Mining, metal extraction and cyanide management

88.2.4International Cyanide Management Code (ICMC)

The Code is a voluntary initiative for the gold mining industry and the producers and transporters of the cyanide used in gold mining. It is intended to complement an operation’s existing regulatory requirements. Compliance with the rules, regulations and laws of the applicable political jurisdiction is necessary; this Code is not intended to contravene such laws.

The Code focuses exclusively on the safe management of cyanide that is produced, transported and used for the recovery of gold, and on cyanidation mill tailings and leach solutions. The Code originally was developed for gold mining operations, and addresses production, transport, storage, and use of cyanide and the decommissioning of cyanide facilities. It also includes requirements related to financial assurance, accident prevention, emergency response, training, public reporting, stakeholder involvement and verification procedures. Cyanide producers and transporters are subject to the applicable portions of the Code identified in their respective Verification Protocols.

It does not address all safety or environmental activities that may be present at gold mining operations such as the design and construction of tailings impoundments or long-term closure and rehabilitation of mining operations.

As it applies to gold mining operations, the Code is comprised of two major elements. The Principles broadly state commitments that signatories make to manage cyanide in a responsible manner. Standards of Practice follow each Principle, identifying the performance goals and objectives that must be met to comply with the Principle. The Principles and Practices applicable to cyanide production and transportation operations are included in their respective Verification Protocols. Operations are certified as being in compliance with the Code upon an independent third-party audit verifying that they meet the Standards of Practice, Production Practice or Transport Practice.

The programs and procedures identified by the Code's Principles and Standards of Practice and in the Cyanide Production and Transportation Verification Protocols for the management of cyanide can be developed separately from other programs, or they can be integrated into a site’s overall safety, health and environmental management programs. Since operations typically do not have direct control over all phases of cyanide production, transport or handling, gold mines that are undergoing Verification Audits for certification under the Code will need to require that other entities involved in these activities and that are not themselves Code signatories commit to and demonstrate that they adhere to the Code’s Principles and meet its Standards of Practice for these activities.

Thus the primary objective of the ICMC is to improve the management of cyanide used in gold mining world wide and assist in the protection of human health and the reduction of environmental impacts. As the gold mining industry is the predominant user of sodium cyanide in Australia, the ICMC is of particular relevance to the sodium cyanide industry in Australia. The ICMC is a voluntary program for the industry. While not all gold mining operations will attain or seek full code compliance, the code establishes current industry best practice. It is an excellent initiative to lift international standards and demonstrate the environmental commitment of an operator, complementing state/territory legislative requirements.

Mining companies that adopt the ICMC nominate the operations that use cyanide to recover gold that they wish to have certified. These must be audited by an independent third party to determine the status of Code implementation. Those operations that meet the ICMC requirements can be certified. A unique trademark symbol can then be utilised by the certified operation, which is intended to demonstrate environmental responsibility. Audit reports are made public to inform stakeholders of the status of cyanide management practices at the certified operation. Current signatories to the code and audit reports on certified operations are listed on the ICMC website (http://www.cyanidecode.org/signatorycompanies.php). Mines, transport operations and production facilities in Australia have been among the earliest formal adopters of the ICMC worldwide.

The MCA advises that about 65% of the gold produced in Australia is now produced by mines engaged in the Code process. In Australia, a total of 14 gold operation sites (five companies) are listed as signatories and 11 sites had been fully certified as of 27 November 2009, plus both manufacturers and one transporter (MCA, 2009 – updated via the ICMC website). Comparison with the total number of gold mines operating in Australia (Section 5.2.2) suggests that while large producers are evidently involved, many mines are not yet engaged formally in this voluntary ICMC process. Progress in adoption of the ICMC is occurring, and the ICMC provides valuable guidance and a formal means of evaluating the adequacy of environmental protection measures at individual sites.

However, existing voluntary measures are not adequate to ensure environmental safety for all mines where sodium cyanide is used in Australia. Therefore, additional measures are warranted.