Our commitment to sustainability

Mining and energy companies use a range of terms to describe their approaches to:

  • Ensuring the safety and health of their employees and communities
  • Protecting the environment
  • Interacting with a wide range of stakeholders
  • Providing benefits to local communities
  • Respecting human rights
  • Establishing respectful and productive relationships with all levels of government
  • Ensuring the survival of a viable business

At Sherritt, “sustainability” covers these interrelated and increasingly important aspects of our business.

We are committed to providing a safe and rewarding workplace, operating ethically, demonstrating environmental responsibility, engaging stakeholders and benefitting communities. We will meet or exceed the standards where we operate and continuously improve performance.

This commitment underpins our aspiration to be a recognized industry leader in sustainability management and performance.

Photo of a family

Governance

Our Board of Directors and management team are critical to carrying out our commitment to sustainability.

Board of Directors

Our Board of Directors has delegated responsibility for sustainability-related matters to its Environment, Health, Safety and Sustainability (EHS&S) Committee. The Committee’s mandate is to oversee, monitor and review sustainability policies, management systems, programs and performance.

Specific areas of focus for the Committee include environment, health, safety, security, crisis management, community development, stakeholder engagement, indigenous relations, government relations, business integrity, human rights, and employee engagement and development.

This Committee meets at least four times per year, visits all operating sites regularly, and receives information from corporate and divisional management on a quarterly basis, or more often if required. The Committee Chairperson reports to the Board on significant issues. Refer to this link to review the full mandate of the EHS&S Committee.

EHS&S oversight is also within the respective board and executive mandates of each of the three joint ventures that Sherritt is involved in. There are dedicated environment, health and safety committees at the board level for the Ambatovy and Moa joint ventures. Experienced Sherritt executives serve on these committees. At Energas, EHS&S matters are also reviewed by the Board, which has directors from Sherritt’s senior management team.

Management Structure

In our Toronto corporate office, we have two sustainability-related roles at the management level: Director, Corporate Affairs and Sustainability (CA&S) and Director, Environment, Health and Safety (EH&S). The Director, CA&S is responsible for coordinating community relations, community investment, government relations, human rights and security, crisis management and the integrated enterprise sustainability management system. The Director, EH&S is responsible for health, safety and environmental matters. Reporting to our Chief Operating Officer (COO), both positions develop strategy and standards, oversee performance and reporting, and assist our operating sites in the identification and management of material sustainability aspects, issues and risks. They work closely with the management team at all divisions, which are responsible for operating sites, to ensure a practical and coordinated approach to sustainability is in place across our business interests.

Each division is led by a senior executive who also reports to our COO. These individuals are accountable for all operational matters of their respective operating sites, including sustainability. To ensure ongoing and timely management of this broad discipline, we have senior employees at each division with responsibility for health and safety, security, environment, stakeholder relations, and other sustainability functions. Specific roles and team structures at divisions vary, based on the operating environment and related risks at their respective sites.

“I had the opportunity to attend a large-scale crisis training exercise at the Fort Saskatchewan site in 2016. The team did a good job responding to a series of escalating scenarios. A key part of the process was the post-exercise discussion on learnings derived from the simulation, and I left with the confidence that those learnings would be applied in future. Observing exercises like this one gives the EHS&S Committee confidence in an operating site’s level of emergency preparedness, as well as a better understanding of the relationships and collaboration dynamics between a site and the local community. It was great to see a broad range of external stakeholders participate in this training event.”

– Tim Baker, Chair, Environment, Health, Safety and Sustainability Committee of the Board

Sustainability Framework

We uphold our commitment to sustainability through our sustainability framework, which provides a focused and practical approach to prioritizing sustainability issues, risks and opportunities, and to managing performance. The framework consists of a core commitment and a series of issue-specific commitments, which fall under the four pillars below: Providing a Safe and Rewarding Workplace, Operating Ethically, Demonstrating Environmental Responsibility, and Engaging Stakeholders and Benefitting Communities. Our commitments are supported by an integrated management system that sets company-wide standards for planning, implementation, measurement, reporting and assurance of sustainability efforts.

