Mining companies, but not as we know them…

This is a topic that I’ve been mulling over for the best part of a year now, since reading about Mark Cutifani’s ambition to make Anglo American a ‘materials solutions provider’.

The idea of a mining company evolving to become more than a miner, to provide value in new ways and for non-traditional recipients, is intriguing. It seems to me the only way that extractives companies can a) truly call their businesses sustainable, b) elevate environmental and social issues to the same level of importance as metals/minerals production and, c) secure funding in an ever more demanding economic arena.

I sat in on a presentation last week at Mines & Money London by Nikolay Hristov of Dundee Precious Metals (DPM) entitled “From extractivism to development” (great title, questionable grammar; but we’ll gloss over that for now) which confirmed much of my thinking.

The company has been exploring the way that different types of value - intellectual, natural, manufactured, social, relationships and financial - flow throughout the business, and ways that it can augment or enhance its value proposition for different parties. This process has led to the miner evolving its vision statement to the point where the word ‘mining’ no longer features in it. It now reads: ‘Unlocking resources and generating value to thrive and grow together’.

“Our aim is to account for value, be accountable and to make the net sum of our activities positive,” Hristov explained. “It’s a different way of thinking about what we do and what we bring to society.”
 

As part of this, DPM has developed an accounting model that measures and tracks the creation, growth and destruction of value across the mine lifecycle. It will be piloting the application of this at a new project in Ecuador and using the results to refine the feasibility study and mine design, and better communicate to stakeholders what the project could bring to them and the environment. It’s a really bold move, one which I respect, and just one more way in which the company’s innovative spirit is manifesting.

During December, The Intelligent Miner will be exploring the theme of ‘more than mining’ further, looking at how business models and strategies are evolving to include value generating activities like recycling, urban mining, in-situ extraction, innovation… anything outside of the traditional mining remit. I’d love to hear if you’ve come across other examples of companies thinking outside of the proverbial box too. You can drop me an email here.

I’d also like to wish you and your families a really lovely break over the Christmas and Hanukkah period. We’ll be back with lots more cool content in the new year, and the 2023 editorial calendar is available here if you’d like a sneak peek of what’s coming up.

Take care,

Carly