Environment Land and Biodiversity

At every stage of the mining lifecycle, we strive to understand and actively manage our impacts on biodiversity conservation and ecosystem services. Our efforts help to minimize our environmental footprint and related social and environmental risks, and strengthen Hudbay’s reputation and relationships.

While each site develops its own management plans specific to its unique location, they are all expected to apply the biodiversity mitigation hierarchy throughout the mining lifecycle, in accordance with our corporate Biodiversity Conservation Standard. The mitigation hierarchy is a widely accepted set of prioritized steps to alleviate environmental harm as far as possible, first through avoidance of detrimental impacts to biodiversity, and then through mitigation (or reduction) of these impacts and restoration of the area’s ecosystem. Biodiversity offsetting is only considered as a last resort.

Manitoba

In Manitoba, land and biodiversity are managed in line with actual operational activities. Once the activities and associated risks are defined during the year, annual biodiversity objectives and plans are set and implemented, within the context of long-term environmental goals.

The Manitoba Business Unit plan includes an ongoing commitment to boreal woodland caribou conservation, financially supporting Manitoba Conservation’s caribou research and implementing Manitoba Conservation’s postcard system for caribou sightings to aid in its research. Boreal woodland caribou are currently listed as threatened under the federal Species at Risk Act and Manitoba’s Endangered Species and Ecosystems Act. We took specific measures in the design and construction of the Reed mine to reduce and mitigate any potential operational impacts on caribou, which are known to spend most of their time on the west side of Reed Lake, 2.5 kilometres from the mine site, with a highway and forest in between.

Peru

In Peru, we are committed to ensuring there is no net loss of biodiversity as a result of our activities. We have developed a biodiversity action plan (BAP) in keeping with international standards (Towards Sustainable Mining and IFC) for protecting and conserving biodiversity. To date, the BAP has involved a series of mitigation plans, including:

• Floral species management plan – Protected plant species are being managed and monitored. We transplant plants to temporary nursery areas and conduct various germination, propagation and conditioning tests.
• Revegetation programs – We plant native seeds and seedlings in degraded areas near the site and as part of our progressive reclamation activities. The seedlings are grown by community members in the Hudbay nursery.
• Rescue and relocation plan – After rescuing, captive breeding and relocating species listed as threatened (including reptiles and aquatic frogs) to similar areas off-site, we are now focused on monitoring how well the animals are adapting to their new habitat. The work is done in partnership with neighbouring communities.
• Wetlands management plan – Working with community users, we are undertaking measures to promote the conservation and/or restoration of wetlands and very wet grasslands near the site.

Arizona

Over the past six years, the Arizona team has carried out extensive environmental baseline studies and ongoing monitoring in the Rosemont project area. The data collected has been used, in consultation with stakeholders and regulators, to develop effective management plans and incorporate environmental considerations into project design, so as to minimize potential impacts on the biodiversity of the area.

To conserve water resources and biodiversity, we established the Rosemont Copper Conservation Lands Program, which includes mitigation proposed in the permitting process as well as additional areas that Hudbay has set aside for conservation purposes. Under this initiative, Hudbay Arizona will permanently conserve more than 4,827 acres of open land and allocate more than 1.9 billion gallons per year of private surface water rights to the public. Once finalized, this program will establish secure, sustainable habitat for bats, birds, fish, frogs and other animals, including some endangered species.

Arizona is home to many prominent astronomical observatories that need full darkness for their research, and the state has a number of “Dark Skies” ordinances intended to minimize light pollution. We are working with suppliers to develop modified lighting systems and technologies at our facilities and on our equipment that will reduce potential impacts far below what the code requires, while meeting the operational safety requirements set by the Federal Mine Safety and Health Administration.

Rosemont also has cowboys on its payroll who tend cattle on the property. Cattle ranching is a traditional land use in the area, and the cattle help maintain ecosystem function and provide a buffer around the proposed mine. Once mining is finished, the area will revert back to ranchland.

2015 Performance Highlights

Corporate

• We finalized our corporate Biodiversity Conservation Standard, which sets out the minimum requirements for identifying environmental conditions and managing biodiversity conservation and ecosystem services at each site. The standard is consistent with Hudbay’s commitment to implement the Towards Sustainable Mining Biodiversity Conservation Management Framework and Protocol.

Arizona

• Environmental baseline studies and monitoring programs completed at Rosemont in 2015 included: yellow-billed cuckoo surveys, Chiricahua leopard frog surveys, bat surveys, Cestus skipper surveys, chinchweed surveys, road kill surveys, groundwater level and quality review, stormwater quality sampling as well as ephemeral system measurements, meteorological monitoring, groundwater model updates, review and analysis of possible impacts on surface water and dependent species, and normalized difference vegetation index (NDVI) measurements of riparian areas.
• In late 2015, a draft of a second biological opinion was published by the US Fish and Wildlife Service, based on additional information on new species, to ensure that proper measures are taken at the mine to prevent any negative impacts on endangered species. It is expected that this document will be finished by mid-2016.
• Thirteen drill rigs operating on the east side of the mountain observed Rosemont’s Dark Skies lighting plan. Their performance was monitored by consultants, and only one minor incident (an errant light) occurred, which was subsequently corrected.

Peru

• Implementation of the Constancia biodiversity action plan was assessed against both the IFC mitigation hierarchy and the Towards Sustainable Mining (TSM) standard. The TSM assessment gave it a B level rating and recommended actions needed to bring it to an A level, all of which will be implemented in 2016.
• We implemented a native grass seed collection program in which community members are paid for the seeds they provide, which amounted to 2,180 kilograms in 2015. These seeds, along with native flora seedlings grown in our nursery, were used in progressive reclamation activities in the fourth quarter of 2015.
• Approximately 80 security personnel were trained on environmental procedures and how to respond to wildlife sightings.

Manitoba

• Manitoba Conservation conducted information sessions for Reed mine employees on caribou research and how to avoid scaring caribou.
• We conducted environmental effects monitoring (EEM) in accordance with Metal Mining Effluent Regulations (MMER). An external consultant performed the required field studies to assess the health of aquatic habitat downstream from Ross Lake, with input from Environment Canada and support from two aquatic biologists from the Institut National de la Recherche Scientifique. The report will be submitted in June 2016.