De Beers passes Newmont to lead ESG ranking of global miners
The world’s biggest diamond producer may not be the first name that comes to mind in a ranking of top environmental, social and governance (ESG) performers. But that’s what the latest industry survey revealed.
De Beers scored the highest in London-based Alva’s quarterly rating of ESG perceptions this week gleaned from publicly available content from social media to NGO research. The unit of Anglo American Plc snagged the top spot in the first quarter from gold heavyweight Newmont due to an increased focus on equality and sustainability.
The report showed the mining industry as a whole lifted its ESG rating amid a string of greenhouse-gas pledges, which offset water management and waste concerns. Companies around the world, particularly raw-material producers, are stepping up sustainability efforts amid heightened scrutiny by the general public and investors. ESG and value-focused exchange-traded funds recorded net inflows of $89 billion in 2020, almost three times 2019 levels, according to Bloomberg Intelligence.
Sibanye Stillwater Ltd. scored the second-highest in Alva’s ratings report and showed the biggest improvement from the previous quarter due to its partnership with Johnson Matthey Plc to find more efficient uses of critical metals used in batteries.
Vale SA scored the lowest ESG rating despite reaching a settlement with Brazilian authorities over a 2019 dam disaster. Vale’s result “is a combination of greater visibility around the original negative story and then dissenting voices on the settlement itself,” said Alastair Pickering, co-founder and chief strategy officer at Alva.
Ma'aden celebrates 5th anniversary of Vision 2030
Saudi Arabian Mining Company (Ma’aden), one of the world’s fastest-growing global mining companies, celebrates the fifth anniversary of Saudi Arabia’s Vision 2030. The Kingdom’s mining champion highlights key achievements since the Vision 2030 launch and plans that reflect its commitment to the Kingdom’s social and economic development.
The Kingdom has implemented significant incentive programs and announced major reforms in the last five years to accelerate the development of the mining industry as a strategic pillar of the Saudi economy, including the recently launched mining investment law to attract investors and pave the way for the full utilisation of Saudi Arabia’s mineral resources, which are estimated to be worth more than $1.3trn. This goes in line with the objectives of the National Industrial Development and Logistics Program (NIDLP), one of the most important programs for achieving Vision 2030.
Ma’aden has kept its projects across a range of commodities moving on a strong growth trajectory since 2016. The company has expanded its investment portfolio, refinanced key projects, and made its first international acquisition, laying the foundation for future growth and new investment opportunities in the Saudi mining industry. Despite some challenges in 2020 due to COVID-19, Ma’aden managed to maintain its agility and remained focused on its goal to become a global Saudi mining giant, while adhering to the highest standards of health, safety, and environment.
Located on the east coast of Saudi Arabia, Ras Al-Khair Industrial City jumpstarted the mining industry development in Saudi Arabia, leveraging the country’s strategic location in connecting three continents. In November 2016, Ras Al-Khair Industrial City was further expanded and connected via railway to Ma’aden’s bauxite mine in Qassim and phosphate mine in Al Jalamid, making it a cornerstone of the Kingdom’s mineral and metal production and export industries.
Ma’aden’s integrated ‘mine to market’ aluminium value chain is the largest in the Middle East and one of the largest in the world, with investments over $11bn. Aluminium products of the highest international standards are sold to both domestic and global markets, encouraging the development of additional downstream aluminium-based industries in Saudi Arabia and neighboring countries. Operations are centered around the largest and most efficient vertically integrated aluminium complex in the world, in Ras Al Khair Industrial City, which also houses sulfur and phosphate production facilities.
Intending to capture the full value of Saudi Arabia’s significant phosphate reserves and develop new mining and mineral activities, in 2018, Ma’aden celebrated the inauguration of the industrial city of Wa’ad Al Shamal by the Custodian of the Two Holy Mosques King Salman bin Abdul Aziz. Wa’ad Al Shamal is a world-class industrial and mining city in the Northern Borders region of Saudi Arabia. This phosphate super hub will continue to grow with Ma’aden’s latest phosphate megaproject, which is primed to increase phosphate fertilizer capacity to reach 6 million tonnes, making Ma’aden the world’s third-largest producer of phosphate fertilizer and Saudi Arabia the second largest global exporter.
In 2018, Ma’aden also acquired an 85% stake in Meridian, the Mauritius-based fertilizer distribution group, strengthening its position as one of the world’s largest producers and exporters of phosphate fertilizers. This acquisition marked Ma’aden’s first investment outside the Kingdom, in line with the company’s goal to expand globally and significantly contribute to the Kingdom's Vision 2030.
In 2019, Ma’aden commenced construction of the Mansourah and Massarah gold mine, the company’s largest-ever gold project and the Kingdom’s first project to utilize solar power as an energy source. Once operational, the mine and its processing facilities will have a key role in achieving Ma’aden’s target of producing 1 million ounces of gold per year by 2025.
These accomplishments are all due to the steppingstones set by the Saudi Vision 2030, which laid the foundations for creating an attractive environment for local and foreign investments in promising growth sectors and unlocking new ones, in addition to developing remote areas, bringing technologies and knowledge to the Kingdom, establishing specialized and modern industrial cities, and generating diverse job opportunities for Saudi nationals.