XXXI International Mineral Processing Congress 2024 Proceedings/Washington, DC/Sep 29–Oct 3 1009
their physical operations and approach to producing value-
added materials.
Regulation surrounding corporate ESG reporting
requirements is expected to increase significantly in the
upcoming years and will impact the necessary public dis-
closure from plants (Bichet et al., 2022). Governments are
likely to follow EU’s Corporate Sustainability Reporting
Directive (CSRD) which includes corporate reporting obli-
gations, sets a precedent for audits, and allows ESG data to
be publicly accessed (European Union 2023). Operations
will need to prepare their instrumentation and analytic
systems to handle the increased volume of sustainability
related data. Additionally, site practices need to be modi-
fied to incorporate a formal review and engineering sign-
off of plant streams in preparation for future audits. The
public disclosure and ESG databases will provide a useful
benchmark to justify the value that ESG optimization may
provide for certain operations.
Additional operating costs imposed through sustain-
ability taxes or penalties will be a challenge for the competi-
tive market to overcome. This includes carbon tax such as
the one set in Canada for $65 per equivalent tonne and is to
increase by 15$ per year from 2023 to 2030 (Department of
Finance Canada 2021). If countries do not impose domes-
tic taxes, international trade tariffs will become more preva-
lent like the European Union carbon border adjustment
which will impose a €75 per metrics tonne CO2 import
tax on goods entering the union (Figures et al., 2021).
Companies will be taxed at the maximum rate unless they
are able to accurately report their direct emissions and
undergo audits. A similar cost increase must be expected
for mineral processing plant supply chains and accounted
for in cash flow statements. Depending on the increase to
operational expenses, facilities may need to modify their
operations towards ESG-focused targets to retain positive
plant economics. ESG optimization will be a crucial driver
to support these initiatives and will guide risk reduction
through strategic implementation plans targeted at net-
positive opportunities. Opportunities will include more
efficient operation, clean technology and energy sources,
and improved process control.
Finally, the mineral processing industry needs to con-
tinue and grow its involvement with government policy
decisions. Cooperation between the government and
industry will be vital in guiding policy by providing insight
into the challenges faced at an operational level. The set
ESG goals must be achievable, intuitive, and drive growth
within the industry. Environmental change is rapidly
influencing modern business decisions, and the mineral
processing industry needs to utilize the remaining time
to prepare and involve itself with the regulatory changes
being implemented.
REFERENCES
Berk, J.B. (2021, October 27). Why Divestment Doesn’t
Hurt “Dirty” Companies. (A. Gelfrand, Interviewer)
Retrieved from https://www.gsb.stanford.edu/insights
/why-divestment-doesnt-hurt-dirty-companies.
Berk, J., &Binsbergen, J.H. (2022). The Impact of
Impact Investing. Stanford University Graduate School
of Business Research Paper, Law &Economics Center at
George Mason University Scalia Law School Research
Paper Series No. 22-008, 37.
Bichet, E., Eastwood, J., &Mencher, M. (2022, November
23). EU’s New ESG Reporting Rules Will Apply to
Many US Issuers. Retrieved from Harvard Law School
Forum on Corporate Governance: https://corpgov.law
.harvard.edu/2022/11/23/eus-new-esg-reporting
-rules-will-apply-to-many-us-issuers/.
Chandramohan, R. (2021). MasterClass -From diagno-
sis to debottlenecking: How we de-constrain under-
performing circuits. CMP Conference 2021. Ottawa:
Canadian Minerals Processors.
Chandramohan, R., Erwin, K., Bill, A., &Jackson, L.
(2023). How to Enhance Operational Efficiency
in Brownfield Operations: Practical Solutions for
Success. AusIMM Webinar 2023 (p. 43). AusIMM.
Department of Finance Canada. (2021, December 3). Fuel
Charge Rates for Listed Provinces and Territories for 2023
to 2030. Retrieved from The Government of Canada:
https://www.canada.ca/en/department-finance
/news/2021/12/fuel-charge-rates-for-listed-provinces
-and-territories-for-2023-to-2030.html.
Doyle, T. (2018, September 8). The Big Problem With
‘Environmental, Social And Governance’ Investment
Ratings? They’re Subjective. Retrieved December 14,
2023, from Investor’s Business Daily: https://www
.investors.com/politics/commentary/the-big-problem
-with-environmental-social-and-governance
-investment-ratings-theyre-subjective/.
Environment and Climate Change Canada. (2023,
February). Risk Managment Approach for Cyanides.
Retrieved January 25, 2024, from Government of
Canada: https://www.canada.ca/en/environment
-climate-change/services/evaluating-existing
-substances/risk-management-approach-cyanides.
html.
