The National Minerals Policy: Fostering Sustainability in Jamaica's Minerals Industry

Section 1: Background, Overview and Context 8 Background and Context 9 Introduction 11 The Minerals Sector in Jamaica – A Situational Analysis 13 Global Trends in the Minerals Sector – A Focus on Sustainability Issues 20 Rationale for the Development of a National Policy on Minerals 23 SWOT Analysis of the Minerals Sector in Jamaica 24 Key Policy Issues 29

Section 2 – Defining the Policy Framework 33 The Strategic Framework Underlying Jamaica Minerals Policy 2010 – 2030 34 Vision of Jamaica’s Minerals Industry 37 Goals of Jamaica’s Minerals Policy 2010 – 2030 38 Goal 1 40 Goal 2 43 Goal 3 46 Goal 4 50 Goal 5 52 Goal 6 54

Section 3 – Implementation, Monitoring and Evaluation Framework 56 Implementation Framework 57 Proposed Institutions 59 The National Minerals Policy Action Plan 60 Monitoring and Evaluation Framework 80 Appendices 83 vii | P a g e

SECTION 1 BACKGROUND, OVERVIEW AND CONTEXT 8|P a g e BACKGROUND AND CONTEXT M inerals are valuable, finite and largely non-renewable natural resources. They provide raw materials for many industries and play a central role in the evolution of human society and the development of leading economies. They are used in various branches of industry, in As a major resource for development, the construction and in our homes and various extraction and management of minerals must be other places. Minerals in one form or integrated into the overall strategy of a country’s another are used in the construction of economic development and has to be guided by aircrafts, sea-going vessels, civil long term national goals and perspectives. infrastructure, appliances, equipment and vehicles. They are also used in the manufacture of toothpaste, paper, paint, glue, ink, glass, jewellery, cosmetics and other personal items, animal feed, medicines, food, and they form the base material for many fuels and metals. Minerals also find use in soil stabilization, pollution control and purification in numerous industrial processes. The mining sector represents a critical component in the national development of those countries such as Jamaica that are endowed with exploitable mineral resources. Commercially exploitable minerals are of major significance to Jamaica’s economic transformation owing particularly to their contribution to the national economy and their impact on, and linkages with other sectors. Additionally, as a major resource for development, the extraction and management of minerals must be integrated into the overall strategy of a country’s economic development. The mining and quarrying sector has been a part of the Jamaican economy for centuries. The quarrying of limestone and construction materials dates back to the earliest days of colonization while sporadic exploration and extraction of metallic minerals such as gold, lead and copper has taken place on a small scale since the eighteenth century. However, the modern era of the sector may be considered to have developed since the discovery of high grade bauxite in 1938 and the establishment of bauxite mining and refining operations by major North American aluminium companies, including ALCAN, Reynolds and Kaiser, beginning in 1952. 9|P a g e Commercially exploitable minerals are of major significance to Jamaica’s economic development owing particularly to their contribution to the national economy and their impact on and linkages with other sectors and since its inception been a cornerstone of the Jamaican economy. For example, since 1985 the minerals industry has contributed at least 4.5% to Jamaica’s annual Gross Domestic Product. Significant contributions are made through taxes, inflows of foreign exchange and remuneration. Between 2001 and 2007 the industry’s annual average growth was 3.2%. By providing a huge amount of minerals and mineral-based products that may otherwise have had to be imported, the industry also functions as a major participant in import substitution. In terms of employment, during the period 2001 – 2008, the industry directly employed between 4,570 and 6,200 persons on a full-time and part-time basis, which represents between 0.42% and 0.59% of the employed labour force. Furthermore, minerals operations are located primarily in rural and semi-rural areas and therefore play a major role in sustaining the livelihood and social fabric of a large percentage of persons in these communities. The importance of this sector to the socio-economic development of Jamaica requires the development of a national minerals policy that is dynamic, taking into consideration the changing needs of the industry in the context of the domestic and global economic environments. This Minerals Policy is aligned to, and guided by the country’s first long-term national development plan – Vision 2030 Jamaica. 10 | P a g e INTRODUCTION T he National Minerals Policy presents Jamaica’s first long term national policy, designed to establish a strategic framework to manage the country’s mineral resources, develop the sector and contribute to the sustainable prosperity of Jamaica. This policy has been closely integrated with and aligned to the Mining and Quarrying Sector Plan of Vision 2030 Jamaica: National Development Plan, and the wider Vision 2030 Jamaica, which provides the long-term national goals and perspectives upon which the policy will be implemented. By 2030, Jamaica’s mineral sector will be “modern, diversified, efficient and attractive… and one that protects environmental integrity and socio-cultural values, adds significant value to the economy, is based largely on the manufacture, local use and export of value-added products, has strong and properly structured institutions and co-exists with competing interests in the wider economy”. This vision of the minerals sector is underpinned by the principle that a vibrant minerals industry must be based largely on the manufacture, backward and forward integration into the local economy, the production and export of increasing quantities of value- added products, backed by strong institutions, co-existing with competing interests in the wider economy. Additionally, the design of this National Minerals Policy takes into consideration the use of new and scientifically advanced technologies in the sector; pursues zero waste mining, and pursues the development of a comprehensive and dynamic regulatory environment conducive to investment and technology flows. These changes to the sector also will be undertaken within the context of strategic partnerships, corporate social responsibility, and environmental stewardship and broad-based sustainability. Jamaica’s National Minerals Policy will support the implementation of Vision 2030 Jamaica by providing the enabling environment for the achievement of the national outcome of “internationally competitive industry structures” as articulated in the Plan and the implementation of three national energy strategies as follows:  Develop company sophistication and productivity  Develop economic linkages and clusters  Promote eco-efficiency and the green economy This Policy therefore establishes a dynamic strategic framework of goals, outcomes and strategies to address the present and future challenges facing the minerals sector, and, more importantly, within the context of a sustainable Jamaica. The Policy also identifies a mix of short- to medium-term, as well as long term strategic directions and actions for the 11 | P a g e government, private sector and industry, as well as civil society, for the advancement of the minerals sector. STRUCTURE OF THE NATIONAL MINERALS POLICY 2010 – 2030 The National Minerals Policy 2010 – 2030 is structured as follows:

Section 1 – Background, Overview and Context provides the introduction to and rationale for the Policy. This section also describes the mining and quarrying sector and discusses key global and local issues that should be addressed to realize a successful minerals sector.

Section 2 – Defining the Policy Framework presents the vision for the minerals sector in Jamaica and the strategic framework (goals and strategies) for this Policy.

