ENVIRONMENT, SAFETY AND SOCIAL DATA REPORT 2020

Page created by Clyde Ortega
 
CONTINUE READING
ENVIRONMENT, SAFETY AND SOCIAL DATA REPORT 2020
ENVIRONMENT, SAFETY
AND SOCIAL DATA REPORT
2020
ENVIRONMENT, SAFETY AND SOCIAL DATA REPORT 2020
CEO’S
STATEMENT

                                                                   “
This is the fourth report presenting our Company’s                     The Company is committed
performance against a number of environmental, safety
and social standards. In addition to providing an overview             to extracting resources responsibly
of our performance, the report also confirms our                       and our sustainability strategy guides
commitment to transparency and a recognition of the
Company’s impact locally, regionally and on the broader
                                                                       us in everything we do. Recently,
global environment.                                                    we reviewed our approach to climate
The Company has always been committed to extracting                    change and published our Climate
resources responsibly and our strategy on sustainability is            Change Statement on the Company
an intrinsic part of everything we do. Recently, to formalize
this commitment we have published our approach to                      website. Over the next few years,
climate change. The approach includes the integration of               we will be setting progressive and
climate change and energy issues and impacts into our
                                                                       realistic targets with an identified

                                                                                                “
decision making and strategic planning. Over the next
years, we will be setting progressive and realistic targets            pathway to achievement.
with an identified pathway to achievement.

First Quantum is committed to continuous improvement
through its environmental, safety and social management
systems, which are subject to regular external audits.
I hope you will find the information presented herein both
informative and useful, and I look forward to reporting
on our environmental, safety and social performance
in future years.

Philip K. R. Pascall
Chief Executive Officer

Front Cover: West Lunga River – West Lunga National Park, Zambia
ENVIRONMENT, SAFETY AND SOCIAL DATA REPORT 2020
FOREWORD
                                                    DATA COLLECTION                                                      • GRI 303-3: Percentage and total
                                                                                                                                                                                                  ABBREVIATIONS
                                                                                                                           volume of water recycled and
                                                    AND STANDARDS                                                          reused;                                                                AND ACRONYMS
                                                                                                                         • GRI 304-1: Operational sites in
                                                    Greenhouse Gas and Water Data                                          protected and high biodiversity                                     • KT (kilotonne) - a thousand (103)
                                                    have been collected in accordance                                      areas;                                                                tonne;
                                                    with the Greenhouse Gas Protocol
                                                                                                                         • GRI 304-2: Significant impacts                                      • MT (megatonne) - a million (106)
                                                    (WRI, WBCSD) and the Water
                                                                                                                           of activities on biodiversity;                                        tonne;
                                                    Accounting Framework (Minerals
                                                    Council of Australia, 2014) respectively.                            • GRI 304-4: Endangered species in                                    • ML (megalitre) - a million (106) litres;
                                                    In addition to the data presented                                      operational areas;                                                  • GJ (gigajoule) - a billion (109) joules;
                                                    for the 2020 calendar year, some
                                                                                                                         • GRI 305-1: Direct Greenhouse Gas                                    • TJ (terajoule) - a million million (1012)
                                                    historic data has been restated. The
                                                                                                                           (GHG) emissions (Scope 1);                                            joules;
                                                    Company will restate data when
                                                    more accurate figures are available,                                 • GRI 305-2: Indirect Greenhouse Gas                                  • Ha - hectare;
                                                    such as the publication of updated                                     (GHG) emissions (Scope 2);
                                                                                                                                                                                               • Cu-eq (copper equivalent)
                                                    coefficients used in the calculation
                                                                                                                         • GRI 305-4: Greenhouse Gas (GHG)                                       - a measure to normalize the
                                                    of emissions figures or updated
                                                                                                                           emissions intensity;                                                  production of several mined
                                                    methodologies to improve accuracy.
                                                                                                                         • GRI 305-7: NOX, SOX, and other                                        commodities into a single
                                                    FQM sources emission factors from
                                                    the International Energy Agency (IEA)                                  significant air emissions;                                            ‘copper-equivalent’ figure.
                                                    annually. Therefore the current years                                                                                                        To calculate a copper equivalent,
                                                                                                                         • GRI 306-2: Total weight of waste by
                                                    emission factors are based on the                                                                                                            commodities are scaled by the
                                                                                                                           type and disposal method;
                                                    most recent available emission factors.                                                                                                      number of equivalent units of
This report presents our environmental, safety                                                                           • GRI 403-2: Rates of injury, severity                                  copper they represent in value.
                                                                                                                           rates and number of work related                                      Relative commodity prices are
and social performance for 2020. As in previous     A separate GRI Content Index Report
                                                    will be made available on our website.
                                                                                                                           fatalities;                                                           averaged over a period;

reports, data is presented at both a site and       The GRI Content Index Report will                                    • GRI 411: Rights of indigenous                                       • CO2e-eq (carbon dioxide
                                                    provide additional links and data.                                     peoples;                                                              equivalent) - a measure to
group level. We believe that this level of detail                                                                                                                                                normalize the impact of different
                                                                                                                         • GRI 412: Human rights assessment;
provides greater context to our overall             A summary of the GRI disclosures                                                                                                             GHGs in terms of the amount of CO2
                                                    listed in this report are as follows:                                • GRI 413-1: Operations with local                                      that would create the same amount
performance and longer term trends.                                                                                        community engagement, impact                                          of warming.
Where data conforms to the requirements             • GRI 302-1: Energy consumption                                        assessments and development
                                                                                                                           programs;
                                                      within the organization;
of the Global Reporting Initiative (GRI), the                                                                            • GRI 413-2: Operations with
                                                    • GRI 302-3: Energy intensity;
relevant code has been referenced. Notes            • GRI 303-1: Total water withdrawal
                                                                                                                           significant actual and potential
                                                                                                                           negative impacts on local
provide further background and clarity to             by source;                                                           communities.
the data presented.
                                                    Some photos contained in this report were taken prior to the COVID-19 pandemic. The wearing of masks or social distancing was not required at the time.
ENVIRONMENT, SAFETY AND SOCIAL DATA REPORT 2020
SUSTAINABILITY                                                                STRATEGY                                                                     GOVERNANCE                                           MATERIALITY
                                                                              First Quantum Minerals Limited is committed                                  Environmental, Safety and Social management          When deciding on what aspects to disclose and
                                                                              to making positive steps in sustainable                                      oversight is provided by our Group                   the materiality of those aspects, the Company
                                                                              development at its worldwide operations.                                     Environmental and Safety Managers, who report        considered the following:

                                                                              Our strategy on sustainability is built around                               directly to the Chief Operating Officer (COO).       • Direct economic, environmental and social
                                                                              four key pillars:                                                            On-site responsibility for adherence to our safety     impacts of our activities;
                                                                                                                                                           and environmental policies, and compliance           • Expectations and feedback of our
                                                                              • Economically viable investments;
                                                                                                                                                           with our safety and environmental management           stakeholders. Our stakeholders include but are
                                                                              • Technically appropriate operations;                                                                                               not limited to local communities, employees,
                                                                                                                                                           systems (including commitments to reduce
                                                                              • Environmentally sound practices;                                           energy use, emissions, water and waste) rests          civil society organisations, non-governmental
                                                                              • Socially responsible actions.                                                                                                     organisations, government and regulators,
                                                                                                                                                           with the business units. Furthermore, we provide
                                                                                                                                                                                                                  investors, analysts, customers, suppliers and
                                                                              To deliver on our strategy, we have established                              governance and risk management oversight               media;
                                                                              a number of policies, practices, management                                  through:
                                                                                                                                                                                                                • Priorities identified by the board of directors;
                                                                              systems and reporting commitments, including:                                • The development of risk management
                                                                                                                                                                                                                • Risks identified through our group business
                                                                              • Sound corporate governance practices;                                        methodologies and the assignment
                                                                                                                                                                                                                  risk registers;
                                                                                                                                                             of adequate resources to manage and
                                                                              • Comprehensive Code of Conduct, which                                         appropriately mitigate risks across our            • Regular review of our legal and regulatory
                                                                                applies to all permanent employees and                                       operations;                                          requirements;
                                                                                contractors (including security contractors),
                                                                                                                                                           • Ensuring sustainable development policies,         • Environmental and Social topics of
                                                                                and is part of mandatory training
                                                                                                                                                             practices and monitoring mechanisms to track         international concern and regular reviews of
                                                                                requirements for full-time and part-time
                                                                                                                                                             our performance;                                     growing industry reporting standards and
                                                                                employees. The Code of Conduct* references
                                                                                                                                                                                                                  norms.
                                                                                an internal Whistle-blower Policy* and                                     • The provision of a confidential whistleblowing
                                                                                provides contact details for raising concerns;                               hotline on which to register breaches of the
 CONTEXT                                                                      • Environment, Health, Safety and Corporate                                    Code of Conduct and unethical behavior.            In 2020, the Company commissioned an
 The Company has adopted a cautionary approach in all of its business           Social Responsibility Committee (the EHS&CSR                                 All registered breaches are reported to the        independent review of the materiality of our
                                                                                Committee) of the Board;                                                     audit committee;
 activities due to the risks and potential impacts associated with                                                                                                                                              environmental, social and safety disclosures.
 developing and operating large mines. This commitment is best                • Integration of safety metrics into executive                               • Board and Independent Committee                    The review included an analysis of our existing
                                                                                compensation;                                                                level review of our governance and risk
 illustrated in the Company’s sustainability strategy, environment,                                                                                                                                             disclosures, a priority ratings review and a
                                                                                                                                                             management programs through the Audit
 social and safety policies, and practice. We recognize environmental         • Environmental Policy*;                                                       Committee, Compensation Committee,                 disclosure gap analysis. Within the environment,
 management as a corporate priority and ensure that all potential             • Human Rights Policy*;                                                        Nominating and Governance Committee and            social and safety data, the following topics are
 impacts or consequences on the environment are given proper                  • Grievance mechanisms and procedures                                           the EHS&CSR Committee to support its work.        considered material to our business:
 assessment and consideration. Furthermore, the Company commits                 at every operation;                                                                                                             • Energy;
 to develop, implement and continually update our environmental               • Environmental management system based on                                                                                        • Emissions / Air / Climate Change;
                                                                                                                                                           Detailed information on the Company’s principal
 management systems to manage, reduce and where possible prevent                the ISO 14001:2015 standard at all operations;                             risks and corporate governance model, which          • Water;
 environmental pollution relating to our activities, products and services.   • Health and safety management system based                                  includes further information on executive            • Waste
 In our social policy, we commit to building relationships that are based       on the OHSAS/BSI 18001:2015 standard at all                                compensation can be found in the Annual              • Biodiversity / Land Use;
 on transparency, mutual trust and respect. Importantly, the Company            operations;
                                                                                                                                                           Information Form* and the Management
 also commits to listening and communicating with stakeholders and            • Reporting on the safety and security                                                                                            • Health and Safety;
                                                                                                                                                           Information Circular*.
 local communities directly and openly about our activities, issues and         of our tailings storage facilities*;                                                                                            • Local Communities / Community;
 future plans. Finally, in our safety policy, we commit to including safety   • Tax transparency and contributions                                                                                              • Environmental Management.
 and health considerations as an integral part our activities. We also          to governments reporting*.
 commit to take all reasonable and practicable measures to ensure
 that potentially hazardous agents and conditions in the work place are
 identified and managed in a safe manner.                                     *All relevant policies and Environmental, Social & Governance ("ESG") reporting can be found at www.first-quantum.com
ENVIRONMENT, SAFETY AND SOCIAL DATA REPORT 2020
BOUNDARY

