Chapter 3 | Policy, Guidelines and Institutional and

Mako Gold Project

Environmental Impact Assessment

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Chapter 9 | Biological Impacts and Management Measures

Chapter 3 | Policy, Guidelines and Institutional and Legislative

Framework

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Chapter 3 | Policy, Guidelines and Legislative Framework

3 POLICY, GUIDELINES AND INSTITUTIONAL AND LEGISLATIVE FRAMEWORK .... 3-1

3.1 Introduction ............................................................................................................................................................... 3-1

3.2 Institutional Framework ......................................................................................................................................... 3-1

3.3 National Authorities and Agencies .................................................................................................................... 3-4

3.4 National Legislation and Regulations ............................................................................................................... 3-4

3.4.1 Management of Water Resources ...................................................................................................... 3-10

3.4.2 Management of Land and Forest Resources .................................................................................. 3-11

3.4.3 Land Acquisition and Compensation ............................................................................................... 3-11

3.4.4 Management of Biodiversity ............................................................................................................... 3-12

3.4.5 Senegalese ESIA Process ....................................................................................................................... 3-13

3.5 Project Discharge Standards .............................................................................................................................. 3-14

3.6 International Conventions, Treaties and Agreements ............................................................................... 3-15

3.7 International Policies, Guidelines and Standards ........................................................................................ 3-18

3.7.1 Overview .................................................................................................................................................... 3-18

3.7.2 World Bank / IFC Guidelines and Policies ........................................................................................ 3-18

3.7.3 International Cyanide Management Code ..................................................................................... 3-22

3.7.4 International Union on the Conservation of Nature Guidelines ............................................. 3-22

3.7.5 Extractive Industries Transparency Initiative ................................................................................. 3-22

3.7.6 Voluntary Principles on Security and Human Rights .................................................................. 3-23

3.7.7 UN Guiding Principles on Business and Human Rights.............................................................. 3-23

3.8 Toro Gold Environmental and Social Commitments ................................................................................. 3-23

3.8.1 Toro Gold Environmental and Social Performance Framework .............................................. 3-23

3.8.2 Environmental and Social Design Criteria ...................................................................................... 3-25

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3 POLICY, GUIDELINES AND INSTITUTIONAL AND LEGISLATIVE FRAMEWORK

3.1 Introduction

Major projects require an ESIA for permitting under national law, to meet stakeholder requirements and for

project financing. This impact assessment has been undertaken to satisfy the requirements of both

Senegalese legislation and international standards such as the IFC Performance Standards.

In addition to the requirements relating to impact assessment, the Mako Gold Project will also comply with

the existing Mining Convention held with the Ministry of Energy and Mines and all other applicable

Senegalese legislation, including international conventions to which Senegal is a signatory. The Project will

further operate in keeping with international best practice and in particular IFC Performance Standards for

environmental and social performance. To this end, an overview of the regulatory structure, relevant national

legislation and international guidelines is provided below.

3.2 Institutional Framework

A number of institutions and agencies (local, regional and national) are involved in the development of

mining projects, with varying roles related to the environmental and social management of projects. An

analysis of the institutional framework has allowed the identification of the relevant actors involved in the

management of the environmental and social aspects of the Mako Gold Project. The institutions and agencies

likely to be involved in the Project are :

Ministry of Environment and Sustainable Development (Ministère de l’Environnement et du Développement Durable (MEDD))

The Ministry of Environment and Sustainable Development comprises three Departments in charge of the

implementation of Senegalese environmental policy including the National Parks Department (DPN), the

Department of Environment and Classified Establishments (DEEC) and the Directorate of Water and Forests,

Hunting and Soil Conservation (DEFCCS). The Ministry "prepares and implements the policy adopted by the

President of the Republic in the fields of environment and protection of nature ". As such, the Ministry is

responsible for the fight against all types of pollution and desertification, protection and regeneration of soils,

forests and other wooded areas, the rational use of forest resources, and the defense of animal and plant

species and natural habitats. For conducting an ESIA and monitoring of ESIA procedures, the Ministry relies on

the Division of Environment and Classified Establishments (DEEC) and the Technical Committee.

Department of Environment and Classified Establishments (Direction de l’Environnement et des Etablissement Classés (DEEC))

According to the provision of Order No. 06905 of 05.08.2008, DEEC is responsible for the implementation of

Government environmental policy, including the protection of nature and humans against pollution and

nuisances, monitoring all the activities of the various departments and agencies involved in the field of the

environment, the development of legislation and regulations that promote sound management of baseline

resources. DEEC is particularly active in the context of the management of chemicals, waste, and the fight

against pollution and nuisances and climate change. DEEC’s mission is also to ensure the application of the

provisions relating to Environmental and Social Assessments (validation of ToRs for comprehensive ESIAs;

convocation of the CTNE, process monitoring, etc.). It prepares notices and decisions relating to the ESIA for

the Minister in charge of Environment.

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Regional Division of Environment and Classified Establishments (Division régionale de l'environnement et des établissements classés (DREEC))

At the decentralised level, DEEC has regional environmental divisions responsible for the implementation of

its actions, activities and tasks in their respective administrative areas. The DREEC has the same prerogatives

as DEEC and applies, at the regional level, the government environment policy, including the protection of

nature and humans against nuisances and hazardous waste.

National Technical Committee for the Environment (Comité Technique National pour l’Environnement (CTNE))

The CTNE is established by Ministerial Decree No 009469 of 28 November 2001 and supports the Ministry of

Environment and Sustainable Development in validating impact assessment reports. The CTNE includes

representatives of line ministries, local authorities, and professional organisations. Its secretariat is provided

by the DEEC (validation of ESIA reports, attendance at public hearings, etc.).

Regional Committee for Environmental Monitoring in the Kedougou Region (Comité Technique Régional de Suivi Environnemental des programmes et projets de la région de Kédougou)

The Regional Technical Monitoring Committee was established by order of the Governor no 070GRK of 26

October 2010 for environmental monitoring of programs and projects. Its missions include the administration

of the environmental assessment process at the Kédougou region. Its secretariat is provided by the DREEC.

Department of National Parks (Direction des Parcs Nationaux (DPN))

The National Park Department is responsible for the implementation of Government policy on biodiversity

conservation especially in national parks and wildlife reserves. As such, it is responsible, in particular, for

biodiversity conservation in national parks and wildlife reserves and for contributing to promoting economic

and social development of the population in the peripheral areas, to ensure the application of laws and

regulations within its field of activity, to ensure the implementation of international agreements ratified by

Senegal and within its sphere of competence, to develop and implement projects, programs and

development strategies that enhance the conservation of biodiversity in a sustainable development

perspective, etc.

Department of Water, Forests, Hunting and Soil Conservation (Direction des Eaux, Forêts, Chasse et Conservation des Sols (DEFCCS))

The Department of Water and Forests, Hunting and Soil Conservation (DEFCCS) ensures the Government

prerogatives on conservation and management of forest, soil and wildlife. This department has many

assignments including those for ensuring compliance with the law, development and improvement of areas,

restoring degraded areas and protecting all endangered species, delivering permits for land clearance, etc.

This Department has regional branches at the regional (regional inspectorates), Department (departmental

inspectorates or sectors of Water and Forests) and district levels (brigades).

Ministry of Industry and Mines (Ministère de l’Industrie et des Mines)

The Ministry of Industry and Mines prepares and implements the policy defined by the Head of State in the

fields of industry, prospecting and mining operations.In the field of industry, the Ministry encourages the

deployment of new industries and ensures their harmonious distribution throughout the territory. It

encourages the establishment of industrial areas in local communities. The Ministry supports the

restructuring of industrial companies and develops and implements strategies for the development of quality

promotion programs through the dissemination of a culture of quality and certification in industrial

companies. The Ministry encourages and supports policies of competition, promotion and export of industrial

products. It is responsible for the implementation of standardisation policy and activities, protection of

industrial property and technological innovation. It monitors classified industrial installations in relation with

the Minister of Environment.

Under the Mining field, the Ministry promotes and monitors exploration and mining activities. It is

responsible for the development of legislative and regulatory provisions applicable to the mining sector.

Three main directions cover the mining sector; these include the Department of Mines and Geology (DMG),

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the Department of Control and Monitoring of Mining Operations (DCSOM) and the Department for

Exploration and Mining development (DPPM).

Department of Management and Planning of Water Resources (Direction de la Gestion et de la planification des ressources en eaux (DGPRE))

The responsibilities of the Department of Management and Planning of Water Resources (DGPRE) include:

conducting general studies relating to water resources, inventory, planning and water resource management;

the implementation and management of a measurement and observation network for the various aquifers

and rivers; the provision of a database necessary for the mobilisation of water resources through the

programs of implementation and maintenance of hydraulic structures for all structures of the department,;

the development of legislative and regulatory documents relating to the management and protection of

water resources and monitoring of their application. At the regional level, DGPRE is represented by

Hydrological Brigades in six (6) regions including the Kedougou Region where the Mako Gold Project is

located.

Department of Civil Protection (Direction de la Protection Civile (DPC))

The DPC provides coordination and management of actions relating to risks and disasters as well as

monitoring of prevention and management of risks and disasters. The DPC has proven expertise in security,

risk management and disaster.

Department of Urbanism and Architecture (Direction de l’Urbanisme et de l’Architecture (DUA))

The Department of Urbanism and Architecture has several assignments which include the development and

monitoring of the implementation of laws and regulations on urban planning and architecture; supporting

local communities, other corporations and individuals in setting up their projects, seeking funding and staff

training; monitoring and management of human settlements; promoting Senegalese architecture and urban

design; control of the architectural quality of infrastructure projects; architectural assistance to local

authorities, housing cooperatives and Individuals etc.

National Department of Hygiene (Direction Nationale de l’Hygiène)

This Department is responsible for monitoring the implementation of hygiene and sanitation policy. It has

decentralised services and officers to control the effectiveness of the code of hygiene provisions. It will have a

role in monitoring health nuisances at the commune level.