Section 3 – Implementation, Monitoring and Evaluation Framework describes the implementation, monitoring and evaluation framework for this Policy. Section 3 also includes the institutional framework for the minerals sector in Jamaica. Appendix I is a glossary of terms used in this policy document. Appendix II is a listing of the different types of minerals that exist in Jamaica which can be exploited. Appendix III provides detailed descriptions of the mineral resources of Jamaica. Appendix IV provides maps of the distribution of major mineral resources in Jamaica. Appendix V lists the members of the Minerals Policy Development Committee. Appendix VI is an outline of sustainable development and the minerals sector. Appendix VII is a listing of the schedule of public consultations on the draft National Minerals Policy in 2008 and 2009, plus a list of entities that participated in the public consultations. Appendix VIII is a listing of the major pieces of legislation impacting the minerals sector. Appendix IX is a list of references consulted during the compiling of the policy. 12 | P a g e THE MINERALS SECTOR IN JAMAICA – A SITUATIONAL ANALYSIS T he mining and quarrying sector represents an important component of the Jamaican economy. In 2008 the sector’s contribution to Gross Domestic Product Jamaica’s known mineral resources can be (GDP) stood at 3.8%, almost entirely grouped in the following four categories: attributable to the bauxite and alumina 1. Metallic minerals: copper, gold, industry. The full scope of the sector includes silver, etc. 2. Industrial minerals: bauxite, clay, metallic minerals (including bauxite and gold), dolomite, gypsum, limestone, non-metallic minerals (clay, dolomite, gypsum, marble, sand and gravel, shale, limestone, marble, sand and gravel, silica sand, silica sand, volcanic rocks, etc. volcanic rocks and shale), and semi-precious 3. Fossil fuels: peat, petroleum, etc. minerals. 4. Semi-precious minerals. However, in 2009 real value added for the mining and quarrying industry declined by 50.2%. The industry contributed 2.0% of GDP when compared with 3.8% the previous year. The year 2009 represented the third consecutive annual downturn and was due to reductions in both alumina and crude bauxite production. This decline was as a result of the global recession and its negative impact on the price and demand for aluminium, which resulted in the closure of the country’s less efficient alumina plants. The decline in crude bauxite production was a direct result of the closure of three of the four alumina plants in response to lower international demand for aluminium. The minerals industry is a conglomeration of activities geared at exploiting the country’s mineral resources, and producing raw minerals and value-added mineral products consumed by various sectors of the economy. MINERAL RESOURCES AND RESERVES MINING LIFE (1) Bauxite 1.6 billion metric tonnes 50-100 years (proven (Resource and reserves. and probable) at an Approximately 10% – 15% proven extraction rate of 11 reserves) (1) million tonnes/yr Clay Over 160 million metric tonnes (Reserve and estimated resource. Approximately 10% proven reserves) (1) 13 | P a g e MINERAL RESOURCES AND RESERVES MINING LIFE (1) Gypsum (including 90%, 80%, 29.0 million metric tonnes 33-38 years (including 70% gypsum and anhydrite) (Reserve) (1) anhydrite) Black Sands (including sand, iron 19.0 million metric tonnes and titanium oxide) (Estimated resource) Aggregate (skid-resistant) 270.7 million metric tonnes (Probable reserve) 1.13 billion metric tonnes (probable reserve) Alluvial sand and gravel 600 million metric tonnes (2) (Probable reserves) Dolomitic limestone Over 2.7 billion metric tonnes (Resource and reserves. Approximately 10% – 15% proven reserves) Limestone (whiting grade) 11.15 billion metric tonnes (3) (Resource and reserve. Approximately 20% proven reserves) Limestone (chemical, industrial, 57.5 billion metric tonnes (3) metallurgical grade) (Resource and reserve) Silica Sand To be determined (TBD) TBD Source: Mines and Geology Division, Ministry of Energy and Mining (1) Based on current rates of exploitation (2) Estimated ten-year replenishment rate (3) Inferred Resource Estimate It is important to note that while Jamaica possesses large quantities of high-quality limestone resources, proven reserves of chemical, industrial, metallurgical and whiting grade limestone over the vast majority of our territory are yet to be quantified and demarcated. SCOPE OF JAMAICA’S MINERALS SECTOR The scope of the minerals industry in Jamaica includes:  Mineral exploration and exploitation (namely mining and quarrying)  Mineral processing, beneficiation and the manufacturing of mineral-based products, including alumina, construction blocks, lime, skid resistant aggregates. (Appendices II and III outline a larger range of mineral-based products and the major minerals found in Jamaica. Appendix IV illustrates the distribution of the various mineral resources)  Mineralogical, mining and metallurgical research, education and development  Environmental Management  Mineral waste management and recycling  Trading and professional services including health and safety 14 | P a g e  Transportation and machinery  Land management, including land acquisition and divestment, land rehabilitation and management of mineral resources  Mineral law  Valuation of mineral concerns. The Minerals (Vesting) Act and the Quarries Control Act differentiate between “mineral,” “quarry material” and “quarry mineral.” Whether found on public lands or private lands, minerals (nickel, gold, copper, zinc, tin, high purity limestone, etc.) are the property of the Crown. Quarry materials (sand, gravel, clay, sandstone, construction and low purity limestone) are the property of the landowner. Quarry material, quarry mineral and mineral are all mineral resources, and a significant part of the country’s natural wealth. To this extent, this Policy employs a generic definition of the term “mineral resource” to mean any natural material or geological occurrence that qualifies as a rock or a mineral, exists in commercial quantities and can be developed at a profit. This Policy covers mineral resources in their gaseous, liquid, solid and semi-solid forms, mineral springs, geothermal resources and the mineral resources that may be found in Jamaica’s territorial waters, including the Exclusive Economic Zone (EEZ). However, the Policy makes limited mention of peat, petroleum and natural gas, and water resources owing to their management by the Petroleum Corporation of Jamaica (PCJ), and the Water Resources Authority (WRA), respectively. EXISTING LEGISLATIVE FRAMEWORK The main legislative issues impacting the minerals portfolio are captured in the Mining Act, the Quarries Control Act, the Minerals (Vesting) Act, the Petroleum Act, incentive and taxation legislation for the Bauxite and Alumina Industries (Bauxite and Alumina Industries (Encouragement) Act, and the Bauxite and Alumina Industries (Special Provisions) Act), the National Resources Conservation Authority Act, the taxation statutes and the land development statutes. In addition to these, Jamaica is a signatory to various international treaties that also impact the industry. A Cabinet document dated 1997, which sets out a number of incentives for new investments in the Industrial Minerals Sector, is also of particular importance and provides for the following:  a ten year tax holiday for all new businesses  no custom duties (on non-CARICOM goods) for machinery and equipment  no GCT on goods and services connected with the project  no withholding tax of any nature on dividends, interest or other branch profit remittances to the extent such dividends, interest or remittances are exempt in the country of domicile. 15 | P a g e MANAGEMENT OF THE MINERALS SECTOR The Ministry of Energy and Mining (MEM) has overall policy responsibility for guiding the development of the mining and quarrying sector. The Mines and Geology Division (MGD) has the statutory responsibility, under the Mining Act and the Quarries Control Act, to supervise all prospecting, exploration, mining and quarrying operations throughout the island. The proponents of such activities must secure the required permits, licences and leases from the Division. The Division is also responsible for the investigation, characterization, documentation and release of information on all aspects of the country’s geology. The Minerals Policy and Development Division (MPDD) of the Ministry of Energy and Mining (MEM) is responsible for policy development with a specific focus on promoting sustainable development and contributing to the ongoing modernization of the minerals industry, including proposing amendments to minerals-related legislation, introducing new minerals-related legislation, and developing programmes and projects to facilitate the industry’s continued development and the efficient management of mineral-bearing lands. The Jamaica Bauxite Institute (JBI) was established in 1976 to deal mainly with the sovereign aspects of the Government’s participation in the bauxite and alumina industry. Its main functions include: monitoring and studying the alumina and aluminium industry; providing technical advice; undertaking research and development activities; assessing and ensuing rationalization in the use of Jamaica’s bauxite reserves and bauxite lands; and monitoring and making recommendations on pollution control and other environmental concerns in the industry. In conjunction with other agencies such as the MGD and the National Environmental Planning Agency (NEPA), the JBI is also involved in environmental monitoring and interfacing with communities hosting bauxite and alumina operations. Jamaica Bauxite Mining Limited (JBM) administers the Government of Jamaica’s (GOJ) equity in several partnerships and joint ventures in the bauxite/alumina industry, but does not get involved directly in operations in the respective entities in which it has equity. It owns fifty one per cent (51%) of the physical assets in Noranda Jamaica Bauxite Partners (formerly St. Ann Jamaica Bauxite Partners), seven per cent (7%) of the equity in West Indies Alumina Company (WINDALCO) and one hundred per cent (100%) of the former Reynolds operations at Lydford and Ocho Rios. The Bauxite & Alumina Trading Company of Jamaica Limited (BATCO) is responsible for trading and marketing the GOJ’s share of alumina and bauxite obtained from its equity in the bauxite and alumina industry. The Bauxite & Alumina Trading Company of Jamaica Limited manages contracts related to alumina off-take from Clarendon Alumina Production Limited (CAP) and JBM, seeks to maximize returns on GOJ investment in the Bauxite and Alumina Sector and to promote sector expansion. 16 | P a g e Clarendon Alumina Production Limited (CAP) executes the Jamaica Alumina Company (JAMALCO) Joint Venture between the GOJ and Alumina Company of America (ALCOA) Minerals of Jamaica (AMJ). CAP’s share of the joint venture was adjusted from 50% to 45% in 2007. STRUCTURE OF THE MINERALS SECTOR IN JAMAICA The ownership structure of the bauxite and alumina industry has evolved over time. The industry was initially driven by foreign direct investment by North American companies, then there was government acquisition of assets in the industry in the 1980s when several foreign companies divested their interests. This has been followed by new foreign direct investment in recent years. However, the government continues to have shareholdings in the industry. As at January 2011 the main players in the bauxite industry are:  The West Indies Alumina Company (WINDALCO) - partnership between Jamaica Bauxite Mining and United Company RUSAL  Jamaica Alumina Company (JAMALCO) – partnership between Clarendon Alumina Production Limited (CAP) and ALCOA  Alumina Partners of Jamaica (ALPART) – partnership between Norske Hydro and United Company RUSAL • Noranda Jamaica Bauxite Partners (produces crude bauxite for export). Currently, the GOJ is seeking to divest its assets held by CAP in the JAMALCO partnership, and the assets held by JBM in the WINDALCO Joint Venture. The industry also benefits from port facilities for the export of bauxite and alumina, including Port Rhoades (Discovery Bay, St. Ann), Port Esquivel (St. Catherine), Port Kaiser (St. Elizabeth), Rocky Point (Clarendon) and the Reynolds Pier in Ocho Rios, St. Ann. With respect to the non-metallic minerals sector, the Survey of Local Quarry Operations completed by the MPDD in 2006 reports that there were 218 licensed quarries on record in the country as at December 20051. Of this total, 173 quarries reported some activity during the year. Approximately 19% of the quarries were active year round. Over 1,500 persons were directly employed by quarries with over 90 % being males. Quarries are located in all parishes. However, there is a concentration of river-based sand and stone quarries along the Rio Minho in Clarendon. A large number of quarries are also located in St. Catherine. River-based sand quarries are located mainly in the south-central and eastern parishes while most limestone quarries are in the western parishes. Over 75 % of entities within the sector are located in rural and semirural areas. The sub-sector’s main products include crushed stone, marl and fill, and sand and gravel. The non-metallic minerals sub-sector in Jamaica consists mainly of micro to medium-sized local companies, of which some have made significant steps to improve their technological and 1 As at December 31, 2010 there were approximately 285 licensed and active quarries. 17 | P a g e human resource capacities in recent years. The vast majority of limestone, marl, gypsum, shale and igneous rock quarries are very small, each producing under 125,000 tonnes of material per annum. As at the end of 2010, approximately 26% of all licensed quarries possessed crushing facilities, of which 36, generally the largest entities, may be considered as fully mechanized. Approximately 80% of the sub-sector’s equipment and rolling stock is over 10 years old. The non-metallic minerals sub-sector in Jamaica can be classified as follows: 1. Raw material extraction 2. Primary processing (crushing, screening, etc) 3. Value added (mineral based manufacturing) 4. Stone-craft, concrete fabrication and installation 5. Services (professional, maintenance, etc.). Currently, the sub-sector is largely confined to the extraction and primary processing stages. The majority of the output is used in the local construction industry while local use of gypsum and shale is almost exclusively for the manufacture of cement. Limestone is also used to manufacture calcined and hydrated lime for various applications such as bauxite refinement, flocculants, fillers and agriculture purposes. Over 90 % of the gypsum produced is exported. The majority (99%) of mined high purity grade limestone (whiting) is exported, while only 8.5 % of the sand and gravel produced is exported. Over 90% of the entities within the sub-sector are locally owned. Direct foreign ownership is represented primarily by the Caribbean Cement Company, its subsidiary Jamaica Gypsum and Quarries Limited, CEMEX Jamaica Limited, and Chemical Lime. Entities within the sub-sector are privately owned and primarily family-owned. Caribbean Cement Company is the exception with the GOJ having a 20% equity stake. By world standards, the entities are generally micro to small. Less than 15% are regarded as medium (500,000 – 1,000,000 tonnes annually) and large (over 1,000,000 tonnes annually). Currently, there are no entities of a world-class size with annual production of over 4 million tonnes. However, some local companies have been considering major expansion while several multinationals that can produce these volumes have been considering establishing operations in Jamaica. The sub-sector possesses only a few entities that may be considered advanced companies with modernized operations and management systems, and existing value-added and export activities or the immediate potential to undertake such activities. There are also a second tier of companies that serve national markets and, while not as well-equipped as the most advanced companies, also possess capacity for value-added and export production. There is a relatively broader range of companies that account for 25%-35% of the total number of licensed entities and serve smaller domestic markets often focused on specific parishes or regions. These entities do not currently possess the ability to undertake production for export markets. The majority of quarries may be considered as community-based operations, which are very small, 18 | P a g e often located at significant distances inland, and are primarily dependent on the surrounding communities for their market. Operations in the ‘regional’ and ‘community-based’ companies broadly typify the local quarrying sector. They are generally individual or family-owned, produce small volumes of material, lack effective management and expertise, maintain poor records, have old and poor quality mining equipment, and are staffed by individuals with little or no direct formal training in mining and quarrying. Finally, there are a number of seasonal and special purpose operations, which generally focus on the removal of marl, and to a lesser extent sand and the crushing of limestone for public sector infrastructure projects. The differences in characteristics of these entities are relevant in planning for the long-term development of the sub-sector. The more advanced companies will be able to respond faster to initiatives aimed at encouraging the production of value-added mineral products and increasing exports, while specific strategies may be required to develop the capacity of smaller operations. 19 | P a g e GLOBAL TRENDS IN THE M INERALS SECTOR – A F OCUS ON SUSTAINABILITY ISSUES The international minerals industry has designed basic guiding principles that are to be modified by individual countries according to the prevailing local conditions. These fundamental best practice principles have been agreed by major minerals-related companies, governments of major minerals-based economies and other stakeholders in the international minerals industry. These best practices will be important for the long-term sustainable development of Jamaica’s minerals sector. The Berlin Guidelines 1991 (revised 2000) on Fundamental Principles for the Mining Sector dictates that governments, mining companies and the minerals industry should, as a minimum, adhere to the following: 1. Recognize environmental management as a high priority, notably during the licensing process and through the development and implementation of environmental management systems. These should include early and comprehensive environmental impact assessments, pollution control and other preventive and mitigation measures, monitoring and auditing activities, and emergency response procedures. 2. Recognize the importance of socio-economic impact assessments and social planning in mining operations. Social-economic impacts should be taken into account at the earliest stages of project development. Gender issues should also be considered at a policy and project level. 3. Establish environmental accountability in industry and government at the highest management and policy-making levels. 4. Encourage employees at all levels to recognize their responsibility for environmental management and ensure that adequate resources, staff and requisite training are available to implement environmental plans. 5. Ensure the participation of and dialogue with the affected community and other directly interested parties on the environmental and social aspects of all phases of mining activities and include the full participation of women and other marginalized groups. 6. Adopt best practices to minimize environmental degradation, notably in the absence of specific environmental regulations. 7. Adopt environmentally sound technologies in all phases of mining activities and increase the emphasis on the transfer of appropriate technologies that mitigate environmental impacts including those from small-scale mining operations. 8. Seek to provide additional funds and innovative financial arrangements to improve environmental performance of existing mining operations. 9. Adopt risk analysis and risk management in the development of regulation and in the design, operation, and decommissioning of mining activities, including the handling and disposal of hazardous mining and other wastes. 20 | P a g e 10. Reinforce the infrastructure, information systems service, training and skills in environmental management in relation to mining activities. 11. Avoid the use of such environmental regulations that act as unnecessary barriers to trade and investment. 12. Recognize the linkages between ecology, socio-cultural conditions and human health and, safety, the local community and the natural environment. In effect, synergies provided within the sustainable development construct. 13. Evaluate and adopt, wherever appropriate, economic and administrative instruments such as tax incentives and other policies to encourage the reduction of pollutant emissions and the introduction of innovative technology. 14. Explore the feasibility of reciprocal agreements to reduce trans-boundary pollution. 15. Encourage long term mining investment by having clear environmental standards with stable and predictable environmental criteria and procedures. A SUSTAINABLE MINERALS INDUSTRY Sustainable development and mining can be compatible and the concept of sustainable development has been applied to the minerals industry through the elaboration of the principles and practice of sustainability as applied to resource use, technology application, land rehabilitation and other aspects of after-care, and investment in other segments of the economy and human resource development with the proceeds garnered from the use of the initial resources. For example, the Mining Association of Canada has expressed its guiding principles as including: sustainable natural resource use; minimizing the impact of mining operations on the environment and biodiversity; supporting the sustainability of mining communities; acting in a transparent and ethical manner; protecting the health and safety of employees, contractors and communities; and practicing continuous improvement through the application of new technology, innovation and best practices in all facets of our operations. Also, in a number of countries and over time, mining has led to the creation of economic activity and financial and social infrastructure, created skilled work forces and contributed to sustainable wealth creation. Consequently, the performance indicators for sustainable mining include targets for tailings management, energy use and greenhouse gas emissions management, external outreach and crisis management planning. Within the wider construct of a minerals industry, the performance indicators for sustainability include the above-mentioned, but are expanded to include integration with the wider economy, the ratio of raw minerals to value-added mineral products, biodiversity protection and replenishment, investment in human resource development beyond the requirements of the minerals industry, investment in infrastructure and long-term income generating activities 21 | P a g e to facilitate an enhanced livelihood after depletion of the mineral resource, land rehabilitation and other after-care activities. 22 | P a g e RATIONALE FOR THE DEVELOPMENT OF A NATIONAL POLICY ON MINERALS T he Government of Jamaica recognizes that a properly planned, efficiently regulated, and professionally marketed minerals industry can make a significant contribution to national development. Within this context, the National Minerals Polciy will seek to ensure that the sector is developed, optimised and sustained, especially in earning foreign exchange, creating jobs, and acting as a base for further industrial development. The National Minerals Policy 2010 - 2030 will therefore establish the framework for the country’s approach to managing its mineral resources and developing its Minerals Industry. It arises out of a necessity to:  Maximize the economic and social benefits of mineral exploitation and the overall development of the sector,  Ensure that Jamaica’s mineral wealth supports sustainable national development and contributes to sustainable prosperity, while minimizing the negative impacts of the sector on the natural environment,  Establish an internationally competitive investment environment for the minerals sector towards developing and maintaining a strong, dynamic and profitable mining sector for the benefit of all Jamaicans,  Stimulate investments in the minerals sector both local and international,  Create a single, coherent national approach for the Minerals Industry, by developing the enabling environment to encourage further investment, thereby facilitating and promoting the industry’s development, and  Promote technically feasible and environmentally sound exploitation alternatives and minimize and mitigate the adverse environmental impacts of mining activities. Developed within the context of a small island developing State (SIDS), with the vulnerabilities and limitations attendant upon such a status, the National Minerals Policy creates necessary balances between complex competing interests pertinent to facilitate sustainable national development and to augment the goals of the country’s national development plan: Vision 2030 Jamaica. In this regard, it furthers the commitments under Vision 2030 Jamaica relating to the development of the minerals sector as a significant pillar for growth. 23 | P a g e SWOT ANALYSIS OF THE MINERALS SECTOR IN JAMAICA M inerals development provides a valuable opportunity for industrialization and sustainable development of nations that possess exploitable mineral resources. A standard tool of strategic analysis is SWOT analysis, which seeks to identify the main strengths, weaknesses, opportunities and threats (SWOT) for a given entity, ranging from a nation to a sector to an individual enterprise. For the minerals sector in Jamaica the identification of strengths and weaknesses represents the internal assessment of the sector while the consideration of opportunities and threats represents the analysis of the external environment for the sector. The SWOT analysis, along with the Situational Analysis, form the basis for identifying goals, objectives and strategies that may be employed to apply the strengths and address the weaknesses of the sector, and capitalize on the opportunities and mitigate the threats to the long-term development of the sector. Jamaica’s Minerals Industry has several strengths which afford it the ability to attract investment, provide employment and create wealth. However, it also has a number of weaknesses, which must be corrected so as to put the industry on a sustainable path, and more importantly, the various threats must be appropriately planned for. STRENGTHS • Significant quantities and excellent grade of mineral resources, namely bauxite, limestone and hard volcanic rocks • The chemical and geomorphological properties of Jamaican minerals including bauxite (where notably the percentage of available alumina and reactive silica, rank among the best in the world) and limestone (where the exceptional purity and amorphous, non-crystalline characteristics are highly regarded) • Jamaican mineral deposits including bauxite and limestone deposits in general lie close to the surface making them easier and less expensive to mine • Location of limestone deposits in proximity to port facilities • Substantial proven reserves of high-quality non-metallic minerals, particularly limestone (approximately 150 billion tonnes) and volcanic materials • High quality lime being produced • Several successful quarry operators, as well as local and foreign investors with strong interest in expanding operations and targeting niche markets overseas • Favourable geographical location with close proximity and timely logistical access with respect to the markets of the Caribbean, USA and South America (Strategic location to major international markets) • Public institutions with qualified personnel, years of research and regulatory history • Access to mineral resources via road network 24 | P a g e • Highly skilled workforce • Availability of information/data – the country is mapped, drill data, technical data on mineral resources. WEAKNESSES • High level of dependence of bauxite/alumina industry and non-metallic minerals sector on imported, and increasingly expensive, energy (bauxite/alumina requiring the amount of approximately 10 million barrels of oil equivalent per annum at current levels of production) • Local refineries are – for the most part – designed to process bauxite at low temperature. At the current mature stage of the industry, this could undermine its international competitiveness • Unavailability of bulk-handling port and loading facilities to accommodate non- metallic minerals exports together with the high capital intensity associated with making the improvements needed • Inadequate local transportation system (rail and coastal water) leading to an overwhelming reliance on road transport for cross-country movement of construction aggregates • Insufficient focus on the rehabilitation of mined-out non-metallic minerals bearing lands • Absence of institutions for human resources development and research for opportunity areas other than bauxite • Difficulty in accessing financing (such as venture capital) on competitive terms • Poor practices (quality, environment, safety and management) on the part of some firms that have not had access to industry supported training • Lack of transparency in the procurement of aggregates for public sector projects • Difficulty in accessing mineral bearing land at reasonable costs • Limited size and existing layout of plants limits economies of scale • Limited local content of goods and services used in industry • Sterilization of mineral resources • The absence of a Geological Survey Act • Absence of dedicated mining institutions/faculties • Limited spatial planning • Limited use of new and innovative technologies for improving value added • High levels of environmental impact • Lack of reinvestment of proceeds from the minerals sector back into the minerals industry • Poor coordination among stakeholders • Absence of developed closure plans. The Non-Metallic Minerals Sector: • Large fleet of old and inefficient equipment and plants • Dominance of undercapitalized and small-scale operations with high production costs 25 | P a g e • Concentration on the production of primary products • Limited exposure is some areas of mining-related human resources: low levels of mining engineering, mineral processing and related skills • The need for improved coordination of marketing strategies, low levels of exports and low ratio of exports to total annual production • Very small expenditure on mineral exploration and research: less than 10% of the operators can provide satisfactory data on the quantities and categories of reserves • Over-reliance on Government as the major consumer • Limited penetration of sustainable development practices • Lengthy processing times for licences (new and renewals) • Short duration of quarry licences • Difficulties in sourcing affordable financing for business development and expansion. • High interest rates, import duty, and taxes • Lack of dedicated bulk-handling port facilities for the quarrying sector • High costs associated with using existing ports for the export of quarry materials • High cost of inputs including electricity, fuel and lubricants, plant and equipment • Informal and planned residential settlements in some quarry areas: an outflow of poor national planning • Low restoration bond cost • Illegal activity in the industry • Many limestone quarries are located outside approved Quarry Zones, thus increasing the possibility for conflict with other land-users. OPPORTUNITIES • Use of each company’s annual productivity plan as the principal driver of its global cost positioning • Existence of large local, regional (CSME) and export markets (target exports to be set at US$400M by 2030) • Existing capabilities within the Hope Analytical Laboratories Network (HALN) with potential to deliver more efficient analytical support to the mining and quarrying sector • Existence of co-generation power systems based on cheaper and cleaner-burning sources of energy • Revamped railway system to accommodate increased use of rail as a cost-effective means of inland transportation for industrial minerals • Potential use of the levy-free fiscal incentive to encourage all the refineries to invest in dual-feed digestion systems • Existing technology to transport bauxite by pipeline in the form of a treated-slurry from the mine to the refinery, thus minimizing dust pollution and other costs • Development of integrated minerals industrial park focusing on lime and limestone at Tarentum, Clarendon; Hope River Quarry Zone, St. Andrew; and Lydford, St. Ann in order to maximize scale and scope advantages associated with large-scale port development at Salt River, Harbour Head and Old Reynolds Pier, respectively 26 | P a g e • Conditional on successful substitution of renewable energy sources for fossil fuel based sources, there is the potential for generating additional revenue in the form of carbon credits traded under the Clean Development Mechanism of the Kyoto Protocol • Aligning the 1998 Manley Accord with the prerequisites of attaining developed country status by 2030 • Brazilian, Caribbean and Venezuelan markets for metallurgical limestone and dolomite • Growing Caribbean/North American markets for construction aggregates • Production of value-added import substitutes such as calcium citrate and calcium propionate derived from calcium oxide (lime) as well as export products such as GCC and PCC • Export market expansion through new trade agreements • Possibility of access to cheaper energy (e.g. LNG, petcoke and coal) • Potential for development of new products (skid resistant aggregates) and new resources (off-shore minerals) • Demand for technologies for small scale mineral operations, rehabilitation, stone craft design, etc. • Opportunity for greater linkages of mining sector to local economy. THREATS • Global economic downturn which may reduce the demand for bauxite and alumina exports from Jamaica and lead to contraction in the local industry • The price volatility of critical imported inputs such as fuel and caustic soda • Patterns of severe weather – due in some measure to global climate change – that from time to time disrupt production and damage facilities • Growing competition for investment from low-cost advantaged bauxite and alumina producing countries such as Australia, Brazil and Guinea • Increasing sterilization of mineral resources due to the unplanned development of bauxite bearing lands • Possible erosion of support for bauxite mining and processing due to the perception that industry wealth creation is not benefiting communities adequately • Potential harmful implications of high concentrations of beryllium in Jamaican bauxite/alumina • Continued (historical) reduction in the real price for raw mineral exports. It is necessary to focus on the production of value-added, and where possible high-end value-added products • Continued liberalization of the local economy and our inability to compete with cheap imports: cheap marble from India, etc. • Failure of local capital to make large investment in the sector: profits are repatriated by foreign-based investors • Aging, small and inefficient alumina plants cannot compete with newer, larger efficient plants in the competing markets 27 | P a g e • Poor condition of some public roads • Extortion and general criminality • External imposition of standards by mineral importing countries – e.g. non-tariff barriers to trade • Weak enforcement of mining laws/regulations. 28 | P a g e KEY P OLICY ISSUES COMPETITIVENESS Jamaica’s minerals sector faces a number of challenges to its long-term competitiveness. While the bauxite and alumina industry is part of a vertically integrated global industry, the non- metallic minerals sector has been relatively less exposed to global economic competition due to:  the typically low value-to-bulk ratio of industrial minerals,  the infant stage of development for non-bauxite resources, and  Jamaica’s geographic location. Jamaica’s bauxite and alumina industry faced a very serious challenge to its global competitiveness, particularly during the global economic downturn of 2008-2009. Jamaica’s share of total global alumina production declined from 7.3% of total global alumina production in 2001 to 5.0% in 2008. Its share declined by a further 1.1 percentage point in the first quarter of 2009 to 3.9%, as the percentage cutback in local production consequent on production cutbacks and plant closures outweighed the percentage cutback in global production. This occurred as some of Jamaica’s alumina plants operate near the top end of the global cost curve and suffer from relatively higher energy cost. Addressing the high energy costs in Jamaica’s bauxite and alumina industry therefore represents a high priority in restoring its global competitiveness. Additionally, in order to develop value-added industries based on processing of mineral resources, the minerals extraction stages have to provide competitive sources of raw materials. A critical part of this process will be to increase the scale and scope of operations within the industry and to increase the levels of exports from the sector significantly. While productive enterprises in the minerals sector, along with other sectors, will benefit from improvements in the overall macro-economic and business environment, there are sector-specific measures which can improve the competitiveness of the sector, including:  Facilitation of retooling and upgrading of mines and plants with a view to improving their position on the global cost curve  Rationalization of legislation to provide similar benefits to all segments of the minerals industry  Expansion and improved utilization of port facilities employing the principle of coexistence and development of multi-use facilities  Substantial skills upgrading 29 | P a g e  Improved coordination of marketing strategies. LAND AND MINERAL RESOURCE MANAGEMENT As with agriculture, the mining sector involves the exploitation of resources that are intrinsic to the land. Planning for the sector therefore requires long-term projections for land use and management, in which the following issues will be important:  Confinement of exploitation of mineral resources to mineral development zones wherever feasible and sustainable  Improvement of inventory of mineral resources island-wide to incorporate exclusion of mined out and sterilized resources and addition of new discoveries  Introduction of Global Positioning Radar (GPR) and related technologies  Investigation of marine mineral resources  Provide adequate resources to shorten the turnaround time for processing applications  Greater levels of community consultation  Employ internationally recognized categorization in reporting on mineral resources and reserves. LAND RESTORATION With regard to land management in the bauxite sector it is worth highlighting that between 1952 and the end of 2010, a total of 8,422 hectares of land has been mined, representing 0.8% of Jamaica’s total land area of roughly 1 million hectares. At the end of 2010, approximately 6,033 hectares, 71.6% of the total area mined, had been certified by the Commissioner of Mines as being satisfactorily restored. PREPARING FOR CLOSURE Forward-looking regional planning dictates that mineral development activities be considered as a significant economic activity with marked consequences for long-term development. The uses to which specific blocks and parcels of land will be put must be discussed and agreed before mineral exploitation begins. Prior to quarry licences and mining leases being approved, the proponents of minerals development operations must present to and agree on their mine closure plans with the regulators. Minerals development will then proceed such as to realize the closure plan, unless the regulators decide to effect improvements that will vary the original plan. 30 | P a g e SUPPORTING LEGAL AND POLICY FRAMEWORK The supporting legal and policy framework for the sector also can add to its competitiveness and long-term development, including through:  Strengthening the capacity, business-friendly orientation and coordination among agencies in the sector, including rationalization and consolidation to increase efficiency and reduce administrative costs.  Strengthening research and development capacity, including collaboration and partnership between local and international institutions and development of world- class testing facilities.  Development of systems for market information and quality standards.  Strengthening of monitoring and evaluation framework for sector.  Development of continuous and comprehensive training programmes for sector.  Access to adequate and competitive financing.  Strengthening of the sector’s commitment to tangible sustainable development. OPTIMAL LONG-TERM EXTRACTION RATES While Jamaica may seek to increase its production levels of minerals in the short or medium term, the optimization of the value of the island’s minerals reserves (including low-grade ores) as a non-renewable resource will depend on the rates of extraction and the market prices over the lifetime of the reserves. Given the general outlook for world commodity prices it is likely that the real prices for various minerals, including bauxite (aluminium), gold and high purity limestone will increase over the long run, driven in part by increased demand from Brazil, Russia, India and China (BRIC) and other developing countries. THE CASE OF BAUXITE It is relevant for planning over a 20-year horizon to consider the rates of extraction of Jamaican bauxite that will maximize its present value given likely scenarios for world demand and prices. It has been and will continue to be imperative to sustain the industry’s march up the value chain, thereby converting a progressively larger share of total bauxite production into higher value alumina. For example, in 2008 we exported 4.4 million dry metric tons of crude bauxite to the U.S.; there is the need to make a concerted effort to have that material refined locally. OTHER MINERALS For the rest of the industry, the non-bauxite component, given its infant stage, optimal extraction rates are yet to be determined. Notwithstanding, this principle will be applied to the sector, and increased emphasis will be placed on achieving higher rates of value-added and a diversification in output. 31 | P a g e ENVIRONMENTAL ISSUES The minerals sector has very significant impacts on the environment, including dust and noise pollution, effluent such as red mud residues, loss of biodiversity, reduction of forest cover, threats to watersheds, sediment loads to surface waters, coastal waters and the marine environment and loss of habitats and relocation of communities. The Ambient Air Quality Regulations and Guidelines were gazetted in August 2006, requiring continuous monitoring, assessment and verification of emissions and the development and application of dispersion modelling for each major facility. The mineral exploiting sectors also are required to comply with environmental legislation such as the Natural Resources Conservation Authority Act, the Wild Life Protection Act and the Beaches Control Act, where port facilities would be of significance in the value chain. The operators within the sector are expected to: comply with codes of practice, guidelines, standards and regulations for the maintenance and improvement of the environment, including the controlled release of substances into the environment and the trans-boundary movement of hazardous wastes; dispose of ship-generated wastes in an environmentally sound manner; and engage conservation, management practices in their activities to reduce the risk to disasters and the negative impacts of climate change. The long-term sustainability of the mining industry will require use of best practices in the rehabilitation of mining sites. Development projects for the exploitation of mineral and non-mineral resources are subject to having environmental permits that may require an Environmental Impact Assessment (EIA) Report and a Health Impact Assessment (HIA) Report. In addition, this Policy proposes that mineral exploitation in areas protected under different pieces of legislation and equivalent to the World Conservation Union’s (IUCN) categories I and II, as outlined in the Policy for the National System of Protected Areas, will not be undertaken, unless mandated by Cabinet. It will be important, however, to ensure that the impact assessment of any such decisions fully reflect the economic cost of the natural resources and eco-systems of the protected areas that might be affected. The Government also should ensure that the costs of environmental impacts are not passed on to the community. 32 | P a g e

