Local economic development
As a responsible mining actor, AREVA Mongol and COGEGOBI contribute to local development by creating jobs, training local population with specific industrial skills and working with local people as suppliers.
Local development at the heart of the mining project
AREVA Mongol and COGEGOBI intend to define sustainable ways to manage its socio-economic impact by sharing mining benefits with local communities. That approach includes:
- Commissioning studies to better understand the socio-economic environment in which the project will integrate.
- Building on this knowledge to maximize the mining project’s actual and future positive local economic footprint: creating jobs and training local populations with industrial and other skills, and purchasing locally produced goods and services.
- Supporting the development of infrastructures benefiting local people.
Understanding the socio-economic context
In order to better characterize local development needs, AREVA Mongol commissioned a socio-economic baseline survey in 2013. On that basis, and with the active cooperation of local stakeholders, AREVA Mongol is setting up a medium term local development support plans.
Local employment and skills development
Hiring Mongolian employees is a key priority for both companies that count today 122 employees among whom more than 90% are from Mongolian origin and 44 seasonal employees, from Ulaanbadrakh, Zuunbayan and Sainshand. Drilling and catering companies also employ a total of 13 local employees.
Since 2007, AREVA and Cogegobi have been supporting their local drilling partners, Uran Drilling LLC, Gobigeo LLC and Ordgeo LLC to develop the skills of their employees. Regular technical trainings were conducted by AREVA’s drilling and HSE experts.
Maximizing the local supply of products
Since the summer 2014, the Dulaan Uul camp is supplied with local milk: 10 liters of fresh milk are delivered daily by local herders.
A local meat sourcing operation, aimed at supplying the Dulaan Uul camp with meat bought from herders living close to the mining exploration site has been effective since the beginning of October 2014. With the support of ADEN services, the company in charge of camp catering, 200 sheep and 9 cattle were purchased directly from herder families, representing 6 months of meat consumption for the Dulaan Uul camp. A dedicated supply chain was set-up, using an existing HACCP certified meat factory, to ensure prime sanitary quality of meat purchased.
Since 2010, wooden boxes in which the geological cores are stored are made by wood workshops that employ families in Ulaanbadrakh soum and Zuunbayan bag. Until today, 39 200 core boxes have been purchased.
In November 2014 a comprehensive project aiming at supporting local veterinary services will has been launched. A unit of 3 veterinarians will intervene upon request from Ulaanbadrakh herders in order to help diagnose veterinary issues observed. The results of this veterinary monitoring will be publicly disclosed to stakeholders. In the meantime, comprehensive trainings on veterinary skills for herders as wells as for local veterinary clinics will be provided. This high profile project will run for an initial period of 24 months.