European Union. (2023). CSRD -Corporate Sustainability
Reporting Directive. The European Parliament.
their physical operations and approach to producing value-
added materials.
Regulation surrounding corporate ESG reporting
requirements is expected to increase significantly in the
upcoming years and will impact the necessary public dis-
closure from plants (Bichet et al., 2022). Governments are
likely to follow EU’s Corporate Sustainability Reporting
Directive (CSRD) which includes corporate reporting obli-
gations, sets a precedent for audits, and allows ESG data to
be publicly accessed (European Union 2023). Operations
will need to prepare their instrumentation and analytic
systems to handle the increased volume of sustainability
related data. Additionally, site practices need to be modi-
fied to incorporate a formal review and engineering sign-
off of plant streams in preparation for future audits. The
public disclosure and ESG databases will provide a useful
benchmark to justify the value that ESG optimization may
provide for certain operations.
Additional operating costs imposed through sustain-
ability taxes or penalties will be a challenge for the competi-
tive market to overcome. This includes carbon tax such as
the one set in Canada for $65 per equivalent tonne and is to
increase by 15$ per year from 2023 to 2030 (Department of
Finance Canada 2021). If countries do not impose domes-
tic taxes, international trade tariffs will become more preva-
lent like the European Union carbon border adjustment
which will impose a €75 per metrics tonne CO2 import
tax on goods entering the union (Figures et al., 2021).
Companies will be taxed at the maximum rate unless they
are able to accurately report their direct emissions and
undergo audits. A similar cost increase must be expected
for mineral processing plant supply chains and accounted
for in cash flow statements. Depending on the increase to
operational expenses, facilities may need to modify their
operations towards ESG-focused targets to retain positive
plant economics. ESG optimization will be a crucial driver
to support these initiatives and will guide risk reduction
through strategic implementation plans targeted at net-
positive opportunities. Opportunities will include more
efficient operation, clean technology and energy sources,
and improved process control.
Finally, the mineral processing industry needs to con-
tinue and grow its involvement with government policy
decisions. Cooperation between the government and
industry will be vital in guiding policy by providing insight
into the challenges faced at an operational level. The set
ESG goals must be achievable, intuitive, and drive growth
within the industry. Environmental change is rapidly
influencing modern business decisions, and the mineral
processing industry needs to utilize the remaining time
to prepare and involve itself with the regulatory changes
being implemented.
REFERENCES
Berk, J.B. (2021, October 27). Why Divestment Doesn’t
Hurt “Dirty” Companies. (A. Gelfrand, Interviewer)
Retrieved from https://www.gsb.stanford.edu/insights
/why-divestment-doesnt-hurt-dirty-companies.
Berk, J., &Binsbergen, J.H. (2022). The Impact of
Impact Investing. Stanford University Graduate School
of Business Research Paper, Law &Economics Center at
George Mason University Scalia Law School Research
Paper Series No. 22-008, 37.
Bichet, E., Eastwood, J., &Mencher, M. (2022, November
23). EU’s New ESG Reporting Rules Will Apply to
Many US Issuers. Retrieved from Harvard Law School
Forum on Corporate Governance: https://corpgov.law
.harvard.edu/2022/11/23/eus-new-esg-reporting
-rules-will-apply-to-many-us-issuers/.
Chandramohan, R. (2021). MasterClass -From diagno-
sis to debottlenecking: How we de-constrain under-
performing circuits. CMP Conference 2021. Ottawa:
Canadian Minerals Processors.
Chandramohan, R., Erwin, K., Bill, A., &Jackson, L.
(2023). How to Enhance Operational Efficiency
in Brownfield Operations: Practical Solutions for
Success. AusIMM Webinar 2023 (p. 43). AusIMM.
Department of Finance Canada. (2021, December 3). Fuel
Charge Rates for Listed Provinces and Territories for 2023
to 2030. Retrieved from The Government of Canada:
https://www.canada.ca/en/department-finance
/news/2021/12/fuel-charge-rates-for-listed-provinces
-and-territories-for-2023-to-2030.html.
Doyle, T. (2018, September 8). The Big Problem With
‘Environmental, Social And Governance’ Investment
Ratings? They’re Subjective. Retrieved December 14,
2023, from Investor’s Business Daily: https://www
.investors.com/politics/commentary/the-big-problem
-with-environmental-social-and-governance
-investment-ratings-theyre-subjective/.
Environment and Climate Change Canada. (2023,
February). Risk Managment Approach for Cyanides.
Retrieved January 25, 2024, from Government of
Canada: https://www.canada.ca/en/environment
-climate-change/services/evaluating-existing
-substances/risk-management-approach-cyanides.
html.
European Union. (2023). CSRD -Corporate Sustainability
Reporting Directive. The European Parliament.