Natural History Museum Company Review
Anglo American
Compiled by the Development Department
August 2006
Company profile
Anglo American plc is a global leader in the mining and natural resource sectors with revenues in
2005 of $29,434 mil ion. It is listed on the London, Johannesburg, Botswana and
Namibia stock exchanges.
Anglo American has significant and focused interests in gold, platinum, diamonds, coal, base metals,
ferrous metals and industries, industrial minerals and paper and packaging. The Group has operations
and developments in Africa, Europe, South and North America and Australia. It owns stakes in leading
producers of gold (51% in AngloGold Ashanti), platinum (75% Anglo Platinum), and diamonds (45% De
Beers Consolidated). The company’s packaging interests are represented in a significant shareholding
in Mondi. It is one of the world’s largest operators of independent coalmines.
Anglo American is a UK-based company. Formerly known as Anglo American Corporation of South
Africa, it moved to the UK in 1999 and began trading on the London Stock Exchange in an effort to
reach international investors.
In 2000, the company bought UK building materials company Tarmac plc and later sold Tarmac
America to Greece-based Titan Cement for $636 mil ion. That year De Beers paid $590 mil ion for
Anglovaal Mining's stake in De Beers' flagship Venetia diamond mine and $900 mil ion for Royal
Dutch Shel 's Australian coal mining business
The company is currently going through a period of restructuring and there has been speculation in
the business press that it could be subject to take over bids in the near future (see Observer, 20.8.06
for details) The mining industry is general y entering a period of great change. Anglo American
recently announced it was returning $5bn to shareholders through a share buy-back and a special
dividend after a 64% increase in first-half pre tax profit.
The company was founded by the Oppenheimer family. Although they no longer control the
company, Nicky Oppenheimer, who also chairs De Beers, sits on the board. Anglo American became
the largest single shareholder in De Beers in 1929.
The company is currently ful y compliant with the Combined Code on Corporate Governance. It is
governed by a board of directors, more than half of which are independent and non-executive. The
board is chaired by Sir Mark Moody Stuart. The outgoing Chief Executive is Tony Trahar.
Environmental Record
1.
Memberships of benchmark organisations/indices
FTSE4 Good membership
Not currently a FTSE4Good member.
Anglo American’s involvement in uranium mining has previously precluded the company
from membership of the index. The index criteria no longer include a blanket objection to
uranium mining and the company is now eligible for listing.
Source: Ethical Performance, Feb 2006)
JSE (Johannesburg Stock Exchange) Social y Responsible Investment Index.
Anglo American is ranked in the top 6.
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Anglo is one of 22 high impact companies which qualify for inclusion in the relatively
youthful index, created in 2003. The index was compiled with the specifics of the South
African market in mind and there is a distinction between this index and the FTSE4Good
Index – many of JSE SRI listed companies would not make it on to the FTSE4Good Index.
Placing emphasis on sustainability rather than on ethical judgements, the index includes
measures on labour, black economic empowerment and HIV/Aids. This index is voluntary and
only companies listed on the JSE al share index qualify for inclusion.
Source: Business Report - May 20, 2004
http://www.busrep.co.za/index.php?fSectionId=561&fArticleId=2082599)
www.jse.co.za/sri
Morley Sustainability Index
Anglo American ranked D2 according to the 2005 matrix.
This index was established by Morley Fund Management for use by the private investment
community to evaluate sustainable investment opportunities. The matrix considers the
impact of the business sector as wel as of the company itself
According to the Morley Fund Management website, a D rating indicates a company whose
products create sustainability problems (perhaps partly offset by some benefits), but scope to
address through strategic change. (e.g. mining, oil and gas, automotive)
2 rating indicates a ‘Good Company’, progressive within its sector through the development
and implementation of policies and best practice in most areas.
Source:
http://www.morleyfm.com/?url=http://www.morleyfm.com/uk/retail/social y_responsible_inve
sting/sustainability_matrix/index.htm
Business in the Community Member
Earthwatch Corporate Environmental Responsibility Group (CERG)
According to Earthwatch, “Anglo American joined CERG in 2003 and piloted an employee
engagement programme with Earthwatch in 2004 which links to their international training
programme. Employees coming to the UK for internal management training joined an
Earthwatch conservation field research project in order to enhance their personal awareness
and understanding of relevant environmental issues. In 2005, both parties hope to develop a
strategic partnership of employee engagement and environmental research.”
Member of the UN Global Compact
Anglo American joined the Global Compact in June 2004 and subscribes to the Compact's 10
Principles.
International Emissions Trading Association member
IETA is the self-styled ‘premier voice for the business community on emissions trading’. Its
website states it is “dedicated to the objectives of the United Nations Framework Convention
on Climate Change and ultimately climate protection; “
http://www.ieta.org/ieta/www/pages/index.php?IdSitePage=681&ChosenID=12
Association of Chartered and Certified Accountants awards for sustainability reporting, 2004
Anglo American received a special commendation for its sustainability reporting for 2004 .
