_________________________________________________________________________________________________ Main interview
challenge is that when something goes wrong , the whole sector is impacted . As such , you can ’ t isolate yourself from a disaster that may happen at a competing company . Standards need to be consolidated and investors need to be very clearly aligned behind that consolidation rather than proliferating additional ESG requests and asks . There needs to be a frank discussion with companies around the ways that we incentivize the most socially responsible approach to mining , while being alert to the likelihood that future demand will further drive potential conflict .
“ In terms of tailings dams , for example , there wasn ’ t a global standard but there is now . The commission builds on the experience of the investor led response following the Brumadinho dam disaster . This response has led to company disclosures of their facilities , a global standard developed together with industry and the UN , and we are close to the formation of an independent global institute to support the auditing of individual mines and their adherence to that standard .
“ We are seeing practical evidence of operational change but that can always be improved upon ,” Adam emphasizes . “ I met with several communities across southern Africa and , one message about the transition that
Change is always difficult , but we can achieve more engagement by having clarity around that socially responsible vision ...
really came across was that when we look back in ten years ’ time , we want to see a legacy of positive impact on those communities and environments rather than a negative one riven with conflict . Many of those communities are not necessarily opposed to the presence of extraction and we need to work hard to achieve a positive and welcome impact .
“ I ’ m encouraged by the companies with which I interact ,” Adam concludes . “ Change is always difficult , but we can achieve more engagement by having clarity around that socially responsible vision , and then enabling finance to play a supportive and constructive role . It ’ s important that we don ’ t just wait for regulation , we can always strive to advance best practice and work towards achieving socially responsible mining . That is how companies , and the industry , will secure their social license , and investors are key to this .” ■
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