West African Resources (WAF), which operates the Sanbrado Mining Company (SOMISA SA), has just published its Sustainability Report 2022. The content of the report is divided into two parts, namely the state of play 2022 and the outlook 2023.
State of play 2022: operating despite insecurity and changes in government leadership
The Sustainability Report 2022 reports on the company’s progress during 2022 in terms of its environmental and social performance. It has been a challenging year for operations in Burkina Faso due to continued security uncertainty and changes in government leadership, but our team has pulled together to keep our operations on track.
The flagship Sanbrado gold mine continued to operate without interruption, while the environmental and feasibility teams worked to refine the development plans for the Kiaka and Toega projects. Exploration around Sanbrado during 2022 identified additional resources that should extend the life of the Sanbrado mine.
The last 12 months have been a period of solid production and growth for West African Resources, with Sanbrado entering its second full year of operation and the company advancing two new projects: the Kiaka and Toega projects. WAF acquired Kiaka in December 2021 and has spent the last year refining the mine plan and completing updates to the Environmental and Social Impact Assessment (ESIA) and Resettlement Action Plan (RAP). These studies have identified opportunities to improve efficiency, reduce land acquisition (and therefore displacement) and minimise greenhouse gas emissions by connecting to the national electricity grid, which is largely powered by hydroelectricity and natural gas from neighbouring Ghana and Côte d’Ivoire. The company is also working constructively with biodiversity stakeholders on the Bagré Dam Ramsar site, which is close to the Kiaka project footprint.
The Toega project teams worked in 2022 to complete the ESIA and RAP studies, which were approved by the government in December 2022. The company expects to receive the environmental certificate and mining permit in 2023, at which point resettlement and construction work can begin.
Environmental and social programmes at Sanbrado continued to expand in 2022. As mentioned in last year’s report, the mine sees education as the best route out of poverty and its community development programme has focused on vocational training and education initiatives for community members. Examples include trade and driver’s licence training for young people, as well as workshops on modern business practices for local suppliers. In August, WAF launched the first round of its annual scholarship programme for high-calibre local students wishing to pursue academic studies in a mining-related field. WAR selected two excellent students who will receive funding and materials for a three-year university programme. During their studies, they will be able to gain hands-on experience through internships at Sanbrado, supervised by professionals working in a relevant technical discipline. The mine is very proud of this initiative and hopes that it will prove valuable to the recipients of the scholarship and encourage others to continue their studies, as well as providing a steady source of university graduates seeking employment.
On the environmental front, 2022 saw the development of a nursery in Sanbrado to provide plants for revegetation of the site and donations to communities. The annual production target of 20,000 plants was achieved in the first year of operation of the nursery and we congratulate the team on this achievement.
People are the backbone of the business and the reason WAF has continued to succeed in 2022, despite external challenges. The company increased employment by 15% to support business growth. Female employment and representation in management remains high. The mine has seen an increasing number of local and national employees (94% of all staff working in Burkina Faso) and higher positions filled by Burkinabé employees, demonstrating the success of its local employment policy.
Health and safety remains a top priority and it is proud to celebrate 12.7 million hours and 43 months without a lost time accident, before a lost time accident was recorded in September (the first since Sanbrado was built). Its TRIFR is well below industry norms, at 1.73 per million hours worked (which includes injuries to employees and subcontractor personnel).
Outlook: Accelerating the construction of Kiaka in 2023
In 2023, it plans further efficiency improvements at Sanbrado when an oxygen plant is put into operation in the middle of the year. This addition should improve gold recoveries and significantly reduce our reliance on chemical reagents.
Construction in Kiaka will accelerate in 2023. The project will create around 1,200 direct jobs and contribute significantly to the local and national economy. It will also be the first WAF project to be able to connect to the national power grid, reducing our dependence on fossil fuels and minimising our greenhouse gas emissions, as most of the electricity in the region is supplied by renewable energy sources located in Ghana.
Richard Hyde, Executive Chairman and Chief Executive Officer, on behalf of the Board, thanked the staff and contractors for their efforts in 2022. He looked forward to continuing WAF’s success and progress in 2023.
Summary by Pierre Balma
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