SECTION 2 DEFINING THE POLICY FRAMEWORK 33 | P a g e THE STRATEGIC FRAMEWORK UNDERLYING JAMAICA ’S MINERALS POLICY 2010 - 2030 T he long-term process of planning for the Minerals Sector is guided by a Vision that describes a future state of the sector that is desirable for its stakeholders and which can be achieved through their own efforts within a realistic time frame. The Strategic Framework (that is, the sector goals and strategies) underpinning this National Minierals Policy is Jamaica’s National comprehensive and is expected to be durable to 2030 Minerals Policy 2010 – 2030 and beyond, yet be flexible and adaptable to meet new challenges and opportunities as they arise. This Policy will provide the foundation for the development of an effective, Aligned to Vision 2030 Jamaica – National Development efficient and competitive regulatory Plan, the Strategic Framework also is designed to address environment for the minerals sector. and overcome the main barriers to development in the The thrust of the policy is to expand minerals sector and addresses the following key issues: and diversify the mineral sector through optimum exploration, • Strengthening the supporting framework for extraction, and utilization of resources the overall development of the sector using modern technology as well as • Restoring the international competitiveness of research and development (R&D). the island’s bauxite and alumina industry as Emphasis is given to environmental the component of the minerals sector that is protection, sustainable development currently the most mature, well-developed and the management of social and economically important impacts. • Fostering the growth of other segments of the minerals industry, namely the metallic minerals, industrial minerals, and precious/semi-precious minerals sectors over the medium and long term • Enhancing the social responsibility and environmental stewardship of the sector. Additionally, with respect to Vision 2030 Jamaica - National Development Plan, this policy directly supports the achievement of the following National Outcome: • National Outcome 12: Internationally Competitive Industry Structures which aims to support Jamaica in regain its competitiveness in the bauxite and alumina industry, while taking greater advantage of its other mineral resources, particularly through development of value-added products 34 | P a g e To restore the international competitiveness of the island’s bauxite and alumina industry, To strengthen the supporting framework for the overall the strategies include to:  develop cost efficient energy solutions development of the sector, this Policy includes a range of bauxite and alumina industry as a strategies, including to: ensure an appropriate policy and priority regulatory framework for long-term development of the  encourage investment in capacity minerals industry; integrate development of mineral expansion and dual-feed digester systems in alumina plants resources with overall land use planning and zoning;  allocate sufficient bauxite mineral strengthen partnerships and linkages between the minerals reserves to sustain production at the sector and research and academic institutions locally and targeted level  intensify research and reconfigure internationally; facilitate industry specific training and technical capabilities to mitigate a accreditation for the minerals sector; and enhance labour declining trihydrate to monohydrate relations and productivity in the minerals industry. reserves ratio The approach to foster the growth of the To restore the international competitiveness of the island’s metallic minerals, industrial minerals and bauxite and alumina industry, the strategies include to: precious/semi-precious minerals sectors develop cost efficient energy solutions bauxite and alumina includes strategies to: industry as a priority; encourage investment in capacity  establish a national entity to lead the expansion and dual-feed digester systems in alumina development of the non-metallic minerals sub-sector, particularly plants; allocate sufficient bauxite mineral reserves to limestone sustain production at the targeted level; and intensify  develop major integrated non-metallic research and reconfigure technical capabilities to mitigate a minerals complexes  promote marketing of non-metallic declining trihydrate-to-monohydrate reserves ratio. minerals; and ensure access to and development of port facilities for The approach to foster the growth of the non-metallic shipping of non-metallic minerals minerals/industrial minerals sub-sector includes strategies to: establish a national entity to lead the development of The approach toward enhancing the social the non-metallic minerals sub-sector, particularly responsibility and environmental limestone; develop major integrated non-metallic minerals stewardship of the sector includes strategies to: complexes; promote marketing of non-metallic minerals;  assist in building viable mining and ensure access to and development of port facilities for communities; participate in shipping of non-metallic minerals. development and enforcement of occupational safety and health The approach toward enhancing the social responsibility legislation and regulations for the mining and quarrying sector; promote and environmental stewardship of the sector includes compliance with relevant environmental strategies to: assist in building viable mining communities; standards and legislation;  mine mineral resources with appropriate participate in development and enforcement of planning for the end use of land occupational safety and health legislation and regulations  improve monitoring and enforcement of for the mining and quarrying sector; promote compliance rehabilitation of mined-out mineral bearing lands. with relevant environmental standards and legislation; mine mineral resources with appropriate planning for the 35 | P a g e end use of land; and improve monitoring and enforcement of rehabilitation of mined-out mineral bearing lands. The Strategic Framework presented below therefore outlines numerous strategies and actions designed to effectively address the emerging issues, challenges and requirements of a growing industry, within a complex financial, socio-politicial and environmental scenario. 36 | P a g e VISION OF JAMAICA ’S M INERALS INDUSTRY “A modern, diversified, integrated and efficient Minerals Industry which protects environmental integrity and socio-cultural values, improves our human resource capabilities, adds significant value to the economy, is based largely on the manufacture, local use and export of value-added products, import substitution, has strong and properly structured institutions and co-exists with competing interests in the wider economy” T he long-term strategic vision for the Minierals Indsutry in Jamaica is built on a number of fundamental elements/principles, including the following:  A Minerals Industry that uses the mineral resources of Jamaica sustainably to contribute to the long-term economic and social development of the nation  A Minerals Industry that is driven by private sector investment within a policy and regulatory framework that fosters competition and transparency  A Minerals Industry that is developed in harmony with other uses of land resources;  A Minerals Industry that is environmentally sustainable with minimal harmful environmental impacts  A Minerals Industry that increases the value of the nation’s mineral resources by developing higher value production  A Minerals Industry that ensures the health and safety of communities and workers  A Minerals Industry that manages the mineral resources, understands the value of the mineral resources, has a detailed and accurate knowledge of the country’s mineral resources, ensures proper planning in mineral use, distinguishes between mineral resources and mineral reserves, and prevents the sterilization of mineral resources. 37 | P a g e GOALS OF JAMAICA ’S M INERALS POLICY 2010 - 2030 GOALS OF NATIONAL MINERALS POLICY 2010 - 2030 A successful Minerals Industry in Jamaica must be supported by a strategic direction that will lead to greater economic opportunities and higher levels of investment, over the long term. The goals presented below, respresent the ultimate desired state of the minerals sector through which the sector vision will be realized. The broad goals of this Policy are: Goal 1: A well-managed and modernized minerals sector that uses its mineral resources in a sustainable manner for long-term economic development and international competitiveness. Goal 2: An enabling business environment that facilitates investments and growth, underpinned by dynamic governance, regulatory, and institutional framework. Goal 3: A sustainable and responsible minerals sector fostering environmental stewardship and ensures the health and safety of communities and workers in the industry. Goal 4: Sustained R & D and innovation within the minerals sector. Goal 5: Jamaicans are equipped with the technical capacity and knowledge for the development, management and appreciation of the minerals sector. GOAL 6: Jamaicans have substantial investments in all aspects of the sector, and are the major beneficiaries of the profits derived from the exploitation of our mineral wealth. OUTCOMES OF THE NATIONAL MINERALS POLICY These goals along with the strategies to be listed below under each goal, will contribute to the following outcomes in the minerals sector by 2030: • An enabling policy and regulatory environment • Long-term development of a minerals sector integrated into the overall land use planning and management objectives of the country 38 | P a g e • Increased value of mineral extraction and processing • A developed and economically feasible integrated and comprehensive minerals industry with keen focus on the weaker segments of the industry • Provision of competitive infrastructure and technology • Adequate supply of competent human resources with internationally competitive levels of labour productivity • Increased exploitation of all mineral resources • Strengthened hazard mitigation mechanisms in the sector • Sustainable mining communities • Harmonious relationships between communities and mining and quarrying entities • Adoption of a holistic approach to the wellness of sector employees • Effective control of negative environmental occurrences • Effective after-care activities, including adequately rehabilitated mined-out mineral bearing lands and the prevention of undesirable impacts of mining / minerals waste on the environment, including habitats and water resources. The sustainable approach underpinning this policy is therefore concerned with employing technology to find new reserves, transforming resources to reserves, recycling metals and construction aggregates, substituting one mineral for another, embracing cleaner technology, import substitution, integration into the local economy, minimizing waste and effectively rehabilitating mined lands. Additionally, it involves the application of visionary management to invest the proceeds of mineral exploitation in other sectors of the economy and so protect and guarantee sustainable livelihoods. It also includes, where necessary, foregoing mining owing to critical environmental, cultural and social issues. For each of the six goals elaborated on below, there are short, medium, and long-term strategies for the government and its key implementing agencies, private sector and industry to pursue. 39 | P a g e Goal 1: A well-managed and modernized minerals sector that uses its mineral resources in a sustainable manner for long-term economic development and international competitiveness Under this goal, Jamaica will pursue strategies to ensure the effective management and modernization of the minerals industry. Areas of emphasis will include:  management of mineral-bearing lands and mineral resources through orderly extraction  ownership and access to mineral-bearing lands  inventory of mineral deposits and continued exploration  mineral rights and ownership  adherence to environmental regulations and mine closure regulations, market mechanisms and fiscal measures, and also including regulations related to the conservation of the country’s cultural and heritage resources  mineral commodity production and exports  use of cleaner technology and increased training for improved capacity. As part of the management of the sector, consideration will be given to conservation of minerals, not in the restrictive sense of abstinence of use but for the purposes of augmenting the reserve base through improvements in mining methods, greater use of modern technologies and pursuance of zero waste mining. A high priority will be placed on the development of an internationally competitive minerals sector by increasing mineral exploitation, producing/manufacturing value-added goods as well as through the exportation of minerals and mineral products. Strategies will be implemented to facilitate product diversification, increased levels of export substitution and improved product quality. The importance of value-added cannot be over-emphasized and strategies will be developed and implemented to maximize the contribution of this aspect of the minerals sector to the country’s Gross Domestic Product (GDP). The thrust to increasing mineral exploitation also will focus on further investigating the feasibility of promoting the exploitation of off-shore mineral resources. Additionally, the success of the minerals industry is largely tied to the ability of the investor to source adequate, affordable and reliable energy supplies. The unit cost at which energy and other major inputs are supplied to the industry must be competitive with that of our major competitors. The Government is keen to resolve this critical issue and invites the private sector’s assistance. Investment in high value, high profit, but less energy-intensive minerals development activities is being promoted. Actions to improve the needed physical infrastructure are also included under this goal. 40 | P a g e To ensure long-term economic development, the minerals sectors must promote and facilitate increased levels of integration with other segments of the economy, including engineering, education, telecommunications, agriculture, tourism, the financial sector, transportation, construction and waste management. This also will for example ensure that issues of conflicting land/ resource use with other productive sectors within the economy e.g. tourism and agriculture is effectively addressed. KEY STRATEGIES AND ACTIONS  Promote the use of equipment and machinery that improve efficiencies, productivity and economics of mining operations  Improve access to mineral-bearing lands and streamline and simplify the process by which these lands are engaged in mineral exploitation, ensuring that these activities are concentrated within Mineral Development Zones (mining zones and quarry zones)  Facilitate the modernization of mineral exploration and exploitation operations through retooling, improving human resources and management, reviewing current statutes impacting the industry, promoting and facilitating access to ports and port facilities  Ensure that the identification of mineral development zones are linked to Parish Development Plans and other relevant plans  Improve the capacity of the Mines and Geology Division and other regulatory agencies to monitor the management, use and rehabilitation of mineral-bearing lands  Develop and implement mineral-bearing lands guidelines for exploration and exploitation  Introduce a National Minerals Institute with the specific mandate to transform the minerals sector, including the development of an integrated limestone sub-sector  Promotion of value-added products  Design and develop innovative structures and financing mechanisms to support the infrastructure needs of the mining sector  Develop and maintain an online database (that is integrated with the JAMPRO online portal) in digitized form that shows reserves and remaining resources as well as information on leasehold areas etc, thereby providing investors with instant information  Design frameworks to ensure that minerals industry is always attuned to the international economic situation in order to derive maximum advantage of foreign trade and as far as possible make efforts to export minerals in value added form  Align National Minerals Policy with Foreign Trade Policy  Simplify existing export procedures as part of a broad drive to facilitate increased export of value-added mineral products and minerals 41 | P a g e  Identify export markets for mineral products, with an emphasis on value-added mineral products  Facilitate the multiple use of existing and yet to be developed ports. Also, where possible, the development of dedicated bulk handling ports at strategic locations, and general access to port facilities at rates that encourage export.  Assist local mining and minerals companies to increase their market share in various markets  Promote and encourage a systematic investigation of the country’s marine mineral resources in its territorial waters and the possibility of their commercial exploitation within the context of a systems approach, which ensures that environmental considerations are given full attention  Amend applicable statutes, including the Quarries Control Act, to specifically address the exploitation of beach sand and other quarry materials  Promote port development and facilitate access to ports to allow for intra-island barging and the exportation of minerals and mineral products  Introduce the use of cheaper and more environmentally forms of fuel sources in the country’s minerals sector and facilitate the availability of adequate and competitively priced energy supplies for the minerals sector  Promote the establishment of secondary and tertiary mineral-based industries aimed at creating job opportunities and adding maximum value to mineral raw materials. KEY IMPLEMENTING AGENCIES  Ministry of Energy and Mining  Ministry of Water, Housing and the Environment  Ministry of Finance and the Public Service  National Industrial and Metallic Minerals Institute  Mines and Geology Division  Jamaica Bauxite Institute  Ministry of Foreign Affairs and Foreign Trade  Jamaica Trade and Invest (JAMPRO)  Ministry of Transport and Works  Parish Councils/Local Planning Authorities  National Land Agency  National Environment and Planning Agency 42 | P a g e Goal 2: An enabling business environment that facilitates investments and growth, underpinned by dynamic governance, legal, regulatory, and institutional framework Under this goal, efforts will be made to create a favourable climate for further development of the minerals sector aimed at creating an internationally competitive investment environment for the mineral sector in order to have a strong and profitable private sector driven mining industry. This means that strategies will be designed and implemented that provide the conditions conducive to attract and facilitate increased investment in the sector by international as well as local interests. To do this, the Government will put in place an investor- friendly and competitive legal and fiscal framework with well-defined parameters, involving stakeholders in all aspects of the development of the sector. With respect to local investors, attempts will be made to encourage and afford local investors ownership of a larger share of the industry. Under this goal, emphasis also will be placed on developing a comprehensive legal, regulatory and institutional framework. Laws which are outdated will be phased out or amended and harmonised to conform to current needs and future outlook. Government will pursue the development of a broad set of laws, regulations and guidelines to:  better manage the social and environmental risks and impacts of mining  maximize social and economic benefits from mining activities  enhance development opportunities related to mining investments. Under this goal, strategies will be pursued towards building institutional capacity to give effect to laws and policies that are put in place. KEY STRATEGIES AND ACTIONS  Develop a stable, predictable, legal and fiscal environment to attract foreign and local investments in the minerals sector  Design measures to attract investors through improving the investment climate - such measures may include better access to information, finance, the freeing up of mineral- bearing lands for exploration, the creation of a suitable tax system and many others.  Develop and put in place an investor-friendly legal framework  Work with the Ministry of Finance to develop a progressive tax regime with well-defined parameters for the sector  Encourage and afford local investors to own a larger share of the minerals industry by among other things, facilitating access to capital 43 | P a g e  Promote joint ventures and other ownership arrangements between local and foreign investors  In partnership with the private sector seek to improve the industry’s image and promote its products at the local and international levels  Provide relevant market intelligence and encourage research into material properties and areas of application  Facilitate entities whose major focus is the manufacture and/or export of value-added mineral products. Import substitution ventures are particularly encouraged  Create the enabling environment for state-owned development banks and privately owned financial institutions to provide local investors with financing for minerals- related ventures  Establish, maintain and facilitate and efficient and well-organized and transparent institutional framework  Effect legislative amendments, which will provide opportunities to all segments of the Minerals Industry  Continue the modernization of the major pieces of minerals-related statutes, particularly the Minerals (Vesting) Act, the Mining Act, the Quarries Control Act and corresponding Regulations  Introduce a Comprehensive Minerals Development Act, which will combine provisions of the current Mining Act and the Quarries Control Act  Introduce a Minerals Industries (Encouragement) Act which will be applicable to the development of all minerals. Bauxite/Alumina companies will continue to benefit under the Bauxite and Alumina Industries (Special Provisions) Act and the Bauxite and Alumina Industries (Encouragement) Act, which will be subsumed in this larger and more modern piece of legislation  Simplify and widen the investment and production incentive regimes to benefit all segments of the industry  Ensure the availability of relevant competent professional and technical staff  Facilitate access to land for mineral development  Align the National Minerals Policy with the National Export Strategy  Organize press conferences, investor conferences and exhibitions, panel discussions, community and other special interest meetings and other opportunities to promote the industry. KEY IMPLEMENTING AGENCIES  Ministry of Energy and Mining  National Industrial and Metallic Minerals Institute  Ministry of Water, Housing and the Environment 44 | P a g e  Ministry of Finance and Planning  Jamaica Bauxite Institute  Mines and Geology Division  Ministry of Foreign Affairs and Foreign Trade  Jamaica Trade and Invest (JAMPRO)  Ministry of Industry, Investment and Commerce  Development Bank of Jamaica  Office of the Prime Minster  National Land Agency. 45 | P a g e Goal 3: A sustainable and responsible minerals sector fostering environmental stewardship and ensures the health and safety of communities and workers in the industry Under this goal, the framework will be created to minimize and mitigate any adverse social and environmental impacts associated with the development of the minerals sector. This is because, it is well known that mining is closely linked with forestry, ecosystem and general environmental issues and some areas in which minerals exist are ecologically fragile and/or biologically rich. This means that there always will be need to take a comprehensive view to ensure that the use of land not only takes into account the needs of development but also the need to protect watersheds, forests and the country’s ecology. As such, both these aspects – economic development and environmental conservation – have to be properly coordinated to facilitate sustainability in the minerals industry in harmony with the natural environment. Emphasis also will be placed on preserving Jamaica’s cultural and heritage resources when they are located in mining communities. The sector therefore will embrace and exemplify environmental best practices including the recovery of minerals and other waste products from the mining process. Government will ensure compliance in the sector with existing and future laws and regulations with respect to environment, human health and safety. Much of this will be achieved by:  Strengthening environmental enforcement and monitoring activities  Reviewing and updating health and safety regulations  Encouraging the application of environmentally-friendly technologies in mineral exploitation  Ensuring that regulations on health, safety and heritage are current and accompanied by appropriate sanctions. This sustainable approach to the development of the minerals sector will optimize the economic and social benefits to be derived from the use of the country’s mineral wealth, as well as promote harmonious coexistence with other competing land-use interests. Additionally, attempts will be made to integrate the concepts and principles of sustainable development in decisions that affect the industry. Society's growing awareness towards environmental pollution hazards will be factored into the overall planning and developmental consideration of all future mining activities. New techniques for waste disposal and waste management systems will be introduced in order to meet the likely new challenges, in dealing with the more complex tailing disposals and waste water treatment. Consistent with this, will be the planning for post-mine transition or mine 46 | P a g e closure as no mining operation can be considered sustainable if planning for closure is not present during the entire operation of the mine. Under this goal, the issue of emergency preparedness will be pursued, recognizing that with the best oversight mechanisms, best management systems and the implementation of best practices, there remains the risk of sudden failure from natural events/hazards or human error. For this reason, emergency preparedness planning has to be a critical element of this policy. KEY STRATEGIES AND ACTIONS  Infuse social, environmental and economic considerations in the decision-making process within the industry, including the infusion of natural resources valuation in making decisions related to mineral exploration and exploitation  Develop a sustainable mining strategy that takes into account care for biodiversity and ensures that mining activities take place within the context of suitable measures for restoration of the ecological balance  Pursue opportunities for zero waste mining  Adopt pollution prevention as opposed to ‘end-of-pipe’ or pollution control approaches. The preventative approach addresses both the Precautionary Principle and the Polluter Pays Principle. Pollution prevention promotes the use of clean and more efficient technologies and encourages the industry to strive for environmental excellence ensuring that compliance with environmental standards is attained and/or exceeded  Ensure the application of the Ecosystem Approach which requires that the impact of human activity on ecosystem integrity be minimized. It incorporates the concept of ecological integrity and also includes social and economic components, as a healthy ecosystem may be described as one where the environment is viable and the economy is sustainable  Ensure that focus is placed on the prevention of environmental hazards, particularly on surrounding communities, which could be posed by mineral operations  Create mechanisms to protect heritage sites. This includes close collaboration with the relevant authorities to ensure that this is achieved  Ensure enforcement of mining plans and adoption of proper mining methods and optimum utilization of minerals  Develop models of stakeholder interests and purse the development of sustainable communities within mining areas  Granting of mining leases only will be undertaken with a proper environmental management plan which provides for the control of environmental damage, restoration of mined out areas and the re-vegetation of affected forest areas being undertaken in 47 | P a g e accordance with the latest internationally accepted norms and modern reafforestation practices  Improve the competence and capacity of regulatory agencies in order to ensure partnership within the industry in the regulatory and approval processes  Promote improved environmental health and safety practices at the workplace and in host communities  Monitor, audit and ensure compliance of minerals-related companies with the operating conditions of their licences and leases, mining and environment-related statutes and standards. Specific attention will be given to managing sensitive ecosystems, minimizing pollution, improving plant efficiency and finding uses for waste products  Ensure the effective rehabilitation of mined-out lands and other areas disturbed during mineral exploitation  Encourage constant improvements in environmental best practices in minerals operations  Require mineral operations to provide Life of Mine Plans before licences are granted and monitor their activities to ensure that the plans are followed  Effectively enforce penalties against mineral exploiting operations for breaching the conditions of their licences and or applicable statutes  Create ‘no-go areas’ in which mineral exploitation activities will not be allowed. This will be related to the level of biological and socio-cultural significance as classified in the Protected Areas System Policy. Particular emphasis will be placed on protecting critical watershed areas  Establish community-based Mine and Quarry Monitoring Committees (MQMC)  Encourage minerals-related companies to be good corporate neighbours and be more responsive to the concerns of host communities. Host communities will be encouraged to accommodate these companies  Ensure that mined lands are rapidly rehabilitated, certified and brought into non-mining economic activities  Ensure that companies rehabilitate mineral exploitation sites to an environmentally and geologically acceptable topography and vegetation within three years after mining is completed or within other periods as dictated by applicable statutes, and promote the feasibility of these sites being used for other purposes, including agriculture, reforestation, afforestation, urban development, water storage and minerals-based tourism  Ensure that NEPA and the local planning authorities review new minerals-related projects in an effort to minimize conflicts with other sectors  Ensure that emergency preparedness programmes are developed by all mining entities and that these programmes conform to international best practices 48 | P a g e  Ensure that closure plans prepared by mining entities are of a high standard and updated on a regular basis. KEY IMPLEMENTING AGENCIES  Ministry of Energy and Mining  Ministry of Water, Housing and the Environment  National Industrial and Metallic Minerals Institute  Mines and Geology Division  Jamaica Bauxite Institute  Ministry of Health  National Land Agency  Ministry of Agriculture and Fisheries  National Environment and Planning Agency  Local Planning Authorities  Jamaica National Heritage Trust. 49 | P a g e Goal 4: Sustained research and development and innovation within the minerals sector Under this goal, a comprehensive framework will be developed for the increased application of science and technology in the minerals sector. Research and development in the minerals sector will cover a range of activities from geological survey, exploration, mining, beneficiation, to value added through the development of materials. Efforts also will be directed towards the development of new technologies for the conversion of mineral resources into economic resources. Research and development activities will ultimately be directed to improving efficiencies in the sector. This use of state of the art exploration techniques, scientific mining and optimal use of minerals will require the establishment of appropriate educational and training facilities for human resources development to meet the manpower requirements of the minerals industry. KEY STRATEGIES AND ACTIONS  Develop a comprehensive institutional framework for research and development and training  Facilitate research, technological product and human resource development to foster the sector’s efficiency and competitiveness  Strengthen research institutions for the development of processes for beneficiation and agglomeration techniques to bring lower grades and finer size materials into use  Strengthen the linkages and interaction between the various institutions engaged in research and development in the minerals sector to derive the maximum benefits  Promote, strengthen and where possible establish and fund research facilities and appropriate educational and training opportunities  Encourage local institutions and academia to pursue research and development relating to the minerals industry  Facilitate the formation of strategic partnerships with learning institutions to advance minerals and science and technology institution/bodies  Develop new and clean technologies to improve efficiencies in the minerals sector  Upgrade appropriate technologies to clean technologies and where necessary engage in technology adoption and/or adaptation  Promote quality assurance standards and the optimal utilization of mineral resources in line with their physical, chemical, metallurgical and other characteristics  Create incubation facilities that allow the local private sector to improve its capacity for import substitution and increased market share in foreign markets 50 | P a g e  Create mechanisms for cross linkages and sharing of information in research and development across various ministries, departments and agencies (MDAs) and with tertiary level institutions. KEY IMPLEMENTING AGENCIES  Ministry of Energy and Mining  Ministry of Finance and the Public Service  National Industrial and Metallic Minerals Institute  Mines and Geology Division  Jamaica Bauxite Institute  Ministry of Industry, Investment and Commerce  Scientific Research Council  Jamaica Bureau of Standards  Tertiary institutions  Ministry of Education 51 | P a g e Goal 5: Jamaicans are equipped with the technical capacity and knowledge for the development, management and appreciation of the minerals sector Under this goal, a comprehensive review of the manpower needs of the minerals sector will be explored. Educational institutions at all levels will work through the policy framework to meet these needs in the medium and long term. Focus will be placed on the development of specialized training to ensure that adequately trained manpower at all levels is available for the development of the sector. Special emphasis will be provided to government officials to ensure that they have the required capacity for carrying out geological, geochemical and geophysical surveys as well as to be able to process, analyze and interpret geo-scientific data. Additionally, the institutional capacity of the government sector will also be enhanced for the promotion, regulation and governance of the country’s mineral resources. This will ensure that these institutions are able to fulfil their key regulatory and promoting roles. KEY STRATEGIES AND ACTIONS  Develop and strengthen local capacity for minerals development  Develop and implement educational and training programmes in dedicated institutions to provide the required pool of skilled personnel for the industry  Promote the licensing of minerals-related professionals  Encourage private sector companies to dedicate resources to improve the competencies of their employees and provide bursaries for students  Develop specific programmes in collaboration with tertiary institutions to ensure that government has the required competencies to carry out geological, geochemical and geophysical surveys of the entire island and at varying scales  Facilitate the introduction of programmes that allow for constantly improving the competencies of employees in government-owned entities and mineral companies  Review and upgrade from time to time existing facilities for basic and specialized training to ensure that adequately trained manpower at all levels is available for the development of mines and minerals  Provide training in the use of new and innovative technologies  Work with tertiary institutions to design curricula that would meet the needs of the development of the minerals sector  Promote the uptake of exchange programmes to learn industry best practices. 52 | P a g e KEY IMPLEMENTING AGENCIES  Ministry of Energy and Mining  Ministry of Finance and the Public Service  National Industrial and Metallic Minerals Institute  Jamaica Bauxite Institute  Mines and Geology Division  Ministry of Industry, Investment and Commerce  Scientific Research Council  Local universities and training institutions  HEART Trust/NTA  Ministry of Education 53 | P a g e Goal 6: Jamaicans have substantial investments in all aspects of the sector, and are the major beneficiaries of the profits derived from the exploitation of our mineral wealth Under this goal, significant attempts will be made to ensure the equitable sharing of benefits from mineral resources to the people of Jamaica. Strategies will be designed under this goal to ensure that it is recognized that minerals are one part of a country's natural wealth or patrimony for which users must pay rent to the "people" or State to deplete. This means that Government will ensure that tax and royalty revenues derived from exploration, mine development and mining reflect the value to society of the resources mined, and are collected and put to work in support of the sustainable prosperity of Jamaica. To better enable the Government to derive its share of rent from the industry a comprehensive system of taxation will be developed for levying taxes on the industry, as well as for collecting income from rentals (royalties) on State-owned mineral rights. Royalties to compensate the State for the depletion of its mineral wealth are generally calculated on the volume or value (sales) of the mineral mined. This also implies among other things that particular efforts will be made to encourage and afford local investors ownership of a larger share of the industry. Accordingly, mineral prices will reflect their value and the royalty structures will be revised to ensure that the producer earns and the consumer pays the true value of the minerals produced and consumed. This will contribute to sustainable national development as the general aim will ensure that adequate compensation is provided to the state in return for various concessions and grants. Strategies also will be employed towards ensuring that the host communities where mining takes place benefits from the proceeds of the mining and that the community is allowed to develop sustainably. This would involve various elements including, encouraging the employment of suitably qualified persons from the immediate communities in which minerals- related operations are located as well as encouraging companies and the Government of Jamaica to actively participate in community development activities. It is well known that engagement with communities establishes and maintains a constructive relationship with these said communities over the life of the project. Under this goal, an effective community engagement process will be pursued allowing communities’ views, interests and concerns to be heard, understood and taken into account in project decisions and in the creation of development benefits, thereby allowing communities to better understand mining, its opportunities and challenges. 54 | P a g e KEY STRATEGIES AND ACTIONS  Develop a comprehensive system of taxation for levying taxes on the industry, as well as for collecting income from rentals (royalties) on State-owned mineral rights  Develop strategies to facilitate ownership of equity in mineral operations by Jamaicans, including the promotion of joint ventures and other ownership arrangement between local and foreign capital  Facilitate the creation of a capital development fund to encourage development within the sector  Encourage minerals-related companies to be good corporate neighbours and be more responsive to the concerns of host communities  Promote minerals exploitation activities as a stimulus to attract further economic development in host communities, particularly those in rural areas  Promote and facilitate sustainable ‘life after mining’ projects and maintaining and/or upgrading the environmental quality of these communities  Promote state and private sector investment in host communities  Create process to effectively engage communities in mining decisions and takes into account their views and interests  Create mechanisms to establish strong relations with the financial community to locate funds to finance new investments. KEY IMPLEMENTING AGENCIES  Ministry of Energy and Mining  Ministry of Finance and Planning  National Industrial and Metallic Minerals Institute  Mines and Geology Division  Jamaica Bauxite Institute  National Environment and Planning Agency  Social Development Commission  Development Bank of Jamaica  JAMPRO  Ministry of Industry, Investment and Commerce. 55 | P a g e

