The Chilean mining industry is working toward a long-term goal of becoming more sustainable, which is outlined in government guidelines, with the national mining policy by 2050 calling for the industry to adopt circular economy models and Extended Producer Responsibility Law #20,920, which requires waste to be reused and resources are used more efficiently.
In response to these emerging demands, state-owned copper miner Codelco, for example, has committed to recycling 65% of its non-hazardous industrial waste and 100% of its mining tires by 2030.
In the private sector, Antofagasta Minerals is developing an initiative that includes manufacturing steel to grind balls from discarded tires from its CAEX trucks at Minera Los Pelambres, while Australian company BHP’s local subsidiary has recently called for clean energy solutions aimed at circular economy to create in passenger transport.
There is clearly a very long way to go before more such measures are implemented in the country’s mining industry, and experts point out that part of the problem is that there is still a lack of knowledge on how to develop better strategies in this regard can.
To learn more, BNamericas spoke to Emilio de Giacomo, a founding partner of Aurys Consulting, a company specializing in process optimization and organizational circularity, with a primary focus on the mining sector.
BNamericas: What are the principles of the circular economy?
From Giacomo: You are related to the sustainability of the business. Today we work with increasingly scarce resources and circularity can break the paradigms in the way we do business. Strictly speaking, it is about doing more with less.
The circular economy is not only an environmental or recycling issue, but also addresses economic and even social and community issues. Businesses must aim to minimize or eliminate waste in all their processes, and not just at the end of the chain.
BNamericas: A study by Aurys has shown that mining is one of the industries in Chile that has most embraced the circular economy.
From Giacomo: Mining has taken a leading role in this matter, not only to comply with local legislation, but also to respond to international requirements that require new parameters, such as: B. ESG Principles.
She is more sensitive to the topic and the new generations internalize these terms when they join the company, which creates a leverage effect. But in the study we saw that this progress is still in the making.
BNamericas: What laws in Chile promote circular economy practices?
From Giacomo: One of the triggers was Law 20.920 REP, which was created in 2016 and last year incorporated requirements related to responsibility for waste. This affects suppliers and mining companies, where there is a willingness not only to comply but also to move towards the greatest possible expression of circularity.
BNamericas: How should the circular economy be integrated?
From Giacomo: First, by integrating circularity into business strategies that also take into account sustainability challenges and ESG principles. There, the impacts and benefits need to be measured at environmental, economic and community levels, including the level of ambition of where we want to go. Businesses often start with actions that result in people not understanding why.
Second, the implementation of the initiatives. Here there must be metrics to monitor the level at which we are progressing that relates to performance and systematic actions to achieve process improvements. For example, through changes in waste management or in the supply sector.
Third, the enablers. People are needed, and that starts with awareness and capacity training.
BNamericas: What are the main waste areas in mining?
From Giacomo: tailings and landfills. Progress needs to be made on more selective and precise extraction methods, as well as greater water reuse through tailings with lower water content. Other wastes are truck tyres, steel, wood and plastics, which are undoubtedly the main area where more pragmatic work can be done at the moment.
BNamericas: How can circularity work to reduce emissions?
From Giacomo: This includes reviewing processes and integrating technologies to manage metrics, reporting and electrification to achieve carbon footprint reduction and minimize waste. Circularity is an endless process. Improvements and the incorporation of technologies must continue over time.
BNamericas: Which mining companies work with Aurys?
From Giacomo: We work with Antofagasta Minerals, Codelco, Collahuasi, Anglo American, Glencore, Compañía Minera del Pacífico, etc. Our role is the strategic articulation and management of initiatives. We know that mining problems are becoming more and more complex and that is why we work together with various specialists. Finding solutions requires different perspectives.
BNamericas: Can the circular economy start with the daily actions of workers?
From Giacomo: Circularity is not limited to the four walls of the company, but is based on the behavior of people. The outcome will be more positive if the employee is aware of the concepts. One of our initiatives right now is reducing plastic bottles, which isn’t about how plastic gets recycled, it’s about how I remove it. Changing people’s habits goes beyond companies and a virtuous cycle must be created.
BNamericas: Is there a lack of awareness of the benefits of circularity?
From Giacomo: Yes. Companies can reap benefits by adopting circular economy with a focus on better waste management, more efficient operations, the least resource consumption, creation of the fewest number of jobs and impact on processes. Small and medium-sized miners may have gaps in how the processes are managed or executed, but if they integrate these practices, they will generate more value.
BNamericas: Water resource management is a challenge for mining. What practices do you recommend?
From Giacomo: An important aspect is how I close the water cycle, i.e. how I eliminate or minimize water losses while using the same resources. It is related to the efficiency of production systems. Depending on the process, the large water requirements of mining are met with desalination plants or with non-desalinated seawater. But you have to apply efficiency concepts, minimize extraction and also think about seeing the solution as a combination of solutions.
BNamericas: How to work on circularity in mining transport?
From Giacomo: We need to rethink transportation systems. It is not enough to electrify trucks, but how to change the transport mechanisms with a logic of higher energy efficiency and add renewable sources. A large part of mining now has a very high proportion of renewable energy. But there is the challenge of electrification and how to efficiently and optimally transfer this energy to processes.
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