The company received the commendation ‘for articulating the chal enge of sustainable
development for their business’.
(Business in the Community news item taken from bitc.com. Posted 25/02/05)
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2. Environmental notices from Ethical Research Consumer CSR database and other
sources
Notices for Anglo American
An article in the Observer dated 9th November 2003, reported that Anglo American had
denied liability in respect of a claim against it al eging poisoning and environmental
destruction at a former lead mine in Kabwe, Zambia. Richard Meeran of British law firm Leigh
Day cited a recent World Bank report estimating that as many as 200,000 people could have
suffered lead poisoning at the mine, and planned to claim tens of mil ions of pounds in
compensation on behalf of affected miners and local residents.
Source: Observer newspaper: Anglo in Soweto dock, 9 November 2003
The BBC covered the story of the lead mine’s effect on the local community in an online
article entitled
Zambia’s child poisoning tragedy on the 6th November 2003. Anglo
American’s name was not mentioned in the coverage. It does mention a former state-owned
company that ran the mine, ZCCM Investment Holdings. ZCCM-IH was privatised by the Zambian
government in 2000 and it is at this point that Anglo American may have become involved in the
company, although research cannot corroborate this. Anglo American was a major shareholder in ZCI,
Zambia Copper Investments which in turn was an investor, along with ZCCM, in Konkola Copper Mines
plc. It reported that the Kabwe lead mine closed in 1994.
Source: Zambia’s Child Poisoning Tragedy, BBC News 6.11.2003,
http://news.bbc.co.uk/1/hi/world/africa/3241037.stm
A 2002 BBC online report records that Anglo American pul ed out of mining operations in
Zambia in 2002. The article stated the withdrawal fol owed nine years of negotiations over
the privatisation of the mines, and after just two years of running them. Anglo cited low
world metal prices and lack of profits as their reason for pul ing out of the Zambian mining
market.
Source: Anglo American quits Zambia, BBC News 20.8.02,
http://news.bbc.co.uk/2/hi/business/2205509.stm
Member of Global Mining Initiative
According to the second quarter 2002 edition of Link, Friends of the Earth International's
magazine, in the 'later 1990s' mining companies, anxious about revelations of the
environmental damage and human rights issues surrounding mining, formed the Global
Mining Initiative. Anglo American was listed as one of the initial financial supporters of the
group. According to the article, this group was said to exist to promote mining as a
sustainable industry and to counter the arguments of environmental and human rights
organisations. Such groups were said to have refused to work with the organisation, saying
that it lacked credibility or legitimacy and accusing it of 'greenwash.'
Source: /Link: 2nd quarter 2002 (1 April 2002)
In August 2002, Friends of the Earth International published a report,
Anglo American plc:
financing the summit, plundering the earth, in which it detailed what FOEI perceived as the
company’s poor record on social and environmental issues. The report was a response to
Anglo’s funding of the Johannesburg Earth Summit that same year.
Issues raised in the report included:
o
Anglo-American’s legacy of environmental and community damage during the years
of apartheid in South Africa
o
Criticisms of Anglo American’s copper mining activities in Zambia which FOEI claim
are in violation of OECD guidelines for multinational enterprises. It also claims that
when Zambia’s copper mines were privatised in 2000, Anglo obtained secret
agreements on tax, royalty payments, repatriation profits and non-liability for past
and future pol ution. It then states that Anglo has announced its withdrawal from
Zambian operations.
o
Criticisms of Anglo’s plans (via Quel aveco Mining Corporation subsidiary) for a
copper mine in southern Peru. FOEI claimed the company wil use large volumes of
water at limited cost and points out that the region is one of the driest in the world.
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It claims the company also has plans to divert a river and dispose waster in the old
riverbed. It reports on disquiet within the local community over the plans. The report
questions the adequacy of the environmental impact assessment judged by the
criteria of the World Bank. The report also highlights, the threat to the Chilota
wetland from pol ution, as wel as threat to local methods of crop irrigation.
Anglo American’s website confirms that it owns 80% of the company. The other 20%
is owned by the World Bank’s International Finance Corporation.
Research has been unable to find further comment about this project that does not
come from the FOEI source report.
Source: Anglo American plc: financing the summit, plundering the earth, FOEI
briefing, August 2002
Anglo American activities in Chile
According to the April 2001 issue of Multinational Monitor, Anglo American was one of a
number of companies running copper mines in Chile. The Multinational Monitor article
draws attention to the environmental risk attached with these mines – with large number of
tailings ponds associated with mines which had no post-closure plans. Many of the
multinational companies operating in Chile were also criticised for only exporting cheap raw
copper instead of improving input into the Chilean economy by processing the copper there.
Copper mining is the number one industry in Chile.