                                                                                                                                                                                                      ty
                                                                                                                                                                                                    n si
                                                                                                                                                                                                 te
                                                                                                                                                                                                 In
                                                                                                                                                                                            on
                                                                                                                                                                                            si
                                                                                                                                                                       s
                                                                                                                                                          s

                                                                                                                                                                   on

                                                                                                                                                                                        is
                                                                                                                                                         on

                                                                                                                                                                                       Em
                                                                                                                                                                  si
                                                                                                                                                      si

                                                                                                                                                                is
                                                                                                                                                    is

                                                                                                                                                                                   as
                                                                                                                                                             Em
                                                                                                                                                 Em

                                                                                                                                                                                   G
                                                                                                                                                                       ty
                                                                                                                                                         as

                                                                                                                                                                                se
                                                                                                                                              as

                                                                                                                                                                     si

                                                                                                                                                                                                                                                                            ity
                                                                                                                                                                                                             ge
                                                                                                                                                         G

                                                                                                                                                                     n

                                                                                                                                                                              ou
                                                                                                                                             G

                                                                                                                                                                                                                                                                        un
                                                                                                                                                                  te
                                                                                                                                                     se

                                                                                                                                                                                                           ar
                                                                                                                                          se

                                                                                                                                                                           nh

                                                                                                                                                                                                                                                                                   t
                                                                                                                                                                In

                                                                                                                                                                                                                                                                                  en
                                                                                                                                                                                                                                                                       m
                                                                                                                                                    ou

                                                                                                                                                                                                        ch
                                                                                                                                        ou

                                                                                                                                                                          e
                                                                                                                                                             on

                                                                                                                                                                                                                                                                  om

                                                                                                                                                                                                                                                                             em
                                                                                                                                                                       re

                                                                                                                                                                                                        is
                                                                                                                                               nh
                                                                                                                                     nh

                                                                                                                                                                                                      D
                                                                                                                                                           si

                                                                                                                                                                     G

                                                                                                                                                                                                                                   se

                                                                                                                                                                                                                                                                /C
                                                                                                                                                e

                                                                                                                                                                                                                                                                            ag
                                                                                                                                    e

                                                                                                                                                         is

                                                                                                                                                                                                  nd
                                                                                                              n

                                                                                                                                                                   3
                                                                                                                                             re
                                                                                                                                 re

                                                                                                                                                                                                                                  U
                                                                                                                                                      Em
                                                                                                            io

                                                                                                                                                                                                                                                                        an
                                                                                                                                                                   e

                                                                                                                                                                                                                                                               s
                                                                                                                                          G
                                                                                                                               1G

                                                                                                                                                                                                 la

                                                                                                                                                                                                                                  d
                                                                                                                                                               op

                                                                                                                                                                                                                                                           ie
                                                                                                          pt

                                                                                                                                                                                                                                                                       lM
                                                                                                                                         2

                                                                                                                                                                                                                              an

                                                                                                                                                                                                                                                           it
                                                                                                                                                                                             w
                                                                                                                  ty

                                                                                                                                                    as
                                                                                                        m

                                                                                                                                                              Sc
                                                                                                                             e

                                                                                                                                        e

                                                                                                                                                                                                                  ty

                                                                                                                                                                                                                                                          un
                                                                                                                                                                                            ra

                                                                                                                                                                                                                             /L
                                                                                                                 si

                                                                                                                           op

                                                                                                                                     op

                                                                                                                                                                                                                                                                   ta
                                                                                                                                                 G
                                                                                                      su

                                                                                                                                                                                                                  si
                                                                                                                                                                       s
                                                                                                                                                           m
                                                                                                                n

                                                                                                                                                                                        hd

                                                                                                                                                                                                      se

                                                                                                                                                                                                                                                      m
                                                                                                                                                                     on

                                                                                                                                                                                                                                                                en
                                                                                                                                               se

                                                                                                                                                                                                                                               e
                                                                                                                                                                                                                n
                                                                                                                        Sc

                                                                                                                                  Sc

                                                                                                                                                                                                                         ty
                                                                                                   on

                                                                                                             te

                                                                                                                                                        ea

                                                                                                                                                                                                                                           nc
                                                                                                                                                                                                  eu

                                                                                                                                                                                                             te

                                                                                                                                                                                                                                                     om
                                                                                                                                                                                        it
                                                                                                                                            ou

                                                                                                                                                                   si

                                                                                                                                                                                                                        si

                                                                                                                                                                                                                                                               m
                                                                                                            In
                                                                                                  C

                                                                                                                       e

                                                                                                                                 e

                                                                                                                                                                                       W

                                                                                                                                                                                                             In
                                                                                                                                                      tr

                                                                                                                                                                                                                                          na
                                                                                                                                                                is

                                                                                                                                                                                                                         r
                                                                                                                                                                                                 R
                                                                                                                     ut

                                                                                                                               ut

                                                                                                                                                                                                                                                              n

                                                                                                                                                                                                                                                                       gs
                                                                                                                                                                                                                      ve
                                                                                                                                         nh

                                                                                                                                                                                                                                                   lC
                                                                                                gy

                                                                                                         gy

                                                                                                                                                    ns

                                                                                                                                                              Em

                                                                                                                                                                                                                                                           ro
                                                                                                                                                                           te

                                                                                                                                                                                                                              ty
                                                                                                                                                                                   er

                                                                                                                                                                                            er

                                                                                                                                                                                                         er

                                                                                                                                                                                                                                        er
                                                                                                                   ol

                                                                                                                             ol

                                                                                                                                                                                                                                                                   lin
                                                                                                                                                                                                                  di
                                                                                                                                        e

                                                                                                                                                                                                                                                ca
                                                                                              er

                                                                                                       er

                                                                                                                                                 ow

                                                                                                                                                                                                                                                          vi
                                                                                                                                                                                                                             fe
                                                                                                                                                                        as

                                                                                                                                                                                 at

                                                                                                                                                                                          at

                                                                                                                                                                                                       at

                                                                                                                                                                                                                                      ov
                                                                                                                 bs

                                                                                                                           bs

                                                                                                                                     re

                                                                                                                                                                                                                  io

                                                                                                                                                                                                                                                                   i
                                                                                                                                                           ir
                                                                                           En

                                                                                                     En

                                                                                                                                                                                                                                                      En
                                                                                                                                                                                                                                               Lo
                                                                                                                                                                                                                         Sa

                                                                                                                                                                                                                                                                Ta
                                                                                                                                                                       W

                                                                                                                                                                                W

                                                                                                                                                                                         W

                                                                                                                                                                                                      W
                                                                                                                                               D
                                                                                                                                     G

                                                                                                                                                                                                                                      G
                                                                                                                                                                                                              B
                                                                                                               A

                                                                                                                        A

                                                                                                                                                          A
                                                Operating sites

                                                Çayeli                                                                                                                                                                                  
                                                Cobre Las Cruces                                                                                                                                                                                    
Our disclosure focuses on environment,          Cobre Panama                                                                                                                                                                                       
social and safety aspects that are              Guelb Moghrein                                                                                                                                                                                      
considered to be of material significance       Kansanshi                                                                                                                                                                                          

to our Company and our stakeholders.            Pyhäsalmi                                                                                                                                                                                           
                                                Ravensthorpe                                                                                                                                                                                        
The disclosure includes information
                                                *Sentinel                                                                                                                                                                                          
and data on activities at our operations,       Closed properties
closed properties, development projects,        **Bwana Mkubwa, Copper
                                                Range, Lac Dufault Mines,                                                                                                                                                                                 
supporting offices and global exploration       Samatosum, Sturgeon and
                                                Winston
where we have financial and operational         Projects
                                                                                                                                                                                                                                                 
control. A summary of our reporting             Haquira and Taca Taca

boundary is provided in the adjacent            Supporting offices
                                                Johannesburg, London,                                                                                                                                                                             
table. More detail on the specific reporting    Ndola, Perth and Toronto

topics are provided in the report.              Exploration                                                                                                                                                                                      

                                               *Includes data from Enterprise.
                                               **The Bwana Mkubwa asset was sold to Shamrock Mining Limited in October 2020.
ENVIRONMENT, SAFETY AND SOCIAL DATA REPORT 2020
CLIMATE CHANGE
POSITION STATEMENT

                     The Company recently published its Climate
                     Change Position Statement. The statement ensures
                     that climate change and energy issues are a central
                     consideration in all of our decision making
                     and planning.

