SUSTAINABILITY

Working towards global goals

We are embedding material United Nations (UN) Sustainable Development Goals (SDGs) in the Group’s systems and processes while we implement the recommendations of the Task force for Climate-related Financial Disclosures (TCFD) to ensure we create sustainable value for our stakeholders.



Our Sustainability Pillars

  • ENVIRONMENTAL

  • SOCIAL

  • EMPLOYEES

  • FINANCIAL AND OPERATIONAL

  • GOVERNANCE AND ETHICS

ENVIRONMENTAL

SOCIAL

EMPLOYEES

FINANCIAL AND OPERATIONAL

GOVERNANCE AND ETHICS

Environmental

Our commitment to responsible environmental stewardship and the UN SDGs compels us to better understand and manage our impact on the natural environment, mitigating climate change and other environmental risks, so that we leave a positive legacy for future generations.

Snapshot of our performance

  • Zero major environmental incidents
    for the 13th consecutive year
  • US$14.9 million
    environmental rehabilitation provision (2020: US$16.1 million)
  • Annual social and environmental management plan (SEMP) audit programme implemented
  • 8.9 million m3
    of water recycled. (2020: 8.8 million m3, 2019: 7.9 million m3).
  • Zero significant environmental incidents for the 8th consecutive year
  • No fines for environmental transgressions or non-compliance with host country legislation for the 12th consecutive year
  • ISO 14001
    accreditation retained
  • Total carbon footprint of 153 864 tCo2e (2020: 135 694 tCo2e, 2019: 172 968 tCo2e)
  • US$0.9 million
    invested in environmental protection during 2021 (2020: US$0.5 million)
  • ICMM Global Industry Standard for Tailings Management adopted and dam safety management framework implemented
  • Rehabilitation and closure
    management strategy adopted and updated
  • US$0.2 million
    invested towards adopting the recommendations of the TCFD

Social

The Group’s purpose “Unearthing unique possibilities”, is directly underpinned by three key priorities: extracting maximum value from operations, preparing for our future, and working responsibly and maintaining our social licence to operate.

Our social licence to operate depends on regular engagement with government and local communities, as well as financial and practical support, to address challenges with mutually beneficial and sustainable solutions. As responsible operators and social partners in our host countries, we endeavour to maintain healthy and constructive relationships with governments and our PACs.

As mining life is finite, we need to establish CSI projects that continue to create value in our absence.

Snapshot of our performance

  • US$0.2 million
    invested in COVID-19 community relief (2020: US$0.1 million)
  • US$0.8 million
    invested in social projects (2020: US$0.3 million)
  • US$164.9 million
    spent on local procurement (2020: US$126.9 million)
  • Zero
    major or significant community incidents (2020: zero)

Employees

Our primary objective is safeguarding the health and safety of our employees, their families and surrounding communities – everyone should work and live in a safe environment every day.

We promote equality, diversity and professional development for employees at every business level with attention to their physical and psychological well-being.

Snapshot of our performance

  • Zero
    fatalities (2020: zero)
  • US$0.7 million
    invested in COVID-19 mitigation measures at Letšeng (2020: US$1.1 million)
  • Letšeng retained ISO 45001 certification
  • Six
    lost time injuries (LTIs) (2020: one)
  • All injury frequency rate (AIFR): 0.93 (2020: 0.76)
  • More than 17 800 COVID-19 tests at Letšeng (2020: 13 000)
  • Lost time injury frequency rate (LTIFR) of 0.24 (2020: 0.04)
  • US$37.4 million
    spent on employee remuneration and benefits (2020: US$31.8 million)
  • 67 599
    proactive safety management actions (2020: 55 547)

Financial and operational

Our holistic approach to business performance integrates our sustainability principles and daily activities to uphold our social licence to operate, generate fair returns for our shareholders and sustainable value for all our stakeholders.

Snapshot of our performance

  • US$201.9 million in revenue 
    (2020: US$189.6 million)
  • US$4.0 million in capital expenditure
    (2020: US$1.6 million)
  • 6.2 million ore tonnes treated
    (2020: 5.4 million)
  • US$57.4 million
    underlying earnings before interest, tax, depreciation and amortisation (EBITDA) (2020: US$53.2 million underlying pre-exceptional EBITDA)

Governance and Ethics

Our commitment to governance and ethics excellence ensures that good corporate citizenship permeates the business. We understand that the value of our exquisite diamonds is determined by the way we mine. We therefore produce and distribute rough and polished diamonds according to the highest ethical and legal standards.

Snapshot of our performance

  • Every recovered rough diamond is certified through the Kimberley Process
  • Zero
    cases of bribery, corruption and anti-competitive behaviour to date (2020: zero)
  • Fully compliant
    with government regulations and relevant voluntary codes for product and service information labelling
  • Blockchain technology
    informs customers about the source of diamonds and corporate citizenship
  • Zero
    breaches of confidentiality and customer privacy (2020: zero)
  • 25
    whistleblowing reports (2020: 19)

2021 SUSTAINABLE DEVELOPMENT OVERVIEW

Sustainable Development Goals

The United Nations (UN) Sustainable Development Goals (SDGs) are a collection of 17 interlinked global goals designed as a roadmap for countries to achieve a more sustainable future for all. The SDGs promote social prosperity and offer environmental protection for the planet. Aligning business practices to broader societal goals makes good business sense, as many of the world's top risks can impact a company's ability to create value for its stakeholders, with the recent the COVID-19 pandemic a perfect illustration of this.

