10.07.2015 Views

Barrick Beyond Borders - May 2012 - Barrick Gold Corporation

Barrick Beyond Borders - May 2012 - Barrick Gold Corporation

Barrick Beyond Borders - May 2012 - Barrick Gold Corporation

SHOW MORE
SHOW LESS

Create successful ePaper yourself

Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.

<strong>Beyond</strong> <strong>Borders</strong>A BA RRICK GOLD REPORT ON RESPONSIBLE MINING • M A Y <strong>2012</strong>Mining for Nevada’s futureJobs and local spendingsupport economic turnaround


A BARRICK GOLD REPORT ON RESPONSIBLE MINING | BEYOND BORDERSBEYOND BORDERS NEWS<strong>Barrick</strong> appoints newCorporate Social ResponsibilityAdvisory BoardFirst meeting held in AprilTOP: BARRICK’S CSR ADVISORY BOARD, FROM LEFT TO RIGHT, INCLUDES ED LIEBOW, GARESMITH, ARON CRAMER, ELIZABETH DOWDESWELL, JOHN RUGGIE, AND ROBERT FOWLER.<strong>Barrick</strong> has established a Corporate Social Responsibility (CSR)Advisory Board and named five distinguished individuals toserve as inaugural members. The Advisory Board will provideadvice and guidance to <strong>Barrick</strong> management on the company’sglobal CSR performance and evolving best practices.“These highly respected individuals bring a wealth of expertiseand experience in corporate responsibility matters that will bea great asset to <strong>Barrick</strong>,” said President and CEO Aaron Regent.“Their input and guidance will help us to further improve ourpractices and manage emerging issues affecting our companyand the global mining industry.”The Board will serve in an advisory capacity and act as asounding board on a broad range of CSR issues, including communityrelations, sustainable development, the environment,human rights and security, and stakeholder engagement. It willalso provide a forum for constructive feedback, dialogue andcollaboration, and inform <strong>Barrick</strong>’s CSR programs and futurepractices.Advisory Board members reflect a diversity of CSR expertiseand stakeholder groups. Members will provide advice in anindividual capacity, rather than on behalf of any organizationor stakeholder group. They have been chosen based on theirin-depth knowledge of social and environmental best practicesfor international companies and their understanding of the keyissues affecting the mining industry.The Board held its first meeting on April 4 in Toronto. Themeeting was attended by Regent, Kelvin Dushnisky, ExecutiveVice President of Corporate and Legal Affairs, and other membersof the company’s senior leadership team. The all-day sessionincluded discussions on the environment, safety and health,community relations, and security and human rights. It was aproductive meeting that included helpful initial feedback fromnew Board members.The inaugural members of the CSR Advisory Board are:Aron Cramer, President and CEO of Business for SocialResponsibility and a globally recognized authority on CSR.Elizabeth Dowdeswell, President and CEO, Council ofCanadian Academies, and former Executive Director of theUnited Nations Environment Program.Robert Fowler, diplomat and senior foreign policy advisor tothree Canadian Prime Ministers and Canada’s longest-servingAmbassador to the United Nations.Ed Liebow, Director of the Battelle Memorial Institute’s SeattlebasedCenter for Public Health Research and Evaluation.Gare Smith, senior partner at Foley Hoag LLP and formerPrincipal Deputy Assistant Secretary in the U.S. StateDepartment’s Bureau of Democracy, Human Rights and Labor.John Ruggie, author of the U.N. Guiding Principles on Businessand Human Rights, will serve as a Special Consultant to theBoard as part of his advisory role in the CSR practice at FoleyHoag LLP. He is the Berthold Beitz Professor in Human Rightsand International Affairs at Harvard University’s John F.Kennedy School of Government, and Affiliated Professor inInternational Legal Studies at Harvard Law School.2<strong>May</strong> <strong>2012</strong>


BEYOND BORDERS | A BARRICK GOLD REPORT ON RESPONSIBLE MININGFEATURE STORIESTwo years after Chilean earthquake the rebuild continuesEmpowering communities in the Dominican RepublicDominican Republic President visits Pueblo Viejo5811Spotlight on Nevada:• <strong>Barrick</strong>’s presence in Nevada helping local vendors• Governor’s plan aims to create vibrant economy• <strong>Barrick</strong> helps ease housing shortage in Elko• Maintaining a Western Shoshone tradition• <strong>Gold</strong>strike mine cuts mercury emissionsA tour of community development projects in ArgentinaIntroducing the Alto Chicama Commitment12161618202228Dignitaries enjoyInternational Night hospitality<strong>Barrick</strong> held its seventh annual International Night receptionon March 6 in Toronto. The event drew more than 200 guestsincluding Jorge <strong>May</strong>oral, Secretary of Mining in Argentina,Octavio Lopez, Director General of Mining for the DominicanRepublic, and Canada’s Minister of Labour, the HonourableLisa Raitt. Guests were warmly welcomed by hosts CEO AaronRegent, and Executive Vice President of Corporate and LegalAffairs Kelvin Dushnisky.<strong>Barrick</strong> suppliers in Peru learn best practices32ABG Maendeleo Fund supporting development in Tanzania33Surgical missions changing lives in Tanzania36<strong>Barrick</strong>’s support for education securing better futures38Women making strides in mining40Additional law enforcement resources to deploy to PorgeraBARRICK’S PRESENCE IN NEVADA HELPED MANY LOCALVENDORS ENDURE A LONG RECESSION THAT IS ONLYNOW SHOWING SIGNS OF ABATING. THE COMPANY’SGROWTH IS CREATING NEW JOBS AND ADDING MUCH-NEEDED DIVERSIFICATION TO THE NEVADA ECONOMY.READ MORE ON PAGE 12.43TOP: KELVIN DUSHNISKY, EXECUTIVE VICE PRESIDENT OF CORPORATE ANDLEGAL AFFAIRS, GREETS GUESTS AT BARRICK INTERNATIONAL NIGHT.MIDDLE: OCTAVIO LOPEZ, DIRECTOR GENERAL OF MINING FOR THE DOMINICANREPUBLIC, AND JORGE MAYORAL, SECRETARY OF MINING IN ARGENTINA, WEREEACH PRESENTED WITH TEAM CANADA HOCKEY JERSEYS BEARING THEIR NAMES.3


A BARRICK GOLD REPORT ON RESPONSIBLE MINING | BEYOND BORDERSBEYOND BORDERS NEWSZambian First Lady visits Lumwanamine on International Women’s DayDuringaspecialvisitto<strong>Barrick</strong>’sLumwanaoperation,theFirstLadyofZambiacited<strong>Barrick</strong>’scommunitydevelopmentprograms as examples of how big business can give back.MadameFirstLadyDr.ChristineKasebachoseherfirstInternationalWomen’sDayintheroletohighlightsomeof<strong>Barrick</strong>’s initiatives targeted at helping educate and empowerwomeninthecountry.ShewasonhandtolaunchtheLumwanaTownship Community Shelter for Victims of Gender-BasedViolence,a<strong>Barrick</strong>-supportedinitiativethatofferswomenfromthelocalcommunitysaferefugefromabusivesituationsandcounseling through qualified practitioners.Dr.Kasebaalsopraisedthe<strong>Barrick</strong>LumwanaHighSchoolscholarship program for encouraging students, in particularyoungwomen,toattendandstayinschool.“Inapplauding<strong>Barrick</strong>LumwanaMiningCompany...Iwouldlike,throughthisgathering,tourgeothercorporateentities to implement community programs, such as thisscholarship scheme, because they not only add value to thecommunitythroughempowerment,butcreatesustainableprogressthatopensupmoreopportunitiesforthesurroundingcommunity,” Dr. Kaseba said.THE FIRST LADY OF ZAMBIA, DR. CHRISTINE KASEBA, DURING HER VISIT TOBARRICK’S LUMWANA OPERATION ON INTERNATIONAL WOMEN’S DAY.<strong>Barrick</strong>’s“NsaboYetu”initiative,whichteacheswomenentrepreneurialskills,wasalsocitedbyDr.Kasebaasameaningfulwayforcompaniestohelpsupportpeopleinthecommunities where they do business. (“Nsabo Yetu” means“OurWealth”inthelocallanguageofKikaonde.)The company’s Agri-food Innovators Program, which assistswomeninthefarmingprofession,wasalsonotedbytheFirstLady,alongwithadairyprojectlaunchedinpartnershipwithYAPYA,alocalyouthnon-governmentalorganization.“TheFirstLadyspokeverypositivelyaboutLumwanaanditsprograms,”saidNathanChishimba,CommunityRelationsManageratLumwana.“WearedelightedthatshechosetospendherfirstInternationalWomen’sDayasFirstLadyofZambiaatLumwana.”2011 ECONOMIC VALUE ADDEDGlobally, <strong>Barrick</strong>’s operations are a catalyst for socialandeconomic development and have a direct impact on improvingthe standard of living for families and communities in andaround the company’s mine sites and projects.$13 billioninvestedineconomicdevelopment,including local and regional purchases,wages, taxes and royalties.$47 millioninvestedinsocialdevelopment,including health care, education,infrastructure, sponsorships andsustainable development programs.4<strong>May</strong> <strong>2012</strong>


Rebuilding after the devastationMore than two years after a massive earthquake rocked Chile, <strong>Barrick</strong>’s $5 million contributionhas helped rebuild several towns in the country’s coastal region of Maule.<strong>May</strong> <strong>2012</strong> 5


A BARRICK GOLD REPORT ON RESPONSIBLE MINING | BEYOND BORDERSDON RITZ, SENIOR VICE PRESIDENT, SAFETY AND LEADERSHIP, AND BARRICKCEO AARON REGENT SURVEY DAMAGE FROM EARTHQUAKE DURING 2010 VISIT.THE LICEO NUEVO HORIZONTE SCHOOL IN AQUELARRE, CHILE, ONE OFTHREE SCHOOLS THAT BARRICK HELPED REBUILD.LEFT: FILOMENA CORREA. ABOVE: FILOMENA’SHOUSE DURING RECONSTRUCTION.In the early-morning hours of February 27, 2010, not long beforea massive earthquake leveled much of south-central Chile,Filomena Correa had a premonition that something awful wasabout to happen.“I tried to tell my husband, but he was sleeping and didn’thear me,” says Correa, who lives in Vichuquén, Chile, about300 kilometers southwest of Santiago.Minutes later, the ground began to shake violently. Correa,who is 67, and her husband Jose bolted from their bed andliterally ran for their lives. “We got out as fast as we could withwhatever we had on,” she says. “It was terrible.”The 8.8-magnitude earthquake was one of the worst inrecorded history. It lasted 180 interminable seconds and triggereda tsunami that wreaked further havoc along the Chileancoast. All told, the earthquake killed 525 people in Chile andcaused an estimated $30 billion in damage.While, fortunately, no one was killed in Vichuquén, the townwas gutted. “It looked like a war zone,” says Raul González, a<strong>Barrick</strong> Project Engineer who relocated to Vichuquén shortly afterthe earthquake to help the town rebuild.In the aftermath of the earthquake, 250 <strong>Barrick</strong> volunteersconverged on Vichuquén and other towns in Chile’s coastal regionof Maule to help build emergency homes. <strong>Barrick</strong> also donated8,000 liters of water, mattresses, pillows and blankets to localresidents, many of whom lost their homes.It was the first phase of <strong>Barrick</strong>’s involvement in a long-termreconstruction plan that encompassed Vichuquén and the townsof Aquelarre and Boyeruca. Overall, <strong>Barrick</strong> contributed$5 million and played an active role in the reconstruction project,which included the rebuilding of three schools: one in Vichuquén,one in Aquelarre and one that was recently completed andunveiled in a ceremony in Boyeruca.“This school is a testament to the spirit and resilience of thiscommunity,” said Igor Gonzales, <strong>Barrick</strong>’s Regional President forSouth America, who attended the ceremony. “This town didn’tsuccumb to despair when it would have been so easy to in the faceof such devastation. Instead, you began to rebuild and the resultsare evident today.”In addition to the reconstruction of the schools, <strong>Barrick</strong>is helping rebuild 24 houses in Vichuquén that were severelydamaged in the earthquake. One of those homes belonged toCorrea. “I am infinitely grateful for the assistance and supportwe received from <strong>Barrick</strong>,” says Correa, who has lived in anemergency home built by <strong>Barrick</strong> since that fateful February day.Correa’s old house was made of adobe brick and may havebeen as much as 200 years old. It was a designated historic site,as was the entire town of Vichuquén, a popular tourist destina-6<strong>May</strong> <strong>2012</strong>


