Community Connection
In the communities where Molymet operates we have lasting connections based on trust, respect and transparency. We know that wellbeing is greatly determined by where you live and we are deeply conscious of our responsibility to make positive impacts and investments that strengthen the development and health of our neighboring communities.
Our relationships are permanent and flexible at the same time, since rather than imposing a particular way of contributing, we want to contribute in line with the reality and needs of each community. Our relationship is based on closeness, constant listening, dialogue and ongoing mapping of our social and environmental impacts.
For us, the concept of ‘the community’ extends beyond our adjacent neighbors as we are also accountable for the impacts we can have on all those who are in some way affected by what we do.
- Presence in 5 communities.
- 0.5% of moving net income invested in community development.
- 95% of payments made to SMMEs are paid in less than 30 days.
- 80% local suppliers.
1.
Communities share in
our company's success
Positive annual returns mean we can continue to invest in community development and make donations in line with our purpose and policies. That is why we have chosen to quantify our community contribution a percentage of net income averaged over five years. This will progressively increase over time to 1% of net income by 2030. Unlike a metric put in absolute terms of money, a percentage metric allows us to demonstrate the company’s contribution relative to its financial results and to involve the community in the company’s success.
For more detail see Chapter 3 Molymet 2030 Sustainability Agenda
2.
Community
Engagement
Our Community Engagement Policy defines the principles of engagement with our communities.
To view the policy, please click here.
The principles stated in our policy are:
3.
Our
Neighbors
The first step in working with communities is to get to know each other and we interact with groups like: civic groups, municipalities, neighbourhood associations, social development committees, universities and training institutions, women’s committees, senior citizens’ clubs, kindergartens, schools, healthcare, sports clubs and other community organizations. We also engage with national and regional authorities around health and environmental protocols.
How we connect with Communities
- E- mail and letters.
- Site visits.
- Visits to neighborhood gatherings.
- Participation in Community Social Events.
- Contact via website – some subsidiaries have contact forms.
- Lobbying Platforms.
- Connection and conversations at Trade Union and Industry Meetings.
- Social Media.
4.
Community
Projects
Communities play an active role in the design, design, development and implementation of projects which fall into four categories: Educational support; Cultural and natural heritage; community funds; Covid-19 initiatives.
Total Community Investment :
US$ 351.896,00
Highlighted Community Projects
Molymet Corporate
Investment: US$ 26.150,00
Heritage Sites
Molymet is located within an urban area on a property with heritage sites like La Casona Las Lilas and Fundo Las Lilas de Nos that were once part of an agricultural estate but were damaged by earthquakes and neglected for many years. We have now fully restored La Casona Las Lilas (the manor house), maintaining its classic style and it has been legally protected as a Historic Conservation Building since 2006. Beyond this our aim is to also integrate protection of Las Lilas Park and in this way, extend green buffer zone the property provides.
Support to Fundación Clínica Familia
Consistent with our purpose and our contribution to well-being, we approached Fundación Clínica Familia, a hospice specialising in providing palliative care to low-income patients with terminal illnesses, to explore how we could support their work. In the years ahead we will continue to partner with the foundation through a set of actions that have been defined.
Employees raise Funds for the Fundación Mission Golden
The Golden Mission Foundation in San Bernardo provides shelter to 20 homeless men and helps them improve their quality of life. This year, 43 corporate employees helped raise US$ 1,300, which was used to buy mattresses and a microwave.
MolymetNos
Investment: US$ 211.000,00
Together with Molymet, Inmobiliaria San Bernardo and community participation, MolymetNos developed “Organic Community Vegetable Gardens” in the communities of Cinco Pinos, Carbomet and Rinconada de Nos. This project gave our neighbors the know how to produce their own food in a healthy and sustainable way. It was later extended to senior citizens where vegetable growing was used as part of occupational therapy.
Four greenhouses were built with the capacity to produce 20kg of organic food per m2, which translates into 500kg of vegetables per greenhouse per year. It benefitted 45 people (15 per neighbourhood council) and 18 senior citizens in the Rosita Renard Home. More than 640 hours of training were carried out in the theory and practice of organic production, irrigation methods, seeds, bio-remedies, fertilizers, environmental education and healthy eating.
The pandemic changed our ways of relating and learning to an online format overnight. To help with adaptation to the digitalization of our lives, we implemented two educational courses in e-learning format that trained teachers in how to adjust to new ways of classroom management and apply bridging (leveling) courses for the 3rd and 4th years of secondary education. The neighborhood councils who benefitted were:
Cinco Pinos, Santa Filomena de Nos, 58 Norte, San Adolfo, Las Dalias, Carbomet, Micro Barrio Estación Nos, Lo Herrera and Rinconada de Nos.
