Environmental Regulations for the Minerals Sector, 2012

28. Environmental and social assessment instruments 29. Environmental and social management instruments 30. Consent to use land for mining purposes 31. Participation of the local community in sustainable development 32. Applications for an Environmental Licence 33. Review of Environmental licence applications 34. Projects involving Potential or actual Resettlement 35. Treatment of inadequate environmental and social assessments 36. Review of environmental and social assessments by the Executive Chairman PART V – OBLIGATIONS OF AN ENVIRONMENTAL LICENCE HOLDER 37. Updating of Environmental Management Plan and Social Impact Management Plan 38. Preparation of an Annual Environmental Report 39. Preparation of an Annual Social Report

40. Ongoing Monitoring of Environmental and Social Performance 41. Financial assurance 42. Forms of assurance 43. Presentation of the financial assurance 44. Temporary suspension of activities PART V1 - CLOSURE OF MINING ACTIVITIES 45. Mine closure obligations 46. Mine Closure Plan 47. Progressive closure 48. Default of closure obligations 49. Assets on termination of mineral right 50. Retention of fresh water dams 51. Alternative use of facilities 52. Review and modification of the closure plan 53. Monitoring and reporting 54. Closure certificate PART VII - ENVIRONMENTAL STANDARDS 55. Environmental quality standards 56. Effluent and emission quality standards 57. Competent authority 58. Progressive application of standards for on-going operations 59. Prohibition 60. Ambient water quality exceeding effluent quality standards 61. Effluent standards 62. Effluent dilution and mixing prohibited 63. Gaseous emissions and particulate matter quality standards 64. Regulation of other parameters 65. Control checkpoints and monitoring stations 66. Monitoring of effluents and emissions by the holder of an environmental licence 67. Sampling protocol II 68. Penalties PART VIII -– MONITORING AND INSPECTION 69. Environmental performance control and supervision 70. Control and supervision actions 71. Inspection visits at site 72. Random Inspection 73. Voluntary auditing by Category A and B environmental licence holders 74. Compulsory auditing on behalf of the Agency 75. Selection of Environmental Auditors and payment of costs PART IX ENFORCEMENT 76. Establishment of Grievance Mechanism 77. Enforcement measures established in the Act 78. Suspected environmental offences 79. Standing 80. Duties of the holder of a mineral right 81. Financial Assurance default PART X – ADMINISTRATION OF ENVIRONMENTAL LICENCES 82. Environmental licence and mineral right applications 83. Legal effect of environmental licence 84. Validity period and renewal of licences 85. Amendments to the EIA or ESIA 86. Environmental impact assessment licence cancellation, suspension, and ex officio modification 87. Recourse to appeal 88. Environmental licence register 89. Participation of stakeholders PART XI – MISCELLANEOUS 90. Application of Regulations on existing environmental license and mineral right holders 91. Information disclosure 92. Reconnaissance and exploration by the State 93. Non-commercial mineral investigations 94. Obligation in relation to a transfer of mineral right 95. Financial assurance for small-scale and large-scale mining licence holders 96. Cadastral survey map 97. Suspension or cancellation of mineral rights

98. Penalties FIRST SCHEDULE - PUBLIC PARTICIPATION AND CONSULTATION SECOND SCHEDULE - PROJECT SCREENING APPLICATION THIRD SCHEDULE - PROJECT SCREENING CRITERIA FOURTH SCHEDULE - PREPARATION OF A SCOPING REPORT FIFTH SCHEDULE – EIA STANDARDS FOR CATEGORY A AND B PROJECTS III SIXTH SCHEDULE - SIA STANDARDS SEVENTH SCHEDULE - ESIA STANDARDS EIGHTH SCHEDULE - ENVIRONMENTAL CODE OF PRACTICE NINTH SCHEDULE - MINE CLOSURE PLAN STANDARDS TENTH SCHEDULE - ENVIRONMENTAL MANAGEMENT PLAN STANDARDS ELEVENTH SCHEDULE - SOCIAL MANAGEMENT PLAN STANDARDS TWELFTH SCHEDULE - COMMUNITY DEVELOPMENT AGREEMENT AND PLAN STANDARDS THIRTEENTH SCHEDULE - CONSENT FOR THE USE OF LAND FOR MINING PURPOSES FOURTEENTH SCHEDULE - CONFIRMATION OF LOCAL COMMUNITY PARTICIPATION IN SUSTAINABLE DEVELOPMENT FIFTEENTH SCHEDULE - APPLICATION FORM FOR ENVIRONMENTAL LICENCE SIXTEENTH SCHEDULE - FINANCIAL ASSURANCE MECHANISM STANDARDS SEVENTEENTH SCHEDULE - CARE AND MAINTENANCE PROGRAMME STANDARDS IV Statutory Instrument No. – of 2011 Published -------, 2011 ENVIRONMENT PROTECTION AGENCY ACT, 2008 (Act No. 11 of 2008) and ENVIRONMENT PROTECTION AGENCY (Amendment) ACT, 2010 (Act No.7 of 2010) Environmental Regulations for the Minerals Sector, 2012 Short title In exercise of the powers conferred upon the Board by Section 62 of the Environment Protection Agency Act, 2008 as amended by the Environment Protection Agency (Amendment) Act, 2010, and in consultation with the Minister of Minerals Resources, the Board of the Environment Protection Agency Acthereby make the following Regulations. PART I - PRELIMINARY

1. Application These Regulations shall apply to body corporates and individuals applying for or issued minerals rights under the Mines and Minerals Act 2009.

2. Interpretation In these Regulations unless the context otherwise requires: “Act” means the Environment Protection Agency Act, 2008, as amended by the Environment Protection Agency (Amendment) Act, 2010; “Adverse environmental impact” means a negative effect on, or change in, the environmental quality resulting from mining activities; “Agency” means the Environment Protection Agency of Sierra Leone; “Applicant” means the individual or organization that has submitted, or is in the process of submitting an application to the Board for an environmental licence or other form of approval in relation to these Regulations; “Area of influence” means the area surrounding the project site that, through an environmental impact assessment,is determined to be affected by the project; “Auditing report” means a report from an environmental auditing firm summarizing the results and findings of an environmental audit to a mining operation; “Authorised officer” means an employee of the Agency duly authorised by the Board or Executive Chairman for a specified purpose; “Board” means the Board of Directors of the Agency; “Community Development Agreement” or “CDA” means the community development agreement(s) entered into pursuant to Section 140 of the Mines and 1 Minerals Act 2009 designed to promote sustainable development and to enhance the general welfare and quality of life of the inhabitants; “Community entitlement” means any legitimate claim from a member of the Primary Host Communityto the holder of mining permit for the implementation of any activities relating to the community development issues deriving from Section 140 (2) of the Mines and Minerals Act, 2009; “Community Liaison Committee” means the committee mutually established by the applicant or holder of a mineral right and local communities to serve as the main consultation body between the applicant, the holder of a mineral right and local communities for social issues; “Compensatory measures” means measures to be taken when mitigation is not feasible, cost effective or sufficient and the term “compensatory measures” also applies to residual adverse effects which cannot be entirely avoided; “Corporate social responsibility” means a form of corporate self-regulation and management whereby companies take responsibility for the environmental and social impact of their operations; “Director of Mines” means the authorised officer assigned responsibilities under the Mines and Minerals Act, 2009; “Displaced persons” means people living in the project area that must move to another location and the term “displaced persons” can be classified as persons 1) who have formal legal rights to the land they occupy; 2) who do not have formal legal rights to land, but have a claim to land that is recognized or recognizable under the national laws; or 3) who have no recognizable legal right or claim to the land they occupy, and also includes any person experiencing loss of asset, access to income whether of temporary or permanent nature due to the land acquisition process regardless of whether they are physically displaced or relocated or not; “Environmental best practice” means the application of internationally recognised standards and practices for the protection of the environment in mining activities; “Event of force majeure” means floods, landslides, riots and civil insurrection which prevent the holder of a mining right from performing its obligations under a contract as long as such event or circumstance was neither foreseen nor foreseeable at the commencement of the holder of the mining right’s mining activities and are out of its control and the holder of a mining right has taken reasonable care and diligence to mitigate such event or circumstance; “Environmental Impact Assessment” or “EIA” consists of an environmental impact assessment study and an environmental impact assessment report that focuses on environmental issues and describes the impacts that the proposed project is predicted to have on bio-physical conditions if implemented, together with proposals for avoiding, mitigation or compensation for adverse effects, and includesan ESIA(as the context may require); “Environmental Management Plan” or “EMP” means an environmental management plan produced as a result of an environmental impact assessment which shall describe how the applicant will implement all recommendations, commitments and obligations 2 designed to avoid, minimise, ameliorate or compensate for adverse environmental impacts identified in the relevant environmental impact assessment; “Environment” means land, air, water and all plants, animals and human beings living therein and the inter-relationship which exists among these or any of them; “Environmental assessment” means, in respect to a mining project, the process of undertaking an Environmental Impact Assessment in accordance with the Act, the Mines and Minerals Act, 2009 and these Regulations; “Environmental audit” means the process of examining, documenting and verifying that a mining operation is complying with environmental laws and regulations, as well as with the EIA goals and requirements; “Environmental impact” refers to the consequences of reconnaissance, exploration, small-scale and large scale operations on the environment including water, air, climate, land, land use and natural resources, geology, topography, soils, vegetation, wildlife and any cumulative effects on the above; “Environmental licence” means an environmental impact assessment licence issued under the Act; “Environmental and Social Impact Assessment” or “ESIA”for the purposes of these regulations is a report containing a simplified or limited Environmental Impact Assessment which incorporates sections on social impacts and is appropriate for projects that require more limited environmental and social analysis than an Environmental Impact Assessment as their negative effects on the environment and the community can be eliminated or minimized by simple and easy to implement measures; “Environmental and Social Management Plan” or “ESMP” means environmental and social management plan provided as part of an application for artisanal mining; “Environmental Offence” means an act that has directly harmed the environment or an infringement against an obligation of the Act or these Regulations; “Executive Chairman” means the Executive Chairman of the Board of Directors of the Agency; “Exploration” means operations carried out to search for minerals and mineral deposits and includes operations to test, the mineral bearing qualities of the land, define the extent and determine the economic value of mineral deposits; “Frivolous or Vexatious Claims” means any claim as determined by a court of law, which has been instituted maliciously and/or repetitively and without probable cause or has been lodged by a party or its attorney which are knowingly aware that such claim lacks merit, proper due diligence, legal argument and/or a sound factual justification. “Gazette” means the official newspaper or journal published by the Governmentcontaining amongst other things, copies of all newly enacted laws, regulations and statutory instruments; “Government” means the Government of Sierra Leone; 3 “Grievance Mechanism” means 1) a mechanism to receive and facilitate resolution of concerns and grievances about the holder of a mineral right’s environmental and social performance, 2) a mechanism for workers (and their organizations, where they exist) to raise reasonable workplace concerns, and 3) a mechanism to receive and address specific concerns about compensation and relocation that are raised by displaced persons or members of local communities and host communities. “Holder of a mining permit” means a person or company who has been granted a permit for dredging or developing radioactive mineral activities issued under the Mines and Minerals Act, 2009; “Holder of a mineral right” means a person or body corporate who has been granted a licence under the Mines and Minerals Act 2009; “Inspection”means the process entering land or buildings in order to examine, investigate, test, compare, analyse and duplicate documents, materials and data for the purpose of verifying compliance with these regulations and gather evidence; “Leadauthority” means the Agency, Minerals Advisory Board or government department acting as primary decision maker on the issue upon which a determination is to be made; “Large-scale mining” means the intentional mining of minerals in mechanised operations exceeding twenty metres in depth or involving the sinking of shafts, drilling of adits or other various underground opening exceeding twenty meters; “Life cycle of the project” means all the phases of mining activity. It comprises reconnaissance, exploration, development, exploitation, beneficiation, and closure; “Local community” means any community of the local population within the project’s general area of influence who are likely to be affected by the project and shall also include local populations who are either directly or indirectly affected by the project; “Mine Closure Plan” means a plan to which shall consist of proposals for managing the progressive restoration (where practicable) of worked-out mine areas and the ultimate closure and restoration or rehabilitation of the mine site upon cessation of working; “Minerals Advisory Board” means the Board constituted under the Mines and Minerals Act, 2009; “Mineral rights” means a right to explore for or to mine minerals by holding a valid reconnaissance licence, exploration licence, artisanal mining licence, small scale mining licence, or large scale mining licence, issued under the Mines and Minerals Act, 2009 or as the context requires; “Mining right holder obligation” means a commitment, condition or undertaking to act, or an agreement to omit from acting imposed upon the holder of a mining permit pursuant to these Regulations, the Act or the Mines and Minerals Act, 2009, which shall include any “community entitlement” which has been agreed between the Primary Host Community and the holder of a mining permit; “Mining activities” means those activities undertaken by a mineral right holder and in accordance with the restrictions and obligations of the various licences and shall include but shall not be limited to the following;- 4 a)mining, quarrying, extraction of sand, gravel, salt; (b) the establishment and operation of industrial plant used in mineral processing, power plants, smelting plants, and refineries; (c) construction of mineral export ports, maritime facilities and associated mineral transportation system from mine site or in-land deposits; and (d) construction of mineral concentrate depots or other facilities outside the licence area. “Monitoring” means the establishment of continuous or periodical procedures implemented by the holder of a mineral right, the Board or the Executive Chairman, to monitor, measure, sample, record and analyse all environmental and social aspects of mining activities and shall include dynamic mechanisms, such as inspections and audits, where relevant, to verify compliance and progress toward the desired outcomes and such monitoring should be adjusted according to performance experience and feedback; “Primary host community” means community as defined in Section 139(2) of the Mines and Minerals Act, 2009; “Project area” means the area covered by the mining right licence; “Reconnaissance licence” means a reconnaissance licence granted by the Director of Mines pursuant to Section 58 of the Mines and Minerals Act 2009, that does not exceed ten thousand square kilometres; “Resettlement Action Plan” or “RAP” means the comprehensive plan as further defined in any law relating to the resettlement of local communities; “Resettlement Committee” means an inter-governmental committee established pursuant to any law relating to the resettlement of local communities designed to review, approve, monitor and evaluate resettlement activities in Sierra Leone; “Resettlement Management Plan” or “RMP” means the framework broadly identifying the objectives, principles, policies, procedures, organizational arrangements and the timeframe and cost for dealing with resettlement, as further described in any law relating to the resettlement of local communities; “Resettlement Policy Framework” means the broad principles by which the applicant sets forth its proposals for managing all stages of resettlement as further described in any law relating to the resettlement of local communities; “Screening” means the process carried out by the Executive Chairman in consultation with the Boardby which a decision is taken on whether or not an EIA is required, and what type of EIA is appropriate for a particular project; “Scopingor scoping study” means the process of identifying the content and extent of the environmental information to be included within an Environmental and Social Impact Statement; “Scoping report” contains the findings and recommendations of a scoping study; 5 “SESA” or “Strategic Environmental and Social Assessment”or “Strategic Environmental Assessment” means a strategic environmental and social assessment for mining districts within which artisanal mining is a major activity; “Small-scale mining” means the intentional mining of minerals in mechanised operations not exceeding twenty metres in depth or involving the sinking of shafts, drilling of adits, or other various underground openings; “Social assessment” means in respect to a mining project, the process of undertaking a Social Impact Assessment in accordance with the Act, the Mines and Minerals Act, 2009 and these Regulations; “Social Impact Assessment” or “SIA” means a social impact assessment study and social impact assessment report which describes the full range of social, economic and health issues affecting local communities, predicts significant adverse social impacts and sets out proposals for avoiding, mitigating or compensating for adverse effects; “Social Management Plan” or “SMP” means a social management plan which describes how the applicant will implement all recommendations, commitments and obligations to avoid, minimise, ameliorate or compensate for adverse social impacts identified in the relevant social assessment instrument; “Social impact” means the consequences of exploration, small-scale, and large-scale operations in the way people organize their economic system, the way they live, work, relate to one another, organize themselves, and the way they develop and share values, attitudes, beliefs, institutions, and perceptions of their surroundings, including other people and the biophysical environment; “Stakeholder” means any persons or groups that are directly or indirectly affected by a project as well as those that may have interests in a project and/or the ability to influence its outcome either positively or negatively and the term “stakeholders” include locally affected communities and individuals and their formal and informal representatives, government, politicians, religious leaders, civic organisations, and other groups with special interests, the academic community, employees, their families and employee representatives, other businesses, financiers, shareholders and joint venture partners. “Sustainable development” means the pattern of use of natural resources that meets the needs of the present generation without compromising the ability of future generations to meet their own needs; PART II - AUTHORITY AND ADMINISTRATION

3. Role of the Agency (1) Pursuant to Section 24(1), Sections (e) and (f) of the First Schedule and Sections (a), (c) and (e) of the Second Schedule of the Act and Section 176 (3) of the Mines and Minerals Act 2009, the Environment Protection Agency is the Lead Authority on environmental and social matters related to the issuance and administration of environmental licences for mining activities, including reconnaissance, exploration, artisanal mining, small scale mining, large scale mining, dredging and radioactive substances mining. 6 (2) In its capacity as Lead Authority, the Agency is in charge of; (a) regulating, coordinating and monitoring all environmental and social aspects associated with mining activities at all and any of its stages; (b) granting environmental licences as provided by the Act and these Regulations; and (c) the enforcement of environmental and social laws and regulations and the imposition of sanctions in relation thereto. (3) All administrative procedures related to environmentalprotection in mining activities shall be filed before and decided by the Authorised Officer.

4. Legal immunity No member of the Board shall be held civilly or criminally responsible for any decision on any environmental matter taken in good faith and in compliance with his or her office duties and the procedures set forth in the Act and these Regulations and brought to his or her attention.

5. Role of the a mineral right holder (1) Pursuant to Section 38, Section 131 (1) and (2), Section 132 and Section 140 (1) (f) of the Mines and Minerals Act 2009, a holder of a mineral right is required to: - (a) conduct its operations in accordance with the laws, regulations and guidelines of the Government; (b) ensure that its actions and operations in relation to the Local Community and the Primary Host Community comply with all international human rights instruments to which Sierra Leone is a party at any time; (c) conduct consultations and negotiations with displaced persons and affected communities in good faith and in an open and transparent manner; (d) facilitate the formation of a Community Liaison Committee, and based on an agreed budget fund its basic operations, including transport costs for members to attend meetings and subsistence allowances for those travelling to meetings; and (e) prepare and implement a Resettlement Management Plan in instances of known or potential involuntary displacement caused by mining activities.

6. Role of Community Liaison Committee (1) For the purposes of Section 140 (1) (f) of the Mines and Minerals Act 2009. a Community Liaison Committee will be formed during the period in which the mineral right holder is undertaking a Social Impact Assessment to engage with communities, stakeholders, individuals, potentially displaced persons, and where relevant local communities who hold property or access rights to lands located within an area targeted for acquisition by the mineral right holder. (2) The Community Liaison Committee shall;- (a) represent the views of its constituents on all social matter with the mining right holder regarding compensation; and 7 (b) report back to its constituents on all matters, decisions and key dates addressed and identified within the meetings of the Community Liaison Committee. (3) Members of the Community Liaison Committee shall comprise;- (a) the chair nominated by the community and approved by the mineral right holder who is not a local or Paramount Chief; (b) a representative of a local and Paramount Chief; (c) 4 representatives of thelocal community; (d) a representative of Civil Society who shall be appointed from local interest groups proposed by the community, such as, for example, teachers, workers’ unions, health practitioners, women’s enterprises (e.g. farming / beekeeping cooperatives) etc.;and (e) a representative of the District Assembly or Local Government, provided that, the Community Liaison Committeeshall have at least two female members. PART III - ENVIRONMENTAL AND SOCIAL MANAGEMENT PRINCIPLES AND ACCOUNTABILITY

7. Application of principles (1) The Board shall, in accordance with its legal mandate, abide by the principles defined in Sections8, 9, 10, 14, 15 and 16 of these Regulationson all matters related to environmental and social management of proposed or on-going mining activities. (2) Any other authority whether administrative or judicial, shall apply these same principles whenever its participation, intervention or decision on the above indicated matters is required under applicable laws or regulations.

8. Sustainability principle All mining activities shall be carried out in a sustainable manner by minimizing or eliminating negative environmental and social adverse impacts in accordance with the provisions relating to environmental impacts contained in Section 132 (1) of the Mines and Minerals Act 2009 and those relating to social impacts contained in Section 133 (1) (b) (xii) and (xiii) of the same.