Source: Multinational Monitor: 1 April 2001
Member of the World Business Council for Sustainable Development (WBCSD). A Strategic
Partner. A free trade lobby group. WBCSD had been accused by Corporate Europe
Observatory of 'hijacking' the Rio Earth Summit in 1992. It was reported that in 2000, the
WBCSD had provided advice on developing carbon emissions trading - a method described
by Ethical Consumer as al owing corporations and governments to avoid cutting their
greenhouse gas emissions through trading.
Source: Ethical Consumer: 69 (1 February 2001)
3.
Notices for Anglo subsidiaries
Mondi –paper producer
According to Mondi's 2004 Sustainable Development Report, in September 2004,
concentrated black liquor had leaked into the Slovakian Ruzomberok mil 's wastewater
treatment plant during the start up of a new recovery boiler. As a result, Mondi reported its
permissible effluent limit for biological oxygen demand into the River Vah had been
exceeded.
Source: Mondi Corporate Communications: Sustainable Development Report 2004 (2004)
According to Mondi's Sustainable Development Report 2004, the group had, during 2004,
received 11 safety, health and environmental warnings issued by authorities, leading to a
total of $36,583 paid in fines for environmental related incidents.
Source: Mondi Corporate Communications: Sustainable Development Report 2004 (2004)
A South African Community leader, Desmond D’Sa was reportedly preparing to chal enge
Anglo American at its April 25th 2005 AGM over al egations of pol ution by its subsidiary Mondi.
Mr D’Sa, leader of the South Durban Community Environmental Al iance was backed by
Friends of the Earth in the movement. FOE maintained at the time that Mondi was
considered to be one of the biggest pol uters in the South Durban area, a pol ution hot-spot
according to FOE.
Source: http://www.foe.co.uk/resource/press_releases/south_african_pollution_sc.html
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Tarmac
ENDS (Environmental Data Services Ltd) reported in 1995 that, after water and food
companies, construction and aggregate firms were the third most frequently prosecuted by
the NRA. 'Top of the league' were ARC, Tarmac, Balfour Beatty and RMC. It should be noted
that at this time, Tarmac was not owned by Anglo American
Source: ENDS Report: 246 (1 July 1995)
De Beers
According to the company website www.debeersgroup.com, viewed by ECRA in July 2005, in
2004 the group had experienced 70 'moderate' environmental incidents and 1244 'minor'
ones. Moderate incidents were defined by the company as "associated with a widespread or
localised, medium-term, reversible significant ecological or social impact and/or has a risk of
legal liability."
Source: De Beers SA Corporate Communications: www.debeersgroup.com (6 July 2005)
Hudson Bay Mining and Smelting
According to an article that appeared on the planetark.com website, in its 9th annual survey,
the Montreal-based Commission for Environmental Co-operation concluded that lead is stil
the biggest pol uter in North America. Its compounds remain the leading developmental
toxin released by industrial facilities, with much of it coming from just three base metal
smelters in Canada. The report stated that said the top emitter of lead on site was a base
metal smelter owned by Hudson Bay Mining and Smelting in Manitoba, a company spun off
in 2004 by Anglo American Plc.
Source:
http://www.planetark.com/dailynewsstory.cfm/newsid/30960/story.htm, posted
25.5.05
4. Anglo American environmental policy
Good Citizenship
Anglo American has developed an umbrel a concept of 'Good Citizenship' which sets out the
Company's view about the rights and responsibilities of international companies. This
includes its policy on environmental matters as wel as wider social commitment.
Safety, Health and Environment Policy
The company states it has adopted a comprehensive SHE policy which wil be monitored
through regular reporting, and wil be continual y reviewed and developed. The company
states it recognises “the need for environmental stewardship to minimise consumption of
natural resources and waste generation and to minimise the impact of our operations on the
environment.”
Anglo American Report to Society
For the last two years, Anglo American has produced a Report to Society, a comprehensive
document addressing the company’s sustainability performance. The 2004 report – the first
of its kind – was widely praised by shareholders, business leaders and third sector
organizations for its frank and thorough approach. Report to Society 2004 was declared top
sustainability report by the Association of Certified and Chartered Accountants, UK, an award
shared with the BT plc.
The report al ows Anglo American to comment on its performance against its self-set criteria
in a number of areas. Where its environmental performance is concerned, the company has
for the past two years set itself measurable targets in the fol owing categories: energy use,
air quality, water use, biodiversity. In broad terms, Anglo American has committed itself to a
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reduction in CO2 emissions and increased energy efficiency, an improvement in air quality
and water efficiency, active biodiversity conservation and responsible land use.
Anglo has used the Global Reporting Initiative’s 2002 guidelines and the draft boundary
protocol in the production of reports.
