Description of the company

Anglo American Sakatti Mining Oy (AASM), Anglo American’s local subsidiary operating in Sodankylä, Finland. The Sakatti deposit is located in Finnish Lapland 15 km north of the municipality centre of Sodankylä. The deposit is a unique, poly-metallic deposit that contains seven payable metals, including copper, nickel, cobalt, platinum, palladium, gold, and silver. The planned mine targets the production of two concentrates, a high-grade copper and a high-grade nickel concentrate. The area is partly located in Viiankiaapa, a protected mire and a Natura 2000 designated area.

The factory area will be located in Kuusivaara. A new access road is needed for the mining area. The mine will be connected to the national grid with a new 25 km long 110 kV power line on the west side of Kitinen. The concentrate will be transported by road to the port of Kemi or Oulu.

The planning of the project is subject to the Environmental Impact Assessment (EIA) procedure in accordance with the Act on Environmental Impact Assessment Procedure (EIA Act, 252/2017). The Environmental Impact Assessment Report (EIA Report) presents information about the project, alternatives, and an assessment of likely significant environmental impacts. An assessment of the project’s impacts has been carried out in accordance with Section 65 of the Nature Conservation Act.

  • The company is committed to the operating principles of the mineral exploration responsibility system.
  • The company has informed the personnel about the commitment.
  • The company operates in statutory nature conservation areas.
  • The company has operations in Natura 2000 areas.
  • The company operates in areas certified by the authorities as valuable for nature conservation.
  • The company has operations in the reindeer husbandry area.
  • The company operates in a special reindeer husbandry area.

Results according to the TSM Finland Standard

AAA
AA
A
B
C
Community Relationships Environment Safety
Results as of: 19.6.2024
Latest externally verification: 19.6.2024

Social Responsibility Report

Company in figures

  • Reported ore reserves: -
  • Reported minerals reserves: Probable: 3,5 Mt @ 3,45 % TCu; 2,47 % Ni; 2,49 g/t 3E. Potential: 40,9 Mt @ 1,77 % TCu; 0,83 % Ni; 1,37 g/t 3E (TCu = total copper; Ni = total nickel; 3E =combined platinum, palladium ja gold).
  • Year of commencement: (In Finland)
  • Number of own employees (31.12.): 50
  • The main localities of the employees: Sodankylä
  • Number of permanent contractors (31.12.): 5. Additionally, contractors are used for various tasks according to the drilling season and work needs. The number of personnel varies by work season. In December 2023, at the beginning of the drilling season, there were 112 contractors employed.

Information about prospecting

Anglo American has done exploration activities in Finland since the year 2004. Exploration permit areas are mainly located North of the centre of Sodankylä, on the areas of two reindeer herding cooperatives (Sattasniemi and Oraniemi). The primary interests of the exploration activities are nickel, copper and metals from the platinum group (Ni-Cu-PGE).
Commonly used exploration methods are bedrock mapping, geochemical sampling of rocks and overburden, various ground and airborne geophysical surveys, base of till -sampling and diamond drilling.
  • Number and area of reservation areas: 0 pcs and 0 ha
  • Number and area of exploration permit areas: 13 pcs. and 11 386,85 ha is valid.
  • Number and area of exploration permit application: 16 pcs. and 12 847,35 ha
  • Exploration permits under appeal: 4 pcs. (surface area is included in applications/permits)
  • Exploration drilling: 23,6 km

Surroundings

The company's environmental practices:
Yes No
Location in a nature reserve*
Voluntary environmental management system **
Environmental risk assessment carried out
  • * Viiankiaapa Natura 2000 and mire conservation area

  • Financial guarantee in accordance with the mining act in mineral exploration permit area: 206 500 €

Key Figures

  • Endangered species are present in the operational area: Yes
  • Use of environmentally hazardous chemicals: -
  • Biodiversity actions: Company has installed 3 nests for raptors and 9 birdhouses for Northern Hawk-Owl outside the area of effect of operations. Voluntary ecological compensation in 2022. The application for conservation status for Inarin yhteismetsä is pending.

Personnel and security

The company's personnel practices:
Kyllä ei
Staff initiative system
Performance appraisals concerning the entire personnel
Staff training plan
Equality plan
Employee representation in company administration
Occupational health and safety management system*
Occupational safety card for everyone working in the area

Key Figures

  • Average training days: 5,96 training days per employee
  • Sickness absences (excluding contractors): 5,7 days per employee
  • Accident frequency: 7,34 (Total Recordable Case Frequency, TRCF, since 2017)
  • Shift systems in use: Daytime work, Rotation work during drilling season on year 2023: January – April, October – December
  • Share of women in the labour force: 47 %

Impact on the use and livelihoods of nearby areas

Impact on local livelihood:

Exploration activities have been carried out in the areas of reindeer herding cooperatives Oraniemi and Sattasniemi. Intensive and open discussion is held with the local reindeer herders to integrate reindeer herding and exploration activities. In all of a season’s operations reindeer herding and the land use from the viewpoint of reindeer herding is taken into account.