9. Polluter pays principle (1) In accordance with the principles of international environmental law and the provisions of Section 132 of the Mines and Minerals Act 2009, the cost of pollution avoidance, prevention, control, remediation and compensation shall be borne by the polluter. (2) For the avoidance of doubt, this principle shall be applicable to any kind of environmental or social impact derived from the development, construction, operation and management of mining activities. 8

10. Precautionary principle (1) In accordance with Sections 131 and 132 of the Mines and Minerals Act 2009, when a mining activity raises threats of serious or irreversible harm to public health and/or the environment, the lack of full scientific certainty of a detrimental outcome shall not be used as a reason for postponing precautionary cost-effective measures to prevent damage to human health or environmental degradation. (2) The burden of proof in relation to the precautionary principle resides with the holder of the mining rights.

11. General duty to protect the environment and legal responsibility (1) The holder of a mineral right shall be responsible for the environmental and social impacts of their activities, as well as for managing these impacts. (2) Pursuant to Sections 123(1), 126(1) and 132(1) of the Mines and Minerals Act 2009, every holder of a mineral right shall carry on its operations in a manner that is reasonably practicable in such a manner as to prevent, minimize, manage and mitigate any adverse environmentalimpact including but not limited to pollution resulting from such operations and any adverse social impact. (3) Notwithstanding Section 62 of these Regulations, the holder of a mineral right shall be subject to the legal obligation to keep emissions and effluents resulting from its operations under the maximum level of pollutant concentration permitted by these Regulations and they shall manage and control residues, wastes, toxic substances and other contaminants in order to ensure that they will not cause adverse effects on the environment and public health.

12. General duty to protect communities and those affected by mining (1) Pursuant to Sections 32, 35, 37, and 38 of the Mines and Minerals Act 2009, the holder of a mineral right shall respect the surface rights of those within and in close proximity to a mining area including;- (a) obtaining consent from lawful landowners and occupiers prior to entering lands and commencing exploration or other mining activities; (b) wherever possible, allowing lawful landowners and occupiers to graze livestock and cultivate land; (c) paying fair compensation for land use and disturbances; and (d) where necessary, provide a resettlement option which is equivalent to or better than their current living environment.

13. Obligation to implement environmental and social management instrument All environmental and social management instruments shall be consistent with the general principles established in Section 11, and any ambiguity contained in the relevant instrument shall be resolved in favour of an interpretation that better implements these principles. 9

14. Access to information (1) Pursuant to the Act and Section 133 (3) of the Mines and Minerals Act 2009, all local communities shall have access to information held by the Minerals Advisory Board and the Board concerning the environmental and social effects of proposed or on-going mining activities. (2) The Board and the Minerals Advisory Board will make efforts to raise awareness in communities regarding the existence and content of communities’ rights to access information relating to the social, environmental and economic impact of Mining Activities. (3) The holder of a mineral right shall make all approved Environmental Impact Assessments, Social Impact Assessments, Environmental Management Plans and Social Management Plans available on its official website free of charge.

15. Public participation (1) All local communitiesand the Primary Host Community shall have the opportunity to participate in consultations relating to environmental and social matters in accordance with Sections 133 (2) (a) and 140 (1) (f) of the Mines and Minerals Act 2009 and mineral right holders shall adhere to the following principles when applying such provisions; (a) all information provided is transparent and honest; (b) there is no discrimination on the grounds of race, sex, ethnicity, culture, socioeconomic status or political views; (c) cultural diversity, including values, customs, and the traditions of individuals and communities are respected; (d) information is communicated in the language most commonly used by the affected parties, in a clear and simple to understand structure; (e) local needs and circumstances are taken into consideration; (f) all sectors and interests of society are well represented, including women, the elderly and youth; (g) there is no discrimination based on any of the grounds contained in international human rights legislation; and (h) joint-problem solving is promoted through continuous dialogue and local traditions. (2) The Executive Chairman or Authorised Officer shall facilitate and encourage public awareness and participation by ensuring that environmental licence and mineral right holders make information on the environmental and social impact of proposed and ongoing mining activities widely available. (3) The Executive Chairman or Authorised Officer shall where practicable, make all approved Environmental Impact Assessments, Social Impact Assessments, Environmental Management Plans and Social Management Plans available on the Agency’s website. 10

16. Public consultation (1) Pursuant to Section 133 (2) (a) of the Mines and Minerals Act 2009, consultation with key stakeholders shall be mandatory from the earliest stages of a mining project throughout miningoperations and mine closure. (2) Public consultation and participation in reconnaissance, exploration, small-scale, and large-scale mining shall observe the following rights of people; (a) local communities have the right to receive and access public information in a timely and transparent manner; (b) local communities have the right to participate responsibly in decision-making processes pertaining to mining projects that affect their interests, provided that they shall not pursue any Frivolous or Vexatious Claims; (c) local communities have the right to receive copies of the social management plan at no cost and the applicant will make efforts to raise awareness within the community about the contents of the plan; (d) local communities may monitor the implementation of provisions contained in the social management plan, provided that such monitoring shall in no way impede the applicant from fulfilling its obligations under these Regulations; and (e) local communitieshave the right to denounce any matter concerning the violation of their civil and human rights. (3) Recognising the differences between mineral rights, applicants for an environmental licence shall engage in consultation with all relevant stakeholders as early as possible and, at a minimum, prior to its application for an environmentallicence to the Board.

17. Joint and several liability In accordance with Section 133 (7) of the Mines and Minerals Act 2009, where two or more persons constitute the holder of a mineral right, those persons are jointly and severally liable for the payment of all costs, damages and/ or indemnitiesarising from any adverse environmental impact and social impact (which shall include any human rights violations) resulting from their mining activities on the environment, the local community and the Primary Host Community.

18. Independent liability (1) The termination, expiration, suspension, cancellation, revocation, forfeiture, attachment, pledge, relinquishment, surrender, reduction of area, ceasing of operations, or any other matter affecting the status of the mining right licence or permit shall not prejudice any environmental or social obligations or liabilities incurred by the holder. (2) The rule established in subsection (1) shall also apply in the event of any variation, suspension, amendment or any other matter adversely affecting the status of the environmental licence. 11

19. Corporate environmental officer (1) The holder of, or applicant for, an exploration, small scale or large scale mining licence shall appoint a corporate environmental officer, and may also appoint a deputy corporate environmental officer, who shall be in charge of the environmental control of the mineral right holder´s mining activities, and shall be the primary contact person for the Board, the Executive Chairman, Authorised Officer and/or third parties for environmental and social purposes. (2) In the absence of an individual with appropriate skills the holder of, or applicant for, an artisanal mining licence shall assume the status and responsibilities of the corporate environmental officer. (3) The corporate environmental officer shall have a comprehensive knowledge of the characteristics of the mineral right holder´s mining activities, and shall collect, compile and manage and keep in good order for inspection purposes, up-to-date information on the mineral right holder’s environmental and social performance. (4) The holder of an exploration, small scale licence or large scale license shall, within thirty days of the publication of these Regulations in the gazette, inform the Authorised Officerof the appointment of the corporate environmental officer and if one is appointed a deputy corporate environmental officer. (5) The corporate environmental officer shall be obliged to inform the Authorised Officer of any major incidents that could or is giving rise to adverse environmental impact or social impact. PART IV – MINERALS SECTOR PROJECTS AND ENVIRONMENTAL AND SOCIAL OBLIGATIONS

20. Environmental and Social procedures for non-invasive reconnaissance licences (1) Pursuant to Section 57 (j) of theMines and Minerals Act 2009, applicants for a reconnaissance licence who confirm in writing that their operations will have no adverse effects on the environment, local communities,any monument or relic in the proposed reconnaissance area, shall be exempt from applying for an environmental licence. (2) The confirmation indicated in subsection (1) shall be made under oath, and is legally binding on the applicant.

21. Environmental and social procedures for invasive reconnaissance licences (1) Applicants for a reconnaissance licence who, in accordance with Section 64 of the Mines and Minerals Act 2009, intend to erect camps, temporary buildings, take timber or water from a lake or watercourse, or construct weirs, dams or other impoundments, or intend to use intrusive methods to collect geological information shall, as authorised by Section 176 (3) of the Mines and Minerals Act 2009, be required to apply to the Board for an environmental licence in accordance with Section 33 of these Regulations. 12 (2) Applicants for a reconnaissance licence whose operations are likely to cause disturbances to local communities through noise, vibration physical obstruction or other adverse social impacts shall, as authorised by Section 176 (3) of the Mines and Minerals Act 2009,be required to apply to the Board for an environmental licence in accordance with section 33 of these Regulations. (3) Where a holder of a reconnaissance licence has not applied for an environmental licence and has been found to have adversely affected the environment or any monument or relic or caused disturbance to local communities, theyshall be required to promptly report such incident to the Boardand shall be liable to a fine. (4) Provisions in subsections (1), (2) and (3) shall be applicable in the process of approval of proposed amendments to the programme of reconnaissance operations regulated underSection 67 of the Mines and Minerals Act 2009, as well as for applications for renewal of a reconnaissance licence pursuant Section63(3)8(a)(ii) of the Mines and Minerals Act 2009.

22. Strategic environmental and social assessment of artisanal mining areas (1) The Executive Chairman in consultation with the Board shall, within four years of these regulations coming to effect, coordinate the preparation of a Strategic Environmental and Social Assessments (SESA) for mining districts within which artisanal mining is a majoractivity. (2) AStrategic Environmental and Social Assessmentfor a mining district or group of districts shall consist of;- (a) a baseline description of the environmental, social and local economic conditions in the district; (b) an analysis of the existing artisanal mining practices within the area, including the number and ownership of existing licences, the physical extent of workings, the number of miners and dependants, the contribution to the local economy from mining activities and impacts of mining activities on other land uses; (c) a description of the nature and extent of adverse and beneficial environmental and social impacts, and an account of any restoration and rehabilitation work undertaken within the district; (d) a statement of prospects for further mining activities if extraction licences were to be granted; (e) a report on the opinions and attitudes of all stakeholders, including local communities; and (f) recommendations on the management of artisanal mining areas, including potential restrictions onactivities, the number of artisanal mining licences to be granted at any one time, and requirements for the treatment of abandoned mining areas and rehabilitation of all existing workings either progressively or on cessation of mineral extraction. (3) All Strategic Environmental and Social Assessments will be widely disseminated and submitted to the Minerals Advisory Board, the Agency and the Director of Mines. 13 (4) Strategic Environmental and Social Assessments which relate to a specific area will be submitted to the relevant district authorities for consideration in preparing community development agreements.

23. Environmental and social consideration in the licensing of artisanal mining (1) Applications for an artisanal mining licence issued under the Mines and Minerals Act 2009, shall be accompanied by a statement giving particulars of the likely effects of the proposed mining operations on the environment and on the local population as further described in Section 85 (2)(e) of the Mines and Minerals Act 2009 and as may be further defined in any related regulations. (2) The Director of Mines shall consider the relevant Strategic Environmental and Social Assessment recommendations and ESIS when determining whether to refuse or grant an artisanal mining licence in accordance with Section 86 of the Mines and Minerals Act 2009.

24. Project Screening Applications (1) Any applicant who wishes to undertake any of the projects or activities set out in the First Schedule of the Act, including exploration, small-scale mining and large- scale mining, shall submit a project screening application to the Executive Chairmanor its Authorised Officer to request determination of the project category for environmental and social assessment. (2) Notwithstanding Sections 12 and 21, all mineral activities falling under the First Schedule andSection 24 (e) and (f) of the Act shall be subject to this Section. (3) For the avoidance of doubt, mineral extraction shall include mechanical excavation, dredging, solution mining and the recovery of radio-active materials. (4) Project screening applications shall contain information;- (a) on the area of the intended project and information on its current uses and physical, biological and social environment; (b) on the nature of the project, the intended work plan and the anticipated implications on the environment and social conditions; and (c) specified in Section 133 (1) of the Mines and Minerals Act 2009. (5)Project screening applications shall be submitted using the form included in the Second Schedule of these Regulations. (6) Within fourteen days of the receipt of an application under (1) above the Executive Chairman or its Authorised Officer shall assign the applicant one of four categories (A, B, C or D) based on the environmental and social impact screening criteria found in the Third Schedule of these Regulations.

25. Project categorisation (1) The project screening application shall be reviewed by the Executive Chairman or authorised officer in order to;- 14 (a) identify the nature and scale of the environmental and social impacts that the proposed project is likely to produce; (b) determine the category of the project (A, B, C or D); (c) establish the environmental and socialassessment instruments that correspond to the project (Environmental Impact Assessment (EIA), Social Impact Assessment (SIA), Environmental and Social Impact Assessment (ESIA), or Code of Practice) as indicated in the chart below; and (d) establish the corresponding environmental and social management instruments that correspond to the project (Mine Closure Plan (MCP), Environmental Management Plan(EMP), Social Management Plan (SMP), Community Development Agreement (CDA), Resettlement Management Plan (RMP) as indicated in the chart below. (2) In assessing the project screening application, the Executive Chairman shall apply the criteria established in the Third Scheduleof these Regulations. (3) In accordance to Section 25(1) of the Act, the Executive Chairmanshall have a fourteen day period to complete the screening process and notify the applicant of its decision. PROJECT PROJECT ENVIRONMENTAL ENVIRONMENTAL IMPACT CATEGORY AND SOCIAL AND SOCIAL ASSESSMENT MANAGEMENT INSTRUMENT INSTRUMENT The project A EIA + SIA MCP will produce significant EMP adverse SMP environmental and social CDA impacts that are RMP likely to result in the need for resettlement. The project B EIA + SIA MCP will produce significant EMP adverse SMP environmental impacts with CDA (where required) moderate social effects not involving the need for resettlement The project will Simplified have moderated MCP environmental 15 and/or social C ESIA Combined impacts which EMP/SMP negative effects can be eliminated or minimized by simple and easy to implement measures. The project D Code of Practice does not involve Disclosure + Declaration significant environmental and/or social impacts. (4) The Authorised Officer shall keep a record of the screening decisions and supporting information, which shall be included in the register referred to in Section 90 of these Regulations.

26. Appeal against determination of Project Category (1) Any applicant submitting a Project Screening Application may appeal to the Board for reconsideration of the category determined by the Executive Chairman on payment of an additional fee to cover the administrative expenses of the appeal. (2) Where an appeal is upheld by the Board and a lower category is agreed the appeal fee shall be repaid to the applicant. (3) The period for consideration of any appeal shall be four weeks. (4) The decision of the Board shall be final and binding.

27. Preparation of a Scoping Report (1) For Category A and B Projects, the applicant shall submit a scoping report to the Executive Chairman or Authorised Officerin accordance with the Fourth Schedule of these Regulations. (2) The Executive Chairman in consultation with the Board shall review the Scoping Report and advise the applicant, within a period of 21 days from the date of submission, of any modifications to the scope of the assessment or additional information that may be required. (3) Applicants for a Category C Project are not required to submit a scoping report but may submit a draft of the ESIA to the Executive Chairman or Authorised Officerwith a request for guidance on any additional subject matter that may require to be covered.

28. Environmentaland social assessment instruments 16 (1) The environmental and social assessment instruments indicated in the chart in Section 25comprise the following;- (a) an Environmental Impact Assessment (EIA) pursuant to Section 26 of the Act and Section 131 (2) of the Mines and Minerals Act 2009 and as further stipulated in the Fifth Scheduleof these Regulationsconsisting of an EIA study and environmental impact assessment report thatfocuses on environmental issues and describes the impacts that the proposed project is predicted to have on bio- physical conditions if implemented, together with proposals for avoiding, mitigating or compensating for adverse effects; (b) a Social Impact Assessment (SIA)pursuant to Sections 112 (b) (v) and 133 (1) (b) (xii) of the Mines and Minerals Act 2009 and Sections (d) and (e) of the Third Schedule of the Act and as further stipulated in the Sixth Scheduleof these Regulationsconsisting of a social impact assessment studyand social impact assessment report which describes the full range of social, economic and health issues affecting host communities, predicts significant adverse social impacts and sets outproposals for avoiding, mitigating or compensating for adverse effects; (c) an Environmental and Social Impact Assessment (ESIA) as stipulated in the Seventh Schedule of these Regulationsconsisting of areportcontaining a simplified or limited EIA which incorporates sections on social impacts and health impacts and is appropriate for projects that require more limited environmental and social analysis than an EIA as their negative effects on the environment and the community can be eliminated or minimized by simple and easy to implement measures; (d) an Environmental Code of Practice as stipulated in Eighth Schedule of these Regulationsshall apply to all projects where the Board is satisfied, on the evidence presented by the applicant, that the project will not have significant environmental impacts. (2) Based on the Executive Chairman’s project categorisation referred to in Section 26 of these Regulations, the applicant will utilise the corresponding environmental and social management instrument in preparing an environmental licence application.

29. Environmental and social management instruments (1) The environmental and social assessment management instruments indicated in the chart in Section 25 of these of these Regulationscomprise the following; (a) a Mine Closure Plan pursuant to Section 140 (c) (iii) of the Mines and Minerals Act 2009 and as further stipulated in the Ninth Schedule, which shall consist of proposals for managing the progressive restoration of worked-out mine areas and the ultimate closure and restoration or rehabilitation of the mine site upon cessation of working; (b) an Environmental Management Planpursuant to Sections 115 (a) and 133 (1) (b) (xv) of the Mines and Minerals Act 2009 and asfurther stipulated in the Tenth Schedulewhich shall describe how the applicant will implement all 17 recommendations, commitments and obligations designed to avoid, minimise, ameliorate or compensate for adverse environmental impacts identified in the relevant environmental assessment instrument; (c) a Social Management Plan pursuant to Sections 112 (b) (v) and 133 (1) (b) (xiii) of the Mines and Minerals Act 2009 and as further stipulated in the Eleventh Schedule whichshall;- (i) describe how the applicant will implement all recommendations, commitments and obligations to avoid, minimise, ameliorate or compensate for adverse social impacts identified in the relevant social assessment instrument; (ii) include a community consultation and participation plan and a grievance management plan pursuant to Section 138, 139 and 140 (f) of the Mines and Minerals Act 2009; (iii) include a community development agreement as required under Section 140 of the Mines and Minerals Act 2009 and the applicant for an environmental licence shallinclude appropriate details of the planned agreement as specified in the Twelfth Schedule; and (iv) include a Resettlement Management Plan for the purposes of Section 38 (3) of the Mines and Minerals Act 2009.

30. Consent to use land for mining purposes (1) In accordance with Sections 32 and 78 (1) (f) and (g) of the Mines and Minerals Act 2009, the applicant is required to inform, consult with, and obtain the consent of landowners or rightful occupiers to use the land for mining purposes. (2) An essential prerequisite for the grant of an environmental licence is;- (a) clear evidence that the applicant is engaged in open and transparent negotiations for rights to use land; and (b) the implementation of appropriate procedures within the social assessment and management instruments to engage the local community and the Primary Host Community. (3) Applicants for an Environmental Licence shall complete the application form contained in the Fifteenth Schedule and submit this with their full application to confirm the status of any agreement(s) between the applicant and landowners or rightful occupiers of the land, which shall include details concerning compensation arrangements with landowners or rightful occupiers. (4) In considering the status of the applicants’ negotiations for access to land pursuant to Sections 35, 36 and 37of the Mines and Minerals Act 2009 and its relevance to social and community issues that affect the granting of an environmental licence, the Board or its Authorised Officer, will carry out prior consultations with the Minerals Advisory Board before determining the Environmental Licence. (5) Pursuant of Section 35(6) of the Mines and Minerals Act 2009, in the case that an agreement is not reached relating to the payment of compensation, the Director of 18 Mines, on the advice of the Minerals Advisory Board, shall determine the amount of compensation.

31. Participation of the local community in sustainable development (1) Pursuant to Sections 133 (2) (a), 138, 139 and 140 (f) of the Mines and Minerals Act 2009, the applicant shall engage the local community and the Primary Host Community at the earliest opportunity in order to encourage community ownership of sustainable development interventions. (2) The applicant shall ensure that participation is designed to; (a) identify all relevant social issues that could give rise to harmful or negative effects on the local community and the Primary Host Community; and (b) guide the identification of development priorities, joint planning, implementation, management, and monitoring of sustainable development projects. (3) Applicants for an Environmental Licence shall complete the application form contained in the Fifteenth Schedule and submit this with their full application to confirm that allsteps have been taken to address the issues listed in subsections (1) and (2) above. (4) In considering the status of the applicant’s programme and progress towards agreeing a Community Development Agreement and its relevance to social and community issues that affect the granting of an environmental licence, the Executive Chairmanor its Authorised Officer will carry out prior consultations with the Minerals Advisory Board before determining whether to grant the Environmental Licence.