Providing a Safe and
Rewarding Workplace
Health and Safety
We are committed to providing a safe workplace. Our ultimate goal is zero harm. Zero harm means zero fatalities, no injuries and no work-related illnesses among employees and contractors.
Public Safety
Maintain public safety around our sites through risk management, active communication and ongoing community engagement.
Rewarding Workplace
Provide a rewarding workplace that engages and develops our workforce, compensates workers competitively, and offers them exposure to world-class operations, projects, processes and people.
Operating
Ethically
Business Ethics
Foster a culture and environment that support and require ethical conduct.
Human Rights
Operate our business in a way that respects human rights as set forth in the Universal Declaration of Human Rights.
Demonstrating
Environmental Responsibility
Tailings Management
Design and operate tailings management facilities – throughout the mine lifecycle – to meet or exceed applicable regulatory and company standards.
Biodiversity and Land
Achieve no net loss, or preferably a net gain, of biodiversity for greenfield projects and significant expansions of current operations; and practice progressive reclamation as part of normal operations at all mines, working with local jurisdictions.
Water
Manage water responsibly by optimizing water use, addressing water-related risks to future operational viability and growth, and engaging communities on the use of, and impacts to, shared water resources.
Energy and Climate Change
Monitor and track energy use and greenhouse gas emissions at each site and identify opportunities to reduce impact; and understand and mitigate the potential impacts of climate change on our assets.
Engaging Stakeholders
and Benefitting Communities
Stakeholder Engagement
Engage stakeholders early on and throughout the asset lifecycle; and build relationships based on mutual trust, respect and transparency.
Transparency
Provide stakeholders with timely and accurate information on the impacts and benefits of our mining- and energy-related activities and management practices.
Community Benefits
Contribute to a lasting improvement in quality of life in the communities where we operate.

Management Systems

While Sherritt’s divisions historically developed their own management systems to address sustainability, the company has recently adopted an enterprise-wide approach. This shift involves developing an integrated system that consists of a series of sustainability standards for the entire company. These standards are developed collaboratively between the corporate office and the divisions. Given the innate differences of the operating environments in Canada, Cuba and Madagascar, the divisions are afforded flexibility in the way in which they implement these standards at their operating sites.

Specific requirements in the standards reflect our experience, our risk profile and industry best practice. As new members of TSM, we endeavour to align with many of the requirements of the Mining Association of Canada’s (MAC) Towards Sustainable Mining (TSM) protocols. As a member of the Voluntary Principles on Security and Human Rights (VPSHRs) Initiative, we are working to apply the Principles at our operating sites. We are also a Supporting Company of the Extractive Industries Transparency Initiative (EITI), the requirements of which we apply in Madagascar, an EITI Candidate Country. Our approach to crisis management is informed by the Incident Command System (ICS) and the United Nations’ Awareness and Preparedness of Emergencies at the Local Level (APELL) Programme. In Madagascar. Our biodiversity management program aligns with the principles of the Business and Biodiversity Offsets Programme (BBOP).

We are currently carrying out a multi-year plan to develop and implement the following corporate standards for sustainability management:

Air Management
Anti-Corruption
Biodiversity and Land Management
Community Investment
Crisis Management
Energy and GHG Emissions
Fatality Prevention
Grievance Management
Health and Safety
Indigenous Relations
Mine Closure
Security and Human Rights
Significant Potential Incidents
Stakeholder Engagement
Tailings Management
Waste Management
Water Management

Materiality

In 2015, we updated our assessment of the material (priority) sustainability aspects of our business. This process involved revisiting our existing materiality aspects to ensure they reflect our current context, and analyzing each aspect based on a range of sustainability risks, trends and opportunities that are relevant to Sherritt. Two criteria were considered: the level of expected impact to our business and the degree of stakeholder interest. The review was informed by carrying out a detailed questionnaire with senior management and sustainability employees at both the corporate office and divisions; and assessing publicly available information on the viewpoints of external stakeholders, including:

  • Investors
  • Opinion influencers (non-governmental organizations, academics, think-tanks)
  • Industry associations
  • Communities
  • Government/Regulators

The compiled aspects were then reviewed by senior management for validation. Those aspects with the highest combined ranking of expected business impact and stakeholder interest are considered “material” for Sherritt and are addressed through our sustainability framework and management system.

The following table maps our material issues against the four pillars of our sustainability framework and details the boundary of impact for each material issue.