BEYOND BORDERS | A BARRICK GOLD REPORT ON RESPONSIBLE MININGONE OF 24 HERITAGE HOUSES BEING REBUILT IN VICHUQUÉN.TOP: STUDENTS PERFORM AT THE OPENING CEREMONY OF A SCHOOL INBOYERUCA REBUILT WITH SUPPORT FROM BARRICK. BOTTOM: A CLASSROOMIN THE BOYERUCA SCHOOL.tion known for its colonial architecture and adobe structures.To assist with the rebuild and ensure the town retained itsheritage designation, <strong>Barrick</strong> engaged SENSICO, a Peruvianorganization that pioneered earthquake-resistant constructiontechniques for adobe buildings.“<strong>Barrick</strong> and SENSICO showed that reconstruction withadobe was possible,” says Román Pavéz López, <strong>May</strong>or ofVichuquén. “That was very important because it allowedVichuquén to retain its historic identity. From the beginning ofthe emergency, <strong>Barrick</strong>’s presence made us feel supported andhelped strengthen our resolve to overcome this crisis.”Construction of the first five heritage homes will be completedin the coming months. “We can’t wait to return to ourhouse again,” says Correa, whose house will be among the five.Once completed, the five houses will be unveiled in aceremony that will also mark <strong>Barrick</strong>’s formal exit from thetown. “We are extremely pleased we could play a part in thereconstruction of these historic homes, as well as the manyother projects that we supported,” says Igor Gonzales.After living in Vichuquén for nearly two years, Raul Gonzálezrecently left to take on a new assignment. He is now living inLa Serena, Chile, about 700 kilometers north of Vichuquén,where he is helping implement the closure plan for <strong>Barrick</strong>’sEl Indio mine.For about a month prior to his departure, González says,he was invited to a ceremony or party almost every night bypeople who wanted to express their appreciation to <strong>Barrick</strong>.“The people were amazing,” he says. “Mothers and fathers fromthe schools that we helped build made parties, and people keptsaying, over and over, ‘We don’t know what we would have donewithout <strong>Barrick</strong>’s help.’ ” ■<strong>Barrick</strong> contributed $5 million to the reconstruction effortin Vichuquén, Aquelarre and Boyeruca. Here is a list of theinfrastructure projects supported by <strong>Barrick</strong>:• Two hundred temporary homes that provided shelter topeople who lost their homes.• Vichuquén Lyceum School: The kindergarten-to-grade 12school in Vichuquén reopened in March 2011, equippedwith 20 new computers. The school has 206 students.• All-Purpose Sports Facility in Vichuquén: The facilityincludes a football field, basketball, volleyball and tenniscourts, as well as gymnastics facilities and an auditoriumfor cultural and theatrical events. The facility reopened inFebruary 2011.• School Residence in Vichuquén: The residence houses 32students who live in distant towns but moved to Vichuquénto attend the Vichuquén Lyceum School.• Aquelarre School: The kindergarten and elementary schoolreopened in September 2010, equipped with 12 new computers.It has capacity for 100 students.• Boyeruca School: The kindergarten and elementary schoolreopened March 30, <strong>2012</strong>. The school will be equipped witheight new computers and have capacity for 50 students.• Vichuquén Houses: Twenty-four houses in Vichuquén thatare designated heritage sites. The first five homes will becompleted in the coming months, and the remainder areexpected to be completed in 2013.• Vichuquén City Hall: Rebuilding the town’s city hall in thesame location and with the same design specifications asits predecessor. The project is still in the approval stage.<strong>May</strong> <strong>2012</strong>7


EMPOWERINGCOMMUNITIESINTHEDOMINICAN REPUBLICMunicipal Development Plans pave way for economic developmentTo arrive at <strong>Barrick</strong>’s Pueblo Viejo project in the DominicanRepublic, you must first pass through Piedra Blanca, a smalltown of about 8,500 people that many locals refer to as the“gateway to the mine.”If you have time to linger, you will come across a lovely spotcalled Alberto Caamaño Park, named after a famous Dominicansoldier and politician considered a hero for his attempts torestore rightful government to his country. The park has a newstone-patio square covered by a wooden canopy with tintedwindows which shades patrons from the blazing Dominican sun.Last spring, there was no patio, canopy or tinted windowshere. Instead, Alberto Caamaño Park was a barren patchwork ofgrass and dirt that people had stopped frequenting years earlier.The $62,000 refurbishment of the park was the first publicwork inaugurated under the Piedra Blanca MunicipalDevelopment Plan (MDP), a unique and promising new modelfor corporate social responsibility (CSR) spearheaded by <strong>Barrick</strong>,60-percent owner of the Pueblo Viejo Dominicana <strong>Corporation</strong>(PVDC), which manages operations at Pueblo Viejo.The park is one of dozens of community infrastructureprojects included in a five-year development plan for PiedraBlanca, one of six MDPs facilitated by PVDC in conjunctionwith municipal governments surrounding the mine. Thecreation of the MDPs represents a rare partnership betweengovernment, business and civil society. PVDC’s partners in theprogram include the Dominican Federation of Municipalities,the Regional Association of Municipalities of the SouthernCibao Region and the Canadian Embassy.The MDPs are a massive undertaking designed to helpcommunities set priorities for how to use mining revenue, aswell as develop the capacity to manage and allocate that revenuein a transparent and democratic way. The program stems froma 2007 Dominican law that requires municipalities to come upwith their own community development plans. PVDC helpedmove the program forward in 2008 when it began workingproactively with three municipalities in the mine area: Cotuí,Fantino and Maimón. In 2009, each municipality approved itsrespective MDP in local referendums.8<strong>May</strong> <strong>2012</strong>


TOP LEFT: ALBERTO CAAMAÑO PARK IN PIEDRA BLANCA, ONE OF DOZENS OF DEVELOPMENT PROJECTS THAT ARE PART OF THE PIEDRA BLANCA MDP.TOP RIGHT: CHILDREN PLAY OUTSIDE A SCHOOL IN PIEDRA BLANCA THAT IS UNDERGOING AN EXPANSION FUNDED BY BARRICK.Last year, the municipalities of Piedra Blanca, Cevicos andVilla La Mata also approved MDPs developed with the supportof a technical team created by PVDC. These communities arealready implementing infrastructure projects, while at the sametime engaging in an information campaign to promote futuredevelopment plans identified during numerous public workshopsand roundtables held in recent months.Local municipalities are responsible for development and managementof the projects going forward, which both communitiesand PVDC believe is crucial to the success of the MDP program.This demonstrates “true partnerships with the local governmentsand the communities they represent,” noted authors AaronAusland and Gerhard Tonn in a case study on the project. “Thislevel of engagement has resulted in full buy-in by the communities,in that the plans are developed and therefore ‘owned’ by thecommunities and not the company,” the study says.To maintain transparency and accountability, the MDPs callfor the creation of Municipal Economic and Social Councils,which allow citizens to participate in the development of projectsproposed and implemented under the program. Local residentsrepresenting various sectors of the community, including business,the environment, health, education, and public works andsafety, serve on the councils. In addition, numerous social auditcommittees have been formed in each municipality to monitorprojects being implemented by local governments with PVDCfunding.Citizens have been keen to participate in the MDPs to date,inspired by the program’s goal to build infrastructure and fosteragricultural development that will help reduce poverty andunemployment while also improving the health and education oftheir people, says Faby Manzano, CSR Manager at PVDC.While the MDPs have been in place for only a few years, theframework is already being eyed by others looking to becomebetter corporate citizens in the country. “The experience withthe implementation of the MDPs has already become a pointof reference for a large private group with interests in anotherregion,” says Méjico Angeles-Lithgow, Director, GovernmentAffairs at PVDC.<strong>May</strong> <strong>2012</strong> 9


A WORKER PUTS FINISHING TOUCHES ON A NEWCOMMUNITY CENTER IN PIEDRA BLANCA.RIGHT: WOMEN IN A BARRICK-FUNDEDCOMMUNITY CENTER IN THE TOWN OF TOCOASEW SAFETY VESTS USED BY WORKERS ATPUEBLO VIEJO.Key funding for the MDPs is provided by PVDC and theCanadian Embassy in the Dominican Republic through itsCanadian Fund for Local Initiatives. In 2011, $4.7 million wasset aside for MDP projects, $3.6-million of which came fromPVDC.<strong>Barrick</strong>, as well as other large and small companies across theMDP communities, also contributes by providing supplies and,in some cases labor, towards the projects. For instance, <strong>Barrick</strong>provided $100,000 and 400 bags of cement to help build fourmunicipal projects in the town of Cevicos in Sánchez Ramírezprovince. Other local entrepreneurs and community institutionscontributed with labor and other supplies.Once Pueblo Viejo begins commercial production, additionalfunding will flow to the communities, as the nationalgovernment will provide five percent of the tax revenue paid bythe mine to communities in Pueblo Viejo’s area of influence.Overall, there are hundreds of infrastructure projects invarious stages of development in dozens of communities aroundthe Pueblo Viejo project.Some of the biggest projects by dollar value were constructedin the municipality of Maimón in the central part of the country.PVDC contributed a total of $673,000 to help build muchneededsidewalks and curbs in three neighborhoods: Angelita,Los Coquitos and Los Martinez. PVDC also contributed$195,000 to help build a municipal vendor market in the municipalityof Fantino, and another $210,000 towards the paving ofroads in the neighborhood of San Rafael in the municipality ofPiedra Blanca.These projects were adopted as part of the MDP programbecause they represent long-standing needs of the localcommunities that have been considered a priority, in some casesfor more than 20 years, according to Angeles-Lithgow.While the MDPs are the centerpiece of PVDC’s CSR program,the company’s community responsibility initiatives are notconfined to the six municipalities that have adopted MDPs.PVDC also contributes to infrastructure projects in othermunicipalities near Pueblo Viejo and works closely with them tohelp foster local development.For instance, one recently completed project was the constructionof the Mabi Bridge over the Banilejo River in themunicipality of Rancho Arriba. The 24-meter long, 6.5-meterwide structure helped ease the passage between the town ofSan Jose de Ocoa and Piedra Blanca, a long-standing bottleneckin the area. The work, which includes two pedestrian walkways,cost $190,000.“Our goal is to help empower the authorities and communitiesto implement and manage sustainable development initiativesthat continue long after our mine stops operating,” Manzanosays. “We’re going to be here for 25 years, perhaps longer, butthis is their home.” ■10<strong>May</strong> <strong>2012</strong>


LEFT: DOMINICAN REPUBLIC PRESIDENT LEONEL FERNANDEZ SPEAKS AT CEREMONY WELCOMING HIM TOPUEBLO VIEJO. ABOVE: BARRICK BOARD MEMBER GUSTAVO CISNEROS AND WIFE PATRICIA CISNEROS GREETPRESIDENT FERNANDEZ.Dominican President Fernandezpraises Pueblo Viejo during visitDuring a special visit to Pueblo Viejo inFebruary, Dominican Republic PresidentLeonel Fernandez expressed his enthusiasticsupport for the project and the economicbenefits it will bring to the country.Speaking to company employees, governmentofficials and a large media contingent,he also praised <strong>Barrick</strong> for its dedication tothe environment and its work with municipalgovernments and communities.“The Dominican Republic has beenable to attract the interest and attentionof a company that is recognized internationallyfor its technical capacity in themining world,” President Fernandez said.“The Dominican Republic has been put onthe world map of mining, and this projectwill bring new economic developmentto the country. As soon as the operationstarts, the Gross Domestic Product of theDominican Republic will increase. Witheconomic growth, we can guarantee stability,well-being and prosperity for ourcountry.”The President was greeted by a delegationthat included <strong>Barrick</strong> CEO AaronRegent, Board Member Gustavo Cisneros,Executive Vice President of Corporateand Legal Affairs, Kelvin Dushnisky, andCanada’s Ambassador to the DominicanRepublic, Todd Kuiack. “Five years ago,we set out to build something here that allDominicans could be proud of – a worldclassgold mine, an engine of economicopportunity, a leader in responsible environmentalmanagement and a force forpositive change in the community,” Regentsaid at a ceremony to welcome PresidentFernandez. “As we stand here today, justmonths away from our first gold pour, Ican tell you that Pueblo Viejo is everythingwe hoped it would be, and more.“None of this would have been possiblewithout the strong leadership andsupport of President Fernandez and hisgovernment. Under his stewardship, theDominican Republic has emerged as oneof Latin America’s most dynamic and fastest-growingeconomies.”Pueblo Viejo will be one of only a fewmines in the world producing more thanone million ounces of gold per year, usingsome of the most advanced technologyin the mining industry today. The projectrepresents the largest foreign investmentin Dominican Republic history, with mineconstruction capital of up to $3.8 billion.It has already brought a major boost to thelocal and national economy, and it will adddiversity to an economy that has traditionallyrelied on tourism and agriculture.“The project has employed up to 9,000people during the construction phase, avast majority of whom are Dominican,”Regent said. “Once in operation, it willsupport as many as 1,500 direct jobs andthousands of additional indirect jobs. Weare also committed to ensuring the peoplewho live near our operations benefit frommining, and that means we will continueto invest in health, education, skills trainingand local business development, amongmany other community initiatives.”President Fernandez later took part in aspecial tour of the process plant, and visitedthe site’s autoclaves. Pueblo Viejo has four780-ton autoclaves, which are the largest inthe world. The autoclaves use state-of-thearttechnology to process refractory ore ina contained, environmentally responsiblemanner.“We always welcome opportunities toshowcase one of <strong>Barrick</strong>’s most importantnew projects, particularly when thevisitor is a great supporter like PresidentFernandez,” said Kelvin Dushnisky. “Afteryears of planning and construction,Pueblo Viejo is nearing first production.It’s an exciting time, and we look forwardto entering this new phase and continuingto share the benefits of this remarkableproject with the people of the DominicanRepublic.”Dushnisky also thanked GustavoCisneros, who is a part-time resident of theDominican Republic, for his ongoing supportof the project. “Gustavo has supportedPueblo Viejo from the start and his feedbackand advice are invaluable.” ■President Fernandez wasn’t the only distinguished guest to visit Pueblo Viejo in February. Shortly after his visit, the projectwelcomed former Spanish Prime Minister and current <strong>Barrick</strong> International Advisory Board member, José María Aznar,for a one-day tour of the operation.<strong>May</strong> <strong>2012</strong>11


