PROMOTING COMPETITIVE AND RESPONSIBLE MINING IN COLOMBIA. Prospectors and Developers Association of Canada Convention Toronto, March 2014
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1 PROMOTING COMPETITIVE AND RESPONSIBLE MINING IN COLOMBIA Prospectors and Developers Association of Canada Convention Toronto, March 2014
2 PROGRESS
3 ANM MILESTONES ANM * * RUCOM: Unique Register of Mineral Traders
4 NEW REGISTRATION INFORMATION SYSTEM Re-opening of applications system. 3,916 new requests between July 2013 and February 2014 Clear rules for entitlement. Standardized and transparent process. Assistance throughout the process Guaranties for the mining user. First come first served Support of control entities World Bank about re-opening of the application system: "Congratulations on the success of the inaugural session. Processing 2,188 requests in a single day is definitely (at least to my knowledge) a new world record. And if everything went well, without fail and without incident, it is to be justifiably proud. "
5 TRANSPARENT MINING INFORMATION Procedures via web - Redesign of declaration, payment of royalties and surface rent into electronic forms Mining Management Integrated System: Project awarded to Canadian- Mexican consortium Expected completion 2015
6 COMPREHENSIVE AUDIT % 53%
7 COMPREHENSIVE AUDIT Evidence of good mining practices Cable Ecological Activities Nursery Improving roads Cultural activities
8 GREATER TRANSPARENCY AND CONTROL OF MINERAL COMMERCIALIZATION IN COLOMBIA Unique Register of Mineral Traders - RUCOM Requests for register 100% Digitalized Online platform in operation since 12 th of January, 2014
9 MODERNIZING RESCUE EQUIPMENTS: A 30 YEAR LEAP Acquisition of latest technology of selfcontained breathing equipment (265 units), renewing existing ones after 30 years of use Purchase of 5 mobile rescue units with a 6 tons capacity
10 INCREASED REGIONAL PRESENCE OF ANM BY 40%
11 MINING FACTS
12 37% OF EXISTING MINING TITLES ARE IN EXPLORATION STAGE Entitlement area of 5.3 M Ha 37% in exploration: 3,619 24% in assembly and construction: 2,349 39% in production: 3,737 * February 20
13 ENTITLEMENT FOR PRECIOUS METALS ACCOUNTS FOR HALF OF THE TITLE UNIVERSE
14 11 STRATEGIC MINERALS: POTENTIAL OF AN UNEXPLORED TERRITORY LA GUAJIRA ATLANTICO MAGDALENA CESAR Gold Mll Ha. CORDOBA SUCRE BOLIVAR Copper - 12 Mll Ha. NORTE DE SANTANDER Iron Ore Mll Ha. ANTIOQUIA SANTANDER ARAUCA Platinum Mll Ha. CHOCO CALDAS CUNDINAMARCA BOYACA CASANARE Coal Mll Ha. RISARALDA QUINDIO TOLIMA SANTA FE DE BOGOTA D. C. VICHADA Coltan Mll Ha. VALLE DEL CAUCA META Potassium Mll Ha. CAUCA HUILA GUAVIARE GUAINIA Magnesium Mll Ha. NARIÑO Nickel Mll Ha. PUTUMAYO CAQUETA VAUPES Phosphate Mll Ha. AMAZONAS Uranium Mll Ha. Source: ANM
15 COAL PRODUCTION 2013: 85,5 Mton Titles: 1,644 (552 in exp. and 559 in prod.) 95% Thermal coal, 5% Metallurgic coal 90% Open Pit, 5% Underground mining PRODUCTION BY DEPARTAMENTS 92% in La Guajira and Cesar 8% in Cundinamarca, Boyacá, Norte de Santander and others (Córdoba, Antioquia, Casanare, Cauca, Santander, y Valle del Cauca which producen less than 1 Mill Ton)
16 GOLD PRODUCTION 2013: 55.8 Ton Titles: 2,036 1,162 in exploration and 349 in production PRODUCTION BY DEPARTAMENTS 47% in Antioquia and 27% in Chocó 8% in Cauca and 6% in Nariño 4% in Bolívar and 3% in Caldas 5% Rest of the country
17 COPPER PRODUCTION 2013: 4,000 Ton Titles: in exploration and 11 in production High mineral potential discovered since the 1970s Production projects: El Roble Mine (Antioquia) Exploration projects: Mocoa (Putumayo) Santa Helena (Antoquia) Comitá (Chocó) Ramos-Laverde (Nariño)
18 GOING FORWARD
19 ANM S VISION FOR THE MINIG SECTOR Responsible mining through a virtous triangle.
20 SOCIAL CHALLENGES FOR MINING ACTIVITY
21 CONTRIBUTION OF THE ANM Good practices
22 Source: Centro Nacional de Consultoría Brújula Minera, 2014 THE PERCEPTION ABOUT MINING IS CHANGING Within the next years, 63% of mining companies intend to expand operations 66% considers mining to be positive for the country Within the next 5 years Reduce operations Stay Expand operations 78% believe that well done mining generates development in the regions 63% believe that it is possible to have a socially responsible mining activity
23 MINING IS A KEY DRIVER FOR THE 4G INFRASTRUCTURE PROJECT Between 2015 y 2020, a new boost in demand for building materials 939 mill Ton of steel 11 mill. M 3 of asphalt 12 mill. M 3 of concrete 3 mill. Ml of drain pipe
24 SUPPORTING MINING FEASIBILITY High level support of strategic projects CONPES PINES (3,762) Timely and effective management in order to make possible the future of Induprimas Peldar and Sumicol Corona Implementation of public works in roadway corridors, ports infrastructure, rivers and railways Supporting title owners in implementing social clauses
25 THE GOVERMENT IS IMPROVING THE PROCESS IN PRIOR CONSULTATION Improvement in prior consultation with the indigenous and Afrodescendant peoples Presidential Directive to implement a guide Inter-institutional Coordination Protocol (Decree 2613/2013) Creation of inter-institutional committees Simplification of process to obtain the certificate of presence of indigenous and Afro-descendant peoples (The Ministry of Interior) Expediting legalization of prior consultation. Now with The Ministry of Interior (before, with ANLA) In process, single window tool ( ventanilla única ) to follow environmental and social stages in projects.
26 STRATEGIC MINING AREAS Collaborative effort by several entities (Ministry of Mines, Geological Service, UPME, ANM) Support of World Bank in constructing tender methodology Data collection by the Colombian Geological Service Data diffusion policy Tender procedures (preparing information, launch and opening, qualification, award)
27
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