ARM’s reporting in terms of the UN Global Compact

ARM is committed to the Ten Principles of the United Nations Global Compact (UNGC) and the underlying universal principles on human rights, labour, the environment and anti-corruption. These are derived from global guidelines including the Universal Declaration of Human Rights, the International Labour Organization’s Declaration on Fundamental Principles and Rights at Work, the Rio Declaration on Environment and Development, and the United Nations Convention Against Corruption.

The Ten Principles are embedded in our strategy, business practices and approach to sustainable value creation

to promote a sustainable and inclusive future, and contribute towards achieving the UN Sustainable Development Goals.

The social and ethics committee monitors the company’s activities in the context of these principles.

UNGC PRINCIPLES


  1. Businesses should support and respect the protection of internationally proclaimed human rights.

  2. Businesses should make sure that they are not complicit in human rights abuses.

Ethics and human rights

Social and ethics chairman’s report (pages 22 to 26) Our approach to sustainable value creation (pages 32 and 33)

Human rights (pages 108 to 110) Our value chain (page 111)


  1. Businesses should uphold the freedom
    of association and the effective recognition of the right to collective bargaining.
  2. Businesses should uphold the elimination of all forms of forced and compulsory labour.

  3. Businesses should uphold the effective abolition of child labour.

  4. Businesses should uphold the elimination
    of discrimination in respect of employment and occupation.

Fair labour practices

Human resources management (pages 94 to 103) Human rights (pages 108 to 110)

Social and ethics chairman’s report (pages 22 to 26)

ARM – ESG UN GLOBAL COMPACT REPORT 2023


  1. Businesses should support a precautionary approach to environmental challenges.

  2. Businesses should undertake initiatives to promote greater environmental responsibility.

  3. Businesses should encourage the development and diffusion of environmentally friendly technologies.

  4. Businesses should work against corruption in all its forms, including extortion and bribery.

Environmental stewardship

Environment (pages 56 to 77)

Biodiversity tables in the sustainability data tables (ESG supplementary information 2023 on our website)

The F2023 climate change and water report available on our website www.arm.co.za

Ethics and human rights

Our approach to sustainable value creation (pages 32 and 33)

Ethics (page 34)

Corporate governance (pages 133, 143 and 146 to 148)

The United Nations Sustainable Development Goals (SDGs)

The SDGs set 17 goals to drive global collaboration to end poverty, protect the planet and ensure that all people enjoy peace and prosperity. The underlying targets of each SDG aim to ensure that growth and development address urgent social and environmental challenges to achieve the goals set in the 2030 Agenda for Sustainable Development.

SDG

HOW ARM CONTRIBUTES

ARM’s local economic development (LED) programmes

invest in infrastructure projects that support local

government priorities and community resilience, including

essential services such as water infrastructure in the

water-scarce Northern Cape. Corporate social investment

(CSI) programmes provide support for the poor, sick and

vulnerable in local communities. Our contribution to the

national and local economies includes the jobs we provide,

local sourcing of goods and services where possible,

a material contribution to the fiscus through taxes and

royalties paid, capacity building in local communities, and

educational support for community schools. Enterprise and

supplier development programmes at the operations help

to create jobs, promote entrepreneurism and stimulate

economic activity. During the year, Khumani Mine

refurbished small, medium and micro-enterprise (SMME)

stalls in Kathu to improve safety and infrastructure for eight

small businesses.

FOR MORE INFORMATION

Our value contribution (page 18)

Value created (page 19)

Human resources management (pages 94 to 103)

Tax contribution (page 107)

Community impacts (pages 104 to 110)

Mining and processing have impacts on water, land and biodiversity resources in traditionally agricultural areas, which could affect farmers and local communities and potentially become a source of social conflict. We take a precautionary approach to environmental stewardship that aims to manage our impacts on natural resources and includes engagements about water at the catchment level as well as consultative land management, which includes biodiversity conservation, and rehabilitation and closure planning. The projects we fund through our CSI programmes include support for the poor and vulnerable, including infants.

