2017 Sustainable development overview
| Financial and operational | Governance and ethics | Employees | Social | Environmental | |
| Overview | We understand that we must integrate sustainability and integrity into our core business practices. We are committed to creating economic value for the Group in order to deliver ongoing benefits to all our stakeholders. | As an organisation whose product derives its value from the perception of its consumers, we are committed to supplying rough and polished diamonds to our clients that are produced and distributed in accordance with legal and ethical standards. To achieve this, we have fostered a strong culture of corporate integrity and good governance, which extends throughout the full business cycle. | Our organisation's strength lies in the quality of the people we employ. We are committed to ensuring our employees' health and safety at all times. Beyond this, we also aim to foster respectful and mutually beneficial relationships with our employees, prioritising their development and well-being and the promotion of equality and diversity in our workforce. | We recognise that we don't operate in isolation. Our mines are located in dynamic socio-economic environments that existed before and will continue to exist after our operations cease. Rather than simply maintaining the status quo, we work with project-affected communities (PACs) and our host countries to create a positive legacy that will last long after the mineral resources have been depleted. |
The legacy we leave for future generations is a responsibility we take seriously. The minimisation, mitigation and management of potential environmental impacts are key components of the Group's duty of care. |
| Our key performance indicators | Revenue of US$214 million (2016: US$190 million). Underlying pre-exceptional EBITDA (earnings before interest, tax, depreciation and amortisation) of US$49 million (2016: US$63 million). Capital expenditure of US$18 million (2016: US$11 million). 6.4 million production tonnes treated (2016: 6.9 million) |
Every rough diamond of ours is certified under the Kimberley Process. Zero incidents of potential breach of confidentiality of clients Fully compliant with all government regulations and relevant voluntary codes concerning product and service information Zero significant cases of bribery, corruption or anti-competitive behaviour, have been brought against us to date (2016: zero). 19 cases of whistleblowing (2016: ten). |
Zero fatalities for the fifth consecutive year (2016: zero). One lost time injury (LTI) (2016: 5). Lost time injury frequency rate (LTIFR): 0.04 (2016: 0.18). 74 666 proactive safety management actions implemented (2016: 74 110). 8.7 % staff turnover (2016: 8.6%). US$ 36.6 million spent on employee wages and benefits (2016: US$36.5 million). Retained our OHSAS 18001 and ISO 14001 certification at Letšeng. |
US$0.5 million invested in social projects US$189.7 million spent on local procurement Zero major or significant community incidents |
Zero major environmental incidents for the ninth consecutive year. No fines for environmental transgressions or non-compliance with host country legislation for the eighth consecutive year. Zero significant environmental incidents for the fourth consecutive year. US$17.3 million environmental rehabilitation provision (2016: US$16.6 million). US$4.8 million spent on environmental training, specialist consultants, research and development, green purchases and other matters associated with environmental protection during 2017 (2016: US$0.8 million). |
| Our challenges | Numerous factors beyond the control of the Group may affect the price and demand for diamonds. We continually monitor market conditions and ensures we operate efficiently to preserve capital. Product security and theft prevention remain high priorities. |
Incorporating human rights training as standard practice remains a challenge across the Group. Applying the Group’s Anti-Bribery and Corruption Policy to ensure continued compliance with the UK Bribery Act requirements. |
The depressed market for smaller-sized diamonds resulted in our Ghaghoo operation being placed on care and maintenance in 2016. This, regrettably, resulted in the majority of our Ghaghoo staff being retrenched, with only a small portion of the workforce being retained to maintain the mine during its care and maintenance phase. | Balancing our various stakeholders’ expectations with businesses sustainability. Protecting and strengthening our stakeholder relationships as we undergo organisational change Ensuring that we build a legacy that lasts beyond the life of our mines. |
Water management across the Group remains an ongoing challenge. Waste management at both mines remains a challenge due to their remote location and the lack of appropriate waste-disposal facilities within our host countries. |
| Looking ahead | Focus in 2018 will be on capital and cash management discipline to remain cash generative. The implementation of various business efficiency and optimisation initiatives remains a key objective for the Group. For more information, refer to the Annual Report |
We will place continued focus on raising standards across our supply chain to prevent modern slavery. We will also focus on improving our human rights training and implementing a Group-wide Code of Ethics to support the management of governance and ethics in the Group. |
We will focus on sustaining a safe working environment in which all employees are treated fairly and with respect, and which supports their development and well-being. | We will continue to focus on building stakeholder relations throughout the lifecycle of our projects. We will sustain Corporate Social Investment in a challenging financial environment. We will focus on Improving our communication and stakeholder engagement strategies. |
In 2018 we will ensure continued compliance with the operation-specific social and environmental management plans (SEMPs) and further develop and implement initiatives focusing on water and waste management in the Group. |
| Related UN SDGs |
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