PS 1 Social & Environmental Assessment and Management Systems:
- Environmental & Social Assessment and Management
The Environmental & Social Impact Assessment process for the Kolwezi Tailings Project was initiated in 2004 and concluded in March 2008 by SRK Consulting. The documentation was prepared in such a way as to conform to DRC laws and IFC Performance Standards and World Bank Group (WBG) Environmental, Health & Safety (EHS) Guidelines. The updated ESIA was submitted to the Congolese authorities in a different format, to satisfy national mining environmental regulations, and was approved in March 2009. The Environmental & Social Management Plan (ESMP) and associated Annexes contain a comprehensive set of mitigation programs and measures designed to ensure that the project is constructed and operated in accordance with DRC and IFC requirements. The main ESMP Annexes include the following:
Annex A: Labor & Human Resources Plan, Workplace Health & Safety Plan, Community Health & Safety Plan
Annex B: Framework Resettlement Action Plan
Annex C: Emergency Preparedness & Response Plan
Annex D: Community Development Plan
Annex E: Rehabilitation and Closure Plan
Annex F: Stakeholder Engagement Plan
Annex G: Solid Waste Management Plan
Annex H: Influx Management Strategy
Annex I: Artisanal & Small Scale Mining Strategy
Various phases of ESIA documentation were extensively disclosed and consulted upon during the period 2004 – 2008 via an iterative, multi-stakeholder, multi-lingual process. Further information on this process are provided under the heading ‘Clients Community Engagement.’ The final ESIA documents were locally disclosed and have been available at FQM’s offices in Kolwezi and Lubumbashi since March 2008. These documents were also disclosed on IFC’s web-based disclosure portal in August 2008 as an update to the Kolwezi Tailings Project disclosure (ESRS dated March 2005 for project #11703). Subsequently, KMT has recently produced several updates to key ESMP annexes, namely a final Resettlement Action Plan (RAP) for Samukonga Village, a revised Stakeholder Engagement Plan (SEP), a Construction Phase Waste Management Plan and a construction phase Emergency & Disaster Procedure (all attached). In addition, KMT has identified certain ESMP recommendations which project implementation experience has shown to be no longer feasible, which were generic and/or which are not applicable to Kolwezi circumstances. These have been listed, with justifications, and agreed with IFC, and are attached as a separate document, so as not to complicate the project supervision process in future. The number of commitments rejected amounts to less than 5 % of the total number of ESMP commitments. Examples of changes include rejection of the use of fencing to protect sensitive sites, as experience has shown that fencing is stolen and therefore ineffective; rejection of a 500 m exclusion zone for infrastructure development around graves and cultural sites, which is neither feasible nor a DRC or IFC requirement (these sites have not been disturbed to date); and rejection of a commitment to use waste ‘hoppers’ (large bins) around site during construction, as experience has shown that these are not required.
Although the planned diversion of the Musonoi River is part of the proposed development, the river diversion has not yet been assessed in detail. This is because the actual strategy to manage water has not been finalized. A number of different options are being considered, and the diversion is not required for the next 3 to 4 years. Given the potential significance of this issue, a stand-alone ESIA and ESMP for the diversion canal will be undertaken to IFC Performance Standards to ensure that all potential impacts are identified and avoided or mitigated against and that the design of the diversion canal can be completed. This commitment is contained in the attached Action Plan.
Management Program
Management systems which accord with ISO 14001 and OSHAS 18001 are currently being developed and implemented, although KMT will not seek certification. Key construction phase procedures have mostly been developed already and will be completed by mid May 2009, whilst operations phase procedures will be developed prior to the commencement of operations (as detailed in the Action Plan). These procedures are based largely upon issues and mitigation principles identified in the comprehensive ESIA and ESMP.
Organization
In order to operationalize environmental, health & safety and social management at Kolwezi, FQM have hired an experienced Environmental Manager, a Safety & Health Manager, a Social Liaison Officer and associated technical support staff. These staff members form part of the Health, Safety, Environment and Community (HSEC) Department and are supported by FQM’s Group Environmental Manager in Zambia.
Training
Environmental and Occupational Health & Safety training forms part of mandatory induction courses for all employees and contractors. This will be codified in the ESMS for the operations phase, which is currently under development, with occupation-specific training being provided to FQM employees by the HSEC Department. Visits for core members of the HSEC team have been made and/or scheduled to other FQM operations in DRC and Zambia in order to observe how environmental and social mitigation measures have been operationalized at those locations, as part of internal knowledge transfer.
PS 2 Labour & Working Conditions
Human Resource Policy and Management
The project employed approximately 1400 persons during the peak construction period of December 2008, of which 350 were expatriates from the Philippines, Indonesia, South Africa, Zambia, the UK, New Zealand and several other countries. The current (April 2009) construction workforce is approximately 700 persons, which is likely to rise again once earthworks re-start around June 2009. KMT will employ roughly 660 persons during the operations phase.
