GENERAL POLICY FOR SUSTAINABLE DEVELOPMENT
Outlines our commitment to acting responsibly and with transparency in social, economic and environmental aspects as the core of our sustainability strategy.
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KNOWOUR PRIORITY
AREAS
AREAS
CLOSURE OF OPERATIONS
At Grupo México, we’re committed to leaving a net positive social and environmental footprint, and to preventing, mitigating and offsetting any negative impacts our activities may cause during their lifecycle.
Our sustainability approach in the closure of operations focuses on three key aspects:
Operational
Environmental
Social
For more information, see Management Approach
OUR COMMITMENTS:
- Prepare and regularly update closure plans that include the environmental and social aspects for each operation.
- Consider the closure in the planning and design of new projects.
- Comply with closure of operations regulations and promote adopting best practices wherever possible.
HIGHLIGHTS
1 Protocol
Contamos con nuestro Protocolo para el Cierre de Operaciones aplicables a las unidades de la División Minera.
70 %
of our Mining Division operations have closure plans.
3 sites
of our Infrastructure Division have closure plans.
+ production capacity
of native plants for reforestation and ecosystem restoration, ensuring the needs for the anticipated (concurrent) and definitive closure are covered.
Related policies and codes
Our management in relation to this area is guided by:
ENVIRONMENTAL POLICY
Outlines our commitment to driving development that is respectful of the environment to benefit everyone, today and tomorrow.
HUMAN RIGHTS POLICY STATEMENT
Outlines our commitment to promoting respect for the human rights of all our stakeholders.
COMMUNITY OUTREACH POLICY
Outlines our commitment to fostering development and wellbeing in the communities where we operate.
POLICY OF RESPECT FOR THE RIGHTS OF INDIGENOUS PEOPLES AND COMMUNITIES
Outlines our commitment to respecting the rights of indigenous peoples and communities.
GENERAL POLICY ON TAILINGS SYSTEMS
Outlines our commitment to ensuring our tailings systems are managed safely and responsibly.
AMC – CORPORATE RESETTLEMENT POLICY
Establishes commitments and guidelines in the event of resettlements in communities.
AMC – CLOSURE OF OPERATIONS PROTOCOL
Provides the objectives and commitments to ensure sustainability during the closure and post-closure stages once the facility is shut down.
AMC – COMMUNITY ENGAGEMENT PROTOCOL
Establishes the guidelines for defining the applicable mechanisms and components for engaging with communities.
For further information, please refer to the ESG Policies section.
MANAGEMENT APPROACH
ORGANIZATIONAL MANAGEMENT
Our sustainability approach for the closure of operations focuses on three key aspects:
Operational
The minimum requirements we consider to ensure a safe and comprehensive closure of operations include:
- Proactive management of risks and impacts, which includes ongoing analysis during each operational stage of our sites and projects, through environmental and social impact assessments, reviewed and updated whenever there is a significant change in the operation and/or regulations related to mine closure processes.
- Transparency and engagement with stakeholders to promote access to information and to incorporate their proposals, opinions, expectations, needs and concerns in the development and updating of our closure plans. The identification and participation of multiple stakeholders includes consideration of gender perspectives and the involvement and understanding of the social, economic and cultural dynamic, including their interaction with the space. In this regard, we involve in our closure processes authorities, communities, unions, suppliers, contractors, employees and their families, and also the particular characteristics of the ecosystems.
- Ongoing improvement, which includes overseeing the progressive closure of our operations by monitoring performance and management indicators, as well as the physical and financial status and information updates in the corresponding knowledge bases.
Environmental
For the environmental aspect of our closure of operations management, we consider a closure hierarchy as follows:
- Favor restoration of the site to its original conditions, wherever possible.
- Develop alternative uses for the land to produce greater benefits than had been in place prior to the mining operation.
- Reconstruct the site to an acceptable level, according to regulations.
Our Biodiversity Management Protocol stipulates including an Ecological Restoration Program in the closure plan for each site to return the ecosystem to its natural condition, as if there had been no alteration.
The activities that form part of these ecological restoration programs include ecosystem assessments, selection and propagation of appropriate species, soil recovery and monitoring implementation through performance indicators.
Our actions follow the ISO 14001 environmental management systems principles of identification, prevention and mitigation of impacts.