Due to pandemic protocols the plumbing and baking courses we had offered communities were reduced. We then looked at what we could offer online and added an accounting course which was easily accessible.
We supported the Fundación Educacional Choshuenco in strengthening pedagogical teams at kindergartens. We also have a support plan for industrial high schools, which includes technical visits to MolymetNos facilities and the possibility of carrying out internships and work experience.
The COVID-19 pandemic remains an ongoing concern for us. To lessen its impact in our communities we worked together with our Corporate Social Responsibility team and Inmobiliaria San Bernardo to sanitize public spaces, streets, passages and squares in San Bernardo, using tractors that spray a chlorine solution.
The operation was initiated at the beginning of the lockdowns in San Bernardo and was carried out in a wonderful spirit of teamwork with 33 Neighborhood Councils who helped us design the routes. So far we have sanitized more than 450 kms.
SiEmpre por Chile project
In the context of COVID-19, we supported Siempre por Chile (Always for Chile) with the distribution of Food boxes for neighbors living around our MolymetNos Plant.
Cleaning of ditches and canals
MoymetNos teamed up with the San Bernardo Municipality, the Asociación de Canales de Maipo, Empresa de Ferrocarriles del Estado (The State Train Transport company), Molymet Corporate and Inmobiliaria San Bernardo S.A. to keep irrigation ditches, canals and siphons clean of debris and sediment. This work carried out in the Nos Sector and in JJ.VV.58 Norte ensured the flow of irrigation water from the Maipo River to communities.
Road improvement
We invested in the improvement of two roads: Calle Los Suspiros and Portales Oriente benefitting around 30, 000 residents.
Cinco Pinos Community
We contributed funds for the construction and maintenance of the Cinco Pinos Social Centre and carried out works to upgrade the Cinco Pinos School, benefiting 5,000 people
Competitive Funds
As has become a tradition, we provided competitive funds for 10 neighbourhood councils and 10 senior citizens’ clubs, benefitting 11,000 people with a donation of US$ 18,000.00
Donations
We made donations to 34 neighbourhood councils, 11 senior citizens clubs, 2 sports clubs, 3 public institutions, 4 public schools and 1 education and health organization.
Molynor
Investment: US$ 60.245,00
A Tailor-made plan
t is important to highlight the work carried out to design our ‘Acciona Molynor Plan’. This is a new community relations plan, which seeks to act on recommendations raised with our stakeholders to standardize community projects and agree on activities to be developed during 2022. This has led to new and innovative initiatives, like ‘Molynor Open Doors’, ‘Molynor Competitive Funds’ and ‘Bipartite Meetings’.
Protection of the Little Tern
Through our purpose, we think about the wellbeing of the planet and as we do every year, we want to proudly highlight our contribution to the conservation of the Little Tern, a migratory bird Gaviotín chico which is in critical danger of extinction. At Molynor, we continued our activities as co-founders of the Foundation for the Protection of the Little Tern. During 2021, we invested US$ 49,710 in the protection of this species in accordance with Chilean Environmental guidelines.
Although the conservation focus is on the Little Tern, the bird coexists with other fauna among archaeological sites of great importance. This is why in an initiative led by the former Minister of the Environment, Carolina Schmidt, we have begun the process of declaring the nesting area of the little tern as a nature sanctuary.
Mejillones Hospital Classroom
Our sponsorship of the Mejillones Hospital Classroom begun with the donation of species. An agreement was also developed with the health areas of universities in the region for the development of clinical visits to the homes of those who use the Hospital Classroom.
Donations
We made donations to the Mejillones Municipal vaccination centre; the Mejillones Community Hospital (medical supplies); and to DIDECO Mejillones for entertainment for Children’s Day entertainment for 12 children chosen by lucky draw.
A donation has been committed for “Summer School 2022”, which is aimed at children and young people.
Molymex
Investment: US$ 53.966,00
Cumpas Comprehensive Social Responsibility Program
Molymex has been a real example of community involvement in Cumpas where its operations are based. This ongoing comprehensive program encompasses health, education, environmental care and outreach.
Specifically, our contribution has translated into internships at our subsidiary, environmental campaigns, clean-up initiatives, reforestation, accident prevention and opening the doors of our recreational centre for community sports and recreation.
Some of our best recognized programs are:
- Professional internships: for students from different universities in Sonora state, developing skills they need to meet the expectations of companies in our sector.