                     THE COMPANY COMMITS TO:                              • Increase the transparency of our climate
                                                                            change reporting and communications,
                     • Identify and manage climate-related physical         including continuing to disclose our data
                       and financial risks and opportunities. We will       across a selection of ratings agencies and
                       invest appropriately to improve the climate          platforms;
                       resilience of our operations;
                                                                          • Report on our performance across a range
                     • Use less energy, improve efficiency and              of industry accepted metrics including
                       reduce wastage and emissions by continually          Scope 1 and 2 emissions, GRI and CDP;
                       challenging the status quo, leveraging our
                                                                          • Improve our understanding of
                       innovative culture and new technologies as
                                                                            lifecycle emissions for the copper, nickel,
                       they become commercial;
                                                                            gold and cobalt value chains and consider
                     • Prioritise the use of renewable energy sources       partnerships with suppliers and customers
                       for new and existing operations where they are       to reduce our value chain emissions;
                       achievable;
                                                                          • Set tangible targets and implement real
                     • Support the transition to a low carbon               projects to implement change as a strategic
                       economy by mining the metals required                priority of the Company. We consider targets
                       to deliver this global initiative as responsibly     focusing on the absolute emission levels and
                       as we can;                                           carbon intensity of our operations as the
                     • Work towards reporting to an appropriate             most appropriate measures of our
                       framework on our climate-related financial           performance at this time;
                       risks and opportunities;                           • Integrate an internal carbon price and the
                                                                            expected determinant impacts on commodity
                                                                            prices in the evaluation of our new projects.
ENVIRONMENT, SAFETY AND SOCIAL DATA REPORT 2020
ENERGY
   CONSUMPTION                                                                                                                  GRI 302-1                 GROUP ENERGY CONSUMPTION (TJ)
                                                                                                                                                                                                                                                                                           36%
                                                                                                                                                                                                                                                                                           OF ALL ENERGY CONSUMED IS
   2018 – 2020                                                                                                                                                                                                                                                                             FROM RENEWABLE SOURCES
                                                                                                                                                                                                                                            23 096

                                                                                                                                                                                                                                                                                           13.40%
   Mining, mineral processing and smelting activities, and transportation
   require significant amounts of energy. First Quantum is committed
                                                                                                                                                                                                              20 328
   to minimise energy consumption by continually challenging the status
   quo, improving efficiencies and reducing wastage. In 2020, overall                                                                                                                          16 162                                                                                      ANNUAL INCREASE OF
   group energy consumption increased. The increase was principally                                                                                                                                                                                                                        TOTAL MINE PRODUCTION
                                                                                                                                                                                                                                                                                           (TONNE CU-EQ)
   attributed to increased mining and processing activities at Cobre
   Panama in its first full year of production, and the restart of mining and

                                                                                                                                                                                                                                                                                           25.5
   processing activities at Ravensthorpe. The contribution of renewable
   energy to our overall consumption dropped slightly in 2020. This was
   due to the greater contribution of non-renewable power sources in the
                                                                                                                                                                                                                                                                                           ENERGY INTENSITY
   Zambian national grid and increased activities at Cobre Panama.
                                                                                                                                                                                                                                                                                           GJ/TONNE CU-EQ
   METHODOLOGY:
   • In 2020, the Company reported energy in terms of electrical power consumption. In previous years,
                                                                                                                                                                                                      2018          2019                              2020                                 AN ADDITIONAL

                                                                                                                                                                                                                                                                                           1 502TJ
     energy was reported by converting fuel to power. This method did not reflect the efficiencies in the
     energy generation and made a comparison between bought power and self generated power difficult.
                                                                                                                                Sulphur                                                                   -             -                            458.0
     All of the data presented in this report reflects the new methodology.
   • The UK Government GHG Conversion Factors for Company Reporting conversion factors were used for                            Other Fuels*                                                         672.2        641 .4                              691.7
     all fuel to energy conversions.
                                                                                                                                Diesel                                                              4 523.5      4 932.2                            4 663.2                                OF ELECTRICTY WAS SOLD
   • Where specific power generation efficiency factors were not known for on-site power generation,                                                                                                                                                                                       TO THE PANAMANIAN
     a 40% efficiency factor was applied to allow for generation losses to determine real energy                                Coal                                                                 664.8       4 626.2                            6 659.2
                                                                                                                                                                                                                                                                                           GOVERNMENT FROM THE
     consumption.
                                                                                                                                Other Electricity                                                  1 485.0       1 373.2                           2 214.5                                COBRE PANAMA POWER PLANT
   • Energy associated with the electrical power sold by Cobre Panama is excluded.
                                                                                                                                Renewable Electricity                                              8 816.7       8 755.1                           8 409.7
   • Scope 2 Energy consumption is measured in megawatt hour (MWH) as it is consumed on site and
     converted to GJ in accordance with the above-mentioned conversion factors.
                                                                                                                            * Other fuels include Fuel Oil, Natural Gas, Petrol and Wood Pellets.

   ANNUAL ENERGY CONSUMPTION PER SITE (TJ)

                       2019          72.8       147.9       27.9            -                 248.6
            Çayeli     2020          86.7        111.0      28.5            -                226.3
                       2019          319.1     484.5       193.8            -                                   997.5
Cobre Las Cruces       2020         338.5      550.5       203.7            -                                     1 092.7
                       2019         261.2       119.5    6 303.6            -                                                                                                                                                                                             6 684.3
Cobre Panama**         2020         192.5        41.8    7 630.9            -                                                                                                                                                                                                                                      7 865.1
                       2019              -        0.5      802.6            -                               803.1
Guelb Moghrein         2020            0.1        0.3      862.0            -                                862.4
                                                                                                                                                                                                                                                                                                                  KEY
                       2019      4 264.3        257.8     1 515.2           -                                                                                                                                                                        6 037.2
      Kansanshi        2020      4 049.0        738.1     1 575.4           -                                                                                                                                                                                   6 357.4                                             Renewable
                       2019          99.7       121.4        16.1           -                 237.2                                                                                                                                                                                                                  Electricity
      Pyhäsalmi        2020          84.2        93.6        13.1           -                190.9                                                                                                                                                                                                                  Other Electricity
                       2019              -           -     108.0          -            108.0                                                                                                                                                                                                                         ydrocarbon
                                                                                                                                                                                                                                                                                                                    H
   Ravensthorpe        2020              -           -     403.3      458.0                                  861.2                                                                                                                                                                                                  Fuels
                       2019        3 738.1     226.0     1 226.2            -                                                                                                                                                   5 190.3                                                                             Sulphur
         Sentinel      2020       3 658.8      666.9     1 289.3            -                                                                                                                                                             5 615.0
                       2019              -       15.5         6.4           -         22.0                                                                                                                                                                 *Other includes projects, closed properties and support offices.
           Other*      2020              -       12.3         8.0           -        20.3                                                                                                                                                                  **Electricity sold from coal consumption at Cobre Panama is excluded from this number.
                                                                                                                                                                                                                                                                                                                                                    7

                                                                                                                                                                                                                            0             10,0           20,0                30,0                 40,0                 50,0                 60,0
ENVIRONMENT, SAFETY AND SOCIAL DATA REPORT 2020
PURCHASED                                                                              PURCHASED GROUP ELECTRICITY CONSUMPTION (TJ)

ELECTRICITY

                                                                                                                                                                                                                                                                      10 624
CONSUMPTION

                                                                                                                                                                                     10 302

                                                                                                                                                                                                      10 128
2018-2020

Where available, each site purchases electricity directly
from independent electricity suppliers. Typically, these
are large scale utility companies servicing thousands
of clients across a national electricity grid. The energy
we generate on site is not included in the purchased                                                              2018          2019          2020
electricity consumption, but is included in the overall                                                             0.0           0.0               1.8
                                                                                           Other
energy consumption. Where independent power is not
                                                                                           Geothermal              4.4            4.0           5.8
available, our sites generate their own power.
                                                                                           Solar                   53.2          43.7          60.6
In 2020, purchased electricity consumption increased
                                                                                           Hydro                8 458.7       8 438.4      8 058.3
marginally. As with previous years, close to 80% of our
                                                                                           Biofuels &Waste        82.0           81.7          60.3
purchased group electricity is generated by renewable
energy.                                                                                    Wind                   217.9         187.3        222.9

                                                                                           Nuclear               302.8         245.9          251.3
METHODOLOGY:                                                                               Oil                    365.3        394.4         336.3
• Electricity generation by source values were obtained from 2020 International
  Energy Association’s (IEA) World Energy Statistics. Where data was not available,        Gas                   296.8         246.4           321.1
  it was conservatively assumed that electricity generation have a 50:50 split
                                                                                           Coal                  520.0         486.4        1305.9
  between coal and gas.
• Mauritania Source improvements (AFREC 2015).                                                                                                                                      2018                2019                                                          2020

                                                                                       PURCHASED SITE ELECTRICITY CONSUMPTION (TJ)

10 624TJ                                                                              Çayeli
                                                                                                         2019
                                                                                                         2020
                                                                                                                     147.9
                                                                                                                      111.0
                                                                                                                                  0.0
                                                                                                                                  0.0
                                                                                                                                            72.8
                                                                                                                                            86.7
                                                                                                                                                                   220.7
                                                                                                                                                                  197.8
                                                                                                                                                                                                                                                                                KEY

                                                                                                                                                                                                                                                                                   Non- Renewable
TOTAL ELECTRICITY CONSUMPTION FOR 2020
                                                                                                         2019       313.4        171.2      86.7                               803.7          gas              oil          nuclear      biofules and waste   hydro                Nuclear
                                                                                      Cobre Las Cruces   2020       361.0       189.5      338.5                                 889.0
                                                                                                                                                                                                                                                                                   Renewable

79%
                               OF PURCHASED ELECTRICITY                                                  2019        119.5          0      261.2                       380.7
                                                                                                                                                                                              solar            geothermal         wind

                               CONSUMPTION IS FROM                                    Cobre Panama       2020         41.8          0      192.5                   234.3
                               RENEWABLES
                                                                                                         2019          0.5          0           -         0.5
                                                                                      Guelb Moghrein     2020          0.3          0         0.1         0.3

76%
                               OF THE GROUPS PURCHASED                                                   2019       257.8           0    4 264.3                                                                                                                                             4 522.0
                                                                                      Kansanshi
                               ELECTRICITY CONSUMPTION IS                                                2020       738.0           0    4 049.0                                                                                                                                                         4 787.0
                               HYDRO-ELECTRICITY                                                         2019        46.6        74.7       99.7
                                                                                      Pyhäsalmi                                                                    221.1
                                                                                                         2020        31.8        61.8       84.2                  177.7

           5%
                                                                                                         2019             0         0          0
                                                                                      Ravensthorpe       2020             0         0          0
                               INCREASE IN ELECTRICITY
                               CONSUMPTION                                                               2019       226.0           0     3 738.1                                                                                                                     3 964.1
                                                                                      Sentinel           2020       666.9           0    3 658.8                                                                                                                                     4 325.8

                                                                                                         2019         15.5          0          0           15.5
                                                                                      Other*             2020         12.3          0          0          12.3
                                                                                                                                                                                                                            *Other includes projects, closed properties and support offices. Note that electricity
                                                                                                                                                                                                                            sold from coal consumption at Cobre Panama is excluded from this number.
                                                                                                                                                                                                                                                                                                                     8

INCREASE IN ELECTRICITY
CONSUMPTION
ENVIRONMENT, SAFETY AND SOCIAL DATA REPORT 2020
EMISSIONS                                                                                            GRI 305-1          ANNUAL GHG EMISSIONS (KILOTONNE CO2 E)                                                                         GRI 305-7      ANNUAL NOX EMISSIONS (TONNE)