32. Applications for an Environmental Licence (1) Applicants for an Environmental Licence shall; (a) complete and submit to the Executive Chairman or Authorised Officer, the application form contained in the Fifteenth Schedule of these Regulations specifying the project category and confirming which documents are contained within the application; (b) complete and submit to the Executive Chairman or Authorised Officer, the forms contained in the Fourteenth Schedulespecifying where and when the relevant documents have been placed on deposit for public inspection; and (c) submit to the Executive Chairman or Authorised Officer 3copies of each type of document specified in the application form contained in the Fifteenth Schedule of these Regulations.

33. Review of Environmental licence applications (1) The Executive Chairmanor Authorised Officer shall examine the application and confirm in writing within 14 days whether or not the required type and number of documents have been submitted relative to the project category. 19 (2) In the case of Category A and B Projects, the Board shall review the EIA and SIA and accompanying management instruments and approve or rejectthem within a period of twelve weeks from the date of submission, this may be extended if the Board requires clarifications from the applicant. (3) In the case of Category C Projects, the Board shall review the ESIA and approve it or reject it within a period of six weeks from the date of submission. (4) The Board shall only grant an environmental licence in relation to projects in Category A and B when it is satisfied that appropriate screening and review of the relevant application details and environmental and social management instruments have been conducted, and that any significant adverse environmental impacts and social impacts can be mitigated or ameliorated sufficiently enough to allow sustainable development of mining activities under the Act, these Regulations and Sections 132 (1) of the Mines and Minerals Act 2009. (5) For all applications for Category C Projects involving more minor environmental and social issues, the Board shall determine the environmental impact assessment licence by giving due weight to both environmental and social considerations as set out in an ESIA.

34. Projects involving Potential or actual Resettlement (1) A new inter-ministerial committee entitled the “Resettlement Committee” dealing with resettlement related issues shall be establishedin accordance with the provisions contained in any law relating to the resettlement of local communities and to further implement the objectives of Section 38 of the Mines and Minerals Act 2009. (2) Where a Category A Project application involves the potential for resettlement, the Executive Chairman or its Authorised Officer shall refer the SIA and the SMP to the Resettlement Committee for its consideration. (3) The Resettlement Committee shall review the SIA, the SMP and the RMP in accordance with the criteria set out in any law relating to the resettlement of local communities and make recommendations in accordance with the procedures described therein. (4) For a Category A Project involving potential resettlement the Board shall consider the SIA in the light of comments and recommendations provided by the Resettlement Committee.

35. Treatment of inadequate environmental and social assessments (1) Where an EIA, SIA or ESIA is returned to the applicant by the Board on the basis of inadequacy,the Board shall state its reasons and indicate what steps are required by the applicant to rectify the shortcomings within a period of 21 days as specified in Section 28(2) (b) of the Act. (2) In the circumstances outlined in (1) above, the application for an environmental licence shall be held in abeyance until the required corrections have been made and the relevant environmental or social management instrument has been resubmitted. 20 (3) In the event that the necessary corrections and additions outlined in (1) above are not addressed and/or the relevant document is not resubmitted within 21 days, the application for an environmental licence lapses. (4) The Board may agree to extend the deadline outlined in (1) to (3) at its discretion if it is presented with a reasonable case for the extension by the applicant.

36. Review of environmental and social assessments by the Executive Chairman (1) Following receipt of the application documents for an environmental licence the Authorised Officer shall widely disseminate and distribute the documents to local communities, raise awareness of its contents and seek comments in relation thereto. (2) The Authorised Officer shall disseminate notice to the public and the local community of all Category A, B and C projects through a variety of media which shall include radio broadcasts, posting details of the Category A, B or C project in local community halls or town halls where available, facilitate meetings with local community groups and/or disseminating information through civil society groups. (3) Members of the public and the local community shall be given fourteen days from the date of the last dissemination of information to submit written comments to theAuthorised Officer. (4) The Authorised Officer shall compile a comprehensive list of all comments received from public consultation which must provide details of the comments and who provided the same. (5) All documents submitted to theAuthorised Officer as part of an application for an environmental licence shall be reviewed by officers with the relevant technical skills, discipline and experience. (6) Where the subject matter referred to in (1) above cannot be covered bythe Executive Chairman or Authorised Officer, the Executive Chairman shall retain additional and appropriate expert advice. (7) The documents described in (1) above, together with a report of the internal evaluation and list of public comments prepared by an Authorised Officer and endorsed by the Executive Chairman shall be circulated to the Board at least five days prior to the planned Board meeting. (8) The Board may, by simple majority decision, either: (a) Approve the documents and application and request the Executive Chairman to grant an environmental licence, (b) Conclude that there are inadequacies in the assessments and return the application and documents to the applicant with the option of correcting and resubmitting them within 21 days. (c) Conclude that the scale of adverse environmental or social impacts is so great, and is incapable of being avoided, mitigated or compensated for, such that an environmental licence shall not be granted. (9) The quorum of the Board for any decision to grant a Category A or B environmental licence shall be two-thirds of appointed members. 21 PART V – OBLIGATIONS OF AN ENVIRONMENTAL LICENCE HOLDER

37. Updating of Environmental Management Plan and Social Impact Management Plan (1) Pursuant to Section 134 of the Mines and Minerals Act 2009, the holder of an environmental licence is obliged to prepare an Environmental Management Plan and a Social Impact Management Plan and shall review the contents of such plans on each anniversary of the commencement of works and shall update the plans to accommodate any changes that have occurred in the method of mining, areas of operation, or other activities that could affect environmental protection and ultimate restoration or rehabilitation of the affected areas. (2) An updated Environmental Management Plan and a Social Management Planshall be submitted simultaneously to the Director of Mines and the Board within one month of the anniversary of the commencement of works.

38. Preparation of an Annual Environmental Report (1) The holder of a mineral right shall prepare an annualEnvironmental Report in accordance with Section 134 of the Mines and Minerals Act 2009 and submit this report for monitoring purposes simultaneously to the Director of Mines and the Board. (2) The annual Environmental Report shall be prepared by the holder of the mineral right or its consultants and the authors of this report shall not subsequently be engaged in any form of independent auditing relating to the same licence area.

39. Preparation of an Annual Social Report (a) The holder of a mineral right shall prepare an annual social report in accordance with Section 134 of the Mines and Minerals Act 2009 and shall widely distribute and disseminate this report amongst the Local Community and submit copies of the same to the Minerals Advisory Board and the Board. (b) The annual social report shall be prepared by the holder of the mineral right or its consultants and the authors of this report shall not subsequently be engaged in any form of independent auditing relating to the same licence area.

40. OngoingMonitoring of Environmental and Social Performance The environmental licence holder shall include a schedule of theholder of the mineral right’s internal sampling and inspection programmes covering all areas of environmental and social monitoring as an appendix to the Environmental Management Plan and the Social Management Plan.

41. Financial assurance 22 (1) For Category A and B projects, the holder of a mineral right shall pursuant to Section 136 of the Mines and Minerals Act 2009, establish itemised costs for the restoration plan including all progressive restoration proposals and costs associated with the Mine Closure Plan prior to commencement of work in accordance with the principles contained in the Sixteenth Schedule relating to financial assurance. (2) Based on the outline costs which are to be agreed with the Board, the holder of the mineral right shall,prior to commencement of work provide financial assurances to the full value of the restoration, rehabilitation and remedial works contained within themine closure plan to the satisfaction of the Board. (3) Estimates of costs in (1) above shall be revised annually in the light of practical experience on the site and the level of financial assurance shall be adjusted accordingly pursuant to Section 136 (3) of the Mines and Minerals Act 2009. (4) For Category C projects, the holder of a mineral right shall provide the Authorised Officer with a budget of costs relating to the mine closure.

42. Forms of assurance (1) Pursuant to Section 136 (4) of the Mines and Minerals Act 2009, acceptable forms of financial assurance include a surety bond, a trust fund with pay-in period, an insurance policy, a cash deposit or annuities, or any combination of these, further details of which are contained in the Sixteenth Schedule (2) The financial assurance mechanism utilised for a specific project shall comply with the standards contained in the Sixteenth Schedule.

43. Presentation of the financial assurance (1) Where the financial assurance is not presented within the time period prescribed in (2) below, the environmental licence shall be suspended. (2) Where the mineral right holder fails to present the financial assuranceby the start- up date for the commencement of mining activities as notified by the construction contractor, the environmental licence shall be suspended pursuant to Section 34 (1) (ii) of the Act and the procedures contained in Section 136 of the Mines and Minerals Act 2009 shall apply.

44. Temporary suspension of activities (1) Where pursuant to Section 118 of the Mines and Minerals Act 2009, the holder of a mineral right wants to temporarily suspend its mining activities, it shall present a care and maintenance programme for approval bythe Board. (2) The care and maintenance programme shall be prepared in the format included in the Seventeenth Schedule. (3) The period of temporary suspension cannot be longer than two years and where mining activities are suspended for more than two years the holder of a mineral right shall enter into final closure and implement the closure plan as approved by the Board. 23 (4) The holder of the mineral right shall ensure that the financial assurance provided pursuant to Section 43 shall continue in full force and effect during any temporary suspension of mining activities. PART V1 - CLOSURE OF MINING ACTIVITIES

45. Mine closure obligations (1) A mineral right holder shall bring mining activities to a close at the end ofextraction and related activities, whether during the period of or on termination of its mineral right, by ensuring that the mine area is left in condition free of any adverse physical, chemical and biological effects, with no long term adverse environmental risks in the long term. (2) A mineral right holder shall leave the area of operations in a condition that facilitates future sustainable land use and ensures that rehabilitation does not become a burden to society after mining activities are over. (3) A mineral right holder’s obligations and liabilities shall continue until a closure certificate has been delivered pursuant to Section 54, provided that a mineral right holder’s obligations shall not be limited by the expiration of the mineral right nor with the whole or partial suspension, cancellation, revocation, forfeiture, attachment, pledges, relinquishment, surrenders, reduction of area, ceasing of operations, or any other circumstances affecting the status of the mining right licence or the environmental licence.

46. Mine Closure Plan (1) For Category A and B projects, the applicant shall produce a Mine Closure Plan which shall include all technical and legal measures that need to be implemented by the holder of a mineral right in order to rehabilitate the areas disturbed by its operations and to eliminate actual or potential risks to the environment and to public health and safety. (2) For Category C projects only, the applicant shall produce a conceptual mine closure plan which shall be included in the ESIA. (3) The areas shall be restored to their preoperational ecological conditions whenever feasible, or otherwise, to an environmental condition appropriate for sustainable alternative uses acceptable to the Board. (4) The conceptual closure plan shall include a budget of costs in relation to the mine closure. (5) A detailed Mine Closure Plan shall be submitted for approval by the Board, together with the financial assurance, at least six months before the proposed commencement of the project. (6) Existing small-scale mining and large-scale mining licence holders who do not currently have approved closure plans shall submit a detailed Mine Closure Plan for approval of the Board within six months after these Regulations enter into force. 24 (7) The Mine Closure Plan shall be prepared in accordance with the structure and guidance defined in the Ninth Schedule of these Regulations. (8) Once approved by the Board, the Mine Closure Plan shall be reviewed and updated every two years and whenever changes in the project make it necessary with all updates submitted for approval of the Board.

47. Progressive closure (1) Pursuant to Sections 134 and 136 of the Mines and Minerals Act 2009, the Mine Closure Planshall be implemented in a progressive manner during the life of the project and shall involve a continuous series of activities starting from the initiation of the project. (2) Rehabilitation of disturbed areas shall be carried out on an on-going basis, before, during and after the final closure of operations, as it might be required. (3) Closure comprises the rehabilitation activities included in the Environmental Management Plan and the MCP.

48. Default of closure obligations (1) If the holder of a mineral right defaults in the performance of its closure obligations and such default is not caused by an event of force majeure affecting the holder of the mineral right, the Board shall levy a fine on the environmental licence holder and require him to comply with such obligations within a period of time as the Board considers appropriate. (2) Where the infringed closure obligations are not implemented by the end of the term indicated in subsection (1) above, the Board shallexecute in full or part, as appropriate, the financial assurance andthe Board shall retain a specialized engineering or environmental firm to implement the closure obligations in default, whose costs will be reimbursed by the defaulting mineral right holder. (3) In the event of a second offence the environmental licence shall be suspended and the provisions of Section 53 of the Mines and Minerals Act 2009 shall apply. (4) Should the amount of the financial assurance be insufficient to fully implement the closure obligations, the holder of the mineral right shall pay the amount that is required to complete the closure works, to a special financial assurance account managed by the Board. (5) The amount indicated in subsection (4) and the reimbursable amounts indicated in subsection (2) above, plus interest, legal costs and any enforcement costs in relation thereto, shall be recoverable by summary judgement if the holder of the mineral right fails to pay such money to the special financial assurance account within the term established by the Board.

49. Assets on termination of mineral right (1) Pursuant Section 54(1) of the Mines and Minerals Act 2009, where the holder of a mineral right intends to cease operations either during the period of or on 25 termination of itsmineral right, he shall present a notice to the Director of Mines with - (a) a full register of assets showing those assets which he intends to remove and those which he intends to leave in the area covered by the mineral right or permit; and (b) information of any potentially hazardous substances, erections or excavations in that area. (2) The register of assets indicated in subsection (1) (a), as well as the information on potentially hazardous substances, erections or excavations indicated in subsection (1)(b) shall be consistent with the MCP approved by the Board. (3) The notice indicated in subsection (1) shall be accompanied by a letter of conformity issued by the Director of Mines and for this purpose the holder of a mineral right shall submit the proposed notice for review by the Board. (4) Pursuant to subsection (3) the Executive Chairman or Authorised Officershall issue a letter of conformity or non-conformity, as the case may be within fourteen days which shall indicate any objections; (5) The holder of a mineral right has a seven-day-period to respond to the objections and re-submit the proposed notice, after which the Executive Chairman or Authorised Officer shall issue a letter of conformity within a fourteen day period and where the Board’sobjections are not satisfactorily lifted, no letter of conformity shall be issue. (6) Pursuant to Section 54(2)(a) of the Mines and Minerals Act, on receipt of the notice from the holder of a mineral right, the Director of Mines may, if he deems it necessary, require that specified items of fixed machinery are necessary for the care and maintenance of the area covered by the mineral right, and such items and machinery shall not be removed. (7) The items indicated in subsection (6) will be excluded from the MCP, and the financial assurance reduced as required, without prejudice to any corresponding environmental liabilities to which the holder of the mining right is subject, until the time when suchitems are handed to the Director of Mines. (8) The compensation indicated in Section 54(3) of the Mines and Minerals Act does not reduce compromise or replace any payment for fines, damages, indemnities, or other economic consequences attributable to the holder of a mineral right’s environmental liabilities. (9) Pursuant Section 54(2) (b) and (c) of the Mines and Minerals Act, on receipt of the notice from the holder of a mineral right, the Director of Mines may, if he deems it necessary, require that specified buildings and other items of fixed machinery shall be removed, and/or require that potentially hazardous substances, erections and excavations be removed or made safe in such manner as he may direct. (10) The requirements referred to in subsection (9) shall be consistent with the decommissioning and other abandonment measures contemplated in the MCP approved by the Boardand the Director of Mines shall consult with the Board in case of any doubt on the matter. 26 (11) Where the requirements referred to in subsection (9) involves the holder of the mineral right to perform additional works, the Executive Chair shall require him to submit a proposed amendment to the MCP indicating the additional works required and the associated costs and the holder of a mineral right shall present a financial assurance to the Board for the additional works which shall be included in the MCP.

50. Retention of fresh water dams (1) Notwithstanding Section 54(5) of the Mines and Minerals Act, the environmental licence holder shall undertake a full inspection of the integrity and safety of anyfresh water dam that is to be retained and advise the Director of Mines and the Board on the long-term engineering and cost implications of retention. (2) Following consultation with the Director of Mines, the Boardmay instruct the retention, removal or modification of the dam and reservoir and the environmental licence holder shall modify the MCP accordingly.

51. Alternative use of facilities (1) In accordance with the sustainability principle established under Section 8 and Section 132 (1) of the Mines and Minerals Act 2009, and for the purposes of the community development provisions contained in Sections 140 (c) (i) and 140 (2) (b) of the same, the local community or the district authority can file a request to the Board through its Authorised Officer in order to exclude from the MCP certain facilities, such as roads, buildings, water wells, or other, that can be beneficial to the local community after the termination of the mining activities, in which case, the local community or the district authority, as appropriate, shall take the responsibility for the maintenance of such facilities as well as for their closure should it be required. (2) The Board, through its Authorised Officer will communicate its decision by written notice to the community representative or the district authority, as appropriate, within thirty days. (3) Should the request be approved, the Board shall indicate the maintenance and closure obligations to be assumed by the local community or thedistrict authority. (4) The Board through its Authorised Officer, shall also notify the related holder of the mining permit, and shall withdraw such facilities from the MCP, and reduce the financial assurance in the proportionate amount.

52. Review and modification of the closure plan (1) Further to Section 136 (3) of the Mines and Minerals Act 2009, every two years, or at the request of the Board, the holder of mineral right shall present an updated MCP for review by the Board and the closure cost of areas that have been rehabilitated as contemplated in the EMP and the MCP shall be eliminated from the budget, and the financial assurance reduced or increased accordingly. 27 (2) The holder of the mineral right shallsubmit for consideration by the Board, modifications to theMCPand associated financial assurance which are required as a result of the modification of the mining activities. (3) The Board through its Authorised Officer will communicate its decision by written notice to the holder of the mineralright within thirty days of submission of the MCP and associated financial assurance.

53. Monitoring and reporting (1) The MCP shall include a proposed monitoring and reporting programme for the Executive Chairman or Authorised Officer to control and supervise the execution of closure measures as proposed by the holder of the mineral right. (2) The monitoring programme shall include a minimum of a three-year monitoring and reporting period after final closure in order to verify that the MCP has been successfully implemented and the area has reached physical, chemical and ecological stability. (3) The Boardcan establish a longer monitoring and reporting period if deemed necessary.

54. Closure certificate Once the MCP has been fully implemented, and the project area has been rehabilitated to a condition suitable for stable and sustainable use as determined by the Board, the Executive Chairman shall issue to the holder of the mining right a closure certificate and return the remaining financial assurance to the holder of the mining right. PART VII - ENVIRONMENTAL STANDARDS

55. Environmental quality standards (1) Environmental quality standards establish the degree, level or concentration of elements and substances, as well as physical, chemical and biological parameters, present in ambient air, water or soil that does not pose a significant risk on the public health and the environment. (2) Alterations of environmental quality exceeding the above mentioned standards are not legally imputable to the holder of a mineral right except if a direct cause-effect relationship between itsoperations and the violation of the environmental quality standards is proved.

56. Effluent and emission quality standards (1) Effluent and emission quality standards establish the degree, level or concentration of elements and substances, as well as physical, chemical and biological parameters that characterizes a particular effluent or emission from a mining operation, in excess of which public health, human wellbeing or the environment are or might be harmed. 28 (2) Effluent and emission quality standards are measured at their source, which shall include chimneys and waste water pipes. (3) Compliance with effluent and emission quality standards is mandatory for the holder of a mineral right and violation of these standards shall be sanctioned as prescribed by law.

57. Competent authority (1) Pursuant toSection 12(h) and (t) of the Act, the Board is the competent authority to prescribe effluents and emission quality standards, and to recommend air, water and soil environmental quality standards. (2) The Board is the competent authority to enforce effluents and emission quality standards, and to impose penalties in case of infringement.

58. Progressive application of standards for on-going operations (1) Adjustment to new standards for on-going mining operations shall be agreed by the Boardand shall be gradually and progressively undertaken by the holder of the mineral right within a reasonable period of time established by the Board. (2) The period of time indicated in subsection (1) shall be determined by the Boardon a case by case basis and always in consultation with a relevant industry specialist. (3) Exceptionally, and for only one time, the Board may extend the period indicated in subsection (2) for a term it deems necessary, if the social cost of standards implementation is greater than the overall benefit to the local community.

59. Prohibition In the mining sector, the prohibition established in Section 58 (5) of the Actto discharge any toxic and hazardous substance into the air or in, on or under the land and waters of Sierra Leone refers to discharge from mining activities which infringe the effluent and emissions quality standards established in these Regulations.