Mining industrykeeps Nevada vendorsthrough tough timesTOP: BARRICK’S BOOTH AT A RECENT JOB FAIR AT THE UNIVERSITY OF NEVADA, RENO.BELOW LEFT: WESTERN NEVADA SUPPLY INC.’S HEADQUARTERS IN SPARKS, NEVADA.RIGHT: RICK REVIGLIO, PRESIDENT OF WESTERN NEVADA SUPPLY.12<strong>May</strong> <strong>2012</strong>


BEYOND BORDERS | A BARRICK GOLD REPORT ON RESPONSIBLE MININGIn 2007, the year before a massive recessionbeganravagingthestateofNevada,WesternNevada Supply Inc. had about 400 employees.Today it has 200.Headquartered in Sparks, just east of Reno,WesternNevadaSupplyprovidespipes,plumbingfixtures, landscaping and underground utilitiesformanynewhomesinnorthernNevada.Whenthe recession hit, housing starts plummeted90 percentinthenorthernpartofthestate,andremained at depressed levels for four straightyears, says Rick Reviglio, President of WesternNevada Supply. “Most businesses can’t weatherthat kind of decline,” he says. “Our relationshipwith <strong>Barrick</strong> played a key role in keepingus afloat.”afloatThegold-miningindustryhasbeenoneofthefewbrightspotsinrecession-batteredNevada,which has led the nation in unemployment,bankruptciesandhomeforeclosuresforthepastfour years. With the price of gold riding high amidongoingglobaleconomicturmoil,goldminingcompanies operating in Nevada are spendingmore on exploration, construction, equipment andmaintenance. For instance, in 2010, explorationspending nearly doubled to $214 million from$111 millionayearearlier,accordingtoasurveybytheNevadaDivisionofMinerals.Whilesurveydata for 2011 is not yet available, companiesthat participated in the 2010 survey projected a38 percent increase in expenditures to $295 million.Overall, <strong>Barrick</strong> invested more than $140 millionin Nevada exploration in 2011, and it’s forecastingspending of up to $220 million in <strong>2012</strong>.TheNevadaminingindustrydoesbusinesswithnearly 2,400 companiesinthestate,accordingtotheNevadaMiningAssociation(NMA).Andtheflurryofactivityintheindustryisgeneratingmuchneededrevenueformanyofthesevendors,suchasWesternNevadaSupply.“Wefeelveryblessedandfortunate that we have a partnership with <strong>Barrick</strong>duringtheseverytoughtimes,”saysReviglio,whosecompanyhasbeensupplying<strong>Barrick</strong>withpipes, valves and fittings since 2004.<strong>May</strong> <strong>2012</strong>13


TOP: MARYKAYE CASHMAN, CEO OF CASHMAN EQUIPMENT.LEFT: THE PARTS WAREHOUSE AT CASHMAN EQUIPMENT’S HEADQUARTERSIN LAS VEGAS.For Cashman Equipment Co., a large Caterpillar distributor thatserves the Nevada market, mining helped offset a sharp declinein sales to the construction industry. “Construction almostceased in Reno and Las Vegas during the recession, and it’s stillwell below pre-recession levels,” says MaryKaye Cashman, CEOof the Las Vegas-based company. “Fortunately, mining helped usmaintain our equilibrium.”As its mining-related business grows and the constructionindustry shows signs of life, Cashman Equipment has begunhiring again. The company’s head count stands at about 675,up from 500 at the low point of the recession. The company islooking to add 50 new jobs this year, about half of those at itsstate-of-the-art plant in Las Vegas and the remainder at sites inElko and Reno. “The growth of the mining industry has helpeddiversify Nevada’s economy, and without a doubt, <strong>Barrick</strong> hasbeen a big part of that,” says Mike Pack, President of CashmanEquipment.In its 2010 economic overview, the NMA estimated miningadded $7.5 billion to Nevada’s gross state product and $3 billionto household income. The industry paid an estimated $314million in state taxes in 2010, an all-time high, and generatedan estimated 12,200 direct jobs at an average salary of $83,000,including benefits. The average state salary in 2010 for alloccupations in the state was $43,000, according to the NMA.While the NMA’s 2011 economic overview won’t be availableuntil October <strong>2012</strong>, a recent survey of its members revealedplans to add between 1,200 and 1,500 new jobs this year. <strong>Barrick</strong>employs more than 5,000 people at its Nevada operations, and isbudgeting for 330 new positions in <strong>2012</strong>. The company attemptsto hire in-state whenever possible, attending numerous job fairsaround the state, including hard-hit urban areas like Reno andLas Vegas. For every direct job in the mining industry, the NMAestimates another 5.23 indirect jobs are created. In 2010, that<strong>May</strong> <strong>2012</strong>


BEYOND BORDERS | A BARRICK GOLD REPORT ON RESPONSIBLE MININGTOP: GENE MCCLELLAND, PRESIDENT OF MCCLELLAND LABORATORIES IN RENO.translated into about 64,000 jobs.“There are all kinds of geotechnical firms, environmentalfirms and engineering firms located here to service the miningindustry,” says Gene McClelland, President of Reno-basedMcClelland Laboratories. “They pay their employees, and theiremployees spend their money in the state. If the big miningcompanies weren’t here, things in Reno, and across all ofNevada, would have been a whole lot worse.”McClelland Laboratories provides metallurgical testing andresearch services to the mining industry. These days, its biggestchallenge is keeping up with demand, McClelland says. Thatexplains the recent expansion of the company’s laboratories to50,000 square feet from 20,000, and the doubling of its employeebase to 100 from 50. Inside its Reno headquarters, a myriadof labs teem with technicians testing samples of ore shippedfrom mines around Nevada and beyond. Companies from asfar away as Turkey, Pakistan and Mongolia rely on McClellandLaboratories for metallurgical and environmental testing thathelp determine whether they have a viable mine.“We’re here because of the Nevada mining industry, but webring in revenues from around the world – and we’re busier thanever,” McClelland says.It wasn’t always this way. In 1999-2000, the price of goldwas hovering below $300 and global exploration was at astandstill. Business was so slow that McClelland cut head countto 13, closed the company’s foreign offices and feared for hiscompany’s future. Throughout this period, <strong>Barrick</strong> continuedto do business with the company. “I think I can say that, bycontinuing to work with us, <strong>Barrick</strong> kept us from going out ofbusiness,” McClelland says. “Things were that dire.”<strong>Barrick</strong>’s growing presence in Nevada continues to helpcompanies during rough patches, providing new opportunitiesto vendors that have traditionally relied on the constructionand gaming industries. YESCO Inc., best known for its innovativebillboards and signs that predominate on the Las Vegas andReno strips, is one such vendor. As revenue from the gamingindustry dried up during the recession, YESCO was compelledto look for new markets and it turned to the mining industry.YESCO worked closely with <strong>Barrick</strong> to develop a new productcalled the Safety Medallion. The product is a six-by-seven-foot,medallion-shaped digital scoreboard that tracks time lost dueto safety incidents at various operational areas of a mine. Thescoreboard can be easily updated each shift, and as the amountof time without an incident increases, the Medallion becomesa source of pride for workers, says Ed Lawson, an AccountExecutive at YESCO’s Reno office. “When a lost-time incidentoccurs, word spreads quickly because the scoreboard is reset tozero,” he says. “Workers want to find out what happened andhow to prevent a recurrence, so the Medallion helps drive newtraining opportunities.”To date, YESCO has sold four Safety Medallions to <strong>Barrick</strong>’s<strong>Gold</strong>strike operation and it is marketing the product to otherNevada mining companies, Lawson says. “The economy forcedus to look for new markets and we found one in mining,” he says.“We think we can sell this product around the world.” ■BELOW: MCCLELLAND LAB WORKERS DOING SAMPLING WORK.BOTTOM LEFT: A YESCO-MADE SAFETY MEDALLION TRACKS LOST-TIME INCIDENTS ATBARRICK’S GOLDSTRIKE OPERATION. BOTTOM RIGHT: ED LAWSON, ACCOUNT EXECUTIVEFOR YESCO IN RENO.<strong>May</strong> <strong>2012</strong>


MOVING NEVADA FORWARDa new beginning for the Nevada economyBY MICHAEL BROWN, VicePresidentofCorporateandExternalAffairs,<strong>Barrick</strong>NorthAmerica“MovingNevadaForward”isthechargeoftheeconomicdevelopment plan launched by Nevada Governor Brian Sandovalandstateleaders.Theplanaimstocreateavibrant,innovativeandsustainableeconomythatproduceshigh-qualityjobsforNevadans.Itisaplanendorsedandsupportedby<strong>Barrick</strong>andisfundamentaltoourownefforttostepupoureconomicandsocial engagement with Nevada.NevadahastheleastdiversifiedeconomyintheU.S.Itsconsumption-based economy is heavily reliant on tourism,construction and retail, and vulnerable to economic shocks. Asaresult,therecentrecessionhitNevadaharderthananyotherstate.TheNevadaeconomyisstillincrisis,leadingthenationinunemployment and other negative indicators.Inresponsetothecrisis,theGovernorhasoutlineda“StatePlanforEconomicDevelopment”thatcallsforanewcohesiveeconomic-developmenteffortthatadvancestargetedsectorsandpromotes greater global engagement. The three-year plan alsoseeks to increase economic opportunities through new educationand workforce development initiatives.Miningwillplayapivotalroleintheplan’ssuccessand<strong>Barrick</strong>hasalreadybeguntotakestepstosupportit.ThiswasdonethroughtheworkoftheNevadaMiningAssociation(NMA), with support from <strong>Barrick</strong> Supply Chain, at aneconomic focus group held in the fall of 2011. Participants at thefocusgroupweresurprisedtolearnofthebillionsofnewdollarsslatedforinvestmentinthestate’sminingsectorandthebreadthanddiversityofoursupplychain.Theplanthatemergedfromthat process identified seven clusters for development: tourism,health care, information technology, renewable energy, miningandmanufacturing,logisticsandaerospace.Asacompany,<strong>Barrick</strong> touches many of those clusters.The plan creates a new Department of Economic Developmentat the cabinet level and calls for the economic-developmentauthoritiesspreadacrossthestatetobereorganized.Thatisveryhelpful, as <strong>Barrick</strong> has traditionally supported eight different,and sometimes competing, development agencies in ruralNevada.Thoseagencieswillnowbeorganizedintooneregionaleconomic development effort and supported through ourcommunityaffairsdepartment.SUPPORTING LOCAL SUPPLIERSIntheminingcluster,<strong>Barrick</strong>istakingonthetaskofexpandingthenumberofourNevada-basedvendors.Sincetherecession,Renohasemergedasanimportantbaseofsupplyforminesinruralcounties.Renoishometomorethanonehundred<strong>Barrick</strong> vendors providing $126 million annually in suppliesandservices.Wethinkthatcanbeenhancedand,asaresult,we recently joined the Reno Chamber of Commerce and theEconomic Development Authority of Western Nevada, a public-BARRICKFUNDSCONSTRUCTIONOFNEWHOMESTOThegrowthoftheNevadagold-miningindustryhasbeenamuch-neededsourceofjobsintherecession-batteredstate,butoneconsequenceofthehiringsurgeisthatnewemployeesoftenhaveahardtimefindingaplacetoliveinruralmininghubslikethecityofElko.<strong>Barrick</strong> has more than 5,000 employees at its operations inNevada,upfrom2,850in2007.Thecompanyexpectstohireabout 330 new employees this year after hiring a similar numberin2011.ManyofthesenewworkerswillsettleinandaroundElko,thelargestcityinnortheasternNevada.Elkoiswithinatwo-hourdriveofallfiveof<strong>Barrick</strong>’sNevadamines.“Atthispointintime,weestimateweneed800multi-familyunitsjusttoaccommodateexistingdemandforhousinginthecity of Elko,” says Pam Borda, Executive Director of the ElkoCounty Economic Diversification Authority. “That doesn’tinclude anticipated growth.”BARRICK’S JUSTIN GOJKOVICH AND HIS WIFE SARA WITH THEIR FOUR DAUGHTERS IN FRONT OF THE NEW, BARRICK-FUNDED APARTMENT COMPLEX IN ELKO, NEVADA.