Section 3 Implementation, Monitoring and Evaluation Framework 56 | P a g e IMPLEMENTATION FRAMEWORK A continuous programme of monitoring and evaluation, involving relevant stakeholders from public and private sectors, will be implemented. This will be aligned to the Monitoring and Evaluation Framework that is part of Vision 2030 Jamaica as well as the Whole of Government Business Planning Process. The Ministry responsible will use several indicators to assess the effectiveness of the National Minerals Policy in achieving the goals, which will form the basis for reviewing the policy and recommending any changes to the policy framework. The policy will be evaluated mid-term, after three years, to see if the targets, objectives and deliverables are being achieved. It will be updated in the light of progress to assess whether any amendments in policy are required. Sustainable development criteria – economy, environment and social priorities - will be used to guide strategy in a balanced way for the longer-term. At the same time, Government and the private sector will monitor worldwide technical developments in energy efficiency and renewable energy with a view to identifying technologies and applications that may be particularly appropriate to Jamaica’s situation in the long-term, making the best use of partnerships where possible, both locally and internationally. INSTITUTIONAL FRAMEWORK The key players in the implementation of the National Minerals Policy and their roles and responsibilities are described below. The successful implementation of this policy will require that linkages be made between the minerals sector as well as other segments of the economy and society including, but not limited to, energy, manufacturing, engineering, transport, environment, construction, finance, agriculture, sanitation and education. The Ministry of Energy and Mining (MEM) will lead and facilitate the implementation of the Minerals Policy, in collaboration with other Government Departments and Agencies, the private sector, academia and NGOs. MEM also will be responsible for building the requisite human resource capacities across the various implementing partners to strengthen information access and knowledge in the minerals sector. Through the Commissioner of Mines, the Mines and Geology Division (MGD) functions as the main geological research and regulatory entity concerned with the management and development of the country’s mineral resources and Minerals Industry. The Geological Survey within the MGD studies and explains the island’s geology and metallogeny, is a major repository 57 | P a g e of geological and mineralogical information and an authority on various aspects of the country’s geology, mineral wealth and related topics. Importantly, the MGD executes the regulatory functions necessary to promote compliance with the mining and quarrying legislation. The Jamaica Bauxite Institute (JBI) is the immediate authority on bauxite and several aspects of the Bauxite and Alumina Sector, whose development it oversees. Its responsibilities include managing bauxite resources and reserves, undertaking research, and promoting development specific to this sector of the minerals industry. In conjunction with MGD and NEPA, the JBI is also involved in environmental monitoring and interfacing with communities hosting bauxite and alumina operations. The ministry with portfolio responsibility for the environment (Environmental Management Division) has responsibility for environmental management, land use planning and development, spatial planning and solid waste management. The National Environment and Planning Agency (NEPA) has national oversight for environmental and planning matters. Prior to the issuance of a prospecting licence, mining lease or a quarry licence, the Commissioner of Mines consults NEPA as part of the process to arrive at the terms and conditions. NEPA also has the responsibility for monitoring adherence to environmental regulations, standards and guidelines relating to land use, air and effluent quality. The Natural Resources Conservation Authority (NRCA)2 has delegated to the JBI the responsibility of monitoring the bauxite and alumina sector under agreed conditions. NEPA therefore plays a critical role in guiding development, resource use and promoting environmental management. The Jamaica Bauxite Mining Limited (JBM), the Bauxite and Alumina Trading Company of Jamaica Limited (BATCO) and Clarendon Alumina Production Limited (CAP) are either shareholders in bauxite and alumina operations, managers of bauxite lands and related assets or are involved in the marketing of the Government’s share of bauxite and alumina production. Other entities such as the Water Resources Authority (WRA), the National Land Agency (NLA), the Forestry Department and the local planning authorities (Parish Councils) play important roles, particularly in the licence-granting process for minerals development operations. Local universities and other research institutions will play a key role in keeping abreast of research as well as engage in R & D in minerals exploitation to meet the country’s emerging 2 The NRCA is one of three statutory bodies – along with the Town and Country Planning Authority and the Land Development and Utilization Commission – that formed NEPA in 2001. The NRCA remains the legal entity that grants environmental permits to effect development activities. 58 | P a g e needs and continuously work with government and private sector to keep them abreast of these emerging technologies as well as facilitate the adoption and adaptation of these technologies by consumers and investors. Universities and other tertiary level training institutions will take a leading role in the provision of training courses for persons working in or wishing to pursue a profession within the minerals industry. PROPOSED INSTITUTIONS The establishment of the following entities is proposed to further the development of the minerals sector in Jamaica. A Minerals Development Advisory Council (MinDAC) will work closely with the Ministry responsible for the minerals portfolio. The MinDAC will assist in providing guidance to the Minister and institutions in respect of matters related to the development of the minerals industry. Its purview will include policy integration, mineral promotion, marketing, mineral exploitation, exportation, product development and the management of mineral resources and mineral-bearing lands. A National Industrial and Metallic Minerals Institute (NIMMI) will pilot the management and development of the country’s mineral and geological resources so as to facilitate the minerals sector’s transformation into a multi-minerals and predominantly value-added entity closely linked with various segments of the economy. A refocused and renamed Bauxite and Alumina Trading Company of Jamaica (BATCO) (Minerals Trading Company (MCT)) and the Geological Survey segment of the Mines and Geology Division (MGD) with advanced laboratory facilities will form NIMMI’s core. The institute will seek to lead research aimed at developing the country’s industrial minerals wealth, including the development of an integrated limestone sub-sector, market the mineral products and manage our geological resources. 59 | P a g e THE NATIONAL MINERALS POLICY ACTION PLAN The table below presents a draft action plan for the Minerals sector and it is aligned to Vision 2030 Jamaica as well as to outcomes of this minerals policy. The projects identified are listed along with the responsible agencies for implementation. OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 1.1: An enabling policy 1.1.1.1 Complete and promulgate the National Minerals MEM, JBI and regulatory Policy, including provisions for development of environment non-metallic minerals sub-sector 1.1.1.2 Simplify licensing process for metallic and non- MGD, JBI, MEM metallic minerals 1.1.1.3 Extend the period of licences for non-metallic QAC, MEM minerals quarries 1.1.1.4 Rationalize procedures for granting of blasting MTW, MGD, MNS, MEM licences and regulating importation, handling, storage and transportation of explosive materials 1.1.1.5 Promote public awareness of importance of MEM, JTI, MQAJ, MGD, Private sector minerals sector 1.1.1.6 Modernize minerals-related legislation MEM, MGD 1.1.1.7 Recognize exploration in minerals legislation MEM, MGD 1.1.1.8 Introduce certification for mineral operations BSJ, MGD and materials/products 1.1.1.9 Review fiscal regime for bauxite/alumina MEM, MFPS, JBI, OPM, JBM, CAP 60 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS industry 1.1.2.1 Revise and improve access to incentives MFPS, JTI, MEM encouraging investment in the non-metallic minerals sub-sector 1.1.2.2 Rationalize treatment of metallic and non- MEM, MGD, JBI metallic minerals under mining and quarrying legislation and incentives (exploration; transferability of licences) 1.1.3.1 Carry out education of stakeholders on licensing MEM, MGD, JBI and regulatory requirements and breaches and international best practices 1.1.3.2 Promote improved industry self-regulation JBI, MQAJ, MGD, MEM 1.1.3.3 Strengthen institutional capacity of regulatory MEM, MGD, JBI, NEPA, NWA agencies 1.1.3.4 Review and revise penalties for breaches JBI, MGD, MLSS, NEPA including discrete notices and penalties for operators and individuals 1.1.3.5 Develop modes of enforcement of penalties for JBI, MGD, MLSS, NEPA specific breaches on operators and individuals 1.1.3.6 Create public database of status of operators in JBI, MGD, MLSS, MNS breach of licenses and regulations 1.1.3.7 Become ISO Certified and Compliant in all BSJ, Private Sector, MQAJ mission-critical operational areas 1.1.4.1 Strengthen collection and use of data on JBI, MGD, STATIN, MEM, PIOJ minerals sector 1.1.4.2 Develop monitoring and evaluation framework MEM, JBI, MGD, JTI, PIOJ, NEPA, WRA for development of minerals sector 1.1.4.3 Develop accountability framework and MEM, CO, OPM, PIOJ mechanisms for evaluating and monitoring 61 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS effectiveness of sector agencies 1.1.5.1 Create public database of status of licensed and MGD, MEM certified operators 1.1.5.2 Ensure adequate penalties for operating and /or MEM, MGD, MQAJ purchasing from unlicensed operators 1.1.5.3 Carry out public education on purchasing only MEM, MGD, MQAJ from licensed and certified operators 1.2:- Long-term 1.2.1.1 Carry out a comparative assessment on the JBI, MGD, MEM development of economic extraction potential of reserve base minerals sector 1.2.1.2 Classify reserve base based on economic JBI, MGD, MEM, PIOJ integrated into potential 1.2.1.3 Provide priority planning approval for mineral NEPA, LAs, CoL, NLA, JBI, MGD the overall land development of mineral reserves use planning and 1.2.2.1 Introduce framework for use of mineral-bearing MEM, OPM, MGD, RADA, NEPA, LAs, MQAJ, management lands including sequential land-use Private sector objectives of the country 1.2.2.2 Prevent conflicting land use at pre-mining stage MEM, OPM, NEPA, LAs, MGD, RADA, and during mining on lands with priority planning approval for mineral development 1.2.2.3 Support strengthening of capacity of planning OPM, NEPA, LAs, MEM, MOE (PetroCaribe agencies and authorities Fund) 1.2.2.4 Ensure productive use of unmined lands MOAF, RADA, Private Sector including through tenant farming 1.2.2.5 Ensure compliance with end use of land as per JBI (BCDP), MGD terms of approval and rehabilitation plan 1.2.2.6 Integrate rehabilitation plans with regional land OPM, NEPA, LAs, MEM, JBI, MGD use plans 62 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 1.2.3.1 Identify all mineral-bearing lands including Private sector, MGD, JBI through non-invasive technological approaches e.g. Ground Penetrating Radar (GPR), infrared satellite imaging and hand drilling 1.2.3.2 Prepare updated geological maps of entire MGD, MGI, NLA island including location of mineral resources 1.2.3.3 Register mineral resources and reserves with MEM, NLA, JBI, MGD Land Management Bank 1.2.3.4 Integrate mineral resource maps into planning MGD, MGI, OPM, NEPA, LAs, JBI, PIOJ information systems including GIS 1.2.3.5 Ensure zoning of lands containing valuable OPM, NEPA, LAs, MGD, MEM, JBI mineral resources (including metallic minerals, dolomite, gypsum, whiting, marble, chemical- grade limestone) 1.2.3.6 Update zoning (and provide flexibility in mining OPM, NEPA, LAs, MGD, MEM, JBI outside of zones) 1.2.3.7 Establish and enforce no go areas for mineral MEM, OPM, NEPA, LAs, MGD, WRA exploitation 1.2.4.1 Integrate infrastructural development of mineral MEM, OPM, NEPA, LAs, MGD, JBI, MTW, NWA, bearing lands in parish development and WRA, NWC regional plans 1.2.4.2 Integrate infrastructure built by mining projects MEM, OPM, NEPA, LAs, MGD, JBI, MTW, NWA, into national and regional plans where possible WRA, NWC after mining 1.2.4.3 Develop mechanisms for joint development of MEM, MTW, JTI, PAJ, Private sector, MOE infrastructure between government and private (PetroCaribe Fund) investors (e.g. roads, ports) 1.2.4.4 Rationalize location of quarries to be consistent QAC, MQAJ, MTW, MGD with development and maintenance of transport network 63 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 1.2.4.5 Identify/rationalize island-wide road network for MTW, NWA, MEM, MGD the transportation of bulk minerals 1.2.5.1 Establish a National Mineral-Bearing Lands MEM, JBI, MGD Management Committee 1.2.5.2 Establish a National Mineral-Bearing Land MEM, JBI, MGD Management Bank 1.3:- Increased value of 1.3.1.1 Provide Accelerated Depreciation Allowance for MFPS, JBI, JTI, TAAD bauxite extraction investment in capacity expansion and dual-feed and processing digester systems 1.3.1.2 Undertake conversion of energy sources at MFPS, JBI, JTI, TAAD, MOE bauxite / alumina plants to graduate to high- temperature processing format in coordination with national decisions on diversification of fuel supply between coal and natural gas and underlying economics in energy markets 1.3.2.1 Allocate bauxite reserves adequate to sustain JBI, OPM, MEM, MGD production for at least 25 years in the case of new plants 1.3.2.2 Improve monitoring of rate of depletion of JBI allocated reserves and quality of remaining unallocated reserves 1.3.2.3 Provide additional reserves to existing JBI, OPM, MEM, MGD companies as needed to sustain planned levels of production 1.3.3.1 Identify primary locations for sourcing bauxite JBI, Private sector, JBM, CAP, BATCO based on logistics and material specifications (with particular reference to Haiti and Guyana) 1.3.3.2 Develop procurement, transportation and JBI, Private sector, PAJ, BATCO storage policy and arrangements 64 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 1.3.3.3 Initiate/conduct negotiations to secure stable JBI, Private sector, PAJ, MFAFT, BATCO supplies on a long-term strategic basis 1.4:- A developed and 1.4.1.1 Establish National Minerals Institute (NMI) with MEM, MGD, JBI economically Jamaica Limestone Institute (JLI) to spearhead feasible non- development of limestone and its derivatives and other non-metallic mineral resources metallic mineral 1.4.1.2 Develop long-term strategic plan for integrated MEM, MGD, JTI, MQAJ sub-sector non-metallic minerals sub-sector with emphasis on value-added production 1.4.2.1 Develop and implement long-term plans for: Private sector, JTI, MEM, MGD, PAJ  Tarentum  Cane River  Lydford  Port Esquivel  Rio Bueno  Bowden 1.4.3.1 Develop technical assistance programmes to MGD, JBI, MQAJ, JTI, Tertiary institutions expose industry operations to best practice in:  Management  Resource/reserve management  Drilling and blasting  Extraction  Environmental management and rehabilitation  R&D  Product development 65 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 1.4.3.2 Encourage consolidation of smaller enterprises MEM, MQAJ, JTI 1.4.3.3 Encourage development of strategic alliances JTI, Private sector, MEM with internal and external partners who bring value 1.4.4.1 Develop and promote quality assurance MQAJ, BSJ, JLI, MEM standards for non-metallic minerals enterprises 1.4.4.2 Encourage substitution of local value-added MQAJ, JTI, Private sector, MEM, MGD products 1.4.4.3 Promote awareness of range of products, end- MQAJ, JTI, Private sector, MEM, MGD uses and profitability of non-metallic minerals 1.4.5.1 Establish and maintain non-metallic minerals as JTI, MEM, MGD a priority sub-sector for investment promotion 1.4.5.2 Promote investment opportunities in non- JTI, MEM, MGD metallic minerals in domestic and international markets 1.4.5.3 Develop financing mechanisms for exploration JLI, MQAJ, DBJ, Private sector, MFPS and R&D 1.4.6.1 Establish National Minerals Week as an annual MEM, MQAJ, MGD, Private sector event 1.4.6.2 Develop online and hard copy catalogues of Private sector, MEM, JTI, MQAJ, JEA available products 1.4.6.3 Develop market intelligence through networking Private sector, JTI, MQAJ, JEA alliances and conducting market studies 1.4.7.1 Strengthen relationships with other sector MQAJ, JMA, IMBJ associations 1.4.7.2 Establish appropriate marketing and information MEM, MQAJ, JMA, IMBJ systems to bring together producers and purchasers in the mining and quarrying sector 66 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS and linkage sectors 1.4.8.1 Manage allocation of valuable high-quality non- MEM, MGD, MQAJ, Private sector metallic mineral resources 1.5:- Provision of 1.5.1.1 Use the annual productivity plan to drive a Private sector, JBI, Unions competitive progressive reduction in the share of energy in infrastructure the overall bauxite and alumina industry cost structure by increasing energy efficiency and and technology promoting co-generation 1.5.1.2 Coordinate conversion of energy sources at MEM, PCJ, JBI, JPSCo, Private sector bauxite / alumina plants with national decisions on diversification of fuel supply between coal and natural gas and underlying economics in energy markets 1.5.1.3 Promote retooling of non-metallic minerals MEM, JTI, MQAJ operations to introduce energy-efficient equipment including variable speed motors 1.5.1.4 Promote use of renewable energy sources PCJ, MEM, JTI, MQAJ including wind, solar and hydro-power 1.5.1.5 Encourage more energy-efficient methods of MEM, MGD, MQAJ drilling, blasting, loading, crushing and transport 1.5.2.1 Undertake comprehensive port study to identify PAJ, MTW, MEM existing ports including sufferance wharves and develop recommendations for expansion and rationalization of port infrastructure 1.5.2.2 Explore potential for consolidation of alumina MEM, MTW, PAJ, Private sector exports through Port Esquivel and establish Rocky Point as a port for export of non-metallic minerals from South-Central Jamaica 67 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 1.5.2.3 Expand and upgrade gypsum port to CCC, PAJ, MEM accommodate non-metallic minerals exports from South-Eastern Jamaica 1.5.2.4 Develop suitable port facility for non-metallic Private sector, PAJ, MEM minerals exports on North Coast 1.5.2.5 Require multi-use access to new port facilities MEM, MTW, PAJ, Private sector for non-metallic minerals 1.5.2.6 Develop facilities to allow compatible multi-use Private sector, PAJ, MEM of existing bauxite ports 1.5.3.1 Include identification of coastal barge system in PAJ, MTW, MEM port study 1.5.3.2 Undertake dredging and development of port PAJ, MTW, Private sector facilities for barge transport as alternate means of transport 1.5.3.3 Undertake study of economics of coastal PAJ, MTW, MEM shipping 1.5.4.1 Develop point-to-point rail network with JRC, Private sector, MTW, MEM adequate load-bearing capacity from major new and existing mining and quarrying operations to ports and land-based customers 1.5.5.1 Ensure that vehicles used for transporting MTW, MEM, MGD, JCF, ISCF minerals on public roadways conform with load- carrying and combined weight-bearing restrictions and other regulations of the Road Traffic Act 1.5.5.2 Require inclusion of weigh bridges and scales in MTW, MEM, MGD quarry operations 1.5.5.3 Encourage introduction of vehicles with higher MTW, MEM, MGD, MQAJ capacity on an OEM basis 68 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 1.5.6.1 Encourage use of conveyor and cable belt and JBI, MEM, MGD, Private sector pipeline systems as means of transportation from plant to port (e.g. Ocho Rios) 1.5.7.1 Leverage the capabilities within the Hope JBI, SRC, MGD, MOAF, WRA Analytical Laboratories Network (HALN) as a critical underpinning of sector development 1.5.7.2 Research the mineralogy and processing of Universities, SRC, JBI, Private sector bauxite reserves with a high concentration of goethite and associated phosphates 1.5.7.3 Support research into the potentially hazardous JBI, Private sector effects of beryllium found in alumina 1.5.8.1 Explore alternatives to double-digester for JBI, Private sector processing high monohydrate bauxite, including pre-treatment and sintering approaches 1.5.8.2 Strengthen reserves definition and mine JBI, Private sector planning to allow appropriate blending of trihydrate and monohydrate bauxite 1.5.9.1 Investigate the mineralogy and commercial JBI, SRC, Universities, Private sector feasibility of isolating and extracting titanium oxide and other materials from red mud residue 1.5.9.2 Investigate the mineralogy, identification and MEM, National Minerals Institute, JBI, Private commercial feasibility of: sector  Dolomitic, calcitic and hydrated lime  GCC (packaged to lab-specs)  PCC (packaged)  Specialty lime chemicals (e.g. calcium citrate, calcium propionate)  Stone craft and decorative stone products (including from agates and marble)  Manufactured sand 69 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS  Clays and ceramics  Construction finishes and plasters (e.g. gypsum ceilings, decorative finishes such as stucco and plasters)  Mineral springs 1.5.11.1 Encourage use of local limestone in MEM, MQAJ, Private sector desulphurization operations locally and overseas (with by-product of gypsum) 1.5.12.1 Explore potential for dredging beach sand and Private sector, MGD aggregate offshore 1.5.12.2 Explore application of seabed mineral MEM, MGD, NEPA, Private sector exploitation best practice to Jamaica’s Exclusive Economic Zone (EEZ) 1.5.13.1 Develop internship programmes and project UTech, UWI (St. Augustine), JBI, Private sector assignments for engineering students related to the Bayer process 1.5.13.2 Develop capacity and opportunities for Universities, MEM, JBI, MGD, Private sector, academic institutions to apply knowledge to NMI industry problems and challenges 1.5.13.3 Develop relationships with alumni and industry Universities, Private sector, experts through discussion fora, seminars and presentations on topics of mutual interest 1.5.13.4 Develop strategic alliances and research JBI, UC Rusal partnerships between JBI and UC Rusal- affiliated VAMI and CSIRO in Australia among others 1.5.14.1 Strengthen research capacity of JBI JBI, Universities, SRC 1.5.14.2 Upgrade JBI pilot plant for practical training and JBI research 70 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 1.5.14.3 Strengthen research and development Private sector capacities of mining institutions and enterprises 1.6:- Adequate supply 1.6.1.1 Leverage the skills upgrade model piloted at the HEART of human Breadnut Valley Training Institute and the resources with Alpart/HEART Apprenticeship programme to boost productivity and enhance international internationally competitiveness competitive levels 1.6.1.2 Establish certification programmes for mining HEART of labour and quarrying operatives productivity 1.6.2.1 Develop tertiary-level training programmes in JBI, Universities, SRC the Bayer process using the JBI pilot plant 1.6.2.2 Introduce applied electives on bauxite and Universities, JBI, MQAJ, JLI, SRC limestone in tertiary geology curricula 1.6.3.1 Review and enhance existing 1998 Industry MEM, MFPS, JBI, Private sector, Trade unions MOU for bauxite industry 1.6.4.1 Establish benchmarks for internationally JBI, MQAJ, JLI, Private sector, Trade unions competitive levels of labour productivity 1.6.4.2 Encourage application of performance-based Private sector, JEF, Trade unions, MLSS, JBI, compensation schemes MQAJ, JLI 1.7:- Increased 1.7.1.1 Package and provide baseline data from existing JTI, PCJ, MGD, JBI, JLI, UWI exploitation of studies on potential of other metallic minerals other mineral resources in Jamaica 1.7.1.2 Promote exploration for other metallic minerals JTI, PCJ, MGD, JBI, JLI resources 1.7.2.1 Review international programmes and models MEM, UWI, JBI, PCJ, JLI, NEPA, PAJ, MGD, ISA for exploitation of marine minerals resources to determine suitable model and approach for Jamaica 71 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 1.7.2.2 Develop zoning and commercial blocks for MEM, PCJ UWI, JBI, JLI, NEPA, PAJ, MGD, exploration (see PCJ model) 1.7.2.3 Package and provide baseline data from existing JTI, PCJ, MGD, JBI, JLI, UWI studies on potential of marine minerals resources 1.7.2.4 Promote exploration for marine minerals JTI, PCJ, MGD, JBI, JLI resources 1.8:- Strengthened 1.8.1.1 Design and retrofit operational, transportation Private sector, ODPEM, MGD, JBI, MQAJ, PAJ, hazard mitigation and storage facilities to meet standards JLI, NEPA, JIE, LAs mechanisms in appropriate to natural hazard profile of Jamaica including tropical storms, hurricanes, the sector earthquakes and floods 1.8.1.2 Ensure hazard preparedness and response plans Private sector, ODPEM, MGD, JBI, MQAJ, PAJ, JLI, NEPA, JIE, LAs 1.8.1.3 Ensure maintenance and related training Private sector, ODPEM, MGD, JBI, MQAJ, PAJ, programmes incorporate hazard mitigation JLI, NEPA, JIE, LAs system checks 1.8.2.1 Strengthen linkages between umbrella Private sector, ODPEM, MGD, JBI, MQAJ, PAJ, organization and national disaster preparedness JLI, NEPA, LAs and emergency management system, including throughout the prevention, preparation, response and recovery phases 1.8.2.2 Encourage collaboration between mining and Private sector, ODPEM, MGD, JBI, MQAJ, JLI, quarrying enterprises and community-level NEPA, LAs disaster committees 1.8.2.3 Implement periodic on-site monitoring ODPEM, NEPA, MGD, JBI, private sector, MQAJ, programmes of mining and quarrying 72 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS enterprises PAJ, JLI, LAs 2.1:- Sustainable mining 2.1.1.1 Collaborate in the design and implementation of HEART, MOAF, MIIC, JBDC, JBI, JAS, Private communities skills training, agro-processing, micro enterprise entities development initiatives and replacement industries 2.1.1.2 Maximize the use of tenant farmer programmes MOAF, JBI, JAS, Private entities in the pre-mining and post-mining stages in order to boost agricultural production in all active mining leases 2.1.1.3 Encourage corporate social responsibility to MEM, MOE, MOHE, MOAF, SDC, JBI, Private develop social infrastructure in mining entities communities 2.1.2.1 Ensure effective resettlement plans for MEM, JBI, LAs, NEPA, MOAF, MWH, Private communities or residents displaced by mining entities activities 2.1.2.2 Encourage development of land subdivision LAs, Private entities, PDCs, NEPA, NLA projects for sector employees 2.1.3.1 Strengthen use of Community Development JBI, Community Councils, Private entities, MPs Fund by CBOs in bauxite mining communities 2.1.3.2 Deepen collaborative mechanisms with mining MEM, MGD, JBI, Community Councils, Private and quarrying stakeholders including entities establishment of community-based monitoring committees, especially in sensitive areas 2.2:- Harmonious 2.2.1.1 Strengthen role of Community Councils including Private entities, JBI, SDC relationships capacity development and communications 73 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS between 2.2.1.2 Recognize communities as stakeholders in Private entities, JBI, Unions, Community communities and MOUs agreed on by main stakeholders including Councils mining and owners, government and unions quarrying entities 2.2.2.1 Review and update compensation policy to Private entities, unions, JBI, Community ensure conformity with best practice Councils, MEM 2.2.2.2 Include community representatives in review Private entities, unions, JBI, Community and development of compensation policies Councils 2.3:- Adoption of a 2.3.1.1 Promote and ensure compliance with Personal Private entities, unions, MLSS, MOHE, MEM, holistic approach Protective Equipment (PPE) Guidelines across all NEPA, JBI to the wellness of operational activities with appropriate equipment sector employees 2.3.1.2 Ensure compliance with provisions of health and Private entities, unions, MLSS, MOHE, MEM, safety policy and operating procedures NEPA, JBI necessary for safe, healthy and injury–free environment 2.3.1.3 Implement containment and early warning Private entities, unions, MLSS, MOHE, MEM, systems JBI 2.3.2.2 Ensure establishment, upgrading and Private entities, unions, MLSS, MOHE, MEM, maintenance of first-response health and JBI emergency facility in major minerals processing facilities 2.3.2.3 Ensure planned access to designated emergency Private entities, unions, MLSS, MOHE, MEM, facilities for incidents at all mining, quarrying JBI and processing facilities 2.3.3.1 Ensure adherence to legal and international Private entities, unions, MLSS, MOHE, MEM, standards through certification (OSHA, ISO, JBI National Safety Council) 74 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 2.3.3.2 Ensure participation of mining and quarrying Private entities, unions, MLSS, MOHE, MEM, representatives in ongoing review and updates JBI of occupational safety and health legislation and regulations 2.3.4.1 Identify and classify major hazardous elements MOHE, Private sector, MQAJ, JBI, JLI, NEPA of mining and quarrying sector 2.3.4.2 Develop research programmes for each UWI, NEPA, SRC, PIOJ, Private sector, MQAJ, classification and identify funding sources and JBI, JLI implementing institutions 2.3.4.3 Undertake research programmes and UWI, NEPA, SRC, PIOJ, Private sector, MQAJ, disseminate findings JBI, JLI 3.1:- Effective control of 3.1.1.1 Ensure that environmental permits are required NEPA, MGD, JBI negative for new facilities environmental 3.1.1.2 Ensure that EIAs are required for all mining and NEPA, MGD, JBI quarrying activities occurrences 3.1.1.3 Ensure that air pollutant discharge licenses are NEPA, MGD, JBI required for air emissions 3.1.1.4 Encourage increasing levels of self monitoring NEPA, MGD, JBI, MQAJ, private sector and reporting (on monthly and annual basis) to environmental agency of emissions testing (at the stacks or suspended particulate measurements) 3.1.1.5 Encourage minimization of generation of air NEPA, MGD, JBI, MQAJ, private sector pollutants to the environment 75 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 3.1.1.6 Apply “polluter pays” principle to air emissions NEPA, MGD, JBI 3.1.1.7 Ensure that penalties are applied for breaches of NEPA, MGD, JBI, Justice system, JCF environmental standards 3.1.1.8 Update environmental legislation and NEPA, MGD, JBI, MQAJ, private sector regulations based on tracking of global best practices 3.1.2.1 Ensure that red mud disposal systems keep pace NEPA, MGD, JBI, private sector, WRA with industry capacity expansion and are sufficiently insulated from groundwater sources 3.1.2.2 Reduce the environmental impact of trucking LAs, NWA, NEPA, JBI, MGD, MQAJ, private minerals sector 3.1.2.3 Ensure that practices associated with the NEPA, MGD, JBI, Justice system, JCF, NSWMA, handling, treatment, storage, transportation and MFPS, LAs, private sector, MQAJ disposal of hazardous waste are in conformity with best practice. 3.1.2.4 Maximize the benefits to accrue under the EU’s PCJ, MOE, private sector Emissions Trading Scheme (ETS) from the conversion to cleaner burning fuels 3.1.2.5 Develop cost-benefit assessments of new Private sector, NEPA, MGD, JBI, MQAJ, LAs environmental legislation and regulations 3.1.2.6 Establish appropriate buffer zones around NEPA, private sector, MGD, JBI, MQAJ, LAs, existing and planned mining and processing MOHE, WRA, NWA facilities based on best available practices and technology 3.1.2.7 Provide incentives to encourage introduction of MFPS, MOE, MEM, PCJ, NEPA, private sector, environmentally friendly technologies and MQAJ, OPM, JBI conservation projects 76 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 3.1.3.1 Develop scientifically sound procedures for MOAF, JBI, UWI, SRC, private sector controlling the uptake of cadmium by agricultural crops grown in bauxitic soil 3.1.3.2 Seek to limit dust exposure by actively exploring JBI, MQAJ, private sector, NEPA, LAs the prospect of transporting feedstock by pipeline in the form of a treated slurry 3.1.4.1 Encourage development and implementation of NEPA, MEM, MGD, JBI, JLI, MQAJ, private pollution prevention strategies in the sector sector, NSWMA 3.1.4.2 Conduct environmental audits of operations Private sector, NEPA, JBI, MQAJ, JLI 3.1.4.3 Encourage backward linkages using waste as Private sector, NEPA, JBI, MQAJ, JLI, PCJ, inputs including waste oil NSWMA 3.1.4.4 Develop environmental accounting procedures Private sector, NEPA, JBI, MQAJ 3.1.5.1 Develop and implement training programmes Private sector, NEPA, JBI, MQAJ for sector enterprises and employees in environmental best practices and sustainable development 3.1.5.2 Carry out public education to increase NEPA, MEM, MGD, JBI, MQAJ environmental awareness of minerals development stakeholders 3.1.6.1 Consolidate environmental regulatory OPM, NEPA, MGD, JBI responsibilities for the sector (e.g. along the lines of the US EPA) 3.1.6.2 Establish clear and consistent framework of OPM, NEPA, MGD, JBI environmental standards, regulations and guidelines in collaboration with stakeholders 77 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS 3.1.6.3 Develop and extend multi-agency model of OPM, NEPA, MEM, MGD, JBI, JLI coordination between environmental regulatory agency and the sector developmental agencies (e.g. MOU between NEPA and JBI) based on capacities and clear lines of authority 3.1.6.4 Provide appropriate training for relevant staff in OPM, NEPA, MGD, JBI, JLI environmental regulatory and developmental agencies 3.1.6.5 Upgrade and maintain equipment on ongoing NEPA, MGD, JBI, JLI, UWI, SRC, MOAF, private basis (including dispersal modelling, SO2 sector monitors, particulate emissions, gas analysers) 3.2:- Adequately 3.2.1.1 Integrate use of mined-out sites with sequential Private sector, NEPA, LAs, MGD, JBI, MQAJ rehabilitated land use planning for mineral resources mined-out 3.2.1.2 Link end use to licensing conditions JBI, MGD, private sector, NEPA, LAs, MQAJ mineral bearing 3.2.2.1 Establish Restoration Committee for mining and MEM, MGD, Private sector, NEPA, LAs, JBI, lands quarrying operations MQAJ, MOAF, Forestry Dept., WRA 3.2.2.2 Strengthen penalties for non-compliance to MGD encourage self-monitoring 3.2.3.1 Fully determine types of dry limestone ecologies NEPA, MOAF, Forestry Dept., MGD, JBI, JLI, UWI 3.2.3.2 Determine types of plant species that can be NEPA, MOAF, Forestry Dept., MGD, JBI, JLI, successfully re-introduced into each type of UWI ecology 3.2.4.1 Determine feasibility of increased use of mined- MEM, MGD, Private sector, NEPA, LAs, JBI, out sites for non-toxic solid waste disposal, 78 | P a g e OUTCOMES ACTIONS RESPONSIBLE AGENCIES AND TIME-FRAME STAKEHOLDERS rainwater harvesting, recreation, tourism, real MQAJ, MOAF, Forestry Dept., WRA estate development and other uses 3.2.5.1 Develop alliances with tertiary and research NEPA, UWI, SRC, JBI, MGD, NCU, UTech, CASE, institutions for student-led research projects on biodiversity surveys in known reserve areas 3.2.5.2 Secure technical assistance from international NEPA, UWI, SRC, JBI, MGD, NCU, UTech, CASE, development partners (IDPs) for pre-mining NEPA, PIOJ biodiversity surveys 79 | P a g e MONITORING AND EVALUATION FRAMEWORK The Ministry of Energy and Mining will be accountable for monitoring and evaluating the implementation of this Policy based on the guidelines of the Cabinet Office. The proposed indicators outlined in this policy represent the foundation of a results-based monitoring and evaluation system to ensure that its six goals are achieved. This will, in turn, contribute to the achievement of the related goals as set out in Vision 2030 Jamaica - National Development Plan. A continuous programme for monitoring and evaluation, conducted by relevant stakeholders from public and private sectors, will be implemented. The responsible Ministry, currently the Ministry of Energy and Mining, will conduct broad stakeholder consultations periodically to review and assess the effectiveness of the Policy using the indicators identified below as a guide. The results of the assessment, including recommendations, will be published in an annual report for submission to the Cabinet. PROPOSED INDICATORS The proposed indicators for the National Minerals Policy over the period 2010-2030 are presented in the table below. These indicators are the building blocks of the Monitoring and Evaluation programme. Targets will be set in collaboration with the key implementation partners. INDICATORS AND TARGETS – NATIONAL MINERALS POLICY 2010 – 2030 MINERALS SECTOR PROPOSED OUTCOME BASELINE PROPOSED TARGETS COMMENTS INDICATORS 2007 or Most 2012 2015 2030 current Percentage 14.2% 2-4% JBI notes that it is not able at this time to change in set a target for this indicator beyond 2012. exports earning from the bauxite industry (%) Average % 290 tonnes 50% Locally set by Ministry of Energy and change in value 80 | P a g e MINERALS SECTOR added outputs Mining of non-metallic minerals (lime, cement, whiting, etc.) Percentage change in exports earning from the Industrial Minerals Sector (%) Percentage 14.2% 2-4% change in US$ foreign exchange inflows of exports earnings from bauxite industry (%) Average % 290 tonnes Increase change in by 50% value-added outputs of non- metallic minerals (lime, cement, whiting, etc.) (%) Percentage of 70.0% ≥ 80% ≥ 85% ≥ total bauxite 95% used in the production of alumina (%) 81 | P a g e MINERALS SECTOR Total operating US$350.00 cost of production per ton of alumina (US$) Percentage of 66.00% mined and quarried lands rehabilitated (%) Other indicators to be considered for the monitoring and evaluation of this policy are listed below:  Use of fuel as a percentage of its annual output (fuel efficiency)  Community development initiatives as a percentage of royalties  Percentage contribution to GDP  Percentage of investments in the minerals sector as a percentage of total investments in the country  Level of FDI in the sector as a percentage of total FDI in the country  Percentage of employment in the sector as a percentage of total employment  Number of jobs created by the industry and the number of indirect beneficiaries  Percentage of ISO 14000 certified mining operations  Quality of water bodies, air, soil and biodiversity in mining areas  Number of geo-hazard maps developed annually  Amount of geological data updated, archived and protected annually  Number of exploration licences issued and renewed annually  Number of geological and resource assessment reports produced annually. 82 | P a g e APPENDICES 83 | P a g e