60. Ambient water quality exceeding effluent quality standards Where the natural quality of water used in mining activities already exceeds the effluent standards established in these Regulations, the effluent discharges from such operations shall not have a lower quality than the water taken from its natural source.

61. Effluent standards (1) Except as provided under Section 62, effluent internationalquality standards for mining and metallurgic operations are the following: PARAMETER UNIT OF LIMIT AT ANY ANNUAL MEASURE MOMENT AVERAGE LIMIT Ph - 6 6 29 ---- –9 -9 TSS M 5 2 g/l 0 5 Oils and M 2 1 grease g/l 0 6 Total M 1 0 cyanide g/l .8 Total M 0 0 arsenic g/l .1 .08 Total M 0 0 cadmium g/l .05 .04 Hexavalent M 0 0 chrome (*) g/l .1 .08 Total M 0 0 copper g/l .6 .4 Iron M 2 1 (dissolved) g/l .6 Total lead M 0 0 g/l .2 .16 Total M 0 0 mercury g/l .002 .0016 Total zinc M 1 1 g/l .5 .2 (*) Unfiltered sample. (2) The results from effluents sample analysis shall not exceed the value established in the column “limit at any moment”. (3) Annual concentration for each parameter shall not exceed the values established in the column “annual average limit”

62. Effluent dilution and mixing prohibited The holder of a mineral right is forbidden to dilute effluents with fresh or saline water, as well as mixing industrial and domestic effluents.

63. Gaseous emissions and particulate matter quality standards (1) Quality international standards for arsenic, lead and particulate matter (10) emissions PARAMETER UNIT OF LIMIT AT ANY MEASURE MOMENT Arsenic m 25 g/m3 Lead m 25 30 g/m3 Particulate matter g 100 (PM10) g/m3 (2) Quality standards for sulphur dioxide emissions SULPHUR INPUT SO2 EMISSION LIMIT Tons/day Tons/day <10 20 11 – 15 25 16 – 20 30 21 – 30 40 31 – 40 50 41 – 50 60 51 – 70 66 71 – 90 72 91 -120 81 121-150 90 151-180 99 181-210 108 211-240 117 241-270 126 271-300 135 301-400 155 401-500 175 501-600 195 601-900 201 901-1200 207 1201- 213 1500 > 1500 0.142 (S)*. 31 *(S) = Total sulphur input into the process.

64. Regulation of other parameters (1) Within the term of twelve months from the publication of these Regulations in the Gazette, the Board shall establish standards for other effluent and emission parameters as deemed necessary, which shall be reviewed on an annual basis to incorporate any new effluents, emissions or measurement criteria. (2) The holder of a mineral right shall technically demonstrate to the Authorised Officer that effluent discharges and emissions from operations for parameters not regulated yet, does not cause negative effects to public health, safety and the environment.

65. Control checkpoints and monitoring stations (1) For the purposes of complying with the requirements of Section 133 of the Mines and Minerals Act 2009, the relevant environmental assessment instrument (EIA, ESIA and EMP) shall indicate: (a) proposed control checkpoints for each one of the effluents and emissions that will be generated from the operations; (b) effluent and emission monitoring stations to be installed in each control checkpoint; (c) the number and technical characteristics of monitoring equipment to be installed in each monitoring station; (d) the frequency with which sampling shall be carried out at each monitoring station. (2) For the purposes of these Regulations, effluent and emission samples shall be taken from each one of the control checkpoints established in the EIA, ESIA and EMP. (3) Any changes in the location of checkpoints and/or monitoring stations need prior approval by the Executive Chairman or Authorised Officer.

66. Monitoring of effluents and emissions by the holder of an environmental licence (1) In order to ensure compliance with environmental quality standards established by the Agency pursuant to the Act and for the purposes of complying with the requirement to provide data on emissions pursuant to Section 133 (b) (i) of the Mines and Minerals Act 2009, the holder of an environmental licence shall measure the concentration of each regulated parameter not less thanquarterly in order to determine pollutants concentration, as well as the volume of effluent and emission discharges. (2) The holder of an environmental licence for a Category A or B project shall present a quarterly report to the Authorised Officercontaining the effluents and emissions monitoring results for the last three months and an analysis and interpretation of these results. 32 (3) The holder of an environmental licence for a Category C project shall monitor its effluents and emissions, and keep the information readily available for review by the Board. (4) The Board or the Authorised Officer may, at any time request from the holder of a Category C Project environmental licence the monitoring information indicated in subsection (3) for the purposes of review and control. (5) The holders of all environmental licences shall keep monitoring information for a period of five years.

67. Sampling protocol (1) Effluent and emission sample collection and analysis shall be carried out according to the official monitoring guidelines approved by the Board. (2) The guidelines indicated in subsection (1) shall be published by the Board in the Gazette within the term of six months from the publication of these Regulations.

68. Penalties (1) The Board shall impose on the holder of a mineral right the penalties prescribed by law in the following cases;- (a) effluents and, or emissions exceeding legal limits; and/or (b) dilution or mixing of effluents. PART VIII -– MONITORING AND INSPECTION

69. Environmental performance control and supervision (1) The Executive Chairman or Authorised Officer shall conduct reviews of the environmental performance of mining activities of all environmental licence holders through both routine and random inspections and supervisory actions. (2) The Executive Chairman or Authorised Officer shall randomly supervise the projects subject to a Code of Practice contained in the Eighth Schedule in order to control and enforce compliance with these Regulations.

70. Control and supervision actions Control and supervisory actions comprise project monitoring, routine and random inspection visits at site, and environmental auditing.

71. Inspection visits at site (1) The Executive Chairman or Authorised Officer will establish a routine inspection schedule for every mining activity covered by an environmental licence. (2) Category A projects will be inspected at least three times each year, category B projects will be inspected twice a year and category C projects will be inspected once a year. 33 (3) For all routine inspections the Executive Chairman or Authorized Officer will give the environmental licenceholder five days’ notice of the planned inspection in advance, the Authorised Officer shall serve notice to the holder of the mineral right, informing them about the scheduled inspection visit, indicating;- (a) the name(s) and identification document number of the officer(s) appointed for site visiting; (b) time schedule indicating date of the visit, and number of days of permanence at site if applicable; and (c) logistic requirements as applicable. (4) The notice referred to in sub-section (3) above shall be delivered by physical delivery or email to the holder of the mineral right, provided that any notification by email shall be deemed to be delivered upon receipt of email confirmation by the Authorised Officer. (5) The holder of the mineral right shall provide all current address and email contact details to the Authorised Officer with its application for an environmental licence and agrees to promptly notify the Authorised Officer of any change of address and email notification details and any failure by the holder of the mineral right to do the same shall not prevent the Board or any member thereof or Authorised Officer, from performing an inspection pursuant to the provisions of this Section.

72. Random Inspection (1) Pursuant to Section 37 of the Act, the Executive Chairman or Authorised Officer shall from time to time subject all projects in respect of which an environmental licence has been issued to a random inspection in order to assess their effect on the environment and the community and ascertain compliance with the Act and these Regulations. (2) For the effective exercise of these powers, the Executive Chairman or Authorized Officer may;- (a) enter at any time, without a warrant, any premises or facilities where mining activities are being undertaken and inspect the project at any time, subject only to full compliance with radiation and mine health and safety standards; (b) request from the holder of a mineral right any environmental information or documentation pertaining to the mining activities being developed, including any licence issued under the Act and these Regulations, the project records, or any other document he or she deems relevant; (c) take samples of emissions, effluents, soil, wastes or any other substances or residues from the operations; (d) perform tests in-situ; and (e) perform any other tests, take samples and request information or documentation pertaining to the mining activities that, acting reasonably, he or she deems necessary. 34 (3) Should the Executive Chairman or its Authorized Officer deem it necessary, they can request the support of the police for the performance of the actions contemplated in this Section. (4) The provisions of Section 73 (4) and (5) shall apply to this Section.

73. Voluntary auditing by Category A and B environmental licence holders (1) Category A and Category B environmental licence holders may arrange for environmental and social audits to be conducted of their own operations from time to time, by fully qualified environmental and social auditors in order to inform the content of their environmental and social reports. (2) Auditors for Category A and B audits shall be accredited to international environmental and social audit standards. (3) A copy of every independent audit undertaken by Category A and B environmental licence holders shall be submitted to the Executive Chairman or Authorised Officertogether with the annual environmental and social report. (4) The Executive Chairman shall recognise and accept copies of duly certified and audited independent environmental audits produced by the mineral right holder for its financiers to ensure compliance with the Equator Principles.

74. Compulsory auditing on behalf of the Agency (1) The Executive Officer or Authorised Officer may arrange for random auditing to be carried out on all environmental licence holders operations in order to ensure consistency and transparency in environmental and social monitoring. (2) The frequency of random auditing will vary with the scale and significance of the project and the level of performance identified through routine sampling, inspection and monitoring by the licence holder and:- (a) Category A and B project environmental licence holders may expect a random audit at a frequency of 3 years. (b)Category C project environmental licence holders may expect an audit at any time if a routine inspection by the Executive Chairman or Authorised Officer indicates that there are serious omissions in environmental or social performance. (3) The selection of auditors by the Board shall be undertaken in accordance with the standards set out in Clause 77 and the principles contained in the Eighteenth Schedule.

75. Selection of Environmental Auditors and payment of costs (1) The Board shall implement a competitive and open tender published in the Gazette, for the establishment of a roster of competent environmental auditors who, upon selection by the Board, shall become part of a standing pool of environmental auditors which may be called upon by the Board or the Executive Chairman at any 35 time within a 3 year time period for the purposes of conducting routine or specific environmental audits. (2) As part of the bidding information advertised by the Board, it shall submit clear requirements of an anticipated framework of work, the required technical competencies and any other specific requirements of the Board at that time relating to the anticipated environmental audit. (3) The Board shall require all prospective candidates to submit a schedule of costs for the tendered framework plan, previous experience undertaking similar work advertised by the Board and a list of available technical consultants and their detailed resumes. (4) In the event that any challenge raised by the environmental licence holder in relation to the costs of an environmental audit remains unresolved, the environmental licence holder may appeal to the Board, whose decision on any disputed costs shall be final and binding. (5) Based on each prospective candidate’s cost schedule, technical ability, expertise and taking into account the opinion of the environmental licence holder, the Board shall shortlist a list of competent environmental auditors who will become part of the standing pool of auditors who may be called upon at any time by the Board within a 3 year period to undertake routine or specific environmental audits. (6) When the Board requires the services of an environmental auditor for the purposes of these Regulations, it shall promptly notify those auditors chosen in the standing pool in order to determine their availability to commence work. (7) A specific terms of reference for an individual audit will be developed and agreed with the environmental licence holder. (8) Auditors will be selected by the Board based on the responses from the standing pool of approved auditors relating to price, expert qualifications and ability to mobilise, provided that those companies or individuals who have been involved or contracted by the environmental licence holder to undertake any work related to environmental or social issues within the previous 12 months shall be excluded from undertaking any auditing work, and any selected auditor will be prohibited from providing services related to the environmental or social issuesto the environmental licence holder for six months after the completion and submission of the audit. PART IX ENFORCEMENT

76. Establishment of Grievance Mechanism (1) As part of its duty to consult with Local Communities pursuant to the Act and Sections 133 (2) (a), 138, 139 and 140 (f) of the Mines and Minerals Act 2009, the holder of a mineral right shall make available to the local communities, a formal grievance mechanism as described herein. (2) The holder of a mineral right shall ensure that the grievance mechanism satisfies the following overarching principles; 36 (a) legitimacy; (b) accessibility; (c) predictability; (d) equitability; (e) transparency; (f) ensuring that communities’ rights under these Regulations and other laws are respected; (g) dialogue and engagement; and (h) encouraging an environment of continuous improvement of processes and dialogue. (3) The holder of a mineral right will designate a grievance officer early in the project cycle to; (a) inform the local community and the Primary Host Community and raise awareness of the grievance mechanism. (b) manage grievances and ensure full documentation of grievance processes; and (c) meet members of the community to resolve informal complaints. (4) Where grievances are unresolved by the holder of a mineral right, an arbitrator will be jointly appointed by the Executive Chairman or its Authorised Officer and the representative of the local community. (5) The Local Community shall identify an appropriate person to represent the community in all arbitration matters and the representative shall be an internationally accredited negotiator or mediator with experience in mining related grievances. (6) The costs of any arbitration and shall be borne by the holder of a mineral right.

77. Enforcement measures established in the Act The enforcement measures regulated in these Regulations are in addition to the enforcement measures of the Boardestablished in Sections 53, 54, 55 and 56 of the Act.

78. Suspected environmental offences (1) Pursuant to Section 37(3) of the Act, where the Executive Chairman in consultation with the Board has reasonable grounds to believe that an offence has been committed or is about to be committed against the Act or these Regulations, they may without a warrant, enter, conduct inspections in or search any mining site, premises, facilities, vehicles or other buildings, sites or facilities associated to the mining activity, in which they have reasonable grounds to believe an offense has been, is about to be or is being committed. (2) The Executive Chairman or Authorized Officer may seize any document, item or substance which they have reasonable grounds to believe has been used in the commission of such offence or in respect of which an offence has been committed. 37 (3) A receipt shall be given for anything seized under this section which states the grounds for such seizure. (4) The Executive Chairman or Authorized Officer may require the police department to arrest any person who they suspect to have committed an offence. (5) The Executive Chairman or the Authorized Officer may issue an order for a compulsory environmental audit of the mining activities or for the development of special environmental studies as required, and the costs of either shall be paid by the holder of the mining right.

79. Standing Any person has standing to raise a matter of concern regarding violations of social and environmental obligations before the Board.

80. Duties of the holder of a mineral right (1) The holder of a mineral right shall;- (a) allow the Executive Chairman or Authorized Officer to enter the project premises, and conduct all or any of the actions contemplated in the Act and these Regulations in exercise of his or her powers; and (b) assist the Executive Chairman in the activities he undertake in exercise of the powers conferred to him in the Act and these Regulations. (2) The holder of a mineral right or its corporate environmental officer, shall report any environmental accident occurred as a consequence of its mining activities to the Authorised Officer within twenty-four hours of the accident, and a detailed report on the accident shall be presented within ten working days of the date on which the accident took place.

81. Financial Assurance default The provisions of Section 136 (5) of the Mines and Minerals Act 2009 shall apply in the event of a default of the regulations relating to financial assurance. . PART X – ADMINISTRATION OF ENVIRONMENTAL LICENCES

82. Environmental licence and mineral right applications (1) In accordance with the Act, applications for environmental licences under categories EIA or ESIA shall be submitted to the Board. (2) The Executive Chairman in consultation with the Board can decide on an extension of the time established in the procedure indicated in subsection (1) when considered necessary for the purpose of evaluating an EIA or ESIA and the Authorised Officer shall communicate this decision to the Director of Mines and the applicant by written notice. 38 (3) The Minerals Advisory Board authority shall not make a final recommendation on an application for exploration, small-scale or large-scale mining right or permit application until the applicant presents an environmental licence granted by the Board. (4) The applicant shall satisfy the requisites established in sections 57(j), 70(j), 96(2)(g), 106(2)(s), 128(2)(a) and 131(2) of the Mines and Minerals Act 2009, by presenting the environmental licence granted by the Board as appropriate.

83. Legal effect of environmental licence (1) Pursuant to Section 131 (2) of the Mines and Minerals Act 2009, an environmental licence approved under the Act and these Regulations shall authorise the licensee to initiate or continue with the application process for a mining right or permit. (2) Should the environmental licence be rejected by the Board, the mining right or permit application shall be deemed to be incomplete and not compliant with mineral right licensing requirements.

84. Validity period and renewal of licences (1) Pursuant to Section 30(c) of the Act, an environmental licence shall be valid for such a period as the Board may determine. (2) Pursuant to Section 31 of the Act, at the expiration of the period specified in it, an environmental licence may be renewed by the Board upon application by the licensee, for such further period as the Board Shall determine.

85. Amendments to the EIA or ESIA (1) The holder of an environmental licence shall submit an application to the Board through its Authorised Officerwhen amendments or modifications to the EIA orESIAare necessary. (2) An EIA or ESIA shall be amended or modified in the following cases;- (a) for the implementation of mine development at completion of the exploration phase, and before the commencement of mining activities; (b) for increments of mineral production greater than 50% of the production estimated in the original EIA, in small-scale mining operations; (c) for increments of mineral production greater than 30% of the production estimated in the original EIA, in large-scale mining operations; (d) for increments of mineral production in small-scale or large-scale mining operations having new environmental impacts or involving disturbance of new areas; (e) for the construction and operation of new beneficiation facilities not included in the beneficiation plant original layout; (f) for the modification of existing beneficiation facilities due to introduction of new mineral processes or increment of production capacity greater than 50%; 39 (g) for the construction of tailing ponds, rock deposits, furnaces, chimneys, leaching pads or other facilities not included in the beneficiation plant original layout; (h) for the introduction of new equipment or variations of technology in mining or beneficiation facilities having new environmental impacts or affecting new areas; and (3) Subject to (2) above, the Board may determine that amendments to an ESIAmay result in re-categorization of the project into a Category A or B project, and require an EIA.

86. Environmental impact assessment licence cancellation, suspension, and ex officio modification (1) Pursuant to Section 34 of the Act, where the terms and conditions of a licence are not being complied with or have been contravened, or there is a substantial change in or an adverse effect on the environment, the Board may;- (a) cancel the licence; (b) suspend the licence for such time as the Board considers appropriate; or (c) impose additional or modified conditions for the licence, provided that the Board shall prior to any decision to cancel, suspend or modify the licence conditions, consult with the holder of the mineral right and permit it to take measures to remedy or abate the offending events and the time scale for such corrective measures shall be no more than 3 months and the holder of the mineral right shall only have one opportunity to take corrective action. (2) The Authorised Officer shall notify in writing the Director of Mines and the holder of an environmental licence which has been cancelled, suspended or on which additional conditions have been imposed, of such cancellation, suspension or imposition of additional conditions. (3) The Board may, in addition to cancellation, suspension or imposition of additional conditions, require the holder of a mining permit to take measures to remedy or abate such adverse effects on or remedy any damage to the environment where necessary. (4) The Board may, engage an appropriately skilled independent consultant and authorise such consultant to produce a technical report, in order to assess the offending events and assist the Board to determine whether to cancel, suspend or impose additional conditions on the holder of the mining permitand the costs of such report shall be borne by the holder of the mineral permit. (5) The suspension or cancellation of the mining right or permit to which the environmental licence corresponds shall be determined in accordance with the provisions of Section 53 of the Mines and Minerals Act 2009.

87. Recourse to appeal (1) Any applicant has the right to appeal to the High Court contesting the Board’s decision not to grant or reject an application for an environmental licence or to 40 cancel or suspend an existing environmental licence and such appeal must be lodged by the aggrieved applicant within thirty days of the Board’s notification of its decision to the applicant. (2) Any member of the Local Community has the right to appeal to the High Court contesting the Board’s decision to grant an application for an environmental licence and such appeal must be lodged by the Local Community or its appointed representative within thirty days of the Board’s notification of its decision to the applicant to grant the application for an environmental licence. (3) The filing of the appeal does not suspend the effects of the Board’s decision, which shall remain in force until the High Court reaches a decision to suspend or revoke the decision of the Board, if applicable.

88. Environmental licence register (1) The Authorised Officer shall maintain a register to record all environmental licence applications and licences granted, and a complete version of these documents including all ancillary materials shall be kept in the register. (2) Any affected or interested party may inspect the register indicated in subsection (1) on payment of a fee as the Executive Chairman in consultation with the Board shall establish. (3) A copy of the environmental licence register shall be deposited with the mining cadastre on a semi-annual basis, and the Authorised Officer shall procure that such data is promptly uploaded onto the mining cadastre electronic system.

89. Participation of stakeholders In accordance with Section 133 (2) (a) of the Mines and Minerals Act 2009, the environmental licence approval process shall guarantee participation of stakeholders in order to facilitate their feedback, so that the applicant can plan in advance on how to mitigate negative environmental impacts and social impacts before they arise. PART XI– MISCELLANEOUS

90. Application of Regulations on existing environmental license and mineral right holders (1) All environmental licenses issued prior to the publication of these Regulations shall be valid, for the period of the licence. (2) The Board shall have the right review all environmental licences issued prior to the publication of theseRegulations to assess whether the environmental and social impact assessments and associated management planshave been completed to the standards established in these Regulations. (3) Based on (2) the Board has the right to requireenvironmental license holders issued licenses prior to the publication of Regulations to reapply for a license or amend any plan or document associated with the environment license. 41 (4) All mineral right holders shall have six months to ensure they are compliant with the Environmental Standards established in Part VII of these Regulations. (5) Existing mineral right holders who do not have an environmental license shall be required tocomply with Part IV of these Regulations, and notwithstanding Section 20 be required to apply for an environmental license within six months of these Regulations being published.