LEFT: BARRICK’S CORTEZ HILLS MINE. CENTER: GREAT BASIN COLLEGE IN ELKO, NEVADA. RIGHT: STUDENTS VISIT BARRICK’S BOOTH AT A RECENT JOB FAIR AT THEUNIVERSITY OF NEVADA, RENO.privatepartnershipcommittedtorecruitingandexpandingcompaniesintheGreaterReno-Tahoearea.InsouthernNevada,wehavebeentakingthemessageon“How to do business with <strong>Barrick</strong>” to rotary clubs and businessgroups.ThroughtheNMAwehaveorganizedminetoursforbusinessleaders.WewillalsopromotedirectinvestmentinNevada at the <strong>Barrick</strong> Suppliers’ Conference to be held laterthisyear,andattheMinExpoconventionthisSeptemberinLasVegas. The MinExpo is expected to attract over 50,000 attendees,providingagreatopportunitytoshowcaseminingtosouthernNevada business leaders.<strong>Barrick</strong>isthestate’slargestforeigndirectinvestorandgoldisthestate’slargestexportproduct.In2010,Nevada’s$2.4billioningoldsalesrepresented40percentofthetotalvalueof state exports. <strong>Barrick</strong>’s reinvestment in its Nevada mines,andnewdiscoveries,offeranopportunitytocontinueaddingfamily-sustainingjobsinruralNevada.In2011,weadded330employeestoourNevadaworkforce,andanticipateaddingasimilarnumberin<strong>2012</strong>.Wecurrentlyhavemorethan5,000employees at our operations in Nevada.NARROWING SKILLS GAP THROUGH EDUCATIONThe economic plan calls for Nevada to increase its reliance onknowledge-basedindustries.Thisrequiresanincreasedfocusonworkforcedevelopmentandeducation.Oneofthecruelrealitiesofthisrecessionisamismatchbetweenskillsandavailablejobs.Thisisespeciallyacuteinareasofvocationaleducationwhereemployerslike<strong>Barrick</strong>arestrugglingtofindskilledmachinists,electriciansandmechanics.Thereisa“lostgeneration”ofworkerslackingvitaltrainingintheseareas,whichiswhytheplancallsforagreaterinvestmentinthecommunity college system.<strong>Barrick</strong>alreadyhasasubstantialinvestmentinGreatBasinCollege and it recently expanded that commitment, investing$1.2millionoverathree-yearperiodinthecollege’svocationalprograms,studenthousing,andanexpansionoftrainingprograms at the college’s campus in Winnemucca, Nevada.Onapolicylevel,ourregionalrecruitingmanagerhasbeenappointedtotheGovernor’spanelevaluatingvocationaleducation and training in Nevada’s secondary school system.AndinClarkCountyinsouthernNevada,<strong>Barrick</strong>joinedwithNewmontMiningtoprovideseedmoneytohelpthePublicEducation Foundation launch a new academy to train schoolprincipals.MiningcanhelpNevadacapitalizeonnear-termopportunitiesandhelpthestateinitstargetareas.<strong>Barrick</strong>hasbeenapartnerintheNevadaeconomysince1987,andwewillbeapartnerformanyyearstocome,workingwiththestatetohelpdiversify its economy. ■ADDRESS HOUSING SHORTAGETo help alleviate the problem, <strong>Barrick</strong> provided $12 millioninfinancingtoalocalbuildertoconstructthefirstphaseofanewapartmentcomplexinElkocalledRabbitbrushRun.Thefirstphaseincludes72unitsinsixthree-storybuildingsthatareoccupied entirely by <strong>Barrick</strong> employees and their families.“We’vehadmanydevelopersapproachusinrecentyearswithproposals for everything from trailer parks to major subdivisions,”saysLouSchack,DirectorofCommunicationsforNorthAmerica.“Anyonewholiveshereknowsthedemandforhousinghasbeenstrongformanyyears.Unfortunately,mostdevelopersstruggletogetfinancingbecausethebankingdecisionsaremade in larger cities, where the recession continues.“Eventually, it was clear that if we were going to add capacityinthissmallmarket,we’dhavetodiveinandplayabiggerrolethan we expected.”ConstructionofasecondphaseatRabbitbrushRunisunderway with completion expected by July 1, <strong>2012</strong>. <strong>Barrick</strong> isalsofundingthisphase,whichwillincludefivebuildingsand60apartmentsfor<strong>Barrick</strong>employees.Athirdphaseisunderconsideration and would include an additional five buildings and60units.BecauserentalhousingislimitedinElkoandrentalrates are at record highs, <strong>Barrick</strong> employees pay reduced rentsunderanagreementwiththepropertyowner.Justin Gojkovich, a maintenance technician at <strong>Barrick</strong>’s<strong>Gold</strong>strike mine, recently moved into a three-bedroom apartmentinRabbitbrushRunwithhiswifeandfouryoungdaughters.“It’sa really nice apartment,” he says. “I wouldn’t have been able tomaintainemploymentif<strong>Barrick</strong>hadn’tmadetheextraeffortandgotaplaceformetostay.ThereisjustnoaffordablehousinginElkootherthanwhatthey’reprovidingmenow.”


LEFT: BARRICK’S BRIAN MASON ORGANIZES AN ANNUAL PINENUT HARVEST FOR WESTERN SHOSHONE ELDERS EVERYOCTOBER. RIGHT: THREE GENERATIONS OF PINE NUT HARVESTERSFROM THE DUCK VALLEY RESERVATION. FAR RIGHT: WILMABLOSSOM STANDS ON THE RIGHT, WHILE HER GRANDSON PEEKSOUT OF A PINYON TREE. BOTTOM RIGHT: WOODEN POLES AREUSED TO KNOCK THE PINE NUTS FROM THE TREES.<strong>Barrick</strong> CSR Award WinnerHelps SustainWestern Shoshone TraditionIt has been more than 60 years since Wilma Blossom’s firstpine nut harvest, but her voice crackles with pleasure as shereminisces about collecting pine nuts with family and friends inNevada’s Reese River Valley in the late 1940s.“Oh, those memories are so neat,” says Blossom, a WesternShoshone elder. “Back in them days, we used to go in our oldtrucks. You’d pack your whole family, drive all day to ReeseRiver, meet up with other families, make a big pine nut campand pick throughout the day.“The men would whip the pinyon trees back and forth withlong metal poles and the pine nuts sounded like rain coming offthe trees.”Blossom, 69, was born and raised on the Duck ValleyReservation in northeast Nevada. Food wasn’t always plentiful,and pine nuts helped sustain families through the long wintermonths. “They’d keep people from starving,” she says.The pine nut remains an important part of Shoshone culture,but fewer people participate in the harvest these days. Manyelders would like nothing more than to take part, but oftenlack the means to do so. “A lot of people don’t have cars andthey can’t do the hard work involved in harvesting pine nutsanymore,” Blossom says.Enter Brian Mason. Also a Shoshone from Duck Valley, Masonbelieves it is important to sustain long-standing Shoshonetraditions like the pine nut harvest. “It’s something that bondedthe community together,” he says. “It would be a shame to losethat.”A man of action who served 21 years in the U.S. MarineCorps, Mason began working as an Environmental Engineerat <strong>Barrick</strong>’s Cortez Mine in 2006. That summer, as the rabbitbrush in the desert turned yellow, signaling the approachingharvest season, Mason had an idea. He would organize a pinenut harvest for Shoshone elders, scouting out the best locationsof pinyon trees and escorting anyone interested in participating.The effort would require <strong>Barrick</strong>’s sponsorship to covertransportation, lodging and meal costs, and that support wasreadily forthcoming. “<strong>Barrick</strong> was committed to this idea fromthe start,” Mason says.Indeed, many <strong>Barrick</strong> employees, including senior executives,have helped Mason with the program since its inaugural yearin 2006. “It was very enjoyable,” says Andrew Cole, GeneralManager of <strong>Barrick</strong>’s <strong>Gold</strong>strike mine in Nevada, who helpedMason with the 2010 harvest. “It was my first pine nut harvest,and helping the Shoshone elders with one of their traditionalcelebrations, well, it was pretty special to be a part of that.”Because pinyon trees bear pine nuts only once every three orfour years, Mason spends several weekends every Septemberscouring the back country around Cortez for clusters ofharvest-ready trees. When he finds them, he informs theShoshone communities and begins making transportation andaccommodation arrangements. He escorts about 50 elders onthe harvest each year over two weekends in October. Sometimesdemand is so high, he adds a third weekend. “They start callingme in July to find out when we’re doing it,” he says.While it’s primarily elders who attend, Mason welcomespeople of all ages. “We’ve had teenagers come out, which is whatI really want,” he says. “I don’t discourage anybody.”One year, Blossom’s 22-year-old grandson attended, whichis a memory that she cherishes. “It meant the world to me,” shesays. “Our younger generation don’t seem to want to go outanymore. It’s hard work to get the pine nuts, but it’s somethingthat Shoshones treasure.”18<strong>May</strong> <strong>2012</strong>


In addition to coordinating the pine nut harvest, Mason helpsorganize annual, <strong>Barrick</strong>-funded Shoshone language workshopsin Salt Lake City for high-school age Shoshone students. As anenhancement to regulatory permitting for <strong>Barrick</strong>’s Cortez HillsMine, he also organized a wood harvest in 2008 that providedessential firewood to hundreds of elders and members of severalShoshone communities. In 2011, Mason was recognized with aCorporate Social Responsibility award from <strong>Barrick</strong> for his workwith the Shoshone community.After serving as an Environmental Superintendent at the RubyHill Mine from 2009 through 2011, Mason assumed the role ofSuperintendent of Native American Affairs. In his new position,he helps identify and assist Native American candidatesseeking employment with <strong>Barrick</strong>. “I can’t think of a better rolemodel for anyone looking to start a career with <strong>Barrick</strong>,” saysDirector of Communications for North America, Lou Schack,who nominated Mason for the CSR award. “Brian’s knowledgeof his people’s history and traditions are of great value to mepersonally and to <strong>Barrick</strong>, as we work with the Shoshone peopleof Nevada to share the benefits of our business and help preservethe Shoshone culture.”Blossom says Mason’s efforts are appreciated. “Brian’s workmeans a lot to the people.”For his part, Mason says the hard work that he puts in onbehalf of his community is worth it. “Just to listen to the elderstalk amongst themselves during the pine nut harvest and seehow happy they are is pretty good.” ■19


A BARRICK GOLD REPORT ON RESPONSIBLE MINING | BEYOND BORDERSA $40 million project at <strong>Barrick</strong>’s <strong>Gold</strong>strike mine in Nevadacreated a new approach to utilizing the operation’s existing autoclaves.A significant portion of the cost is associated with a newair emissions control system that captures more than 99 percentof the mercury emitted by the autoclaves.The <strong>Gold</strong>strike POX Off-Gas Abatement Project extended thelife of the autoclaves, preserving the jobs of the 125 workers whomaintain and operate them. “If this project wasn’t successful, theautoclaves would have had to close,” says Tony Carroll, a ProjectManager at <strong>Gold</strong>strike who headed the Off-Gas AbatementProject. “Nobody wanted to see that happen.”Autoclaves are large, cylindrical vessels used to process orethat is high in sulphides and/or carbon. In an autoclave, ore issubjected to high-pressure and high-temperature conditions,using steam, water and oxygen to help liberate gold particlesembedded in the sulphides or carbon.Temperatures reach up to 420 degrees Fahrenheit, so the heatand pressure must be reduced periodically in a process knownas off-gassing. “When you vent the autoclaves, a mixture of gaseoussubstances is released,” says Simon Hille, <strong>Barrick</strong>’s SeniorManager for Metallurgy and Process, and a key player in theimplementation of the project.Historically, the autoclaves at <strong>Gold</strong>strike were operated in“acidic” mode. In the acidic operating environment, the oreprocessed in the <strong>Gold</strong>strike autoclaves emitted only very lowlevels of mercury during off-gassing. However, by 2009, the oretype amenable to the acidic processing had largely beendepleted, and preparations were underway to convert the autoclavesto an “alkaline” mode of operations, which better suitedremaining ores at <strong>Gold</strong>strike.Before the alkaline mode of processing could begin, testingwas required to determine if it would increase mercury emissionsduring off-gassing. Those tests, in fact, did reveal thepotential for an increase in mercury emissions, so the transitionwas delayed until a way to reduce emissions could be found. Inthe interim, the autoclaves continued to process ore in acidicmode.Mercury is a naturally occurring element found in air, waterand soil, including ore mined by gold companies. When heated,it is a colorless, odorless gas that can remain in the air for longperiods and travel thousands of miles before being deposited onthe earth’s surface. The most common way people in the U.S.are exposed to mercury is by eating fish containing mercury in aform known as methylmercury.In the U.S., the Environmental Protection Agency has promulgatedstrict regulations that limit the amount of mercury thatbusinesses can emit. In fact, most of the EPA’s environmentalregulations and programs are implemented by the states, whichare often permitted to adopt more stringent laws and regulationsthan federal requirements, according to information on theEPA’s website.GOLDSTRIKEMINECUTS MERCURYEMISSIONS20