General Department of Labour and Social Security (Direction Générale du travail et de la Sécurité Sociale)

The mission of the General Department of Labor and Social Security of the Ministry of Labor and professional

organisations consists of, among others, to ensure the special protection of workers employed by temporary

companies and obligations which these companies are subject to in the benefit of the worker, in temporary

or mobile construction sites where civil engineering work or building construction are performed.

Department of Local Authorities (Direction des collectivités locales (DCL))

The Department of Local Authorities (DCL) is responsible for implementing and monitoring the application of

laws and regulations governing local authorities and relations between the government and local authorities.

As such, it provides the necessary link between state agencies and local authorities; it is responsible for the

application of the texts concerning the status of the local authority staff as well as issues relating to

recruitment; and ensures, in conjunction with the relevant departments of the Government, the tracking of

finances, Local Government skills and actions and contributes to promoting local development.

Departmental Council (Conseil Départemental (CD))

The Departmental Council settles department's affairs through its deliberations. The department has

jurisdiction to promote economic, educational, social, health, cultural and scientific development, to achieve

departmental development plans and organise the land with respect to the integrity, independence and

responsibilities of other local authorities. It may initiate additional actions to those of the state and other local

communities in the administrative district region, in the areas and conditions determined by law.

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Municipal Council (Conseil Municipal (CM))

According to the law on the transfer of jurisdiction, the Municipal Council ensures among others, the

protection and management of natural resources and environment on its territory. The organisation of the

Council includes an Environment and Natural Resources Management Committee, which is responsible, on

behalf of the Council, to ensure the management of the environment in the preparation, implementation and

monitoring of local development projects, but also the awareness and mobilisation of the population on

environmental and social issues.

Organisation for the Development of the Gambia River (Organisation pour la Mise en Valeur du fleuve Gambie (OMVG))

The Organisation for the Development of the Gambia River (OMVG) is an intergovernmental development

organisation shared by the Gambia, Guinea, Guinea Bissau and Senegal to manage the Gambia River Basin,

which extends over an area of 289 000 km². OMVG aims to develop improved socio-economic integration of

member states through the development and enhancement of the Gambia, Kayanga/Geba and

Koliba/Corubal River basins. OMVG is responsible for the implementation of the Convention on the Status of

Gambia River; the promotion and coordination of research and development work of the Gambia,

Kayanga/Geba and Koliba/Corubal Rivers basin resources within national territories of Organisation Member

States; and any technical and economic assignment that the member states want to develop.

3.3 National Authorities and Agencies

The key agency responsible for the implementation of government policy relating to environmental

assessment is the Direction of Environment and Classified Establishments (Direction de l’Environnement et des

Etablissements Classés or DEEC). DEEC is an agency under the Ministry of Environment and Sustainable

Development (Ministère de l’Environnement et du Développement Durable or MEDD).

Following submission of an ESIA draft report, a Technical Committee (Comité Technique or CT) is convened at

the regional level by the Governor (who is the Chair of the Committee) in association with the Regional

Division of Environment and Classified Establishments (Division Régionale de l’Environnement et des

Etablissements Classés or DREEC) to provide support with ESIA validation for the specific project. The

Committee is created by Governor Order and consists of invited technical services within the region(s)

affected by project activities, as well as local administrative representatives (Prefect, Sub-Prefect,

Departmental Council, Commune Council). The Committee is supported in its mission by DEEC and the key

authorities that will be involved in the implementation of the Project at the national level.

Key national authorities relevant to the ESIA process include, but are not limited to, the Direction of Mining

and Geology (Direction des Mines et de la Géologie or DMG), the Direction of Civil Protection (Direction de la

Protection Civile or DPC), the Direction of Water Resource Management and Planning (Direction de la Gestion et

de la Planification des Ressources en Eau or DGPRE) and the Direction of National Parks (Direction de Parcs

Nationaux or DPN).

3.4 National Legislation and Regulations

Key Senegalese legislation relevant to Project permitting includes:

Mining Code (2003);

Environment Code (2001);

Water Code (1981);

Forestry Code (1998);

National Domain (1964).

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In addition to the legislation, the Company has an agreement in place with the Government of the Republic

of Senegal (GRS) (represented by the Minister of Mines) under the Mining Convention (2007). This defines

additional legal, administrative, financial and fiscal conditions of the Project in both the exploration and

operation phases.

Key laws and regulations of GRS that are relevant to the environmental and social management of the Mako

Gold Project are provided in Table 3-1. A number of the most relevant documents for the Mako Gold Project

are briefly summarised further below.

Table 3-1 National legislation and regulations applicable to the Mako Gold Project

English Title French Title Date

Decreed

MINING

Mining Code Loi no. 2003-36 du 24 novembre 2003 portant Code Minier

2003

Decree no. 2004-647 (17 May 2004) – Application of the Mining Code

Le décret no. 2004-647 du 17 mai 2004 portant application du Code Minier

2004

Order no. 009249 of 14 June 2013 on the Organization of Artisanal Mining Activity in Senegal.

Arête N°009249 du 14 juin 2013 portant Organisation de l’activité d’orpaillage au Sénégal

2013

ENVIRONMENT, HEALTH, SAFETY, SECURITY

Environment Code Loi no. 2001-01 du 15 janvier 2001 portant Code de l’Environnement

1983, updated 2001

Decree no. 2001-282 (12 April 2001) – Application of the Environment Code

Le décret no. 2001-282 du 12 avril 2001 portant application du Code de l’Environnement

2001

Ministerial Order No. 9468 MJEHP-DEEC of 28 November 2001 defining public participation in the EIA

Arrêté ministériel n°9468 MJEHP/DEEC du 28 Novembre 2001 portant règlementation de la participation du public à l’étude d’impact environnemental

2001

Ministerial Order No. 9469 MJEHP-DEEC of 28 November 2001 defining the organisation and function of the Technical Committee

Arrêté ministériel n°9469 MJEHP/DEEC du 28 Novembre 2001 portant organisation et fonctionnement du Comité technique

2001

Ministerial Order No. 9470 MJEHP-DEEC of 28 November 2001 defining the conditions for granting approval for the conduct of Environmental Impact Assessments

Arrêté ministériel n°9470 MJEHP/DEEC du 28 Novembre 2001 fixant les conditions de délivrance de l’Agrément pour l’exercice des activités relatives aux études d’impact sur l’Environnement

2001

Ministerial Order No. 9471 of 28 November 2001 on the contents of the Terms of Reference for Environmental Impact Assessments

Arrêté ministériel n°9471 MJEHP/DEEC du 28 Novembre 2001 portant contenu des termes de référence des études d’impact

2001

Ministerial Order No. 9472 of 28 November 2001 on the contents of the Environmental Impact Assessment report

Arrêté ministériel n°9472 MJEHP/DEEC du 28 Novembre 2001 portant contenu du rapport de l'Etude d'impact environnemental

2001

Interministerial Order No. 4862 of 14 July 1999 on the development of a POI in certain classified establishments and the development of a PPI in local collectives inside the perimeter of a classified establishment that requires a POI

Arrêté Interministériel n°4862 du 14 juillet 1999 rendant obligatoire l’établissement d’un Plan d’Opération Interne (POI) dans certains établissements classés et d’un Plan Particulier d’Intervention (PPI) dans les collectivités locales présentant à l’intérieur de leur périmètre territorial des installations classées soumises à l’élaboration d’un POI

1999

Forestry Code Loi no. 98-03 du 8 janvier 1998 portant Code Forestier 1998

Hunting and Fauna Protection Code Loi no. 86-04 du 24 janvier 1986 portant Code de la Chasse and de la Protection de la Faune

1986

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Decreed

Decree no. 86-844 (14 July 1986) to fix basis for fauna protection and management, supplemented by decree of application on 25 June 1998

Le décret d’application no. 86-844 du 14 juillet 1986 et les décrets d’application du 25 juin 1998

1986, updated 1998

Agro-forestry-pastoral Orientation Law La loi no. 2004-16 du 4 juin 2004 portant loi d’orientation agro-sylvo-pastorale

2004

Cattle-Run Regulation Le décret no. 80-268 du 10 mars 1980 portant organisation du parcours de bétail

1980

Water Code Loi no. 81-13 de 4 mars 1981 portant Code de l’Eau 1981

Wastewater Discharge Standard La norme sur les rejets des eaux (NS 05-061) 2001

Inter-ministerial decree no. 1555 (15 March 2002) applying wastewater discharge standard NS 05-061

L’arrêté interministériel no. 1555 de 15 mars 2002 portant application de la norme NS 05-061 sur les rejets des eaux usées

2002

Atmospheric Pollution Standard La Norme de rejets NS 05-062 – pollution atmosphérique 2004

Law no. 64-46 (17 June 1964) concerning the national domain

La loi no. 64-46 du 17 juin 1964 relative au domaine national

1964

Law no. 76-66 (2 July 1976) pertaining to the State Code

La loi no. 76-66 du 2 juillet 1976 portant Code du Domaine de l’Etat

1976

Law n° 2009-23 (8 July 2009) pertaining to the Construction Code

Loi n° 2009-23 du 8 juillet 2009 portant Code de la Construction

2009

Law n° 2008-43 (20 August 2008) pertaining to the Planning Code

Loi n° 2008-43 du 20 août 2008 portant Code de l’Urbanisme

2008

Civil Code and the Decree of 26 July 1932 Le Code civil et le décret de 26 juillet 1932 1932

Public Health Code Loi no. 54-418 du 15 avril 1954 portant Code de la Santé publique

1954

Reproductive Health Law Loi no. 2005-18 du 5 août 2005 relative à la santé de la reproduction

2005

Sanitation Code Loi n° 2009-24 du 8 juillet 2009 portant Code de l’Assainissement

2009

Hygiene Code Loi no. 83-71 de 5 juillet 1983 portant Code de l’Hygiène 1983

Labour Code Loi No. 97-17 du 1 décembre 1997 portant Code du Travail

1997

Decree No. 89-1539 of 19 December 1989 regulating the manufacture, importation, storage, transport and use of explosives

Décret n°89-1539 du 19 décembre 1989 réglementant la fabrication, l’importation, la conservation, le transport et l’emploi des substances explosives