Details of Anglo American’s 2004 targets, its 2005 performance against these targets, and
future targets for 2006 and beyond are included in the appendix. Although Anglo American
has not met al of its targets in the area of environmental performance, it does seem to be
engaged in a sustained process of improvement, and a process that appears to be
transparent.
Sustainable development principles
In its Report to Society 2005, the company outlines its sustainable development principles:
We wil :
Be ethical, efficient and create value
Create meaningful employment in safe, healthy environments
Reduce our environmental footprint and contribute to biodiversity
Increase innovation, technology and process improvement
Contribute to building more adaptable societies.
ISO 14001 certification
According to the company’s website, more than 88% of the Group’s operations
(measured by turnover) are now certified to third party environmental management
systems – either ISO 14001 or the Forest Stewardship Council.
All operations are required to be certified within two years of joining the Group. The
ongoing target is that this level of certification, up from 83% in 2004, should be
maintained.
Environmental incidents
The 2005 Report to Society included information on environmental incidents reported by
the group. It stated that in the first years after ISO 14001 implementation it is typical to see
a steep increase in Level 1 incidents (the lowest level), which have minor or short-term
impact. It reported that as most Group operations were now ISO 14001 certified, these
incidents are starting to level off.
The company reported that Level 2 incidents increased by 5% in 2005 to 174. The company
is aiming to put in place preventative measures to address Level 2 incidents. No Level 3
incidents, which have major impact and long-term effects, were reported.
The Level 2 incidents were mostly related to water pol ution. The company gives the example
of the Namakwa Sands Mineral Separation Plant in South Africa, a Level 2 incident owing to
acid water seepage. The remediation of the problem has since been achieved by a project
valued at over R30 mil ion ($4,7 mil ion) for the construction of an acid neutralisation plant
which treats acidic effluent before it is discharged to evaporation. Further details of incidents
reported are available in the Report to Society.
Biodiversity
In 2003, Anglo American set itself the target of having biodiversity action plans in place at al
significant sites by the end of 2004 – this was achieved. The company has since set up teams
of internal environmental specialists to review 10 of these biodiversity action plans, to
promote learning across the Group, share best practice and assess the success of the action
plans. The overriding aim is to integrate biodiversity management into management systems.
According to Anglo American’s website, a group policy on the management of biodiversity
will soon be published along with guidelines for operational companies on sound
biodiversity management practice.
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Examples of Anglo American and subsidiaries’ work in biodiversity conservation include:
o
Tarmac’s work to restore habitats and encourage wildlife at its quarries in the UK
o
Anglo American’s Los Bronces division has backed a biodiversity project at the Yerba
Loca nature reserve near Santiago to plant native flora species, provide training and
helping in conservation of the Andean Condor and other birds of prey
o
Anglo American has pledged to restore some of the wetlands of the site of its newly
operational Isibonelo coal mine in Mpumalanga, South Africa. The company
maintains that even before the first coal was produced in 2005, that it had planned
how it would restore the mine at the end of its life.
Source: http://www.angloamerican.co.uk/cr/sustainabledevelopment/biodiversity/
Climate Change
In its Report to Society 2005, Anglo American states it is a major emitter of greenhouse
gases. The Group has a target of a 10% reduction in carbon intensity over the period 2005 to
2014. The Group is also looking for cost-effective ways in which carbon emissions can be
reduced directly.
The company developed and introduced a climate change policy in 2001 in a col aborative
initiative led by the World Business Council for Sustainable Development (WBCSD)
(www.wbcsd.org) and the World Resources Institute (WRI) (www.wri.org).
Key elements of the policy include a commitment to monitoring and participating in
international processes to “meet the challenges” of climate change, collaboration in R&D
programmes on this issue, incorporate climate change considerations in business
planning, exploration of opportunities for the use of the market-based emissions reduction
mechanisms proposed in the Kyoto Protocol.
Source: http://www.angloamerican.co.uk/cr/sustainabledevelopment/climate/
In 2006, Anglo American plc and Shel Gas & Power International B.V. announced the formation
of an al iance in the field of coal conversion to clean energy. The two leading companies aim to
maximise the benefits from the emerging field of clean coal energy by taking selective equity
positions in coal conversion projects. These projects wil utilise the extensive coal reserves of
Anglo American and combine its mining capabilities with Shel 's leading-edge technologies. The
objective is to extract, gasify and then convert coal into chemicals, hydrogen, power, liquid
hydrocarbons and other uses.
http://www.planetark.com/dailynewsstory.cfm/newsid/36554/story.htm
Anglo’s 2006 online Press Archive
Human rights history
1. Memberships awards and affiliations
UK’s Business in the Community International Award
In June 2005, Anglo American received the UK’s Business in the Community International
Award for its contribution to the achievement of the Mil ennium Development Goals in
Africa.
Anglo American plc was accepted into membership of the Voluntary Principles on Security
and Human Rights in January 2005 fol owing a lengthy period of risk assessment and for the
preparation of materials for implementing the Principles.