Mercury Control SystemTo AtmosphereeOff-gas AutoclavesScrubberVenturiGas CoolingTowerWet GasCondenserCarbonFilterTHE PROJECT COMMISSIONINGTEAM. FROM LEFT TO RIGHT:MARTY MARTINEZ, SCOTTGLENN, BRENT LEWIS, PATCondensate w/Hg(particulate, oxidized)Condensate w/Hg(particulate, oxidized)Condensate w/Hg(element)TotalMercury Capture 99.9%Spent CarbonHAYE, AND KENNETH MARTA.RIGHT: TONY CARROLL, PROJECTMANAGER AT GOLDSTRIKEWHO HEADED THE OFF-GASABATEMENT PROJECT.Water TreatmentLiquid MercurySludgeCondensate to<strong>Gold</strong>strike ProcessIn Nevada, the Nevada Mercury Air Emissions Controlprogramrequiresprecious-metalminesthatemitmercurytoinstallstate-of-the-arttechnologythatlimitsemissionstostrictlydefinedtargets.Failuretocomplywillresultinthedenialor revocation of a mercury operating permit.<strong>Barrick</strong>’soperationsinNevadacomplywithallstateandfederallawsregardingmercuryemissions.Thecompanycommunicatesregularlywithregulatorsandworkscloselywiththemto ensure compliance and to keep informed of new developmentsaroundmercuryabatementtechnology.In2009,forexample,aftertheinitialtestsrevealedtheincreasedoff-gasmercuryemissionsfromthe<strong>Gold</strong>strikeautoclaves,thecompanyworkedclosely with the Nevada Division of Environmental Protectionto resolve the problem, Carroll says. “After those discussions,webeganworkingonastudytodeterminetechnologiesthatmightbeavailabletohandletheissue,”Carrollsays.“Thatstudyinvolved close collaboration with state regulators.”The study evolved into the Off-Gas Abatement Project thatresultedinthenewairemissioncontrolsystem,whichwentoperationalinJuly2011.Thesystemhasfourstages,eachofwhich captures varying amounts of mercury, Hille says. In theinitialstage,off-gasisfunnelledintoaventuriscrubberthatremoveswaterandparticulatesfromtheoff-gas,includinglarge,liquid mercury particles. The first stage captures 15 percent ofthemercuryemittedduringoff-gassing.Inthesecondstage,theoff-gasiscooledto70degreesFahrenheitinacoolingtower,causingthemercurytocoalesceinto large particulates, making them easier to capture. In thethirdstage,thetemperatureoftheoff-gasisbroughtdownto40 degrees Fahrenheit, causing further condensation of gaseousmercuryintoitsliquid,orelemental,form.Thetwostagescaptureacombined25percentofthetotalmercuryemittedduringoff-gassing,andservetheadditionalpurposeofreducingthevolume of off-gas that requires further treatment. This ensuresthat the mercury that remains in the off-gas is more manageable,making it easier to capture during the final phase of the process.Inthatfinalphase,theoff-gasispassedthroughatwo-stage,20-toncarbonfilter.Becausemercuryhasahighaffinityforcarbon,onceinsidethefilter,itbondstothecarbon.Thecarbonfiltercapturesanadditional59.99percentofthetotalmercuryemitted during off-gassing, meaning that the combined capturerateofthefourstagesofthenewcontrolsystemis99.99percent.The target capture rate of the new system, set in cooperationwithstateregulators,was98percent,Hillesays.“Wehavefarexceededthattarget.”While the technology used in the control system is not new,ithasneverbeenusedinsuchalarge-scaleapplicationinthisparticular configuration, Carroll says. The success at <strong>Gold</strong>strikemeansthatthesystemcanbebuiltatother<strong>Barrick</strong>operationsthatuseautoclavesthathaveasimilarpotentialtoemitmercury,hesays.“It’sbeenarealwinforus.” ■<strong>May</strong> <strong>2012</strong> 21


A BARRICK GOLD REPORT ON RESPONSIBLE MINING | BEYOND BORDERSBY NANCY WHITEEditor, <strong>Beyond</strong> <strong>Borders</strong>Argentina’s westernprovince of San Juanis a land of semi-ariddesert, fertile oasesand abundant naturalresources. Whileneighboring Mendozaprovince is known forits wines, in recentyears San Juan has emerged as an important miningcenter. It is home to <strong>Barrick</strong>’s Veladero mine,which began operations in 2005. Located in the AndesMountains more than 4,000 meters above sea level,Veladero is credited with marking the beginning oflarge-scale modern mining in Argentina. The impactSAN JUANDIS COVEREDA JOURNEY TO COMMUNITYPROJECTS INRARGof this single project has been huge. After just fiveyears of operation, it accounted for 23 percent ofSan Juan’s entire gross domestic product and contributedto a marked decline in unemployment andpoverty levels. Today, <strong>Barrick</strong>’s operations in SanJuan province are supporting 6,500 direct jobs andanother 30,000 spin-off job. Many of these jobs areconnected to <strong>Barrick</strong>’s Pascua-Lama project locatedimmediately to the south of Veladero. With estimatedpre-production costs of $4.7-$5 billion, the project isone of the largest operations mounted by <strong>Barrick</strong> todate. It is scheduled to begin production in 2013. TheVeladero and Pascua-Lama operations are evidenceof Argentina’s emergence as a player in the globalcommodities boom at a time when demand for metalslike gold and copper has never been greater.22<strong>May</strong> <strong>2012</strong>


ENTINABARRICK’S COMMUNITY RELATIONS AND COMMUNICATIONS TEAM IN ARGENTINA WITH NANCY WHITE AND FARMERS FROM THE COMMUNITY OF BELLA VISTA. FROMLEFT TO RIGHT: BARRICK’S JULIO FONSECA, LUIS PINO AND MIGUEL MARTIN; ALBERTO ESPEJO, PRESIDENT OF THE BELLA VISTA FARMING COOPERATIVE, JOSE LUISPONCE, A BELLA VISTA COOP MEMBER; BARRICK’S NANCY WHITE AND MIGUEL GRECO.I recently traveled to San Juan to visit the sun-drenched towns and villages surrounding these two sites. My objective was tosee first-hand the community initiatives that <strong>Barrick</strong> has established in recent years. My trusty guides were my colleaguesfrom the community relations team in San Juan. On this week-long journey, I would discover a roster of projects thatformed the basis of the company’s strategy to contribute benefits to the communities in San Juan.JULIO CLAUDVILLEIn the mining industry today, the ability to maintain the trust and support of local people living in thecommunities that host mining operations is critical. It requires that companies develop resources in aresponsible way that complies with the regulatory framework of national governments and also meetsinternational standards. “Communities impacted by mining activity need to see real and meaningfulbenefits, from good jobs, to opportunities for local businesses, to community investments that reflectlocal needs and priorities,” said Julio Claudeville, Community Relations and Sustainable DevelopmentDirector for <strong>Barrick</strong> in Argentina. “<strong>Barrick</strong> is providing benefits in all of these areas.”<strong>Barrick</strong>’s objective is to be a strong catalyst for social and economic development wherever the company has operations.That is a tall order, but in San Juan I saw ample evidence that this is the case. My colleagues and I visited small towns andvillages, farming cooperatives, hospitals, libraries, computer labs, home-based micro-enterprises, and a multitude of otherplaces in the two main provincial districts of Jachal and Iglesia.<strong>May</strong> <strong>2012</strong> 23


ABOVE: TEACHERS AND STUDENTS FROM ONOFRE ILLAÑEZ SCHOOL IN LA CIENAGA, JACHAL.Leading our group was Miguel Greco, <strong>Barrick</strong>’s Superintendentof Sustainable Development for Argentina. Greco is a former doctorand is often seen as the trusted face of <strong>Barrick</strong>. Greco and histeams in Jachal and Iglesia designed the projects I was to visit.They taught me that relationships are what count most, and thatthe company’s role is to engage with communities and let themtell us about their needs and priorities. “It is not primarily aboutmoney. People want to know they can trust you and work froma friendship that is based on mutual respect. That is how we canhave the greatest impact and maintain support,” Greco said.To get to the projects, we drove through the Andes Mountains,which provided unparalleled vistas at every white-knuckle turn.Greco and his team make this trip through steep winding roadstwo or three times a week.Our first stop was La Cienaga, where a lack of access to potablewater for homes and farms has long been the number-one issuefor this rural village of 60 residents in Jachal. <strong>Barrick</strong> worked withthe community and two levels of government to construct a sixkilometerwater pipeline, with plans for further expansion. Milo24Diaz, President of the La Cienaga Neighborhood Association,explained that before the pipeline was built, families didn’t haverunning water in their homes, which had a profound effect ontheir quality of life.Since the pipeline was completed, the value of land in the areahas doubled in just one year, small-scale farming has improved,and fewer young people are leaving the village. The enormousneed for water infrastructure would be a consistent theme that Iencountered in many San Juan communities. <strong>Barrick</strong>’s approachis to collaborate with governments, which have primary responsibilityfor this infrastructure, and engage the community directlyin the solution.As Greco pointed out, “At first, it was difficult, because somepeople thought we were Santa Claus, and it was hard to say no. Butin time everyone understood that we all had to work together. Wesigned an agreement with the local and provincial governments,brought in technical experts and materials, and the communityprovided the workforce.”Just down the road, we visited La Cienaga’s small primary<strong>May</strong> <strong>2012</strong>


TOP LEFT: A BARRICK-FUNDED PROGRAM PROVIDES FREE CANCER SCREENING TO WOMEN AT THE SAN ROQUE HOSPITAL IN JACHAL. TOP RIGHT: GUIDO ALTAMIRA(THIRD FROM LEFT), PRESIDENT OF THE NEIGHBORHOOD ASSOCIATION OF BELLA VISTA WITH NANCY WHITE, AND BARRICK’S ARGENTINA TEAM, INCLUDINGCONSTANZA FERNANDEZ BLANCO (RIGHT). BOTTOM RIGHT: BARRICK’S LUIS PINO AND MIGUEL GRECO OUTSIDE THE TOURISM CENTER IN IGLESIA.school where 12 children were attending class. “The presence ofthis school was very important for me to be able to sell this projectto authorities,” Greco said, noting the school will soon haveaccess to running water for the first time in its 100-year history.The school’s principal, one of two staff members, pointed out aposter for <strong>Barrick</strong>’s oral hygiene program on prominent displayin the classroom. The program teaches children about good oralhygiene habits, and provides fluoride treatments, during annualschool visits by dental health specialists. I learned that everyschool in Iglesia and Jachal is participating in this program. Theprogram has been in place for nearly six years and has reachedthousands of children. It is part of a major push to improve dentalhealth and hygiene among children.“People here have to send their kids to school and put food onthe table. If a parent has to make a choice between putting food onthe table and dental work, then they will have the tooth removed.The main focus of our program is to help change attitudes aboutproper dental care and promote good hygiene so parents in thenext generation don’t have to make that choice,” Greco noted.Our next stop was the San Roque Hospital, where we hadan an opportunity to talk to medical staff about a women’sgynecological health and cancer-screening program that <strong>Barrick</strong>has funded for the past three years. This program targets lowincomewomen living in remote communities who lack access tomedical specialists. Speaking to the passionate women runningthis program, it was clear that early detection and treatment ofgynecological diseases were helping save lives. Many of the 700women who participated last year were bused by <strong>Barrick</strong> to specialclinics where doctors performed free screenings for ovarian,uterine and breast cancer. One of the nurses on staff was proud toshow us the mammogram and other medical equipment <strong>Barrick</strong>had donated to the hospital.PROMOTING TOURISM IN IGLESIAOne of the most striking projects I visited was the new tourismcenter for Iglesia. Greco and his team came up with the idea ofconverting a former casino into a one-stop venue to promote inrural tourism to Iglesia. Historically, this remote community has<strong>May</strong> <strong>2012</strong> 25


A BARRICK GOLD REPORT ON RESPONSIBLE MINING | BEYOND BORDERSbeen one of San Juan’s poorest, reliant on small-scale agriculture.Tourism emerged as an industry with potential in Iglesia about14 years ago, when the Argentine government constructed alarge dam that created a spectacular lake. That lake became a hotspot for windsurfers and other visitors to the area. In late 2007,<strong>Barrick</strong> began a series of consultations with community leadersand residents about the prospect of putting Iglesia on Argentina’stourism map. The approach is aligned with the U.N. MilleniumDevelopment goal of promoting rural or “ecotourism” as a meansof fostering economic diversification and growth in developingregions, while respecting the local environment and culture.<strong>Barrick</strong> donated the material and the necessary investment forthe new center, which today is averaging about 2,000 visitors aweek. Visitors can watch videos and receive information aboutlocal accommodations and attractions. The Ministry of Tourismhas hired two full-time employees to operate the center. In 2008,<strong>Barrick</strong> also funded the development of tourism promotionmaterials, which are displayed throughout the new center.A leading proponent of the ecotourism model for Iglesia isGuido Altimira, President of the Neighborhood Associationof Bella Vista. We visited Altimira’s scenic 12-hectare ranch,which features a bed and breakfast for tourists. Altimira is anideas man and staunch advocate for potable water programs forBella Vista. He is also a new-age farmer and has adapted modernirrigation methods to serve the needs of his ranch. Years earlier,when he first moved to the area, he launched a campaign withthe motto, “Water is more precious than gold.” At the time, hewas concerned that <strong>Barrick</strong> would fail to recognize that water isa shared community resource. It took two years for Greco andhis team to build a relationship with Altimira and begin workingtogether to address the region’s most pressing needs. On the dayI visited, they discussed the need for greater Internet access andwater infrastructure, while protecting the character and beautyof the area.BOTTOM LEFT: MIGUEL GRECO (RIGHT) WITH MILO DIAZ (LEFT), PRESIDENT OFTHE LA CIENAGA NEIGHBORHOOD ASSOCIATION.MODERN ACCESS TO THE WEBA key focus for <strong>Barrick</strong>’s community investments in Iglesia is toimprove Internet access. This priority was identified following abaseline study that documented the limited connectivity of theregion. We visited the main library in Iglesia, where we weregiven a guided tour by a part-time <strong>Barrick</strong> employee who is alsoproviding oversight of a major, five-year expansion and upgradeof the library. This facility now features a state-of-the-art theater,a community center and a modern computer lab with Internetaccess, donated by <strong>Barrick</strong>. The computer lab is one of several thecompany has funded throughout Jachal and Iglesia.SUPPORT TO AGRIBUSINESSIt took a year of coffees to build the level of trust necessary toengage with Alfredo Rodrigues, the President of the Farmer’s<strong>May</strong> <strong>2012</strong>