1989

Decree No. 94-244 of 7 March 1994 fixing the procedures for the organisation and functioning of occupational hygiene and safety committees

Décret n°94-244 du 7 mars 1994 fixant les modalités d’organisation et de fonctionnement des comités d’hygiène et de sécurité du travail

1994

Decree No. 2006-1251 of 15 November 2006 on work equipment

Décret n° 2006-1251 du 15 novembre 2006 relatif aux équipements de travail

2006

Decree No. 2006-1252 of 15 November 2006 determining the minimum requirements for the prevention of certain physical ambient factors

Décret n° 2006-1252 du 15 novembre 2006 fixant les prescriptions minimales de prévention de certains facteurs physiques d’ambiance

2006

Decree No. 2006-1250 of 15 November 2006 related to the movement of vehicles and equipment within enterprises

Décret n° 2006-1250 du 15 novembre 2006 relatif à la circulation des véhicules et engins à l’intérieur des entreprises

2006

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Decreed

Decree No. 2006-1261 of 15 November 2006 setting general hygiene and safety measures in all establishments

Décret n° 2006-1261 du 15 novembre 2006 fixant les mesures générales d’hygiène et de sécurité dans les établissements de toute nature

2006

Decree No. 2006-1257 of 15 November 2006 determining the minimum requirements for protection against chemical hazards

Décret n° 2006-1257 du 15 novembre 2006 fixant les prescriptions minimales de protection contre les risques chimiques

2006

Interministerial Order No. 09311 of 05-10-2007 concerning management of waste oils

Arrêté interministériel n° 09 311 du 05-10-2007 portant gestion des huiles usagées

2007

Order 1318 of 7 March 2002 regulating the exploitation of an oil depot

Arrêté 1318 du 07 mars 2002 réglementant l’exploitation d’un dépôt d’hydrocarbures

2002

Ministerial Order No. 852 dated 8 February 2002 establishing the National Committee on Chemicals Management

Arrêté ministériel n° 852 en date du 8 février 2002 portant création de la Commission nationale de gestion des produits chimiques

2002

Interministerial Order No. 000526 of 15 January 2014 regulating ozone depleting substances (ODS)

Arrêté interministériel n° 000526 du 15 janvier 2014 réglementant les substances appauvrissant la couche d’ozone (SAO)

2014

Law No. 2015-09 on the prohibition on the production, import, distribution and use of low micronage plastic bags and the sound management of plastic waste

Loi n°2015-09 du 4 mai 2015 relative à l’interdiction de la production, de l’importation, de la distribution, de l’utilisation des sachets plastiques de faible micro-nage et à la gestion rationnelle des déchets plastiques

2015

Monument and Site Preservation Law La loi no.71-12 du 25 janvier 1971 fixé le régime des monuments historiques et celui des fouilles et découvertes

1971

Decree No. 73-746 (8 August 1973) on the application of the Monument and Site Preservation Law

Le décret no. 73-746 du 8 août 1973 portant application de la loi no.71-12

1973

Local Communities Code La loi no. 96-06 du 22 mars 1996 portant Code des Collectivités Locales

1996

Law no. 96-07 (22 March 1996) transferring jurisdiction to local communities

La loi no. 96-07 du 22 mars 1996 portant transfert de compétences aux régions, aux communes et aux communautés rurales

1996

Decree No. 96-1134 (27 December 1996) on the application of the law transferring jurisdiction of environmental matters and management to regions, communes and rural communities

Le décret no. 96-1134 du 27 décembre 1996 portant application de la loi portant transfert de compétences aux régions, aux communes et aux communautés rurales, en matière d’environnement et de gestion des ressources naturelles

1996

Draft Standard on Management of Solid Waste Projet de Norme relative à la Gestion des Déchets Solides

In preparation since 2005

LAND ADMINISTRATION, COMPENSATION AND RESETTLEMENT

Constitution of Senegal, 7 January 2001 La constitution du Sénégal du 7 janvier 2001 2001

Decree of 26 July 1932 reorganizing the system of land ownership in the AOF

Décret du 26 juillet 1932 réorganisant le régime de la propriété foncière en AOF

1932

Law No. 64-46 (June 17, 1964) concerning the National Domain

La loi n° 64-46 du 17 juin 1964 relative au domaine national

1964

Decree No. 64-573 (July 30, 1964), Application of the Law on National Domain

Le décret No. 64-573 du 30 juillet 1964, fixant les conditions d’application de la loi n° 64-46 du 11 (sic) juin 1964 relative au domaine national

1964

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Decreed

Law No. 76-66 (July 2, 1976) pertaining to the State Code

La Loi n° 76-66 du 2 juillet 1976 portant Code du Domaine de l’Etat

1976

Decree No. 81-557 (21st May 1981) pertaining to the implementation of the State Code

Décret 81-557 du 21 mai 1981 portant application du code du domaine de l’État

1981

Civil Code and the Decree of July 26, 1932 Le Code civil et le décret du 26 juillet 1932 1932

Law No. 76-67 (July 2, 1976), Expropriation Applicable for Public Works

La Loi no. 76-67 du 2 juillet 1976 relative a l’expropriation pour cause d’utilité publique aux autres préfectures foncières d’utilité publique.

1976

Decree No. 77-563 (July 3, 1977) Expropriation Applicable for Public Works

Le décret No. 77-563 du 3 juillet 1977, portant application de la loi no. 76-67 du 2 juillet 1976 relative a l’expropriation pour cause d’utilité publique aux autres préfectures foncières d’utilité publique

1977

Law No. 96-07 (March 22, 1996) relating to the transfer of powers to regions, municipalities, and rural communities

La Loi 96-07 du 22 mars 1996 portant transfert des compétences aux régions, aux communes et aux communautés rurales

1996

Law No 96-06 (March 22, 1996) pertaining to the administration of local collectives

Loi 96-06 du 22 mars 1996 portant code des collectivités locales

1996

Decree 96-1130 (27th December 1996) pertaining to the implementation of the Law on the transfer of powers to regions, municipalities and rural communities in regards to management and utilisation of natural resources

Décret 96 1130 du 27 décembre 1996 portant application de la loi portant transfert de compétences aux régions, aux communes et aux communautés rurales, en matière de gestion des ressources naturelles

1996

Decree No 72-1288 (27 October 1972) pertaining to the conditions for allocation / disallocation of land in the national domain (community land)

Décret n° 72-1288 du 27 octobre 1972 fixant les conditions d’affectation et de désaffectation des terres du domaine national situées en zone de terroirs

1972

Decree No 91-938 (22 August 1991) permitting all occupants to be compensated

Décret 91-838 du 22 août 1991 permet à tous les occupants d’être indemnisés

1991

Decree No. 2010-439 (6 April 2010) repealing and replacing No. 88-074 (January 18, 1988), Price Scale for Land Applicable upon the Expropriation for Public Works

Décret n° 2010-439 du 6 avril 2010 abrogeant et remplaçant le décret n° 88-74 du 18 janvier 1988 fixant le barème du prix des terrains nus et des terrains bâtis, applicable en matière de loyer.

2010

Circular no. 2237/DGPA (October 7, 1974), Price Scale for Calculation of Compensation in Case of Destruction of Plantations and Cultivation or Delocalisation from the National Domain

La circulaire no. 2237/DGPA le 7 octobre 1974, barème de prix pour l’estimation des préfectures à payer en cas de destruction de plantations et de culture ou de déguerpissement du domaine national.

1974

Decree No. 81-683 of July 7, 1981 pertaining to the calculation for payment of premises for residential use

Décret n° 81-683 du 7 juillet 1981 portant fixation des éléments de calcul du loyer des locaux à usage d’habitation

1981

The Mining Convention (Convention Minière pour l’or et les substances connexes passée en application de la Loi

2003-36 du 24/11/2003 portant Code Minier entre le Gouvernement de la République du Senegal et Kansala

Resource SA) for the Project was signed between the Government of Senegal and Kansala Resources SA for

the Mako Permit in March 2007. Toro Gold entered into a Joint Venture with Kansala Resources in September

2009 and acquired 100% of the Mako Exploration Permit in 2011. The Mining Convention covers both the

exploration and operation phase of the Project, and defines the legal, administrative, financial and fiscal

conditions of the Project. Article 34 of the Convention relates to access to land and resources for exploration

and mining, while Article 35 relates to protection of the environment and cultural heritage. Articles 35.3 and

35.4 pertain to the necessity to conduct a rehabilitation programme when the mining title expires, and to

create a rehabilitation fund for this programme during the exploitation phase, respectively. Articles 35.7 and

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35.8 of the Convention relate to the discovery of national cultural heritage objects while conducting

exploration activities. Article 35.7 states that the Project proponent commits to informing the authorities of

any finds, and of leaving artefacts in situ for up to one month following notification of authorities.

Senegal‘s Mineral Policy Statement (2003) provides for the abandonment of state monopoly over any

mineral resources and shifts the focus to regulating private mining companies. The policy statement limits the

state‘s participation in ventures to 20% and encourages participation of private investors, both domestic and

foreign. The state will also support the diversification of mineral production and the beneficiation (initial

processing) of mineral products before export in order to generate employment opportunities in the

industry. The need for an ESIA prior to mining operations is reiterated in the Statement.The Mining Code

(2003) is the primary legislation regulating the mining industry in Senegal, covering both exploration and

mining activities. Sections of the code that are particularly relevant to the environmental and social

management of mining projects include:

Title IX, Chapter 5 ‘Environmental Protection’ – Specifies the requirement for an environmental impact

study; for setting funds aside for rehabilitation and closure; and compliance with the Forestry Code

(Art. L44).

Article 76 of the Mining Code requires the holder of the mining title to compensate owners or

occupants of land occupied by the mining title holder.

Article 81 covers compensation of third parties and the state.

Article 82 addresses the need for rehabilitation of mine sites.

The requirement for an EIA is in Article 83, which requires an EIA to be prepared when a permit of

exploitation or mining concession is requested. This is further elaborated in Article 26 of Decree No.

2004-647. Decree No. 2004-647 in article 93 stipulates compensation requirements for impacts.