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1. Corporate critic notices
Anglo American
Comment on Anglo American’s role in pre- and post- apartheid South Africa
In 2004, Ethical Corporation reported comments from South African President Thabo Mbeki
in his weekly online letter ANC today accusing the company of paying black workers badly
during apartheid and of withholding investment in South Africa. The comments are believed
to be in response to Anglo CEO Tony Trahar’s explanation to the Ft as to why Anglo intends
to stay in South Africa and his conclusions that while the political risk of investing in the
country has not gone altogether, it is diminishing.
President Mbeki’s response was: "The poor and marginalised who worked for Anglo American
and other companies for a pittance and built them up during the years of minority rule are
today's voters. For 10 years they have made it clear that they care too much for the future of
their children to have the past and its instincts determine that future. They chose
reconciliation rather than revenge. Do they deserve to be seen as a political risk?"
Opposition leader Tony Leon accused Mr Mbeki of deliberately misrepresenting Traher's
original comments. His view is that Traher was in fact praising the government for lowering
the risk of investment.
Minerals and Energy Deputy Minister Lulu Xingwana also launched a scathing attack in the
National Assembly on "rich white cartels that are continuing even today to loot our
diamonds, taking them to London, that are continuing today to monopolise the mining
industry".
Despite this, Anglo American says that it remains committed to its operations in South Africa,
and points out that it has recently had new investments worth R26, bil ion approved. The
company draws a third of its £6.5bn turnover from South Africa.
SourceL Ethical Corporation 30. 3.,2004
According to Anglo American's website (www.angloamerican.co.uk), accessed by ECRA on
the 11th July 2005, through various of its subsidiaries or joint ventures it had involvement in
operations in a number of countries which were, at the time of writing, on ECRA's list of
oppressive regimes. These countries included: Brazil, China, Israel, Russia, Tanzania, the
United Arab Emirates and Zimbabwe.
Source: ECRA 11.7.05
Red Pepper October 2003 reported that in September 2003 the High Court had heard a case
brought by former South African miners seeking damages for negligence that they claimed
had caused them to contract silicosis while working in Anglo-American owned gold mines.
Source: Red Pepper: 112 (10 January 2003)
In its Report to Society 2005, Anglo American confirms that “19 separate court actions for
personal damages sustained from the lung disease, silicosis, were launched against Anglo
American South Africa by mineworkers. Anglo American denies that it is liable to any of the
claimants and is defending the claims, 11 of which have been struck out by the court. “ It goes
on to outline the mining industry and government’s efforts to find “practical and sustainable
solutions” to overcome these difficulties and a statutory compensation scheme.
Source: Report to Society 2005
De Beers
According to an article in the Guardian, dated 5th July 2005, De Beers was one of a number
of members of Business Action for Africa, a corporate grouping set up in connection with the
G8 summit in Scotland in July 2005 and proposed government action on poverty in Africa.
The group was said to be arguing in favour of liberalised economic practices in Africa and a
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business environment which would al ow multinational corporations to profit from business
there. The article stated that previous 'investment' of this type had only brought poverty and
damage to the population of the continent.
Source: www.guardian.co.uk: Africa's New Best Friends (5 July 2005
Subject to boycott cal by Survival International. The organisation al eges that De Beers
col uded in the eviction of the Central Kalahari Bushmen in Botswana to make way for
diamond mining. The organisation ran a number of protests, picketing a new De Beers store
opening in New York in June 2005 and the Diamonds exhibition opening at the NHM in July
2005. In a press release for the 23rd June 2005, Survival International stated it and "many
independent observers" believed that the Kalahari Bushmen had been evicted from their
ancestral homeland in Botswana because of diamonds. According to the press release al
diamond mines in Botswana were run by De Beers. Survival International reported that earlier
in the month three Bushmen had been tortured by wildlife officials for suspected hunting.
Source: Corporate Critic/ Survival International Press Release 4.8.05, 23.6.05
An article in The Ecologist September 2003 reported that De Beers had been given diamond
mining concessions in the Central Kalahari Game Reserve (CKGR) by the Botswanan
government. The Botswanan government evicted by the Bushmen from their ancestral lands
in the CKGR in February 2002, claiming that it was for conservation purposes and that the
evictions had nothing to do with diamonds. The article also reported that the permanent
secretary of the Botswana ministry of minerals, energy and water affairs was also the deputy
chairman of the mining company Debswana, co-owned by the Botswanan government and
De Beers.
