The Extent of Implementation of Environmental, Social and Governance (ESG) at Kansanshi Mining Plc

Abstract

This study aimed to examine the extent to which Environmental, Social, and Governance (ESG) is implemented, using First Quantum Mineral’s Kansanshi Mining Plc. as a case study. The study employed a qualitative research approach, utilising interviews, questionnaires, and document analysis as data collection tools. The findings were then analysed using Nvivo for qualitative thematic coding and narrative analysis. The results showed that Kansanshi Mining has succeeded in incorporating ESG factors into its operations, with notable outcomes. Financially, the company has managed to save operational costs saving, through a 98.8% reduction in bottled water consumption on-site, cutting around US$60,000 monthly. It has also reduced costs by reusing 80% of the water in its operations using modern water recycling systems. On the social side, the mine is supporting to community development in education, health, agriculture, and infrastructure as well as social investment such as the Tujipamo Multi-Purpose and Nsanshi Art Jewelry initiatives. Kansanshi has also made significant strides towards environmentally sustainable operation through biodiversity conservation as well as a capture rate of 98.5% of its emissions at the Kansanshi smelter. The study also shows sound strategies for strengthening stakeholder relationships. Based on the above findings, the study concludes that with ESG strategically incorporated into the long-term vision of a company, it is possible for mining and sustainability to coexist. This can serve as a guide to other companies interested in improving their ESG practices. It makes recommendations to Kansanshi Mining, the government of Zambia, and industry-governing bodies on how these stakeholders can play their part in strengthening ESG integration in the mining sector. Ultimately, this research provides a framework for delivering projects that are not only successful but also socially responsible and environmentally sustainable, making organisations more effective and competitive in project management. Keywords: Environmental, Social, and Governance (ESG), corporate strategy sustainability, Corporate Social Responsibility (CSR) & Kansanshi Mining Plc.