Article 84 requires a Mine Site Rehabilitation Fund to be established with terms and conditions fixed by

decree.

The objective of the Environment Code (2001), Senegal’s principal environment law, is to establish a set of

fundamental principles designed to manage and protect the environment against all possible forms of

degradation. The Code defines procedures for environmental impact assessment. The Code also defines key

environmental terms and sets out the Government’s environmental policies for five key areas: classified

installations (any source, mobile or fixed, capable of posing a threat to the environment; divided into two

classes based on potential impact); water pollution; noise pollution; air pollution and unpleasant odours; and

soil and sub-surface pollution.

The table below presents the main provisions of the Environment Code and its implementing regulations

applicable to the Mako Gold Project.

Table 3-1: Summary of Environment Code provisions and its implementing regulations applicable to the Project

Legislation Main content Provisions applicable to the Project

Environment Code

Law 01-01 of 15

January 2001

relating to

Environment Code.

Main legal instrument of

environmental

management, it defines

the basic rules and

principles regulating the

environmental impact

study, the need for

collaboration between the

Government, local

authorities and

development partners.

Art 1 «The Senegalese environment is national heritage, part of world

heritage. Its protection and improvement of the resources it offers to human

life are of general interest and the result of a national policy whose definition

and implementation fall to the Government, local authorities and citizens.

Everyone has the right to a healthy environment under the conditions defined

by international laws, this Code and other environmental protection laws.

This right is accompanied by an environmental obligation. »

Art 9 "Are subject to the provisions of this Law, factories, workshops,

deposits, construction sites, quarries and, in general, industrial facilities, craft

and commercial operated or owned by any natural or legal person, public or

private, and all other activities which present either health hazards, safety,

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public health, agriculture, nature and the environment in general or the

drawbacks for the convenience of the neighborhood. »

Art 48 al 1«Any development or activity likely to affect the environment as

well as policies, plans, programs, regional and sector work will require an

environmental assessment. »

Art 78 al infine « …They are all subject to a general obligation to prevent and

reduce harmful impacts on the atmosphere »

Art 84 «are prohibited noise emissions that could harm human health, to

constitute an excessive nuisance to neighbours or harm the environment.

Natural or legal persons responsible for these emissions should implement

all necessary measures to remove it… »

Application Decree

Decree 01-282 of

12 April 2001

relating to the

application of

Environment Code

Precise regulation of the

priority areas of

environmental

management: pollution,

impact studies etc.

Art 5 al 1 «Any legal or natural person who intends to operate or to develop

an installation classified in first category, must before its opening, submit a

request in five (5) copies to the Minister for the Environment»

Art 9 al 1 «Any First category facility which, because of its size, the nature of

its operations or its impact on the natural environment, is likely to harm the

environment, must be subject to a prior impact assessment to assess direct

and indirect impacts of the facility on the ecological balance of the site

environment. »

Art 38 al infine «Impact studies governed by this decree are carried out prior

to any administrative authorisation required for the realisation of the

proposed activity. »

Art 39 «The Environment Impact Study assesses the expected impact on

population health, the natural environment and property; it may also cover

the effects on the social level, particularly in relation to the specific needs of

men and women and special groups, resettlement of displaced persons and

the consequences for local populations. »

Art 71 al 1 «Without prejudice to the application of the legislation on

classified installations, the provisions of this Chapter shall apply to fixed

installations that could lead to emissions, regardless of the use of the

premises in which these facilities are included. »

Art 84 « The maximum noise limits not to be exceeded without exposing

human bodies to dangerous consequences are fifty-five (55) to sixty (60)

decibels during the day and forty (40) decibels at night time. "

The Mako Gold Project was developed following the legislative and regulatory provisions of Senegal in

particular through the Environmental Code and its implementing decree. The present environmental and

social impact assessment was conducted according to this Code.

An application for authorisation for a classified installation for environmental protection (ICPE) was lodged

with the Department of Environment and Classified Establishments (DEEC) and allowed the conduct of the

public inquiry procedure at the regional level.

3.4.1 Management of Water Resources

The Water Code (Code de l’Eau, Law No. 81-13 of 4 March 1981) establishes the main legal framework for the

management and use of water resources in Senegal. The preamble to, and article 2 of, the Code state that

water resources are public goods, and any exploitation of this resource must be authorised and subject to

control and monitoring. Article 9 (Title I) states that authorisation must be sought from the Hydraulic and

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Sanitation Ministry before installing infrastructure to exploit groundwater (boreholes etc. providing a flow-

rate of greater than 5 m3/h) or surface water resources. Title II regulates the protection of water quality,

including all discharges or deposits that may have an impact on surface and sub-surface water bodies. Article

75 establishes that human consumption is the priority in the allocation of water resources.

The Company will require permission from OMVG for development within the Gambia River basin and to

abstract water and discharge to the Gambia River in accordance with the Convention relating to the Status of

the River Gambia / Convention relating to the Creation of the Gambia River Basin Development Organisation

(Organisation de Mise en Valeur du fleuve Gambie or OMVG).

An application for the capture and use of water has been filed by the Company with the Minister of Water and

Sanitation of Senegal, October 8, 2015 with a copy sent to the Ministry of Environment and Sustainable

Development (MEDD)

3.4.2 Management of Land and Forest Resources

Senegal’s legislation relevant to forestry, wildlife and Protected Areas comprise a series of legal texts and

regulations. These laws include:

Law No. 93-06 of February 04, 1993 and its enforcement Decree No. 95-357 of 11 April 1995 put the

protection of Forests under the authority of the Direction des Eaux et Forêts, Chasse et de la

Conservation des Sols (DEFCCS). This law confers the primary responsibility for the conservation and

management of forests to the DEFCCS, with the exception of terroirs (where the management of

forests falls to the local community, on the basis of a management plan for all forests with an area

greater than 20 ha or of a simple management plan when the area is between 5 and 20 ha. The

management plans are approved by the DEFCCS (Decree No. 98-164 du 20 February 1998. Title II. On

forest management. Chapiter 1. Article R11);

Law No.64-46 of 17 June, 1964 concerning the National Domain;

Decree No.64-573 of 30 July, 1964, Application of the Law on the National Domain; and

The Forestry Code (Law No. 98/03 of 8th January 1998 and Decree No. 98/164 of 20th February 1998).

The Forest Policy of Senegal (PFS) (2005-2025) is part of the overall framework of the fight against

desertification (LCD) while being in perfect harmony with the transversal policies outlined in the National

Development Plan of the Territory (NTP) and the National Economic and Social Development Strategy

(SNDES) and Emergent Senegal Plan (PSE). It should also contribute to the fight against poverty, the pursuit of

sound management of natural resources and the environment for sustainable development and

strengthening of local development by improving decentralisation and good governance. Moreover, the

Forest Policy also took into account the Millennium Development Goals (MDGs), especially Goal 7, Target 9

which aims to achieve environmentally sustainable development and reversing the trend of natural resource

degradation.

3.4.3 Land Acquisition and Compensation

The requirement to provide compensation for land acquisition under Senegalese law is described in the

following:

Article 76 of the Mining Code (2003) states that the holder of a permit (including exploration permits)

is required to compensate the owners or occupants of land “for all loss suffered”. This is reiterated in

Articles 89, 90, 92 and 93 of the Mining Code Application Decree No. 2004-647 of 17 May 2004 and

includes compensation of the State for any damages or losses resulting from mining operations.

Decree for application (64-573) of 30 July, 1964 fixes the application conditions of Law No. 64-46 of

June 17, 1964 relating to national property. Article 23 of the decree specifies that where reallocation of

land occurs, the new land holder must pay the previous landholder compensation equal to the value of

built improvements and planted crops estimated on the day that the new allocation is pronounced.

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Decree No 91-938 (22 August 1991) amends Section 38 of Decree No. 64-573 of 30 July 1964 on the

application of the Law of the National Domain. It permits illegal / informal occupants subject to

displacement to be eligible for compensation.

For the determination of compensation, the following can be applied:

Article 93 of the Mining Code Application Decree No. 2004-647 outlines a process to determine the

compensation for losses by “mutual agreement” while distinguishing two cases:

» In the case of private land (terrains immatriculés), the permit holder is to seek agreement with the

holder of the land rights.

» In the case of State lands (domaine national), the permit holder is to seek agreement with the local

government concerned. Failing such an agreement, a special commission is to be constituted to

determine compensation.

In either case, if an agreement on compensation has not been reached within 6 months of the

authorisation to occupy land, the Minister of Mines shall authorise the permit holder to occupy the

lands, in exchange for a financial deposit (as provisional compensation), while waiting for an

agreement to be reached or for the relevant tribunal to deliver its decision.

Decree No. 2010-439 (April 6, 2010) repealing and replacing No. 88-074 (January 18, 1988), Price Scale

for Land Applicable upon the Expropriation for Public Works, provides guidance on fixing the price

scale of vacant land and developed properties, applicable for determining the rent for premises for

residential purposes and for calculating the compensation necessary for expropriation for public

purposes.

Circular no. 2237/DGPA (October 7, 1974), Price Scale for Calculation of Compensation in Case of

Destruction of Plantations and Cultivation or Delocalisation from the National Domain, provides

guidance on pricing plantations and cultivated land, including arboriculture, winter crops, market

gardening and fruit trees.

Decree No. 81-683 of July 7, 1981 fixes the means of calculation for payment of premises for residential

use, the appendices I and II of which have been modified by Decree of January 18, 1988. The two

decrees outline how compensation agreements should be determined and what should be done in

case of a disagreement regarding compensation.

Law 76-67 of 2 July 1976 and its Decree of application No. 77-563 of July 3, 1977 pertains to

expropriation processes and states that under conditions of expropriation, in-cash payment is the only

entitlement envisioned. Decree No. 77-563 of 3 July 1997 provides for establishment of a Conciliation

Commission that is responsible for determining fair compensation in cases of expropriation of land by

the State. If the parties are unable to agree on an amount, an expropriation judge delivers a ruling.

Decree No. 96-572 of July 9, 1996 amended by Decree No. 2001-217 of March 13, 2001, fixes fees and

charges relating to land clearance.

