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We contribute to Kazakhstan and its economy by creating jobs, paying taxes, using local suppliers and investing in community infrastructure.
KAZ Minerals is committed to promoting community development and maintaining lines of communication with communities near its operations and potential new projects. The General Directors of the Group’s operations have overall responsibility for community relations in their respective areas.
Regular ‘town hall’ meetings are held between mine site representatives and local communities, in addition to formal public consultations required by law. The Group also hosts site visits for local community groups, to familiarise them with our operations and answer any queries they may have.
The Group’s commitment to respecting the rights of indigenous peoples and its approach to resettlement are included in its Human Rights Policy. The areas in which the Group has operated or developed new mining projects historically have been sparsely populated and the resettlement of indigenous populations has not been necessary. It is unlikely that future projects will require resettlement, but the Group will always seek to avoid involuntary resettlement and is committed to the protection of culturally sensitive areas.
Under the terms of subsoil use law in Kazakhstan, the Group is required to give preference to Kazakhstan nationals during the performance of subsoil use operations and to invest in the training of local workers.
KAZ Minerals is committed to supporting social projects in its countries of operation and in 2022 the Group invested $42 million into such projects.
The Group has a social investment policy which sets out its aims and objectives. The types of projects the Group seeks to support are: (i) projects local to the Group’s operations in the areas of healthcare, education, infrastructure, culture and sport; (ii) national projects in the Group’s countries of operation also in the areas of healthcare, education, infrastructure, culture and sport; and (iii) projects to promote the culture and economic profile of the Group’s countries of operation.
During 2022, the Group funded projects to carry out repairs and improvement works at sports training centres, provided funding for repairs of a fire station and funding for healthcare institutions near the Group’s assets, as well as providing an investment of $39 million to the Kazakhstan Halkyna social fund, a high profile national fund which supports a range of projects nationally with a focus on the socially disadvantaged.
The Group prioritises local procurement to assist diverse economic growth within Kazakhstan. In the East Region, local procurement was 60% of total spend (2021: 67%). The level of procurement from outside Kazakhstan at Aktogay and Bozshakol in 2022 was 63% and 57% respectively. This is because these mines employ modern technology that is often only possible to source internationally.
New playground and kindergarten facilities, funded by KAZ Minerals in the village of Aktogay, close to the Aktogay mine
KAZ Minerals supports sport through social projects close to our mining operations, contributing to the construction of sports facilities for the benefit of local communities.
In 2018, the Group participated in the construction of a new olympic swimming pool complex in Pavlodar, close to Bozshakol.
‘‘I can proudly say that we now have a facility that meets olympic standards and the highest profile athletes can train here. I am so grateful for this excellent facility, it is certain to show results in national and international competitions.’’