TOP: FROM RIGHT TO LEFT: FARMING COOPERATIVE OWNER MARCELO TEJADA (RIGHT) WITH HIS SON, GUSTAVO TEJADA, AND LOCAL FARMERS DAMIAN QUILPATAYAND RAMON CASTILLO, WHO SUPPLY SEEDS TO INTERNATIONAL MARKETS. BOTTOM MIDDLE: THE MAIN LIBRARY IN IGLESIA, WHICH NOW INCLUDES A MODERNCOMPUTER LAB WITH INTERNET ACCESS DONATED BY BARRICK. BARRICK IS FUNDING A FIVE-YEAR EXPANSION AND UPGRADE OF THE LIBRARY.Association of Jachal. Today Rodrigues is one of the company’smost important stakeholders in the region, representing some 450farmers. Rodrigues was highly suspicious of the mining industrywhen it entered the region, but over time, as he began to engagewith the company, a mutual understanding has developed.We met Rodrigues at the association’s offices, which are locatedin a two-story facility whose construction was funded by <strong>Barrick</strong>.The building also features a farmer's market where local farmerssell their produce. During my visit, Rodrigues and Greco discussedthe challenges facing farmers, which include limited water accessand inadequate irrigation channels, as well as strategies to addressthese issues.“The goal is to keep farmers on the farm, working and profitable,”Greco said, as we traveled to three cooperative farms in Iglesiaand Jachal. “In San Juan, a number of family farms have a smallplot of land and a single horse, and they struggle to survive.”Our last stop was to El Porvinir, where we met Marcelo Tejadaand a small group of farmers who run a successful 17-hectarecooperative farming operation. Greco’s team provided technicalsupport, tools, machinery and fertilizer, helping to transform thisfarm into an international exporter of tomato and onion seeds.Tejada’s son is an agronomist who helps his father and also workspart-time at Veladero.The El Porvinir cooperative is one of several farming cooperativesin San Juan supported by <strong>Barrick</strong> that have becomeprofitable agribusinesses. The company provides technical support,machinery, as well as access to leading agronomists to enablethese operations to sell their seeds and sun-dried tomato productsto countries like Holland and Brazil.After a solid week of trekking through farmer's fields, meetingwith community leaders, and visiting projects, I learned about thechallenges people face in this region and the positive impact of<strong>Barrick</strong>’s programs. It is clear to me that Greco and his team area part of the community and deeply invested in the people of SanJuan and their future. ■<strong>May</strong> <strong>2012</strong> 27


ALTO CHICAMA COMMITMENTBRINGS BARRICK CSR PARTNERSTOGETHER IN PERU<strong>Barrick</strong> unveiled a major corporate social responsibility (CSR) initiative in March that willbring together highly respected government and non-governmental organizations (NGOs)working with <strong>Barrick</strong> on sustainable development projects in Peru.The Alto Chicama Commitment is a unique collaboration that will allow <strong>Barrick</strong>’s CSR partnersworking near its Lagunas Norte mine to leverage complementary aspects of their respectiveprojects, maximizing long-term benefits for local communities. The initial partners in the initiativeinclude: World Vision, the U.S. Agency for International Development (USAID), theSodexo Foundation, the BBVA Foundation, Wayra SRL, the Apoyo Institute, the AlternativeFarming Institute and Exporting Highlands.Alfredo Anderson, CSR Manager for <strong>Barrick</strong> in Peru, described the cooperation envisionedunder the Alto Chicama Commitment as the “second stage” of <strong>Barrick</strong>’s CSR partnership initiatives.“We have a critical mass of CSR partners in northern Peru,” he says. “But we have beenworking with our partners on a one-to-one basis, missing opportunities that having a lot ofpartners working on complementary projects was presenting. This initiative is designed to takeadvantage of those opportunities.”Anderson highlighted several areas where there is room for collaboration between <strong>Barrick</strong>partners participating in the Alto Chicama Commitment. For instance, USAID’s PovertyReduction and Alleviation (PRA) Project helps farmers in Peru’s La Libertad region identifymarkets for their products, while World Vision is implementing a project in the same regionthat provides start-up loans to small farming operations. The two projects are complementary,Anderson notes, as the PRA Project can help farming operations funded by World Vision determinewhich products are in demand, as well as identify potential buyers for those products.Similarly, there is room for cooperation between the two educational programs participatingin the initiative: The Apoyo Institute’s “Mathematics for Everyone” program and the BBVAFoundation’s “Reading is Being Ahead” program. Both operate in La Libertad–area schoolsand, by sharing their expertise and resources, they can improve their capacity and deliver theirprograms more effectively, Anderson says.One of <strong>Barrick</strong>’s primary roles in the Alto Chicama Commitment will be to act as a facilitator,ensuring its partners are aware of collaborative opportunities and communicate regularly,Anderson says. <strong>Barrick</strong>’s commitment to its partners under this initiative will be more than$1 million in <strong>2012</strong>.While the Alto Chicama Commitment is unique because of the level of cooperation envisionedbetween <strong>Barrick</strong>’s CSR partners, it isn’t <strong>Barrick</strong>’s first multi-partner program. In Chile,the company’s Atacama Commitment has brought together eight Chilean NGOs, the U.N.Global Compact and a number of government partners to help alleviate poverty in the Atacamaregion near <strong>Barrick</strong>’s Pascua-Lama project. “The Alto Chicama Commitment certainly drawsfrom the Atacama Commitment,” Anderson says. “These alliances are examples of how <strong>Barrick</strong>is striving to develop a multi-partner approach to ensure we maximize the benefits of miningin the communities and countries where we operate.”28


TOP: THE PRODUCTIVE HIGHLANDS PROJECT, WHICH SUPPORTS FARMERS IN PERU’S LA LIBERTAD REGION, IS ONE OF EIGHT PARTNERS IN THE ALTO CHICAMACOMMITMENT. BOTTOM: ALTO CHICAMA COMMITMENT PARTNERS AT THE CEREMONY UNVEILING THE INITIATIVE.29


A BARRICK GOLD REPORT ON RESPONSIBLE MINING | BEYOND BORDERSAlto Chicama CommitmentPARTNERS AND PROJECTSSTUDENTS FROM THE MATHEMATICSFOR EVERYONE PROGRAM.POVERTY REDUCTION & ALLEVIATION PROJECT(PRA PROJECT)Partners: <strong>Barrick</strong>, USAID and Exporting HighlandsThe PRA Project was created by USAID in 1998 to reduce povertyin rural regions across Peru. It provides technical assistance tosmall farming operations and connects them to potential buyersfor their products. It encompasses communities near <strong>Barrick</strong>’sLagunas Norte mine in Peru’s La Libertad region. The PRA Projectrecently added Exporting Highlands as a partner. ExportingHighlands is a Peruvian-government organization that supportseconomic development in La Libertad and nationwide. <strong>Barrick</strong>’sagreement with the PRA Project commenced in 2011 and runsthrough December 2013. To date, more than 400 families havebenefited from this project.PRODUCTIVE HIGHLANDSPartners: <strong>Barrick</strong> and the Alternative Farming InstituteThe Productive Highlands Project is helping improve the livingstandards of farmers in the La Libertad region by introducingthem to new production technologies, crops and farming methods.The <strong>Barrick</strong>-sponsored program is being implemented by theAlternative Farming Institute in the Cahuide farming communityin La Libertad. Since 2009, 210 families have benefited fromthis program.MATHEMATICS FOR EVERYONEPartners: <strong>Barrick</strong>, Alto Chicama Social Fund and the ApoyoInstituteThe Mathematics for Everyone program encourages studentsto learn math through interactive methods. The program usesspecially prepared teaching materials and student books, andincludes teacher training and methodological guidelines. Theprogram targets students from grade one through high schoolin the provinces of Santiago de Chuco, Sanchez Carrion andOtuzco. It is sponsored by <strong>Barrick</strong> and the Alto Chicama SocialFund and being implemented by the Apoyo Institute. Since 2004,the program has benefited 36,200 students and 1,440 teachers in690 schools.ALLIANCES FOR ECONOMIC AND SOCIAL DEVELOPMENTPartners: <strong>Barrick</strong>, Canadian International DevelopmentAgency and World VisionThe goal of this World Vision–led project is to provide people inPeru’s Quiruvilca District with the tools and capacity to developan economic plan that ensures sustainable development beyondthe end of mining operations. The project, co-funded by <strong>Barrick</strong>and the Canadian International Development Agency, includesa community investment fund that will finance small businessesREADING IS BEING AHEADPartners: <strong>Barrick</strong>, Alto Chicama Social Fund andthe BBVA FoundationThe Reading is Being Ahead program is designed to improvereading comprehension levels of elementary school students inPeru’s Santiago de Chuco, Sanchez Carrion and Otuzco provinces.The program is sponsored by <strong>Barrick</strong> and the Alto ChicamaSocial Fund, a government-development organization fundedby <strong>Barrick</strong> royalties. The program is being implemented by theBBVA Foundation, and includes the creation of socially relevanttextbooks, classroom materials, lesson plans and teacher training.Since 2010, 11,800 students and 530 teachers in 230 schools haveparticipated in the program.30


ABOVE: IN PERU’S QUIRUVILCA DISTRICT, WORLD VISION IS LEADING APROJECT TO HELP THE LOCAL GOVERNMENT CONVERT MINING REVENUE INTOSUSTAINABLE DEVELOPMENT INITIATIVES.and farming operations. A key objective of the project is to increasethe participation of women, youth and people with disabilitiesin government planning for sustainable economic development.The three-year project commenced in October 2011.ARTISAN TEXTILE WORKSHOPSPartners: <strong>Barrick</strong> and Wayra SRLThe Artisan Textile Workshops teach traditional weaving techniquesto women who sell textiles in Peru’s Quiruvilca and Shoreydistricts. The program is sponsored by <strong>Barrick</strong> and being implementedby Wayra, a Peruvian company that exports artisan andindustrial home textiles. By improving the quality of their products,the program helps women increase their income. Since 2009,60 women have participated in the textile workshops program,where they receive training in hand knitting and loom weaving.SODEXO FOUNDATIONThe Sodexo Foundation is the charitable arm of Sodexo Inc.,one of the world’s largest catering companies. The Foundation iscommitted to being a driving force that contributes to a hungerfreeworld. In Peru, the Foundation is training local farmers tobecome suppliers of farming and agricultural products to SodexoInc., which is the catering service for <strong>Barrick</strong>’s Lagunas Norte andPierina mines. ■A SODEXO TROUT FARM IN PERU’S LA LIBERTAD REGION THATSUPPLIES BARRICK’S LAGUNAS NORTE MINE.STUDENTS PARTICIPATE IN THE READING IS BEINGAHEAD PROGRAM, RUN BY THE BBVA FOUNDATION.WOMEN FROM THE TOWN OF EL SAUCO, PERU AFTER PARTICIPATING IN ASODEXO FOUNDATION WORKSHOP FOR THE PRODUCTION OF YOGURT.31


HEADQUARTERS OF TRANSPORTES RODRIGO CARRANZA, ONE OF THE 51COMPANIES THAT PARTICIPATED IN BARRICK’S LEAN SUPPLIER PROGRAM IN 2011.MIGDONIO MACEDO,GENERAL MANAGER OF RAMÓN CASTILLA.<strong>Barrick</strong> suppliers in Peru adopt corporate best practicesIn Peru, <strong>Barrick</strong> is working with its suppliers to help thembecome safer and more socially and environmentally responsible.Through its Lean Supplier Program (LSP), the company ispromoting its practices and leading international standards forcontinuous improvement.Established in 2008, the LSP helps <strong>Barrick</strong> suppliers and contractorsidentify opportunities to improve performance in oneor more of seven areas: safety, environment, social responsibility,continuous improvement, timely delivery, invoicing and inventorycontrol.The first stage of the program involves an evaluation todetermine where there are opportunities for improvement.Oftentimes, companies lack policies and procedures in importantareas like safety or the environment, making it difficultto develop company-wide standards, says Carlos Salguero, amember of <strong>Barrick</strong>’s Logistics and Supply Chain department inPeru who is closely involved with the program. <strong>Barrick</strong>, whichhas extensive experience in this area, helps companies createpolicy and procedure documents and provides training on howto implement them.“It’s not just about having the written documents,” Salguerosays. “It’s about putting what’s in those documents into practice,and demonstrating results.”Ramón Castilla, a general contracting firm based in the cityof Huaraz, won the LSP Safety Champion Award for the secondstraight year in 2011. While safety was always an important partof the company’s culture, Migdonio Macedo, General Managerat Ramón Castilla, says the company’s safety protocols are sodeeply ingrained now that employees practice them withouteven thinking about it. “They do it automatically,” he says. “It’san approach to safety that we learned from <strong>Barrick</strong>.”Ramón Castilla holds regular training sessions and workshopsto ensure employees are familiar with its safety policy and procedures,Macedo says. Signs predominate around the company’sheadquarters in Huaraz and at off-site projects remindingemployees to observe best practices. Meetings are held regularlyat all levels of the company to discuss safety concerns and issues,and at the end of each month, if no safety incidents have beenreported, a company-wide barbecue is held.Ramón Castilla is one of 51 Peruvian companies that participatedin the LSP last year. Transportes Rodrigo Carranza (TRC),a transportation and logistics company, is another. AnselmoCarranza, General Manager of TRC, says the company’s participationin the program was a springboard that led it to seek ISO14001 Certification for its environmental management system(EMS). ISO 14001 is an internationally recognized standardthat requires an in-depth evaluation of a company’s EMS by theInternational Organization for Standardization, a non-governmentalorganization that is the world’s largest developer andpublisher of international standards.TRC, which is based in Lima, received ISO 14001 certificationin January 2011 and was recently recertified. “Since we startedworking with <strong>Barrick</strong>, and participating in the Lean SupplierProgram, we have been exposed to a high-standards environment,”Carranza says. “It has made us a better company.” ■32<strong>May</strong> <strong>2012</strong>