Pillar Material Issue Issue Boundary
(Internal/external)
Where do the impacts occur?
Who is the issue material to? Where is the issue most material?
Providing a Safe and Rewarding Workplace Health and Safety Internal
  • Employees/contractors
  • Government (regulators)
Company wide
Public Safety Internal/external
  • Employees/contractors
  • Government (regulators, local authorities, first responders)
  • Communities
Company wide
Site Security Internal
  • Employees/contractors
  • Government (regulators, local authorities, first responders)
  • Communities
Company wide (focus at Ambatovy)
Employee Relations Internal
  • Employees/contractors
  • Communities (prospective employees)
Company wide
Operating Ethically Human Rights Internal/external
  • Employees/contractors
  • Communities
  • NGOs/civil society
  • Customers and suppliers
  • Government (regulators, local authorities, first responders)
Company wide
Economic Performance Internal/external
  • Financial community (shareholders)
  • Employees/contractors
  • Communities
  • Business partners
  • Governments (host jurisdictions)
Company wide
Demonstrating Environmental Responsibility Land and Biodiversity Internal/external
  • Government (regulators)
  • Communities
  • NGOs/civil society
Ambatovy and Moa
Water Internal/external
  • Government
  • Communities
  • NGOs/civil society
Company wide
Environmental Liabilities, Closure and Reclamation Internal/external
  • Government (regulators)
  • Financial community
  • Communities
  • NGOs/civil society
Company wide
Tailings Management Internal/external
  • Government
  • Communities
  • NGOs/civil society
  • Financial community
Ambatovy and Moa
Energy and Climate Change Internal/external
  • Government (regulators)
  • Financial community
  • Communities
  • NGOs/civil society
Company wide
Engaging Stakeholders and Benefitting Communities Stakeholder Engagement Internal/external
  • Communities
  • Government
  • NGOs/civil society
Company wide
Community Development Internal/external
  • Communities
  • Government
  • NGOs/civil society
Company wide (focus at Ambatovy, Moa, OGP)
Economic Benefits Internal/external
  • Employees/contractors
  • Customers/suppliers
  • Communities
  • Government
Company wide

Most material aspects did not change from our last assessment in 2012. A few key exceptions include:

  • The materiality of economic performance, always a central aspect for any business, increased because of the significant decline in the price of the products we produce (namely, nickel, cobalt, oil and electricity).
  • Site security and environmental liabilities have been identified as important aspects for inclusion within the sustainability management system, due to evolving stakeholder expectations and site-level risks for Sherritt.
  • Climate change is included as a material aspect, given increasing societal concern, evolving business focus on this issue, and efforts of governments to address and regulate this issue.

Commentary on a broader set of material issues and risk factors that affect Sherritt – including U.S. sanctions on Cuba – can be found in our 2016 Annual Information Form.

Sustainable Development Goals

The United Nations’ Sustainable Development Goals (SDGs) consist of 17 ambitious targets to address global issues, and to ensure a sustainable and resilient future for the world by 2030. The success of the SDGs depends on the participation of a range of actors – governments, corporations, communities and non-governmental organizations.

The nature of the work of the natural resources sector has social, economic and environmental impacts on the jurisdictions where projects and operations are located. As a responsible company, Sherritt seeks out opportunities not only to mitigate and, where possible, avoid its impacts, but also to make a positive contribution to its host countries on both a national and community level. Highlighting how our processing requirements and end products contribute to the SDGs is important; however, so is taking responsibility for and acknowledging the impacts of our activities on the broader development agenda. (To better understand the sustainability issues and challenges most material to Sherritt, please review our materiality analysis.)

The interactive chart below contains examples of Sherritt’s progress against each of the 17 SDGs.

1 No
Poverty

End poverty in all its forms everywhere

Examples of Sherritt’s efforts:
As the construction phase of the Ambatovy nickel operation in Madagascar was coming to an end a few years ago, we established the Assistance Initiative for Demobilized Employees (AIDE) Program to support demobilized construction workers through their transition to new vocations, allowing us to support socio-economic development and mitigate the risk of protests and strikes following the expiration of their contracts. Nearly 20,000 construction workers benefitted from monthly payments from Ambatovy over an average period of 11 months per worker (depending on the length of their contracts). We also set up redeployment offices for finding new jobs and training centres for building new skills. This retrenchment program has been recognized as a best practice internationally and has been presented as a case study by several organizations.