2018 – 2020

                                                                                                                                                       3 732

                                                                                                                                                                                                                                                                                           2 694
                                                                                                                                                                                                                                                                              2 1 96
SCOPE 1 AND SCOPE 2

                                                                                                                                            3 272
Greenhouse Gas emissions are generated during the direct
combustion of fuels on site (Scope 1) and by independent
suppliers of electricity (Scope 2). Given the scale of our
operations and the quantities of energy required, our                                                      14%

                                                                                                                                                                                                                                                                 1 048
Greenhouse emissions are considered significant.                                                 INCREASE IN SCOPE 1
The Company has a core commitment to minimise energy                                             EMISSIONS AS COBRE
consumption by continually challenging the status quo,                                           PANAMA RAMPED
improving efficiencies and reducing wastage. In 2020, our
                                                                                                 UP PRODUCTION
                                                                                                 AND THE MORE FUEL
Scope 1 Greenhouse Gas emissions increased by around 14%                                         INTENSIVE START UP
due to increased power requirements in Panama and the                                            OF RAVENSTHORPE
start-up of Ravensthorpe.                                                                                                                                                                                                                                     2018         2019         2020
                                                                                                                                                                                                                                        Cobre Las Cruces       14.6          18.2         19.4

                                                                                                                                 1 612
Our Scope 2 emissions increased by around 24% in 2020.                                                                                                                                                                                  Cobre Panama          182.8      1 503.4       1 713.5
The increase is attributed to the greater contribution of coal                                                                                                                                                                          Guelb Moghrein        655.5        520.6        524.0
on the Zambian grid. In recognition of the need to identify                                                                                                                                                                             Kansanshi             100.5          37.2         33.8
                                                                                                                                                                                                                                        Ravensthorpe           91.0         113.0      400.0
and integrate climate change and energy issues into our
                                                                                                                                                                                                                                        Sentinel                0.3           0.2          0.1
strategic planning, we will be setting progressive and
                                                                                                                                                                                                                                        Closed properties       3.3           3.3          3.3
realistic emissions targets with an identified pathway to
achievement.
                                                                                                                                                                                                                                       GRI 305-7      ANNUAL SO2 EMISSIONS (TONNE)
NOX AND SO2

                                                                                                                                                                                                                   527
Nitrous Oxide (NOX) and Sulphur Dioxide (SO2) emissions are

                                                                                                                                                                                         424

                                                                                                                                                                                                                                                                                           8 242
monitored at a number of fixed emission points at our

                                                                                                                                                                  250
operating sites. The Company’s SO2 and NOX emissions were

                                                                                                                                                                                                                                                                              6 931
                                                                                                                                                                                                                                                                 6 331
up by 19% and 23% respectively in 2020. The increase in SO2
was as a result of the start-up of the Ravensthorpe Process
Plant and increased operating hours at the Kansanshi
Smelter. The increased NOX emissions was as a result of the                                                                               Scope 1                                     Scope 2
Ravensthorpe start-up and slightly higher emissions
at the Panama Power Plant.                                                                                                        2018       2019     2020        2018                    2019                     2020
                                                                                                     Çayeli                         5.8        5.3       6.2       31.6                   28.3                      25.5
METHODOLOGY:
                                                                                                     Cobre Las Cruces             46.9        36.1      41.3      69.4                    64.5                      63.8
• All our carbon emissions are calculated in accordance with the Greenhouse Gas Protocol;
  A Corporate Accounting and Reporting Standard (WRI, WBCSD, 2001).                                  Cobre Panama                408.7     1 971.5   2 150.2       13.8                    19.8                      11.3
• Scope 1: For the conversion of Fuels to GHG, we have used the 2020 United Kingdom                                                                                                                                                                           2018          2019         2020
                                                                                                     Guelb Moghrein              168.2      156.8     172.7         0.1                     0.1                      0.1
  Government Greenhouse Conversion Factors.
                                                                                                     Kansanshi                   737.5     837.4      880.1       69.6                    161.9                    220.7                Cobre Las Cruces        0.9           0.5          0.8
• Scope 2: The 2020 International Energy Association’s (IEA) World Energy Statistics
  coefficients were used to calculate emissions from National Energy Grid. Emissions from                                                                                                                                               Cobre Panama            61.1       897.6        787.9
                                                                                                     Pyhäsalmi                      2.2        2.2       1.4        8.3                     6.5                      5.8
  previous years are restated as more accurate annual factors are released.                                                                                                                                                             Guelb Moghrein        103.9         159.1        160.4
• Scope 2: All Scope 2 data is location based.                                                       Ravensthorpe                   6.7      20.2      211.7             -                        -                      -              Kansanshi           6 163.6      5 872.2       6 341.8
• The data provided was collected by our staff and represents the best effort of our teams.                                                                       57.0                    141.9                    199.5                Ravensthorpe               -            -          950
                                                                                                     Sentinel                    232.4      241.6     266.6
                                                                                                                                                                                                                                        Sentinel                0.4           0.5          0.0
                                                                                                     Other*                         3.4        1.2       1.5        0.5                     0.6                      0.6                Closed properties       0.7           0.7           0.7
*Other includes projects, closed properties and support offices.
                                                                                                                                                                                                                                                                                                   9

                                                            ordyh       etsaw dna selufoib       raelcun         lio      sag                                    ordyh       etsaw dna selufoib          raelcun         lio    sag

                                                                                              dniw                       ralos                                                                        dniw                     ralos
ENVIRONMENT, SAFETY AND SOCIAL DATA REPORT 2020
INNOVATION DRIVING                                                                                       ESTIMATED ANNUAL AVOIDED CO2E EMISSIONS
                                                                                                         FROM THE KANSANSHI SMELTER (TONNE)
                                                                                                                                                                                               ESTIMATED ANNUAL AVOIDED CO2E EMISSIONS
                                                                                                                                                                                               FROM MINING EFFICIENCIES (TONNE)

SUSTAINABILITY

                                                                                                                                       1 423 436

                                                                                                                                                                                                                                                                 42 791
A number of infrastructure investments and energy savings initiatives have been implemented
at our Zambian operations in recent years. It is estimated that these projects have resulted in
savings of over 1.1 million tonnes of CO2e annually. These savings provide further evidence of our
commitment to continual improvement and resource optimization.

                                                                                                                                                                                                                                 34 965
The construction and operation of the Kansanshi smelter has reduced our greenhouse gas
emissions by approximately 1 million tonnes of CO2e annually. Without the Kansanshi smelter,
this concentrate would have been shipped to smelters around the world. Not only has the

                                                                                                                                                                                                    30 362
Kansanshi Smelter significantly reduced the volume of material to be shipped and the resultant
Scope 3 emissions, but it has also replaced the use of smelters in Asia, which typically rely heavily
on fossil fuel, with Zambian, predominantly, renewable power. Further emissions have been saved
as a result of the capture of SO2 and the production of sulphuric acid from smelting activities
used in copper production.

First Quantum leads the industry in the implementation of several mining technologies which
improve energy efficiency and reduction of emissions, including trolley assist electric mining fleets
combined with in-pit crushing and conveying. Investment in these technologies in recent years at

                                                                                                                                                                 374 810
Sentinel and Kansanshi have resulted in emissions savings excess of almost 100,000 tonnes
of CO2e annually.

                                                                                                                                                                                                                                                                                         13 174
                                                                                                                                                                                                                       10 092
ONGOING MINING INNOVATION

The following are examples of some of              • GOLD RECOVERIES
                                                     Pioneering technology in copper mines

                                                                                                                                                                                                                                                                                                            6 312
the technologies being rolled out at First

                                                                                                                                                                                                                                                                             5 455
                                                                                                                                                                                                                                                       4 949
                                                     using gravity gold recovery to augment gold
Quantum’s operations:
                                                     premiums in copper concentrate streams.
• COMMINUTION OPTIMISATION                           Improves the overall productivity of the mine
  Large comminution circuits and smart               and energy intensity of operations.
  thinking in equipment layouts ensures
                                                   • IMPROVED CONCENTRATE GRADES
  process flexibility, improved productivity
                                                     Two Jameson cells were installed in the
  and lower energy intensity.

                                                                                                                                                                                                             Trolley assist

                                                                                                                                                                                                                                     Electric shovel

                                                                                                                                                                                                                                                                    In pit crushing
                                                                                                                                                                                                                                                                    and conveying

                                                                                                                                                                                                                                                                                             Electric drilling
                                                     Kansanshi sulphide circuit in June 2017.                                            No on-site             On-site             Total
• BLAST OPTIMISATION AND MATERIAL                    Jameson cells have since been installed at                                            smelter              smelter           savings
  TRACKING                                           Sentinel and Cobre Panama. In 2020 one
                                                                                                            Smelting (Scope 2 and 3)       711 749.2          236 578.3          475 170.9
  Our proprietary Artificial Intelligence tool       of the Kansanshi units was converted to a
  aims to track blasting material to reduce          Concorde cell. The higher recoveries improve           Logistics (Scope 3)           639 462.3            138 231.3         501 231.0
  grade dilution and drive efficient utilization     the overall productivity, and energy intensity         Sulphur (Scope 3)               72 224.6                       -     72 224.6
  of resources.                                      of operations.                                       Total                         1 423 436.1           374 809.6        1 048 626.5
• KANSANSHI HIGH PRESSURE ACID LEACH               • ISACONVERT                                                                                                                              Mining                                    CO2e                              CO2e                                      CO2e
  The Kansanshi High Pressure Leach                  Pioneering technology built and                                                                                                         efficiencies                       Conventional                      Efficiencies                                   Savings
  is among the few copper autoclaves                 commissioned at Kansanshi Smelter as a
  operating in the world today. Originally                                                                                                                                                   Trolley assist                                   30 361.6                     10 092.0                      20 269.6
                                                     commercial-scale pilot. Reduced emissions          OVER                                       ALMOST