FQM has disclosed its Employment Policy and Labour & Human Resource Plan in Annex A of the ESMP. These documents set out FQM’s commitments to fair, transparent and non-discriminatory HR practices in accordance with DRC law and IFC requirements. The HR Plan contains a description of applicable national law and World Bank Group policies and guidelines, spells out General Conditions of Service, Recruitment Procedures, Remuneration and Compensation Procedures, a Training and Development Policy, Dispute Settlement Procedures and a policy on Freedom of Association and Collective Bargaining. The project company (KMT) has a Resource Optimization (Human Resources) Manager on site currently and will employ additional HR specialists once operations commence. Although HR policies and procedures are currently available on site in English and French, these are not yet available in Swahili. KMT will rectify this issue by end-May 2009, as per the attached Action Plan. There is an employee grievance mechanism in place.
Worker’s Organizations
FQM has its own policy on Freedom of Association and Collective Bargaining. In addition, DRC labour law requires that unions be allowed to operate freely. Although there are labour unions serving the mining sector in DRC, none has to date applied to KMT to be recognized on site during the construction phase. It is envisaged that, once operations begin, one or more unions will seek and obtain the relevant approvals to operate at KMT, as is the case at other Kolwezi-based mining operations.
Non-Discrimination and Equal Opportunity
FQM’s Employment Policy and Labour & Human Resource Plan are contained in Annex A of the ESMP. These documents set out FQM’s commitments to fair, transparent and non-discriminatory HR practices in accordance with DRC law and IFC requirements.
Retrenchment
KMT is still in the construction phase. As noted in the attached Action Plan, KMT will prepare a Retrenchment Plan before the operations phase commences, in order to cater for any future episodes of large-scale retrenchment associated with the project.
Protecting the Work Force
No forced labour or child labour is permitted by FQM at any of its operations. No audit of the KMT supply chain has been undertaken because low labour cost is not deemed to be a factor in the competitiveness of goods and services procured.
Occupational Health and Safety
FQM has disclosed its Occupational Health & Safety (OHS) Policy in Annex A of the ESMP. KMT currently has an experienced Safety & Health Manager on site, who presides over a construction phase team including safety officers and assistants. This team oversees OHS matters involving various contractors, FQM’s in-house construction team and Filipino/Indonesian artisans involved in construction. The artisans have nominated safety representatives per team. Monthly OHS statistics are recorded and reported to the Group HSEC Manager in Ndola. To date there has been one construction phase fatality. Appropriate corrective and preventative measures were implemented as a result of the subsequent accident investigation. KMT has ‘Safety Golden Rules’ which are available in writing (English only, currently) and are communicated verbally to staff in all three languages, as appropriate, during induction sessions and via daily toolbox talks. FQM will make French and Swahili translations of the Golden Rules available by end May 2009, as reflected in the Action Plan. Personal protective equipment is provided either by KMT directly or via labour agents. KMT has a 3-bed health clinic on site which is operated by a trained paramedic and nursing sister. First Aid boxes are kept in all site vehicles as well as at various site locations. A fully fledged 11-bed health clinic run by expatriate medical personnel has been budgeted for the operations phase. This will offer medical and dental treatment, a dedicated laboratory and X-ray facilities, an incinerator for the destruction of medical waste, and rapid malaria testing capabilities. Potable water is currently provided to the construction workforce as bottled water. In future, filtered groundwater will be supplied to workers. Regular water quality monitoring will be conducted on this water source, as noted in the Action Plan.
Non-Employee Workers
FQM/KMT is using several labour brokers during the construction phase to source local and international non-employee workers. KMT has a contract with a local labour broker firm (Chekina) to supply local unskilled and semi-skilled Congolese workers. Chekina employees are paid at fixed hourly wage rates per salary band, with the broker earning a flat fee as a percentage of overall labour cost. KMT undertakes monthly auditing of Chekina to ensure that agreed wages are paid out to workers. KMT salaries are competitive locally, even when compared to operating mines where bonus payments are being made. In addition to managing workers’ contracts and paying wages, Chekina is responsible for providing food - the quality of which is tested by KMT - bus transport to and from site, personal protective equipment and medical cover to its workers. Chekina will supply a much reduced number of workers for once-off projects during operations, when the vast majority of staff will be employed directly by KMT.