APPENDIX I - GLOSSARY Beneficiation A variety of processes whereby extracted ore from mining is reduced to particles that can be separated into mineral and waste, the former suitable for further processing or direct use. Ecosystem approach The integrated management of natural and manmade landscapes, ecological processes, physical and biological components, and human activities, designed to maintain the integrity of our ecosystem (Natural Resources of Canada, 1995). Extractive metallurgy The practice of extracting metal from ore, purifying it, and recycling it. Host community The location in which mineral exploitation activities occur. Metallogeny The study of the genesis of mineral deposits, with emphasis on their relationship in space and time to regional petrographic and tectonic features of the earth’s crust. Metallurgy A domain of materials science of materials engineering that studies the physical and chemical behaviour of metals, their inter-metallic compounds, and their alloys. Mineral An element or chemical compound that is normally crystalline and that has been formed as a result of geological processes. Mineral-bearing lands Lands, including areas covered by water, containing mineral resources of commercial value or which in future will have commercial value. Mineral deposit: A geologic occurrence of minerals in relatively concentrated form. Mineral Development Zone A declared area set aside for the concentration of mineral exploiting operations. Mineral exploitation 84 | P a g e The systems, processes and techniques through which mineral deposits are transformed into usable mineral commodities. It includes mineral extraction, processing (raw minerals or high value value-added products), transportation and sale for commercial purposes. It also includes recycling and rehabilitation of mined areas. Mining The extraction of valuable minerals or other geological materials from the earth, usually, but not always, from an ore body, vein, or seam. In a wider sense, it can also include the extraction of petroleum, natural gas and water, and may be defined as the activity, occupation, and industry concerned with the extraction of minerals. Quarrying A form of mining that is generally centred on the extraction of rocks or minerals at the Earth’s surface. Quarries are generally used for extracting building materials, including sand and gravel, limestone and dimension stone, and other relatively cheap and bulky minerals such as salt. They are usually shallower than other types of open-pit mines. However, there are instances in which a part of a quarry or an entire quarry is located underground. Sequential land-use The series of processes, planning and management systems which facilitate the orderly use of land for different purposes at different times. Sustainable development Development that meets the needs of the present without compromising the ability of future generations to meet their own needs (Brundtland Report, 1987). Sustainable mining development Financially viable mining development that takes place in an environmentally and socially responsible manner with sound governance that provides benefits that last beyond the life of the mine to the communities where mineral development, production and transportation take place (World Bank). 85 | P a g e

