International finance corporation wmmf 2008 l.jpg
This presentation is the property of its rightful owner.
Sponsored Links
1 / 8

International Finance Corporation WMMF 2008 PowerPoint PPT Presentation


  • 67 Views
  • Uploaded on
  • Presentation posted in: General

IFC EARLY EQUITY MANAGING RISKS IN FRONTIER COUNTRIES. International Finance Corporation WMMF 2008. Challenges and Risks in Frontier Countries. Governance/Political Revenue Management Environmental Management Achieving Sustainable Communities

Download Presentation

International Finance Corporation WMMF 2008

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


International finance corporation wmmf 2008 l.jpg

IFC EARLY EQUITY

MANAGING RISKS IN FRONTIER COUNTRIES

International Finance CorporationWMMF 2008


Challenges and risks in frontier countries l.jpg

Challenges and Risks in Frontier Countries

  • Governance/Political

  • Revenue Management

  • Environmental Management

  • Achieving Sustainable Communities

  • Necessary Associated Infrastructure in Undeveloped Regions

  • NGOs/Civil Society: Biodiversity Issues, Indigenous Peoples, Transparency, Benefits Sharing,etc

  • Artisanal Mining

Industry context


Ifc contribution examples l.jpg

IFC Contribution - Examples

World class standards in environmental, social, health and safety review (IFC Standards are basis for Equator Principles). Examples:

Help ensure successful community/stakeholder consultations, obtaining social license

Help ensure successful implementation of resettlement and influx management

Well respected “Honest Broker”, assist in interactions between:

Governments and client companies;

local and international NGOs and client companies and governments

Facilitate discussions with local government, World Bank, and other donors/development institutions on necessary associated infrastructure

Provide technical assistance for supplier linkages, local economic development, vocational training, local government capacity

Internal Corporate Governance group to assist pre-IPO companies

WMMF 2008 3

Industry context


Examples of value added on early equity investments l.jpg

Examples of Value Added on Early Equity Investments

Simandou – Rio Tinto Guinea

Honest broker role in resolving the stalemate between Rio Tinto and the Government of Guinea on the mining concession for the project

Honest broker / advisory services role in advising the Rio Tinto and Government on transportation solutions for the export of iron ore from the country

Assistance on environmental and social assessments during the pre-feasibility for the project

Guyana Gold

Engaged with Guyana Gold and WWF to conduct rapid biodiversity assessment of project area due to potential sensitivity on rainforest issues

Recently launched a community health initiative with Guyana Gold to increase scope and sustainability of medical outreach to local community

WMMF 2008 4

Industry context


Examples of value added on early equity investments5 l.jpg

Examples of Value Added on Early Equity Investments

Kolwezi Tailings – DRC

World Bank advised DRC Government on new mining code to attract foreign investment under fair, transparent, and sustainable conditions

IFC worked with Government and original Sponsor (Adastra) to restructure concession under new mining code

IFC environmental and social specialists worked with Adastra during the pre-feasibility study stage

Many of these initiatives can mitigate the additional risks faced by mining companies in frontier countries

WMMF 2008 5

Industry context


Ifc early equity program l.jpg

IFC Early Equity Program

Importance of Engaging at the Beginning of the Project Cycle

Exploration stage – pre-feasibility

$3-$15 million equity investment

Expedited review, appraisal, and disbursement process

IFC’s investment opens door to in-house technical, environmental, and social specialist resources and technical assistance programs

Helps companies prepare projects for project development/financing stage, and in many cases IFC subsequently provides debt financing for project development

Early stage engagement enables IFC to partner with the project sponsor and help mitigate risk going forward

WMMF 2008 6

Industry context


Selection criteria l.jpg

Selection Criteria

Sponsor/Management Team Reputation and Quality, Commitment to E&S and Development Impact

Potential For IFC/WB Value Added: E&S Risks, Community Development Plans, Government Policy and Political Risks, Infrastructure Needs

Host Government Transparency and Governance

Relationship With Local Communities

Outstanding Geology & Technical Feasibility

Attractive Risk/Reward Tradeoff

Please speak with us if you have a

project that meets these criteria

WMMF 2008 7

Industry context


International finance corporation world bank group mining investments division l.jpg

International Finance CorporationWorld Bank Group Mining Investments Division

Natalie Halich

Senior Investment Officer

+1 202 473 1902

[email protected]

2121 Pennsylvania Avenue, N.W.

Washington, D.C. 20433 – U.S.A.

WMMF 2008 8


  • Login