Source: Ecologist Sept 2003 The: Volume 33 number 7 (September 2003)
De Beers has published an extensive explanation of its activities in the Central Kalahari Game
Reserve on its website and refutes Survival International’s al egations. It too reiterates the
Botswanan government’s statement that Gana and Gwi San communities were relocated to
provide them with better health, education and social provision. It also quotes a number of
what it cal s independent observer who have questioned the link between relocation and the
diamond mining industry including British MP Dr Jenny Tonge,
Source:
http://www.debeersgroup.com/debeersweb/General/News+Archives/Issues/
According to Corporate Watch March/April 2003 De Beers was one of 85 companies who
"facilitated the plunder of the Congo and il egal y profited from the war”, named in a report
of an independent panel of experts who reported to the United Nations Security Council. The
Panel had previously found that the war in the Congo " has become mainly about access,
control and trade" of minerals.
Source: Corporate Watch March/April 2003
On its website in October 2003, De Beers expressed its disappointment that “not
withstanding its detailed response to the al egations contained in the UN Panel of Experts on
Democratic Republic of Congo report of October 2002, the Panel persists in suggesting that
De Beers is in breach of OECD Guidelines on Multinational Enterprises as a result of the al eged
rough diamond buying activities of two of its clients, or Sightholders”
Source:
http://www.debeersgroup.com/debeersweb/General/News+Archives/News+Archives+20
03/De+Beers+and+the+UN+Panel+Report+on+the+DRC.htm posted 23.10.03
AngloGold Ashanti
According to a report published by Human Rights Watch in June 2005, 'The Curse of Gold',
AngloGold Ashanti was al eged to have contravened its own code of conduct as wel as
international business standards by providing financial and logistical support to an armed
group responsible for "some of the worst atrocities" in the Democratic Republic of Congo.
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Although the company claimed that there had been no relationship with the group, it had
admitted to making payments, including one as recent as 2005. "As a company committed to
corporate social responsibility, AngloGold Ashanti should have waited until it could work in
Mongbwalu without having to interact with abusive warlords", said a spokesperson from
Human Rights Watch. HRW argued that the company should have known that the FNI had
committed grave human rights abuses against civilians. The Democratic Republic of Congo
was on ECRA's list of oppressive regimes at the time of writing.
Source: Human Rights Watch: The Curse of Gold (June 2005)
3. Anglo American Human Rights policy
Workers welfare and rights are covered in Anglo American’s Safety, Heath and Environmental
issues policy. The company’s social responsibility policy includes a commitment to, “uphold the
values of good corporate citizenship and seek to contribute to wider economic, social and
environmental wel -being in al the countries where we do business.”
The company has also developed a series of management principles that al of its business
must adhere to which outline clear lines of accountability, and a commitment to ongoing
evaluation and stakeholder engagement.
Source:
http://www.angloamerican.co.uk/cr/socialresponsibilty/principles/
2004 targets in the area of human resources include commitments to improve work
environments, fighting corruption, making progress towards equality targets in South Africa.
Most targets were met in 2005 with the exception of the commitment to control workplace
health hazards and avoid new cases of occupational disease and health impairment. These
targets can be viewed in ful in the Appendix.
Anglo American has a separate policy for addressing HIV/AIDS issues in the workplace and
carries out an extensive programme of care for employees affected by the disease.
Anglo American and other orgs:
Social investment
In 2005, Anglo American is said to have contributed $56.7mil ion (1.0% of pre-tax profit) in
charitable donations and community social investment, an increase of $9.3mil ion over
2004. This excludes core business activities such as work on local business development,
workplace HIV programmes etc. Priorities mostly relate to projects involved with
international development objectives. Central corporate donations fund also supports
education, health (with priority given to HIV/AIDS) and environmental programmes and
community development projects in central London
Source: http://www.angloamerican.co.uk/article/?afw_source_key=4B1A37EB-E942-41F2-
A74C-94F7C01F5BB6
Partnerships
In 2003/2004, Anglo American and subsidiary Tarmac supported the staging of a major
exhibition of British archaeological artefacts 'Buried Treasure' which started at the British
Museum before moving to four (Cardiff, Manchester, Tyneside and Norwich) provincial
centres;
Supported the establishment of the Merensky Room at the Natural History Museum.
The company also supports work with homelessness charities (Centrepoint and the London
Connection) and the refurbishment of St Martin's in the Fields.
The Natural History Museum Cromwel Road London SW7 5BD tel: +44 (0)20 7942 5000 www.nhm.ac.uk
In 2006, Anglo America pledged $2.5 mil ion in support for the NEPAD Investment Climate
Facility, launched at the G8 2005 summit in Gleneagles, according to Sir Mark Moody Stuart,
an important element in delivering the agenda set by the Commission for Africa. The
Investment Climate Facility is a public-private partnership which wil encourage the growth
of responsible business activity
http://www.angloamerican.co.uk/article/?afw_source_key=76E961E8-9EA3-496B-B83F-
4A1E50CE9562&xsl_menu_parent=/newsandmedia/pressreleases/archive2006/
Anglo American has launched a major new partnership to develop HIV/AIDS services in
Africa. The partnership is the work of the Department of Health, US-based health charity, the
Henry J Kaiser Family Foundation, the Nelson Mandela Foundation and the Global Fund for
AIDS, TB and Malaria. It builds on project models of LoveLife’s national adolescent friendly
clinic initiative (NAFCI). LoveLife currently runs 60 NAFCI clinics around the world which
provide care, testing and advice for HIV/AIDS sufferers.