3.4.4 Management of Biodiversity

Senegal’s legislation relevant to the protection of biodiversity includes the following laws and conventions:

The Hunting and Wildlife Protection Code (established by Law No. 86-04 of 24 January, 1986 and

Decree No. 86-844 of July 14, 1986) provides for a system of reserves to protect fauna (including the

PNNK), regulates hunting and defines the types of offenses related to the destruction of wildlife;

Law No. 98-03 of 8 January 1998 regarding the Forestry Code that defines the management of the

forest estate at national level. It establishes, (art. L44), the requirements for the development of mining

for better biodiversity management;

Decree No. 96-1134 of 27 December 1996 provides for the implementation of Law No. 96-07 of March

22, 1996 concerning natural resources. This gives the responsibility for wildlife protection to local

authorities, particularly relating to the authority to create natural animal reserves; and

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A number of decrees relating to the management of the Niokolo-Koba National Park (PNNK) including

Decree No. 2002-271 of 7 March 2002 regarding the up-date of the PNNK boundary and periphery.

3.4.5 Senegalese ESIA Process

Under Annex 1 of the Environment Code (2001) and under Article 83 of the Mining Code (2003), an ESIA is

required for all mining projects. The Environment Code defines procedures for ESIA. As part of the ESIA

process the Company is required to:

Conduct appropriate consultations with government, communities and other stakeholders as part of

the ESIA process;

Complete the ESIA as per the approved Terms of Reference and requirements of Senegalese law.

The current ESIA process for projects in Senegal is described below.

Terms of Reference (ToR) for an ESIA for Category 1 projects must be submitted to the DEEC for approval. The

ToR must comply with Ministerial Order No. 9471 of 28 November 2001 on the contents of the Terms of

Reference for Environmental Impact Assessments. The ToR thus becomes the legal basis for the ESIA. As part

of the approval process, the DEEC usually send the draft ToR (Projet de TDR) to the relevant DREEC who

conducts a site visit. Following the site visit, a report is sent to DEEC, who validate the ToR based on the results

of the visit.

An ESIA for a Project can be conducted by an accredited consultant authorised to conduct environmental

impact assessment in Senegal, according to Ministerial Order No. 9470 MJEHP-DEEC of 28 November 2001

defining the conditions for granting approval for the conduct of Environmental Impact Assessments. The

required contents of an ESIA are outlined in Ministerial Order No. 9472 of 28 November 2001 on the contents

of the Environmental Impact Assessment report.

As noted in Section 3.3 above, following submission of an ESIA draft report (rapport provisoire), a Technical

Committee is convened at a regional level by the Governor in association with DREEC to provide support with

ESIA validation for the specific project. Following the meeting of the Technical Committee, a report is

prepared by the secretariat of the Committee. The proponent is required to integrate Technical Committee

comments and concerns and submit an updated report to the Committee.

Once the ESIA draft report is revised, the report is pre-validated by the Technical Committee and a public

hearing is conducted. This public hearing presents the summary of the environmental impact study report

and to collect the opinions, comments and suggested amendments of local stakeholders. Article 7 of the

Order specifies that public hearings will be chaired by the Technical Department whose field of activities are

related to the activities under review in the environmental impact assessment; for mining projects this would

be the Direction of Mining and Geology. The relevant decentralized authority fills the position of vice-chair

and the secretariat is composed of DREEC members. However, at a local level, public hearings are chaired by

the local authority.

Following this consultation, a public hearing report is prepared by the secretariat of the Technical Committee.

The proponent is then required to integrate public concerns and submit a revised report to the Committee.

The revised ESIA is then submitted to the DEEC for approval. The DREEC co-ordinates review of the revised

ESIA and provides a report on the final decision of the Technical Committee to DEEC stating final approval or

otherwise. According to the Environment Code (2001), the Technical Committee meets to review ESIAs on a

monthly basis, and provides their report within fifteen (15) days.

The DEEC ultimately provides an Attestation of Environmental and Social Conformity (Attestation de

Conformité Environnementale et Sociale) signed by the Director of DEEC if the ESIA is approved by the

Technical Committee. The MEDD then provides a Certificate of Environmental and Social Conformity by

Ministerial Order (Certificat de Conformité Environnementale et Sociale) once the Attestation of Environmental

and Social Conformity has been signed and delivered by DEEC.

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3.5 Project Discharge Standards

The Project will consider and comply with:

Discharge and emissions guidelines for off-site releases of water, waste and potential airborne

contaminants; and

Ambient guidelines for the protection of environmental values (e.g. protection of aquatic fauna and

fisheries, drinking water, etc.).

A list of relevant Senegalese standards, as well as international standards, is presented in Table 3-2. Where

standards or limits do not exist in Senegalese Law, often guidelines, standards or limits used by other

countries (e.g. EU, USEPA, UK etc.) or organisations (e.g. IFC, WHO etc.) are adopted in lieu.

Table 3-2 Relevant Air Quality, Noise and Water Standards and Guidelines

Source Relevant Guidelines Year

Water Discharge and Monitoring

Senegal Interministerial Decree no 1555 Discharge Water Guidelines / L’arrêté interministériel no. 1555

de 15 mars 2002 portant application de la norme NS 05-061 sur les rejets des eaux usées

2002

Waste Water Discharge Standard, NS 05-061 / La norme sur les rejets des eaux (NS 05-061) 2001

Draft Standard on Management of Solid Waste / Projet de Norme relative à la Gestion des

Déchets Solides

In

preparation

since 2005

IFC

Environmental Health and Safety Guidelines – Mining 2007

Environmental Health and Safety Guidelines – General – Environmental 2007

General EHS Guidelines: Wastewater and Ambient Water Quality. 2007

ICMI International Cyanide Management Code. 2009

Air Quality

Senegal Atmospheric Pollution Standard, NS 05-062 / La Norme de rejets NS 05-062 – pollution

atmosphérique

2004

IFC Environmental Health and Safety Guidelines for Mining. 2007

General EHS Guidelines: Air Emissions and Ambient Air Quality. 2007

WHO Air Quality Guidelines – Global Update 2005

Soil Quality

UK Soil Guideline Value 2009

Aquatic fauna / fresh waters

Senegal n/a n/a

United States National recommended water quality criteria; republication. United States Environmental

Protection Agency (USEPA)

2009

European

Union

Directive 2008/105/EC of the European Parliament and of the Council of 16 December 2008

on environmental quality standards in the field of water policy, amending and subsequently

repealing Council Directives 82/176/EEC, 83/513/EEC, 84/156/EEC, 84/491/EEC, 86/280/EEC

and amending Directive 2000/60/EC of the European Parliament and of the Council.

2008

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Source Relevant Guidelines Year

European

Union

Directive 2006/44/EC of the European Parliament and of the Council of 6 September 2006 on

the quality of fresh waters needing protection or improvement in order to support fish life (E.U.,

2006).

2006

Drinking water

Senegal n/a n/a

WHO Guidelines for Drinking Water Quality, fourth edition 2011

European

Union

Council directive 9883/EC of November 1998 on the quality of water intended for human

consumption.

1998

Noise and vibration

Senegal Environment Code (noise) / Code de l’Environnement 2001

UK British Standards (vibration) BS 6472:2008, 4866:2010 and 7385-2:1993 1993, 2008,

2010

IFC Environmental Health and Safety Guidelines for Mining. 2007

3.6 International Conventions, Treaties and Agreements

Senegal is a party to a number of international policies, conventions and agreements which have relevance to

the project and are listed in Table 3-3. The Company will develop the Project in accordance with these

commitments.

Table 3-3 International Commitments Observed by Senegal and Relevant to the Mako Gold Project

Commitment Overview and Requirements Implications for Mako Gold Project

Additional Act No. 01/2000 of 14 December 2000 of UEMOA regarding the adoption of a Common Mining Policy

(Acte additionnel n°01/2000 du 14 décembre 2000 de l’UEMOA portant adoption de la politique minière commune)

Makes specific reference to the importance of environmental protection and coexistence between industrial and artisanal miners.

Project will need to consider environmental issues and social issues relating to industrial and artisanal mining interests.

Regulation No. 18/2003/CM/UEMOA of 23 December 2003 regarding the UEMOA Mining Code

(Règlement n°18/2003/CM/UEMOA du 23 décembre 2003 portant code minier de l’UEMOA)

Contains requirements that mining companies carry out an EIA for exploitation, respect environmental regulations, put in a monitoring plan and develop a rehabilitation programme.

Requirement for an ESIA prior to commencement of exploitation activities, to contain monitoring plans and a rehabilitation programme.

ECOWAS Directive C/DIR.3/05/09 on the Harmonization of the Guiding Principles and Policies in the Mining Sector

Lists several requirements with regards to human rights, sustainable development and local community interests which relate to the operations of mining companies.

Activities need to consider and promote such issues as human rights, empowerment of women and community participation and consultation.

Convention on International Trade in Endangered Species (CITES)

Avoidance of trade in endangered species. No trade in endangered species to be undertaken as part of this Project.

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United Nations Convention on Biological Diversity (CBD)

Identify processes and categories of activities which have or are likely to have significant adverse impacts on the conservation and sustainable use of biological diversity, and monitor their effects through sampling and other techniques.

Introduce appropriate procedures requiring environmental impact assessment of proposed projects that are likely to have significant adverse effects on biological diversity with a view to avoiding or minimizing such effects and, where appropriate, allow for public participation in such procedures.

Pre-mining baseline study on biodiversity in areas of potential impact required as part of ESIA. ESIA needs to assess impacts and develop appropriate mitigation measures to address impacts on threatened species, with full stakeholder consultation. Also requires development of re-vegetation plan.

United Nations Framework Convention on Climate Change and the Kyoto Protocol

Greenhouse gas (GHG) emissions from mining activities (including electricity generation) should be less than 100,000 tonnes of CO2 equivalent per year if 100% heavy fuel oil is used, and approximately 66,000 tonnes of CO2 equivalent per year if natural gas is used. If the project produces more than 100,000 tonnes CO2 equivalent per year, then annual quantification and monitoring of GHG emissions would be necessary to satisfy IFC Performance Standard 3, Clauses 10 and 11.

