A guide to leading practice sustainable development in mining

highest rating group for the whole project. As the industry integrates sustainable
development considerations into its decision making processes, the treatment of
external socio-economic risks and opportunities will become increasingly important.
The ‘mainstreaming’ of these issues into risk management processes reflects their
significance and importance to most large mining and processing operations.
Figure 4.11 Argyle Diamond mine
Environmental Risk Management
Environmental risk may be defined in two ways. Firstly, and more commonly,
environmental risk can be defined in terms of the impact of exploration, mining or
mineral processing activities on the environment. Secondly, environmental risk can
be thought of in terms of environmental factors or ‘Acts of God’ which may present a
risk to the sustainability of the operation. For example, a major rainfall event flooding
a mine or causing overtopping of process water, or the converse—a long dry period
during which water supply cannot meet demand.
Environmental risks from an operation’s activities and their potential impact on the
environment and local community may have a range of impacts on the business, such
as community health impacts, public outrage leading to reputation damage, cost of
closure and rehabilitation, and ongoing legacy risks after closure.
Opportunities may also arise from risks to the natural environment. For example, in
an area where artisanal and small-scale mining is being practised by a community,
the business may share its knowledge and tools with those artisanal miners to
reduce their impact on the community and natural environment. AngloGold Ashanti
is addressing this issue at a number of its operations in Africa (see LP Risk p.20).
The company is exploring the possibility of allowing artisanal miners to work areas of
its land where there is insufficient gold to justify commercial mining, but which could
be successfully exploited on a smaller scale. This would help to legitimise artisanal
mining, promote communications with local communities and reduce disturbance to
the company’s operations.
112 LEADING PRACTICE SUSTAINABLE DEVELOPMENT PROGRAM FOR THE MINING INDUSTRY