Hudbay 2018 Annual and CSR Report Summary

Environment

0
significant
spills

Environment Canada Award

Received Environment Canada’s Award of Merit for Flin Flon weather station

eco-efficiency process

Established guidance and a process for tracking our eco-efficiency

Our ability to operate requires that we develop and execute plans that maintain healthy ecosystems.
We have processes and management systems in place to manage our energy use and GHG emissions.
We ensure the air quality on and near our sites is safe for people and the environment.
We strive to continuously improve our water management approach, apply best practices and reduce our impact on water resources.
All Hudbay operations have plans in place to manage the waste and tailings produced by our mining and ore processing activities.
Successful mine closure begins during the design phase of a project’s development and continues throughout the mine’s lifecycle.

Environment

Valuing the dignity of people, showing respect and care, being open and earning trust mean we must develop the mineral resources our society needs in a manner that protects the environment, responsibly managing and mitigating environmental risks.

Landscape-Scale Project Restores Historical Floodplain

The Sonoita Creek Ranch (SCR) restoration project – the cornerstone of the water mitigation package for Hudbay’s Rosemont copper project in Arizona – provides a rare opportunity for landscape-scale restoration of a large ephemeral stream system.

The nearly 1,600-acre Sonoita Creek Ranch in the Santa Rita Mountains was used decades ago for farming and ranching. Under the project, we are working to completely restore the Sonoita Creek and its historic floodplain. Significant parts of the creek had been artificially channelized since before 1880 for agricultural purposes, cutting off tributary drainages from the Sonoita Creek mainstem. The restoration project involves re-establishing a channel of Sonoita Creek to the historic floodplain, revegetating within the floodplain, rehabilitating the existing channel, and restoring naturally tributary drainages to the creek’s mainstem. The project is expected to return the Sonoita Creek floodplain to a better functioning ephemeral riparian system. In addition, the two existing ponds on the ranch will be renovated to support the recovery of federally listed aquatic species. We will construct channels to carry overflows from the ponds to the Sonoita Creek floodplain.

To prevent impacts from domestic livestock, cattle grazing will not be permitted on the ranch. A wildlife-friendly barrier will be installed that provides access to the ranch and will direct wildlife to a culvert crossing to reduce the risk of collisions with vehicles.

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Turning Plastic Waste into Ponchilas

In 2018, our Constancia operation in Peru recycled 2,815 kilograms of plastic bottles and donated them to the award-winning “Ponchila” project. The project turns used plastic bottles into ponchilas – a combination backpack and built-in poncho – that are given to children who live in the rural Andes, where the school dropout rate is exacerbated by extreme temperatures and the long distances children travel to get to school.

Each ponchila is made out of 80 recycled plastic bottles, and Hudbay’s donation was used to make 1,161 ponchilas. In addition to Hudbay’s involvement, Peru’s Ministry of Environment joined the campaign in 2018 to promote innovative ways to turn waste into added value. Cencosud, a supermarket chain and one of the founding project partners, also found that 40% of its customers began recycling plastic for the first time because of the campaign.

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Manitoba

The successful reclamation of the Reed operation was a 2018 highlight for the Manitoba Business Unit. Other key activities included identifying opportunities to improve eco-efficiencies and continuing work to minimize environmental impacts.

Peru

In Peru, Hudbay continued its strong environmental performance, consuming less surface and groundwater than the amount authorized, achieving all biodiversity management plan objectives and analyzing opportunities to improve eco-efficiency.

Arizona

Our Rosemont project in Arizona will be a modern mine that showcases state-of-the-art techniques and sustainable environmental practices. In March 2019, we received from the US Army Corps of Engineers the last key permit needed to start developing the project.