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Conference underscores sustainable mining practices

ESG DISCUSSIONS
Minerals Council South Africa CEO Mzila Mthenjane (left) and Professor Gordon Smith (right) in discussion at the ESG Conference

ESG DISCUSSIONS Minerals Council South Africa CEO Mzila Mthenjane (left) and Professor Gordon Smith (right) in discussion at the ESG Conference

29th November 2024

By: Simone Liedtke

Creamer Media Social Media Editor & Senior Writer

     

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As the African mining sector faces increasing pressure to integrate environmental, social and governance (ESG) principles, the inaugural ESG Conference – organised by mining, metallurgical and related sectors professional institute the Southern African Institute of Mining and Metallurgy (SAIMM) – “underscored the urgent need for sustainable practices across the industry”, said SAIMM conference organising committee chairperson Professor Gordon Smith.

Held at Glenburn Lodge and Spa, in Gauteng, the conference saw more than 100 delegates attend from diverse fields within mining to discuss how ESG can reshape the sector in the coming decade.

Reflecting on the conference’s discussions, Smith projected that ESG will become increasingly integral to mining operations in Africa.

“The sector is moving toward embedding ESG as a standard,” he stated, adding that while challenges such as regulatory complexities and economic pressures remain, a commitment to responsible mining could help align the industry with Africa’s sustainable development goals.

At the event, speakers called for sustained research and innovation in mining practices, emphasising that frameworks, such as CEO-leadership collective ICMM’s Ten Principles and the United Nations’ Sustainable Development Goals, are adaptable to the African context.

Smith acknowledged that informal and illegal mining, which are persistent issues across the continent, will require ongoing attention in future discussions.

The conference also emphasised several challenges facing African mining as it grapples with global regulatory standards, economic pressures and a mounting climate crisis.

He noted that current conditions often drive short-term thinking, which can undermine long-term sustainability efforts, and that the urgency to meet ESG benchmarks without fully integrating them, has fuelled perceptions of so-called green- washing.

This has led to the risk of sustainability goals being treated as compliance exercises, rather than core operational principles, stressed Smith.

To address this, the conference highlighted that real-time data collection and management are crucial for effective ESG reporting. By embedding these practices into core operations, mining companies can take a proactive approach to ESG, aligning business practices more closely with both regulatory requirements and evolving community expectations.

The conference also explored other environmental sustainability measures within the industry, such as water conservation, energy efficiency and biodiversity protection as central topics, with an emphasis on an “industrial ecology” approach that treats mining operations as interconnected ecological systems, highlighted Smith.

He noted that while sustainability initiatives face economic and regulatory scaling challenges, integrating these efforts with national goals, such as renewable-energy initiatives, could support long-term industry viability.

“Achieving a sustainable industrial ecosystem in mining requires more than compliance,” he said, adding that this strategy could help companies reduce their environmental impact while still achieving economic goals.

Social Licence to Operate

Another key takeaway from the ESG conference was the concept of a mining operation’s social licence to operate (SLO), which speakers described as a critical component of sustainable mining.

In South Africa, while mining companies invest heavily in social and labour initiatives, local community expectations often remain unmet, pointing to gaps in engagement.

According to Smith, an SLO must go beyond regulatory mandates, requiring companies to actively build trust and transparent relationships with host communities.

“Securing genuine community trust is essential,” he says, explaining that mining companies must address a wide array of local expectations and engage stakeholders meaningfully to foster long-term acceptance of their operations.

Edited by Donna Slater
Features Deputy Editor and Chief Photographer

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