KMT is making use of three Asian labour brokers for temporary skilled artisans. PT Matra and Epitherma supply Indonesian artisans, whilst Inter-Asia provides Filipino artisans. FQM provides various forms of support to the artisans, such as occupational health and safety oversight; provision of personal protective equipment and safety devices; transport to and from site; dining and accommodation facilities; healthy and culturally appropriate food; security; first aid and medical treatment for illness and work related injuries; pest control, malaria nets and malaria testing/prophylaxis. Dormitory accommodation is provided with typically between 2 - 6 men per room. There are separate accommodation blocks for the Filipino and Indonesian teams, which are regularly subjected to KMT hygiene inspections. Salary scales are competitive by industry standards. KMT provides transport for Indonesian and Filipino workers to and from Kolwezi on a regular basis for shopping and entertainment. This is done in a controlled way to ensure worker safety and security in what can be a volatile local social environment.
PS 3 Pollution Prevention and Abatement
Pollution Prevention, Resource Conservation, Energy Efficiency
Emissions to air
Air emissions during construction consist primarily of dust from construction activities and fugitive sources such as roads. These emissions are being minimized by enforcing speed limits, restricting off-road traffic and spraying with a water tanker where necessary. Key emissions during operations will be particulate matter, SO2 and NOx. The Kolwezi area has dry winters and the existing Kingamyambo tailings deposit generates significant dust; the reprocessing of this facility is predicted to reduce overall dust levels. The bulk of SO2will be generated by the sulfuric acid plant which consists of a sulfur burner producing 12% sulfur dioxide (SO2) using a four pass 3:1 double contact double adsorption configuration plant that will absorb 99.8% of the SO2 and produce 98.5% pure sulfuric acid (H2SO4). In addition, the acid plant is equipped with a 100 tpd liquid sulfur dioxide production facility for utilization in the cobalt leach circuit. The acid plant exhaust gas will exit via an 80 m stack. Ambient SO2 concentrations are expected to remain relatively unchanged for the duration of the operation. The sulfuric acid plant will have a negligible impact on ambient sulfur levels, which will be < 2 % of the DRC and < 5% of the WBG EHS Guideline values. There may, however, be short-lived episodes when ambient SO2 levels increase due to upset conditions or accidents. However if upset conditions occur for < 5% of the operating time of the sulfuric acid plant then the environmental impact during these episodes is not expected to be significant.
Air quality related mitigation measures are contained in a dedicated Air Quality Management Program contained within the ESMP. As the current air quality data and modeling analysis does not account for all sources during the operational phase of the Project, it has been agreed in the Action Plan that an air quality review will be done by an independent specialist when sufficient design details are available, most likely by mid-2010 if construction remains on schedule. Over time the IFC and the Lenders will review ambient air quality to ensure compliance with Lenders requirements, using the WBG EHS guidelines as the reference. The focus will be on minimizing health impacts on surrounding villages and KMT workforce.
Emissions to water
The key challenge to water quality during construction has been storm water control during earthworks, which has been controlled via sediment control measures including stormwater drains, berms and careful topsoil management. These and other measures are described in the Water Quality Management Program contained in the ESMP. Discharge of effluent from the KMT process plant will be the major environmental impact of project operations, as it will impact on both surface and groundwater sources. Processing will create a waste stream that will contain high concentrations of total dissolved solids (TDS). Heavy metals will be removed from the effluent stream prior to discharge to the natural environment. The operational phase has been divided into two phases. Phase 1 is currently being developed and has an end product of Cobalt Hydroxide. Phase 2 is being considered and will likely include the development of a Refinery to produce final cobalt metal. At this stage FQM believes that the Refinery will be constructed, but the final decision has not yet been made; if it does go ahead, it will likely be commissioned in late 2011. The two phases produce different effluent volumes and quality. Regardless of which phase is commissioned, all effluent from the plant will go directly into the tailings storage facility (TSF). The supernatant will be returned from the TSF to the plant and used as process water. At this stage of the design final effluent will be discharged from the TSF to the Luilu River in Phase 1 as well as in Phase 2. The volume discharged to the river will be lower in Phase 2 than in Phase 1. The volume discharged to the river will be higher in the wet season. Seepage of the effluent through the tailings will also happen as explained below.
The original Adastra process flowsheet would have produced a high volume of effluent with a TDS of 19,000 ppm. Although neither the Democratic Republic of Congo nor the IFC EHS Guidelines contain guideline limits for TDS in effluent discharging to watercourses, IFC requested Adastra to review various treatment options to reduce effluent TDS levels. After a thorough review, it was found that there were no technically and/or financially feasible alternatives. However, the revised flowsheet produced by FQM has several advantages: first, it results lower effluent volume as more water is recycled back from the TSF to the plant; second, worst case effluent TDS concentrations have been modeled at between 3,600 – 4,000 ppm (down from 19,000 ppm) for phases 2 and 1, respectively; and third, the new flowsheet involves a heavy metals removal step prior to discharge to the TSF. The reduction in TDS concentrations is significant, representing a more than four-fold reduction in salt content. As the current surface water baseline data is incomplete and does not reflect the ambient impact of other new mining operations that have come on stream, it has been agreed in the Action Plan that a further one year baseline survey of Luilu and Lualaba river water quality will be done prior to the commissioning of the plant. This will allow an informed decision on next steps based on revised modeling of effluent discharge effluent impacts.
