2007 Full Report - Kinross Gold

The Quilombola andthe Paracatu ExpansionAs part of the Paracatuexpansion project,certain lands required forconstruction of a secondtailings dam were identifiedas having been previouslyoccupied by the Quilombola.Kinross is engaged indiscussions with keystakeholders, including theFundação Palmares, anNGO that represents theQuilombola, as well asstate and federal authorities.Our objective is to reachan agreement concerningthese lands in 2008– one that protects therights of local Quilombolacommunities and isconsistent with nationallegislation on this issue.Sweet SuccessOur Paracatu operation in Brazil has an exceptionally long lifespan for a gold mine,estimated to extend until 2040. Our challenge – and our responsibility as a goodneighbour – is to take thoughtful action today to seed economic developmentinitiatives that will help the communities near the mine prepare for its eventualclosure, no matter how far in the future that may be.Through our Generation Project, for example, Kinross is providing funding, managementsupport and operational expertise to help with the start-up of small businesses. One ofthe first major initiatives, organized as a business cooperative, is unfolding in the ruralfarming community of São Domingos. There, we have provided financial assistanceto construct and operationalize an industrial kitchen to produce and sell candy andbiscuits made from traditional local recipes known to the Quilombola, local residentswho are the descendants of slaves who escaped from plantations in Brazil beforethe abolition of slavery there in the 19th century.The business cooperative is operated by, and for the benefit of, some 30 Quilombolafamilies from five villages. Staffed by women – many of whom are mothers of youngchildren – the factory produces a variety of confectionary goods sold locally to residentsand tourists. The business provides a sustainable source of income, the opportunity tolearn new skills and flexible schedules so that mothers can continue to provide careto their children while working outside the home.Page 38 Kinross 2007 corporate responsibility reportAs part of this initiative, which started with the construction of the factory and office in2006, the company provides other benefits and support to the Quilombola in the formof family medical assistance, a daycare facility and services, and the construction ofa school. The company’s support extends to providing training to the cooperativemembers so that the business can become self-sufficient and, eventually, expandinto the manufacturing and selling of other income-producing goods.