At approximately 3 p.m. on February 26, 2012, a single release of sulphur dioxide (SO₂) gas occurred during a power outage upon start-up of our facility’s acid plant. The low-concentration emission covered an area outside the plant’s northern perimeter estimated at less than 0.3 square-kilometers in size.

There were no fatalities or permanent injuries to anyone stemming from this event.

In response to the release, Ambatovy’s Corporate Social Responsibility team visited the population in the affected area to assess the situation. Medical examinations of those living in the area were undertaken by physicians. They confirmed that the low-level exposure to sulphur dioxide did not cause lasting health effects. Some people in the area at the time of the release reported mild eye irritation and some respiratory difficulties. They were all attended to by doctors at Ambatovy’s health clinic and they were all found to be in good health.

An Ambatovy representative was also sent to assess the impact on vegetation. Even at low concentrations over short durations, sulphur dioxide can cause vegetation to turn brown. Shortly after the assessment, Ambatovy made good will compensation payments to community members claiming damage to their property as a result of the February incident. Vegetation in the affected area has since returned to normal.

This was a single, isolated event. Ambatovy has since put in place additional safety measures to prevent future occurrences.

Ambatovy is also working with local officials through our Regional Committee for Industrial Risk Management. Ambatovy created this committee to communicate and coordinate effectively with key local stakeholders, including government and public health officials.

Ambatovy would like to reassure the public about our committment to the health and safety of our employees and the communities that neighbour our facilities. We are coordinating our notification and response systems with local communities, government and medical officials to enhance our detection, prevention and response capabilities.

Ambatovy understands the concerns of the general public on health and safety matters. We pledge our commitment to operate in a sustainable manner that employs responsible and transparent business practices.

A Series of reforestations since last year
To strengthen the activities undertaken earlier, Ambatovy continues its reforestation efforts with its employees this year. Recently, on February 22, 23 and 24, the company has conducted reforestation operations in Antanimietrikely, located in the southern area of the mine in Moramanga.[more...]

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The three days were used to introduce employees to the techniques of reforestation, site preparation for afforestation and the arrangement of selected species so that plantations could eventually resemble natural forests. This was an opportunity for employees to visit the large scale industrial nursery of Ambatovy where seeds and seedlings are prepared and processed for the mine rehabilitation, and also, understand the environmental management activities (carried out by the Environment Department) of the company through poster presentation sessions during those days. The best growers were also rewarded.

Payment to the Malagasy Government

Ambatovy’s annual payment to the Government, from taxes, fees and royalties, will amount to tens of millions of dollars and will be more than 3 billion dollars over 30 years, based on the projection of the current price of nickel and cobalt.

The exact amount of Ambatovy’s payment to the Government is difficult to forecast because it will depend on the fluctuating price of nickel and cobalt on the international market and the cost of input commodities that the company will require in order to extract the nickel and cobalt.

Significant Job Creation

Ambatovy created over 18,000 jobs during its Construction phase and an additional 6,000 jobs during the Operation phase. This significant number of jobs created by Ambatovy benefits the local economy due to the several thousands of induced and indirect jobs in related sectors, such as transportation, food production, maintenance, renovation and waste management. Ambatovy also has the distinction of promoting a recruitment policy that prioritizes local applicants in order to maximize the economic benefits in its intervention areas.

“Buy locally, hire locally ” Policy

This policy reflects Ambatovy’s particular efforts to support Malagasy enterprises so that they can meet the Ambatovy’s requirements and standards while taking advantage of the business opportunities generated by Ambatovy’s nickel and cobalt mining.

The contracts granted by Ambatovy to approximately 500 local businesses are currently valued at over $ 1.2 billion, or more than 2,400 billion Ariary. Moreover, these companies, regardless of their size, are accompanied by ALBI, Ambatovy Local Business Initiative, which provides support through training, information sessions and quality control so that they comply with the company’s quality standards and requirements.

Nickel, first export product

Once Ambatovy’s optimum production speed is achieved, Nickel will be one of Madagascar’s most important export products, if not the most important. It will bring in significant foreign currency.

Because the nickel and cobalt will be refined in-country, Madagascar will benefit from many economic added values, including technology and skill transfer, development of the industrial sector through economic opportunities and job creation.

• Community relations
• Economic impacts
• Environmental management
• Labour practices
• Human rights
• Product responsibility

As an annual publication, this report will help us to evaluate our progress and improve our efforts to meet – and where possible exceed – our sustainability commitments. In the spirit of transparency, we are eager to share it with our stakeholders. We hope it serves as a useful reference tool for you.

Click here to access the report. The french version is in translation and will be released shortly.

Fitrandrahana nikela sy kobalta ao Ambatovy

(Malagasy version) ]]> http://www.ambatovy.com/docs/?feed=rss2&p=7248 0 http://www.ambatovy.com/docs/?p=7150 http://www.ambatovy.com/docs/?p=7150#comments Wed, 26 Oct 2011 14:31:45 +0000 hoby http://www.ambatovy.com/docs/?p=7150

False. Ambatovy adheres to national and international environmental standards including those outlined by the MECIE (Mise En Compatibilité des Investissements avec l’Environnement, a national decree concerning environmental compliance for investment projects in Madagsacar), the International Finance Corporation and the Equator Principles. Ambatovy’s environmental program is also monitored for compliance by regulators from the Government of Madagascar, third parties who conduct periodic assessments for the lending institutions that provided Ambatovy with project financing as well as a Scientific Consultative Committee made up of national and international experts.

]]> http://www.ambatovy.com/docs/?feed=rss2&p=7150 0 http://www.ambatovy.com/docs/?p=7148 http://www.ambatovy.com/docs/?p=7148#comments Wed, 26 Oct 2011 14:23:08 +0000 hoby http://www.ambatovy.com/docs/?p=7148

True. Thousands of farmers now supply the newly established bulk purchasing centers, which buy agricultural produce directly from the farmers and sell it on to larger customers including Ambatovy. Farmers benefit from having access to a stable entity with which to do business.

]]> http://www.ambatovy.com/docs/?feed=rss2&p=7148 0 http://www.ambatovy.com/docs/?p=7146 http://www.ambatovy.com/docs/?p=7146#comments Wed, 26 Oct 2011 14:14:20 +0000 hoby http://www.ambatovy.com/docs/?p=7146

True. In line with being a socially responsible company indebted to those who contributed to Construction, Ambatovy developed a program to assist former employees in their transition to other opportunities. Ambatovy established Redeployment Centers in Toamasina and Moramanga. These centers assist demobilized Malagasy workers get access to new jobs, specialized training, or other income-generating activities through the Ambatovy Local Business Initiative. Ambatovy has also launched the Assistance Initiative for Demobilized Workers. In recognition of Construction workers’ contributions, Ambatovy provides former employees with an allowance over several months to assist them while they search for new jobs.

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