Anglo American has stated its intention to provide R30mil ion over three years to the
initiative. Additional funding from the Global Fund wil enable loveLife to expand to 200
clinics in the next 18 months and 900 in the next three years. The clinics wil offer easy
access to prevention services, voluntary counsel ing and better care for victims.
Source: http://www.angloamerican.co.uk/article/?afw_source_key=6531A320-7776-47F8-
9BE7-2279AF55D146&xsl_menu_parent=/cr/hivaids/library/releases/
Corporate members of the Geological society
Supported national Tree week in 2004
The Tree Council’s National Tree Week, which is supported by Anglo American plc and its
subsidiary, Mondi Packaging
http://www.treecouncil.org.uk/press/GriffRhys.htm
Corporate Member of Sight Savers. Supporting National Onchocerciasis Team in Mali,
training of ophthalmic personnel in Tanzania,
Source;
http://www.sightsavers.org.uk/Support%20Us/Corporate%20Partnerships/Our%20Corporate%
20Partners/Mali1682.html
Corporate members of the National Portrait Gal ery
Earthwatch CERG member
Mondi
Mondi and WWF International signed a technical co-operation agreement during 2005.
Mondi is also the main sponsor of the Mondi Wetlands Project in South Africa. In Russia, it is
working in partnership with a Silver Taiga project for high conservation value forests. It is
working at international level on projects to address il egal logging. With Anglo American it
co-sponsored a WWF Freshwater conference held in South Africa.
Source:Anglo American website
The Natural History Museum Cromwel Road London SW7 5BD tel: +44 (0)20 7942 5000 www.nhm.ac.uk
Appendix 1
Targets
Target achieved
Interim target achieved, ongoing
Target not achieved
More work required
Focus
Our goals
Our performance in 2005
2006 and future targets
Integrate sustainable
Sustainable development
Material capital projects
Policy and methodology
development into business
appraisal of investment
reviewed
refinement and operational
model
proposals
testing
Develop Sustainable
Workshop held and tools
Policy and methodology
Development toolbox for
being assessed
refinement and operational
engineers
testing
Raise focus on product
Focus on REACH, awareness
Develop Group policy and
stewardship and recycling
raising undertaken
guidelines on materials
stewardship
Engage key suppliers on
Procurement checklist, policy
Supplier workshops and
principles, practices and
and guidelines developed
capacity building within
targets
procurement teams
Develop integrated mine
Being tested at operational
Ongoing
closure guidelines
level
Develop integrated mine
Ongoing
closure guidelines
Full ISO 14001 certification
88% certification – by
Maintain level of certification
turnover (up from 83% in
2004)
Transparency and reporting
Increased stakeholder
Feedback from over 200
Additional research to be
engagement on external
people considered
launched in 2006
reporting
Fight corruption
Ensure quality and follow-up
Effective global coverage
Ongoing awareness raising
on
speakup reports
achieved, 247 calls received
and action
during 2005
Safe work environments
Work without fatal injuries and
46 fatalities (down from 49 in
Roll out new safety strategy
minimise work-related injuries
2004). FIFR at 0.017 – lowest
focused on clear, consistent
on record
standards, zero incidents and
no repeats
Reduce LTIFR by a further
LTIFR for 2005 is 0.94
0.64 in 2006, representing a
35% to 0.5: Review contractor
Contractors are fully
32% reduction
selection and integration of
integrated into our safety
The ultimate goal of zero
contractors into our safety
systems
harm remains
programmes
Healthy work environments
Control workplace health
1,003 new cases (2,033 for
Our ultimate goal remains one
hazards to avoid new cases
2004): 63% are NIHL
of zero harm – as for safety.