An assessment of the impact of project effluent on the Luilu River has shown that it will be very low. The Luilu River is is highly degraded due to the impact of historical and current mining activities. Sampling undertaken during the ESIA indicated substantial contaminant loads upstream of the project including TDS and metals loading well in excess of DRC and IFC requirements as well as acid conditions (pH 2.2). Investigations were undertaken into human usage of the Luilu River water downstream of the project before the confluence with the Lualaba River. Villages are located along the course of the Luilu River where tributaries join the river. Villagers stated that the Luilu River has been too contaminated from mining in Kolwezi to use for fishing, bathing or crops for as long as can be remembered, and so they draw their water supplies from the tributaries. Modeling of the impact of the discharge downstream in the Lualaba River showed that the water quality impact on the Lualaba would be very low. With the reduction in TDS now proposed, the impact on the Lualaba is likely to be insignificant. This will be confirmed prior to the commissioning of the plant.
The release of saline water from seepage at the base of the TSF into local groundwater may preclude its use by humans and may also negatively impact local vegetation including forest patches. Saline discharge from the TSF may enter groundwater and (indirectly) surface water at concentrations above limits set for agricultural or drinking water quality, although it will comply with DRC and IFC discharge limits which do not have established limit values for TDS. Groundwater quality modeling has indicated that users may not be able to extract potable quality water within approximately 2 km of the TSF. Although there are no villages or water points within this radius, and KMT has committed to providing alternative potable water to communities in the vicinity should their drinking water be impacted, KMT will conduct a revised risk assessment of groundwater impacts associated with the TSF based on revised flowsheet effluent quality. This will be done once the decision concerning the Cobalt Refinery has been made, as described in the Action Plan.
It is important to note that the project’s activities to remove and rehabilitate the two existing unmanaged tailings deposits and create a new managed tailings facility will result in several significant environmental advantages to the area. These include a substantial reduction in ambient dust concentrations associated with the dry Kingamyambo tailings; restoration of the Musonoi River valley to a more usable landscape following removal of the in-river tailings deposit; simultaneous removal of a major source of pollutants from the Kasobantu Dam which is located on the Musonoi River and may in future be usable by local communities; and generally improved waste water quality discharged to the environment, in comparison to uncontrolled discharges which characterize the area currently (e.g. polluted run-off from the tailings dams).
Tailings Storage Facility (TSF)
The TSF is an entirely new facility and not linked to the two existing tailings areas from which tailings material will be extracted for ultimate processing. The final footprint of the TSF will be approximately 420 ha and it will have a capacity of approximately 87 million m3. The TSF wall will be developed to a maximum elevation of 57 m above natural ground level. The starter wall is currently being constructed over the full, final, footprint of the TSF. Ongoing wall raising during operations will be by cycloning and/or raising with fill as required. The water retention works, including the TSF itself and the storm water control dam has been designed to cater for the 1:100 year return period flood leaving a 2 m freeboard. Based on classification tests (leaching, acid-base accounting) done on tailings produced during metallurgical testwork, KMT tailings have been classified as Low Risk. FQM has taken the decision not to line the 420 ha tailings dam due to the low risk nature of the tailings according to DRC and US Bureau of Mines classifications and the findings of preliminary testwork which indicate that the imposition of a basal liner will reduce TSF stability due to tailings drainage characteristics. As per IFC requirements, the project has retained qualified and experienced TSF experts to independently review the design and periodically monitor the construction, operation and decommissioning of the TSF.
Noise
Baseline noise conditions at the plant site were measured with consideration to areas expected to be affected by the new process plant and tailings storage facility. Noise during construction could have temporary effects in the surrounding villages. To minimize noise disturbance, work activities have been limited to daytime hours and there have been no noise-related complaints to date. Noise modeling for the operations phase indicates that villages in the vicinity of the project will experience a slight increase in ambient noise levels but not sufficient for them to experience this as a nuisance. It is worth recalling that the project is situated roughly half an hour by road outside of the main town of Kolwezi, and is thus relatively remote from the most highly populated local areas.