Social
The social aspect of our closure of operations management considers the diversification of resources and capital, promoting regional economic development, strengthening local institutions and community development, as follows:
- Current baseline studies: Maintaining and updating a knowledge base, considering the participative social diagnostics periodically prepared by the Community Development department, applying principles of due diligence to analyze the social context of the operation, the business objectives and the principles of the Community Development Model. We also consider the different perspectives of our employees, unions, communities, local institutions and the expectations of different stakeholders.
- Stakeholder relations and engagement: The participative social diagnostics help us to understand the perspectives of our communities, considering the related risks, and also the needs and concerns of our stakeholders. These analyses include dialogues with community representatives to ensure their voice is heard in the preparation of the social management plans of each operational site.
- Capacity development and upskilling plans: We build collaboration networks with different public and social sector institutions and organizations considering the needs at each site, to join efforts for the development and implementation of training programs (both educational and technical) for the benefit of the communities. For more information, see our Forjando Futuro program.
- Economic diversification plans: Specifically, we identify areas of opportunity for economic diversification, both in terms of certification of technical skills for the different sectors in the community and to offer opportunities for local suppliers to join our value chain. For more information, see our Provee program.
CORPORATE GOALS & TARGETS
Closure of Operations related corporate goals
The goal has been met
In progress
Slight deviation from course
The goal has not been met
2025 
Updated closure plans at all our active tailings dams.
2030
Closure of all inactive tailings dams, heaps and piles, in accordance with best practices.
Follow our annual progress in Corporate Sustainable Goals.
KEY INDICATORS
KEY INDICATORS
Sites with closure plans
70%
of our Mining Division sites have closure plans in place.
AMBIENTAL
Reforestation rate
2.1
In 2023, SCC reforested an area 2.1 times greater than that impacted by our operations (3,484 acres vs 1,633 acres (1,410 ha vs 661 ha), a commitment we met for the fourth year in a row.
ROLES & RESPONSIBILITIES
The organizational supervision of closure of operations management is structured as follows:
Strategy and compliance
Operational supervision
Sets the short, medium and long term direction of the organization and the corresponding investments needed.
Oversight and monitoring mechanism for the environmental, social and governance risk management for the Board of Directors.
Monitors the performance of our actions and activities, defines executive adjustments, assesses the related risks and opportunities, and prepares strategic recommendations for the Board of Directors.
Leads the design and implementation of projects, initiatives and other related actions in close collaboration with the corresponding areas of the company.
Participates in the Sustainable Development Committee; responsible for the closure or operations management.
Oversees the management of the closure of operations in the Mining Division; leads the development of strategies and policies, evaluates the effectiveness of the management system and makes strategic adjustments.
Oversees the community-related topics involved in the closure of operations for the Mining Division.
Monitors the reserve amounts required to guarantee a safe closure of operations that meets all regulatory requirements.
The Leadership/Managers and the Environmental Affairs and Community Development departments at each site are responsible for executing the annual work plan and for maintaining current the closure plan, inventories and the knowledge base, following the corresponding environmental management system procedures.
EVALUATION
We identify the risks and impacts associated with the closure of operations from before starting our projects through environmental impact assessments, which we update whenever there is a change at our operations, and social diagnostics, which are updated every 2 years. Each year the Grupo Mexico Annual Report for the Mexican Stock Exchange is published, where the Asset Retirement Obligations are reported. Please refer to the corresponding information in the following report: Asset Retirement Obligations 2024.
The findings from these studies inform our actions to prevent the risks and identify potential impacts on humans and ecosystems:
Identify
Identify the environmental and social risks that may be caused by the closure of an operation, the social transition and the post-closure stage.
Assess
Assess the risks based on their impact and probability of occurrence.
Prevent
Identify prevention and mitigation measures, accordingly (mitigation reduces the probability of occurrence).
Reassess
Reassess the risks post-mitigation.
Estimate
Update the estimated closure costs.
Execute
Execute the actions outlined in the closure plan.
An independent auditor is contracted to review the successful implementation of our closure of operations plans and programs when appropriate. These plans and programs are informed by the following federal and international laws and standards:
INTERNATIONAL
- Integrated Mine Closure: Good Practice Guide, from International Council on Mining and Metals (ICMM).
MEXICO
- Environmental impact authorization required; there is currently no specific regulation in place for the closure of mine operations.
PERU
- Mine Closure Law and Code, Ministry of Energy and Mining.
UNITED STATES
- Arizona Revised Statute Title 27, Chapter 5 – Mined Land Reclamation.
- Arizona Administrative Code Title 11, Chapter 2 – State Mine Inspector-Mined Land Reclamation.