Ten years ago, Sherritt established what we understand to be the first community investment program of its kind in Cuba. Over the years, we have provided millions of dollars’ worth of support for projects relating to public health and safety, transportation, sanitation, education and culture in communities near our operations. Sherritt works with local and provincial governments in Cuba to develop an annual community investment plan for purchasing equipment and goods to meet local needs and align with the national development priorities, known in Spanish as the Lineamientos, and other planning priorities.

Sherritt operates in developing countries, including Madagascar, where over 90% of the population lives on under $2 a day, according to the World Bank. As a sizeable employer in Canada, Cuba and Madagascar, we have an opportunity – through local employment and procurement, community investment and training – to contribute significantly to poverty alleviation in our host jurisdictions. Learn more >

2 Zero
Hunger

End hunger, achieve food security and improved nutrition, and promote sustainable agriculture

Examples of Sherritt’s efforts:
Inaugurated in 2010, the Agricultural Training Centre in Madagascar helps former construction workers and the local population to improve their skills and knowledge in small-scale agribusiness. The Centre offers courses in agriculture, livestock, accounting and business administration. More than 18,000 people from local communities have been trained. Ambatovy also helped launch a Food Distribution Centre (FDC), which obtains produce from local small-scale farmers. Ambatovy purchases much of the food it needs to feed its workforce from the FDC, which also serves markets beyond our mining operation.

Sherritt contributed to the construction of a community garden near our operation in Moa, Cuba, to supply the community with fresh produce. In addition, Sherritt’s community investment program in Cuba has provided several refrigeration units to public institutions, including schools, universities and hospitals, to preserve much-needed food for students and patients.

Providing infrastructure for food production and trade in our host jurisdictions is one way to alleviate food shortages and improve access to nutrition. A nourished local population can broadly support community development aspirations, as well as provide Sherritt with a strong base for local employment and contribute to stable company-community relations. Learn more >

3 Good Health
and Well-Being

Ensure healthy lives and promote well-being for all, at all ages

Examples of Sherritt’s efforts:
Through our community investment program in Cuba, we have donated materials to reequip the main hospital in Moa with air conditioning for its neonatal unit and provided laboratory equipment for diagnostics. We also upgraded such things as water-supply infrastructure for a secondary school; the refrigeration system at a dairy; and the electrical system for the university, a baseball field, a cinema and a vegetable market.

At Ambatovy, 10 kiosks, constructed in partnership with UNICEF, provide local youth along the main thoroughfares with meet-up points for gathering, exchanging information and providing each other with emotional and social support. The kiosks are managed by 20 peer educators, who are also trained to provide information to local youth regarding HIV/AIDS and sexually transmitted infections. In 2015, all the kiosks were transferred to the government’s Regional Direction of Youth, which supports and coaches peer educators.

Healthy, happy communities and employees make for a successful and stable operating environment. Sherritt has a responsibility as a local employer in Canada, Madagascar and Cuba to ensure employees return home from work safely every day. Learn more >

4 Quality
Education

Ensure inclusive and equitable quality education and promote lifelong learning opportunities for all

Examples of Sherritt’s efforts:
Sherritt established a technical training program in Cuba, through a partnership with the Northern Alberta Institute of Technology (NAIT) and the Southern Alberta Institute of Technology, whereby our Cuban workers, who would normally not have access to this type of training, could obtain accreditation as instrumentation technicians, millwrights or electricians – equivalent to a certified tradesperson. This program has trained hundreds. Sherritt also donated $1 million to NAIT for the construction of the Centre for Millwright Technology near Edmonton, which is located near the Fort Saskatchewan refinery. Thousands of students have benefitted from the Centre.

In partnership with UNICEF, Ambatovy constructed four eco-friendly schools in 2013, and the first environmental education program started in 2014. A local non-governmental organization is now operating the schools, teaching environmental and conservation courses to students in the surrounding area. More than a thousand students have benefitted from this program.

On a global basis, Sherritt invests in the ongoing education and skills training of its workforce, as well as potential employees and contractors that represent the future employment pipeline in its host jurisdictions. Supporting mining-relevant education in younger generations, with a particular focus on technical skills, is a benefit to Sherritt – and the entire industry – overall. Learn more >

5 Gender
Equality

Achieve gender equality and empower all women and girls

Examples of Sherritt’s efforts:
Our President and CEO, David Pathe, is a voluntary member of the 30% Club Canada, whose goal is to ensure 30% of board seats are held by women by 2019. In 2016, Sherritt’s board was composed of 25% women, a proportion that is above the industry average.