- Rescuing your school: the objective of the ‘Rescatando tu Escuela’ program coordinated by the Sonora Ministry of Education and Culture is to complement the efforts of the public sector with the active and voluntary contribution of companies and organized civil society. The program focuses on comprehensive improvement of schools and quality education for the young people of Sonora.
- 2021 Recycling Campaign: this annual campaign aims to raise awareness and promote a culture of waste recycling and environmental conservation with the support of the community. It consists of collecting plastic waste, household appliances, aluminium cans and tyres from the community and from schools in the Cumpas Municipality. Molymex recognizes and rewards the 3 schools that collect the most waste.
Molymex Summer
In 2021 we successfully held these fun recreational and sporting activities online.It lasted 2 weeks and was attended by our employees’ children and children from the wider community.
Support for Sports Leagues
We support community teams by sponsoring sports equipment and/or uniforms for participation in different leagues in the region.
Support to the Cumpas Municipality
As part of our ongoing support, we make an annual donation to the Cumpas Municipality for an amount equivalent to US$30,000 which can be used by the Municipality according to its own priorities. Usually our donation is used for maintenance and/or renovation of equipment in public buildings.
COVID-19 Preventative Measures
Molymex has maintained constant strategies that contribute to the prevention and care of people’s health and positively impact the community.
We launched the Campaign: ´Depende de ti, no te relajes´</strong >(It´s up to you, don´t relax) focused on employees, families and the general community to encourage them to take preventative measure to avoid Covid-19 infection. As part of this campaign, we installed tarpaulins in different parts of the community and also shared information through Molymex´s social networks.
Other donations:
- Christmas gifts
- Sanitary materials for the program ‘Rescatando tu Escuela’ (Rescuing your school)
- Sanitization of educational institutions
- Telethon Campaign
Molymet Belgium
Investment US$ 535,00
Controlling our Community Impact
Our work with communities is closely linked to local people and farmers. The focus this year has been to report on the effects of molybdenum on human health and to monitor the possible effects of our plant on neighbors.
On each visit, a veterinarian accompanies our team to take samples and study the livestock. In addition, grass, hay and crop samples are taken to analyse the molybdenum content in the surrounding meadows. This year in particular, due to some concerns from farmers about the health effects of molybdenum, beet, potato, maize, grass and milk crops were sampled. The results of the analyses were transparently shared with the farmers and showed that molybdenum was not present above the limits.
Eco² project and Green Agreement
We participated in the Eco² project together with local farmers and authorities and in the Green Agreement with the Belgian government. Our aim is to participate in projects to reduce energy consumption and in the blue circle, to reduce water consumption or collaborate with other companies.
Sponsorships
We sponsor AED equipment for resuscitation in case of heart attacks for EDUGO schools. Due to the pandemic, many events that we normally sponsor were cancelled.
Hacemos presente que debido a la pandemia, se cancelaron muchos eventos que normalmente patrocinamos.
Operations with significant potential or actual negative impacts
Below we describe significant negative impacts, whether actual or potential, on local communities:
Relationships with Suppliers
The success and sustainability of a company like ours is intrinsically linked to its suppliers and one of the main challenges for Molymet is to build a circular supply chain. Thus, in line with our purpose, we are accompanying our suppliers towards the implementation of sustainable management in their own businesses.
Supply Chain
The raw material of molybdenum concentrate has two main origins: our own purchases from suppliers linked to copper mining; and from tolling agreements where we transform raw material or semi-finished products into marketable products for another company.
Traceability of our supply chain is carried out for the vast majority of the products used in our plants. These are both the raw materials and the elements used for packaging and transporting our finished products. The main origin of our products are Chile, Mexico, Peru and the United States.
All these materials are purchased directly from the manufacturers without intermediaries and are either picked up at the place of origin, brought into the country or received at the final destination. During the production of molybdenum, all information on the materials used is catalogued in the different production batches. In this way, when the finished product arrives at its end destination, it is possible to trace it and identify all the products that were used in its production.
Previous commitments
In our Corporate Sustainability Strategy we had committed to certain targets as part of our Corporate Supplier and Contractor Policy The progress against each of these targets is set out below.
Evaluation of suppliers based on social impact criteria
The case of the supplier assessed as having a negative social impact on Molynor was due to non-compliance with conditions for hiring staff to the detriment of workers. Corrective measures were applied, the situation was regularized and fines and sanctions were established. This supplier represents 0.4% of the total number of companies assessed.
