Clydach, Swansea From Good to Great Vale Community Report 2018/2019 Contents A message from Dino Otranto...... 1 We respect the environment...... 4 In focus: Our future...... 2 We put safety first...... 5 We live and work in our community ...... 3
Vale’s Clydach Refinery has been part of the community for 117 years.
Mission To transform natural resources into prosperity and sustainable development.
Vision To be the number one global natural resources company in creating long-term value, through Brumadinho January 25, 2019 excellence and passion for people and the planet. We will never forget Values On the cover: • Life matters most Local children wearing Vale • Value our people high-visibility safety vests participate in a program • Prize our planet situated at the Community • Do what is right Garden, located in the centre • Improve together of the village, about a half mile from our refinery. Vale is proud • Make it happen to provide support to this community gem. A message from Dino Otranto
This past year, I transitioned from Director, part of our daily lives. On that note, it has Technology & Development for Vale’s been a difficult year; the dam failure at global Base Metals business into my new Brumadinho in Brazil impacted an entire role as Chief Operating Officer (COO), and community and took the lives of hundreds it has been an extraordinary experience, of people, many of them our employees. both personally and professionally. Naturally, a tragic event of this magnitude demands a high level of introspection My first priority as COO was to put on on how we do business — in terms of our my boots to get to know the business approach to safety and risk management, and our employees firsthand to grasp who we are as a company, and who we the complexities and opportunities need to become. I commit to working before us. As I visited our North Atlantic Meet Dino Otranto tirelessly to understand and address the operations in Thompson, MB; Sudbury risks we face, the key controls we need, A native of Germany, Dino and Port Colborne, ON; Long Harbour and and ways we can work together to assure now lives in Sudbury, Ont., Voisey’s Bay, NL; and Clydach, UK, I was our loved ones that we will return safely with his family. He brings humbled, inspired and excited to discover after each shift and bring our communities with him many years of the business through our people and peace of mind. operational leadership and our communities. What is clear to me is experience with global that our people are committed, and our There has been much change in our mining companies, including communities are counting on us to live by business and I will continue to foster the BHP and South 32, where he our values. stability that is necessary to deliver on our served as Vice President of commitments. At this pivotal time in our There is so much heart and history in each Operations of the company’s history, I commit to lead with care, respect of our operations and so much strength Worsley Alumina business. and integrity and look forward to working in our communities. You will see proof with all of you to realize the best possible of this within the pages of this report future for our people, our families and our as we share our highlights, milestones, communities. performance results, improvements and partnerships. I am proud to be leading our Dino Otranto operations during a time of extraordinary Chief Operating Officer — North Atlantic transformation. Operations and Asian Refineries The most important work we do every day is getting everyone home safely. In our industry, managing risk is a critical
Vale Community Report 2018/2019 | 1 In focus: Our future
Having begun my journey at Vale’s founder Ludwig Mond is still at the heart Clydach Refinery as a young apprentice of our operations. The lessons learnt over 27 years ago, I was humbled by the many years of reliable operation present opportunity to become the Refinery us with a foundation on which we can Operations Manager this year. I am continue to improve our safe working continually impressed by the enthusiasm practices, environmental performance and energy shown by the team here and processing efficiencies. and the pride they show in the refinery’s As we embrace new technologies performance. to further advance the refinery, we All our efforts are aligned on ensuring still recognise that people are key to that Clydach Refinery remains a our success and sustainability. It is Milestones significant contributor to both Vale’s our knowledgeable and committed • Opened in 1902, the nickel business, and to the communities workforce that makes Clydach Refinery Clydach Nickel Refinery is around us. Achieving both is vitally the benchmark for others. one of the oldest refineries important in meeting our responsibilities I am excited by the prospect of us in the world, and one of to our colleagues, neighbours and the working together to build a successful the largest in Europe. environment. future for all who work at the refinery, and • We produce upwards Commercial production of nickel at the for the communities around us. of 40,000 metric tonnes site commenced 117 years ago, and Darren Poland of high-purity nickel the Carbonyl Process developed by our Operations Manager products annually, and supply approximately 280 clients in more than 30 countries in Europe, Asia and the US. • Our nickel is used for making batteries, including those being used for the growing electric vehicles market. • In 2014, we received a Silver Medallion at the Shingo Prize for Vale’s Clydach Refinery produces refined nickel in the form of powder and pellets. Operational Excellence, dubbed the “Nobel Prize of Manufacturing” by Business Week magazine. This marks the first time a UK company has been awarded the prize.
Vale Community Report 2018/2019 | 2 Local children build birdboxes at Vale’s Woodland Walk with Welsh nature observer and television presenter, Iolo Williams. We live and work in our community
In 2018, Vale’s Clydach Refinery and its employees supported more than 40 Christmas card community initiatives by donating time, money and resources. You may have seen project: our employees picking up street litter, Students at Swansea special for example, or volunteering at Vale’s needs school, Ysgol Pen-Y- Woodland Walk, an interactive outdoor Bryn, partake in an annual classroom for school-age children who Christmas card project that participate in bug hunts, building bird tests their business acumen. boxes and more. Working with a local printing We have an Engagement Committee company, the students composed of Vale employees and other design and print their own locals — all volunteers — that meets cards, and then go out into three times a year. The committee the community to sell them. members brainstorm community Vale funds the printing costs, initiatives and events, and propose them and all sales proceeds go to Vale for consideration in supporting. back to the school. While all community initiatives are important to us, one that is particularly close to our employees’ hearts is the A celebrity in our Christmas Project for Children. Each year midst: the local Police Community Support Officers (PCSOs) and Army Cadets run a It was a pleasure to welcome project to ensure every child within the radio and television area receives a gift, and we are very proud broadcaster, Roy Noble, to be a part of such a worthy cause. to our refinery. Roy was filming for the S4C program, ‘Cymoedd Roy Noble,’ to capture the critical role Vale Local celebrity Roy Noble chats with plays in our Community. one of our employees.