The Project is not expected to exceed emissions of 100,000 CO2 equivalent annually.

Under the Kyoto Protocol, Senegal has no restrictions on its greenhouse gas emissions because it is a Non-Annex 1 country. It is possible for Senegal to trade in Carbon Credits with Annex 1 countries.

Convention on the Protection of World Cultural and Natural Heritage

World Cultural and Natural Heritage refers to cultural and natural heritage sites of outstanding universal value. The Convention requires countries to conserve biodiversity, sustainably use the various components of biodiversity, and share benefits arising from the use of biodiversity fairly and equitably.

Five sites have been identified in Senegal: the Island of Goree; the Djoudj Bird Sanctuary; Niokolo-Koba National Park; Island of Saint-Louis; and Stone Circles of Senegambia. The sites are protected by law and have minimum exclusion buffer zones.

The Project exploration permit area lies adjacent to Niokolo-Koba National Park. It does not fall within either the park itself or the 1 km exclusion buffer.

Convention on Protection of Wetlands of International Importance (RAMSAR Convention)

Four wetlands in Senegal are listed under the RAMSAR Convention, none of which are located within or near the Project area.

The Project is not expected to affect any RAMSAR-listed wetlands.

Montreal Protocol on substances which deplete the ozone layer

The Montreal Protocol stipulates that the production and consumption of compounds that deplete ozone in the stratosphere - chlorofluorocarbons (CFCs), halons, carbon tetrachloride, and methyl chloroform - were to be phased out by 2000 (2005 for methyl chloroform).

No substances listed on the Montreal Protocol should be used in the development of the Project.

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Stockholm Convention on Persistent Organic Pollutants

Senegal is a signatory to the Stockholm Convention, which targets the reduction in manufacture, use and by-production of 21 organic pollutants that persist and bio-accumulate in the environment.

Target species include pesticides aldrin, dieldrin and DDT, also PCDFs, PCBs, PFOS, and dioxins and furans.

Electrical components, electronics, plastics, and heat exchange fluids should not be burnt. Some flame retardants and

foams contain POPs and alternatives

should be sought. Use non-POP insecticides to prevent mosquitos. Disposal of all wastes to be considered as part of an effective waste management program.

Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and their Disposal

International treaty that was designed to reduce the movement of hazardous waste between countries. The objective was specifically to avoid the transfer of hazardous waste from developed countries to developing countries (DCs). The Convention also aims to minimise the amount and toxicity of waste generated and to help developing countries in managing wastes, whether harmful or not.

The Company will be required to meet regulatory requirements for hazardous products. A Hazardous Materials Management Plan will be developed for all hazardous products that will be used by the Project.

Rotterdam Convention on the Prior Informed Consent Procedure for Certain Hazardous Chemicals and Pesticides in International Trade

This Convention aims to promote shared responsibility and cooperative efforts among Parties in the international trade of certain hazardous chemicals in order to protect human health and the environment against potential harm and to contribute to the environmentally sound use of those products by facilitating information exchange about their characteristics, developing a national decision making process applicable to their import and export and by disseminating these decisions to Parties.

The Company will be required to meet regulatory requirements for hazardous products. A Hazardous Products Management Plan will be developed.

United Nations Convention to Combat Desertification

Desertification is the degradation of land in arid, semi-arid and dry sub-humid areas. It is caused primarily by human activities and climatic variations.

The Convention provides criteria for developing action programs to combat desertification, through enabling local people to reverse land degradation.

Re-vegetation will need to be undertaken as part of the rehabilitation of the site to assist in local efforts to combat desertification. Local expertise should be involved in developing and implementing the re-vegetation plan.

Convention Concerning Basic Aims and Standards of Social Policy (International Labour Organisation Convention)

Protection of basic rights for workers including: fair treatment, non-discrimination, equal opportunity, safe and healthy working conditions.

The Company will need to respect workers’ basic rights and provide a safe and healthy working environment, in accordance with IFC Performance Standard 2 on Labour and Working Conditions.

Convention Relating to the Status of the River Gambia / Convention Relating to the Creation of the Gambia River Basin Development Organization (Organisation de Mise en Valeur du fleuve Gambie or OMVG)

No project which is likely to bring about serious modifications of a number of riverine characteristics, including its navigation conditions, the agricultural and industrial exploitation of the river, the sanitary state of the waters, the biological characteristics of its fauna and its flora, as well as its water level, will be implemented without the prior approval of the contracting States.

The Company will require permission from OMVG for development within the Gambia River Basin and to abstract water and discharge to the Gambia River, in accordance with the Convention relating to the Status of the River Gambia / Convention relating to the Creation of the Gambia River Basin Development Organisation (OMVG).

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Bonn Convention / Convention on Migrating Species of Wild Animals (CMS)

Intergovernmental treaty that aims to conserve terrestrial, aquatic and avian migratory species, their habitats and migration routes throughout their range, especially relating to endangered migratory species.

The Project needs to ensure that any migratory species which utilise the Project area for habitat or migration are considered and suitable mitigation and / or offset measures proposed.

3.7 International Policies, Guidelines and Standards

3.7.1 Overview

The Company will operate in keeping with international best practice. International agreements most

relevant to the Project are summarised in Table 3-4 below. Key safeguards and guidelines are detailed further

in the sub-sections below.

Table 3-4 International environmental and social standards, safeguards and guidelines

Organisation Document Date Released

International Finance Corporation (IFC) Policy on Environmental and Social Sustainability and associated IFC Performance Standards

2012

The World Bank General Environmental, Health and Safety Guidelines 2007

International Cyanide Management Code International Cyanide Management Code for the Manufacture, Transport and Use of Cyanide in the Production of Gold

2014

International Union on the Conservation of Nature (IUCN)

World Heritage Advice Note: Environmental Assessment;

World Heritage Advice Note: Mining and Oil/Gas Projects 2013

International Council on Metals and Minerals (ICMM)

Sustainable Development Framework 2003

Extractive Industries Transparency Initiative (EITI)

The EITI Standard 2013

USA and UK Governments Voluntary Principles on Security and Human Rights 2000

UN Guiding Principles on Business and Human Rights 2011

3.7.2 World Bank / IFC Guidelines and Policies

Overview

The IFC is the private lending arm of the World Bank Group and the largest multilateral source of loan and

equity financing for private sector projects in developing nations. The environmental and social policies and

procedures of the World Bank are widely regarded as de facto international standards for the environmental

and social management of resource development projects in countries with developing or absent regulatory

frameworks.

The Sustainability Framework developed by the IFC articulates its strategic commitment to sustainable

development and is an integral part of its approach to risk management. Recently updated (May 2011), the

Sustainability Framework reflects the evolution in good practice for sustainability, risk mitigation, and

transparency. The Sustainability Framework consists of the revised 2012 Performance Standards, as well as a

revised IFC Policy on Environmental and Social Sustainability and a newly introduced Access to Information

Policy. The 2012 IFC Performance Standards are discussed further below.

In addition to the IFC Performance Standards, the World Bank Environmental Health and Safety Guidelines for

Mining (2007) is a list of best-practice guidelines for mining projects of direct relevance to the Project. These

Guidelines are discussed further below. Additional relevant IFC guidelines include:

Addressing Grievances From Project-Affected Communities (2009);

http://www.ifc.org/ifcext/sustainability.nsf/AttachmentsByTitle/p_GrievanceMechanisms/$FILE/IFC+Grievance+Mechanisms.pdf

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Projects and People: A Handbook for Addressing Project-Induced In-Migration (2009);

Stakeholder Engagement: A Good Practice Handbook for Companies Doing Business in Emerging

Markets (2007); and

A Guide to Biodiversity for the Private Sector (2006).

IFC Performance Standards

The IFC Performance Standards were introduced to provide guidance for project proponents to manage and

improve their environmental and social performance through a risk and outcomes based approach. Direction

on the application of the Performance Standards is provided in the IFC Guidance Notes, a companion

document to the Policy on Environmental and Social Sustainability. The updated IFC Performance Standards

are summarised below in Table 3-5 along with their relevance to the Project.

Table 3-5 IFC Performance Standards (2012) and their implications for the Mako Gold Project

Performance

Standard

Objectives Implications for Mako Gold Project

PS1: Assessment and Management of Environmental and Social Risks and Impacts

To identify and evaluate environmental and social risks and impacts of the project;

To adopt a mitigation hierarchy to anticipate and avoid, or where avoidance is not possible, minimize, and, where residual impacts remain, compensate/offset for risks and impacts to workers, Affected Communities, and the environment;

To promote improved environmental and social performance of clients through the effective use of management systems;

To ensure that grievances from Affected Communities and external communications from other stakeholders are responded to and managed appropriately; and

To promote and provide means for adequate engagement with Affected Communities throughout the project cycle on issues that could potentially affect them and to ensure that relevant environmental and social information is disclosed and disseminated.

Undertake full ESIA and implement environmental and social management plans for each stage of Project development.

Ensure the adequate stakeholder consultation has been undertaken and that structures are in place to ensure stakeholder concerns are quickly resolved.

PS2: Labour and Working Conditions

To promote the fair treatment, non-discrimination, and equal opportunity of workers;

To establish, maintain, and improve the worker-management relationship;

To promote compliance with national employment and labour laws;

To protect workers, including vulnerable categories of workers such as children, migrant workers, workers engaged by third parties, and workers in the client’s supply chain;

To promote safe and healthy working conditions, and the health of workers; and

To avoid the use of forced labour.

Establish an organizational structure, policies and practices that protect the rights of all workers, including third-party contractors and those associated with the supply chain, as per national employment and labour laws, as well as good international industry practice (GIIP).

Special attention should be given to vulnerable workers, such as employees under the age of 18.

Specific policies and provisions to avoid the use of forced labour will also be required.