AFRICAN BARRICK GOLDABG Maendeleo Fund supportsdevelopment projects in TanzaniaIn September 2011, African <strong>Barrick</strong><strong>Gold</strong> (ABG) announced the creation ofthe ABG Maendeleo Fund, a communitydevelopment fund that will contributeto a wide range of sustainabledevelopment projects in communitiesnear ABG’s operations in Tanzania, aswell as national initiatives.The fund is the largest corporatecommunity development fund of itskind in the country. Its $10 millionannual budget more than tripledABG’s annual spending on communitydevelopment.33


A BARRICK GOLD REPORT ON RESPONSIBLE MINING | BEYOND BORDERSDR. C.R. MAJINGE, DIRECTOR GENERALOF THE BUGUNDO MEDICAL CENTRE.Since being unveiled, the ABG Maendeleo Fund has allocatedthe majority of its initial $10 million budget. The funding willsupport numerous sustainable development initiatives. Forinstance, the fund is contributing $290,000 for the expansion ofthe Bugundo Medical Centre in the city of Mwanza. The 900-bedfacility is one of the largest referral and teaching hospitals in thecountry, serving a population of about 13 million people. ABG’scontribution will help build two new surgical theaters at theCentre and pay for a new endoscopy machine.“We greatly appreciate this assistance, which will markedlyimprove the surgical care for our patients,” says Dr. C.R. Majinge,Director General of the Bugando Medical Centre.At the local level, the fund is providing $390,000 for the constructionof a new health clinic in the village of Mwendakulimanear ABG’s Buzwagi mine. The facility will serve as an outpatientclinic that provides treatment for minor medical matters to moreserious illnesses, such as HIV/AIDS and malaria.The fund will also provide $120,000 for the construction ofa kitchen and mess hall at the Busoka High School, an all-girlsschool in the village of Busoka near Buzwagi. A separate $120,000contribution is being made to the Chapulwa Primary School in thevillage of Chapulwa near the mine. This investment will be usedto repair existing classrooms, and build three new classrooms andtwo new teachers’ houses.“Education is one of the vital ingredients for community development,and we believe that our strategic investment will create anopportunity for the youth in our communities to attain skills thatABG signs benefit agreements with seven North Mara villagesAfrican <strong>Barrick</strong> <strong>Gold</strong> (ABG) recently signed Village BenefitAgreements (VBAs) with all seven villages near its North Mara mine,marking a key milestone in a plan to improve community relationswith its neighbors.The VBAs provide for an $8.5million investment in the villages over athree-year period. Investments in each village will differ, but include:• Providing access to clean water• Upgrading of a local health center into a hospital• Improvements to road infrastructure• Extension of electricity lines• Development of school infrastructure (ABG hascommitted to refurbishing and/or building an additional 13 schoolsin communities around the North Mara mine)34


TOP CENTER AND MIDDLE CENTER: THE BUGUNDO MEDICAL CENTREwill be useful not only to ABG but for the country at large,” saysStephen Kisakye, Community Relations Manager at ABG.Another project supported by the fund is the constructionof water boreholes in the seven villages near ABG’s North Maramine. To date, 16 boreholes have been drilled, and pumps arecurrently being fitted on them, Kisakye says. The fund hasallocated $800,000 for the project.Anyone interested in applying for funding from the ABGMaendeleo Fund can find information and application formson ABG’s website at www.africanbarrickgold.com/corporateresponsibility/maendeleo-fund.aspx.■The VBAs are a key component of the North Mara Co-existenceplan, whose goal is to build trust, improve relations with localvillages and address long-standing legacy issues. The plan callsfor enhanced investment programs to achieve tangible benefitsfor communities, development of sustainable livelihoods, andactive communications and engagement with stakeholders.“We are pleased with the progress that has been made,which could not have occurred without the cooperationand commitment of ABG and local stakeholders,” says DeoMwanyika, Vice President of Corporate Affairs at ABG. “As wemove forward, we aim to engage more with the communitiesto enhance current development programs and establish newones.”35


RAFIKISURGICAL MISSIONGiving people hope for the futureRossa Maziku spent the first 54 years of herlife living with a cleft lip and palate thatextended from the roof of her mouth to thebase of her nose.Eating was difficult because she could notchew her food properly. Speaking was also achallenge, and during the winter months inher home in the Sunge Village in northernTanzania, the dry wind often caused her palate to bleed. “Peopleshunned me and it was so difficult to get married,” Maziku says.“My children were teased because of my cleft palate and lip.”Last year, Maziku, a mother of eight, underwent a surgical procedurethat corrected her condition. “For the first time in my life,I can eat and speak properly,” she says. “My family is so happy andI feel so beautiful now.”Maziku’s surgery was funded by the Rafiki Surgical Missions, acharitable program supported by African <strong>Barrick</strong> <strong>Gold</strong> (ABG) andother mining companies operating in Tanzania. ABG organizesthe annual fundraising dinner for the Rafiki program, which is


BEYOND BORDERS | A BARRICK GOLD REPORT ON RESPONSIBLE MININGheld in Dar es Salaam. Between 2008 and 2010, the Rafiki GalaDinner raised nearly $230,000.<strong>Barrick</strong>, ABG’s majority shareholder, has been supportingthe Rafiki Surgical Missions since 2004. In addition to the cleftlip and cleft palate surgical procedures, the program also fundsreconstructive surgeries that reverse damage caused by burn injuries.All told, <strong>Barrick</strong> and ABG have helped fund more than 870surgeries, many on children. Like Jumanne Maziku.Maziku, no relation to Rossa Maziku, was born with a cleft lip.His father abandoned the family shortly after Jumanne was bornbecause he believed his son’s condition was a curse that wouldbring misfortune on the family. Jumanne, who is five, underwentcorrective surgery at the age of two. “I am alone with two children,but the surgery gave my son hope for a better life,” says Jumanne’smother, Christina Maziku.Hope was a common theme expressed by families whose childrenunderwent surgery. “It was not in my thoughts that oneday my child would be treated,” says Mathew Makungu, whose13-year-old son, Daud, underwent cleft-lip surgery in 2011. “He isnow eating and talking properly and no longer isolated and teasedat school.”Cleft lip and cleft palate are congenital deformities caused byabnormal development during pregnancy. A cleft lip is a physicalsplit or separation of the two sides of the upper lip. A cleft palateis a split or opening in the roof of the mouth. People born witheither condition are often shunned by their peers, and suffer fromlow self-esteem and social anxiety.Cleft lip, with or without cleft palate, affects about one in 700babies. While the cause is unknown, the facial deformity canbe fixed by a relatively simple, one-hour operation. However, inTanzania, many families cannot afford the surgery and the publichealth system does not provide funding.ROSSA MAZIKU, 55, HAD CORRECTIVE SURGERY TO REPAIR HER CLEFT LIP ANDPALATE LAST YEAR. “I FEEL SO BEAUTIFUL NOW,” SHE SAYS. AT LEFT: JUMANNEMAZIKU BEFORE HE UNDERWENT SURGERY TO REPAIR HIS CLEFT LIP AND (FARLEFT) AFTER THE SURGERY.DR. ANDREW CROCKER, A PLASTICSURGEON FROM PERTH, HASPARTICIPATED IN TWO MISSIONS AND ISABOUT TO EMBARK ON A THIRD.Surgeries arranged by the Rafiki Surgical Mission are performedby doctors from Australia, who volunteer their time toparticipate in the missions. Volunteer teams include plastic surgeons,anesthetists, theater nurses and non-medical staff who helpwith logistics. While the teams’ airfare and accommodations arecovered by the program, they perform the surgeries – sometimesmore than 100 during each two-week mission – for free. They alsotrain local Tanzanian health care professionals on how to carryout the operations.“I think we all do it for, obviously, the benefit of the patients,”says Andrew Crocker, a plastic surgeon from Perth who has participatedin two missions, and is about to embark on a third. “Butit also gives you a feeling of intrinsic self-worth. You can make ahuge difference in someone’s life and you’re utilizing your talentsfor something worthwhile.”Crocker specializes in surgeries to reverse damage caused byburn injuries. There is only one burn unit, located in the capital ofDar es Salaam, in the country of 38 million people, Crocker says.Hence, many people who suffer burn injuries don’t receive propertreatment, he says.Burn injuries to the hands are common in Tanzania becausemany people cook over open fires or with highly flammable kerosenestoves, Crocker says. In many cases, scar tissue resultingfrom an untreated burn injury causes the fingers literally to fusetogether. The surgery that Crocker performs allows the fingers tostraighten and extend.“We usually can’t repair the damage completely, but patientsget a lot of the movement back,” Crocker says. “When a personwith a functional deformity realizes for the first time that functionalityhas been restored, they sometimes are very tearful. Theyreally do appreciate it.” ■<strong>May</strong> <strong>2012</strong> 37


EDUCATIONHIGH SCHOOL STUDENTS INTHE SHOSHONE LANGUAGE ANDCULTURE PROGRAM.BARRICK INVESTS TOIMPROVEEDUCATION GLOBALLYEducation is a key building block for success, no matter where youlive. It is a passport to a better future, and in places where economicopportunities are few, it can be a powerful tool in breaking the cycleof poverty. One of the most meaningful and lasting benefits that<strong>Barrick</strong> can provide to its host communities is support for education.In 2011, we contributed $10 million to numerous educationalinitiatives across all areas that we operate. We helped support theconstruction of schools, provided classroom materials, such as booksand computers, and funded teacher training, small business trainingand adult literacy programs.In addition, in the past five years <strong>Barrick</strong> has contributed morethan $19 million for scholarships alone, helping more than 18,000students achieve their potential. This funding includes support forspecial scholarship programs for indigenous peoples that live nearour operations, such as the Wiradjuri in Australia, the Diaguita inChile and the Western Shoshone in Nevada.“We believethat continuousimprovement ineducation andliteracy levels arecrucial for thelong-termdevelopment ofindividuals andcommunities. Thisis why we workclosely with localcommunities aroundour operations topromote education,and that’s why weaim a significantportion of ourcommunityinvestments atbroadening accessto education.”DEO MWANYIKAAFRICAN BARRICK GOLD’SVICE-PRESIDENTFOR CORPORATE AFFAIRS


GREAT BASIN COLLEGE IN ELKO, NEVADA.THE RENOVATION OFTHE CHAPULWA SCHOOLIN TANZANIA.Below are some examples of <strong>Barrick</strong> and African <strong>Barrick</strong> <strong>Gold</strong>’s (ABG) recentand ongoing support for education. .TANZANIA• <strong>Barrick</strong>, ABG and their partners have invested several million dollars inthe construction of 13 schools in communities near ABG’s operations.PERUVIAN STUDENTS BENEFITFROM BARRICK-SUPPORTEDEDUCATION PROGRAMS.• Funding has been committed for refurbishing and building an additional13 schools in communities near ABG’s North Mara mine.UNITED STATES• Recently pledged $1.2 million over three years to Great Basin College inElko, Nevada. The funds will be directed toward the college’s vocationalprograms, student housing and an expansion of training programs at thecollege’s campus in Winnemucca, Nevada.• Donated $50,000 in Nevada to the non-profit Public Education Foundationto help launch a state-wide academy to train school principals inleadership.STUDENTS PARTICIPATE IN ANABG-FUNDED ESL PROGRAMFOR ADULTS.WIRLESS LAPTOPS PROVIDEDTO REMOTE SCHOOLS IN CHILE.AUSTRALIA• Donated $45,000 to Life Education Australia’s Mobile Learning Centre.The Life Education program provides health and lifestyle education toprimary school children who live near the Cowal mine.CANADA• Donated $285,000 to Lakehead University and the Northern OntarioSchool of Medicine in Thunder Bay, Ontario. The funds supported thecreation of new scholarships, an infrastructure upgrade to a local hospitaland several other initiatives that will contribute to learning and healthcare in northern Ontario.A PERUVIAN STUDENTPARTICIPATES IN A BARRICK-FUNDED READING PROGRAM.LEFT: STUDENTS OF THEISHINABULANDI PRIMARYSCHOOL IN SHINYANGA,TANZANIA, ONE OF 13 SCHOOLSNEAR ABG’S OPERATIONSWHOSE CONSTRUCTION WASFUNDED BY THE COMPANY.PERU• Investing more than $900,000 a year to implement educational programsaimed at improving mathematics learning and reading comprehensioncapabilities of more than 45,000 elementary school children.CHILE• Provided construction materials, and employees from the Zaldívar mineand Pascua-Lama project donated their time, to repair and update a libraryroom at a local school.STUDENTS FROM UNIVERSITY OFNEVADA, RENO, WHICH BARRICKALSO SUPPORTS WITH FUNDINGFOR SCHOLARSHIPS.<strong>May</strong> <strong>2012</strong> 39


Women making strides in minWhile the workforce in the mining industryis predominantly male, some women areascending to senior leadership positions,a positive development that may signal agrowing role for women in the industry.