Waste
A Solid Waste Management Plan for the project is presented as Annex G of the ESMP. This provides an overview of relevant laws and standards, preliminary waste characterization, and waste management issues and responsibilities for the project, and commits to further, more detailed plans during construction and operations. An updated KMT Construction Phase Waste Management Plan (attached) was produced in January 2009. Construction phase waste has been broadly characterized into one of three main streams, namely domestic waste (mainly from households and kitchens), industrial waste from the construction process and hazardous waste. Hazardous waste streams identified on site include small quantities of medical waste generated at the site clinic, pesticide and chemical containers, waste oil and items contaminated with waste oil. Regular internal monitoring of waste disposal will take place and performance will be reviewed by the Lenders on a regular basis, as outlined in the Action Plan.
Waste generation is avoided and/or minimized wherever feasible. Waste is sorted at source based on the type and character of waste with care taken not to mix waste with recycling value with domestic waste, construction rubble or hazardous chemical based waste. Metal waste such as off cuts from pipes, construction rods, metal sheeting and redundant vehicle parts is separated out, stored at a recycle collection area and either sold or provided to workers for reuse or recycling. Wooden pallets and crates derived from packaging are also separated at source and stored at the recycle collection area for onward sale. Waste oil is collected, filtered, stored safely and collected by an independent contractor every six months. Oil-contaminated rags and filters, and medical wastes are stored in purpose-designed bins and periodically incinerated. Empty pesticide and chemical containers are rinsed several times with water and then burned, with the rinse water being channeled back to the spray pumps. Domestic and non-recyclable construction waste is disposed of at a dedicated waste disposal site. Design, construction and operating principles for this site are described in the Construction Phase Waste Management Plan. Daily, weekly and monthly monitoring of waste disposal is being conducted, as per requirements detailed in the Plan.
Septic tank systems and soakaways have been installed at the temporary construction camps, permanent management/expatriate housing area and at the main plant and office complex. These will be maintained on a regular basis to ensure proper functioning and environmental protection.
Hazardous Materials
The main hazardous materials associated with the project include hydrocarbons (mostly fuel), small amounts of medical waste, pesticide used for the anti-malaria program and sulfuric acid. A construction phase hazardous materials inventory is being produced, along with corresponding Materials Safety Data Sheets, by mid-May 2009, as per the Action Plan. Hazardous materials transport, storage, handling and disposal will be conducted as per ESMP commitments and will be regularly audited; follow-up actions will be reviewed during lender supervision.
Emergency Preparedness and Response
KMT has produced an Emergency and Disaster Procedure for the construction phase (attached). The operations phase version will be prepared prior to commencement of operations.
Greenhouse Gas Emissions
FQM produces an annual Carbon Disclosure Report according to the Greenhouse Gas Protocol. Construction phase emissions for KMT in 2008 have been calculated as 3330 tCO2 comprising mostly diesel consumption and purchased power. KMT expects to be a low carbon producer during operations compared to FQM’s other mines and many of its peers due to the nature of the mining operation (hydro-mining) and the fact that its electricity will be sourced entirely from hydro electric power stations in DRC. Already, diesel generator derived power has been largely substituted by hydro electric power supplied through the grid, the supply of which is stable and significantly cheaper.
Pesticide Use and Management
Several World Health Organization-approved pesticides are being utilized by KMT for its anti-malaria program, including for example the pyrethroid Lambda cyhalothrin, Temephos, ULV-concentrate and Fenitro. None of these is subject to international bans or phase-outs. All of these chemicals are stored in a locked container and records are kept of weekly usage. KMT staff employed to participate in the program have been trained in the safe handling and use of these chemicals and are being provided with appropriate personal protective equipment.
PS 4 Community Health, Safety and Security
The project impacted area includes traditional villages inside and immediately outside the Project Concession Area, ex-Gecamines (mining) villages immediately outside the Project Concession Area, and the town of Kolwezi. The key community health and safety risks identified for the project include traffic safety on public and mine roads; increased prevalence and transmission of Sexually Transmitted Diseases (STIs), including HIV-AIDS; unauthorized access to hazardous sites and materials; Tailings Storage Facility (TSF) safety and possible future exposure to various pollutants generated by the project. The following is a summary of the various mitigants either contained in various parts of the ESIA and ESMP or currently being implemented on site.
A transport safety program is currently being developed and rolled out to sensitize surrounding villages and land users on road traffic safety, as indicated in the Action Plan. This is focusing on local schools in Tshala Village, which is located on the main road to the mine, as well as issues of pedestrian safety within the concession area. Appropriate signage has been erected on KMT-controlled roads, and workers have been made aware of speed restrictions. Unauthorized access to hazardous sites and materials will be managed primarily by a combination of security fencing, deployment of security guards and the use of appropriate signage in local languages.
