Mining for Closure: Policies, practises and guidelines for sustainable mining and closure of mines

Box 10 Final void fish and seaweed farm

Case example

Final Void Closure – Diamond Coast Aquaculture Venture

Market opportunity

Ponds and infrastructure suitable for shellfish and seaweed farming. Opportunity for remote but picturesque town to explore its long-term tourism potential.

Capital expenditure

Not known however, ZAR 30 million saving in pumping infrastructure for new business.

Longevity

On hold.

Infrastructure

Aquaculture venture uses these open cast excavations as well as existing pumping infrastructure in order to reduce its conventional capital expenditure (about R 30 million).

Employment

The operation will eventually employ 54 people farming seaweed and shellfish

Market

Not known.

Additional benefit

De Beers faces a ZAR 150 million rehabilitation liability with respect to the open cast mining activity that it has conducted along the Namaqualand coast over the past sixty years. By utiliz- ing pits marked for rehabilitation and pumping infrastructure cuts rehabilitation costs by about ZAR 2 million. By providing part of the economic base on which the mining town infrastructure can be sus- tained after mining ceases, the venture would also allow De Beers to receive a return on its investment into Kleinsee. This could avoid the demolition of the remote but picturesque town allowing it to explore its long-term tourism potential.

Fate

Project placed on hold due to inadequate government permitting capacity

managing any downscaling or closure proc- esses can be yielded by such exercises; such activities can serve as a concrete dem- onstration of commitment to sustainable development, as a demonstration of creative capabilities to problem solving to enhance corporate image and as such can yield better chances at accessing new prospecting and mining licences. In the context of this report, it is also highlighted that the case studies provided above underline the key role of government and regulatory bodies – both in terms of flexibility and capacity – in mak- ing such initiatives successful. 5.2.2 re-mining Re-mining projects are those where the wastes (or rejects) of previous mining operations are reproc- essed in order to recover valuable minerals that re- main. Technology advances over the past decades (or even centuries) make it possible for profitable operations to take place in such circumstances and such technology advances continue. As a result, there are many profitable re-mining operations tak- ing place all around the world. •

Pursuant to the above examples, Reichardt (2002) offered a number of comments. Firstly for mining companies – or the holder of assets/physical liabili- ties – he indicates that: achievement of such projects requires person- nel to take a long term view in planning; a remit for innovators must be signalled from the top of the accountable organization; thinking sustainably and creatively can yield concrete financial and social returns; economics and ecology are not inherently at odds; project development of this kind requires a dif- ferent mindset and the introduction of differ- ent skills; it must be accepted that feasibility studies can indeed yield negative outcomes; avoidance of demolition and closure costs for part of a site are possible via such pathways; the transfer of long-termmaintenance require- ments to another viable and sustainable entity is feasible; it is possible to create equity stakes in finan- cially viable businesses that can then be profit- ably disposed of at a later stage; improvement in government and labour re- lations and the resultant greater flexibility in • • • • • • • • • •

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MINING FOR CLOSURE