91. Information disclosure (1) If the Board requires additional information to what has already been provided by an applicant or license holder the Executive Chairman shall submit a written request to the applicant or license holder specifying the required information and provide an explanation on why the information is required. (2) If the applicant refuses to provideinformation requested in (1) the Executive Chair may apply to the court for a warrant for the release of specific information.

92. Reconnaissance and exploration by the State Reconnaissance and exploration operations to be undertaken pursuant to Section 8(1)(c) of the Mines and Minerals Act 2009 shall be developed under an environmental management instrument as described under Sections 57 (5) and 70 (j) of the Mines and Minerals Act 2009 and issued by the Board in accordance with these Regulations.

93. Non-commercial mineral investigations Section 24 of Mines and Minerals Act 2009, shall be developed under an environmental management instrument issued by the Board as applicable.

94. Obligation in relation to a transfer of mineral right (1) In the case of the transfer of a mineral right the acquirer shall in accordance with Sections 83 (7), 119 (7) and 176 (2) (f) of the Mines and Minerals Act 2009, implement the EIA or ESIA,as applicable and MCP approved by the Board in relation to the mineral right. (2) The rule established in subsection (1) is applicable to all and any kind of mineral right or permit acquisition.

95. Financial assurance for small-scale and large-scale mining licence holders (1) Pursuant Section 136(2) of the Mines and Minerals Act 2009, the Director of Mines shall require all small-scale and large-scale mining licence holders to provide, within such time as is prescribed, financial assurances for their own performance against all obligations to which it is subject pursuant to an EMP or the terms of its environmental licence. (2) For the avoidance of doubt, the financial assurance indicated in subsection (1) shall be regulated as provided in Part XV of the Mines and Minerals Act 2009. 42 (3) The Holder of a Mineral Right shall provide only one financial assurance to compensate against all environmental and social liabilities resulting from its Mining Activities in a specific project and such requirement shall derive from either the requirement contained in Section 57 of the Act or Section 136 of the Mines and Minerals Act 2009 and in no circumstance shall the Holder of a Mineral Right be required to provide two assurances in relation to its environmental and social liabilitiesderiving from a specific project.

96. Cadastral survey map (1) Pursuant to Section 46(1)(c) of the Mines and Minerals Act 2009, the cadastral survey map shall have marked on it all lands known to be closed to mining operations under the Mines and Minerals Act 2009 or any other law in force. (2) In application of the provision referred to in subsection (1) and as authorised by Section 176 (2) (d) of the Mines and Minerals Act 2009, the cadastral survey map shall depict all national parks, natural reserves, archaeological sites, and other protected areas established in the national territory of Sierra Leone.

97. Suspension or cancellation of mineral rights (1) Pursuant Section 53(1)(c) of the Mines and Minerals Act 2009 the Director of Mines may subject to the procedures contained therein, suspend or cancel a mineral right if the holder grossly violates health and safety regulations or causes environmental harm and for this purposethe Director of Mines in consultation with the Board shall investigate the case and determine if an environmental harm has been caused, how serious the damage is and shall prepare a report documenting its findings and submit such report to the Board. (2) The Director of Minesshall indicate in its report under subsection (1) if the environmental damage is irreversible or not, and should it be reversible, the Board shall order the holder of the mineral right to immediately implement environmental rehabilitation as prescribed under Section 136 of the Mines and Minerals Act 2009. (3) Pursuant to Section 53(1)(f) of the Mines and Minerals Act 2009, the Director of Mines may subject to the procedures contained therein, suspend or cancel a mineral right if the holder contravenes any of the provisions of the Mines and Minerals Act 2009 or the provisions of any other enactment relating to mines and minerals and for the avoidance of doubt, the latter comprise these Regulations.

98. Penalties (1) Within the term of three months from the publication of these Regulations, the Boardshall establish the penalties applicable in case of default of the obligations set forth in these Regulations. (2) When establishing penalties under sub-section (1) above, the Agency shall take into account penalties prescribed under other regulations relating to the mining sector and which relate to the same infringement and shall co-ordinate with applicable government officials and departments when determining suitable penalties under these Regulations. 43 44

FIRST SCHEDULE - PUBLIC PARTICIPATION AND CONSULTATION 1. Requirement for public participation and consultation Section 15places a mandatory obligation on all applicants for an environmental licence to carry out consultation with stakeholders from the earliest stages of a mining project throughout the mining operations until closure is completed. This consultation shall be undertaken in accordance with the principles for public participation and consultation set out in Section 15 and this Schedule. 2. Procedural requirements for each category of mining project Applicants for mining projects under the following environmental licence categories shall, as a minimum requirement, undertake the following level of public participation and consultation. Category D: There is no formal requirement for public participation and consultation in relation to a Category D project, however the holder of a mineral right shall recognize the legitimate interests of local communities to be informed about any activities which involve the transport of equipment and personnel and the use of accommodation in association with mineral reconnaissance and prospecting and shall provide relevant information to such stakeholders. Category C: Applicants for an environmental licence in relation to a Category C project shall arrange a public meeting within the area likely to be affected by exploration or small scale mining activities before any equipment is moved into the area or physical activity takes place on site. The purpose of the meeting will be to discuss with the community the nature of the work and its likely impacts and to engage in dialogue with the community which must include answering questions and addressing concerns. Where activities are ongoing, the holder of an environmental licence shall hold public meetings with local communities at regular intervals, which shall occur at least every six month. Category B: The requirements for public participation and consultation set out for Category C projects above shall also apply to Category B projects. In addition, where the area covered by a Category B project includes more than one settlement and these settlements are more than 5 kilometers apart, the holder of or applicant for an environmental licence shall organise public meetings in each settlement. In the case of Category B projects, the holder of or applicant for an environmental licence shall develop and implement a communications plans to manage public participation and consultation throughout the term of the mining licence or environmental licence, as applicable. 45 The communications plan shall be included in the Environmental Management Plan and Social Management Plan. Category A: The requirements for public participation and consultation set out for Category B projects shall also apply to Category A projects. In addition, all arrangements for public participation and consultation contained within the communications plan shall be discussed and agreed with the Community Liaison Committee established under Section 5 of these Regulations. 46

SECOND SCHEDULE - PROJECT SCREENING APPLICATION TO DETERMINE THE CATEGORY OF PROJECT FOR AN ENVIRONMENTAL LICENCE 1. Procedures Applicants for an environmental licence required in connection with the following categories of mineral rights licences shall submit a project screening application as set out in Tables 1 through 3. This information will be used by the Agencyto determine which category of environmental impact assessment shall be undertaken by the applicant to support its application for an environmental licence relating to: a) A Reconnaissance Licence involving invasive activities under Section 64 of the Mines and Minerals Act 2009; b) An Exploration Licence under Part IX of the Mines and Minerals Act 2009; c) A small scale mining licence; and d) A large scale mining licence. Table 1 Information on the Applicant and the nature of the planned operation 1. The following information is in summary form (full details shall be submitted as set out in the Act). (a) Registered Name and place of incorporation of the company ……………………………………………………………………………………………. (b) Company profile and history of reconnaissance and exploration operations in Sierra Leone and elsewhere …………………………………………………………………………………………… (c) Name and qualifications of supervising officer ……………………………………………………………………………………………… (d) Plan of the reconnaissance licence area (e) Description of contiguous blocks …………………………………………………………………………………………… (f) Statement on technical and financial resources …………………………………………………………………………………………… 47 (g) Proposed programme of reconnaissance operations ……………………………………………………………………………………………… (h) Period for which the application applies ……………………………………………………………………………………………… (i) Details of any existing mineral rights …………………………………………………………………………………………………… Table 2 Description of Location and Nature of Operations 2. Information required under the First Schedule Description Units Estimated cost of remediation i) Area of land covered by the Km2 or Ha application ii) Number of boreholes to be drilled Number iii) Quantity of specimens and samples to < 1 tonne be taken <1-10 tonnes > 10 tonnes iv) Name and surface area of woodland or forest within which timber will be cut v) Name and location of river, lake or other water body from which water will be extracted vi) Location of any temporary buildings vii) Name and location of any ancient monument, relict, sacred grove or other artifacts of historic and cultural significance that lies within or closer than 100 metres to the boundary of any physical works 48 Table 3 Applicant’s assessment of the likely effects of the mining activities on the natural environment within the area of mining operations Completion of this table shall satisfy the requirements of an applicant for a reconnaissance licence under Section 57 (j) of the Mines and Minerals Act 2009. 3. Physical Environment (Mark the relevant sections with an X and give precise details of area, depth or volume, where these exist.) 3.1 Land Surface Description 1 2 3 4 5 Less than 1 1 to 10 10 hectares 1 to 100 km2 More than 100 hectare hectares to 1 km2 km2 Surface area of land affected by surface disturbance with machinery or excavations Area of vegetation to be cleared Area of farmland affected 3.2 Land Excavation 1 2 3 4 5 If the operations involve Less than 10m3 to- 100m3 to 1 1 million to More than 100 excavation what quantity of 10 m3 100m3 million m3 100 million million m3 material will be moved? m3 What is likely to be the Less than 3 3 to 15 feet 15-30 feet 30 to 150 More than 150 maximum depth of excavation feet feet feet from the existing surface level (1 metre) (10-50 (>50 metres) (1-5 metres) (5-10 metres) metres) Ratio of overburden to mineral 0:1 1:1 Between 1:1 Between 5:1 More than ore recovery and 5:1 and 20:1 20:1 3.3 Water Description 1 2 3 4 5 Less than 100 to 1000 to 50,000 to Over 100,000 100 m3 1000m3 50,000m3 100,000m3 m3 Volume of water to be abstracted by gravity or pumping from a natural or 49 artificially constructed water course or water body (maximum over one month) Volume of water to be stored in tanks/ settling ponds or other artificial storage areas Volume of waste water (including drilling mud) to be produced (over a maximum period of one month) Does the operation involve No Yes creating a dam or impoundment on any watercourse or dredging operations? Does the operation involve No Yes diverting an existing water course? 3.4 Wildlife and Nature Conservation 1 2 3 4 5 Does the application area No Yes include any officially protected area? Has an ecological survey been Yes No undertaken by a qualified biologist? Are any rare or endangered No Yes species of plants or animals found within the application area as listed in national or international registers? In the applicant’s opinion, will Not at all Very slight Some minor Moderate Major adverse the operations affect wild life effects adverse adverse impacts and nature conservation in the impacts impacts application area? which can which can be mitigated be mitigated 3.5 Natural Resources 1 2 3 4 5 50 Will the operation require the use No Yes of local timber, stone, clay or other building materials 3.6 Infrastructure 1 2 3 4 5 Do existing tracks and roads lie footpaths Minor tracks Dirt / Un-surfaced Regional within the application area? graveled District and Paved feeder roads Roads Roads Will any tracks and roads be used footpaths Minor tracks Dirt / Un-surfaced Regional by mineral traffic? graveled District and Paved feeder roads Roads Roads How many of truck movements Less than 3 3 to 10 10 to 20 20 to 50 More than off over 3 tonnes capacity will 50 use public roads in an average month? Does the project involve the No Under 500 500 metres 1 km to 10 More than diversion or construction of new metres to 1 Km kms 10 kms roads? Does the project involve the No Under 500 500 metres 1 km to 10 More than diversion or construction of new metres to 1 Km kms 10 kms railways? Does the project involve the use No Yes Yes of existing ports or the (existing (new ports) construction of new ports? ports) Does the project involve the use No Yes Yes of air transport from existing or (existing (new airport) new airports? airports) 3.7 Energy Will the applicant provide all No Yes energy requirements from the company’s own resources? What is the estimated annual Less than 5000 - 50,000 to 100,000 kw More than 1 electricity requirement of the 5000 kw 50,000 kw 100,000 kw to I mw mw operations? What is the estimated annual Less than 50,000 to 100,000 to 500,000 to 1 More than 1 requirement of the operations in 50,000 litres 100,000 500,000 million litres million litres terms of diesel oil or other litres litres petroleum products? 51 3.8 Buildings, Structures and Processing Plant 1 2 3 4 5 Will the operations include the Temporary Permanent Permanent Permanent Permanent erection of buildings and buildings buildings / buildings / buildings / buildings / structures/plant? and structures structures structures structures structures covering less covering covering covering erected for than 100m2 to 500m2 to more than <5 years 2 500m2 100m 1000m2 1000m2 3.9 Emissions 1 2 3 4 5 Will the operations generate solid No Yes waste requiring disposal through land fill? Will the operations involve No Yes processes giving rise to gaseous emissions Will the operations have the No Yes potential to generate dust which would impact on local inhabitants? Will the operations have the No Yes potential to generate noise which could adversely affect local inhabitants? Will the operations require the No Yes use of chemicals and reagents in on-site processes? Will the operations pose any No Yes form of risk to humans from potential accidents and the creation of hazards (e.g. deep bodies of water / rockfalls?) Will the operations create No Yes unsightly visual impacts affecting the setting of villages or towns? If the answers to any of the above questions relating to “Emissions” in Part 3.9 of Table 3 are “Yes”, provide summary details on the scale and nature of the potential effects. 52 Table 4 Applicant’s assessment of the scale and likely effects of the operations on the local economy and social conditions within the area of mining operations 4.1 Resettlement Impact Will the operations require the No Yes resettlement of people? Description /Impact Not at all Very Some minor Moderate Major slight adverse adverse adverse Will the operations affect existing effects impacts which impacts impacts settlements either directly or can be which can be indirectly? mitigated mitigated with more than 500 houses? with 100-500 houses? with 50 -100 houses? with 25 50 houses? With fewer than 25 houses? Where the answer to the above questions on settlements and properties is “Yes” provide details on the estimated number of properties and individuals involved 4.2 Effect on current land use activity Will the operations displace or Not at all Very Some minor Moderate Major reduce the viability of existing land slight adverse impacts adverse adverse uses for: effects which can be impacts which impacts mitigated can be mitigated Agriculture? Forestry? Rural livelihoods (collecting roots/fruits/honey etc.)? Tourism? Will the operations affect: Monuments/archaeological sites: Sacred groves? Burial areas? 53

THIRD SCHEDULE - PROJECT SCREENING CRITERIA 1. Procedures (1) The Agency will base its decision on the information submitted as part of the project screening application, supported by information on environmentally sensitive areas in Sierra Leone and criteria relating to social and local economic conditions as set out in Table 1. (2) Any application which falls within the criteria listed in Table 1 will automatically require a Category A or B environmental Assessment and the equivalent social assessment. (3) Applications falling outside the environmentally sensitive localities listed in Table 1 will also require environmental and social assessment where the class of assessment will be determined by the nature and scale of the planned operations. (4) In all cases, the class of environmental and social assessment will be determined by the Agency in accordance with criteria set out in Table 2. Table 1 Criteria Determining a Mandatory Need for Environmental Assessment Criteria relating to Environmental Sensitive localities a) Areas and ecosystems meriting special protection under national and international law including coral reefs, mangroves, native forest, small islands, areas at risk from erosion including sand dunes and beaches, areas exposed to desertification, marshland, wetlands and areas with flora, fauna or ecosystems on the verge of extinction. b) Fish spawning areas and areas containing important natural resources such as medicinal plants c) Important water sources including springs, headwater catchments of rivers, and watercourses or water bodies providing public water supplies. Criteria relating to Socially or Economically significant localities d) Populated areas where more than 50 properties or 500 people might be directly or indirectly affected in terms of livelihoods. e) Populated areas where it might be necessary to resettle any individual inhabitants involuntarily. f) Populated areas where more than 50 properties or 500 people live in close proximity to the area of potential operations and could be affected adversely by noise, dust or other pollutants. g) Areas within which there are already conflicts in terms of ownership, use and distribution of natural resources. h) Areas containing sensitive receptors including proximity to hospitals and health centres i) Applications in areas adjacent to ports and airports where development activities could 54 adversely affect operation of these facilities j) Areas within or adjacent to important tourism resorts or tourism assets Table 2 EPA Determination of the Class of EIA required based on the nature and scale of planned operations The class of assessment is guided by the aggregate score generated by the Agency’s review of the applicant’s screening application. A total score for an application is established by summing individual scores from tables 3 and 4 in the Second Schedule. Agency staff will be guided by the applicant’s own assessment of the severity of any potential Impact but may alter the weighting / score at their discretion where they have reason to believe that the effects of the project may be more or less significant. Any alteration in the score allocated to individual topics shall be highlighted on a copy of the screening application and forwarded to the applicant with the EPAs screening decision. The Agency shall exercise its discretion in terms of the categorisation of applications and is not bound by the absolute scores set out in the table below which provide guidance only. Category Physical Social and Economic Score Type of Assessment Likely to be Environment required Score A Over 150 Over 20 EIA and SIA B 130-150 5-20 EIA (including SIA) C 50-130 Under 5 ESHIA D Under 50 0 Code of Practice Table 3 Indication of the application of scores to broad categories of assessment 3. Physical Environment (Mark the relevant sections with a X) 3.1 Land Surface Description 1 2 3 4 5 Less than 1 1 to 10 10 hectares 1 to 100 km2 More than hectare hectares to 1 km2 100 km2 Surface area of land affected by surface disturbance with machinery or excavations 55 Area of vegetation to be cleared Area of farmland affected 3.2 Land Excavation 1 2 3 4 5 If the operations involve Less than 10m3 to- 100m3 to 1 1 million to More than excavation what quantity of 10 m3 100m3 million m3 100 million m3 100 million material will be moved? m3 What is likely to be the Less than 3 to 15 feet 15-30 feet 30 to 150 feet More than maximum depth of 3 feet 150 feet (10-50 metres) excavation from existing (1 metre) (>50 metres) surface level (1-5 metres) (5-10 metres) Ratio of overburden to 0:1 1:1 Between 1:1 Between 5:1 More than mineral ore recovery and 5:1 and 20:1 20:1 3.3 Water Description 1 2 3 4 5 Less than 100 to 1000 to 50,000 to Over 100 m3 1000m3 50,000m3 100,000m3 100,000 m3 Volume of water to be abstracted by gravity or pumping from a natural or artificially constructed water course or water body (maximum over one month) Volume of water to be stored in tanks/ settling ponds or other artificial storage areas Volume of waste water (including drilling mud) to be produced (maximum over one month) Does the operation involve No Yes creating a dam or impoundment on any watercourse, or dredging operations? Does the operation involve No Yes diverting an existing water 56 course? 3.4 Wildlife and Nature Conservation 1 2 3 4 5 Does the application area No Yes include any official protected area? Has an ecological survey Yes No been undertaken by a qualified biologist? Are any rare or endangered No Yes species of plants or animals found within the application area as listed in national or international registers? In the applicants’ opinion Not at all Very slight Some minor Moderate Major will the operations affect effects adverse adverse adverse wild life and nature impacts impacts which impacts conservation in the which can be can be application area? mitigated mitigated 3.5 Natural Resources 1 2 3 4 5 Will the operation require No Yes the use of local timber, stone, clay or other building materials 3.6 Infrastructure 1 2 3 4 5 Do existing tracks and roads lie footpaths Minor Dirt / Un-surfaced Regional within the application area? tracks graveled District and Paved feeder Roads Roads roads Will any tracks and roads be used by footpaths Minor Dirt / Un-surfaced Regional mineral traffic? tracks graveled District and Paved feeder Roads Roads roads How many truck movements of over Less than 3 3 to 10 10 to 20 20 to 50 More than 3 tonnes capacity will use public 50 57 roads in an average month? Does the project involve the No Under 500 500 metres 1 km to 10 More than diversion or construction of new metres to 1 Km kms 10 kms roads? Does the project involve the No Under 500 500 metres 1 km to 10 More than diversion or construction of new metres to 1 Km kms 10 kms railways? Does the project involve the use of No Yes Yes existing ports or the construction of (existing (new ports) new ports? ports) Does the project involve the use of No Yes Yes air transport from existing or new (existing (new airports? airports) airport) 3.7 Energy Will the proponent provide all energy Yes No requirements from the company’s own resources? What is the estimated annual Less than 5000 - 50,000 to 100,000 kw More than 1 electricity requirement of the 5000 kw 50,000 kw 100,000 kw to I mw mw operations? What is the estimated annual Less than 50,000 to 100,000 to 500,000 to 1 More than 1 requirement of the operations with 50,000 litres 100,000 500,000 million litres million litres respect to diesel oil and other litres litres petroleum products? 3.8 Buildings, Structures and Processing Plant 1 2 3 4 5 Will the operations include erection Temporary Permanent Permanent Permanent Permanent of buildings and structures/plant? buildings buildings / buildings / buildings / buildings / and structures structures structures structures structures covering less covering covering covering erected for than 100m2 to 500m2 to more than <5 years 2 500m2 100m 1000m2 1000m2 3.9 Emissions & Waste 1 2 3 4 5 Will the operations generate solid No Yes waste requiring disposal through land 58 fill? Will the operations involve processes No Yes giving rise to gaseous emissions Will the operations have the potential No Yes to generate dust which would impact on local inhabitants? Will the operations have the potential No Yes to generate noise which could adversely affect local inhabitants? Will the operations require the use of No Yes chemicals and reagents in on-site processes Will the operations pose any form of No Yes risk to humans from potential accidents and the creation of hazards (e.g. deep bodies of water / rock falls) Will the operations create unsightly No Yes visual impacts affecting the setting of villages or towns? If the answers to any of the above questions on emissions are “Yes”, provide summary details on the scale and nature of the potential effects. Table 4Review of the Applicant’sAssessment of the scale and likely effects of the mining activities on the local economy and social conditions within the area of mining operations 1 2 3 4 5 4.1 Resettlement Will the operations require No Yes resettlement of people? If the answer to the question above is YES then score the assessment of effects as shown below:- Description /Impact Not at all Very slight Some minor Moderate Major adverse effects adverse adverse impacts Will the operations affect directly or impacts impacts indirectly existing settlement(s): which can be which can mitigated be Complete only one of the following mitigated 59 with more than 500 houses? 0 25 30 35 40 with 100-500 houses? 20 25 30 35 with 50 -100 houses? 15 20 25 30 with 25 50 houses? 10 15 20 25 With fewer than 25 houses? 5 10 15 20 Where the answer to the above questions on settlements and properties is “Yes” provide details on the estimated number of properties and individuals involved 4.2 Effects on current land use activities 1 2 3 4 5 Will the operations displace or reduce Not at all Very slight Some minor Moderate Major adverse the viability of existing landuses for: effects adverse adverse impacts impacts impacts which can be which can mitigated be mitigated Agriculture Forestry Rural livelihoods (collecting roots/fruits/ honey etc.) Tourism Will the operations affect: Monuments/archaeological sites Sacred groves Burial areas 60

