Risk Mitigation & CSR in Africa and Emerging Markets 28 April 2011

1. Risk Mitigation & CSR in Africa and Emerging Markets 28 April 2011 Centre for Excellence in Corporate Social Responsibility

2. Canada, its provinces and territories, still provide some of the most attractive jurisdictions to explore and extract worldwide Survey in 2007 shows there are even more operations run by Canadians outside Canada than in Canada TSX is host to more mining exploration and extraction companies than all the other stock exchanges (Canada: 1557, Rest of World: 992) A similar situation applies to Oil and Gas Context for a Canadian CSR Strategy

3. Canada encourages and expects Canadian firms operating abroad to respect all applicable laws, international standards, and to reflect our values and international commitments. Canada supports and encourages the Canadian business community to develop and implement CSR standards, tools, and best practices. There is, however, a limit to what companies can provide to support social, health, environment, and education concerns of the communities within which they operate. Host governments are responsible for legislation that meets the needs of their citizens. Canada is active in fostering and promoting CSR at bilateral and multilateral levels. Canada’s CSR Approach Canadian Trade Commissioner Service

4. Role of Missions Abroad in CSR Report on local CSR issues Engage host governments Advise companies of Canada’s CSR expectations Facilitate dialogue without getting in the middle Canada Foster informed debate without getting in front Refer clients to information, tools, guidelines Invite experts and speakers on CSR Support internationally accepted standards & guidelines Canadian Trade Commissioner Service

5. Context for a Canadian CSR Strategy Building the Canadian Advantage A CSR Strategy for the Canadian International Extractive Sector The Strategy comprises 4 pillars: Promotion of Voluntary CSR Performance Guidelines CSR Centre for Excellence Extractive Sector CSR Counsellor Host Government Resource Capacity Building

6. Role of Missions Abroad in CSR Report on local CSR issues Engage host governments Advise companies of Canada’s CSR expectations Facilitate dialogue without getting in the middle Canada Foster informed debate without getting in front Refer clients to information, tools, guidelines Invite experts and speakers on CSR Support internationally accepted standards & guidelines Canadian Trade Commissioner Service

7. CSR Centre for Excellence The Strategy calls for the development of a CSR Centre for Excellence in an existing institution outside government that will provide: • Identify, develop, and disseminate, in collaboration with stakeholders, relevant information on CSR for clients in government, civil society and industry • Develop CSR information packages for targeted markets and proactively sponsor briefings • “Community of practice” web-based public platform for stakeholders to share information • Develop an in-house inventory of Canadian company CSR contacts, activities and best practices

8. Emphasis on multi-stakeholder organizations Provide information and tools for all, including multi-stakeholder organizations, companies, government, civil society organizations and communities Based on cooperation between the multi-stakeholder organizations Assist in difficult discussions

9. Build the basis 3 consultation session with multi-stakeholder organizations were held: July 2009 – Ottawa August 2009 – Vancouver November 2009 – Calgary, Toronto, Montréal Established the InterimExecutiveCommittee Canadian Institute of Mining, Metallurgy and Petroleum (CIM) to host

10. Proposed Operating Model Canadian Centre for CSR Academics, Civil Society Organizations, Companies, Indigenous groups, Educators, General Public, Government, Foreign Governments, Investors/ Financial Institutions, Media, Practitioners • Consumers of knowledge will have unrestricted access to the full range of information. Some information will be available free-of-charge, some of it will require “registering”, while some will be available for a fee (depending on source). • Interim Committee • Responsible for getting Centre established and building platform for its sustainability Knowledge out • Community of Practice • A central web-based database of research, tools, best practices, training materials and experts • Advisory Panels and Roundtables • Represents a spectrum of interests, experience • Provides unrestricted input on material issues Knowledge in Research Tools Case Studies Training Materials Contact Registry Partner-ships Contact centre • Sources of knowledge will include but not be limited to national and international contributions from: industry, consultants, all levels of government, indigenous groups, academics and civil society organizations

11. Set immediate priorities for key operational issues Outline the Centre’s long term funding model and processes Prioritize Roundtable issue topics Human rights, China, Junior Mining, Oil & Gas, Competitiveness, Benchmarking, Mapping, others Confirm pace of roll-out to other industries Outline a marketing and communications strategy Formalize partnerships Detail roadmap, function and reporting framework, including performance indicators Priorities for the interim committee

12. Current status of the Centre • Interim Executive Committee dissolved • Executive Committee established (members have terms ranging from 1 to 3 years) • Sub Committees established: • Funding • Strategy & Governance • Content & Communication • Nominating • Co-Chairs • Julie Gelfand, MAC (industry) • Ian Thomson, Kairos (Civil Society) • Website (http://www.cim.org/csr/)

13. CSR CFE Website

14. Thank you for your attention Questions?