Sherritt has worked with UNICEF to advance children’s rights, including addressing the sexual exploitation of young girls in Madagascar. Our efforts in this regard are considered international best practice and are often cited by UNICEF in case studies. We continue to collaborate with UNICEF on gender and other issues.

Sherritt is committed to advancing stronger gender representation at the board and senior management levels. We are also working to develop, train and promote women from diverse backgrounds throughout the company. Learn more >

6 Clean Water
and Sanitation

Ensure availability and sustainable management of water and sanitation for all

Examples of Sherritt’s efforts:
Through our community support initiatives in Madagascar and Cuba, Sherritt has contributed to municipal sanitation projects involving water distribution as well as garbage collection and disposal.

One of Sherritt’s end products, nickel, has anti-corrosive and highly durable characteristics. It is used to make stainless steel for infrastructure – such as pipes, dams, valves and pumps – that is essential for long-lasting water collection, treatment, storage and distribution systems in both the developed and developing world.

Water is essential for life, but is also a requirement for natural resource extraction and processing activities. Sherritt works hard at water management and ensuring local communities are healthy. The nickel we produce is used as a key input for sustainable water storage and distribution infrastructure around the world. Learn more >

7 Affordable and
Clean Energy

Ensure access to affordable, reliable, sustainable and modern energy for all

Examples of Sherritt’s efforts:
Sherritt is the largest independent power producer in Cuba, with approximately 500 megawatts of capacity, representing 15% of energy available on the island’s grid. We operate a joint venture with the Cuban authorities. At certain facilities, we employ an environmentally friendly approach that uses waste exhaust heat to generate steam and produce electricity. As a result, the generating units that employ this approach have been granted Clean Development Mechanism status under the Kyoto Protocol by the United Nations Framework Convention on Climate Change.

We are also the largest independent oil producer in Cuba, and sell all of our production back to the Cuban state to support the country’s domestic energy needs.

At Ambatovy, we have begun investing in electric vehicles to ferry around employees at the processing plant. This investment reduces diesel emissions, maximizes the excess energy we produce on site, and decreases overall maintenance costs.

Sherritt seeks out opportunities not only to produce clean energy that supports our host countries’ needs, but also to lessen the impacts of our energy use. Learn more >

8 Decent Work
and Economic
Growth

Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all

Examples of Sherritt’s efforts:
Our award-winning Ambatovy Local Business Initiative provides support to local businesses and entrepreneurs in Madagascar through training, mentoring and capacity-building programs. By maximizing local procurement, Ambatovy provides a much-needed impetus to the Malagasy economy and entrepreneurs. Ambatovy awards hundreds of millions of dollars each year in local contracts; it has registered more than 4,000 local suppliers in its supplier database; and it has provided agricultural training to over 18,000 members of nearby communities (about half of whom are women), including demobilized workers, farmers and enterprising individuals interested in agricultural production. In 2016, 868 local suppliers provided Ambatovy with goods and services across 40 sectors, including: construction, transportation, cleaning and catering services, among others.

The Fort Saskatchewan site has always enjoyed constructive relations with our unionized employees. This relationship has endured more than 60 years without a labour disruption. Many say the foundation of positive management-worker relations at Sherritt’s Canadian operation goes back to the 1940s, when the company moved the entire mining town of Sherridon, Manitoba, some 250 km north to Lynn Lake, ensuring workers not only kept their jobs, but also their homes, neighbours and friends as well.

Sharing the economic benefits of our activities with employees, host communities and countries, business partners and investors is not only responsible but essential to our growth strategy. Learn more >

9 Industry,
Innovation and
Infrastructure

Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation

Examples of Sherritt’s efforts:
Sherritt has a distinguished history in technological innovation. Its research and development efforts began in 1948, when company researchers discovered a new hydrometallurgical process for refining metals. Sherritt’s technologies team has since received thousands of patents for its innovative work, which has been applied to more than 35 mining operations around the world.

The two metals that Sherritt produces, nickel and cobalt, both have durable characteristics that are essential for sustainable water distribution, energy production, batteries and much more.

