to support from the In May 2005 I had the pleasure of attending Canadian Institute on Mining, Metallurgy and the ceremony that honoured The Mining Petroleum (CIM), MAC has been able to intro- Association of Canada with the Globe duce TSM to branches of CIM across Canada. Foundation’s Award for Environmental The initiative has also been featured at CIM’s Performance in the industry association cate- annual convention for the past two years. In gory. MAC won this award largely for develop- addition, MAC is cooperating with several ing and implementing the Towards Sustainable provincial mining associations and the Mining initiative. It was an important recogni- Prospectors and Developers Association of tion of the mining industry’s commitment to Canada. collective action to improve performance in Derek Pannell some key areas. It has been another exciting year for TSM, with the Globe Award a high-water mark. The chal- Chair We took many steps over the past year to build TSM Governance Team lenge now is to make sure the momentum and on the foundation laid for TSM in 2004. We progress continue. To that end, we count on the Chief Executive Officer reviewed, tightened and strengthened all of the Falconbridge Limited ongoing efforts of MAC’s Board of Directors, TSM performance indicators. We developed assess- initiative leaders, MAC committees, members of ment protocols, bringing an auditor’s rigour to the Community of Interest Advisory Panel and the process to make performance measurement the countless others who want to see the and reporting more consistent. We held a series Canadian mining industry succeed responsibly. of French and English workshops to train the staff of mining operations on how to conduct MAC members have made a bold move in assessments. We have almost finished designing putting forward a public document that refers to an external verification system, which should the industry’s shortfalls as well as to its positive come into effect in 2007, and we are making achievements. A report that reflected a perfect progress on new performance elements such as score would be neither credible nor useful. biodiversity and Aboriginal relations. I trust you will take a balanced view of the eval- uations and follow the improvements members are committed to achieving year by year against the baseline that this report establishes. I hope that you enjoy reading the report that follows and that you appreciate the hard work that many, many people have put into the development and implementation of TSM. I welcome your comments on what you read and learn about our industry’s progress and I 2 encourage you to take the time to complete the feedback card contained in this report. Sincerely, Derek Pannell Chair TSM Governance Team A poppy grows in Nain, Labrador The Mining Association of Canada A Report on TSM Progress 2005 This article reports on members’ results under the TSM performance indicators over the past year. It also reports on the design of the verifica- tion system and the work of the Community of Interest Advisory Panel. The path forward Now finishing its second year of implementa- tion, TSM is focusing on the following goals: ■ annual reporting on performance indicators for tailings management, energy use and greenhouse gas emissions management, external outreach and corporate crisis management planning (performance assessed and reported on a facility basis) The performance indicators were greatly TSM Initiative Leaders pause ■ external verification of performance results improved in 2005. Criteria were modified and for a group photo. From left to added, and assessment protocols were devel- right: Patricia Dillon beginning in 2007 (Teck Cominco Limited), ■ eventual development of indicators for new oped to bring greater rigour to the performance Bob Masterson (Stratos Inc.), performance elements evaluation process. For example, in the case of Craig Ford (Chair, Inmet energy use and greenhouse gas emissions Mining Corporation), Brenda management, companies now report against six Erskine (Suncor Energy Inc.), TSM performance indicators Denis Kemp (Falconbridge indicators as opposed to four in 2004. The over- From the outset, MAC members identified the Limited), Bill Ferdinand all effect of the changes is a tighter, stricter need for performance indicators to provide a (Barrick Gold Corporation), performance measurement system. Inge Robinson (Inco Limited), consistent framework for evaluating and report- Jim Seeley (Dynatec ing on industry performance against the TSM However, these improvements have made it Corporation), Gilles Couture guiding principles. Indicators help ensure that difficult to compare 2005 results with those (Quebec Cartier Mining reporting is relevant to communities of interest. from 2004. Under some indicators, for Company), Pierre Gratton They also help member companies improve (Mining Association of instance, the changes have lowered overall Canada), Colin Seeley (Placer their performance at both the operational and ratings even though actual performance may Dome Canada), Claire corporate levels. have improved. Consequently, this report does Parkinson (Inco Limited), As you review the results below, you may want not provide a full comparison with last year’s Lee Preziosi (Iron Ore Company of Canada), Barbara to consult the list of performance indicators in results.