Resource Efficiency in the Minerals and Metals Sector

Dr John AthertonSenior Program Director

UNEP/OECD Workshop – Paris 23/25 April 2008

2

Overview

• Understanding the Challenges

• A life cycle based response– Materials Stewardship

• Creating renewable materials

• Efficient metrics

3

Resource Challenges

• Demand for minerals and metals is increasing

• Prices high due to tight supply

• Mining is an environmentally invasive activity

• Major deposits in developing countries

• Contribution to sustainable development

• Security of nation state raw material supply

Data Source: Khomei Halada, National Institute for Materials Science, Japan (25.9.2007)

0

10,000

20,000

30,000

40,000

50,000

2000 2010 2020 2030 2040 2050

US

UK

Japan

Italy

Germany

France

Russia

India

China

Brazil

Cu

0200,000400,000600,000800,000

1,000,0001,200,0001,400,0001,600,0001,800,000

2005

2010

2015

2020

2025

2030

2035

2040

2045

2050

Cu

(K to

n)

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Consumption vs Use

• Policy response to non-renewable resource depletion– reduce consumption– emissions control and waste management– emphasise non-renewability of the resource (ores and naturally

occurring minerals)– paucity of consideration for social dimension

Maximising Value

• A new policy perspective– a life cycle approach– conserve materials– emphasise durability and recyclability of metals– sustainable use

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Maximizing Value - Objective

• Maximizing Value was created to help ICMM and its members understand materials stewardship and its application. It supports a number of ICMM’s SD Principles in particular:

# 8 “facilitate and encourage responsible product design, use, re-use and recycling and disposal of our products” and…

# 5 “seek continual improvement in our health and safety performance”

# 6 “continually seek ways to improve environmental performance”

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What is Materials Stewardship?

• Materials stewardship means responsibly providing materials and supervising material flows to create maximum societal value and minimum impact on humans and the environment.

• 4 Key Themes »»

1. Take a Systems Perspective– Understanding material flows and life

cycle benefits

2. Build new and strengthen existing relationships

– Interacting with other players in the value chain

3. Optimize the production and application of minerals and metals

– Implementing Eco-efficiency

4. Contribute to a robust, accessible base of information to support decision making

– Transparent sharing and reporting of data and information

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Process and Product Stewardship

Mining

Smelting and refining

Concentration

Exploration

PROCESSSTEWARDSHIP

Societal demand for minerals and metals

Design and Manufacture

Fabrication

Use

Disposal

PRODUCTSTEWARDSHIP

Remanufacture

Reuse

Recycling

Return to Environment

Materials Stewardship

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Maximizing Value through Process Stewardship

• Resource endowment - good governance in the management and investment of revenues

• Community development -building sustainable communities for the life time of the mine as well as post mining.

• Reducing environmental impacts – biodiversity policy

• Reduced emissions and energy efficiency.

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Maximizing Value through Product Stewardship

• Risk assessment and communication

• Design for environment

• Product policy

• Innovation

• Creating a “Renewable Materials” society

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Maximizing Value through Materials Recycling

• Metals can be recycled repeatedly without loss of value• Maximum efficiency through reuse / recycling

– Reduced energy demand– Conservation of raw materials– Reduced environmental impacts

• Promoting a “Renewable Materials Society”

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Ensure Efficiency of Recycling

• Promoting a Renewable Materials Society requires

Appropriate metrics

Understanding of material flows

Determination of material pools – local, regional and global

Materials not waste orientated public policy

Public private partnerships

Design for recycling

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Metrics of Recycling

• Macro metrics do not account for metals recycling

• Ratio of primary / recycled metals production is flawed

• No account of – metal durability– metal life cycle– rate of collection– unprocessed stock

Recycled metals

Metals possible to collect (old + new scrap)RER=

Overall Recycling Efficiency Rate

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Material Cycle – Type 2

Alloy loopRecycling retains metal A and B in alloy material loop

Metal B Primary production

Metal A Primary production

Use

Manufacture

Metal product fabrication

Collection & Disassembly

Loss (disposal and emissions)

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Preserving Natural Capital

• VAL’EAS™ battery recycling process - sustainable and cost-efficient• Umicore is the only company in the world proposing a real closed loop

solution for Li-ion batteries combined with an environmentally sound management of these end-of-life batteries.

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Conclusions

• Resource efficiency in the minerals and metals sector is realised through the implementation of sustainable development principles throughout the life cycle of minerals and metals.

• A life cycle management approach to minerals and metals is required where the fulcrum is the material and the principal objective is to capitalise on the renewability of metals.

• Materials Stewardship is a key framework condition, where all stakeholders have a shared responsibility to maximise the value of materials.

www.icmm.comICMM

35 Portman SquareLondon W1H 6LR

United Kingdom

Telephone: +44 (0) 20 7467 5078Fax: +44 (0) 20 7467 5079

Email: john.atherton@icmm.com

THANK YOU