PS3: Resource Efficiency and Pollution

To avoid or minimise adverse impacts on Apply technically and financially feasible resource efficiency and pollution prevention principles and

http://www.ifc.org/ifcext/sustainability.nsf/AttachmentsByTitle/p_StakeholderEngagement_Full/$FILE/IFC_StakeholderEngagement.pdf

http://www.ifc.org/ifcext/sustainability.nsf/AttachmentsByTitle/p_StakeholderEngagement_Full/$FILE/IFC_StakeholderEngagement.pdf

http://www.ifc.org/ifcext/sustainability.nsf/Content/BiodiversityGuide

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Performance

Standard


Reduction human health and the environment by avoiding or minimizing pollution from project activities;

To promote more sustainable use of resources, including energy and water; and

To reduce project-related GHG emissions.

techniques that avoid or minimize adverse impacts on human health and the environment. The techniques and principles applied should be tailored to the risks and hazards of the Project and consistent with GIIP, as reflected in various internationally recognized sources, including the EHS Guidelines.

PS4: Community Health, Safety and Security

To anticipate and avoid adverse impacts on the health and safety of the Affected Community during the project life from both routine and non-routine circumstances; and

To ensure that the safeguarding of personnel and property is carried out in accordance with relevant human rights principles and in a manner that avoids or minimizes risks to the Affected Communities.

Ensure that preventative and control measures designed to protect the Affected Community are consistent with GIIP and scaled to the nature and magnitude of the Project. Key considerations include infrastructure and equipment design and safety; hazardous materials management and safety; the protection of ecosystem services; community exposure to disease; and the establishment of an emergency response and preparedness plan.

Screening and training of security personnel will be needed to ensure the protection of human rights.

PS5: Land Acquisition and Involuntary Resettlement

To avoid, and when avoidance is not possible, minimise displacement by exploring alternative project designs;

To avoid forced eviction;

To anticipate and avoid, or where avoidance is not possible, minimise adverse social and economic impacts from land acquisition or restrictions on land use by (i) providing compensation for loss of assets at replacement cost and (ii) ensuring that resettlement activities are implemented with appropriate disclosure of information, consultation, and the informed participation of those affected;

To improve, or restore, the livelihoods and standards of living of displaced persons; and

To improve living conditions among physically displaced persons through the provision of adequate housing with security of tenure at resettlement sites.

Consider alternative project designs to avoid or minimize physical and/or economic displacement, particularly with respect to the poor or vulnerable.

When displacement cannot be avoided, the displaced communities and persons will be compensated at replacement cost and other assistance, the details of which will be described in a Resettlement Action Plan or Livelihood Restoration Plan (in the case of economic displacement only). Displaced communities and persons will be engaged in an open and transparent manner, consistent with a Public Consultation and Disclosure Plan.

Monitoring and evaluation programs will be required to ensure, at minimum, that livelihoods and living conditions are restored to pre-project levels.

PS6: Biodiversity Conservation and Sustainable Management of Living Natural Resources

To protect and conserve biodiversity;

To maintain the benefits from ecosystem services; and

To promote the sustainable management of living natural resources through the adoption of practices that integrate conservation needs and development priorities.

Establish a pre-construction biodiversity baseline across the potentially affected landscape to identify direct and indirect Project-related impacts on biodiversity and ecosystem services, including that arising from habitat change, fragmentation and degradation, nutrient loading, invasive alien species and pollution. This includes identifying Modified, Natural and Critical Habitat.

Measures to avoid impacts to biodiversity and ecosystems services should be sought. Where avoidance is not possible, measures to minimise impacts and restore biodiversity and ecosystems services will be required through an adaptive management framework.

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Performance

Standard


Competent professionals and experts should be retained to assist in the risks and impacts identification process where natural and critical habitats are involved.

PS7: Indigenous Peoples

To ensure that the development process fosters full respect for human rights, dignity, aspirations, culture, and natural resource-based livelihoods of Indigenous Peoples.

To anticipate and avoid adverse project impacts on Indigenous Peoples communities, or when avoidance is not possible, minimize and/or compensate for such impacts.

To promote sustainable development benefits and opportunities for Indigenous Peoples in a culturally appropriate manner.

To establish and maintain an ongoing relationship based on Informed Consultation and Participation with affected Indigenous Peoples throughout the project’s life-cycle.

To ensure Free, Prior, and Informed Consent of the Affected Communities of Indigenous Peoples when the circumstances described in this Performance Standard are present.

To respect and preserve the culture, knowledge and practices of Indigenous Peoples.

As no Indigenous Peoples are anticipated to be affected by the Project, this Performance Standard will not be triggered.

PS8: Cultural Heritage To protect cultural heritage from the adverse impacts of project activities and support its preservation.

To promote the equitable sharing of benefits from the use of cultural heritage.

Identify and protect cultural heritage by ensuring that internationally recognized practices for the protection, field-based study, and documentation of cultural heritage are implemented in addition to applicable host country laws and regulations, as well as international commitments.

A chance find procedure will be required in the event that cultural heritage is discovered during the construction or operation of the Project.

World Bank General Environmental, Health & Safety Guidelines

To support the Performance Standards, the IFC uses the World Bank “General Environmental, Health and

Safety Guidelines” of 2007 (EHS Guidelines) as a technical source of information during project appraisal. The

EHS Guidelines contain the performance levels and measures that are normally acceptable to the IFC and that

are generally considered to be achievable in new facilities at reasonable costs by existing technology.

The EHS Guidelines contain information on cross-cutting environmental, health, and safety issues potentially

applicable to all industry sectors, and should be considered together with the relevant industry sector

guidelines. Of specific relevance to the Mako Gold Project is an industry sector guideline developed for the

mining sector, the “Environmental, Health and Safety Guidelines for Mining” of 2007. The EHS Guidelines for

Mining apply to underground and open-pit mining, alluvial mining, solution mining, and marine dredging.

The guideline addresses industry-specific impacts and management techniques related to environmental

impacts; occupational and community health and safety; and mine closure and rehabilitation. The document

also outlines sector-specific performance indicators and monitoring methods related to the environment and

occupational health and safety.

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Where host-country regulations and standards differ from the levels and measures presented in the EHS

Guidelines, projects are encouraged to strive to achieve whichever is more stringent.

3.7.3 International Cyanide Management Code

The International Cyanide Management Code (2014) is a voluntary initiative for the gold mining industry. The

Company will use the code as a management standard to which the Project aims to source, transport, store,

handle and manage cyanide. The Principles and Standards of Practice of the International Cyanide

Management Code are as follows:

Production: Encourage responsible cyanide manufacturing by purchasing from manufacturers who

operate in a safe and environmentally protective manner;

Transportation: Protect communities and the environment during cyanide transport;

Handling and Storage: Protect workers and the environment during cyanide handling and storage;

Operations: Manage cyanide process solutions and waste streams to protect human health and the

environment;

Decommissioning: Protect communities and the environment from cyanide through development and

implementation of decommissioning plans for cyanide facilities;

Worker Safety: Protect workers' health and safety from exposure to cyanide;

Emergency Response: Protect communities and the environment through the development of

emergency response strategies and capabilities;

Training: Train workers and emergency response personnel to manage cyanide in a safe and

environmentally protective manner; and

Dialogue: Engage in public consultation and disclosure.

3.7.4 International Union on the Conservation of Nature Guidelines

The IUCN has two key guidance documents pertaining to World Heritage:

World Heritage Advice Note: Environmental Assessment;

World Heritage Advice Note: Mining and Oil/Gas Projects.

These guidelines are of relevance to the Project due to the presence of the World Heritage-listed Niokolo-

Koba National Park (Parc National de Niokolo-Koba or PNNK) and associated 1 km buffer zone adjacent to the

east of the Project. The Advice Notes detail the IUCN’s position on projects located within and in proximity to

World Heritage sites, and provides guidance on the steps to be undertaken to ensure that projects do not

impact upon the Outstanding Universal Values of World Heritage sites. The Advice Note on Environmental

Assessment also presents eight World Heritage Impact Assessment Principles that must be implemented in

undertaking an ESIA for such projects.

The requirements of these advice notes have been taken into account by the Company and are presented in

this ESIA, particularly with regard to Principle 6 of the World Heritage Impact Assessment Principles, which

requires that a separate chapter on World Heritage be included in the environmental assessment (see

Chapter 13).

3.7.5 Extractive Industries Transparency Initiative

Senegal’s application to be a part of the Extractive Industries Transparency Initiative (EITI) was approved in

October 2013. Senegal will now implement the EITI Standard, which will ensure transparency in payments

made to the government by the extractives sector in the country. Senegal is required to publish its first EITI

Report within two years of becoming a Candidate (i.e. by October 2015). Validation will begin within three

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years of becoming a Candidate (EITI, 2013). The Company will ensure that its activities are in line with the

requirements of the EITI.

3.7.6 Voluntary Principles on Security and Human Rights

The Voluntary Principles on Security and Human Rights were developed by the Governments of the USA and

the UK, in collaboration with the extractive and energy sectors, and non-government organisations, in 2000.

The Voluntary Principles are designed to guide companies in maintaining the safety and security of their

operations within an operating framework that encourages respect for human rights. They help companies to

identify human rights risks and take meaningful steps to address those risks in a manner that helps ensure

respect for human rights in their operations.

The Voluntary Principles provide a framework for companies to manage risk effectively by:

Conducting a comprehensive assessment of human rights risks associated with security;

Engaging appropriately with public and private security service providers and surrounding

communities in complex environments;

Instituting human rights screenings of and trainings for public and private security forces;

Developing systems for reporting and investigating allegations of human rights abuses.

3.7.7 UN Guiding Principles on Business and Human Rights

The UN Guiding Principles on Business and Human Rights were endorsed by the UN Human Rights Council in

2011. The Principles cover three main aspects:

1. The State duty to protect human rights;

2. The corporate responsibility to respect human rights;

3. Access to effective remedy through judicial, administrative, legislative or other appropriate means,

where abuses to human rights occur.

Of relevance to the Mako Gold Project is the need for businesses to establish or participate in effective

operational-level grievance mechanisms for individuals or communities who may be adversely impacted by

the business. Such grievance mechanisms perform the following two key functions:

i) Support the identification of adverse human rights impacts as a part of an enterprise’s ongoing

human rights due diligence and ;

ii) Allow grievances to be addressed and for adverse impacts to be remediated early and directly by the

business, thereby preventing harms from compounding and grievances from escalating.

