Jun 1, 2020

Trevali Mining Corporation issues 2019 sustainability report

Sustainability
Rare earth
William Smith
2 min
Vancouver, Canada-based base metal mining firm Trevali Mining Corporation has announced the release of its 2019 sustainability report
Vancouver, Canada-based base metal mining firm Trevali Mining Corporation has announced the release of its 2019 sustainability report.

The report estab...

Vancouver, Canada-based base metal mining firm Trevali Mining Corporation has announced the release of its 2019 sustainability report.

The report established new performance targets and disclosed the performance of the company, which operates globally. The majority of its revenue comes from three operational assets - Perkoa Mine in Burkina Faso, Rosh Pinah Mine in Namibia and Santander Mine in Peru - though it also owns mines in New Brunswick and Manitoba in Canada.

“Our second annual Sustainability Report marks another great milestone bringing us one step closer to fulfilling our purpose to become the world’s most sustainable underground mining company,” said Ricus Grimbeek, President and CEO, in a press release. “We were able to make significant progress in sustainability in 2019, while simultaneously achieving record metal production. We will continue to develop and adopt innovative practices, utilizing technology, which achieves net-positive outcomes for society and the natural environment, while delivering value to our shareholders.”

The company said it believed that metals critical to the world’s low carbon transition, such as zinc, lead and silver, needed to be mined sustainably - from both a social and environmental point of view. Such metals have uses in, for instance, batteries for renewable energy.

“In 2019, the HSEC Committee and the management team worked to revise the Company’s Standards for Community, Environment, Safety, Health, Security, Dams and Risk, to align them with the ‘Towards Sustainable Mining’ Protocols set by the Mining Association of Canada. The timely adoption of these Standards and practices have helped the company to ensure that its workforce and local communities are able to sustainably manage the ongoing risks posed by COVID-19,” said Richard Williams, Chair of Trevali’s Health, Safety, Environment and Community Committee.

Key achievements included a 47% reduction in injury frequency compared to the previous year, the setting of a 30% female senior leadership target and a greenhouse gas target to reduce emissions by 25% by 2025.

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Jul 22, 2021

BHP deliberates ditching fossil fuels for greener mining

mining
BHP
Fossilfuels
Sustainability
3 min
BHP are discussing the possibility of pulling out of a multi-billion dollar contract to distance themselves from fossil fuels and aim for greener materials

The world’s biggest miner, Australian-based BHP, is supposedly considering withdrawing from a multi-billion dollar contract, which would see the company generate more than US$2bn due to mounting pressure over aligning its business with ongoing climate concerns and ESG-compliance measures.

Exiting the agreement would mean BHP escalate its distancing from oil and gas and subsequently cut down on the amount of fossil fuels used by the company when mining. 

It’s estimated that the petroleum business being debated upon could actually be worth around US$15bn but is still under talks to be put up for sale. 

Global Mining Giant Considers Greener Future

BHP has made itself clear that it wants to avoid becoming unable to sell its assets. As competition within the market increases following higher numbers of oil giants wrestling with investors to deal with climate pressure, so too are the number of mining rivals looking to make environmental changes for the future. 

However, BHP currently has the upper hand as a stalwart mining company that established itself back in the 1960s, allowing it the time to grow and dominate over other fast-appearing mining competition. 

Mike Henry, BHP Chief Executive, has an optimistic outlook for the future of oil and gas despite worries over rising demand to align his business with the Paris Climate Agreement. Henry argues that prices remain promising due to a lack of industry-wide investment. 

BHP’s petroleum business won’t be easy to say goodbye to. Forecasted to generate around 6% of profits during the ongoing financial year (US$2bn), and around US$1.6bn revenue produced by BHP petroleum in the six months leading to December 2020, BHP is due to take a hit no matter what agreement they choose. 

On the other hand, distancing itself from thermal coal and petroleum would arguably aid the company’s case to possible - and valuable - investors who may be required to fund BHP’s increased output to places such as Australia and Mexico in the near future. 

BHP considers cutting billion-dollar contract to aid climate

An exit away from petroleum has the potential to be “a powerful corporate catalyst,” says Dominic Kane, Analyst at JP Morgan

“We believe an exit would likely ring-fence BHP’s exceptional cash flows for non-fossil fuel organic growth, mergers and acquisitions and generous shareholder distributions since BHP could avoid a major new capital investment phase this decade in petroleum.”

BHP is also set to sanction a giant US$5.7bn Canadian potash mine in August of this year, already seeing potash as a long-term substitute for gas and oil going into the future. The company has also previously announced plans to abandon its 80% share in its joint endeavour with Mitsui, owner of two lower-quality mines in Queensland, Australia. 

BHP is scheduled to report its annual results on August 17, after which it may become clearer on whether the company will choose to focus its shift to a low-carbon economy or whether it will stay with its current contract into the coming year.

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