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Case Studies

Approach

Working with host communities to invest in education, health, local economic development, infrastructure improvements and capacity development programs can help address challenges, catalyze long-term socio-economic development and minimize dependency on the mine during operations and upon closure.

Our commitment to strengthening the communities where we live and work is stated in our Sustainability and Stakeholder Engagement Policy. Guiding our approach to equitably improve quality of life and create mutual value is our Community Investment and Development Standard.

Sites must use existing baseline studies, assessments and government development plans, along with robust community engagement, to develop a community investment strategy that identifies each opportunity, along with the resources needed to deliver on the commitment. Each site must review and update its strategy a minimum of every five years.

In addition to the direct investments our operations make toward community infrastructure and social programs, many of our operations – in Ghana, Peru, Suriname and the U.S. – have established community foundations or funds that support community needs during the mine life and after operations cease. In Ghana, Peru and Suriname, the foundation boards include community members to ensure community ownership and participation in the foundation’s efforts. Each foundation or fund is unique; however, investments generally focus on capacity building, community health and education, infrastructure development, and livelihood and skills building.

For all community donations, a transparent process is used to document and review each contribution to ensure compliance with the Partnering Against Corruption Initiative (PACI) and Foreign Corrupt Practices Act (FCPA).

We pursue partnerships with NGOs, development organizations and government agencies to ensure our investments effectively address local challenges and opportunities.

2017 Performance

2017 Community investments by country
(in thousands)
Monetary
community investment
Total in-kind
support
Total
Australia $1,499.91 $39.80 $1,539.71
Ghana $3,158.80 $841.07 $3,999.87
Peru $3,689.51 $512.92 $4,202.43
Suriname $287.57 $33.50 $321.07
U.S. $3,113.00 $734.00 $3,847.00
Total $11,748.79 $2,161.29 $13,910.08
2017 Community investments by type
(in thousands)
Type Monetary
community
investments
In-kind
community
investments
Total
Land use payments $352.01 N/A $352.01
Civil projects $588.85 $20.80 $609.65
Community capacity building $1,381.09 $290.77 $1,671.86
Education $726.85 $58.91 $785.76
Farming $1,320.00 $27.34 $1,347.34
Health $554.49 $813.87 $1,368.36
Other activities $5,899.33 $264.71 $6,164.04
Public infrastructure $926.18 $684.90 $1,611.08
Total $11,748.79 $2,161.30 $13,910.09

Newmont invested approximately $13.9 million globally in 2017 to support a wide range of community programs and initiatives. Among the notable activities in 2017:

In Africa:

  • The Newmont Ahafo Development Foundation (NADeF) supports sustainable socio-economic development projects in the 10 communities near the Ahafo mine. In 2017, Newmont contributed approximately $836,000 to NADeF, bringing our total contribution since 2007 to $25.2 million. Since its inception, NADeF has supported more than 100 education, health, human resource development, and infrastructure projects. During the year, NADeF continued to progress the Quality Improvement in Basic Education (QUIBS) program, bringing together educators and relevant stakeholders to recognize teachers and to discuss performance and the role of parents, teachers, school administrators, government and traditional authorities in improving the quality of basic education. QUIBS has contributed to a decrease in school absenteeism from 44 percent in 2016 to 6 percent in 2017. More than 90 percent of the 41 beneficiary schools have school management committees, which are a key part of strengthening community participation and improving quality education.
  • The economic feasibility study commissioned in 2016 by our Ahafo operation to evaluate local job creation and economic development options identified agriculture-based processing of maize, cassava, plantain and tomato crops as a key opportunity for local economic diversification and employment. The study was also used by NADeF to define key strategies, such as promoting cross-community projects and establishing institutional partnerships. A business plan for the identified opportunities was developed and shared with stakeholders.
  • Ghana’s National Philanthropy Forum named NADeF the “Corporate Foundation Philanthropist of the Year” at its maiden conference and awards ceremony, acknowledging the foundation’s philanthropic projects and the role it has played in the socio-economic development of the 10 Ahafo host communities.
  • The Newmont Akyem Development Foundation (NAkDeF), which has a similar structure to NADeF, supports development in the communities near the Akyem mine. Newmont contributed nearly $1.87 million to NAkDeF in 2017 and a total of approximately $7.7 million since 2013. The goal of NAkDeF’s Educational Quality Improvement Program (EQUIP), in place since 2016, is to improve academic performance through interactive teaching and learning materials, school construction, vocational training, mock examinations and teacher motivation seminars. In 2017, the Birim North District’s performance on the national Basic Education Certification Examination improved from 98.2 percent in 2016 to 99.2 percent in 2017.
  • NAkDeF signed a partnership agreement with the German Development Agency (GIZ) to co-finance a vocational training institute as well as establish a microcredit union to support a small business development program to train 600 young community members – of whom at least 35 percent are female – by 2020.