                                                                                                        1 000 000 100 000
  designed to treat gold ore, it has been            compared to conventional batch Peirce-                                                                                                  Electric shovel                               34 965.4                          4 949.0                      30 016.4
  successfully converted to treat copper             Smith converters and able to provide strong                                                                                             In pit crushing                               42 790.9                          5 454.8                         37 336.1
  concentrates resulting in less trucking and        and uniform sulphur dioxide to acid plants.                                                                                             and conveying
  associated costs. The High Pressure Leach                                                             TONNES OF CO2E SAVED ANNUALLY              TONNES OF CO2E SAVED ANNUALLY
                                                                                                                                                                                             Electric drilling                                   13 173.8                      6 312.0                           6 861.8
  has also allowed for optimal balancing of                                                             THROUGH THE OPERATION OF THE               WITH THE IMPLEMENTATION OF
                                                                                                        KANSANSHI SMELTER                          MINING EFFICIENCIES AT SENTINEL
  the Kansanshi Smelter with the cathode                                                                                                                                                     Savings                                                   121 292                 26 808                            94 484
  production capacity of the mine.
                                                                                                                                                                                                                                                                                                                           10
ENERGY AND                                                                                                    GRI 305-4                  CU-EQ INTENSITY (TONNE CO2E/TONNE CU-EQ)                                                                GLOBAL COPPER MINES CU EQ INTENSITY (TONNE

EMISSIONS INTENSITY
                                                                                                                                                                                                                                                 CO2E/TONNE CU-EQ) CURVE

                                                                                                                                                                                                                                                                                                                                                                                                  Cobre Panama
                                                                                                                                                                                                                   11.37
2020

                                                                                                                                                                                                                                                                                                                                                                                 Guelb Moghrein
CU-EQ INTENSITY                               METHODOLOGY:

                                                                                                                                                                                                                                                  Cobre Las Cruces
(TONNE CO2E/TONNE CU-EQ)                      • Scope 1 and Scope 2: Only emissions from our operating

                                                                                                                                                                                                                                                                                                                                               Kansanshi
                                                sites and not our closed properties, projects, exploration

                                                                                                                                                                                                                                     Intensity
                                                activities and supporting offices were included. Emissions

                                                                                                                                                                                                                                                                                                                                               Çayeli
                                                                                                                                                                                                                                                                                        Sentinel
                                                                                                                                                                                                                                                 Pyhäsalmi
Our Scope 1 and 2 CO2e emissions per            associated with smelting Sentinel concentrate at
                                                Kansanshi are included as Kansanshi emissions. Emissions
tonne of copper Cu-eq decreased                 associated with the power sold by Cobre Panama are
in 2020. The decrease was attributed to a       excluded.
                                              • Scope 3: Our Scope 3 emissions represents all known
combination of improved production at

                                                                                                                                                                                                 6.07
                                                downstream activities outside of our financial and                                                                                                                                                                                                                                                     Data was provided by Skarn Associates
a number of our sites and more efficient        operational control to produce London Metal Exchange                                                                                                                                                                                                                                                   (www.skarnassociates.com)
                                                (LME) A Grade Copper Cathode. Copper Cathode

                                                                                                                                                                                  5.88
power utilisation at Cobre Panama as the        produced on site has no further Scope 3 emissions.
mine operated for the first full year           Downstream logistical, smelting and refining activities
                                                associated with the production of LME A Grade Copper
                                                                                                                                                                                                                                                 302-3                                  ENERGY INTENSITY (GJ/TONNE CU-EQ)

                                                                                                                                                                    4.64
of operation. The improvements were in

                                                                                                                                                         4.46
                                                Cathode from copper concentrate, blister copper and
spite of the COVID-19 related disruptions       copper anode are considered. While every effort has
                                                been made to improve the accuracy of our Scope 3
at Cobre Panama, as it was placed on            Downstream emissions, they remain estimates based on

                                                                                                                                                                                                                                                                                               33.6
preservation and safe maintenance for           activities outside our financial and operational control.
                                                Scope 3 emissions provided do not include emissions

                                                                                                                                            3.08
much of the second quarter.                     from upstream activities or our supply chain.

                                                                                                                                                                                                                                                                                                                                                                         25.5
                                                                                                                                                                                                                                                                                                                                   24.5
The restart of Ravensthorpe operations        • Scope 3 Freight: All emissions associated with the

                                                                                                                                                                                                                                                                                                                                                  23.6

                                                                                                                                                                                                                                                                                                                                                              22.4
                                                transportation of copper concentrate, blister copper
required a higher use of diesel and other

                                                                                                                                                                                                                                                                     20.1
                                                and copper anode by road, rail and sea were included

                                                                                                                1.93

                                                                                                                             1.96
fuels as the processing plant was               under freight. This excludes the transportation of

                                                                                                                                                                                                                                                                                                                  16.4
                                                copper concentrate from Sentinel to Kansanshi. Port
brought up to full operating capacity.

                                                                                                                                                                                                                                                        14.4
                                                handling activities were not considered. The 2020 United
                                                Kingdom Government Greenhouse Conversion Factors
For the first time, the Company has             for Company Reporting were used to calculate freight
                                                emissions. Distance were estimated based on known final
provided estimates of downstream                destinations.
Scope 3 emissions per tonne of Cu-eq for      • Scope 3 Smelting: This includes all emissions associated
                                                with smelting of copper concentrate, blister copper
each operating site. Downstream Scope           and copper anode at facilities where we don’t have
3 emissions typically include all of the        financial and operational control. Emissions associated
                                                with smelting of copper concentrate at Kansanshi

                                                                                                                     Cobre
                                                                                                                Las Cruces

                                                                                                                             Pyhäsalmi

                                                                                                                                            Sentinel

                                                                                                                                                         Çayeli

                                                                                                                                                                    Kansanshi

                                                                                                                                                                                  Group

                                                                                                                                                                                                   Guelb
                                                                                                                                                                                                 Moghrein

                                                                                                                                                                                                                     Cobre
                                                                                                                                                                                                                   Panama
emissions associated with producing

                                                                                                                                                                                                                                                         Çayeli

                                                                                                                                                                                                                                                                     Cobre Las Cruces

                                                                                                                                                                                                                                                                                                   Cobre Panama

                                                                                                                                                                                                                                                                                                                  Guelb Moghrein

                                                                                                                                                                                                                                                                                                                                   Kansanshi

                                                                                                                                                                                                                                                                                                                                                  Pyhäsalmi

                                                                                                                                                                                                                                                                                                                                                              Sentinel

                                                                                                                                                                                                                                                                                                                                                                         Group
                                                were included in Scope 1 and 2 above. Power and fuel
a final product.                                consumption associated with smelting processes were
                                                calculated from a number of widely accessible industry
                                                references.
These emissions are therefore associated
                                              • Scope 3 Refining: This includes all emissions associated
with the transportation, smelting and           with refining of copper anode to final LME A Grade
                                                Copper Cathode at facilities where we don’t have                                         Scope 1       Scope 2     Scope 3        Scope 3          Scope 3                   Total
refining of copper concentrate, and             financial and operational control. Power consumption                                                                  Freight      Smelting           Refining
copper anodes to produce copper                 was estimated based on a number of widely accessible
                                                industry references. Emissions were calculated by using      Cobre Las Cruces               0.76            1.17         0.00             0.00              0.00              1.93
cathode. The estimated Scope 3                  IEA country factors in countries where the refining
                                                                                                             Pyhäsalmi                      0.18           0.71            0.01           1.03              0.04              1.96                  METHODOLOGY:
emissions are not associated with any           occurred.
                                                                                                                                                                                                                                                    • For the conversion of fuels to energy, we have used the United
upstream activities or supply chain           • Cu-eq: All non copper by-product commodities were            Sentinel                       1.06          0.79           0.49             0.48              0.26             3.08                     Kingdom Government Greenhouse Conversion Factors for our
                                                scaled by the number of equivalent units of copper
                                                                                                                                                                                                                                                      Company Reporting.
emissions.                                      they represent in value. Relative commodity prices           Çayeli                         0.41           1.62          0.47             1.70              0.26             4.46
                                                were averaged over the reporting period. Data for                                                                                                                                                   • Country electricity generation source values were obtained from the
                                                Ravensthorpe is not provided as it has been normalised
                                                                                                             Kansanshi                      3.39          0.85           0.20             0.00              0.20             4.64                     International Energy Association’s (IEA) Emission Factors for 2020.
The Copper Intensity (Tonne CO2e/Tonne          to Nickel and not Cu-eq.                                     Guelb Moghrein                 3.28          0.00             1.70           0.92              0.17             6.07                   • It was conservatively assumed that electricity generation of all other
Cu-eq) for all of First Quantum’s                                                                                                                                                                                                                     activities (exploration and projects) have a 50:50 split between coal
                                                                                                             Cobre Panama                   9.20          0.05           0.42             1.49              0.21             11.37                    and gas.
operations are compared with global
                                                                                                             Group                         4.02           0.60           0.42             0.63              0.20             5.88                   *Group only includes operating sites.
copper mines in the curve in the top right.

                                                                                                                                                                                                                                                                                                                                                                                                                 11
GRI 303-1                 WATER INPUT AND OUTPUT (MEGALITRE)
WATER
2020                                                                                                     ESTIMATED WATER INPUT                                               ESTIMATED WATER OUTPUT

                                                                                                         706 588                                                                         717 567
Large quantities of water are essential for almost all mining and
mineral processing activities. Our water consumption is considered to
be a material aspect across all of our operations. First Quantum has
a core commitment to minimise water withdrawal and discharge by                                           TOTAL WATER INPUT**                                                                  TOTAL WATER OUTPUT**
adopting new technologies, continually improving efficiencies and
on site water reuse. Water reuse increased by 1% in 2020, while group
water withdrawal and discharge remained very similar to 2019.                                                27%                                                                   19%
                                                                                                              SURFACE WATER                     189 056                            SURFACE WATER             134 217
METHODOLOGY:
                                                                                                              Precipitation and runoff          158 858                            External storage            3 890
All water withdrawal, discharge and re-use is measured in accordance with the Water Accounting
                                                                                                              Rivers and streams                 27 671                            Rivers and streams         130 327
Framework (WAF) for the Minerals Industry of Australia (Minerals Council of Australia, 2014). All
definitions and categories have therefore been aligned with the requirements and specifications of the        External surface water              2 527

                                                                                                                                                                                   4%
WAF. The volumes provided were collected by our staff and represent the best effort of our teams.

