Environmental & Social Review Summary
Project Number
9670
Company Name
Sinchi Wayra S.A.
Date ESRS Disclosed
Feb 5, 2010
Country
Bolivia
Region
Latin America and the Caribbean
Last Updated Date
Jan 2, 2017
Environmental Category
B - Limited
Status
Completed
Previous Events
Approved : Dec 16, 1999
Signed : Dec 27, 1999
Invested : Sep 7, 2000
Sector
Zinc
Industry
Metals and Mining
Department
Infra-WBG Dir. Minerals & Metals
Project Description
Environmental and Social Review Summary (ERS)
Project Name: Bolivia – Comsur V
Region: Latin America and the Caribbean
Sector: Mining
Project No: 009670
1. Compañía Minera del Sur ("Comsur"), a poly-metallic mining company in Bolivia and an existing IFC client, has requested IFC''s support to finance its capital expenditure program for the next five years. This investment is intended for the replacement of mining equipment, construction of shafts in three of its underground mines and the improvement of tailings dams. The capital expenditure program, will allow Comsur to achieve its production targets and remain a low cost zinc producer.
2. This is a category B project according to IFC’s environmental review procedure because specific impacts may result which can be avoided or mitigated by adhering to generally recognized performance standards, guidelines or design criteria. The review of the project consisted of two parts: i) the technical assessment and site review of Comsur’s current operations in Bolivia, and ii) the appraisal of environmental and social information submitted by the project sponsor, and completed by IFC’s and Environment and Social staff. The following potential environmental, health and safety and social impacts of the project were analyzed:
· Air emissions
· Water quality
· Tailings dams safety
· Occupational health and safety in relation to design construction and operation of new shafts
· Resettlement and land acquisition
· Public consultation
Comsur submitted to IFC an Environmental Impact Assessment Report, the company''s corporate environmental management system (EMS) and an Environmental Action Plan (EAP) for the continuing improvement of Comsur''s performance throughout its operations. The information provided by Comsur about how each of these potential impacts will be addressed in the development of the proposed project is summarized in the paragraphs that follow.
3. The main components of this project are: replacement of mining equipment (including locomotives and trucks); construction of new shafts in the underground mines of Bolivar and Colquechaquita, and deepening of the San Lorenzo shaft; and improvements in tailings dams of Bolivar (construction of a downstream-type stand-by dam) and Porco (increase the height of the Dam D crest).
Replacement of Mining Equipment. The new equipment is intended to replace mining, concentration, transport, health and safety equipment and environmental instrumentation in the following operations: Porco, Huari Huari- Don Diego, Comco, Bolivar, San Lorenzo – Colquechaquita and Puquio Norte. The replacement equipment will not produce adverse effects on the social or biophysical environment. However, if properly operated and maintained, the motorized equipment would improve the health and safety conditions of the operators and mine workers, and reduce air emissions that older –diesel operated- equipment produced. This component of the project includes the purchase of mine rescue and communications equipment, stretchers, first aid kits and fire extinguishers, which will directly enhance the safety and emergency response capabilities at the mines.
Construction of new Shafts in Bolívar, Colquechaquita and San Lorenzo. COMSUR has an adequate loss control procedure and an Occupational Health and Safety Manual, both compatible with IFC’s guidelines IFC. General Health and Safety Guidelines. September 1998., which are systematically applied in all its operations. The construction and operation of the shafts will be undertaken in strict compliance with the above Manual and according to international standards as agreed with the Australian firm Sinclair Knight which has been retained by Comsur in relation to the shafts’ mechanical equipment (winches) Guidelines for the Construction of Friction Winches (MDG 12). Department of Mineral Resources. New South Wales, 1992.. The new shafts will have the added value of improving ventilation in the mines and reducing the need for motorized equipment, thereby improving occupational health at the mines. No other significant environmental impacts are expected as a result of the implementation of this component.
The new shaft at Bolivar will increase mining activity in the lower levels, thereby reducing inconvenience (blasting vibrations) to the community of Antequera, which is located in close proximity to the mine. Nevertheless, property owners in Antequera are likely to continue offering Comsur their houses for sale. The company will mitigate, to IFC standards, any negative impacts on resident tenants should Antequera house sale proceed.
Improvement of Tailings Dams at Bolívar and Porco. The tailings dam at Bolívar is an upstream-type impoundment, which is difficult to operate under conditions of intense precipitation and runoff. Comsur is constructing a downstream-type stand-by dam which will aid in the management of the tailings during the wet season. In Porco, the firm is increasing the height of the crest of Dam D from 10 to 13 meters, which will increase the volumetric capacity of the impoundment, which will then be a “large dam” according to IFC’s safety of dams policy.
Comsur has retained the Canadian firm Agra Earth and Environment Ltd. to design and supervise construction of its tailings facility at Porco. The facility at Bolivar will also be constructed by an international consultant to international standards. In addition, Agra is responsible for training Comsur’s staff in order to ensure the highest degree of confidence in the stability and safe operation of the dams. As required by IFC’s Safety of Dams policy IFC. Safety of Dams Policy (OP 4.37), March 1999. , Comsur has committed to appoint an external expert to overview the process of design, construction and operation of the tailings dams. During construction of the dams, small amounts of dust and some noise will be produced in the neighboring area; however, in both Bolívar and Porco there are is no resident population in the vicinity of the dams to be affected by the construction activity.
All of Comsur’s tailing dams are operated under a zero-discharge regime. Following the improvement of tailings dams in Bolívar and Porco, the same regime will apply. As a result of this project, no impacts are expected on the quality of water or soil downstream the dams or, indeed, in the town and agricultural land in the area of influence of the project. These and all other tailings dams in Comsur’s operations will be reclaimed at the end of their useful life. Public consultation will be undertaken with communities downstream of both facilities to inform local communities about the work on, and improvements to the tailings facility such that concerns will not result from the work on the facility.
4. Based on its assessment of current activities, IFC’s Environmental Unit concludes that Comsur is in compliance with Bolivian and IFC/World Bank environmental and social requirements. On the basis of the review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that the proposed project will also meet the above-mentioned requirements.
5. IFC will monitor the implementation of Comsur''s EMS, the agreed EAP and the ongoing compliance with IFC/World Bank environmental, health and safety, and social policies and guidelines during the lifetime of the project by evaluating reports submitted annually to IFC by Comsur and by conducting periodic supervision.
Environmental and Social Mitigation Measures
Broad Community Support
Related SII
