Mining, Communities and Sustainable Development

Case study: Hima Cement
Daniel Pettersson General Manager

Overview


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Lafarge Group
Hima Cement Our Sustainability Ambitions Alternative Fuels – Our Success Story Quarry Rehabilitation

Lafarge – Building Better Cities
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World leader in building materials Major player in the cement, aggregates and concrete industries We contribute to the construction of cities throughout the world with innovative solutions, providing cities with more housing, and make them more compact, more durable, more beautiful and better connected Operating in 64 countries 65,000 employees €15.8 billion of annual sales

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1,570 production sites
Listed on the Paris Stock Exchange

|Building Better |MayCities| 2013|

3

Hima Cement Ltd

October 2013

Hima Cement Ltd
Industry Captain and part of the Lafarge Group.

Hima Cement
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Multi - brand seller in Uganda 900 Kt pa production capacity

A member of Bamburi Cement Group the leading cement producer in East Africa

Hima Cement employs over 1000 people directly and indirectly

Our Cement Brands
Multiple Brands

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Mining Activities
Three quarries – Hima, Musekura & Dura

Key Challenges:

Road infrastructure – Dura – Hima • Short road (50 km) being completed in partnership with UNRA • Compares to alternative route of 150 km via Fort Portal

High water table conditions resulting in
deposit dewatering costs Skills – shortage of mining engineers in Uganda
Presentation name or chapter

Lafarge Sustainability Ambitions 2020
Building Communities
 Health & Safety  Diversity  Volunteer Working  Local Job Creation

Building Sustainability

 Affordable & Sustainable Housing  Sustainable Products & Services

Building the Circular Economy

 CO2 Emissions  Non-Fossil Fuels  Re-used and Recycled Materials

Ethical Governance

 Adopt Best Practices in Ethical Governance  Enhance Transparency

Alternative Fuels Project
Our Success Story

Benefits to Local Community

53% of kiln fuel from biomass coffee husks, rice husks, palm kernels, G-nuts husks and baggase 70 Kt of biomass sourced annually from Uganda, Tanzania & DRC Hima Cement is leading within the entire Lafarge Group worldwide on the use of biomass! Environmental benefits through a CO2 emission reduction of 67,000 tons annually

Job creation to the local community – materials handling

Increased household revenues – particular benefit to farming community
Business opportunities through supply chain etc

Hima Cement Coffee Project

In partnership with the Uganda Coffee Development Authority, local farmers organizations and local government, Hima Cement launched project in year 2011. Aim: - Sustained economic growth coupled with social progress, environmental protection and respect for local communities AND commercial benefit to Hima Cement Phase 1 – 7.1 Million seedling of coffee distributed to farmers. Phase 2 – in planning phase with additional seedling of coffee to be distributed in year 2014-16. Over 30,000 farmers benefited from Phase 1 of the project Annual revenue to the farmers from Phase 1 estimated at over 10 MEURO per annum. Hima Cement to use husks for environment-friendly energy source – 15 Kt expected from the project annually

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Planting Season
Farmers

Farmers in Kirembe subcounty receive seedlings

Fundson Walina Shem showing his coffee plant from last season

Nursery bed at KADIFA in Kasese

A farmer counts his seedlings
Presentation name or chapter Date | 11

31st July, 2013

Management Visiting Coffee Farmers in Kasese

Dr .Simba and the MD look at a yielding coffee plant

Hosted by Bukonzo Joint Cooperative Association

Dr. Simba with Lafarge staff and other stakeholders

In the nursery bed at Bukonzo Joint Cooperative

Quarry Rehabilitation
Following completion of the limestone excavation process, we undertake rehabilitation works to avert the site to its original condition prior to mining initiation. We do have an elaborate Environmental Management and Monitoring Plan (EMMP) that we follow in our site decommissioning and restoration activities.

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Date | 13

Quarry Rehabilitation Key Processes

Planning – Rehabilitation plans reviewed regularly including biodiversity management plans Implementation Stages  Ground Preparation  Re-afforestation starting with Pioneer Trees  Ecosystem Development & Management

Shaping the physical landscape
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Creation of physical features Ripping the quarry floor for tree planting

Application of topsoil

Tree species planted include Acacia, Cassia, Cassuarina, Eucalyptus, Eucalyptus, Grevillea, Cassuarina, Grevillea and Terminalia.

Rehabilitated quarry

THANK YOU

Presentation name or chapter

Date | 16

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