Sherritt has a rich history of technological innovation, and the metals we produce play an important role in the supply chain for sustainable products and infrastructure. Learn more >

10 Reduced
Inequalities

Reduce inequality within and among countries

Examples of Sherritt’s efforts:
Sherritt’s economic benefit footprint is substantial. In 2016, Sherritt contributed more than $750 million in economic benefits to host jurisdictions through local procurement, wages and benefits, payments to government and community investment.

Reducing poverty through local employment and supporting trade within our host communities and countries are two important ways that we – and the broader natural resources sector – contribute to the reduction of inequalities on a global level. Learn more >

11 Sustainable Cities
and Communities

Make cities and human settlements inclusive, safe, resilient and sustainable

Examples of Sherritt’s efforts:
More than 20 years ago, Sherritt was a founding member of Northeast Region Community Awareness Emergency Response, a mutual aid emergency response association whose members – including emergency management professionals, pipeline companies, chemical transporters and area municipalities – train, plan and share best practices for emergency response in Fort Saskatchewan, to ensure the community is safe and resilient in the event of an industrial emergency.

A Category 4 hurricane swept across eastern Cuba in October 2016. Thanks to Cuba’s exemplary emergency preparedness and response systems, including those at our operating sites, there were no serious injuries or fatalities on the island due to this extreme weather event. Sherritt has since donated $100,000 to the United Nations Development Programme to support relief efforts in eastern Cuba.

Sherritt recognizes that developing a project can result in the need to resettle nearby communities that are within the operation’s footprint – or close enough to be negatively impacted. In Madagascar, the development of Ambatovy required the resettlement of small communities and the removal of several locally owned rice fields. This resettlement and compensation effort strictly followed the International Financial Corporation’s Performance Standard on Land Acquisition and Involuntary Resettlement.

Sherritt believes in the importance of contributing to a lasting improvement in quality of life in the communities where we operate. Learn more >

12 Responsible
Consumption
and Production

Ensure sustainable consumption and production patterns

Examples of Sherritt’s efforts:
A few years ago, we established our sustainability framework, which articulates our commitments to the environment, safety and stakeholders, and sets the foundation for our minimum standards for managing these commitment areas across the company.

We align our public sustainability reporting with the Global Reporting Initiative’s G4 requirements. Every year, we work to improve the quality and quantity of our disclosures to provide a comprehensive characterization of our sustainability performance, including progress on meeting our long-term commitments and areas for improvement.

We are committed to responsible mining and energy production, which requires us to manage all aspects of our business sustainably and transparently over the long run. Learn more >

13 Climate
Action

Take urgent action to combat climate change and its impacts

Examples of Sherritt’s efforts:
In 2003, at our jointly owned Varadero power facility in Cuba, we installed a system that uses waste exhaust heat to generate steam and produce electricity (called a combined cycle power generating unit). In 2007, this unit was granted Clean Development Mechanism status under the provisions of the Kyoto Protocol by the United Nations Framework Convention on Climate Change. We have recently built another combined cycle unit in Cuba that is eligible for this designation. Not only does this investment provide the Cuban grid with much-needed energy for the Cuban people, but it has also secured well over a million dollars’ worth of carbon credits from the international market.

The recently constructed acid plant at our joint venture mining operation in Moa, Cuba, allows us to produce additional acid on site, instead of importing it. As a result, the new acid plant is expected to reduce our annual greenhouse gas emissions by approximately 100,000 tonnes per year.

As heavy industry contributes to climate change on a global scale, Sherritt is taking action to reduce its greenhouse gas emissions at its operations. Learn more >

14 Life Below
Water

Conserve and sustainably use the oceans, seas and marine resources for sustainable development

Examples of Sherritt’s efforts:
Our Ambatovy operation is located in Madagascar, a country known for its rich biodiversity. We aim to avoid environmental impacts there for even the smallest species. For example, the “Rheocles Mangoro” is a newly discovered species of endemic fish, which Sherritt identified near the mine. In their native habitat, these fish are sustained by local watersheds and protected from invasive species by natural barriers. Since 2005, Sherritt has been working to sustain these fish using innovative methods for salvaging, creating and restoring habitat, and for protection against exotic species.