of occupational disease and
We shall focus on reducing
health impairment
exposure to potential
industrial hygiene hazards in
order to minimise new cases
of occupational illness
Certification to 3rd party
75% certification to
Maintain level of external
health and safety systems will
OHSAS18001 or equivalent
certification (or higher where
be at least 75% complete by
achieved
appropriate to risk)
the end of 2005
Establishing a merit-based
All managers/professionals
Individual reviews up 10% on
Ongoing focus – key method
and empowering culture
have individual performance
2004 and now cover 51% of
of providing direction and
and development reviews (a
employees (12% of whom are
development for our
large proportion of our
managers)
employees
workforce is subject to team-
based targets and reviews)
The Natural History Museum Cromwel Road London SW7 5BD tel: +44 (0)20 7942 5000 www.nhm.ac.uk
Progress towards
40% historically
To continue transformation
employment equity targets in
disadvantaged South Africans
programmes and to maintain
South Africa
in management
or exceed the South African
target
Conduct Group
Conducted with 78%
Ongoing improvement in
communication survey
participation amongst the
employee communication and
sample and results have been
sharing of knowledge Repeat
fed back
survey in 2007
Evaluate and extend Group
Enterprise Information Portal
Enrich content, facilitate
Information Portal programme
established and rolled-out to
greater sharing of knowledge
all corporate functions and to
and collaborative working and
parts of Coal, Base Metals
increase reach of the platform
and Platinum
Fight HIV and AIDS
50% VCT by the end of 2005
Full VCT take-up amounts to
50% VCT (long-term 100%) in
and 75% by 2007
about 30% (49% for
high-risk areas
counselling and voluntary
testing)
Work in partnership with
Active management of
To continue and reappraise
NGOs, governments and
partnerships
partnerships in their ability to
donor agencies
aid delivery of key objectives
Grow our role as corporate
Finalise resettlement policy
Resettlement policy remains
Complete policies
citizens
following international review
in final draft pending
of IFC safeguard policies
promulgation of new IFC
Safeguard Policy
Implement training
Training manual produced,
Embed compliance and
programme on security and
divisional champions
reporting system, sharing
human rights
identified and initial training
experience and good practice
workshops conducted
Develop human rights
Produce in context of work by
guidelines
the UN on business and
human rights
Understand community issues
Community Engagement
Community Engagement
100% of significant operations
Plans in place and improve
Plans in place at 91% + of
to have community
the quality
‘significant’ sites.
engagement plans in place.
Improvements made in many
Improve quality
CEPs as a result of SEAT
implementation
45 SEAT assessments
31 SEAT Reports have been
Conduct assessments at 55
conducted
completed (covering 27 sites)
sites, carry out and publish
and a further 17 assessments
review of existing
are in train
implementations and develop
SEAT 2 by end 2006
Training on social issues
Social forums held to build
To develop guiding role of
through community of practice
awareness and capacity
Steering Group and to
amongst managers. Steering
establish a community of
Group for community of
practice through Anglo
practice established and core
Information Portal as
materials developed –
information resource and
awaiting launch in 2006
knowledge sharing
opportunity
Reduce CO2 emissions
A 12% improvement in energy
More than 1000 projects
Increase energy savings
energy efficiency
efficiency by 2014
underway
target to 15% of the 2004
baseline by 2014
A 10% reduction in CO2
1.7 MtCO2 certificates
Ongoing target
emissions per unit of
available for trade in the
production (emissions
2005-2007 period. Energy
intensity) by 2014
efficiency projects throughout
the Group
Establish definitions, reporting
Progress made with the
To complete in 2006
boundaries and determine the
analysis of transportation
CO2 relating to transport by
emissions
2006
Improve air quality
Development of data on SO2
Work in progress. Data
To be completed in 2006
emissions from fossil fuel use
incomplete. Local
to be completed in 2005
improvements measured by
Anglo Platinum and Mondi
The Natural History Museum Cromwel Road London SW7 5BD tel: +44 (0)20 7942 5000 www.nhm.ac.uk
New target
Develop Group policy,
strategy and guidelines for air
quality management
Improve water efficiency
Efficiency targets in water-
All divisions have set targets
These will remain site-specific
stressed areas
appropriate to their
objectives
businesses and sites
New target
Develop a policy, strategy and
guidelines for the production
of integrated water
management plans, with
particular focus on acid rock
drainage
Conserve biodiversity
Biodiversity action plans (
Complete for 4 divisions. 13
Finalise integration of
BAPs) to be integrated into
BAP peer reviews completed
biodiversity management into
ISO 14001 systems Peer
(target exceeded)
management systems and
review of 10 BAPs
our way of business.
Disseminate lessons, update
guidance
Continue working with ICMM
Ongoing work with the IUCN
Ongoing
and leading conservation
(in collaboration with ICMM
organisations
member companies), with
WWF, Conservation
International, Earthwatch
Assess the Group’s exposure
Protected areas working
Undertake an annual
to protected areas
group established, WCMC
assessment of the Group’s
database made available,
exposure
members assessed the
overlap of their land holdings,
consolidated report produced
Responsible land use
Closure plans for all managed
This is a regular process.
Ongoing
operations will be regularly
Total provisions amounted to
updated and fully costed
$1,088 million at the end of
2005
Minimise and manage Wastes
Group tailings risk
Risk report produced annually
Ongoing
assessment
New target
Expand tailings guideline
document to include waste
rock, heap leach pads,
backfilling and slag disposal
New target
Establish baselines for all
waste volumes in 2006 and
reduction targets in 2007
The Natural History Museum Cromwel Road London SW7 5BD tel: +44 (0)20 7942 5000 www.nhm.ac.uk