As a part of important baseline studies related to reindeer herding in the Sakatti project area, GPS-collars have been provided to Sattasniemi and Oraniemi reindeer owners’ association for monitoring of the reindeers’ movements and herding habits. The gained data has been used in the Sakatti mining project’s EIA and regional planning processes, along with other design work. A separate investigation into reindeer husbandry has been produced as a part of the EIA process, which can be read at: LAPPI_Liite_20_Porotalousselvitys.pdf (ymparisto.fi)

According to the assessment of the company its operations have no negative impacts on other livelihoods. Continuous stakeholder discussion and variety of co-operative work is done with the key stakeholders of the project, e.g. with the municipality of Sodankylä, local residents, reindeer herding cooperatives, landowners and environmental organizations.

In the social impact assessment (SIA) of Sakatti project the social impacts to all the stakeholder groups have been identified and addressed. SIA is available at: Sakatin monimetalliesiintymän kaivoshanke – Sosiaalisten vaikutusten arviointi (ymparisto.fi)

Impacts on nearby recreational use:

According to the company’s Environmental and Social Impact assessments, the impacts on the recreational use of the area are limited, since the exploration activities are mainly carried out during winter.

In Viiankiaapa where the possible mining activities would happen underground, the effects on the utilization of the area for forestry and agriculture or for the recreational use of the nature conservation area, are minimal. During operations the utilization of the area in the immediate proximity to the industrial site will be limited, such as recreational use and forestry. The impacts of the planned mining project on the recreational use of the nearby area have been inspected more closely in the EIA and SIA reports.

Impacts on landscape value:

According to the company’s assessment, its operations have minimal impact on the landscape value of the surrounding area. The impacts are mainly the red-painted wooden stakes used to mark the drill holes, which are visible at close range in the terrain. The assessment of the mining project’s impacts on landscape values has been detailed in the EIA of the Sakatti project and can be found on the company’s website.

Interaction with stakeholders

Stakeholder cooperation:

  • The company acts according to the stakeholder engagement management plan, further develops stakeholder engagement in a goal-directed and interactive way and complies with the Group “Social Way” social performance management system.
  • Public events are organized to discuss operational practices, resources, technologies, project status, and permitting.
  • Regulatory hearings, informative meetings, and negotiations are conducted.
  • The start and end of the drilling season are held for residents and stakeholders.
  • Active cooperation with the Oraniemi and Sattasniemi reindeer herding co-operatives.
  • Regular meetings are held with members of the Finnish Parliament, local politicians, and authorities. Over several years, the project has arranged drilling site visits for authorities after each drilling season.
  • Throughout the Environmental Impact and Social Impact Assessment processes, various parties are consulted during stakeholder events, and surveys and interviews are conducted. The interaction extends beyond what is strictly required by the EIA process.
  • The project actively supports social responsibility, including local education, youth work, sports/recreational activities, elderly care, and environmental and cultural initiatives. In 2023, it contributed over €30,000 to local hobby and cultural activities.
  • Multiple feedback channels are available for stakeholders, including the option for anonymous feedback.
  • Current issues are communicated through social media, the project’s website, and traditional channels, such as the local newspaper Sompio.
  • The company has several channels for feedback from the stakeholders. Feedback can also be given namelessly. A QR code has been widely utilized in feedback gathering, especially in stakeholder meetings.
  • The project cooperates with other mineral exploration and mining companies, participating in events like the Exploration Fair in Sodankylä.
  • Collaboration with education providers, particularly on mining-related education, including student visits and work-based learning periods.
  • Summer jobs are provided for local young people to support their work-based learning.
  • More information about the company: https://finland.angloamerican.com/fi-fi/about-sakatti

Research and cooperation projects:

  • University of Lapland, Experienced Impacts of Mining in Sodankylä -survey (2023)
  • REDU Edu, Responsibility Training for the Mining Industry -online course, 2 ECTS (2022)
  • Akordi, funding of the Nessling foundation, The Construction of a Collaborative Platform monitoring the Impacts of mining on Water Quality in Sodankylä (2023)
  • Ecological Compensation in a Just Transition Towards No Net Loss of Nature (BOOST) Project
Social Responsibility Report
Area of operation
Sodankylä
Contact information:
Ulla Syrjälä
Principal Safety and Sustainable Development
AA Sakatti Mining Oy

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