In Alberta, Canada, in 2013, a breach occurred in a water containment pond at the Obed Mountain mine, which was then owned by Sherritt. The breach resulted in a significant release of mud, clay, and coal particles. Although Sherritt went on to sell this property – and its entire coal business – the company retains the ultimate responsibility for all commitments and obligations resulting from the breach, including monitoring and remediation activities and addressing Aboriginal and community concerns. Sherritt still maintains a website (www.obed.ca) to inform all stakeholders of the ongoing response effort. We feel strongly that environmental and social responsibility is measured not only by how a company mitigates the risk of a crisis, but also by how it responds to one when it occurs. The breach at Obed was unacceptable, but we are proud of our response efforts to date.

Water is very important to mining and processing as an input, as a by-product, and for the transportation of goods. It is essential that we manage our impact on local waters to ensure the viability of our operations over the long term. Learn more >

15 Life
on Land

Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, halt and reverse land degradation and halt biodiversity loss

Examples of Sherritt’s efforts:
Madagascar has one of the most biodiversity-rich ecosystems in the world. To ensure no net loss, and preferably a net gain, Sherritt’s Ambatovy operation put in place state of the art adaptive environmental management plans that comply with the highest national and international standards, including the International Finance Corporation (IFC) Performance Standards, throughout all phases of the mining lifecycle. In 2015, Ambatovy received its environmental certificate for conforming to the IFC Performance Standards.

The Alejandro de Humboldt National Park in Cuba is a UNESCO World Heritage site particularly known for its extensive suite of endemic flora. Prior to the establishment of the Moa Joint Venture, exploration work had been conducted by another company in areas of the park that would overlap with the Joint Venture’s mining lease. A few years after the Joint Venture was formed, Sherritt and its Cuban partner approached the relevant authorities to relinquish these overlapping concessions and contribute to rehabilitating the impacted areas of the park.

Over the last five years, Sherritt has received a number of prestigious environmental awards, including the CIM Syncrude Award for Excellence in Sustainable Development and the Nedbank Capital Sustainable Business Award for Achievements in Biodiversity Management in Africa, among others. This recognition attests to our global leadership in this area.

Sherritt’s approach to environmental management is to avoid impacts wherever we reasonably can, and to minimize, manage and remediate those that occur. Learn more >

16 Peace, Justice
and Strong
Institutions

Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels

Examples of Sherritt’s efforts:
To operationalize our commitment to conducting activities with integrity and responsibility, we have developed and rolled out our Business Ethics Code, Anti-Corruption Policy and Human Rights Policy. Customized training takes place at all our sites to ensure there is a shared understanding of the concepts and expectations of these documents.

Sherritt is one of a small number of Canadian mining and energy companies that have formally signed on to the Voluntary Principles on Security and Human Rights (VPSHRs) Initiative. In Madagascar, we have taken a strong leadership role in promoting the VPSHRs and in collaborating with the government, non-governmental organizations, other companies and security providers on aligning practices with the expectations of the Voluntary Principles.

At Ambatovy, we also established the Tsaratanana (Good Governance) Project, which involves working with a multi-stakeholder group to develop a credible mechanism for royalty distribution at the community level, as required by the Malagasy law for large mining investments.

Building trust, operating openly and ethically, and respecting the community are central to the way we work as a company. We seek opportunities to work with transparent and accountable institutions, as a means of advancing development and good governance in the jurisdictions where we have a presence. Learn more >

17 Partnerships
for the Goals

Strengthen the means of implementation and revitalize the global partnership for sustainable development

Examples of Sherritt’s efforts:
Due to Sherritt’s relatively small size, we rely on joint ventures and project financing to conduct business. We have leveraged our experience in working productively and collaboratively with our business partners to forge partnerships with a range of developmental organizations – such as WWF, Conservation International, UNICEF, Search for Common Ground, and CARE, among many others. These partnerships have helped us to maintain our social license and share the benefits of our presence with local communities.

We apply the principle of continuous improvement to our approach to stakeholder engagement. We established a multi-stakeholder process called Joint Fact Finding at Ambatovy to work with the community and local authorities to address stakeholder concerns and come to a common understanding of any disputed information in a very direct and open manner.

Sherritt will continue to report on activities related to our sustainability performance in our annual report at sustainability.sherritt.com.

In all our businesses, healthy, mutually beneficial partnerships are required for us to succeed. We have a history of strong partnerships with employees, communities, host countries, investors and business partners in each of the jurisdictions where we operate. Learn more >

Click on the graphic to see information on SHERRITT’S SDGs

What it means