APPENDIX II - MINERALS AND MINERAL-BASED PRODUCTS The Minerals Industry is a conglomeration of activities geared at utilizing mineral resources, and producing raw minerals and value-added mineral products consumed by various sectors of the economy. Jamaica’s known mineral resources can be grouped in the following four categories:  Metallic minerals: copper, gold, silver, etc.  Industrial minerals: bauxite, clay, dolomite, gypsum, limestones, marble, sand and gravel, shale, silica sand, volcanic rocks, etc.  Fossil fuels: peat, petroleum, etc.  Semi-precious minerals The uses of minerals found in Jamaica are shown in the table below. MINERAL AND MINERAL- USES BASED PRODUCT Bauxite Transportation, Construction; Containers, Consumer durables, Mechanical equipment, Packaging, Pipes and tubes, Refractory and Abrasives, Electrical transmission components, etc. Gold Jewellery, Decorative articles, Dentistry, Electronics Marble (Geological) Slabs: counter tops, monuments, cladding, furniture, tiles (Commercial) Tiles: flooring, wall Limestone (Chemical and Industrial):Industrial lime, Grounded Calcium Carbonate, Precipitated Calcium Carbonate, Quicklime, PVC pipes, Adhesives, Fertilizer Hydrated Calcium Carbonate (calcium hydroxide) (Construction) Aggregates, Construction blocks, Dimension stones Refractory, Agriculture, Environmental Dolomitic Limestone Refractory blocks, Iron and steel manufacturing, Magnesium metal, Chemicals Sand and Gravel Construction, Filtration, Concrete blocks, Ready mix concrete, Glass, Filler, Abrasives Volcanic Rocks Cement , Dimension stone, Construction aggregates, Tiles, Slabs, Cladding material Bonding Agents Cement, Grout, Thin-set, Lime-based mortar, Dry wall, Ceiling material, Construction-ready cement mix: cement with sand and gravel Clay Tiles, Art work, Ceramics, Drillers’ mud, Beauty products. Gypsum Construction, Cement, Agriculture, Filler Shale Cement Semi-precious minerals Jewellery, Decorative articles 86 | P a g e