Environment (pages 56 to 77)

Community impacts (pages 104 to 110)

The F2023 climate change and water report available on our website www.arm.co.za

ARM – ESG UN GLOBAL COMPACT REPORT 2023

ARM’s reporting in terms of the UN Global Compact

continued

SDG

HOW ARM CONTRIBUTES

FOR MORE INFORMATION

ARM’s integrated wellness programme encompasses safety, occupational hygiene and health, TB, HIV and Aids, and chronic disease management. The programme supports national priorities in these areas and includes support for awareness, testing campaigns and outreach initiatives to address TB, HIV and Aids among employees and in communities. The operations also support wellness centres, home-based care groups and local Aids councils.

Memorandums of Understanding (MoUs) with the provincial Departments of Health (DoH) at Beeshoek, Black Rock, Khumani, Modikwa and Two Rivers mines strengthen the implementation of provincial TB, HIV and Aids, STIs and chronic disease management strategies, and extend primary healthcare services to contractors and communities. During Covid-19, these mines were approved as vaccination sites for employees and local communities to support the government vaccination drive.

Black Rock Mine provides primary healthcare services to the local community through a partnership with the Northern Cape DoH. The mine is also active in a three-year integrated school health project to address preventable diseases and barriers to learning in local schools.

CSI and LED projects at the operations focus on building capacity in local communities and prioritise women, HIV and Aids projects, advancing people living with disabilities, youth and the socially destitute.

Occupational health and wellness (pages 86 to 92)

Community impacts (pages 104 to 110)

ARM – ESG UN GLOBAL COMPACT REPORT 2023

ARM provides technical, vocational and educational training programmes that builds the skills and capacity of the current and future workforce. Learnership programmes and our graduate development programme provide opportunities for unemployed youth. Adult education and training (AET) and portable skills training is provided at ARM operations to employees and community members to improve literacy, numeracy and employability.

CSI and LED projects and the ARM BBBEE Trust include investments in infrastructure to build/upgrade or furnish schools. Contributions from the operations during the year included donating school shoes and uniforms, constructing and refurbishing school infrastructure, and holding

a career expo for matric learners from local schools.

Human resource management (pages 94 to 103)

Community impacts (pages 104 to 110)

Value created (page 19)

SDG

HOW ARM CONTRIBUTES

ARM’s gender unit advances women’s interests and

oversees gender mainstreaming in the company. Gender

diversity is promoted through women in mining committees

at operations, a female leader profiile and a women

development training programme. We participate

in provincial Department of Mineral Resources and Energy

(DMRE) women-in-mining structures and in related events

hosted by the Minerals Council. Intakes into training

programmes include an emphasis on increasing the

number of female candidates. Awareness about the

company policy on sexual harassment and bullying

is raised through an ongoing training programme and

communication plan that provides education on respectful

and appropriate behaviours in the workplace. We actively

recognise women’s rights to property and resources,

include women as stakeholders in consultation processes,

and create inclusive access to jobs and economic

opportunities. ARM’s CSI and LED projects focus

on building capacity in local communities and prioritise

women.

FOR MORE INFORMATION

Human resources management (pages 94 to 103)

Community impacts (pages 104 to 110)

Water is a material matter at all operations and water stewardship is integral to ARM’s business strategy. Water issues are shared and we take a collaborative approach to address them.

We consider water availability and quality when planning projects, operations and closure, and consult with regulators and communities to ensure this essential resource is responsibly managed and shared.

We continue to improve water reporting and promote water-use effiiciency. All operations run closed circuit water systems to the extent possible to maximise recycling and minimise discharge into the environment. Context-based water targets have been set at all operations, operations have water-related key performance indicators (KPIs) and invest in technology to reduce their water requirements.

Our LED and CSI programmes and the ARM Trust have a focus on promoting water access and improving water infrastructure and sanitation for schools and communities. In F2023 this included boreholes, reservoirs, reticulation networks, toilet structures and wastewater treatment works.