FOURTH SCHEDULE - PREPARATION OF A SCOPING REPORT 1. Content of the Scoping Report In accordance with Section 28, the applicant for an environmental licence shall prepare and submit a Scoping Report to the Agency before commencing detailed investigations as part of an environmental impact assessment for a Category A or B Project. The Scoping Report will typically consist of a document, 20 to 60 pages in length and will cover the following information: CONTEXT 1.1 Name of the project 1.2 Particulars of the applicant for an Environmental Licence Name: Identity document/registration: Legal representative: Address: Telephone number: E-mail address: 1.3 Information on the environmental firm engaged to work on the EIA Including where relevant, information on individual experts who are engaged to work on specific aspects of the assessment Name: Identity document/registration: Registration with the Agency: Legal representative: Address: Telephone number: E-mail address: 1.4 A Description of the Project Proposals (a) Site Area (b) Nature of the project (exploration, pre-feasibility study, feasibility study, small- scale mining, large scale mining) (c) Timescale of operations 61 1.5 Environmental Baseline Conditions This shall include the following: (1) Topography and relief (2) Climatic conditions, (3) Air quality (4) Water and drainage (5) Geology and soils (6) Flora and fauna (7) Landscape character and quality (8) Human settlement (9) Land use 1.6 Potential Areas of Environmental Impact A one paragraph description of the potential areas of environmental impact that could arise during each phase of the planned activity in relation to each of the environmental topics described in the baseline. 1.7 Scope for Avoiding, Mitigating or Compensating for Potential Adverse Environmental Impacts A one paragraph statement on the scope for minimizing significant environmental impacts in relation to each of the environmental topics described in the environmental baseline. 1.8 Programme of Work This shall contain a summary of investigations to be undertaken in relation to each area of potential environmental impact. 62

FIFTH SCHEDULE–EIA STANDARDS FOR CATEGORY A AND B PROJECTS These standards provide generic Terms of Reference (ToRs) for the preparation of EIAs for Category A and B mining activities. Applicants for Environmental Licences shall adapt the ToRs to meet the specific characteristics of their development project and the environmental and social conditions in the project area. 1. General Provisions for an Environmental Impact Assessment Report The Environmental Impact Assessment report records the findings of exhaustive studies undertaken as part of the assessment process. The principal findings shall be included in the main report, supported by a stand-alone Non-Technical Summary. Background information, detailed maps and statistical data may be added as appendices or set out in separate volumes. (1) Applicants shall ensure that all aspects of the bio-physical environment are addressed when applying for an exploratory, small scale or large scale mining project. (2) The EIA shall contain a section on methodology and give a clear statement about the processes of public consultation that has been employed. (3) The EIA shall contain a chapter outlining the characteristics of the planned activity and the physical development of infrastructure and these features shall be clearly shown on a map of appropriate scale. (4) A description of the current baseline conditions and likely trends in the absence of the planned development shall be provided. (5) Potential environmental impacts shall be identified in relation to topography, geology, soils, land use, flora and fauna, water, drainage, climate, air, human beings (unless covered in a separate Social Impact Assessment), and the interactions between these topics. (6) Impacts shall be described in terms of potential scale, magnitude, significance, for example, major, minor and likely duration, for example, short term, medium term, long term and reversibility or irreversibility. (7) Any economic or physical alternatives to the proposed form of development. (8) A Non-Technical Summary written in plain English such that a layman would be able to understand. 2. Content of the EIA Report The Environmental Impact Assessment report shall include the following: I CONTEXT 63 1.1 Name of the project 1.2 Particulars of the applicant for an Environmental Licence Name: Identity document/registration: Legal representative: Address: Telephone number: E-mail address: 1.3 Information on the environmental firm that produced the EIA Name: Identity document/registration details: Registration with the Agency: Legal representative: Address: Telephone number: E-mail address: II TABLE OF CONTENTS This section shall contain an index of the EIA. III EXECUTIVE SUMMARY The executive summary shall be written in plain English and in a form that is accessible to all potentially affected parties. It shall include summarized information on the following: (1) Project description (2) Environmental impacts of the project (3) Environmental management plan, monitoring plan and closure plan (4) Public participation plan IV INTRODUCTION (1) Brief history of the project (2) Other mining projects under the applicant’s control that are planned or in progress in the same area (3) Other associated projects (4) Previous environmental management instruments (5) Benefits of the project (locally and regionally) 64 (6) Legal framework (7) Methodology adopted for the environmental assessments (to be expanded, as necessary, in technical appendices for individual specialist topics; e.g. measuring air pollution). V DESCRIPTION OF THE PROJECT The description of the project shall contain the following information as applicable: 5.1 General information on the project (1) Type of mining activity (exploration, artisanal mining, small scale mining, large scale mining, dredging mining, radioactive substances mining and sand miningetc.) (2) Project location (district, chiefdom, village, section) (3) Blocks that comprise the project area, indicating UTM coordinates (4) The extent of the project area in hectares (5) Minerals to be explored or produced (6) Proven and probable mineral reserves (7) Estimated production (8) Estimated productive life of the mine (9) Phases of the project and chronogram (10) Duration of the project (11) Estimated date for the beginning of operations (12) Workforce (permanent and temporary workers) (13) Total investment and financial sources 5.2 Works and logistics (1) Earthwork (volume of soil to be moved) (2) Volume of water required and water sources (for mining purposes and domestic and human consumption) (3) Water and wastewater treatment plants (4) Natural resources demand (timber, flora and fauna, etc.) (5) Waste rock deposits (6) Electricity requirements and sources (7) Power plants (8) Fuel supply and storage (9) Mineral transportation system 65 (10) Buildings, camps, other facilities (11) Equipment and machinery (12) Roads to be constructed in kilometres (13) Port facilities 5.2.1 Specific information for exploration projects (1) Exploration plan and method (2) Exploratory boreholes and drilling techniques 5.2.2 Specific information for mining projects (1) Mining plan and method (2) Excavation, open pit, underground mining, placer (3) Mine development (4) Type of explosives to be used 5.2.3 Specific information for beneficiation projects (1) Mineral processing and metallurgy methods (2) Beneficiation plants and associated facilities (crusher, grinder, mill, concentrator, leaching pads, smelter, refinery, conveyors, cable cars, pipelines, tailings dam, reservoirs, etc.) (3) Ore and concentrates storing facilities 5.3 Permits (1) Permits required (i.e. water use, effluent treatment) (2) Permits obtained (3) Private agreements (i.e. easements, land leasing) 5.4 Maps (1) Location map (1/25,000) depicting the following: (a) Project area and area of influence (b) Topography and relief (c) Access roads (d) Urban areas and areas of urban expansion (e) Populated rural areas 66 (f) Agriculture areas, cultivated areas, and areas with agricultural potential (g) Protected areas (h) Water bodies, wetlands, forests (2) Land use map (1/500 or 1/1000) depicting the following: (a) Water supply and sewerage network (b) Electric power supply network (c) Site facilities layout (comprises any construction or works that modifies the preoperational landscape such as tunnels, open pits, plants, buildings, camps, roads, waste rock dumps, tailing channels, tailing dams, slag deposits, mineral transportation, etc.) (d)Land owned by the applicant (e) Land owned by third parties (3)Geology mapand geology report VI BASELINE This Section describes the characteristics of the environment in the project area and area of influence before the implementation of the proposed project. 6.1 Physical environment (1) Climate and meteorology (atmospheric conditions, temperature, humidity, rainfall, winds, storms, barometric pressure, etc.) (2) Topography, geology, geomorphology, stratigraphy, geochemistry (3) Hydrography, hydrology, hydrogeology, hydraulic balance (4) Land use capacity (5) Air, soil, water and ground quality 6.2 Biological environment (1) Biological diversity (2)Flora and fauna (terrestrial and aquatic) distribution, conservation status, endemic species, and endangered species (3) Fragile ecosystems (deserts, mountains, wetlands, forests, other.) (4) Protected areas and buffering zones (5) Scenic beauties 6.3 Social environment (1) Demographic indicators (2) Population distribution 67 (3) Social organization (4) Ethnic groups (5) Public health (6) Economy and labour (7)Goods and services (8) Residential location (9) Land ownership and use (10) Use of natural resources (11) Recreation (12) Utilities and services (13) Transportation services (14) Quality of life indicators (15) Cultural heritage (16) Areas of historical, cultural or scientific interest (17) Vulnerability 6.4 Areas already disturbed (1) Areas already disturbed by previous mining activities (2) Areas already disturbed by other previous activities (3) Current third party’s activities disturbing the area (4) Other elements that represent a menace to the conservation of natural habitats and ecosystems VII ENVIRONMENTAL IMPACT In this Section the applicant shall describe possible significant environmental impacts of the project if implemented. The description shall refer to each phase of the project (exploration, construction, operation, closure and post-closure) and shall indicate the affected environmental element and the action that caused the impact. Significant impacts shall be determined based on the analysis of the impact’s characteristics: nature, extent, timing, probability, reversibility, duration and magnitude. 7.1 Exploration Describe environmental impacts of the project on the items listed in Section 6.1, 6.2 and 6.3 above. 7.2 Construction phase Describe environmental impacts of the project on the items listed in Section 6.1, 6.2 and 6.3 above. 7.3 Operational phase 68 Describe environmental impacts of the project on the items listed in Section 6.1, 6.2 and 6.3above. 7.4 Closure phase Describe remaining impacts after implementing the environmental management plan. 7.5 Post-closure phase Describe potential impacts from a closed operation. These impacts may comprise amongst others, acid drainage, long-term stability of ground or closed tailing dams. VIII ENVIRONMENTAL MANAGEMENT PLAN This Section summarises the measures and actions to be taken by the applicant during each phase of the project to avoid, mitigate or compensate each significant environmental impact identified in Section VI of this document. This information is included in the stand-alone Environmental Management Plan (EMP) and includes a budget for all works. Further guidance on the preparation of the Environmental Management Plan is given in the Tenth Schedule. The set of measures which are proposed for control environmental impacts during each phase of the project (preventive measures, mitigation and compensation) shall be summarized in a table as illustrated below. Phase Environmental Preventive Mitigation Compensation impact Construction Oil spill into a river Immediate clean up measures: application of oil dispersant and oil capture Operation Ground water Installation of pollution from geomembrane tailings pond. underneath soil liner Closure Environmental Construction of alteration due to artificial lagoon by open pit not suitable filling the pit with for restoration to water, in benefit of original topography migratory birds and recreational activities for the community IX ENVIRONMENTAL CONTINGENCY PLAN This Section shall contain an Environmental Risk Assessment (ERA) and an Environmental Contingency Plan (ECP). The ERA analyses the probability of an extreme accidental or natural event causing significant adverse effects on the environment and human health within the project area 69 and/or in the project’s area of influence. The ERA shall determine the likelihood of the event and the magnitude of the consequences. The ECP shall establish control measures to be applied in case of the occurrence of emergency situations detailed in an ERA. X MONITORING PLAN This Section describes the proposed plan for assessing the effectiveness of environmental control measures (preventive measures, mitigation and compensation) set forth in the EMP. It shall refer to environmental standards approved by law or, if such laws are not provided, to internationally acceptable standards. The Monitoring Plan shall indicate the following; (1) Environmental aspects to be monitored (2) Monitoring and inspection methodology (3) Inspection frequency (4) Location of monitoring stations (5) Reporting schedules (6) Equipment and supplies (7) Administration (8) Technical team XI CLOSURE PLAN This Section describes the closure plan for mining operations at a conceptual level. The Conceptual Closure Plan will form the basis for developing a comprehensive Closure Plan as required in Section 47 of these Regulations and the standards in the Ninth Schedule. The Closure Plan shall comprise decommissioning and rehabilitation of all components of the mining operations (exploration roads, boreholes, mine pits, waste dumps, plant sites, etc.), during each phase of the project, including progressive or concurrent reclamation, closure and post-closure measures. The Closure Plan shall describe the intended plans for the post-mining sustainable use of the project area. XII COMMUNICATION AND PUBLIC PARTICIPATION PLAN A communications plan shall be developed to manage public participation and the participation of stakeholders in the process of project planning, identification of environmental and social impacts, follow-up and monitoring. It shall indicate how public consultation is to be conducted (public hearings, workshops, media, etc.), how the community’s principal concerns about the project will be identified and how these will be managed by the applicant. XIII ANALYSIS OF ALTERNATIVES TO THE PROPOSED PROJECT 70 This Section describes other alternatives to the project (such as different location, alternative mining methodologies, substitutes to target minerals, etc.) and explains why the project design is the best in terms of environmental protection and social development. 71