APPENDIX III – MINERAL RESOURCES IN JAMAICA Clay 3 ESTIMATED RESOURCE D DEPOSIT TYPE E DEPOSIT LOCATION PARISH (Million Metric Tonnes) Alluvial Deposit Frome Plains Westmoreland 152.4 Alluvial Deposit Black River Valley St. Elizabeth 0.508 Alluvial Deposit Holland St. Elizabeth 0.254 Alluvial Deposit Frenchman’s St. Elizabeth 0.03 Alluvial Deposit Cow Market St. Elizabeth 0.304 Alluvial Deposit Nassau and Essex Valley St. Elizabeth 2.54 3 Inferred Estimate of Total Clay Resources = 158.9 million metric tones. Source: Bailey, B. V. (1970) Jamaican Clay Deposits, Economic Geology Report, Geological Survey Division. 87 | P a g e Alluvial Deposit Bog Walk St. Catherine 2.15 Alluvial Deposit Cave Valley St. Ann 0.762 Alluvial Deposit Liguanea St. Andrew Unknown Residual Deposit Above Rocks St. Andrew Unknown Residual Deposit Golden River St. Andrew 0.002 Hydrothermal Deposit Jobs Hill St. Mary 0.007 GYPSUM 4 DEPOSIT NAME 90% GYPSUM 80% GYPSUM 70% GYPSUM ANHYDRITE Brooks 1,299,770 mt 1,524,200 mt 1,645,100 mt 3,097,400 mt Av. Grade 94.29% 92.89% 91.66% 22.55% Bito 1,539,400 mt 2,060,700 mt 2,229, 900 mt 2,154,600 mt Av. Grade 93.98% 92.43% 91.22% 35.79% Halberstadt 3,663,500 mt 3,668, 600 mt 3,688,600 mt 2,366,900 mt Av. Grade 93.49% 93.44% 93.44% 11.97% Total Reserves 6,502,600 mt 7,273,500 mt 7,563,600 mt 7,618,900 mt Wtd. Av. Grade 93.76% 93.03% 92.39% 23.00% Life (Years) 33 36 38 4 Source: Jamaica Gypsum Ltd (Technical Reports – Mines and Geology Division /Jamaica Bauxite Institute) 1957 – 1980. A recent exploration project by a local company has generated information which indicates the presence of a much larger gypsum reserve than stated here. 88 | P a g e HEAVY METALS/MINERALS/BLACK SANDS 5 DEPOSIT NAME TOTAL SAND ESTIMATE TOTAL IRON TOTAL TITANIUM OXIDE Alligator Pond 3,356,640 mt 241,678 mt (7.2%) 46,267 mt (1.4%) (Western Extension) Alligator Pond 11,249,280 mt 1,723,680 mt (15.3%) 308,448 mt (2.74%) (Eastern Extension) Sand Hill Deposit 1,767,040 mt 277,213 mt (15.67%) 59,194 mt (3.12%) TOTAL 16,372,960 mt 2,242,571 mt 413,909 mt Additionally, there are some 500,000.00 mt of silica sands in the Hodges, Luana and Punches areas of St. Elizabeth. CALCAREOUS DOLOMITE/DOLOMITIC LIMESTONE 6 Known Dolomitic Limestone Resources DEPOSIT NAME PARISH MgO RANGE CaCO3 RANGE ESTIMATED RESOURCE Stewart Bay/White Bay Trelawny 0.49% - 19.64% 58.94% - 99.33% 2.632 billion mt Port Henderson St. Catherine 17.99% - 21.7% 32.16% - 35.04 150 million mt 5 Source: Geddes, A.J.S. (1975) Preliminary Study on Black Sands Deposits of Southern Manchester, Mines and Geology Division, Kingston. 6 Source: Mineral Resources of Jamaica, Bulletin No. 8, 1981, Mines and Geology Division, Kingston. NB: Total dolomite reserves currently unknown. 89 | P a g e SKID RESISTANT AGGREGATES 7 DEPOSIT NAME DEPOSIT LOCATION RESERVES Bito Ramble St. Andrew/St. Thomas 122 million metric tonnes (Confirmed) Approx. 1 billion metric tonnes (Inferred) Lottery St. James 12.6 million metric tonnes Tom Spring Hanover 11.5 million metric tonnes Nutfield St. Mary 14.64 million metric tonnes LIMESTONE (CALCIUM CARBONATE - WHITING GRADE) Total reserves of whiting grade limestone deposits are yet to be completely quantified. An inferred resource estimate of 11.15 billion tonnes of high quality whiting grade limestone is theorized to exist within the island. LIMESTONE (CALCIUM CARBONATE – CHEMICAL, INDUSTRIAL, METALLURGICAL GRADE) Total reserves of industrial, chemical and metallurgical grade limestone deposits are yet to be quantified. An inferred resource estimate of 57.5 billion metric tonnes of high quality limestone for chemical, industrial and metallurgical applications is theorized to exist within the island. 7 Source: Phase 1 - Skid Resistant Aggregates of Jamaica, Bulletin No. 13, Economic Minerals Unit, Mines and Geology Division, Kingston. Total known reserves currently approximately 160 million metric tonnes. N.B: Project ongoing with two other potential reserves being evaluated. 90 | P a g e ALLUVIAL SAND AND GRAVEL DEPOSIT EXTRACTION DEPOSIT LOCATION ESTIMATED REPLENISHMENT RATE 8 NAME RATE (2004) Rio Minho9 Clarendon 24 million mt (extreme flood events) 352,272 mt 29.8 million mt (small flood events) Yallahs10 St. Thomas 17.1 million mt (extreme flood events) 915,002 mt 24 million mt (small flood events) Rio Grande Portland unknown 14,348 mt Morant River St. Thomas unknown 13,446 mt Wagwater St. Mary/St. Andrew unknown 215,167 mt River Rio D’Oro St. Catherine unknown 4,334 mt Dry River St. Mary unknown 17,796 mt Rio Pedro St. Catherine unknown 3,922 mt Flint River St. Mary unknown 1,011 mt SUMMARY OF MARBLE DEPOSITS 10 ESTIMATED RESOURCE LOCATION PARISH COLOUR (mt) Braziletto Clarendon off-white, beige 50 Rodon Store Clarendon variety of brown, beige 20 Thatch Pen Clarendon off-white, beige 4 Cave Valley Hanover off-white, beige, variety of brown - 8 Estimated replenishment rate over a ten year period. 9 Sediment Budget Resource Estimate (SEBRA) Project, Technical Report, N. Miller, 2004. Source: Mines and Geology Division. 10 Source: Jamaica Marble, Bulletin No. 12, Mines and Geology Division, 1998. 91 | P a g e ESTIMATED RESOURCE LOCATION PARISH COLOUR (mt) Cuckold Point Manchester cream-beige to brown, pink 50 Troy Manchester cream-beige, pink, brown 50 Chepstowe Portland grey and black 10 Mavis Bank St. Andrew white, grey and black 10 Lumsden St. Ann variety of brown, pink 5 Above Rocks St. Catherine black and pink “granite” - Colbeck St. Catherine off-white, beige, pink 20 Fort Clarence St. Catherine off-white, beige 20 Hellshire St. Catherine off-white, pink, variety of brown 50 Paul Mountain St. Catherine cream, pink 10 Point Hill St. Catherine off-white, beige, pink, variety of brown, yellow 20 Redground St. Catherine variety of brown, yellow, pink 5 Flower Hill St. James off-white, pink 5 Garbrand Hall St. Thomas grey, black and green 10 Greenfields St. Thomas green - Serge Island St. Thomas red and white, green and maroon 3.5 Stewart Bay Trelawny white and off-white 8 92 | P a g e

APPENDIX IV – DISTRIBUTION OF MAJOR MINERAL RESOURCES IN JAMAICA N WINDALCO SML 162 SML 161 WINDALCO 93 | P a g e Prepared by The Industrial Minerals Unit 94 | P a g e 95 | P a g e 96 | P a g e Prepared by the Metallic Minerals Unit July 2003 97 | P a g e Prepared by the Metallic Minerals Unit July 2003 98 | P a g e Jamaica’s Mineral Springs Source: Mines and Geology Division The Minerals Springs of Jamaica. Bulletin No. 11 April 1987 99 | P a g e

APPENDIX V - MEMBERS OF THE NATIONAL MINERALS POLICY WORKING GROUP Ministry of Energy and Mining Oral Rainford (Committee Chairman) Ministry of Mining and Telecommunications Oral Rainford (Committee Chairman) Ministry of Environment and Lands Oral Rainford (Committee Chairman) Ministry of Mining and Energy Oral Rainford (Committee Chairman) Ministry of Agriculture & Lands Oral Rainford, Rohan Richards, Delroy Coley, Cecille Blake, Mohini Kiswani, Claudette Hall Ministry of Agriculture & Fisheries Tasha Nembhard Forestry Department Marilyn Headley Ministry of Local Government Rollin Alveranga, Leonie Barnaby, Lorna Perkins, Donna Blake Ministry of Industry, Technology, Energy and Conroy Watson Commerce Ministry of Tourism, Entertainment and Althea Johnson, Tina Williams Culture Ministry of Housing, Transport, Water and Melissa Nangle, Doreen Prendergast, Shernette Simpson Works Ministry of Finance and Planning Pauline Gregory-Lewis, Richard Murray, Shauna Trowers, Verdayne Wallace Ministry of Finance and the Public Service Sophia Lindsay National Environment and Planning Agency Betsy Bandy, Vivian Blake, K. Bradshaw, Tameka Clough, Gilroy English, Kirk Haughton, Andrea Jones-Bennett, Gina Sanguinetti-Phillips, Mines and Geology Division Clinton Thompson, Leighton Williams, Trevor MaCain, Ronald Edwards, Laurence Henry, Coy Roache Jamaica Bauxite Institute Yolanda Drakapoulos, Sonia Mitchell, Dianne Gordon, Ciaron Walker, Shanti Persaud Petroleum Corporation of Jamaica Gavin Gunter Ministry of Transport and Works Shernette Sampson Ministry of Health A. Graham Ministry of Foreign Affairs and Foreign Trade Deon Williams Forestry Department Owen Evelyn, Susan Watson Rural Physical Planning Division Vincent Campbell, Marvell Gray Office of the Cabinet Peter Myers, Jacqueline daCosta, Ann-Marie Bonner Office of the Prime Minister (Ministry of Arlene Nelson, Joy Douglas (Highway 2000 Development Development) Project), Sonia Hyman, Wayne Robertson Planning Institute of Jamaica Peter-Anne Donaldson, Christine Duncan, Richard Kelly Water Resources Authority Basil Fernandez, Lawrence Barrett Statistical Institute of Jamaica Janet Geoghagan-Martin, Philone Mantock National Investment Bank of Jamaica Beverley Robinson 100 | P a g e Jamaica Trade and Invest (JAMPRO) Ruth Crooks, Robert Kerr, Camille Savage, Ricardo Durrant National Land Agency Donovan Hayden National Works Agency Errol Mortley Jamaica Constabulary Force Keith Gardner, Charles Simpson Jamaica Bauxite Mining Limited Coy Roache, Bridget Spaulding Bureau of Standards Jamaica Hopeton Brown Rugby Jamaica Lime & Minerals Limited Norman Davis Private Sector Organisation of Jamaica Eleanor Jones Mining and Quarrying Association of Jamaica Anthony Morgan, Godfery Perkins, Keith Scott, Harry Ince, Norman Davis, Jennifer Ince Incorporated Master Builders Association Patrick Gordon Alpart Mining Venture Glen Lynagh, Frank Ross Mining Engineering Associates Audley Roberts Quarries Advisory Committee Carl Thomas, Godfrey Perkins, Ronal Edwards, Coy Roache, Oral Rainford, Clinton Thompson, Authur Geddes JAMALCO Christopher Bovell, Timothy O’Driscoll, Candice Stewart Jamaica Premix Donovan Matthews Silica Mining and Engineering Limited Harry Ince, Jennifer Ince West Indies Alumina Company Locksley Allen Jamaica Institute of Environmental Denise Forrest Professionals Somerset Enterprises Limited William W. Powell, Albert Powell Michael Black Limited Marjorie Paul Shaw’s Quarry Michelle Shaw 101 | P a g e

