A Sustainable Resource Company
Globally, Terra Energy faces a number of challenges:
- Increased stakeholder awareness.
- Stronger connections between NGOs and international movements,
- Globalization induced competition.
- Greater capital and credit constraints leading to risk aversion from global financial institutions, and
- Growing resource nationalism, putting at risk new mine development which requires long term capital commitment
In order to improve value for shareholders and mitigate the potential strategic threats posed by these challenges, we will work to embed sustainability in our core global business.
To do this we plan to:
- Ensure sustainability through collaborative projects.
- Ensure standards are set for current capital investment projects and those in the future.
- Monitor agreed sustainability indicators.
- Seek value-adding partnerships with key organizations.
Terra Energy positions itself as the “Resource Developer of Choice”. It is our objective for Terra Energy to have this reputation amongst all of our key business stakeholders. In this regard we consider carefully our engagement strategy at the following levels:
- Local government and the community
- Aimag Government, agencies and industry bodies
- State Ministries, agencies and industry bodies
- Industry peers
- Service providers
Key aspects of sustainability
By implementing a comprehensive sustainability strategy, Terra Energy is able to maximise value for all stakeholders and make a long term positive contribution where it operate. This approach assists the company to:
- Identify and manage risks effectively.
- Reduce environmental impacts.
- Preserve and maintain a social license to operate.
- Decrease operating costs.
- Provide additional business opportunities.
- Strive to be the employer of choice.
- Ensure employees’ health and safety.
There are three key aspects of sustainability which help ensure Equitable, Endurable and Eco-efficient mine projects through the stages of development, operation and closure.
Terra Energy’s Equitable approach recognises that training and up skilling Mongolians is essential. In doing this Terra seeks to balance its economic and social responsibilities so that the benefits are enjoyed by all. Terra Energy will also provide internships and scholarships which not only build a skilled work force but also maximises local employment opportunities.
Terra’s Endurable approach recognises that a balance must be achieved between social and environmental responsibilities, so that the local community benefits and environmental improvements are achieved.
The company’s Eco-efficient approach creates an effective balance in the way ecological resources are used to meet human needs so that a particular course of action is both financially and environmentally advantageous. Mining operations are significant users of water, making the efficient use of this natural resource essential. This is especially important in the South Gobi where water is a precious resource.