TSF safety is a key feature of any mine’s design, construction, operation and closure risk management process. The final footprint of the KMT TSF will be 420 ha. Geochemical characterization of the tailings to be produced has shown that the material will be classified as ‘low risk’ tailings by DRC and international standards, not requiring a lined TSF. FQM, in accordance with IFC requirements, has retained qualified and experienced independent experts to review TSF design and periodically monitor TSF construction, operation and decommissioning to ensure that all necessary safety measures are put in place to prevent a TSF failure. Groundwater drawdown and quality in the vicinity of the TSF will be regularly monitored by FQM to ensure that any scarcity and/or health-related concerns pertaining to groundwater are identified early and made known to the relevant parties. This is a condition listed in the Action Plan.
Exogenous community health issues include endemic malaria, which baseline studies indicated was by far the single biggest health risk in Kolwezi, measles, diarrhea and meningitis. HIV-AIDS prevalence rates for the area are unknown currently. It is thought that prior to the re-emergence of private mining ventures in Kolwezi, rates were comparatively low (estimates range from 5 – 17 %) versus neighbouring countries, but that the impact of an influx of outsiders coupled with extensive artisanal mining activity and trucking has led to potentially significant increases in prevalence rates.
FQM is committed to tackling HIV-AIDS and assisting with awareness raising and prevention of endemic health problems such as malaria and poor basic hygiene. Community health initiatives are being implemented both by FQM’s corporate offices and by KMT, in collaboration with various local and international partners. Monitoring of the reach and impact of these initiatives will be conducted by FQM and reported to IFC and other lenders on a routine basis, as noted in the Action Plan.
KMT has replaced two village clinics in Tshala and Kamimbi Villages on its concession, and has installed solar power and boreholes at each. These clinics are staffed by Government employees and are being equipped by Project Cure, via FQM intervention. To tackle malaria, KMT has distributed 2000 mosquito nets and almost one thousand tubes of mosquito lotion to date, completed indoor residual spraying of almost 1000 houses in neighbouring villages, launched a malaria education program in all core communities and completed the first phase of an entomological survey to establish which mosquito species and malaria strains are present locally. All chemicals used are WHO approved, and all sprayers have undergone a 2 week training program with independent Zambian sprayers. A malaria prevalence study is being commissioned, using a specialized health impact assessment consultancy (Newfields). Local health clinic staff members in Tshala and Kamimbi clinics are being trained to read microscope slides to identify malaria in blood samples, and microscopes have been delivered to each of these village clinics. Donor and aid agencies and other mining houses have been approached to participate in this program, in order to expand its impact.
FQM is also supporting a Kolwezi Immunization Program, in collaboration with the Government, GAVI and KMT, which intends to ultimately reach 80 % of under 1 year olds in Kolwezi and will be managed by the NGO International SOS. FQM has an HIV-AIDS Policy, contained in Annex A of the ESMP, which recognizes the special importance of this disease in its operational areas and commits the company to best practice in managing its impacts in FQM’s workforce as well as extending a degree of support to neighbouring communities. The company sponsors voluntary HIV-AIDS counseling and testing for all its employees (forthcoming at KMT), sponsors an HIV-AIDS management program at each of its projects that includes appropriate medication, supports and participates in HIV-AIDS education programs for its employees, their families and the wider community in which it operates, supplies free condoms in the workplace and encourages all of its contractors and sub-contractors to develop and implement an HIV-AIDS policy. A community HIV-AIDS program has been initiated at Kolwezi, involving training of 71 peer educators to date, free condom distribution and the showing of awareness raising films in core villages. This program is also being extended to construction workers and will in due course involve the permanent operations phase workforce. Support has been obtained from the Clinton Foundation to provide pediatric care to HIV-AIDS afflicted children in FQM supported clinics in Zambia and the DRC. The immunization and HIV program components are run by a local medical doctor employed by FQM, who also attends the local village clinics on a weekly basis. Basic preventative hygiene advice is provided, such as how to avoid cholera and other gastro-intestinal diseases.
Emergency Preparedness and Response
FQM is committed to undertaking community health and safety risk assessments prior to undertaking any major activities, as described in the Community Health & Safety Plan contained in Annex A of the ESMP. This will include dissemination of information regarding the nature and extent of activities to be undertaken. Because potentially hazardous activities in the concession will be fenced off and will not be inhabited, there are very few direct risks to local land users.
Security Personnel Requirements
KMT has a Security Manager to oversee security matters. FQM/KMT is utilizing Brass Security to manage security on its concession. There have been no significant security-related incidents on site since construction began in 2007. A total of 104 Brass personnel are currently employed by the project for the construction phase, working in two shifts, two of whom are supervisors. In addition, there are eight DRC Police personnel seconded to the project, six of whom are on site daily. Under DRC laws, the police are the only members of the security cadre able to carry weapons and to make arrests. It is likely that the total number of security personnel will decrease during operations, once infrastructure is fully fenced in and once CCTV cameras have been installed.
