Don’t Label All Miners as Irresponsible!
By Imaru Casanova, Deputy Portfolio Manager/Senior Analyst, VanEck
Although mining companies are subject to very high scrutiny given the nature and scale of their operations, there still seems to be a “disconnect” between what the companies are doing to manage the environmental and social impact of their operations and the broader market’s perception.
In general, it seems miners as a group enjoy a reputation of being irresponsible or negligent in these areas. We think this is unjustified. The amount and level of work dedicated to assessing the impact of the project on the environment and surrounding communities, and creating a plan to minimize any negative impact and manage risks is significant.
The entire process, including gathering of data, studies, testing, engineering design, community consultations, preparation, submittal, revisions, and final approval of environmental impact studies and other permits required to be awarded an operating license, generally takes several years and can take as long as a decade or more.
Former Gold Mine in Indonesia
Source: Newmont Mining
About the Author:
Imaru Casanova holds an appointment as senior gold analyst at VanEck. Mrs. Casanova is a proven expert on gold and gold mining and has been quoted, inter alia, in Barron’s, USA Today, Investor’s Business Daily and has appeared on CNBC.
The article above is an opinion of the author and does not necessarily reflect the opinion of MV Index Solutions or its affiliates.