Environment (pages 56 to 77)

Community impacts (pages 104 to 110)

The F2023 climate change and water report available on our

website www.arm.co.za

ARM – ESG UN GLOBAL COMPACT REPORT 2023

ARM’s reporting in terms of the UN Global Compact

continued

SDG

HOW ARM CONTRIBUTES

FOR MORE INFORMATION

The metals ARM produces are used in clean energy solutions. We are committed to participating in the global response to reduce carbon emissions and mitigating the physical impacts caused by climate change. We are working to identify contextually appropriate and just mitigation options for each operation. During F2023, ARM Platinum concluded a 20-year power purchase agreement to wheel solar photovoltaic power to its operations.

ARM Ferrous is undertaking a prefeasibility study

to explore the correct energy mix for the Northern Cape mines to balance the energy sources to meet baseload demand. Additional medium-termemission-reduction plans include possible collaborations and further optimising energy efficiencies at our operations.

Projects implemented through the LED and CSI programmes during the year included solar streetlights and a secured solar power installation to power a borehole pump at a food garden.

Environment (pages 56 to 77)

Our value contribution (page 18)

The F2023 climate change and water report available on our

website www.arm.co.za

ARM – ESG UN GLOBAL COMPACT REPORT 2023

The metals and alloys ARM produces play a key role in

Our value contribution (page 18)

the infrastructure that promotes economic growth. As a

company, we provide direct and indirect employment,

Value created (page 19)

promote entrepreneurship and grow SMMEs through

enterprise and supplier development programmes.

Human resources management

Preferencing local procurement creates large economic

(pages 94 to 103)

multipliers.

Community impacts

We provide skills development initiatives, including

(pages 104 to 110)

opportunities for unemployed youth and graduates, as well

as AET and portable skills training to improve employable.

Regular internal benchmarking ensures equal pay for work

for equal value. ARM’s safety initiatives promote safe and

secure work environments. We have controls in place

to ensure that labour rights are protected and that we do

not use forced or child labour. A diversity programme is in

place that includes a focus on raising awareness regarding

people with disability (PWD) and increasing PWD

representation wherever practical.

SDG

HOW ARM CONTRIBUTES

FOR MORE INFORMATION

The metals and alloys our operations produce are essential

Our value contribution (page 18)

parts of the infrastructure that supports industrialisation.

Our operations have made a significant investment

Community impacts

in infrastructure, particularly in remote areas, when

(pages 104 to 110)

developing and operating our mines and processing

facilities. The projects supported through the operations’

Partnering to drive innovation

LED programmes include signifiicant investments

(page 102)

in community infrastructure that supports economic

development and human wellbeing.

ARM’s enterprise and supplier development programmes

support entrepreneurs and SMMEs, and helps to include

sustainable businesses into the mining value chain. These

initiatives prioritise support for historically disadvantaged

people and thereby promote inclusive growth. ARM

conducts research and development, and supports tertiary

institutions, to identify innovative and sustainable

applications in mining technology. Machadodorp Works

is developing more cost-effective and energy-efficient

ways of smelting.

The ARM human rights policy, code of conduct,

Human resources management

employment equity policy and our human resources

(pages 94 to 103)

management policies promote equality and prohibit unfair

discrimination on the basis of race, religion, gender, age,

Stakeholder engagement

sexual orientation, nationality or disability. We promote

(pages 46 to 53)

equality and the inclusion of previously disadvantaged

groups, including women, and PWD. We embrace

Community impacts

an inclusive approach to community consultation and

(pages 104 to 110)

participation in decision-making.

ARM’s housing strategy promotes access to decent

Our value contribution

accommodation by helping employees access affordable

(page 18)

housing. The metals and alloys our operations produce are

essential components in constructing cities and the

Employee housing (page 103)

infrastructure required to support them. LED infrastructure

projects support community resilience and provide basic

Community impacts

services including access to water, sewage services,

(pages 104 to 110)

schools and roads.

