Africa learns from dam collapses
AFRICA’S mining industry has been encouraged to more closely monitor the lessons still being learned from Brazil’s highly public and fatal tailings dam failures, so as not to repeat the same risk factors when negotiating mine rehabilitation agreements.
Speaking on the third and final day of the Paydirt 2019 Africa Downunder mining conference in Perth, Herbert Smith Freehills’ Africa Group director, Matthew Burnell, said risk awareness had increased after the Brazilian dam collapses.
“We are seeing increased and elevated fiduciary assessments by mining board directors of the risk integrity of company exposure to dam incidents,” Dr Burnell said. “There is a growing consolidation of the legal, corporate and social requirements that miners can now be expected to apply to the management of tailings dams regardless of whether they are current or former dam owners.
“This consolidation includes pulling together the legislative risks and possible opportunities to mitigate these risks in respect of existing and historical dams, contractual legacy claims, claims against sub-contractors, what insurance provisions were or are in effect and their adequacy, indemnity agreements for directors and whether they are relevant or sufficient, and a revision and update of any existing emergency incident plans.”
Mr Burnell said that critically, the awareness should result in better management of incidents, from notification of stakeholders through to immediate mitigation measures, long-term corrective measures for a failed dam and long-term monitoring and preventative measures.
He said the improved enlightenment came at a time African miners, like their counterparts in other major jurisdictions, were also having to come to terms with emerging risks regarding the resilience of mines to climate change, and how the introduction of new technology may impact on the mental well-being of employees in the mining sector and job security.
There is also increasing intense public focus on mine waste supply chains, and social pressures on boards and management from shareholders and pressure groups to adopt heightened climate change protocols which are separate to the framework and contractual obligations under which a mine may have been established.