Peru Communities, Copper Mine Reach Historic Agreement
21 December 2004
Tintaya Dialogue Table results in substantive agreement to address social, environmental problems related to copper mine.
Culminating four years of work, communities near the Tintaya Copper Mine in Cusco, Peru, and its owners BHP-Billiton have negotiated an agreement, summarized below, and announced on December 21st, 2004.
Tintaya Dialogue Table
Consolidation Agreement of the Dialogue Table Process
Summary
Representatives of five Tintaya communities in Espinar Province, Cusco; the BHP Billiton Tintaya mining company; the National Coordinating Body of Communities Affected by Mining (CONACAMI); the Coordinating Body of Cusco Communities Affected by Mining (CORECAMI-Cusco); development agencies, and Oxfam America, all members of the Tintaya Dialogue Table, signed an agreement that established the following commitments, among others:
Acquisition of Lands for Communities
The Company reiterates its commitment to a land exchange, acquiring new lands for each of the Communities, based on the amount of land expropriated by the Government and subsequently purchased by the Company, plus between 25% and 50% in additional lands, depending on the land quality, as determined with the Communities. Decisions will be made by consensus in the Dialogue Table and will be ratified by the respective Communities at their assemblies.
Ownership of the Lands
The Company reiterates its commitment to begin procedures for the legal transfer of ownership of the lands acquired for the Communities, once this agreement is signed.
Executive Land Commission
The Executive Land Commission will prepare the work plan with each of the Communities to accelerate the process of identifying and acquiring the lands required to fulfill the commitment assumed by the Company within a period of six months.
Technical Assistance for Settlement on the Lands
The Company agrees to provide the technical assistance necessary for the settlement of community members on the new lands, for a period of approximately two to three years. The Company will provide the means and resources for the transportation and settlement of community members on the new lands, in accordance with the [negotiated] reference list.
Sustainable Development
The members of the Dialogue Table recognize the importance of sustainable development for the survival and future of the Communities and believe that in order to exercise the right to sustainable development, Communities must determine their own rhythm of change, in keeping with their development vision and plans and their decision-making processes.
Community Development Fund
The members of the Dialogue Table approve the creation of a Community Development Fund. The resources can be obtained from international development agencies, as well as public and private organizations, both national and international, in addition to the funds committed by the Company for the development of the Communities.
Human Rights
The members of the Dialogue Table reiterate their commitment to implement the agreements of the Human Rights Commission. Moreover, the Company agrees to address, with humanitarian criteria, the cases identified in the Final Report prepared by the Legal Defense Institute (IDL).
Environment
The members of the Dialogue Table reaffirm their willingness to work together to protect the environment, in accordance with the environmental quality standards adopted by consensus in the Dialogue Table. The Environmental Commission will establish the guidelines and methods for the following: the implementation of Joint Environmental Assessment plans or programs; the Human and Animal Health Assessment; and a Community Environmental Monitoring system in the area of influence of the Company’s metal mining activity. These components will form part of an integrated system to be developed in Espinar Province.
Continuation of Company Activities
Currently, the Company develops its activities in the zone and proposes to continue with exploration and development activities on its properties. These activities and the exploration activities that the Company carries out on other lands will require the prior consent of the community or individual property owners, in accordance with the guiding principles of the Health, Safety, Environment and Community (HSEC) Charter and the principles of the Dialogue Table.
The members of the Dialogue Table accept the mediation of Oxfam Community Aid Abroad of Australia, whose Mining Ombudsman will monitor compliance with this agreement.
The parties reiterate their desire to maintain the Dialogue Table as a permanent mechanism to resolve conflicts or problems that may arise and as a vehicle to support the sustainable development of the Communities. The Dialogue Table will periodically evaluate the compliance of this agreement.