Selection of sustainable suppliers at Molymex
At Molymex, the first stage of the supplier register (web platform) has been completed in line with selection criteria for suppliers. based on the Corporate Human Rights Policy and Code of Conduct. These criteria are:
Compliance with international commitments and local regulations; Rejection of child labor; Rejection of forced or compulsory labor and human trafficking; Ensuring safe working environments; Ensuring a diverse and inclusive environment; Promoting a working environment free of harassment and sexual harassment; Fair working conditions; Freedom of association and Risk management.
From 2022 onwards, new suppliers will be registered on this platform. We are also working towards AEO certification which will enable us to have suppliers that meet social criteria. In addition, we will start the process of stage II of the Supplier Register which will help us to have a classification of suppliers, as well as a better organisation of the information and to have a large number of options for quotations. This platform will bring together all the suppliers offering their services.
Adjustments due to the pandemic
In general, pandemic related adjustments included: increased costs in meeting health protocols, supplier delays and some suppliers were unable to meet their commitments.
New Suppliers evaluated on social impact criteria
At Molynor, 46 out of 192 companies evaluated did not meet requirements.
At Molymex, the Commercial area evaluates social criteria every six months (existing and new suppliers). However, the Purchasing and Services area does not yet apply sustainable criteria to supplier selection. This is planned from 2022, after the Supplier Register has been modified to include these criteria.
At Molymet Belgium several suppliers have been evaluated and raw material suppliers will be included in 2022.
The main services provided by our supply chain are:
- Food, cleaning, purified water, security, transport.
- Maintenance: gardening, waste removal, pest control and fumigation.
- Basic services: energy and drinking water
- Industrial services: preventive, timely and corrective maintenance of equipment and machinery that form part of the production process
- Specific professional advice and certifications .
- Raw materials and transport.
The main services are executed through permanent contracts and with raw material suppliers through long-term commercial agreements.
Suppliers classified by location and size
Molynor: only contractor companies supplying permanent services are considered, with a total of 10
and from the supply area, a total of 17 suppliers of the most important materials are considered.
Molymet Germany: only suppliers based on annual purchases are considered.
How do we regulate our relationships with suppliers
Corporate Supplier Policy
Provides the general guidelines for the relationship we establish with our suppliers of products and services.
Procurement and Services Policy
Guides establishment, negotiation and administration of commercial relationships between the company and its suppliers and contractors.
Policy of Purchases and Services
Provides the guidelines in respect to establishment of commercial relations with our suppliers and contractors and establishes responsibilities for the preparation, negotiation and administration of the service.
Supplier management regulatory body
Aimed at complying with legal obligations and market regulations allows. This allows us to incorporate into our value chain strategic partners who share our sustainable development ethics and respect for labour rights.
Provisions for Contractors (DISCON)
Internal regulations for contractors with operational procedures and instructions aimed at accident prevention and care of the environment.
Special Regulations for Chilean contractors and sub-contractors at MolymetNos and Molynor
These are procedures that must be adopted to ensure adequate health and safety conditions for all workers, whether employees or contracted workers, in order to comply with Law No. 16,744 on occupational accidents and occupational diseases; and the provisions of S.D. 594.
Supplier Payment Portal website
To manage payments.
Service Audits
Are carried every time a supplier is contracted. In this way, we accredit the company’s track record of legal, commercial and labour performance in terms of compliance with current legislation governing occupational health and safety and the environment. Once the contract is concluded, we accredit the social security payments of all contractor and subcontractor workers who provided the service.
Promoting Molybdenite supply from smaller mines
In 2019, Molymet commissioned a market study about molybdenum producers in Chile. The findings showed that small-scale mining companies viewed the molybdenum contained in copper concentrates as a waste product and did not recognize its potential commercial value.
This led to the recent ‘Native Molybdenite’ initiative by our R&D area to make SMMEs aware of the potential of extracting Molybdenite and selling it to larger companies. We are developing a process that allows small mines to concentrate molybdenite and meet the necessary quality requirements so that Molymet can purchase the material at a fair price.
Molymet began the conversation with a webinar called “Molybdenum recovery in small and medium mines in Chile” where the process of helping smaller mines to recover and commercialize molybdenum concentrates was explored.
This is a win-win solution as the small miner is able to profit from a waste product and Molymet will have an additional source of molybdenum in years when supply from the bigger mines is lower.
Webinar to promote Molybdenite supply from smaller mines in Chile
In January 2021, Molymet held its first Webinar on “Recovery of Molybdenum in small and medium Chilean mines”, where the initiative was launched to help smaller sized mines to recover and commercialize these concentrates which are present in copper.