3.8 Toro Gold Environmental and Social Commitments

3.8.1 Toro Gold Environmental and Social Performance Framework

Toro Gold is committed to meeting international standards of good practice in the areas of environmental

protection, social development, and health, safety and security. Toro Gold’s Environmental and Social

Performance Framework (ESPF) governs the way the company and its subsidiaries operate with respect to

social and environmental issues. The ESPF consists of a set of Performance Standards drawn primarily from

the Performance Standards of the IFC, and supplemented as required by reference to the “Voluntary

Principles on Security and Human Rights”, “UN Guiding Principles for Business and Human Rights”, as well as

the “Sustainable Development Framework” of the International Council on Mining and Minerals. A dedicated

team has been appointed to oversee compliance with the ESPF across the Company’s projects.

The following Table 3-6 presents Toro Gold’s Performance Standards, highlighting the implications of

standards for the Mako Gold Project.

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Table 3-6 Toro Gold Performance Standards

PS Performance Standard Name Implications for Mako Gold Project

1 Social and Environmental Assessment

An ESIA, as per Senegalese law and international best practice, will require sufficient baseline information to assess potential impacts. Consequently, environmental studies are expected to require at least one full year of regularly measured baseline data for key impacts (potentially including air quality, noise, vibration, water quality, ecology, groundwater) prior to assessment. Social studies will need to identify communities and social groups impacted by the Project and their key priorities.

Should the Project actively seek obtaining a Mining Concession, a full ESIA and set of management plans will be required.

Stakeholders will need to be consulted using a process which is transparent, inclusive and culturally appropriate, and with adequate information disclosure.

2 Health and Safety, Labour and Working Conditions

All stages of Project development will need to adhere to specified health and safety as well as labour requirements.

3 Pollution Control The ESIA and resulting management plans should put strong focus on pollution and waste prevention, minimisation and control.

Resource conservation and energy efficiency measures are to be integrated into Project design.

Annual estimations of the GHGs emitted from the Project will be required.

All stages of Project development will need to adhere to specified pollution control measures.

4 Community Health, Safety and Security

Communication will be required with potentially affected stakeholders to involve them in the development of management plans.

All stages of Project development will need to adhere to the specified health, safety and security requirements.

5 Land Acquisition and Involuntary Resettlement

The ESIA process should assess the need for resettlement.

A census and asset inventory will be required as early as possible in order to assist in setting a cut-off date for compensation claims.

Project design should avoid resettlement where possible. A RAP shall be produced where acquisition of land rights takes place through expropriation, or where a negotiated settlement results in physical displacement. The RAP will adhere to the requirements specified in the IFC Performance Standard.

A Livelihood Restoration Plan will be produced where a negotiated settlement leads to economic displacement.

6 Biodiversity Conservation and Natural Resource Management

The ESIA should consider Project impacts on biodiversity and take into account differing values held by the various stakeholders.

Project design shall minimise impacts on all natural habitat and avoid significant conversion or degradation of habitat.

7 Indigenous and vulnerable groups The ESIA process should assess the presence and level of impact to indigenous and vulnerable groups (which potentially comprise minority ethnicities and women).

If present, an assessment of national legislative requirements will be undertaken, documented and the national regulatory framework respected.

Other specified consultation and planning activities need to be undertaken in a culturally-sensitive and inclusive manner.

8 Cultural Heritage Exploration activities shall be designed to avoid significant damage to cultural heritage.

The ESIA process should assess and address potential Project impacts on cultural heritage.

If cultural heritage sites are present, an assessment of national legislative requirements will need to be undertaken, documented and the national

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PS Performance Standard Name Implications for Mako Gold Project

regulatory framework respected.

If present, consultation on cultural heritage sites will be required with affected communities, their representative bodies and national and local regulatory agencies.

9 Social Investment A social investment strategy is required for the Project within one year of commencement of field operations. The strategy and activities should comply with the requirements specified in the Performance Standard.

3.8.2 Environmental and Social Design Criteria

Environmental and social design criteria1 were developed during the feasibility process to provide guidance

for the design and development of the Mako Gold Project (Table 3-7).

These design criteria are aimed at protecting the following priority environmental and social values in the

Project area:

The Niokolo-Koba National Park (classed as a World Heritage site, UNESCO-MAB Biosphere Reserve and

national nature reserve);

Habitat of importance to endangered species, and threatened / unique ecosystems;

The aquatic environment of the Gambia River and its tributaries; and

Community land and water use.

Table 3-7 Key environmental and social aspects, Critical Project design criteria / considerations and relevant guidelines and international standards

Key Issue / Risk Project Design Criteria / Considerations Relevant Standards / Guidelines

Resettlement (Physical Displacement)

- Compliance with national and international norms / guidelines for livelihood restoration / resettlement.

- Pit / TMF should be greater than 1km distance from settlements.

- Where possible, avoid locating dams directly upstream from settlements.

IFC Performance Standard (PS) 5 Land Acquisition and Involuntary Resettlement (2012)

Senegal - Decree for application 64-573 (GRS, 1964)

Resettlement (Economic Displacement)

- Compliance with national and international norms / guidelines for livelihood restoration / resettlement.

- Where possible, avoid / minimise Project footprint located on or directly upstream of known cultivated land, and artisanal mining sites.

- Mine design to establish a designated Project Development Area (PDA) within which all facilities will be located. Construction not to be permitted outside of the PDA for the life of mine to avoid incremental impacts on local economic activity.

IFC PS5 Land Acquisition and Involuntary Resettlement (2012)

1 The criteria could be up-dated progressively as the Project progresses.

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Dam / TMF Safety

- Compliance with international norms / guidelines.

- Independent review of dam / TMF safety to be undertaken during Feasibility Study

- Dam safety/design criteria based on assumption that agricultural land will continue to be used directly down gradient from the dam wall.

World Bank (WB) Operational Policy OP 4.37 Safety of Dams (2001)

IFC General Environmental, Health & Safety (EHS) Guidelines (2007)

IFC EHS Guidelines for Mining (2007)

International Commission on Large Dams (ICOLD)

IFC PS4 Community Health, Safety and Security (2012)

Water Quality (excluding cyanide)

- Design to prioritise objective of achieving zero discharge during operations.

- Design to prioritise diversion of uncontaminated surface water runoff around Project facilities.

- Downstream surface water and groundwater quality must achieve applicable water quality standards / guidelines (discharge, ambient, drinking water).

Senegal – Interministerial Decree No. 1555 Discharge Water Guidelines (GRS, 2002) (Discharge)

IFC General EHS Guidelines (Discharge) (2007)

IFC EHS Guidelines for Mining (Discharge) (2007)

World Health Organisation (WHO) Guidelines for Drinking Water Quality (2011)

EU Ambient Water Quality Guidelines

Cyanide Management - Compliance with the International Cyanide Management Code requirements.

International Cyanide Management Institute (ICMI), International Cyanide Management Code (2012)

Flyrock - Include an exclusion zone (500m) around the pit during blasting.


Niokolo-Koba National Park (PNNK)

- Buffer distance of 1km from PNNK boundary for all activities with potential to adversely affect habitat value.

- Where possible, maximise the distance between Project infrastructure and the PNNK.

- Design to avoid potential discharge of contaminated drainage into the PNNK.

-Design to avoid / minimise impacts on the visual amenity of the PNNK.

IFC PS6 Biodiversity Conservation and Sustainable Management of Living Natural Resources (2012)

UNESCO Operational Guidelines for the Implementation of the World Heritage Convention (2013)

Air quality, noise and vibration

- Compliance with national and international norms / guidelines.

- Where possible maximise distance between operations and settlements.

- Pit design and operation to minimise possibility of wind-blown dust affecting settlements and the PNNK.

- Design to minimise use of fossil fuels and generation of greenhouse gases.


Atmospheric Pollution Standard, NS 05-062 (GRS, 2004)

Application Decree of the Environment Code (GRS, 2001)

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Priority Terrestrial Habitat and Species

- Project footprint to avoid priority and critical habitat types where possible, and minimise footprint area where this is not possible.

- Mine design to establish a designated PDA within which all facilities will be located. Construction not to be permitted outside of the PDA for the life of mine to avoid incremental impacts on habitat.

- Project design to seek to retain/maximise potential faunal movement/migration corridors east/west, north/south through the Project Area through grouping of facilities.

- Project design to avoid adverse impacts on priority and endangered species where possible.

IFC PS6 Biodiversity Conservation and Sustainable Management of Living Natural Resources (2012)

Archaeological / Cultural Sites

- Project footprint to avoid archaeological / cultural sites where possible.

IFC PS8 Cultural Heritage

Community Safety - Define controls for community access around Project facilities.


IFC General EHS Guidelines (2007)

Transport and Transport Infrastructure

- Size (width) of transport corridors and associated vegetation clearance to be minimised to maximise potential for movement/migration of fauna through Project Development Area.

- Avoid Project roads passing directly through village settlements.

- Avoid loss of community access where possible. In particular retain existing community access (people, livestock, small vehicles) through Wayako valley.

- Compliance with international guidelines for transport of hazardous materials (including cyanide).




ICMI, International Cyanide Management Code (2012)

Local Economic Development

- Project design to promote employee location within local communities by restricting camp based accommodation to minimum required.

- Contracts to specify ‘local content’ clauses relating to prioritising local acquisition of goods and services.

- Competitive tenders for all aspects of project construction and operation to include clauses requiring bidders to set out their approach to local employment and capacity building.


IFC A Guide to Getting Started in Local Procurement (2011)

IFC Strategic Community Investment (2010)

Closure

- Design for geotechnical and geochemical stability of mine facilities post-closure.

- Closure ensures the safety and security of local communities and no long-term environmental risk.

-Design to maximise the post closure benefit to local communities of Project land and infrastructure i.e. roads, water supply, productive land.

- Avoid adverse social and economic impacts arising from community dependence on the Project through the development of sustainable livelihoods and communities.



IFC Strategic Community Investment (2010)

Documents

Chapter 3 | Policy, Guidelines and Institutional and