ARM – ESG UN GLOBAL COMPACT REPORT 2023

ARM’s reporting in terms of the UN Global Compact

continued

SDG

HOW ARM CONTRIBUTES

Sustainable practices and environmental responsibility are

embedded in our policies and activities. The waste

management programme aims to promote recycling

wherever possible, reduce waste production and ensure

safe disposal at appropriate facilities. ARM is implementing

the GISTM to align tailings management and standards

to national and global good practices to preserve health,

safety and the environment during all phases of the mining

life cycle. Water discharges that are below the quality

specifiied in their water use licences (WULs) are reported

to the relevant authorities and clean-up and mitigation

action undertaken. Air emissions at Cato Ridge Works are

managed by cleaning equipment in line with its air

emission licence. ARM’s integrated approach

to sustainability reporting is evident in the integrated

annual report and this ESG report.

FOR MORE INFORMATION

Our value contribution (page 18)

Environment (pages 56 to 77)

The F2023 climate change and water report available on our website

www.arm.co.za

More information regarding ARM’s management of tailings storage facilities is also available on our website.

ARM’s carbon emissions are publicly reported in this ESG

Environment

report and in the climate change and water report.

(pages 56 to 77)

We have set a 2050 greenhouse gas emissions reduction

target and in F2023 we refined operation-specific

The F2023 climate change and water

decarbonisation pathways and set short and medium-term

report available on our website

emission-reduction targets. Carbon emission reduction

www.arm.co.za

targets are included in executive incentives. We address

climate change by reducing our carbon footprint and

Remuneration report

by engaging in dialogue with stakeholders to enhance

(pages 154 to 189)

adaptive capacities and integrate climate change

measures into policies and strategies.

ARM works closely with our partners to ensure safe and

Our value chain (page 111)

responsible shipping with minimal risk to marine ecology.

The operations are all inland and do not have a direct

Environment (pages 56 to 77)

impact on marine resources. Our approach to water

management aims to maximise recycling and minimise

The F2023 climate change and water

discharge into the environment, including freshwater

report available on our website

ecosystems such as rivers and streams.

www.arm.co.za

ARM – ESG UN GLOBAL COMPACT REPORT 2023

Our approach to biodiversity conservation aligns with the ICMM Position Statement on Mining and Protected Areas. We acknowledge our responsibility to conserve biodiversity around our operations, particularly in the context of the declining estate of global biodiversity. We are committed to net positive biodiversity impact, or to compensation for negative impact, as appropriate.

Environment (pages 56 to 77)

Biodiversity tables in the sustainability data tables (ESG supplementary information 2023 on our website www.arm.co.za)

SDG

HOW ARM CONTRIBUTES

FOR MORE INFORMATION

The ARM human rights policy promotes respect for human

Stakeholder engagement

rights during business operations and engagements, and

(pages 46 to 53)

aims to instil a culture of human rights between and

among the company and its stakeholders. We respect

Social and ethics committee

human rights, provide access to information, support

chairman’s report (pages 22 to 26)

representative decision-making, work to avoid company-

community conflict and carefully manage our security

Our approach to sustainable value

approaches to ensure they decrease rather than increase

creation (pages 32 and 33)

the likelihood of conflict. ARM has a zero-tolerance

approach to unethical and improper conduct, including

Ethics (page 34)

bribery, corruption and money laundering. We commit

to transparency across the scope of our activities that

Human rights (pages 108 to 110)

impact society, from transparency of mineral revenues and

payments to transparency in commitments made to local

Fraud and ethics (pages 146 to 148)

communities.

We partner on SDG-related challenges at local, national

Stakeholder engagement

and global levels and in collaborative approaches

(pages 46 to 53)

to sustainable development with all our stakeholders.

We participate in public-private partnerships to promote

Our approach to sustainable value

community health (see goal 3) and collaborate with public

creation (pages 32 and 33)

and private-sector stakeholders to promote water security

and coordinate community development.

Environment (pages 56 to 77)

The F2023 climate change and water

report available on our website

www.arm.co.za

Community impacts

(pages 104 to 110)

ARM – ESG UN GLOBAL COMPACT REPORT 2023

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www.arm.co.za

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ARM – African Rainbow Minerals Ltd. published this content on 26 October 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 26 October 2023 15:48:07 UTC.