Our Priority UN Sustainable Development Goals (SDGs)

Sustainability Platform

View our latest sustainable development platform

Downloads archive

  • 2021
  • 2020
  • 2019
  • 2018
  • 2017
  • 2016
  • 2015
  • 2014

2021


2020

Sustainability report 2020


2019

Sustainability report 2019


2018

Sustainability report 2018


2017


Corporate Social Responsibility (CSR) policy

View on pdf

2016

Sustainability report 2016


2015

Sustainability report 2015


2014

Sustainability report 2014



Our Principles

01

Creating a safe and healthy working environment

02

Improving resource use efficiencies

03

Upholding business integrity

04

Prioritising
environmental protection

05

Prioritising the development and well-being of our employees

06

Optimising socio-economic benefit

Creating a safe and healthy working environment

We promote a culture of zero harm and responsible care through effective risk management that prioritises our workforce

Creating a safe and healthy working environment

We promote a culture of zero harm and responsible care through effective risk management that prioritises our workforce

Improving resource use efficiencies

We are committed to continuously working towards minimising wasteful usage of the resources required to conduct business. Improving resource use efficiencies through innovation and capital efficiency will improve the long-term sustainability of the organisation and protect non-renewable natural resources.

Upholding business integrity

We are committed to meeting our responsibilities as an ethical and accountable organisation through a strong culture of corporate integrity and robust governance.

Prioritising environmental protection

We are committed to minimising the impact our operations have on the natural environment by mitigating potential environmental impacts, responsibly managing natural resources and rehabilitating the environment at mine closure.

Prioritising the development and well-being of our employees

We aim to foster respectful and mutually beneficial relationships with our employees, by prioritising their development and well-being and the promotion of equality and diversity in our workforce.

Optimising socio-economic benefit

We believe it is our moral obligation to contribute to the sustainable socio-economic growth of the areas in which we operate.

Material Matters

Our material matters are topics that directly or indirectly impact our ability to create or preserve economic, environmental and social value for our organisation, our stakeholders and society at large. Therefore, material matters include risks that must be managed and opportunities that could be captured to enhance the viability of the business in the short, medium and long term.

How we determine materiality

A list of possible material matters was developed following a detailed materiality review, which considered internal and external research. This year we used a double materiality lens, prioritising our material matters in terms of their impact on our financial and operational performance as well as their impact on society, communities and the environment.

01

Identify

02

Prioritise

03

Our Material Matters

Identify

To understand our broader risks and opportunities we look at:

  • ENVIRONMENTAL

  • SOCIAL

  • EMPLOYEES

  • FINANCIAL AND OPERATIONAL

  • GOVERNANCE AND ETHICS

ENVIRONMENTAL

SOCIAL

EMPLOYEES

FINANCIAL AND OPERATION

GOVERNANCE AND ETHICS

Material Matters

Our material matters are topics that directly or indirectly impact our ability to create or preserve economic, environmental and social value for our organisation, our stakeholders and society at large. Therefore, material matters include risks that must be managed and opportunities that could be captured to enhance the viability of the business in the short, medium and long term.

How we determine materiality

A list of possible material matters was developed following a detailed materiality review, which considered internal and external research. This year we used a double materiality lens, prioritising our material matters in terms of their impact on our financial and operational performance as well as their impact on society, communities and the environment.

Identify

To understand our broader risks and opportunities we look at:

Prioritise

Once all matters have been identified, these are prioritised and ranked according to the level of influence on our business and relationship with stakeholders.

03 Our Material Matters
Managing our environmental footprints
Managing and addressing climate change and extreme natural events
Protecting biodiversity and enhancing conservation

Ensuring consistent electricity supply and minimising energy consumption
Planning for mine closure
Safeguarding our communities
Ensuring positive engagement with our stakeholders
Minimising our potentially negative social impact
Working with communities to understand and meet their needs
Supporting our communities through localisation to create shared value
Safeguarding our communities
Ensuring positive engagement with our stakeholders
Minimising our potentially negative social impact
Working with communities to understand and meet their needs
Supporting our communities through localisation to create shared value
Providing a safe working environment
Attracting and retaining qualified people
Providing skills development opportunities for employees
Ensuring our employees remain healthy
Engaging with employees and elected representatives
Maintaining a strong revenue stream and managing costs
Enhancing balance sheet strength
Protecting the premium brand of diamonds
Ensuring product security
Managing and mitigating macro socio and economic risks
Implementing effective Board-approved ESG strategies
Prioritising business integrity
Ensuring transparent governance and remuneration practices
Ensuring legal, regulatory and governance excellence
Raising standards across the pipeline

Our policies

Gem Diamonds is a constituent of the FTSE4 Good Index Series