A short guide to community centered integrated mine closure
Mine closure is arguably more important than the first great discovery of an asset. When it is not managed well, closure can have disastrous impacts on the economy, environmental and social fabric of a community. There are tons of examples in Canada and around the world that have made global headlines because of the ongoing risks they present for local communities.
To prevent these disasters, mining companies need to take an integrated approach to mine closure. This means that closure is a dynamic and iterative process that considers not only the environmental factors but also the social and economic elements related to closure. It means that closure is considered throughout the life of an asset and includes local stakeholders in discussions and decision making. And finally, it also means that companies approach closure as core to the mine’s business.
Throughout the life of mine, there are a few things that site teams can do to ensure a successful closure.
1 | Follow the community’s lead. Companies need to engage with local stakeholders throughout the life of mine, but the involvement of local stakeholders in decisions about closure is particularly important because they will be integral to leading initiatives once the mine is closed. Before a mine is even built, it is important to have conversations with local governments and community leaders about the future. How does the community want to use the land moving forward? Do they want to continue mining? Are there other economic initiatives that could be developed? Would they rather use the area for cultural or recreational purposes? Understanding what the community wants from the beginning (and working with them to understand how their vision might adapt over time) will help the company align closure initiatives and programs with the community needs.
2 | Be clear about the timeline. Companies need to be very clear what the life of mine is. This can be challenging because the life of mine can change in response to commodity prices or new discoveries. This makes it even more important that the company is as clear as possible about the life of mine and any changes that might happen.
3 | Start early. It might seem a bit strange to start talking about closure before the mine is even built but initial discussions and planning with stakeholders will set the stage for good dialogue. As closure gets closer, dialogue, planning and decisions will ramp up and become more specific. The general rule is to start a more detailed planning process five years before the closure date and have a firm plan two to three years before decommissioning. In the years leading up to closure, the social closure plan should be well under way and the site should be having regular meetings with local stakeholders.
4 | Work across the company … it’s not just up to the environment team. Historically, we thought of mine closure as part of the environmental management of the site. We now know that closure has to be managed across many departments like the social performance team, communications and finance team – even procurement and hiring have a role to play in managing the impacts of closure. When it’s central to the long term planning and strategy of the operation then each department can play their role in effective integrated mine closure.
5 | Be real about the costs. In most jurisdictions there are regulations that guide how companies cost closure and financial assurance that the company can cover those costs. The reality is that most companies have historically underpriced the cost of closure and/or can’t adequately fund the agreed on closure plans. All too often the true costs of closure creep up on the company and leave the team stressed and scrambling to pull together an integrated closure plan with a limited budget. The company is responsible for funding closure planning and should consider the time and costs associated with engagement, planning and studies required. In addition, the company should be clear with the community what budget they have to support social closure initiatives. For example, if the community is hoping to run a recreational tourist facility, is the company going to invest in it? Will the company lease or sell the land back to the community?
6 | Get Creative. With the right planning and resources closure can be a very exciting time for a local community. A company can be a great resource to share ideas and examples of successful closure initiatives in other regions. Some closed mine sites become tourism hubs that showcase the history of mining. Many also become recreation sites for hiking, biking, camping (and snowmobiling in Canada) – for locals as well as tourists. In South America, there are some initiatives that are using the roads and other infrastructure left behind to develop hubs for wind and solar generation. In parts of Asia, old mine sites are used as wildlife conservation areas. In other areas, communities are re-mining deposits themselves because their required rate of return makes the asset workable. Some groups are even working to rehabilitate tailings. For example, RESOLVE and Rio Tinto have announced an MOU to develop a for profit and for purpose company that “will combine the remining and processing of waste with site closure and rehabilitation, with the ambition to create full restoration outcomes.” (Rio Tinto, 2022.)
7 | Train the closure team. Post-closure there is a small team of people who are responsible for ongoing environmental monitoring. This team can also act as a great touch point for local stakeholders, but they need training. Basic engagement and communications training can go a long way to giving closure teams the tools they need to maintain positive relationships with local communities.
These are just a few best practices to get your started. There are a number of great resources on successful mine closure that provide more support. The International Council for Mining and Metals has a suite of guidance material that cover everything from financing, to rehabilitation, to collaboration with local stakeholders. In 2019, the University of Queensland launched The Social Aspects of Mine Closure Consortium, which is a multi-party, industry-university research collaboration that challenges the industry norms and practices and is a great place to get inspired and share ideas related to closure. Working with your peers and other stakeholder groups is a great way to drive creativity and make sure your considering all the elements of an integrated mine closure plan.
CAROLYN BURNS is a director at NetPositive, a non-profit that works with diverse stakeholders to help local communities see sustained positive outcomes from mining (www.NetPositive.org).
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