FQM has committed to adhering to the Voluntary Principles on Security and Human Rights (‘Voluntary Principles’), which are regarded as best practice for extractive industry companies operating in difficult environments. This implies, amongst other things, that project-related security risks will be identified; private security personnel will be screened for prior human rights abuses, properly trained in how to deal with members of the public, have specific policies and procedures in place in relation to conduct and the use of force, and provide only defensive and preventative measures; that security-related incidents will be properly investigated and perpetrators be dealt with appropriately; and that the company will inform any public security agencies which may become involved in its affairs of its policies and preferences for dealing with third parties, and use its influence to promote human rights, appropriate use of force and the avoidance of violation of workers’ rights under national laws and ILO conventions. KMT has begun to operationalize the main components of the Voluntary Principles, starting with the provision of training to all security personnel. FQM is committed to full roll-out of the Voluntary Principles, as per the Action Plan.
PS 5 Land Acquisition & Involuntary Resettlement
Given the large project footprint and the geographic spread of project infrastructure and activities, economic displacement associated with the project is significant. This is comprised mainly of a loss of cropland, in the form of small scattered fields of cassava, maize, groundnuts, tomatoes, onions and scattered fruit trees cultivated using subsistence methods. Land acquisition has resulted from drilling programs during exploration, installation of monitoring wells and sterilization holes and the construction of project-related infrastructure such as access roads, the construction camp, plant area, Tailings Storage Facility (TSF) and management housing. Various documents were prepared by Adastra Minerals prior to FQM taking over the project, in consultation with affected parties, including an Interim Resettlement Action Plan (RAP) and a Land Acquisition and Compensation Plan (LACP, 2006) and a Framework Resettlement Action Plan (Annex B of the ESMP). Compensation payments have to date been made to over 900 households in accordance with the agreed procedures laid out in the LACP. The compensation program is ongoing. It appears to be a systematic, transparent and well documented process. Good records have been kept in the form of records of crop inventories, valuations, signed compensation agreements and receipts for all cash compensation transactions to date. Monitoring of the land status of households whose land has been acquired will be undertaken by KMT, as outlined in the Action Plan.
After FQM took over the project in 2006 and re-evaluated Adastra’s project design, it became evident the TSF would need to be enlarged and that that a small farming hamlet situated close to the new downstream edge of the TSF would need to be resettled for safety reasons. The affected settlement, named Samukonga, is a small cluster of traditional earthen huts and is home to 12 extended households (80 persons) who make a living mainly from subsistence farming. FQM has commissioned a RAP for Samukonga (attached), in accordance with IFC Performance Standard 5 ‘Land Acquisition and Involuntary Resettlement’. IFC discussions with the Chief of Samukonga have confirmed that the village is supportive of the proposed resettlement; that four alternative sites were considered and that one has been selected by the village and endorsed by the Paramount Chief of the area; that consultation with KMT has been ongoing and positive; and that alternative arable land has been identified for all affected households in suitable proximity to the new site. As per the RAP, new houses will be built for each household using improved materials and increased floorspace, pit latrines will be constructed for each house (currently villagers have no sanitation facilities), resettlement assistance will be provided via transport and a cash allowance and livelihood restoration measures will be implemented. Regular independent monitoring of RAP implementation forms part of the attached Action Plan agreed between FQM and various prospective lenders including IFC. The RAP contains a grievance mechanism to ensure that community issues are dealt with, and makes allowance for ongoing engagement between FQM and the project impacted households via several channels including a resettlement committee.
Artisanal mining has formed part of local livelihoods in the Kolwezi area since the breakdown of Gecamines, the state-owned mining company which formerly operated significant mines and processing plants in the area. The numbers of people involved in ‘stone picking’, as it is locally known, or the collection of heterogenite (cobalt oxide) ore, varies widely depending on metal prices, Government regulation and the extent of industrial mining activities. Several mines in DRC have faced reputational problems in dealing with illegal artisanal mining activities on their concessions. In almost all cases, artisanal miners and industrial mining houses were competing for the same resource. In KMT’s case, however, the company is targeting tailings material, whilst the artisanal miners are targeting ore, hence there is no direct competition between the two. As a result, KMT has adopted a strategy of living alongside artisanal mining, unless there is a potential health or safety related conflict between the two sets of activities. The Artisanal and Small-scale mining Strategy is included as Annex I of the ESMP.
At the time the Strategy was compiled, metal prices were high, several foreign-owned buying companies were active in the KMT concession and significant numbers of artisanal miners were active. Today, artisanal mining activities within KMT’s concession have been significantly curtailed by low metals prices, withdrawal of the foreign-owned buyers from Kolwezi and Government curbs on export of raw materials. It has also become clear since construction began that no artisanal miners will be displaced by construction activities. Nonetheless, FQM/KMT will continue dialogue with artisanal mining representatives via the Public Liaison Committee; ensure that security personnel understand FQM’s corporate approach to operating alongside artisanal miners; and develop appropriate management measures including site-level consultation should the need arise (or should FQM’s approach change) during Operations. These commitments are contained in the Action Plan.
