Lundin Mining Corporation

Social Responsibility

Lundin Mining aims to create sustainable value in host communities and countries in which we operate. This is carried out through a number of resources and it is important that local communities have ways of expressing their concerns. Each Lundin Mining site around the world has a Community Communication Plan that describes the main Communities of Interest for the mine and the site's assessment of the best ways to meet their various information needs. These include direct contact with community representatives, newsletters, mine visits, and tours.

Lundin Mining also makes social contributions to local communities and more specifically their children, a priority. In Neves-Corvo, a healthy eating habits program was established to help fight childhood obesity, while in Zinkgruvan, we have donated to the "child cancer fund" and "cancer sick kids," two programs that greatly benefit children in need.

Lundin Mining is also part of the Lundin Foundation, a private philanthropic organization established in 2005. The foundation provides seed grants, technical assistance and capital to innovative small and medium-sized businesses and social enterprises with the potential to impact large numbers of individuals live at, or near, the base of the economic pyramid. Lundin, as of January 1, 2013, entered into a partnership where 0.1% of annual operating revenues are furnished to the Foundation.

Human Rights

Lundin Mining's values require that all of our employees are treated with respect and dignity, and we are committed to providing equal opportunity and freedom from discrimination for all of our employees and contractors. The company is also supportive of the Voluntary Principles on Security and Human Rights, which provide guidance to companies maintaining the safety and security of their operations within an operating framework that ensures respect for human rights and fundamental freedoms.

In 2013, the company's sites that are operational or under construction are in Europe and the United States, where human rights are constitutionally protected by host governments. Our involvement in the Tenke project in the DRC, however, coupled with expansion opportunities in developing countries, continues to sharpen our focus on risks related to human rights and business ethics. TFM provides human rights education and training to its own employees and contractors who are obligated to comply with the TFM Human Rights Policy. In coordination with the United Nations Organization Stabilization Mission in the DRC ("MONUSCO"), TFM conducts ongoing security and human rights training sessions with representatives from civil society, local and territorial police forces, the Mines Police, and TFM employees to promote capacity building and awareness.

Tenke Fungurume Mining ("TFM")

Tenke Fungurume Mining, in which Lundin Mining holds a 24% stake, is the largest private foreign investment in the Democratic Republic of the Congo ("DRC"). TFM's operations were designed and constructed using leading-edge technology and following international best practice standards for environmental management, occupational safety and social responsibility. Since 2006, TFM has invested more than $77 million in community development projects, with 0.3% of all net metal sales revenue being set aside to fund the TFM Social Community Fund, which has totaled $15.7 million thus far.

With recent TFM expansions, local farmland and households have been impacted. In many cases, physical and/or economic displacement could not be avoided, and thus a community Resettlement Action Plan ("RAP") has been developed and implemented for each mine expansion site. Since the opening of the TFM mine, 449 resident households and farmlands associated with these households have been relocated, with compensation going to owners. RAP provides not only relocation, but also improved housing, livelihood restoration, access to clean water, health centres, and schools.

The TFM concession area compromises a rapidly growing 225,000 residents. TFM prioritizes the hiring of workers from the communities closest to the operation, and as such, the company provided employment to approximately 3,500 full time operational workers and 4,200 contractors in 2014, of which pproximately 98% of the operational employees and 91% of the contract workforce are DRC citizens.

As the largest private foreign investor in the DRC, TFM values its role as a model for successful investment in the country. Lundin Mining works to ensure that TFM is an investor who stands by its commitment to build a world-class operation and infrastructure, fulfills its financial obligations, provides employment opportunities for the national workplace, and operates in an environmentally and socially responsible manner. All of these commitments come across in TFM's community development strategies, which include the following aspects:
  • Alignment of TFM programs with local, provincial, and national development priorities
  • Addressing basic community needs and infrastructure such as potable water, access to health care, basic education and economic development
  • Creating employment opportunities and income generation for non-TFM employees through skills training, micro-credit facilities and agriculture extension support
  • Building capacity among the local community in partnership with government and local NGO's for long-term ownership and sustainability