SIXTH SCHEDULE - SIA STANDARDS 1. SIA General Principles The Social Impact Assessment shall be carried out in accordance with the following principles - (1) themineral right holder shall ensure compliance with all human rights treaties to which Sierra Leone is a party at any time; (2)the diversity of interests and cultures of the many different social actors involved in, and affected by, mining and mining related activities shall be duly acknowledged and respected; (3) every effort shall be made to protect local cultures and traditions; (4) assessment of the social dimension of mining and mining shall be designed to help identify the best project options and alternatives, to minimise negative social impacts and to identify sustainable development opportunities; (5) strong emphasis shall be placed on engaging local knowledge and experience; these resources combined with expert judgment, are fundamental inputs for enhancing project planning and decision-making processes; (6) the mining project shall recognize that development of social and human capital is of primary importance when engaging communities in sustainable development projects and knowledge transfer from skilled to un-skilled workers shall play a major role in company employment policies; (7) every effort shall be made by the applicant to recruit workers and retain the services of local enterprises from the local community and/or the Primary Host Community, (8) materials, food and other resources shall be sourced from the local communities, (9) the holder of a mineral right shall engage social and economic experts periodically throughout the mine life cycle to monitor compliance with its social and environmental obligations; and (10) if, under the best scientific advice and feasible mitigation measures it is concluded that a planned intervention poses considerable threats to the health or survival of a community that intervention shall not proceed. 2. General Provisions on Social Impact Assessment Applicants shall apply the same principles on Social Impact Assessment to all levels of assessment from exploratory and small scale mining to large scale mining. 72 (1) The SIA shall contain a section on methodology and give a clear statement about the processes of public consultation and public participation that have been employed. (2) The SIA shall contain a socio-economic and cultural overview of the locality (3) The SIA shall include a baseline description and identify and assess potential social impacts on land, property, labour requirements, the work force and other social aspects of the proposals. (4) The SIA shall contain a map identifying all human settlements, including villages and towns within their respective chiefdom jurisdictions. (5) The SIA shall include a chapter setting out a Social Impact Management Plan (SIMP) with measures designed to prevent, mitigate or compensate for social impacts. Furthermore, monitoring activities, timeframes and estimated costs shall be included in the SIMP. 3. Scoping Study and Report (1) Following confirmation from the Agency that a Social Impact Assessment is required for a Category A or B Mining Project, the applicant will undertake a scoping study and prepare a scoping report. (2) The scoping study will examine: (a) The basic social characteristics of the proposed licence area and its surroundings; (b) Any specific local language requirements to ensure that all public participation and public consultation processes reach affected communities; (c) The main economic activities, in addition to mining, that is taking place or are being promoted within the region. (d) The main requirements of the project for skilled and unskilled labour, materials and services that could be provided from the local communities. (e) A preliminary assessment of the likely range of adverse and beneficial social impacts. (f) Requirements for negotiations over land and other natural resources. (3) The findings of the scoping study will be written up in a report not exceeding 60 A4 sides of paper. (4) The Scoping Report will be submitted to the Agency and any recommendations from the Agency will be carefully considered and incorporated as appropriate in a final document. (5) The Final Scoping Report shall be published on the Company’s website (where this exists) and copies shall be provided to the District Authorities and Chiefdoms’ administrative offices for public display and access. 4. Non-Technical Project Brief 73 The applicant for an environmental licence shall prepare a Non-Technical Project Brief which summarises the essential characteristics of the planned project in terms of the likely area of land required, the nature of the mine site in terms of area and depth, the type of extraction process envisaged, options for disposing of rock , sand and tailings waste, the type of buildings and structures to be erected, and the quantities of materials and means of transportation for transferring mine products for further processing or to ultimate markets. The non-technical project brief shall be published and copies provided to the District Authorities and Chiefdoms’ administrative offices for public display and access. 5. Formation of Community Liaison Committee A community liaison committee shall be formed in accordance with Section 5 of these Regulations as soon as it becomes apparent to the applicant that the project is likely to involve negotiations with the local community and Primary Host Community over any aspect of social cultural and local economic activities. This need is certain to arise with large scale mining and will also apply to most small scale mining projects. 6. Public Participation and Consultation The applicant shall arrange for full public disclosure of the Scoping Report and Non- Technical Project Brief. In addition a communications plan shall be prepared and followed in accordance with the First Schedule. 7. Stakeholder participation When undertaking the analysis of social and local economic issues the applicant shall actively engage local stakeholders including village communities, individuals and local enterprises such as agricultural cooperatives, education, gender and youth empowerment groups, market traders and educational, health and social workers. A full list of stakeholders’ names, positions and contact details shall be kept by the applicant and published in the draft SIA report. 8. Undertaking the Social Impact Assessment The process of undertaking the Social Impact Assessment shall include: (1) identifying, analyzing, managing, and monitoring the negative and positive, intended and unintended consequences of reconnaissance, exploration, small-scale, and large-scale mining operations, and any kind of social and cultural change that these interventions may generate; (2) a public consultation process through which to identify, analyse, manage, and monitor potential social impacts; (3) a participatory processes with the aim of strengthening the role of women, youth, and marginalized segments of society in development planning, bringing about higher levels of social inclusion and a more equitable distribution of benefits. (4) a strategy identifying how the applicant plans to obtain the community’s support for the project and strengthen ties with it throughout the entire life of the project, including preparing the community for closure and post-closure phases. 9. Draft SIA report 74 The results of the social and local economic analysis shall be written up in a draft Social Impact Assessment and submitted for comment to the Agency. The draft findings shall also be presented to the stakeholders identified in (7) above. 10. Review by the Environment Protection Agency Following review by the Agency and, where appropriate, by the Resettlement Committee, the applicant shall revise the draft SIA report to take account of these views. 11. Publication of the Social Impact Assessment Report The Company shall make the findings of the SIA public by making them available for the public to review through a variety of medium which may include periodic radio broadcasts, publication at local town halls, community halls and/or public notice boards, adjourning meetings with local communities and dissemination amongst local civil society groups, as appropriate. 12. Components of SIA Report A Social Impact Assessment Report shall include the following: (1) Social baseline description (2) Potential impacts and analysising alternatives (3) Maximising development opportunities and mitigation of negative impacts (4) Benefit and Impact plan (5) Monitoring Plan (6) Evaluation Plan 13. Content of the SIA Report The Social Impact Assessment Report shall include the following: I CONTEXT 1.1 Name of the project 1.2 Particulars of the applicant for an Environmental Licence Name: Identity document/registration: Legal representative: Address: Telephone number E-mail address: 1.3 Information on the Social Impact assessors and company that produced the EIA Name: Identity document/registration: 75 Registration with the Agency: Legal representative: Address: Telephone number: E-mail address: II PREAMBLE AND TABLE OF CONTENTS The preamble shall provide: (1) Acknowledgements: identifying the principal contributors and stakeholders who have rendered assistance to the assessment team. (2) Key sources of information (3) Definitions and abbreviations. Defines all words, expressions and abbreviations that a layperson cannot be expected to know. The contents list shall contain an index of the SIA. III EXECUTIVE SUMMARY Discusses significant findings and recommended actions in a non-technical language (layperson’s language)..It shall include summarized information on the following: (1) Project description (2) Social and local economic impacts of the project (3) Social impact management plan, social monitoring plan and social components of the mine closure plan (4) Public participation plan IV INTRODUCTION (1) Brief history of the project (2) Other mining projects under the applicant’s control that are planned or in progress in the same area (3) Other associated projects (4) Previous environmental management instruments (5) Benefits of the project (locally and regionally) (6) Legal framework (7) Methodology adopted for the social impact assessments (to be expanded, as necessary in technical appendices for individual specialist topics). V POLICY, LEGAL AND ADMINISTRATIVE FRAMEWORK 76 This chapter discusses the policy, legal and administrative framework within which the SIA is carried out, including relevant international agreements to which Sierra Leone is a party. VI DESCRIPTION OF THE PROJECT This chapter summarises the proposed project and its geographical, social and temporal context, including any off-site developments that may be required (e.g. access roads, power plants, water supply, housing, storage facilities). Relevant maps are to be included showing the project site and area of influence. The description of the project shall contain the following information as applicable: 6.1 General information on the project (1) Type of mining activity (exploration, artisanal mining, small scale mining, large scale mining, dredging mining, radioactive substances mining) (2) Project location (district, chiefdom, village, section) (3) Blocks that comprise the project area, indicating UTM coordinates (4) The extent of the project area (hectares) (5) Minerals to be explored or produced (6) Proven and probable mineral reserves (7) Estimated production (8) Estimated productive life of the mine (9) Phases of the project and chronogram (10)Duration of the project (11)Estimated date for the beginning of operations (12)Workforce (permanent and temporary workers) (13)Total investment and financial sources 6.2 Permits (1) Permits required (i.e. water use, effluent treatment) (2) Permits obtained (3) Private agreements (i.e. easements, land leasing) 6.3 Maps (1) Location map (1/25,000) depicting the following: (a) Area and area of influence (b) Topography and relief (c) Access roads 77 (d) Urban areas and areas of urban expansion (e) Populated rural areas (f) Agriculture areas, cultivated areas, and areas with agricultural potential (g) Protected areas (h) Water bodies, wetlands, forests (3) Land use map (1/25000) depicting the following: (a) Water supply and sewerage network (b) Electric power supply network (c) Site facilities layout (d) Land owned by the applicant (e) Land owned by third parties VII SOCIAL BASELINE This Section describes relevant social and economic conditions in local communities, the region and Sierra Leone at large, including any changes anticipated before the project commences. Quantitative parameters are provided where possible. 7.1 Demographic Indicators (1) Population number, density and distribution (2) Population age profile (3) Male/Female ratios (4) Children under 18 (5) Average life expectancy (6) Population growth (7) Migration (8) Fertility rates 7.2 Community and Social Organisation (1) Role of Chiefdoms (2) Local authority structure, powers, capabilities (3) Informal administration structures (4) Cultural diversity, ethnic groupings and religion (5) Local customs and taboos (6) Vulnerable and disadvantaged groups 78 7.3 Housing (1) Housing stock (2) Housing condition (3) Housing demand 7.4 Education (1) Child Education (2) Youth education and training (3) Adult education and training 7.5Public Health (1) Mortality rates (2) Morbidity rates (3) Maternal welfare (pre/post natal) (4) Infectious diseases (5) Nutrition levels (6) HIV/AIDs 7.6Economy and Livelihoods (1) Economic structure (2) Livelihoods (3) Business Enterprises (4) Employment (5) Unemployment (6) Goods and services (7) Market trading 7.7 Land ownership and use 7.8 Use of natural resources 7.9 Utilities and services 7.10 Intangible Assets (1) Quality of life indicators (2) Cultural heritage 79 (3) Areas of historical, cultural or scientific interest VIII SOCIAL AND LOCAL ECONOMIC IMPACT In this Section the applicant shall describe possible significant socio-economic impacts of the project if implemented. The description shall refer to each phase of the project (exploration, construction, operation, closure and post-closure), indicating the affected socio-economic element and the action that caused the impact. The assessment of socio- economic impacts shall take into account relevant local, regional or national development plans. Significant impacts shall be determined based on the analysis of the impact’s characteristics: nature, extent, timing, probability, reversibility, duration and magnitude. 8.1Exploration Describe environmental impacts of the project on the items listed in Section 6.1, 6.2 and 6.3 above. 8.2Construction phase Describe environmental impacts of the project on the items listed in Section 6.1, 6.2 and 6.3 above. 8.3Operational phase Describe environmental impacts of the project on the items listed in Section 6.1, 6.2 and 6.3 above. 8.4Closure phase Describe remaining impacts after implementing the environmental management plan. 8.5Post-closure phase Describe potential impacts from a closed operation. These impacts may comprise acid drainage, long-term stability of ground or closed tailing dams, among others. IX SOCIAL IMPACT MANAGEMENT PLAN This Section describes the set of measures and actions to be taken by the proponent during each phase of the project to avoid, mitigate or compensate each significant socio- economic impact identified in Part VII of this Schedule. The Social Impact Management Plan (SMP) shall include a budget. Further guidance on the preparation of a social impact management plan is given in the Eleventh Schedule. The set of proposed measures to control environmental impacts for each phase of the project (preventive measures, mitigation and compensation) shall be summarized in the table below (see example in Italics). Phase Socio-Economic Preventive Mitigation Compensation impact Construction 80 Operation Closure X COMMUNITY DEVELOPMENT PLAN The Social Impact Assessment shall include a chapter which summarises the state of negotiations between the applicant for an environmental licence and the Primary Host Community being undertaken in accordance with Section 140 of the Mines and Minerals Act 2009. An outline of the content and main proposals of the Community Development Plan shall be included together with the programme for finalizing this document and, where appropriate, arrangements for entering into a Community Development Agreement. XI SOCIO-ECONOMIC CONTINGENCY PLAN This Section shall contain a Social and Economic Risk Assessment (SERA) and a Socio-Economic Contingency Plan (SECP). The SERA analyses the possibility of an extreme accidental or natural event causing significant adverse effects on the social fabric and human health within the project area and/or in the project’s area of influence. The SERA shall determine the event likelihood and the magnitude of the consequences. The SECP shall establish control measures to be applied in case of emergency situations described in the SERA. XII SOCIO-ECONOMIC AND HEALTH MONITORING PLAN This Section describes the proposed plan for assessing the effectiveness of socio- economic and health control measures (preventive measures, mitigation and compensation) set forth in the SIMP. It shall refer to socio-economic and health standards and standards approved by law or, in the absence of such laws, to internationally acceptable standards. The Monitoring Plan shall indicate the following; (1) Socio-economic and health aspects to be monitored (2) Monitoring and inspection methodology (3) Inspection frequency (4) Location of monitoring stations (5) Reporting schedules (6) Equipment and supplies (7) Administration (8) Technical team 81 The Evaluation of monitoring results will form a key output from the socio-economic and health monitoring plan. The results shall be carefully considered by the environmental licence holder and acted upon in implementing the social impact management plan. XIII SOCIAL AND ECONOMIC COMPONENTS OF THE CLOSURE PLAN This Section describes the mine closure plan for mining operations at a conceptual level. The Conceptual Closure Plan will form the basis for developing a comprehensive Mine Closure Plan as required in Section 47 of these Regulations and described in more detail in the Ninth Schedule. The Mine Closure Plan shall comprise decommissioning and rehabilitation of all components of the mining operations (exploration roads, boreholes, mine pits, waste dumps, plant sites, etc.), during each phase of the project, including progressive or concurrent reclamation, closure and post-closure measures. The Mine Closure Plan shall describe the intended post-mining sustainable use of the project area. XIV COMMUNICATIONS AND PUBLIC PARTICIPATION PLAN The Communications and Public Participation Plan shall describe the participation of stakeholders in the process of project planning, identification of environmental and social impacts, follow-up and monitoring. It shall indicate what are the means for public consultation to be used (public hearings, workshops, media, etc.), what the community’s principal concerns about the project are and how these plan to be managed by the proponent. XV ANALYSIS OF ALTERNATIVES TO THE PROPOSED PROJECT This Section describes other alternatives to the project (such as different location, alternative mining methodologies, substitutes to target minerals, etc.) and indicates how the community and surrounding district would possibly develop if the project is not realized, for example, in terms of potential social impacts; and reasons why these alternatives have not been chosen. 82

SEVENTH SCHEDULE - ESIA STANDARDS 1. Environmental and Social Impact Assessment (ESIA) Procedures These standards set out the procedures for conducting a simplified form of environmental, social and health impact assessment for those Category C projects identified in Section 29that do not require a comprehensive Environmental Impact Assessment or Social Impact Assessment. The Regulations and these standards recognise that there are some forms of exploration and small-scale mining activity that are unlikely to have major environmental, social or health impacts. These operations may typically involve: (1) extraction of small quantities of ore for bulk sampling during mineral exploration (2) small quarries used for the extraction of building stone (3) small scale sand and gravel pits Very occasionally, other small scale mining operations may qualify for the simplified form of assessment if the type of mineral extraction allows for rapid restoration of worked out areas and there are no important or sensitive environmental habitats or social issues on the mine site or the surrounding area. For the avoidance of doubt no large scale mining operations will qualify for simplified assessment using ESIA. 2. Conduct of an Environmental and Social Impact Assessment Applicants for a Category C Project Environmental Licence shall undertake a combined assessment on environmental, social and health issues relating to the project and prepare a report of not more than 100 pages including appendices. The work shall be undertaken by assessors who are qualified and competent to undertake the three core areas of assessment. 3. Content of the EIA Report The Environmental Impact Assessment Report shall include the following: I CONTEXT 1.1 Name of the project 1.2 Particulars of the applicant for an Environmental Licence Name: Identity document/registration: Legal representative: Address: Telephone number: 83 E-mail address: 1.3 Information on the Environmental firm that produced the EIA Name: Identity document/registration: Registration with the Agency: Legal representative: Address: Telephone number: E-mail address: II TABLE OF CONTENTS This section shall contain an index of the EIA. III EXECUTIVE SUMMARY The executive summary shall be written in plain English and in a form that is accessible to all potentially affected parties. It shall include summarized information on the following: (1) Project description (2) Environmental, social and health impacts of the project (3) Combined environmental, social and health management plan, monitoring plan and closure plan (4) Statement on public participation procedures IV INTRODUCTION The introduction shall contain the following: (1) Description of the project (2) Relationship to other developments under the applicant’s control or ownership (3) Benefits of the project (4) Methodology adopted for the environmental assessments V DESCRIPTION OF THE PROJECT The description of the project shall contain the following information as applicable: 5.1 General information on the project (1) Type of mining activity (exploration, artisanal mining, small scale mining, large scale mining, dredging mining, radioactive substances mining) (2) Project location (district, chiefdom, village, section) 84 (3) Blocks that comprise the project area, indicating UTM coordinates (4) The extent of the project area (hectares) (5) Minerals to be explored or produced (6) Proven and probable mineral reserves (7) Estimated production (8) Estimated productive life of the mine (9) Phases of the project and chronogram (10) Duration of the project (11) Estimated date for the beginning of operations (12) Workforce (permanent and temporary workers) (13) Total investment and financial sources 5.2 Works and logistics (1) Earthwork (volume of soil to be moved) (2)Volume of water required and water sources (for process, domestic and human consumption) (3) Water and wastewater treatment plants (4) Natural resources demand (timber, flora and fauna, etc.) (5) Waste rock deposits (6) Electricity requirements and sources (7) Power plants (8) Fuel supply and storage (9) Mineral transportation system (10) Buildings, camps, other facilities (11) Equipment and machinery (12) Roads to be constructed in kilometres (13) Port facilities 5.3 Specific information for exploration projects (1) Exploration plan and method (2) Exploratory boreholes, drilling techniques 5.4 Specific information for exploration projects 85 (1) Mining plan and method (2) Excavation, open pit, underground mining, placer (3) Mine development (4) Type of explosives to be used 5.5 Specific information for beneficiation projects (1) Mineral processing and metallurgy methods (2) Beneficiation plants and associated facilities (crusher, grinder, mill, concentrator, leaching pads, smelter, refinery, conveyors, cable cars, pipelines, tailings dam, reservoirs, etc.) (3) Ore and concentrates storing facilities 5.6 Permits (1) Permits required (i.e. water use, effluent treatment) (2) Permits obtained (3) Private agreements (i.e. easements, land leasing) 5.7 Maps Location map (1/25,000) depicting the following: (1) Project area and area of influence (2) Topography and relief (3) Access roads (4) Urban areas and areas of urban expansion (5) Populated rural areas (6) Agriculture areas, cultivated areas, and areas with agricultural potential (7) Protected areas (8) Water bodies, wetlands, forests 5.8 Land use map (1/500 or 1/1000) depicting the following: (1) Water supply and sewerage network (2) Electric power supply network (3) Site facilities layout (comprises any construction or works that modifies the preoperational landscape such as tunnels, open pits, plants, buildings, camps, roads, waste rock dumps, tailing channels, tailing dams, slag deposits, mineral transportation, etc.) (4) Land owned by the applicant 86 (5) Land owned by third parties 5.9 Geology map and geology report VI ENVIRONMENTAL, SOCIAL AND HEALTH BASELINE This Section describes the characteristics of the environment in the project area and area of influence under existing conditions (i.e. prior to the project development) 6.1 Physical environment 6.2 Biological environment 6.3 Social, local economic, health and environment 6.4 Areas already disturbed The content of these sections shall draw on the fuller description of topics to be covered under an EIA or SIA baseline, where these are relevant to the assessment. VII POTENTIAL IMPACTS In this Section the applicant shall describe possible significant environmental, social and where relevant health impacts of the project if implemented. The description shall be referred to each phase of the project (exploration, construction, operation, and closure), indicating the affected environmental element and the action that caused the impact. Significant impacts shall be determined based on the analysis of the impact’s characteristics: nature, extent, timing, probability, reversibility, duration and magnitude. VIII INTEGRATED ENVIRONMENTAL AND SOCIAL MANAGEMENT PLAN This Section describes the set of measures and actions to be taken by the applicant during each phase of the project to avoid, mitigate or compensate the environmental and/or social impacts identified in Section VII. The integrated environmental and social management plan shall include an indicative budget for all works. IX ENVIRONMENTAL AND SOCIAL RISKS A chapter shall be included indicating any potential environmental or social risks and the measures that will be taken to control such risks. X INSPECTION AND MONITORING PLAN A chapter shall be included setting out the measures that are proposed for monitoring potential sources of environmental pollution and control measures to avoid, mitigate or compensate for any adverse environmental or social impacts XI CLOSURE PLAN 87 A chapter shall be included outlining the steps that will be taken to decommission the mine and rehabilitate the site on completion of works. The Mine Closure Plan shall describe the intended post-mining sustainable use of the project area. XII STATEMENT ON PUBLIC PARTICIPATION A section shall be included in the report indicating the steps that have been taken to consult the local community and the Primary Host Community and the measures that will be followed to keep stakeholders informed throughout the mine life cycle. XIII ANALYSIS OF ALTERNATIVES TO THE PROPOSED PROJECT This Section shall describe other alternatives to the project (such as different location, alternative mining methodologies, substitutes to target minerals, etc.) and explain why the project design is the best in terms of environmental protection and social development. 88

EIGHTH SCHEDULE - ENVIRONMENTAL CODE OF PRACTICE 1. Application of the code of practice This code of practice will be applied by all holders of mineral rights to their operations in circumstances where: (1) a declaration has been signed under oath that there will be no adverse environmental, social or local economic impacts arising from the operations; and (2) the Agency has issued a decision that an environmental licence is not required and the code of practice shall apply. 2. Content of The Code of Practice I. Land Surface (1) The site(s) of operations shall be protected at all times by fencing or by constant inspection to ensure that they pose no risk to the local community and Primary Host Community and in particular children or other vulnerable groups. (2) All areas of land affected by the operations shall be reinstated to their original condition following completion of the operations and such reinstatement shall include the replacement of soil and reseeding or replanting of vegetation, or in the case of productive land, re-cultivation of the land to leave it in a state suitable for the growing of crops II. Land Excavation Any excavation created as part of the operations shall be backfilled with inert material or regarded to leave smooth free-draining contours with no depressions or pits that could fill with water. III. Water (1) The holder of a mineral right shall ensure that no water supplies are adversely affected or access to water is impaired by the operations for any other users in the locality. (2)In the event that the operations accidently cause a temporary break in service or supply to any other users in the locality, the mineral right holder shall provide alternative supplies and meet the full costs of compensation for disruption of supply. 89 (3) In the absence of any agreement under (4) below, all pipes, tanks and other receptacles used for water storage shall be removed on completion of the operations. (4) Pipes, tanks and other water storage receptacles may be retained on site for use by the landowner or local community if this action is authorised by the Agency following a written request from the holder of a mineral right. IV. Wildlife and Nature Conservation The holder of a mineral right shall ensure that minimum disturbance is caused to local habitats by the operations. V. Natural Resources (1) With the exception of the clearance of vegetation to permit activities to proceed in accordance with the signed declaration, the operator undertakes not to fell trees or cut timber or remove any other natural resources from the site. (2)The rights of local communities to collect roots, fruits, honey, medicinal plants, fire wood and any other natural resources in the area shall be respected. VI. Infrastructure & Access (1) Where any form of mineral traffic, including movement of plant takes place on public access roads or tracks and the roadways are subject to wear and tear from this traffic, the operator undertakes to maintain such roads in a state which is as good as, if not better than it was prior to the commencement of operations. (2) Following closure of the operations the operator shall leave all access roads used by mineral traffic in a condition which is as good as, if not better than those at the start of operations. VII. Energy & Fuel (1) All equipment used for the transport or storage of diesel, oil and other fuels will be maintained in safe and fully serviceable condition throughout the life of the operations and shall be removed on completion of the works. (2) Areas used for the storage or transfer of diesel, oil and other fuels shall be protected against accidental spillage with an impermeable membrane (plastic or equivalent) laid beneath an absorbent surface. VIII. Buildings, Structures and Processing Plant (1) All buildings, structures and processing plant shall be maintained in a safe and secure condition during the operations and will be removed on completion of the operations, except under condition (2). 90 (2) Following completion of the operations, buildings may be retained on site for use by the landowner or local community if this action is authorised by the Agency following a written request from the holder of a mineral right IX. Emissions & Waste (1) The holder of a mineral right shall ensure that at all times throughout the operations, any emissions to air, water or land are kept to an absolute minimum and at levels that pose no risk whatsoever to the health of workers, local inhabitants or wildlife. (2) Drilling mud and all other reagents used in lubricating drill rods and drilling equipment shall be contained in sealed circulatory systems and recycled without discharge to the environment. X. Social Conditions (1) The holder of a mineral right shall ensure that all aspects of the operations are controlled to the highest standards and do not give rise to any disturbance or annoyance to persons living or working in the vicinity of the operations. (2) The holder of a mineral right shall be liable for any accidents caused to members of the local community and/or the Primary Host Community and in particular children or other vulnerable groups arising within the area of the operations and shall be obliged to pay full compensation in the event of injury or death or any individual. XI. Landuse The holder of a mineral right shall ensure that the operations are conducted in harmony with all surrounding landuses and shall undertake restitution with full compensation in the event that any aspect of the operations leads to accidental damage to neighbouring land uses. 91

