CSR Seminar, Corporate Social Responsibility, December 9 th 2008, Santiago, Chile

1. Multi-stakeholder dialogue and community capacity building: leading practices and toolsNathalie Ross, Minerals and Metals Sector, Natural Resources Canada CSR Seminar, Corporate Social Responsibility, December 9th 2008, Santiago, Chile Canada’s Natural Resources – Now and for the Future

2. Canada’s Minerals and Metals Industry… …is a major contributor to the economy… • 185 mining reliant communities • Socio-economic development and job creation • Major employer • 363,000 Canadians in all stages across Canada …and also benefits Aboriginal communities in Canada • Employment, training and transferable skills • Direct and indirect economic and business opportunities • Improvements in community infrastructure and social fabric Canada’s Natural Resources – Now and for the Future

3. Mining practices in Canada and Aboriginal participation • Environmental practices • Companies must meet all environmental standards and laws • Mining industry adopted voluntary guidelines and protocols for responsible development • Aboriginal engagement • Consultation and project review allow Aboriginal people to express concerns, give input and develop shared solutions. • Early dialogue is the best way to successful partnership • Traditional knowledge can help with informed decisions on environmental protection Canada’s Natural Resources – Now and for the Future

4. Aboriginal involvement in decision-making related to mining projects • The situation has advanced in the last decade • Today, Aboriginal are engaged in the mining sector through: • Legal Duty to consult and accommodate should Aboriginal and Treaty rights be impacted • Consultation guidelines/protocols in many provinces/territories • Voluntary Aboriginal policies and codes of conduct adopted by companies (“good business practices”) • Tools developed by industry associations to assist companies Canada’s Natural Resources – Now and for the Future

5. 35 34 9 11 69 72 74 30 36 70 31 32 18 19 20 75 24 21 22 23 10 71 33 73 25 26 5 27 29 12 13 14 28 4 43 16 17 15 3 7 8 53 45 46 50 51 47 61 63 66 48 62 49 67 60 1 59 6 65 56 57 55 52 2 68 64 58 42 54 44 40 41 37 39 38 Aboriginal Participation in Mining - Agreements Partnership agreements are key to increasing Aboriginal participation in the mining sector … • Exploration Phase: • Exploration agreements/MOUs are on the rise • Provide framework for Aboriginal participation (employment, training and business opportunities) • Production Phase: • Impact and Benefits Agreements are common practice • A way to strengthen relationships and partnerships • A flexible tool for managing impacts and maximizing benefits • More than 40 IBAs signed Canada’s Natural Resources – Now and for the Future

6. Aboriginal Participation in Mining – Agreements (e.g. IBAs) • Why are IBAs negotiated? • Good practice by the mining industry on a voluntary basis (Corporate Social Responsibility) • Can improve project investment climate • Required in a few instances (Settled Land Claims Agreements) Canada’s Natural Resources – Now and for the Future

7. Aboriginal Participation in Mining – Impacts & Benefits Agreements What are the main provisions included in IBAs: • Economic and business opportunities • Priority contracts to local businesses, assistance in developing local businesses) • Employment and training • Social, cultural and community support • Financial provisions • Environmental protection • Post-closure wellness strategy • Heritage protection • Dispute resolution Canada’s Natural Resources – Now and for the Future

8. Aboriginal Participation in Mining – Impacts & Benefits Agreements • Diavik Diamond Mines Inc./ Diamonds (Northwest Territories) • Goods/services purchased from Aboriginal companies • +$1 billion spending with Aboriginal businesses • Scholarships ($1.2 M since 2001) • Aboriginal employment strategy • 40% Aboriginal Workforce Canada’s Natural Resources – Now and for the Future

9. Aboriginal Participation in Mining – Impacts & Benefits Agreements • Raglan Mine, Xstrata/ Nickel-copper • Profit sharing • Goods and services purchased from local Aboriginal suppliers • Target Inuit workforce • Inuit Training Plan - (to employ Inuit at all skills levels) • Education Fund • Traditional Inuit knowledge used in setting shipping season (www.xstrata.com) Canada’s Natural Resources – Now and for the Future