                                                                                                                                                                                   GROUNDWATER                30 718
   WATER M3 WITHDRAWAL PER TON OF ORE MILLED
                                                                                                              6%                                                                   Aquifier (seepage          30 718
                                                                                                              GROUNDWATER                        41 514                            and re-injection)
               Çayeli                                                                   5.43
                                                                                                              Renewable                          31 648
Cobre Las Cruces                                     2.15
                                                                                                              Non-Renewable                       2 613
   Cobre Panama                                      2.08                                                     Ore entrainment                     6 667
  Guelb Moghrein                  0.66                                                                        Aquifer                              586

         Kansanshi                          1.48
                                                                                                                                                                                   66%
         Pyhäsalmi                                                                           5.81
                                                                                                                                                                                   SEA WATER                 472 512
     Ravensthorpe                             1.56

            Sentinel                   1.08
                                                                                                              67%                                                                  Discharge (ocean)
                                                                                                                                                                                   Discharge (estuary)
                                                                                                                                                                                                                 827
                                                                                                                                                                                                             471 685
              Group                           1.58                                                           SEA WATER                         474 277
                                                                                                             Cooling water for Cobre            468 517
                                                                                                             Panama
                                                                                                             Process water for                    5 516
       WATER REUSE                                                                                           Ravensthorpe

                Çayeli                13%
                                                                                                             Çayeli                                243                             0,005%
                                                                                                                                                                                   SUPPLY TO 3RD                  34
 Cobre Las Cruces                                             40%                                                                                                                  PARTY WATER
    Cobre Panama                                                                        70%                                                                                        Municipality                    3
                                                                                                                                                                                   Organisations                   31
  Guelb Moghrein                                                                          72%

                                                                                                                                                                                   11%
          Kansanshi                                                                          76%

          Pyhäsalmi                             25%
                                                                                                              0,2%                                                                 OTHER                      80 085
     Ravensthorpe                                                                                            3RD PARTY WATER                      1 741
                                                                43%                                                                                                                Evaporation                 25 677
                                                                                                             Contract/municipal                     25
            Sentinel                                                                                                                                                               Entrainment                 53 261
                                                                            56%                              Waste water                          1 716                            Task loss                    1 148
               Group                                                                  67%
                                                                                                         **Total refers to all sites.
                                                                                                                                                                                                                        12
WATER WITHDRAWAL                                                                                              0.29%                                                      0.79%
(GIGALITRE)                                                                                                   OF WATER WITHDRAWAL IS
                                                                                                              FRESH WATER IN MEDIUM
                                                                                                                                                                         OF WATER WITHDRAWAL
                                                                                                                                                                         IS FRESH WATER IN HIGH
                                                                                                              STRESSED ENVIRONMENTS                                      STRESSED ENVIRONMENTS
2020

                                                                                       4.4
                                                                                       PYHÄSALMI

                                                 1.7

                                          55%
                                                                                                   ÇAYELI

                                                       COBRE LAS CRUCES                            4.2
                                                           3.1                  1.4

                                                                                41%

 KEY

   resh water -
  F
  Low stress                                                              1.0
   resh water -
  F
  Medium water stress
                                                                          41%
                                           1.5                                                                                                                                                           1.0
   resh water -
  F
  High water stress
                                         59%           GUELB MOGHREIN
                                                                                                                                                                                                         15%
  Seawater

  Saline groundwater             113.3                   2.5
  Waste water                    19%                                                                                                                                      RAVENSTHORPE

                                                                                                                                                                              6.6
                                                                                                            KANSANSHI

                                                                                                            43.1
                                                                                                                                                               5.5

                                                                                                                                                       85%
                        COBRE PANAMA

                        581.9
                                                                            SENTINEL

 468. 5

81%
                                                                   60.9
                                                                                                              BASELINE WATER STRESS
                                                                                                              Baseline water stress measures the ratio of total water withdrawals to available renewable water supplies.
                                                                                                              Water withdrawals include domestic, industrial, irrigation and livestock consumptive and non-consumptive
                                                                                                              uses. Available renewable water supplies include surface and groundwater supplies and considers
                                                                                                              the impact of upstream consumptive water users and large dams on downstream water availability.
                                                                                                              Higher values indicate more competition among users.
                                                                                                              Source: WRI Aqueduct, accessed on 30 March 2021 at www.aqueduct.wri.org.
                                                                                                                                                                                                                           13
GRI 306-2           MANAGEMENT OF HAZARDOUS AND NON-HAZARDOUS WASTE (TONNE)
WASTE
2019-2020

                                                                                                                                                                                                          137 843
                                                                                                                                                                         136 901
First Quantum generates the following waste at its operations:                                   36%
                                                                                                 OF HAZARDOUS WASTE
• Hazardous waste - including used lubricants, batteries, hydrocarbons
  and process related chemicals;                                                                 IS REUSED OFF SITE

• Non-Hazardous waste - including organic matter, wood,
  construction rubble and plastics;

• Re-used waste - including waste oil and scrap metals.
                                                                                                 7%
                                                                                                 OF NON-HAZARDOUS
All waste is managed in accordance with national waste management                                WASTE IS REUSED OFF SITE
regulations, site specific permits and relevant international protocols.
In line with our environmental policy we continue to look at ways
of reducing, reusing or recycling waste. Both hazardous and non-
hazardous waste decreased in 2020. The decrease is attributed to
improvements in waste management and a reduction in waste
generating activities. All waste is measured by our in house teams on
site. The increase in storage of Non-Hazardous Waste in 2020 is as a
result of travel and logistical constraints related to COVID-19.

  GRI 306-2                HAZARDOUS AND NON-HAZARDOUS
                           WASTE PER SITE (TONNE)

                                                                                                                                                         7 406
                                                                                                                             9 210
                                                                   Hazardous    Non-Hazardous

                                                     2020               151.6           726.6
Çayeli                                               2019               181.3          1056.5
                                                     2019              531.0            742.0
Cobre Las Cruces                                     2020              710.0            889.4
                                                                                                                                             Hazardous                                    Non-Hazardous
                                                     2020             2 281.7        90 416.5
Cobre Panama                                         2019             2 729.6        85 020.5
                                                                                                                                     2019                        2020              2019                         2020
                                                     2020              746.3            435.6
Guelb Moghrein                                       2019               617.1           346.8      Other                         104.5                              -                 -                             -
                                                     2020             1 827.8        26 934.0
Kansanshi                                            2019            2 803.5          28 412.1     Stored                            54.9                        30.6                 -                    17 025.0

                                                     2020               44.6            238.6      Incineration                 1 992.1                    3 329.9             181.9                            189.1
Pyhäsalmi                                            2019               49.3             406
                                                                                                   Reuse                       4 801.9                     2 658.7        20 827.4                           9 021.0
                                                     2020               80.2           1 092.8
Ravensthorpe                                         2019                  -              82.7     Landfill on site            1 892.2                       844.3          11 112.4                        17 317.6
                                                     2020             1 393.9         17 248.8     Landfill off site                 341.7                   238.7       104 776.7                         94 290.1
Sentinel                                             2019             1 342.0        20 585.0
                                                                                                   Composting/                      22.7                    304.0                  2.3                             -
                                                     2020              350.0               7.9
*Other                                               2019              776.9             101.2      Bioremediation

*Other includes projects, closed properties and support offices.
                                                                                                                                                                                                                        14
ENVIRONMENTAL
INCIDENTS
                                                                                     NUMBER OF ENVIRONMENTAL INCIDENTS
2018-2020

                                                          0
First Quantum believes that an effective                                         2020                                       211                                                                            222                                                                178                                611
Environmental Management System (EMS) is key
to sound environmental practice and to reducing
environmental risk. The Company has implemented           SERIOUS OR MATERIAL
                                                                                 2019                                     187                                                                 210                                                                179                                   576
EMSs at all of its operations.The EMSs, which are         LEVEL 4 OR LEVEL 5
aligned with the ISO14001: 2015 standard, are subject     INCIDENTS IN 2020
to annual external compliance audits.

                                                                 4%
                                                                                 2018                                      197                                                                       216                                                               186                                   599
The Company has established EMS compliance
targets for selected sites to further reduce
environmental risk across the group. As part of
                                                          DROP IN LEVEL 3               KEY              Level 1           Level 2           Level 3          Level 4          Level 5
the EMS, the Company has implemented a five               INCIDENTS SINCE 2018
tier environmental incident classification system.
Incidents with no measurable impact are recorded
                                                          TARGET OF REDUCING
as Level 1 incidents, while incidents with far reaching
                                                          LEVEL 3 INCIDENTS BY       TOTAL NUMBER AND SEVERITY OF ENVIRONMENTAL INCIDENTS PER SITE

                                                                 5%
environmental impacts are recorded as Level 5
incidents.

                                                                                                                                                                                                                 196
All operations are required to record and report
incidents monthly according to the classification.
A serious Level 4 or Level 5 incident is communicated
to the CEO and the Environmental, Health and Safety

                                                                                                                                                                                              133

                                                                                                                                                                                                       128
                                                                                                  124
                                                                                         123
and Corporate Social Responsibility Committee
immediately.

                                                                                                                                             108

                                                                                                                                                      101

                                                                                                                                                                                                                                                                                         98
                                                                                                           92
In 2020 overall incidents were up by 6%. Level 3

                                                                                                                                                              86

                                                                                                                                                                                                                                                                               84
                                                                                                                                                                     80

                                                                                                                                                                                                                                                                       80
incidents were marginally down and there were

                                                                                                                                                                              67

                                                                                                                                                                                       64
no Level 4 or 5 incidents reported over the period.
The biggest increase in incidents were in levels 1

                                                                                                                            37
                                                                                                                   33

                                                                                                                                    31
and 2. These are minor spills within and outside

                                                                                                                                                                                                                        25

                                                                                                                                                                                                                                 26

                                                                                                                                                                                                                                                                23
                                                                                                                                                                                                                                         17
containment areas. In addition to a number of group

                                                                                                                                                                                                                                                                                                12

                                                                                                                                                                                                                                                                                                         9
                                                                                                                                                                                                                                                  5
wide initiatives to reduce the number of level 1 and 2

                                                                                                                                                                                                                                                                                                                 4
incidents, reducing the level 3 incidents at Kansanshi
                                                                                          2018

                                                                                                  2019

                                                                                                           2020

                                                                                                                   2018

                                                                                                                             2019

                                                                                                                                      2020

                                                                                                                                              2018

                                                                                                                                                       2019

                                                                                                                                                              2020

                                                                                                                                                                     2018

                                                                                                                                                                              2019

                                                                                                                                                                                       2020

                                                                                                                                                                                              2018

                                                                                                                                                                                                        2019

                                                                                                                                                                                                                 2020

                                                                                                                                                                                                                        2018

                                                                                                                                                                                                                                  2019

                                                                                                                                                                                                                                           2020

                                                                                                                                                                                                                                                  2018

                                                                                                                                                                                                                                                         2019

                                                                                                                                                                                                                                                                2020

                                                                                                                                                                                                                                                                       2018

                                                                                                                                                                                                                                                                                2019

                                                                                                                                                                                                                                                                                         2020

                                                                                                                                                                                                                                                                                                2018

                                                                                                                                                                                                                                                                                                         2019

                                                                                                                                                                                                                                                                                                                 2020
in 2021 remains a corporate priority.