PS 6 Biodiversity Conservation and Natural Resource Management
Protection and Conservation of Biodiversity
The ESIA contains separate specialist studies and associated impact assessment and mitigation plans with respect to aquatic ecosystems, fauna and flora. No protected areas or protected species have been identified within the concession area. Aquatic habitat in the Luilu and Musonoi Rivers, which will be most affected by the project, is extremely degraded. This is due to decades of unregulated effluent disposal by State-owned and private mining and metal processing companies as well as disposal of raw sewage direct to the river. The terrestrial fauna and flora studies found that 97 % of the project concession area is significantly degraded due to a combination of urban and peri-urban development, historical mining activities, slash-and-burn subsistence agricultural activities, charcoal making and past large-scale farming. Very little original Miombo woodland remains, and past disturbance has led to the existence of a significant number of invasive plant species within the concession area.
A few remaining pockets of natural habitat do exist, however, including two small patches of riverine forest and several natural and artificial wetlands. Although neither forest patch has particular conservation value at a regional scale – as vast areas of undisturbed Miombo forest exist across Katanga Province - these sites were identified as having some local conservation significance as ‘refuges’ for fauna and flora in an otherwise heavily degraded area. As a result, alignment of certain core infrastructure has been altered so as not to fragment these forest patches. The artificial wetlands are likely to disappear once tailings mining commences, due to changes in water level, whilst the water level in natural wetlands may be lowered due to water abstraction. On the other hand, new artificial wetlands are likely to form further downstream, which would offer similar ecosystem services to local communities. KMT will undertake regular construction and operations phase internal biodiversity monitoring to check for visible signs of change in known sensitive habitats. Annual operations phase independent external biodiversity monitoring reports will be commissioned covering Dambo 1 and riparian vegetation on Kanamwamba Stream, as mentioned in the Action Plan.
Water Supply
Water will be used in the reclamation of the tailings and in the process plant with a maximum make-up requirement of approximately 620 m3/h. This requirement will include return water from the Tailings storage facility, estimated conservatively at about 60m3/h, although during the wet season many times that volume will be available for use. A ground water investigation was undertaken as part of the ESIA/BFS to assess the existing ground water resources in the KMT Concession Area and to identify a suitable well-field for water abstraction. Water from the well-field will be pumped to the tailings reclamation area and as make-up to the plant site. The best aquifer identified is the Manga ore body. The Kingamyambo ore body could also potentially provide a water supply within the KMT concession area, although it is probably within the KOV cone of drawdown.
A water supply well-field will be created with boreholes producing at least 100-200m3/h abstracted from the CMN formation. The proposed well-field is within the KMT concession area, well placed for operations at Kingamyambo Tailings as well as the upper reaches of the Musonoi tailings deposit. The water quality is good (based on the 12-month dataset) with the exception of the high concentrations of ferrous iron and manganese present. Contamination from other sources is unlikely. As the sustainability of this abstraction rate has not been yet fully proven, it has been agreed in the Action Plan that FQM will carry out additional hydrogeological work including a modeling to ensure that no negative impacts will occur. Negative impacts are however considered to be unlikely as there are no other users exploiting this aquifer and no villages close to the site.
PS 8 Cultural Heritage
Protection of Cultural Heritage in Project Design and Execution
An Archaeological and ethnographical specialist study was undertaken during ESIA preparation. The KMT concession was found to be archaeologically poor. Archaeological evidence – such as pottery shards - encountered was found to relate without exception to the Iron Age, making it insignificant from an archaeological standpoint. With the exception of one site, all the sites identified had been disturbed via either Artisanal mining activities or industrial mining activities. None of the archaeological or sacred sites identified occur on within the project’s proposed footprint.
A number of sites of ethnographic importance were located in the concession area; including 12 cemeteries and/or grave sites, three sacred sites and one site used for conducting ceremonies. The most significant sacred site is the Muninga Forest (a short stretch of riverine forest some 20-40 m wide and several hundred meters long), in which human activities are restricted. This forest is visited for spiritual purposes. The other two sacred sites comprise the grave sites of local Chiefs’ families. The ESMP contains a dedicated Cultural Heritage Management Program listing actions to be implemented to safeguard these cultural resources. Key measures include the mapping and geo-referencing of known graves and graveyards, erection of signage around sites identified as being close to proposed project activities, routing of linear infrastructure to avoid these sites, establishment of a Chance Find procedure in case previously unknown sites are discovered during construction or operations, and timely relocation of gravesites in accordance with local custom should any of these need to be impacted.