10. Cooperation between the mining industry and Aboriginal communities In resource development, First nations and the mining community are natural partners… • In March 2008, the Prospectors and Developers Association of Canada has signed a historical agreement (MoU) with the Assembly of First Nations (AFN) that: • Complements the growing relationships between First Nations and Canada’s major mining companies • Lays the foundation for cooperation between the two organizations • The Mining Association of Canada has also entered into a dialogue for the development of a MOU with the AFN on a new partnership related to sustainable development Canada’s Natural Resources – Now and for the Future

11. Natural Resources Canada/Minerals and Metals – Mandate, Partners NRCan/MMS … • Mining industry (associations) • Aboriginal communities and organizations • Other federal departments (e.g. DFAIT) • Provincial/territorial governments • Encourages dialogue and partnerships between the mining industry, Aboriginal groups and governments • Promotes capacity-building and economic and business development • Supports environmentally and socially responsible mineral development • Generates information products and tools for sound decision-making …working in collaboration with various partners Canada’s Natural Resources – Now and for the Future

12. Natural Resources Canada/Minerals and Metals Sector –Information and Tools Help build community understanding of mining through dissemination of information/tools such as: • Mining Video: Our Community…Our Future: Mining and Aboriginal Communities • Information Bulletins on Mining and Aboriginal Peoples • Check List for Mineral Companies • Map of Agreements • Mining Information Kit for Aboriginal Communities Canada’s Natural Resources – Now and for the Future

13. Natural Resources Canada/Minerals and Metals Sector –Initiatives and Tools • “Mining Information Kit for Aboriginal Communities” • Four modules: Mineral Exploration, Mine Development, Mine Operation, Mine Closure • Content: • Description of activities • Opportunities to get involved • Acts and regulations • Environmental and social impacts • Employment and business opportunities • Community experiences (www.nrcan.gc.ca/mms/abor-auto/mine-kit_e.htm) Canada’s Natural Resources – Now and for the Future

14. Natural Resources Canada/Minerals and Metals Sector –Activities and Tools Norway Mexico Mali, DRC Philippines Ecuador New Caledonia Peru Australia Canada’s Natural Resources – Now and for the Future

15. Natural Resources Canada/Minerals and Metals Sector –Activities and Tools • Exploracion minera • Desarrollo de minas • Operacion minera • Cierre de minas Canada’s Natural Resources – Now and for the Future

16. Natural Resources Canada/Minerals and Metals Sector –Activities and Tools • Five leaflets targeting local communities • Communication tool to promote a better understanding • Provide balanced information to enhance dialogue between communities and companies Canada’s Natural Resources – Now and for the Future

17. Natural Resources Canada/Minerals and Metals Sector – Activities and Tools Contributing to capacity building in Canada and other countries… • Philippines • Capacity-building workshops for the National Commission for Indigenous Peoples andlocal Indigenous cultural communities • Other countries • Presentations on Aboriginal community engagement in the Canadian mining sector Representatives of the National Commission for Indigenous peoples (NCIP). Photo: NCIP …and helping Indigenous communities make informed decisions Canada’s Natural Resources – Now and for the Future

18. Thoughts To Take Away… • Mining can make a significant contribution to the prosperity of Aboriginal communities in Canada and elsewhere • Early engagement can lead to greater community support and a positive investment climate • Agreements provide a basis for mutually beneficial, long-term relationships • Building community understanding and capacity through sharing of information and tools. • Canadian approach can be exported but needs to be adapted to specific context (political, economical, social…) Canada’s Natural Resources – Now and for the Future

19. For more information: • Visit our Website: • Natural Resources Canada/ Minerals and Metals Sector: (www.nrcan.gc.ca/mms) • Or send an email to: • questions@nrcan.gc.ca Thank you! Canada’s Natural Resources – Now and for the Future