                                                                                                 Çayeli                   Cobre Las                   Cobre                  Guelb                   Kansanshi                 Pyhäsalmi            Ravensthorpe              Sentinel                  Other*
                                                                                                                           Cruces                    Panama                 Moghrein

                                                                                        KEY              Level 1           Level 2           Level 3          Level 4          Level 5

                                                                                 *Other includes exploration, projects, closed properties and support offices.

                                                                                                                                                                                                                                                                                                                        15
COBRE PANAMA
BIODIVERSITY                                                                                                                                                                       COBRE PANAMA                                 PROTECTED                                      • The Footprint Rehabilitation Program
                                                                                                                                                                                                                                                                                 will be focused on the stabilization and
                                                                                                                                                                                   The Cobre Panama Mine lies entirely          AREA PLAN                                        rehabilitation of the mining footprint.
                                                                                                                                                                                   within the Mesoamerican Biological                                                            Clearing of the project footprint will
                                                                                                                                                                                                                                Cobre Panama has committed to support
                                                                                                                                                                                                                                                                                 occur over a number of years.
                                                                                                                                                                                   Corridor of the Panama Atlantic (MBCPA)      three protected areas in the MBCPA.
                                                                                                                                                                                   and the Golfo de los Mosquitos Forests       The areas are the Santa Fe National Park
                                                                                                                                                                                   Important Bird Area. The region supports     (72,636 ha), Omar Torrijos National Park
                                                                                                                                                                                                                                                                               SPECIES-LEVEL
                                                                                                                                                                                   very high biodiversity and is also home to   (25,275 ha) and a protected are to be          CONSERVATION
                                                                                                                                                                                   the Santa Fe and Omar Torrijos National      established in the District of Donoso and      PLANS
                                                                                                                                                                                   Parks. In recognition of the sites high      its coastal marine zone (> 150,000 ha).        Cobre Panama has committed to
                                                                                                                                                                                   biodiversity and biological sensitivity      The main objectives of the protected area      implementing a number of species
                                                                                                                                                                                   combined with some gaps in scientific        plan are:                                      level management plans. Species-
                                                                                                                                                                                   knowledge in the area, Cobre Panama          • Reduce indirect settlement pressures,        level management plans have been
                                                                                                                                                                                   has made the following commitments:            and subsequent habitat loss, in the area     developed with the aim of addressing
                                                                                                                                                                                   1.   The Company has developed                 surrounding the Cobre Panama project;
                                                                                                                                                                                                                                                                               the management needs of individual
                                                                                                                                                                                        and implemented a Biodiversity          • Conserve habitat for species                 species for which the protected areas
                                                                                                                                                                                        Action Plan (BAP). The BAP                populations that may be impacted by
                                                                                                                                                                                                                                                                               and reforestation plans may not be
                                                                                                                                                                                        enables continuous collection of          the project to ensure their long-term
                                                                                                                                                                                        information on flora and fauna in                                                      sufficient. Each species action plan
                                                                                                                                                                                                                                  recovery from the Company’s direct
                                                                                                                                                                 Atelopus varius                                                                                               describes a portfolio of actions aimed
                                                                                                                                                                                        the project area and the integration      impacts and their long-term viability;
                                                                                                                                                                                        of new knowledge into bio-diversity                                                    at ensuring a net positive impact on
                                                                                                                                                                                                                                • Compensate for the loss of natural
                                                                                                                                                                                        management practices over the life                                                     species viability. During the development
                                                                                                                                                                                                                                  habitat (both temporary and
    BIODIVERSITY                                                                                                                                                                        of mine and beyond;
                                                                                                                                                                                                                                  permanent) in the project footprint.         and implementation of these species
                                                                                                                                                                                   2.   To have a net positive impact (NPI)                                                    action plans, Cobre Panama is
    The mining industry has the potential to have a big impact on biodiversity. While this impact is often negative,
                                                                                                                                                                                        on biodiversity in Panama and to
    we believe that many of our current interventions have the potential to have lasting positive impacts on the
                                                                                                                                                                                        be a world leader in biodiversity       REFORESTATION                                  currently partnered with the following
    biodiversity on a local and regional scale. All of our operating sites, closed properties and exploration activities                                                                management;                             PLAN                                           independent organisations:
    have plans focusing on limiting the potential impact of our activities or enhancing the positive impacts                                                                                                                                                                   • Smithsonian Tropical Research Institute
                                                                                                                                                                                   3.   To follow both national regulations,    Cobre Panama has committed to
    on biodiversity. For this disclosure, we have focused on our three largest sites, namely Cobre Panama, Sentinel                                                                                                                                                              (STRI) of Tropical Investigations
                                                                                                                                                                                        as described in its Environmental       reforestation of 10,475 ha (7,375 ha outside
    and Kansanshi.                                                                                                                                                                                                                                                               (Panama Amphibian Rescue and
                                                                                                                                                                                        and Social Impact Assessment (ESIA),
                                                                                                                                                                                                                                the mine footprint and 3,100 within the          Conservation) – assisted with
                                                                                                                                                                                        and international best practices for
                                                                                                                                                                                                                                mine footprint) using three distinct             developing facilities at two sites to
                                                                                                                                                                                        biodiversity management, such as
                                                                                                                                                                                                                                programs.                                        provide for the long-term care and
                                                                                                                                                                                        those described in the International
                                                                                                                                                                                                                                                                                 breeding of the four amphibian SoC;
                                                                                                                                                                                        Finance Corporation’s Performance       • The Agroforestry Program focusses on
    GRI 304-1             GRI 304-2              GRI 304-3             2020 TOTAL LAND DISTURBANCE AND MINING CONCESSION AREAS                                                          Standard 6 (PS6), the Business and        providing benefits to communities,           • Sea Turtle Conservancy – monitoring
                                                                                                                                                                                        Biodiversity Offset Program’s (BBOP)      while also improving ecological                and research of sea turtles both within
                                                 Cobre Las          Cobre          Guelb                                                                                                Standard on Biodiversity Offsets, and     conditions by increasing native tree           and adjacent to the site as well as
                                     Çayeli                                      Moghrein Kansanshi Pyhäsalmi Ravensthorpe
   Operating Site                                                                                                                                     Sentinel     Total                                                                                                         remote populations;
                                                   Cruces         Panama                                                                                                                the International Council on Mining       cover. The program will focus on areas
   Total area under                                                                                                                                                                     and Metals (ICMM) Good Practice for       outside the mine footprint;                  • Peregrine Fund - promotes the
                                      9 074            3 200         12 955            8 100           9 434              412                 3 389    95 000    141 564
   license (Ha) end 2020                                                                                                                                                                Mining and Biodiversity;                                                                 conservation of the Harpy Eagle;
                                                                                                                                                                                                                                • The Ecological Restoration Program will
   Total Disturbance
                                           17           1 056         2 799            1 406           5 831              219                 2 454      6 813   20 595            4.   To implement three core biodiversity      conduct reforestation inside protected
   end 2020                                                                                                                                                                                                                                                                    • Missouri Botanical Gardens.
                                                                                                                                                                                        management activities including           areas and other locations that can be
                                                                                                                                                                                        Protected Area Plan, Reforestation        permanently protected with the goal of
                                                                                                                                                                                        Program and Species-level                 restoring native forests with structural
                                                                                                                                                                                        Conservation Plans. The three core        and compositional diversity.
                                                                                                                                                                                        biodiversity plans are described in       The program will focus on areas outside
NOTES                                                                                                                                                                                   more detail on this page.                 the mine footprint;
Baseline surveys and subsequent work on the site revealed a number of species of concern (SoC) within and immediately adjacent to the
project footprint. Terrestrial fauna SoC include 4 amphibian species, 15 bird species, 2 reptile species, and 10 mammal species. Marine SoC
include three fish species, a crustacean, 2 marine mammals and 4 species of marine turtles. The current flora SoC list includes 51 species.

                                                                                                                                                                                                                                                                                                                            16
ZAMBIA
BIODIVERSITY                                                WEST LUNGA                                        Since the signing of the MoU, the Trident
                                                                                                              Foundation has invested US$4.3 million
                                                                                                                                                               In 2021, the West Lunga Conservation Project
                                                                                                                                                               plans to implement the following activities in
                                                            CONSERVATION                                      in conservation and wildlife activities          the WLMA:
                                                            PROJECT                                           through the West Lunga Conservation              • Signing a management agreement with
                                                            The 11,750 km2 West Lunga Management Area         Project. The investment has primarily              DNPW and local communities;
                                                            (WLMA), situated in north-western Zambia          focussed on supporting the Department            • Establishing the Ntambu Community
                                                            encompasses the West Lunga National               of National Parks and Wildlife’s (DNPW)            Forest Management Agreement (CFMA) to
                                                            Park, Chibwika Ntambu, Musele Matebo,             conservation management activities on              provide a legal framework for community
                                                            Lukwakwa and Chizela Game Management              the ground, which has included recruiting,         business units to commercially utilize their
                                                                                                                                                                 natural resources;
                                                            Areas. The area is important from both a          training, equipping and paying wildlife
                                                                                                              rangers, vehicle maintenance and transport       • Community Resource Board (CRB)
                                                            hydrological and ecological perspective.
                                                                                                                                                                 inception and training in surrounding
                                                            The WLMA forms the core of the Kabompo            support, infrastructure development and
                                                                                                                                                                 communities to manage the CFMAs;

US$4.3 M
                                                            watershed which is the largest tributary of       communications. A number of conservation
                                                                                                                                                               • CRB leadership and management
                                                            the Upper Zambezi and also feeds into the         related livelihood programmes have also
                                                                                                                                                                 workshops;
                                                            headwaters of the Kafue River system with         been developed in surrounding communities
INVESTED IN CONSERVATION                                                                                                                                       • Employment of a project team including
                                                            extensive wetlands and floodplain habitat.        including the creation of a Community
AND WILDLIFE ACTIVITIES IN THE                                                                                                                                   a Field Operations Manager, Finance and
                                                            From a botanical perspective, the WLMA            Game Reserve in Ntambu Chiefdom, a honey
WEST LUNGA MANAGEMENT AREA                                                                                                                                       Administration and Livelihood field officers;
SINCE 2014                                                  hosts up to a thousand species, of which          out-grower programme and a Community
                                                                                                                                                               • Ntambu Community Game Reserve
                                                            over 50 are endemic. The area also supports       Tourism Camp.                                      management, establishment and wildlife
                                                            large tracts of dry-evergreen Cryptosepalum                                                          stocking;
THE WEST LUNGA MANAGEMENT
AREA SUPPORTS UP TO                                         forests, unique to this part of Zambia. The       In 2020, negotiations began for contract         • Community Business Unit training to

