A guide to leading practice sustainable development in mining

Risk Management and Exploration
Exploration is a high risk activity. In the 1960s, Canadian researchers found that to
produce a commercial mine, around a thousand mineral prospects are investigated,
of which only a hundred are drilled for reconnaissance and only ten progress to
intensive drilling. Modern exploration may have altered the ratios but not by much.
Such figures highlight the high commercial risk and low success rate of exploration
throughout the world (Environment Australia 1995).
Effectively applying risk management principles early lays the foundation for good
relationships throughout the whole mine life cycle. There are many examples of
relationships being damaged at the exploration/discovery stage or during mine
feasibility. This creates difficulties for stakeholder relationships that can carry
through to the construction, operational and closure phases of mining and may
require significant additional management effort, delay project start-up or adversely
affect the life of the mine.
One method of incorporating risk planning into a mineral project’s monitoring
program is to develop a risk register which incorporates life-of-mine risks and
monitoring with the completion criteria relevant to each. Separate risk registers
can be developed for each phase of operations from exploration to closure, and
updated as the operation progresses. A risk register can provide both a framework
to identify significant risks and the control measures to mitigate those risks
(which is recommended as part of an environmental management system under
ISO14001:2004, or any other mechanism for managing impacts) (see LP Monitoring).
Water Management Planning
Introduction
Access to water is a fundamental human right. The communities within which
industry operates, or impacts upon, expect and demand that: (1) they be involved
in decisions regarding the allocation of water resources, (2) industry uses water
efficiently, and (3) industry does not negatively impact on water quality.
Traditionally, community and other stakeholder consultation have been undertaken
during the environmental assessment and project approval stage. Engagement
with local catchment management authorities and other stakeholders during
development and review of catchment water sharing plans should be sought. The
dialogue around water use and allocation has had to deal with allocation of a scarce
water resource between competing users. On a purely value-adding criterion (dollars
generated per megalitres of water used), mining and minerals processing adds
significantly more financial value per volume of water consumed than all agricultural
uses (ACIL Tasman 2007). Under certain conditions in some jurisdictions water
markets or contracting arrangements can be over-ridden to enact a hierarchy of use
which includes domestic or town water, the environment, stock water, agriculture and
industry. In the more remote areas, where the economic competition for water may
not be as direct when compared with those operations in close proximity to urban
areas and agricultural enterprises, the cultural and environmental values of water
can be significant drivers. Sites may have opportunities to contribute positively by
working towards maintenance of values.
A GUIDE TO LEADING PRACTICE SUSTAINABLE DEVELOPMENT IN MINING 55