In Australia:

  • We invested more than $1.5 million in monetary and in-kind support during 2017 largely toward programs to support education, promote tourism and celebrate local indigenous cultures.
  • During the year, we extended our partnership for another three years at Boddington and KCGM with the Australian Indigenous Mentoring Experience (AIME), a unique mentoring program that helps indigenous high school students graduate and continue their educational journey. Our contribution supports nine schools in the South West and Kalgoorlie-Boulder communities that link students to three universities. The partnership has supported more than 220 students since it began at Boddington in 2014. Over the past six years, between 87 and 94 percent of AIME participants graduated compared to the national indigenous average graduation rate of 61 percent and a non-indigenous average of 86 percent. The partnership has also supported the development of 72 student mentors at Murdoch University, including eight indigenous mentors, three of whom were program mentees.
  • Boddington created a fund using income from the site’s recycling program to support strategic social investment partnerships, such as a five-year agreement with the Peel Harvey Catchment Council to address environmental and water footprint impacts identified in its 2015 social impact assessment.
  • Employees and contractors at our KCGM joint venture donated their safety bonus of around $50,000 to a local youth program and new women’s clinic at the Kalgoorlie regional hospital.

In North America:

  • The Newmont Legacy Fund – a charitable organization formed by our Nevada employees to contribute to the health and wellbeing of communities across northern Nevada – pledged a record $2.9 million to northern Nevada nonprofit organizations in 2018. Of this amount, employees pledged $1.45 million, which will be matched dollar-for-dollar by Newmont. In addition, the Newmont Endowment Fund – which will help sustain local communities in the long term – reached $2.2 million.
  • We expanded the Newmont Legacy Fund to include contributions from employees at our Cripple Creek & Victor mine in Colorado. The site surpassed their goal of 30 percent employee participation, which resulted in more than $70,000 in employee pledges. Combined with Newmont’s dollar-for-dollar match, more than $140,000 in total pledged donations will go to local nonprofit organizations in 2018. 

In South America:

  • Along with contributing to flood relief efforts, Yanacocha and its Asociación Los Andes de Cajamarca (ALAC) foundation, which supports sustainable development in the Cajamarca region, continued support for the “By Reading Together, We All Learn” reading program. In place since 2016, the program covers 125 schools, mostly in rural areas, and includes school upgrades, young reporter and creative writing classes, mobile libraries and parental engagement. The program is credited with a 17.2 percent improvement in reading and communications skills from 2016 to 2017. Another notable ALAC program promoted the culinary mushroom industry, which contributed to the creation of 209 jobs per year from 2014 to 2017, leading to a 150 percent increase in income for participating producers.
  • In Suriname, the Community Development Fund (CDF) board – which includes representatives from Newmont, the government of Suriname and the Pamaka community – approved the funding mechanism in which Newmont will contribute $1 per ounce produced on a quarterly basis. Based on the community assessment completed in 2016 and the CDF’s approved operational plan, development projects will focus on potable water systems, solar electricity and water transport infrastructure.

At the corporate office, employees and directors supported a number of disaster relief efforts through donations to the American Red Cross to help those impacted by hurricanes Harvey and Irma. The Company double-matched employee pledges, bringing the total contribution to nearly $116,000. This builds on employee donations to help people affected by severe weather events in Australia and Peru. The Sustainable Investment Program Steering Committee at our corporate office also established criteria – which include catastrophic disasters in countries and regions where Newmont has direct business activities – for double-matching employee charitable contributions.

Future Focus

Across our sites, we will continue efforts to support socio-economic development in host communities. In 2018, we will focus on improving our ability to capture the outcomes of our community development programs.

Key activities planned for 2018 include:

  • We will begin implementing the national-level community investment strategy in Ghana that was developed in 2017. The strategy leverages our current presence in the country and existing programs with leading organizations, focusing on development outcomes aligned with the UN Sustainable Development Goals (SDGs), specifically SDG-3 (good health and wellbeing); SDG-8 (decent work and economic growth); and SDG-17 (partnership for the goals). One example includes growing Newmont’s partnership with Project C.U.R.E. to expand its reach in Ghana and improve neonatal care and strengthen healthcare systems through training and the delivery of critical medical equipment.
  • Based on findings and recommendations from the economic feasibility study, Ahafo will develop programs – such as processing of local agricultural products – that support long-term, positive outcomes. Stakeholder feedback will be incorporated into the proposed business plans.
  • In Australia, we will begin a research project with AIME to track the school transition rates of students participating in the AIME program.
  • Our North America region will focus on increasing the participation rate among Cripple Creek & Victor employees in the annual Newmont Legacy Fund employee giving campaign.
  • In Peru, ALAC plans to implement a gender policy, which builds gender considerations and outcomes into its community development programs.
  • At Merian, we will continue work on the first project funded by the CDF, which is to provide potable water and electricity to the largest Pamaka island, Langa Tabiki.