50
                                                            WLMA once supported large populations of a        terms that aim to devolve managerial control       manage tourism, game ranching, fish,
           ENDEMIC                                          multitude of large mammal species including       of some of the WLMA’s protected areas to           non-timber forest product trading and
           PLANT SPECIES                                    elephant, buffalo, sable, roan, Lichtenstein’s                                                       carbon offset provisions;
                                                                                                              the West Lunga Conservation Project, in
                                                            hartebeest, lion, leopard and wild dog.           partnership with DNPW and Community              • CGR Investigation along the south bank of
                                                            Unfortunately, most mammal species have                                                              the Kabompo River to curb encroachment
                                                                                                              Business Units. The overall objective of the
                                                                                                                                                                 and illegal activity;
                                                            been severely impacted by illegal hunting         various partnerships is to restore the WLMA
                                                                                                                                                               • Expansion of market linkages for farmers;
SUPPORTING SOCIAL AND                                       over the last 50 years and today remnant          to its full ecological potential and create an
                                                                                                                                                               • Explore carbon offsetting and trading
ECOLOGICAL DEVELOPMENT                                      populations survive by hiding in the extensive
                                                            forest. In addition to illegal hunting, the
                                                                                                              environment where wildlife and conservation
                                                                                                                                                                 opportunities;
                                                                                                              based economies can thrive. This will
In 2010, Kalumbila Minerals Limited, a 100% owned and       WLMA faces a multitude of ecological threats      generate equitable benefits for surrounding      • Establishment of a fisheries management
                                                            from in-migration, commercial timber                                                                 plan;
operated subsidiary of First Quantum Minerals, developed                                                      communities that aim to reverse the trends
                                                            exploitation, unsustainable agricultural          of unsustainable land use and place a positive   • Formalizing relationships with donors like
the Trident Project (which includes the Sentinel Mine and   practices, encroachment and poor                                                                     WWF and the Nature Conservancy as well
                                                                                                              value on the preservation of the resource.
Enterprise Development Project) adjacent to the West        governance.
                                                                                                                                                                 as seeking additional partnerships and
                                                                                                                                                                 funding.
Lunga Management Area (WLMA). Kalumbila Minerals            In 2014, the Trident Foundation and the           Revenue generation will be facilitated

established the Trident Foundation soon after mining        Zambia Wildlife Authority (ZAWA, now the          through community game ranching
                                                            Department of National Parks and Wildlife)        for the supply and sale of meat, tourism
activities commenced with the mission of supporting         developed a Memorandum of Understanding           (consumptive and non-consumptive), honey
social and ecological development in north-western          (MoU) to guide the implementation and             production, and non-timber forest product
Zambia through health, education, agriculture, local        execution of a project (known as the West         value chain enhancements.
                                                            Lunga Conservation Project ) to provide
business development, livelihood support, and wildlife
                                                            logistical, technical, financial and managerial
and biodiversity conservation initiatives.                  support for the WLMA.                                                                                Visit https://www.westlunga.org for more information

                                                                                                                                                                                                                        17
NUMBER OF FATAL INCIDENTS
SAFETY
2018-2020                                                                                                                                                                                                    12 THINK FATAL DANGERS
                                                                                                                                                                                                             INITIATIVE

In line with our overall safety objective of recording
no fatalities, the Company launched the 12 THINK Fatal
Dangers initiative in 2018. The initiative highlighted the
twelve main safety hazards that employees are exposed
                                                                               2                                                   0                                                    0                         Confined Space

to and then focused attention and resources                                                                                                                                                                       Working at Heights
on mitigating the risks associated with these hazards.
As with our safety policy and the original THINK
campaign, the initiative was applicable to all operations,                                                                                                                                                        Falling Objects
employees and contractors. While these are not our only
                                                                                                                                   2019                                                   2020
hazards, the initiative aims to raise employee awareness                      2018
and reduce the number of incidents associated with
                                                                                                                                                                                                                  Mobile Equipment
these hazards by making employees better able to
identify and manage the risks posed by these hazards.
Further safety initiatives in 2020 included ongoing                   WORK RELATED INJURIES GRI 403-2: NMFR, TRIFR, LTIFR
strengthening of the Health and Safety Management                                                                                                                                                                 Ground Control

System (HSMS) and increased attention on emergency
response preparedness and contractor/supplier
                                                                                                                              2018                              2019                                 2020
management. The HSMS is compatible with the OHSAS                                                                                                                                                                 Hazardous Material Management
18001 (migrating to ISO 45001) standard and has been
                                                                      NMFR                                                  197.00                           231.00                              158.00
implemented at all of our sites. Independent auditing
has shown a steady improvement in adoption and                                                                                                                                                                    Moving Equipment
                                                                      NMFR - Employees                                     242.00                            281.00                              192.00
performance of the standard in recent years. In addition
to adhering to our site protocols and safety standards,               NMFR - Contractors                                    127.00                           152.00                                  92.00
all contractors are provided with an induction and the
                                                                                                                                                                                                                  Energy Isolation
required safety training to ensure that they are able                 TRIFR                                                   0.28                              0.31                                  0.32
to perform their work in a safe and efficient manner.
                                                                      TRIFR - Employees                                       0.26                              0.35                                 0.38
                                                                                                                                                                                                                  Loss of Containment
DEFINITIONS:
                                                                      TRIFR - Contractors                                     0.35                              0.26                                  0.21
•   Fatalities includes contractors and employees;

•   Near Miss Frequency Rate (NMFR) = total near misses recorded x    LTIFR                                                   0.06                              0.05                                  0.06        Explosives & Blasting
    200,000 / hours worked;

•   Total Recordable Injury Frequency Rate (TRIFR) = total injuries   LTIFR - Employees                                       0.05                              0.05                                  0.07
    recorded (LTI+NLTI) x 200,000 / hours worked;

                                                                      LTIFR - Contractors                                     0.09                              0.05                                  0.03        Fires & Explosions
•   Lost Time Injury Frequency Rate (LTIFR) = lost time Injuries x
    200,000 / hours worked;

•   Severity Rate = lost days x 200,000 / hours worked;

                                                                      KEY                                                                                                                                         Human Behaviours
•   LTIFR and Severity Rate include contractors.

                                                                        NMFR - Near miss frequency rate   TRIFR - Total recordable injury frequency rate   LTIFR - Lost time injury frequency rate

                                                                                                                                                                                                                                                  18
TAILINGS STORAGE
FACILITIES                                                   DAM SAFETY                                 • Regular surveys and levelling on all
                                                                                                          embankments;                             RISK REVIEW
                                                             MANAGEMENT                                 • Use of drones for aerial surveillance;
                                                                                                                                                                              Risk Review
                                                             In an effort to further reduce the risk,   • The installation of sophisticated                                   Environmental Health
                                                                                                                                                                              and Safety Committee
                                                             operational controls are in place at         instrumentation including
                                                             each of our TSFs including:                  piezometers (to measure the
                                                                                                                                                                              Group Technical
                                                                                                          presence and level of the phreatic                                  Operational Management
                                                                                                          surface), slope indicators and                                      and Risk Oversight
                                                             • TSF management reviews are
                                                                                                          settlement gauges to provide a
                                                               reported directly to the EHS&CSR
                                                                                                          detailed picture of the developing                                  Engineer of Record
                                                               Committee;
                                                                                                          embankment;                                                         Design and Operational Aspects
                                                             • Quarterly or annual inspection, risk
                                                                                                        • Interpretation of piezometric
                                                               review and reports by independent
                                                                                                          and associated data by external                                     Independent Tailings Experts
                                                               dams specialist;                                                                                               Annual Inspection,
                                                                                                          consultants on an annual basis or
                                                                                                                                                                              Review and Reporting
                                                             • Appointment of competent persons           more frequently if determined by
                                                               at the mine to manage the facility         site conditions;
                                                               with all reporting directly to the                                                                      Operation
                                                                                                        • Embankments regularly inspected
                                                               Mine Manager;                                                                                           Operational Controls and Monitoring
                                                                                                          for erosion, seepage and slumping;
                                                             • Use of approved operating manuals
                                                                                                        • Groundwater quality monitored via
                                                               prepared for each TSF;
                                                                                                          peripheral water monitoring bores;
                                                             • Initiation of dam breach and
                                                                                                        • Group technical staff regularly           LOCATION AND NUMBER OF TSFs OWNED AND
                                                               inundation studies at all active
                                                                                                          inspect the TSFs and review the           OPERATED BY FIRST QUANTUM
                                                               and closed TSFs. The results of the
                                                                                                          operations with mine management.
                                                               dam breach studies will be used to
                                                                                                          Recommendations are prepared to
                                                               improve the early warning system
                                                                                                          improve all aspects of the operation
                                                               and response plan in the event of a                                                 COUNTRY                           ACTIVE          CLOSED
                                                               TSF failure;                               of the facilities.
                                                                                                                                                   Australia                             1
                                                             • Use of Emergency Response Plans          First Quantum has disclosed
                                                               for each TSF. Public sectors will be     information on all of its active and
                                                               engaged to assess the capability of      closed tailings storage facilities as      Canada                                              8
First Quantum manages 22 Tailings Storage Facilities           the Emergency Preparedness and           requested by the Church of England
(TSF), of which 10 are active and 12 are closed. The Bwana     Response Plan. This will include
                                                                                                        Pensions Board. This information is        Finland                               1
                                                               transparency and education of
Mkubwa asset including the TSF was sold in October 2020.       local authorities and collaboration      available on the Company website
                                                                                                        www.first-quantum.com.                     Mauritania                            3
The Company has recognized potential TSF failure as one        with national emergency response
                                                               agencies;
of its most significant risks. All our TSFs have been                                                                                              Panama                                1
                                                             • Regular inspection by the day to
designed in accordance with the guidelines of the              day operators with oversight from
                                                                                                                                                                                         1
Australian National Committee on Large Dams (ANCOLD)           senior management;                                                                  Spain

and the Canadian Dam Association (CDA) Guidelines,           • Close monitoring of the volume of
                                                                                                                                                   United States of America                            3
                                                               water held in the TSF with particular
and operated in accordance with additional relevant            attention to embankment
national operating guidelines.                                 freeboard and drainage;                                                             Zambia                                3             1

                                                                                                                                                   Total                                10             12

                                                                                                                                                                                                               19
You can also read