BEYOND BORDERS | A BARRICK GOLD REPORT ON RESPONSIBLE MININGingTracey Beck doesn’t like to make a fuss about it. Neither does Helen Robinson or JulieShuttleworth.“I don’t like people highlighting that I am a woman working in mining,” says Beck,a Production Superintendent at Kalgoorlie Consolidated <strong>Gold</strong> Mines (KCGM), a jointventure in which <strong>Barrick</strong> and Newmont Mining each hold a 50 percent interest.Robinson is a Business Administration Manager at KCGM who oversees the company’sfinance, information technology and continuous improvement departments. Alongwith Beck, she is one of eight women who have ascended to senior management rolesat the Australia-based operation. Shuttleworth, General Manager of <strong>Barrick</strong>’s GrannySmith mine in Western Australia, is <strong>Barrick</strong>’s first female general manager. “When peopletalk about ‘women in mining,’ sometimes I cringe because, for me, if you’re good atyour job that’s what you should be recognized for,” she says.While Shuttleworth and Beck would prefer not to be singled out because of their gender,the reality is mining remains a male-dominated industry. Global statistics quantifyingthe number of women in mining are hard to come by, but a 2010 report by Women inMining Canada, a non-profit organization focused on advancing the interests of womenin the industry, offers some perspective. According to the report, which cited the mostrecent data available from Statistics Canada, women represented about 14 percent ofthe workforce in the Canadian mining industry in 2006. The vast majority worked inadministrative or culinary jobs, while men predominated in front-line and skilled positions,the report found.Jean Lucas, President of Women in Mining Canada, says reports by peer groups inthe United States, Australia and the United Kingdom produced similar findings. Severallong-standing factors account for the relative dearth of women in the industry, accordingto the Women in Mining Canada report. These include lack of flexible hours; an unsupportivework culture, which can mean anything from resistance from male colleaguesto a lack of female change rooms and washrooms at a mine site; outdated perceptionsof the industry as dirty, dangerous and low-tech; and the absence of female role models.“There are few women in leadership roles, so young women don’t see opportunities forsuccess,” Lucas says.This needs to change, she adds, noting that the mining industry is struggling with aworldwide skills shortage that is expected to intensify. The Canadian mining industrymay need as many as 100,000 new workers in the next decade, while the Australianmining industry may need as many as 170,000 in the next five years, according to recentmedia reports. It is unlikely that these needs will be met without a substantial increasein the number of women employees, Lucas says.There are signs of progress. At KCGM, 213, or 28 percent, of the company’s 780 employeesare women. “Men, women, black, blue, purple, we have a league of nations here andwomen work in all areas of the operation,” Robinson says.Russell Cole, General Manager of KCGM, says the operation has always focused onemploying the best person for the job, regardless of gender, nationality or personal circumstance.His comments echo <strong>Barrick</strong>’s approach, which is to hire based solely onmerit. The company considers men and women equally in its search for new employees,TOP LEFT: SEVEN OF THE EIGHT WOMEN AT KALGOORLIE CONSOLIDATED GOLD MINES WHO HAVE ASCENDEDTO SENIOR LEADERSHIP ROLES AT THE BARRICK JOINT VENTURE. FROM LEFT TO RIGHT, MAEVE REIDY, JODIERUSSELL, DELWYN SENGALLI, TRACEY BECK, MICHELLE BERRYMAN, KAREN JOHNSON, HELEN ROBINSON.MISSING IS JACQUI NIEMAND. INSET: HELEN ROBINSON, BUSINESS ADMINISTRATION MANAGER AT KCGM.41


A BARRICK GOLD REPORT ON RESPONSIBLE MINING | BEYOND BORDERSTOP: A NEW HAUL TRUCK DRIVER BEING TRAINED AT KCGM. TOP RIGHT: JULIESHUTTLEWORTH WITH SUMMER STUDENT, ZOE SOUTHWELL. RIGHT: TWO OFTHE 800 ATTENDEES AT THIS YEAR’S “WOMEN IN MINING CANADA” RECEPTIONAT THE PROSPECTORS & DEVELOPERS ASSOCIATION CONVENTION IN TORONTO.and both genders are encouraged to apply in all job categories.Furthermore, men and women are compensated equally for doingthe same job, with experience and length of service being the onlyvariants.“A lot of companies, ourselves included, are looking at ways toimprove the workplace and make it more appealing to women,”says Darian Rich, <strong>Barrick</strong>’s Vice President of Human Resources.“We are seeing a number of progressive strategies implementedat our sites, including flexible work practices, and we are workingwith educational institutions to raise the industry’s profile andattract more women into mining careers.”KCGM’s Beck, who has two young daughters, says she madeit clear when she joined the company that family comes first. “Iindicated up front that, on some mornings, I might have to get thechildren to school, and it has never been an issue,” she says.In fact, Beck, 37, says her boss insists she attend her children’sschool assemblies, noting wryly that she “hates school assemblies.”Still, she says she appreciates the support, as well as thehard-won advice shared with her by several male co-workers duringher career. “Some of the men that I have worked with sawtheir families split apart because they were hardly ever home,” shesays. “They told me that ‘Your family is everything, do not screwit up the way we did.’ ”Shuttleworth, 38, says women shouldn’t feel extra pressure toprove themselves, or change their personalities to try and fit in.“The message I try to give is that you don’t have to change,” shesays. “You can still be the person that you are without having toturn into a rough and tough miner. Don’t start swearing and carryingon if that’s not who you are.”While men need to treat their female co-workers with respect,Beck says she doesn’t want to be singled out for special treatment.For instance, during meetings, when Beck is sometimes the onlywoman in the room, male colleagues will occasionally utter a profanityand then apologize to her. “That probably bugs me morethan anything,” she says. “If you’re going to swear, swear – justdon’t single me out as the only one in the room who may takeoffense.”All three women acknowledge encountering discriminatoryattitudes at times during their careers, though for the most part,they say they have been treated as equals. Their advice to womenwho face resistance is to keep a thick skin, do a good job, stay confidentand don’t let anyone keep them from their goals. “Yes, ofcourse, there are people who don’t believe women belong in mining,”Beck says. “People are entitled to their personal views, as longas they’re respectful and civil, and don’t let their personal beliefshave a negative influence in the workplace. As time goes by, peoplewho weren’t sure about me usually see I can do the job just as wellas anybody else.”Robinson, 50, came to mining after working as a nurse. A motherof five, she says that when she was in high school, mining wasn’tconsidered a potential career for women. “It was not somethingthat was offered to us,” she says. “Mining companies didn’t cometo our school on career days. KCGM does a lot of school visits nowand tries to explain to young women that there are a lot of opportunitiesin mining, which is something they may not realize.”Shuttleworth regularly visits high schools and universities, andspeaks publicly about the opportunities in mining for women andmen. One of the things she tells people is that mining is an exciting,challenging and interesting industry to work in with manycareer options.At the recent Prospectors & Developers Association conventionin Toronto, more than 800 people attended a reception heldby Women in Mining Canada. That’s up from 650 last year, Lucassays, noting that more men attended this year’s reception. “I thinkthat’s indicative of a growing acceptance of women in mining,”she says. ■42<strong>May</strong> <strong>2012</strong>


GOVERNMENT OF PAPUANEW GUINEA TO DEPLOYADDITIONAL LAW ENFORCEMENTRESOURCES TO PORGERAOn March 30, the Government of Papua New Guinea (PNG)announced its decision to deploy additional law enforcementresources to assist in restoring law and order in Enga provinceand the Southern Highlands of PNG.The deployment, which is expected to consist of police andPNG Defence Force personnel, will assist local police in thePorgera Valley to address the volatile law and order situation,which is having a detrimental impact on local communities andthe Porgera mine.“We support the government’s decision to take decisive actionand ensure the safety of our employees and local residents,” saysGreg Walker, General Manager of the Porgera Joint Venture(PJV), the <strong>Barrick</strong>-controlled entity that operates the Porgeramine. “We believe law and order is critical to ensuring that alllaw-abiding citizens in the region can enjoy the basic rights theyare entitled to, free from violence.”The decision to deploy additional law enforcement resourcesto the region follows several recent incidents of violence. OnMarch 29, the Porgera mine was subjected to an incursion byan estimated 1,000 illegal miners that caused a brief halt tomining activities in the mine’s open pit. During the incident,three employees were held, threatened by the intruders and laterreleased, while a fourth sustained minor injuries. Substantialdamage was also done to mine equipment.In early April, police responding to criminal activity alongthe Highlands Highway road corridor came under fire, and twopolice officers received serious gunshot wounds and requiredemergency airborne medical evacuation.These incidents occurred against a local backdrop of increasedtribal conflict and crimes, including inter-clan violence, sexualassault and hijacking of vehicles. In 2011, inter-clan conflicts inthe Porgera and Lagaip Districts claimed many lives and resultedin the destruction of a significant number of homes, businessesand community facilities. Local authorities and community leadershave struggled to contain the regular outbreaks of violence.In a statement following the March 29 incident, PNG PrimeMinister Peter O’Neill called the law and order situation in theHighlands “totally unacceptable.” He also said that, “No criminalbehavior that threatens the well-being of the country will betolerated.”Walker says, “We hope and expect that the increase in lawenforcement resources will bring greater stability to the region.Our first concern is always the safety of our employees and thecommunities surrounding our operation. We’ll continue towork collaboratively with the government and the community tohelp ensure that there is peace in the Porgera Valley.”The recent problems have been compounded by the limitedcapacity of law and justice institutions in Enga province, whichhave been unable to keep pace with rapid in-migration to thePorgera region from other parts of the province and beyond.The population in the vicinity of the Porgera mine has increasedfrom several thousand when the mine was constructed in 1990to approximately 50,000, largely due to in-migration.In 2009, as part of Operation Ipili, the PNG governmentdeployed additional public law enforcement personnel tothe region to address a deterioration in law and order andincreased levels of violent crime. The local population washighly supportive of the enhanced police presence in the region,and has welcomed the government’s recent decision to deployadditional personnel.Under the latest deployment, law enforcement personnel areexpected to engage in a range of policing actions, from alcohollicensingenforcement to weapons seizures. <strong>Barrick</strong> and the PJVrequested that a prominent PNG citizen act as an independentmonitor of the enhanced police activities. That role will initiallybe performed by Ila Geno, a former Chief Ombudsman ofPNG, with other independent monitors to be recruited as thedeployment proceeds. All police operations in the region willremain the sole responsibility of the PNG government. <strong>Barrick</strong>has no authority in this area.The PNG government has requested that the PJV providelimited assistance to law enforcement officials deployed to theregion. The assistance will be conditional on the requirementthat all police activities comply with PNG laws and internationallegal principles relating to security and human rights.Consistent with our obligations as a participant to the U.N.Voluntary Principles on Security and Human Rights, <strong>Barrick</strong>has also sought assurances that law enforcement officialsassigned to the area receive training in human rights principlesthat are consistent with international training standards for lawenforcement officials. The company is also in regular contactwith the community and other local stakeholders to ensure theircontinued support for the police initiative. ■<strong>May</strong> <strong>2012</strong> 43


SabrinaOribeandLucianoVedialoveworkingat<strong>Barrick</strong>’sPascua-Lamaproject,andtheyalsoloveeachother.Sowhentheyweredeliberating on a venue for their upcoming nuptials, they agreed that there was no better place to start their life together than the mine site itself. On March 10, theywere married in the presence of 3,000 miners, relatives and friends at Pascua-Lama, which is located 4,000 meters above sea level on theArgentine-Chilean border. It’s the first wedding ever held at a <strong>Barrick</strong> project or mine site.“Ourdreamwasgettingmarriedhere,atLama,andwehadmanypeople’ssupportsothatthisdreamcouldcometrue,”Oribesaid.TO SUBSCRIBE TO BEYOND BORDERS OR TO RECEIVE BY E-MAIL,CONTACT: RESPONSIBLEMINING@BARRICK.COMWE WELCOME YOUR COMMENTS, QUESTIONS AND FEEDBACK.EDITOR: NANCY J. WHITEDEPUTY EDITOR: STUART WEINBERGGLOBAL CONTRIBUTORS: LOU SCHACK (NORTH AMERICA),LUIS PINO (SOUTH AMERICA), STEPHEN KISAKYE (AFRICA), HOLLY PHILLIPS (AUSTRALIA)FORMOREINFORMATIONONBARRICK’SRESPONSIBLEMININGINITIATIVESVISIT:WWW.BARRICK.COM/CORPORATERESPONSIBILITYWWW.BARRICKBEYONDBORDERS.COMFOLLOW US ON TWITTER@BARRICKGOLDFACEBOOK.COM/BARRICK.GOLD.CORPORATION

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!