Our approach to sustainable development
“The sustainability of the Company is more important than any individual, including the CEO.”– Ben Magara
The 2013 financial year was a seminal year for Lonmin, as we re-examined the fundamental building blocks of our business.
As a responsible producer of minerals and metals, with an employee complement of 38,421 including contractors, we are conscious of our role as a responsible corporate citizen, and strive for best practice in all areas of our business. Through the work being done by our skilled and committed employee teams, our business partners and our Board, as well as through responsible management of our resources, we believe that we can have a positive impact on those around us and leave a lasting and valuable legacy.
Striving for balance: our integrated model for sustainability
Our Integrated Model for Sustainability considers the resources available for human progress and development as different types of ‘capital’, with ‘flows’ of benefit between the different capitals and pillars. The model is based on the conventional economic theory of deriving an ‘income’ or flow of benefits from the stock of each capital, provided there is proper investment (or protection/enhancement). If we deplete our stock of capital, then the flow of benefits from them will slow down, or grind to a halt. Through the application of this model, we strive to create a balance between the three elements of our sustainability and as a result, between the flow of benefits between the different capitals.
The life of mine of our current operations is estimated at 50 years. Our Safety and Sustainable Development Policy, our Lonmin Sustainable Development Standards and all of our supporting strategies and procedures consider our journey towards mine closure, both from an environmental perspective and in terms of leaving a lasting legacy for communities.
Sound corporate governance
Just as sound governance of the business informs better business practices, so sound governance of sustainability leads to the embedding of sustainability awareness and practice within the business.
The ultimate responsibility for sustainable development matters lies with the CEO, while the line responsibility rests with the Executive Vice President: Process Division and Sustainability, who is supported by the Executive Manager: Sustainability. Refer to Ensuring sustainability through governance and leadership for further information.