APPENDIX VI SUSTAINABLE DEVELOPMENT AND THE MINERALS SECTOR Sustainable development is one of a range of ideas about how humans should best interact with each other and the biosphere. Considering its importance in modern society and its possible impact on the environment, the minerals industry internationally has adopted the Brundtland definition of sustainable development: “…development that meets the needs of the present without compromising the ability of future generations to meet their own needs”. To harness this commitment within a strategic framework, the International Council on Mining and Metals (ICMM) adopted a set of sustainable development principles in May 2003 which pledged the international industry, including the industry in Jamaica, to: 1. Implement and maintain ethical business practices and sound systems of corporate governance. 2. Integrate sustainable development considerations within the corporate decision-making process. 3. Uphold fundamental human rights and respect cultures, customs and values in dealings with employees and others who are affected by our activities. 4. Implement risk management strategies based on valid data and sound science. 5. Seek continual improvement of our health and safety performance. 6. Seek continual improvement of our environmental performance. 7. Contribute to conservation of biodiversity and integrated approaches to land use planning. 8. Facilitate and encourage responsible product design, use, re-use, recycling and disposal of our products. 9. Contribute to the social, economic and institutional development of the communities in which we operate. 10. Implement effective and transparent engagement, communication and independently verified reporting arrangements with our stakeholders. Viability of the Minerals Industry. The minerals industry cannot contribute to sustainable development if companies cannot survive and succeed. This requires a safe, healthy, educated, and committed work force; access to capital; a social licence to operate; the ability to attract and maintain good managerial talent; and the opportunity for a return on investment. 102 | P a g e The Control, Use, and Management of Land. Mineral development is one of a number of often competing land uses. There is frequently a lack of planning or other frameworks to balance and manage possible uses. As a result, there are often problems and disagreement around issues such as compensation, resettlement, land claims of indigenous peoples, and protected areas. Minerals and Economic Development. Minerals have the potential to contribute to poverty alleviation and broader economic development at the national level. Countries have realized this with mixed success. For this to be achieved, appropriate frameworks for the creation and management of mineral wealth must be in place. Additional challenges include corruption and determining the balance between local and national benefits. Local Communities and Mines. Minerals development can also bring benefits at the local level. Recent trends towards, for example, smaller work forces and outsourcing affect communities adversely, however. The social upheaval and inequitable distribution of benefits and costs within communities can also create social tension. Ensuring that improved health and education or economic activity will endure after mines close requires a level of planning that has too often not been achieved. Mining, Minerals, and the Environment. Minerals activities have a significant environmental impact. Managing these impacts more effectively requires dealing with unresolved issues of handling immense quantities of waste, developing ways of internalizing the costs of acid drainage, improving both impact assessment and environmental management systems, and doing effective planning for mine closure. An Integrated Approach to Using Minerals. The use of minerals is essential for modern living. Yet current patterns of use face a growing number of challenges, ranging from concerns about efficiency and waste minimization to the risks associated with the use of certain minerals. Companies at different stages in the minerals chain can benefit from learning to work together Viability of the Minerals Industry The greatest challenge to embedding sustainable development in minerals companies is the difficulty of linking the concept to financial success. Most companies are struggling to establish a clear business case for pursuing this path. There is indeed a business case for addressing sustainable development concerns: lower labour and 103 | P a g e health costs, improved access to lenders and insurers, lower post-closure costs, and often reputational and market advantage. Some companies are undertaking specific measures to integrate the principles of sustainable development into corporate practice, but most are far from developing a detailed vision. Several tools are commonly used, including corporate strategy and policy, change management programmes, formal risk management procedures, implementation and auditing of internal objectives and targets, project appraisals, and core staff Minerals and Economic Development Minerals development is hard to justify if it does not bring economic benefits, particularly to countries and regions that lack alternative sources of development and are otherwise unattractive to foreign investors. In addition to gaining hard currency from taxes and royalties, benefits from mineral development should include employment, infrastructure such as roads and hospitals, linkages upstream to industries that supply goods and services or downstream to industries that process mineral outputs, and technology transfer. In some countries, however, mineral activities have not brought sustained economic development. Sudden wealth may have detrimental effects on social and political life, leading to or supporting corruption, authoritarian government, human rights abuse, or armed conflict. Source: International Institute for Environment and Development and World Business Council for Sustainable Development. 2002. Breaking New Ground - The Report of the Mining, Minerals and Sustainable Development Project. London: Earthscan Publications Limited 104 | P a g e

APPENDIX VII SCHEDULE OF PUBLIC CONSULTATIONS AND LIST OF PARISHES AND ENTITIES THAT WERE INVOLVED IN THE ISLAND-WIDE PUBLIC CONSULTATIONS ON THE DRAFT NATIONAL MINERALS POLICY IN 2008 PARISH VENUE LOCATION DATE TIME REMARKS Yallahs Baptist ST. THOMAS Yallahs Oct. 2, 2008 4:00 p.m. HELD Church St. Elizabeth Oct. 30, 2008 5:00 p.m. HELD Technical High Santa Cruz School ST. ELIZABETH ALPART Nain Nov. 27, 2008 10:00 a.m. HELD Sports Club Ridgemount MANCHESTER Mandeville Nov. 3, 2008 5:00 p.m. HELD United Church Central Manchester South Manchester Porus Porus Nov. 27, 2008 5:00 p.m. HELD Community Centre CLARENDON 5:00 p.m. Vere Technical Hayesl Nov. 12, 2008 HELD Hayes High School Lennon High 5:00 p.m. Mocho Area Mocho Nov. 13, 2008 HELD School KINGSTON New Kingston Dec. 4, 2008 5:00 p.m. HELD Hilton Hotel 105 | P a g e Ballroom Brown’s Town ST. ANN Brown’s Town Nov. 26, 2008 5:00 p.m. HELD Anglican Church Ewarton ST. CATHERINE Community Ewarton Dec. 3, 2008 5:00 p.m. HELD Centre St. Theresa Annotto Bay Dec. 8, 2008 5:00 p.m. HELD ST. MARY Catholic Church Hall Wesley Savanna-La- WESTMORELAND Dec. 11, 2008 5:00 p.m. HELD Methodist Mar Church REPRESENTATIVES OF THE FOLLOWING ENTITIES PARTICIPATED IN THE ISLAND- WIDE PUBLIC CONSULTATIONS IN 2008 1. Ministry of Mining and Telecommunications i. Hon. Laurence Broderick, Minister of State ii. Jamaica Bauxite Institute (JBI) iii. Jamaica Bauxite Mining Limited / Bauxite and Alumina Trading Company (JBM/BATCO) iv. Mines and Geology Division (MGD) 2. National Environment and Planning Agency (NEPA) 3. Forestry Department 4. JAMALCO Bauxite Company and Alumina Refinery 5. Mining and Quarrying Association of Jamaica (MAQJ) 6. Northern Jamaica Conservation Association (NJCA) 7. Manchester Parish Development Committee 8. St. Ann Parish Council 106 | P a g e 9. Westmoreland Chamber of Commerce 10. Social Development Commission 11. Mocho Citizens Association 12. St. Thomas Parish Development Committee 13. Windsor Research Centre 14. ALPART Council of Community Councils 15. ALPART 16. Petroleum Corporation of Jamaica 17. Jamaica Trade and Invest / JAMPRO 18. Thompson Town Anglican Church 19. Lennon High School 20. Mocho Tourism Committee 21. Osbourne Store Primary School 22. Mocho Community Development Council 23. Porus Community Development Council 24. Rocky Point Citizens Association 25. Corn Piece Citizens Association 26. E. B. Singh and Sons Limited 27. Sha-Gore Aggregates Limited 28. Maston Company Limited 29. Salt River Citizens Association, Clarendon 30. Chemical Lime Quarry 31. Jamaica Information Service 32. Clarendon Parish Development Committee 33. Mr. Winston Maragh – Councillor, Rocky Point Division 34. Island Special Constabulary Force 35. Mr. Luther Buchanan - Member of Parliament, Eastern Westmoreland 36. Jamaica Red Cross 107 | P a g e 37. Wesley Methodist Church 38. Green Produce Farm Limited 39. Clarke’s Quarry 40. Brown’s Town Primary School 41. St. Mark’s Church 42. Midland Ranch 43. Marcus and Bob Community League 44. Explosives Sales and Services Limited 45. The Gleaner Company Limited 46. CEMEX Jamaica Limited 47. Jamaica Environment Trust 48. St. Thomas Environmental Protection Agency 49. Michael Black Limited 50. Mincenco Limited 51. Irie FM 52. Caribbean Cement Company Limited 53. Carib Stone Industry Limited 54. Paul Mountain Quarry 55. PowerGen Limited 56. Office of the Prime Minister 57. Optimist Club of Cane River 58. National Water Commission 59. Environmental Solution Limited 60. Sunbeam Basic School 61. Llandewey Community Development Council 62. Excel Youth Club 63. Yallahs Primary School 64. Aeolus Valley All Age School Parent Teacher Association 108 | P a g e 65. Ogilvie’s Quarry 66. Southhaven Citizens Association 67. Scott’s Pass Development Committee 68. Porus Craft and Agriculture Association 69. Spring Grove United Youth Club 70. Porus Community Development Council 71. Restaurant Owken 72. Ewarton Community Committee 73. Cross Roads Citizen Association 74. US Peace Corps / ECOPAC 75. Mrs. Beverly R. Jobson – Councillor, Ewarton Division 76. Whitehouse Citizens Association 77. Jamaica Aggregates Limited 78. Annotto Bay Health and Environmental Association 79. Annotto Bay Baptist Church 80. Mr. Tarn Peralto – Member of Parliament, South East St. Mary 81. Dr. Maurice Guy - Member of Parliament, Central St. Mary 82. Enfield Citizens Association 83. Jamaica National Building Society 84. Cameron Quarry 85. Santa Cruz Police Youth Club 86. St. Elizabeth Technical High School 87. St. Elizabeth Community Development Fun 88. Manchester Environment Protection Association 89. Mr. Goyfield Harrison – Councillor, Knockpatrick Division 90. Manchester High School 91. Mandeville Police Youth Club 92. Manchester Development Area Committee 109 | P a g e 93. Asia Development Committee 94. Central Manchester Retirement Citizens Association 95. Trevor Dunkley & Company 96. Sangster and Walter Mining Company 97. Knox Community College 98. Java District Citizens Association Written comments were also received from the following persons who were unable to attend the consultations: 1. Mr. Learie Miller, Planning & Urban Design Dept., Town of Markham, Ontario, Canada 2. Mr. Craig Foreman 3 Ms. Claudette Hall, Land Administration and Management Division, Office of the Prime Minister. The following entities were also represented at a high-level inter-government agency ‘after public consultations’ consultation on April 2, 2009: 1. Ministry of Mining and Telecommunications: Mrs. Marcia Forbes (Permanent Secretary), Mr. Oral Rainford, Mr. Clinton Thompson, Mr. Robert Royer 2. Port Authority of Jamaica: Captain Hopeton Delisser and Mr. E. Marsh 3. National Works Agency: Mr. Roger Smith, Mr. Mark Richards 4. Ministry of Industry, Investment and Commerce: Mr. Douglas Webster, Ms. Deirdre Salmon 5. Cabinet Office: Mr. Peter Myers 6. Jamaica Bauxite Institute: Mr. Parris Lyew-Ayee, Dr. Phillip Baker Mrs. Sonia Mitchell, Mrs. Dianne Gordon, 7. Jamaica Bauxite Mining Limited: Mr. Coy Roache 8. Quarries Advisory Committee: Mr. Harold Brady 9. Ministry of Water and Housing: Ms. Melissa Nangle 10. Ministry of Finance and the Public Service: Ms. Rose-Marie Smith 11. Office of the Prime Minister: Mr. Orlan Simpson 110 | P a g e 12. Ministry of Tourism: Mr. Osbourne Chin, Ms. Tina Williams 13. Planning Institute of Jamaica: Mr. Richard Kelly 14. Ministry of Agriculture and Fisheries: Ms. Stacy Rose 15. Ministry of Transport and Works: Ms. Monifa Blake 111 | P a g e

APPENDIX VIII EXISTING LEGISLATION IMPACTING THE MINERALS SECTOR The main pieces of legislation governing the minerals sector are the Mining Act, the Quarries Control Act and their Regulations, the Minerals (Vesting) Act, and taxation and incentive legislation for the Bauxite and Alumina Industries. However, there are several other statutes that influence mineral exploitation in Jamaica. The most important of them are listed below. Mining Legislation Land Use Legislation The Minerals (Vesting) Act Crown Property (Vesting) Act The Mining Act Land Acquisition Act The Mining Regulation Land Development and Utilization Act The Petroleum Act Local Improvements Act The Quarries Control Act Town and Country Planning Act The Quarries General Regulations Environmental Legislation Taxation Legislation Beach Control Act Customs Act Endangered Species Act General Consumption Act National Solid Waste Management Authority Act Harbour Fees Act Natural Resources Conservation Authority Act Income Tax Act Air Quality Regulations Land Taxation (Relief) Act Public Health Act Land Valuation Act The Forest Act Property Tax Act The Jamaica National Heritage Trust Act Stamp Duty Act Watersheds Protection Act The Bauxite (Production Levy) Act The Bauxite and Alumina Industries 112 | P a g e Water Resources Act (Encouragement) Act Wildlife Protection Act The Bauxite and Alumina Industries (Special Provisions) Act The Cement Industry (Encouragement and Control) Other Operating Statutes Act Foreign Nationals and Commonwealth Citizens Transfer Tax Act (Employment) Act Labour Relations and Industrial Disputes Act International Agreements Shipping Act Free Trade Area of the Americas (FTAA) Standards Act World Trade Organization Agreement The Caribbean Community and Common Market Act European Partnership Agreement The Cargo Preference Act CARICOM The Export Industry (Encouragement) Act The Free Zone Act Wharfage Act 113 | P a g e

APPENDIX IX REFERENCES Bailey, B. V. 1970. Jamaican Clay Deposits. Economic Geology Report. Kingston: Geological Survey Division, Government of Jamaica Geddes, A.J.S. 1975. Preliminary Study on Black Sands Deposits of Southern Manchester. Kingston: Mines and Geology Division, Government of Jamaica Government of Jamaica. 1997. Policy for the National System of Protected Areas. Kingston: Natural Resources Conservation Authority International Institute for Environment and Development and World Business Council for Sustainable Development. 2002. Breaking New Ground - The Report of the Mining, Minerals and Sustainable Development Project. London: Earthscan Publications Limited International Organisation for Standardization (ISO)/International Electrotechnical Commission (IEC) 17000: 2004, Geneva Jamaica Gypsum Limited. 1980. Technical Reports – MGD/JBI: 1957 – 1980. Kingston: Jamaica Gypsum Limited Mine Monitoring Unit. 2000. Mining and the Economy. Kingston: Ministry of Mining and Energy, Government of Jamaica Minerals Policy and Development Division. 2006. A Programme to Develop the Industrial Minerals Sector: Integration with the Bauxite and Alumina Sector and other Sectors of the Economy. Kingston: Ministry of Agriculture and Lands, Government of Jamaica Mines and Geology Division. 2004. Sediment Budget Resource Estimate (SEBRA) Project. Technical Report. Kingston: Ministry of Land and Environment, Government of Jamaica Mines and Geology Division. 1998. Jamaica Marble, Bulletin No. 12. Kingston: Mines and Geology Division, Government of Jamaica Mines and Geology Division. 1981. Mineral Resources of Jamaica, Bulletin No. 8. Kingston: Mines and Geology Division, Government of Jamaica Mines and Geology Division Phase 1 - Skid Resistant Aggregates of Jamaica, Bulletin No. 13, Economic Minerals Unit, Kingston Minister of Public Works and Government Services Canada. 1996. The Minerals and Metals Policy of the Government of Canada: Partnerships for Sustainable Development. Ottawa: Ministry of Natural Resources Canada Ministry of Local Government and Environment. 2006. Watershed Policy for Jamaica (Final Draft). Kingston: Ministry of Local Government and Environment Planning Institute of Jamaica. 2009. Economic and Social Survey Jamaica 2007. Kingston: Planning Institute of Jamaica 114 | P a g e Planning Institute of Jamaica. 2007. Economic and Social Survey Jamaica 2005. Kingston: Planning Institute of Jamaica Planning Institute of Jamaica. 2005. Economic and Social Survey Jamaica 2004. Kingston: Planning Institute of Jamaica Planning Institute of Jamaica. 2004. Economic and Social Survey Jamaica 2003. Kingston: Planning Institute of Jamaica Statistical Institute of Jamaica. 2005. National Income and Product 2004. Kingston: Planning Institute of Jamaica 115 | P a g e 116 | P a g e