Vale Community Report 2018/2019 | 3 We respect the environment
While our 64-acre property is a mix of 1900s brick buildings and modern steel-clad warehouses, punctuated by a Highlights 300-ft. stack — we are not all industrial. Fresh water, naturally A woodland encircles the perimeter, In 2018, we completed a multi- while River Tawe and Swansea Canal year £4 million project at our hug the property on either side. Inside effluent plant installing state-of- this naturalized boundary is a grassy the-art, automated technology area the size of 10 football fields, which to monitor our treated water. we planted to remediate a former Peregrine falcon production and warehousing facility. training ground This, and the good water quality of the Peregrine falcons are using They’re back! river and canal, have received a clean our 300-ft. stack to train their For the first time in 200 years, bill of health from our regulator, Natural young. From the top, the otters are in River Tawe. Resources Wales (NRW). NRW sets the parents toss prey they have standards by which we operate, and injured (not killed) so their Recycled cooling water circuit inspects our operations regularly to chicks can attempt mid-air This massive, multi-phase ensure compliance. catches and perfect their project will realize a 70% signature divebombs, which water reduction upon can reach almost 200 mph. completion in 2021. 2018 numbers Estimated cost: £2 million. Environmental Management System Insect hotel and To continuously improve compost bins 4,849 environmental performance Our wooden pallets have tonnes of scrap whilst meeting our business been upcycled into a luxe metal recycled objectives, Clydach Refinery insect hotel by local school operates to the internationally children, and our plastic recognised, best-in-class pallets have been re- 26 standard ISO 14001. Every year, imagined as compost bins for tonnes of pallets we are audited by an external a local community garden. reused third party to ensure we are Landfill diversion meeting the standard, and 100% of waste from landfill continually striving to do better. is diverted. Our resounding 4.5 success can be attributed to tonnes of pipe our employees’ adherence wrap recycled to the Waste Hierarchy (see chart below). 4.0 tonnes of wood Most Prevention reused favoured option Minimisation Vale donated the plastic pallets used to build compost bins at Reuse 1.7 the Community Garden. tonnes of Recycling cardboard reused Energy Least recovery favoured option Disposal
Waste Hierarchy
The wooden pallets featured in this insect hotel were donated by our company to a local school. Vale Community Report 2018/2019 | 4 Vale Europe Major emergency safety instructions 1. Warning of danger A siren giving a rising and falling wailing sound for 11/2 minutes. The siren is tested once per year at One of our company’s core values is: Life Matters Most 2:30 pm on the first Wednesday of September. 2. Go to a safe place We put safety first Go indoors. Do not remain in the open. Every single day, the Clydach Nickel years, we submit a Safety Case Report to 3. Make the place safer Refinery lives up to Vale’s core values, Life the regulator, who reviews it annually, Close all doors and windows, Matters Most and Value Our People, in how through onsite inspections and against go upstairs if possible, face we manage Health and Safety — both the most current legislation and best away from windows, turn off onsite and in the community. practice standards. ventilation and gas appliances — including pilot lights. Health & Safety Management Emergency services partnership Systems 4. Further information Emergency exercises Stay alert for instructions OHSA/ISO At our Clydach Nickel Refinery, we have from the police and listen to Occupational Health and Safety two emergency plans: the local radio. Do not phone Assessment (OHSAS) — and the new the refinery! Keep line clear Onsite. This takes place on our property, international standard, ISO 45001, for emergeny use. and is created and reviewed by Vale and which we recently achieved — provide tested regularly with the Mid and West 5. All clear frameworks to identify, control and Wales Fire Rescue Service. Wait until the all clear is given decrease risks associated with health and by a three minute continuous safety in the workplace. To be OHSAS Offsite. This is for community note of the siren. and/or ISO accredited, we must pass a emergencies with procedures and third-party, onsite audit that typically policies set out by the Swansea City Check out our new website: lasts one week and assesses our best Council in conjunction with the local fire, For instructions, to contact practices for reducing and eliminating police and ambulance. Every three years, our site and for an audio of hazards in the workplace, whilst we participate in this full-scale plan in the sirens go to identifying opportunities for continued partnership with the City and emergency www.valeclydach.com improvement. Since 2004, we have services, and advise local residents ahead successfully met the OHSAS requirements. of time. The next test will take place in early 2020. COMAH The Control of Major Accident Hazards Public information zone Recycling 2015 (COMAH) is a U.K. regulation that Once a year, Vale’s Clydach Refinery Energy provides requirements for the storage and tests the onsite and public warning recovery use of threshold quantities of dangerous mechanisms. The public sirens are substances, and ensures businesses always tested on the first Wednesday in Disposal take all necessary measures to prevent September at 2:30pm, and residents who accidents. Clydach Nickel Refinery is live within an 800-metre radius of our an Upper Tier COMAH site. Every five operations are notified by letter in August.
Vale Community Report 2018/2019 | 5 Vale’s Clydach Refinery manufactures Nickel P-Pellets™ and Nickel S-Pellets™ through our carbonyl refining process.
Contact us If you would like to learn more about Vale or have queries, please visit us at our new website www.valeclydach.com or email [email protected].