NINTH SCHEDULE - MINE CLOSURE PLAN STANDARDS 1. Objectives The aim of these standards is to ensure that for every mining operation in Sierra Leone a planning process is in place that ensures the mine can be closed, decommissioned and rehabilitated in an ecologically and socially sustainable manner consistent with the terms of the environmental licence. The responsibility for opening, operating and closing a mine rests on the environmental licence holder and mineral right holder and must be exercised without unacceptable liability to the state. Planning for mine closure should be an integral part of mine development and operations planning. Consequently the level of information required should correspond to the stage in the mine lifespan. 2. Principles and Approaches towards Mine Closure Planning At all stages from project approval and licencing onwards, the Mine Closure Plan should demonstrate that ecologically sustainable approaches can be followed. Mine closure plans shall be site-specific. “Off the shelf” or generic proposals will not be permitted Closure planning should take account of detailed materials characterization, data on local environmental conditions and climatic conditions. Consultation should take place between the mine manager and local communities. 3. Public availability of documents The applicant shall ensure that all Mine Closure Plans are made public in the Local Community and the Primary Host Community and shall use a variety of medium which may include periodic radio broadcasts, publication at local town halls, community halls and/or public notice boards, adjourning meetings with local communities and/or dissemination amongst local civil society groups, as appropriate. 4. Level of Detail required in a Mine Closure Plan The level of detail provided with each category of project will vary according to the complexity of the mineral deposit and the expected longevity of the mining operations. The level of detail required in a Mine Closure Plan for small scale mining operations will be significantly less than is required for large scale mines. 92 Table 1 below provides an indication of the information required. Anticipated Post-mining Identification and Level of Status of Mine Life of Mine land use Management of information Closure Plan Key Environmental Issues Long term in Provisional All high risk Indicative Provisional excess of 25 targets components years established identified Medium term Clear proposals Full risk Well informed Full Plan (10-25 years) set out assessment presented provided Short term up Full definition Full risk Full and Plan and to 10 years of future uses assessment accurate details detailed required provided proposals presented Small scale Full definition Full risk Full and Plan and mining of future uses assessment accurate details detailed operations required provided proposals presented Existing Assessed on Assessed on case- Assessed on Assessed on operations case-by-case by-case basis case-by-case case-by-case basis basis basis 5. Details required in a Mine Closure Plan A Mine Closure Plan must be accompanied by professionally surveyed site plans, aerial photographs and three dimensional drawings and diagrams. The suggested content of a MCP is detailed below: CONTENT Cover Page: (1) Title of project (2) Document title (3) Document ID number and version number (4) Date of submission (5) Environmental Licence number (or application number) (6) Mineral Rights Licence number (or application number) (7) Company name 93 (8) Full contact details Table of Contents Section 1 Scope and Purpose of the Mine Closure Plan Section 2 Project Summary Covering: land ownership, location of the operations, overview of the mining operations, comprehensive site plan Section 3 Identification of closure obligations and commitments Section 4 Collection and analysis of closure data Covering environmental data, other closure data and an analysis of data Section 5 Results of Stakeholder consultation Section 6 Post-mining land use and closure objectives Section 7 Presentation of final land forms in map and graphic (3-D) formats Section 8 Identification and Management of closure issues For example: - Hazardous materials - Hazardous and unsafe facilities - Contaminated sites - Acid and metallic-ferrous drainage - Radioactivity - Fibrous materials (asbestos) - Non-target metals and residues in mine wastes - Management of mine pit lakes - Adverse impacts on surface and ground water quality - Dispersive materials - Design and maintenance of permanent drainage systems - Dust emissions - Rehabilitation of flora and fauna - Visual amenity - Heritage issues Section 9 Completion Criteria, Performance indicators and targets Section 10 Financial provisions To cover: - Earthmoving and landscape forming operations 94 - Management of hazardous or unstable materials - Management of surface water drainage post closure - Research and trials - Decommissioning and removal of infrastructure - Remediation of contaminated areas - Progressive and final restoration - Post-closure maintenance and monitoring - Continuing stakeholder consultations - Closure project management (administration, specialist consultancy, legal fees) - Provision for unexpected closures - Provision for potential delays and extreme events. Section 11 Closure Implementation - Management structure and staffing - Work plan and programme - Sources of materials for remedial works - Pilot processes Section 12 Closure Monitoring and maintenance Section 13 Management of date and permanent mine records depository 6. Risk Assessment In the interests of reducing the risks of failure in achieving full rehabilitation of worked out mines, the applicant shall carry out a risk assessment and include the findings in the Mine Closure Plan. The purpose of the risk assessment is to: - Ensure early identification of potential risks; - Develop acceptable and realistic criteria to measure performance; - Ensure orderly, timely and cost-effective closure outcomes; - Reduce uncertainty in terms of the scale of closure costs; and - Ensure application of continual improvements in remedial technology, the enhancement of the final design and management of drainage, erosion and seepage controls. 7. Minimum requirements for a Mine Closure Plan A Mine Closure Plan will be judged incomplete if the answer to any of the following questions is NO;- (1) Has the closure plan been prepared specifically for this site? (2) Is stakeholder consultation fully documented in the plan? 95 (3) Does the plan clearly indicate how stakeholders’ concerns have been taken into account? (4) Has a full environmental and social assessment been undertaken of the issues involved in closing and rehabilitating the mine? (5) Are workable management measures identified and formally proposed as part of the mine closure plan for dealing with the issues highlighted in (4) above, (6) Is there evidence that experience from other similar sites in Sierra Leone, or other countries has been taken into account with the lessons learnt being applied to the mine closure plan? (7) Does the mine closure plan contain firm proposals for further research and field trials to support closure proposals? (8)Is the scope for progressive restoration or rehabilitation fully examined in the mine closure plan? (9) If scope exists for progressive restoration or rehabilitation are the necessary technical and financial provisions made in the plan? (10) Does the mine closure plan contain a section setting out measures for dealing with closure and the possibility of temporary closure on a care and maintenance basis? 8. Changes to approved Mining Proposals Any substantial change to an approved mining operations and a mine plan is likely to result in increases in environmental and social impact. This in turn will necessitate review of the mine closure plan. 9. Unexpected and Temporary Closure Mining operations can run into unexpected issues, like the influx of water into the mine area, or change in economic circumstances that necessitate temporary closure of the mining operations. If temporary closure becomes necessary this will trigger requirements for adoption of a Care and Maintenance Plan as set out in the Seventeenth Schedule of these Regulations. In the case of a temporary closure the mineral right holder is required carry out all environmental obligations without interruptions. 10. Existing Mine Operations Under the Regulations and this Schedule the mine closure plans for all existing mining operations will need to be reviewed every 2 years 96

TENTH SCHEDULE - ENVIRONMENTAL MANAGEMENT PLAN STANDARDS 1. Preparation of an Environmental Management Plan A mineral right holder which is obliged to prepare an EIA shall prepare an Environmental Management Plan in accordance with Section 110(2)(d) of the Mines and Minerals Act2009. The Environmental Management Plan must incorporate all of the recommendations and commitments to environmental protection in terms of avoidance, minimisation and compensation that are contained in the Environmental Impact Assessment, together with any additional conditions that are attached to the Environment Licence. The Environmental Management Plan must include a programme of environmental works, including timescale, targets and indicative costs. 2. Objectives of the Environmental Management Plan An environmental management plan sets out the measures and steps that will be taken by the holder of an environmental licence to avoid, minimise, mitigate or compensate for adverse environmental effects arising from the mining operation that are identified in the environmental impact assessment studies and report. The level of detail will vary according to the stage of mining operation that is being covered in the environmental license (i.e. exploration, detailed feasibility study or full scale mining) and the scale of operations (small scale or large scale mining operations). An EMP will describe critical environmental values and/or sensitive sites that are to be protected during the life, closure and post-closure stages of the operations, in addition to those environmental features that are likely to be directly influenced or affected. Specific commitments must be entered into in the plan based on the site assessments and international best practice in environmental care and proven research. Provisions for monitoring must be included that are technical and financially achievable and these shall cover environmental protection objectives, standards, measurable indicators and control strategies. Applicants for an environmental licence are strongly advised to consult the Agency while preparing environmental protection commitments and responses to the findings of the EIA. 3. Recommended contents of an Environmental Management Plan Environmental Management Plan for an Environmental Licence for Exploration CONTENTS Section 1 Mining project status Section 2 Description of mining activities Section 3 Description of environmental values and potential impacts 97 Section 4 Management measures for each of the following environmental values, as applicable - Air : micro-climate, dust, odours, point source contaminants - Water: natural watercourses, stream sediments, water quality, groundwater, dams and containments, sewage effluent quality and control, - Noise and vibration - Wastes: liquids and solids - Land, landforms, rehabilitation criteria, landform design, gradients relating to end-uses - Dams containing hazardous waste - Infrastructure: roads, powerlines, generators - Vegetation: flora - Biodiversity: fauna - Heritage and cultural conservation features 98

ELEVENTH SCHEDULE - SOCIAL MANAGEMENT PLAN STANDARDS 1. Status of a social management plan A social management plan is prepared from the material contained in a social impact assessment (SIA) environmental and social impact assessment (ESIA) and contains the measures to prevent, mitigate or compensate for negative social impacts resulting from mining activities as well as measures to enhance and maximise development opportunities. The social management plan sets out the steps and measures that will be taken by the mineral right holder to deliver all of the social and local economic obligations that stem from these Regulations in relation to the construction, implementation, operation and closure of mining activities and operations. Social obligations covered in the social management plan are separate and distinct from any wider commitments arising pursuant to negotiations with the host community in relation to a Community Development Agreement or community development plan or resulting from a Company’s corporate and social responsibility policies. 2. Preparing a Social Management Plan All Category A project applicants are required to prepare a social management plan. Where it is deemed appropriate, an authorised officer of the Agency or the Director of Mines may also direct that a Social Management Plan be prepared for a Category B project. In accordance with these Regulations, a social management plan must be revised annually throughout the construction, implementation, operations and closure stages of a mineral operation. The annually updated SMP shall be submitted to the Agency within one month of the date of its adoption. 3. Objectives of a social management plan A social management plan sets out the measures and steps that will be taken by the holder of an environmental licence to avoid, minimises, mitigate or compensate for adverse social effects arising from the mining operation that are identified in the social impact assessment studies and report (or the environmental and social impact assessment study and report in the case of a Category C Project). The level of detail will vary according to the stage of mining operation that is being covered in the environmental license (i.e. exploration, detailed feasibility study or full scale mining) and the scale of operations (small scale or large scale). A SMP will describe critical social values and/or sensitive sites that are to be protected during the life, closure and post-closure stages of the mining operations in addition to those social and local economic features that are likely to be directly influenced or affected. Specific and tailored commitments must be entered into in the plan based on site assessments, international best practice in social care and proven research. All monitoring provisions must be technically and financially achievable and must cover social protection objectives, standards, measurable indicators and control strategies. 99 Applicants for an environmental licence are strongly advised to consult the Agency while preparing their social protection commitments and responses to the findings of the SIA or ESIA. 4. Contents of a social management plan The social management plan will contain, as a minimum, the following criteria: CONTENTS Section 1 Mining project status Section 2 Description of mining activities Section 3 Description of social and local economic values and any sensitive sites and potential impacts Section 4 Management measures for each social and local economic value. In addition, the social management plan shall include sections detailing the following:- (a) references and links to a public consultation and participation plan; (b) a grievance or conflict management plan; (c) timescales and estimated costs for the work; and (d) provisions for monitoring and evaluating the results, and where necessary, taking extra measures. 100

TWELFTH SCHEDULE - COMMUNITY DEVELOPMENT AGREEMENT AND PLAN STANDARDS 1. Community development agreement The holder of a small scale or large scale mining license is required to have and implement a community development agreement with the host community in accordance with Section 139(1) of the Mines and Minerals Act 2009. 2. Community development plan The Community development agreement shall be based on the contents of a community development plan which in turn sets out how the holder of an environment licence will implement the findings and recommendations of a social impact assessment (SIA) or environmental and social impact assessment (ESIA). The Community Development Plan (CDP) will include; (1) a participatory framework; (2) a statement on the company’s policy, procedures and institutional arrangements necessary to implement sustainable development opportunities in the Host Community in the social impact assessment or environmental and social impact assessment and in the social management plan. (3) a local employment and procurement strategy that commits the applicant;- (a) to a policy of utilizing local employment wherever practical during all stages of mine development; and (b) to purchasing local materials and products wherever practical. (4) a gender strategy outlining actions for improving the condition of women and children within the Host Community who are likely to be affected by the planned operations. (5) a community development programme which shall include at least the following: (a) objectives, (b) milestones; (c) implementation timetable; (d) schedule of anticipated expenditures; (e) metrics by which to measure progress; (f) periodic reporting including actual expenditures; (g) how the plan works in coordination with government plans, services, infrastructure and activities provided to or affecting the community; 101 (h) how the provision of any service provided by the mining right holder to the community will be terminated or transferred to the community, government or other entity; (i) how and when the plan will be periodically updated; (j) how the plan and amendments to the plan will be ratified by the community; and (k) such other content as may be mutually agreed by the community and the mining right holder; Pursuant of Section 140(1) (c) (iii) of the Mines and Minerals Act 2009, the Community Development Plan shall also serve to prepare the community for mine closure with the Mine Closure Plan (MCP) also containing relevant consultation and participation methodologies to meet that end. 3. Form of the Community Development Agreement The community development agreement shall be structured around the following contents list. CONTENTS LIST 1. Objectives 2. Mining right holder’s obligation to assist in development of communities 3. Capacity to negotiate 4. Recommended content of community development agreement 5. Community development agreements should complement other agreements and development plans 6. Recommended minimum expenditure 7. Transparency through reporting 8. CDAs and annual reports available to the public 9. Transfer 10. Pre-existing mining rights 4. Objectives of the Standards The objectives of these standards are: (1) to enhance the sustainable social, cultural and economic well-being of communities impacted by mining operations; (2) to define when community development agreements may be useful and to provide a suggested framework for such agreements; (3) to promote accountability and transparency in mining related community development. 5. Obligations of the Mining Rights Holder In accordance with Section 138 of the Mines and Minerals Act a mining right holder is required to assist in the development of communities affected by its operations to promote 102 sustainable development, enhance the general welfare and the quality of life of the inhabitants, and recognize and respect the rights, customs, traditions and religion of local communities. 6. Conduct of negotiations Where a qualified community lacks the capacity to effectively negotiate a community development agreement, the mining right holder is obliged to assist to build that capacity including the provision of such funds to the community for capacity-building and preparation as are reasonable in the circumstances. 7. Content of the Community Development Agreement A mining right holder is required to negotiate a ratified community development agreement with each host community affected by the planned mining development, and each such agreement shall include as a minimum the following provisions: (1) the person, persons, board, committee, foundation, trust, forum, body or other entity which shall manage the agreement; (2) the person or body that represents the partner community for the purposes of the agreement; (3) the means by which a registry of persons comprising the community will be developed, maintained and updated; (4) the means by which members of a partner community will participate in the community’s agreement related decision-making processes; (5) the means by which the interests of women, youth and sub-communities of the partner community will be represented in the community’s agreement related decision-making processes and implementation; (6) the goals and objectives of the community development agreement; (7) a community development programme (see Section 2v. above) (8) the roles and obligations of the holder of the mining right to the partner community, which may or may not be part of the development programme plan, including but not necessarily limited to: (a) undertakings with respect to the social and economic contributions that the project will make to the sustainability of the community; ( b) a ss i s ta n c e in creating self-sustaining, income-generating activities, such as but not limited to, production of goods and services needed by the mine and the community; (c) consultation with the community in the planning of mine closure and post- closure measures that seeks to prepare the community for the eventual closure of the mining operations; (9) the roles and obligations of the partner community to the holder of the mining right; (10) the roles and obligations of the District Council,if it is a party to the community development agreement or otherwise so chooses to be obligated; 103 (11) the means by which the community development agreement shall be reviewed by the holder of the mining right and partner community every five (5) calendar years, and the commitment to be bound by the current agreement in the event that any modifications to the agreement sought by one party cannot be mutually agreed with the other party; (12) the consultative and monitoring frameworks between the holder of the mining right and the partner community, and the means by which the community may participate in the planning, implementation, management, measurement (including indicators) and monitoring of activities carried out under the agreement; (13) the language(s) to be used in the preparation of reports, plans, and other written matters required under the agreement; (14) the means by which any funds made available under the agreement are to be disbursed, for what purposes they may be disbursed, what accounts must be kept and by whom, and reporting and auditing requirements; (15) the mechanisms whereby the partner community, and sub-communities and members of the partner community may lodge a grievance with the mining right holder; (16) the mechanisms whereby the mining right holder may lodge a grievance with the partner community; (17) the process by which the agreement may be modified; (18) a statement to the effect that both the holder of the mining right and partner community agree that any dispute regarding the agreement shall in the first instance be resolved by consultation between the holder and the partner community representative(s); (19) the dispute resolution mechanism to be used when consultation between the holder and the partner community representative(s) fails; (20) severability of articles; (21) the applicable law, which shall be the law of Sierra Leone; (22) reasons and procedure for declaring force majeure; (23) duration of the agreement; (24) suspension / termination of the agreement; (25) assignment of the agreement or any right or obligation there under; (26) transfer of all community development agreement rights and obligations to any party to whom the mining right holder transfers its mining right; (27) how notifications to respective parties shall be done; (28) in order to prevent any overlap of resources and wastage of funds, a provision requiring the mining right holder to co-ordinate with the relevant local or central planning authorities which are responsible for providing schools, medical centres, hospitals and other social infrastructure to local communities; 104 (29) location where the agreement may be accessed by members of the community; and (30) the agreement signatories, which may for the partner community be the representativesof the community, representatives of sub-communities comprising the community, community members or any combination thereof, non- governmental organizations, and others as the need requires. 8. Other Issues to be considered In addition to the subject matter listed in (7) above, it is recommended that a community development agreement take into account the unique circumstances of the mining right holder and partner community, and the issues to be addressed in the agreement and development program plan might address all or some or none of the following issues:- (1) role of local and other levels of government; (2) educational scholarship, apprenticeship, technical training and employment opportunities for the people of the community; (3) employment quota or percentage allocation for sub-communities; (4) financial or other forms of contributory support for infrastructural development and maintenance such as education, health or other community services, roads, water and power (in consultation with relevant government authorities); (5) assistance with the creation, development and support to small-scale and micro enterprises; (6) special programs which benefit women; (7) special programs which benefit youth; (8) special programs which benefit sub-communities within the partner community; (9) agricultural product marketing; (10 )protection of natural resources; (11) support for cultural heritage and sports; (12) treatment of cultural and sacred sites; (13) treatment of ecological systems, including restoration and enhancement, for traditional activities such as hunting and gathering; (14) language training to further employment prospects; (15) how cultural values will be respected; (16) cross-cultural training requirements; (17) malaria, AIDs and drug dependency prevention and intervention; (18) land access; (19) the assumption of specified obligations of the mining right holder by the partner community, sub-communities and/or government authorities on an evolving basis and/or upon termination of the agreement; 105 (20) methods and procedures of environment and socioeconomic management, and local governance enhancement; (21) coordination with local and national government development plans affecting the community; (22) requirements with regard to third parties such as the mining right holder’s contractors and suppliers; (23) the involvement of non-governmental organizations; and (24) other matters as may be agreed. 9. Goals and Objectives of the Community Development Plan It is recommended that goals, objectives, obligations and activities specified in a community development agreement aim to achieve sustained community development which – (1) lasts from generation to generation; (2) is based on the actual needs of the community; (3) is maintainable within available income; (4) is well planned, monitored and evaluated; ( 5 ) has long term benefits; (6) prepares the community for closure of the mine; (7) compliments but does not replace government-led development and services; (8) is in accord and compliments local and regional government development plans; and (9) recognizes and incorporates traditional knowledge. 10. The Role of the Local Authority A mineral right holder and partner community shall consider what role theDistrict Councilshould have in regard to a community development agreement, whether that role should be described in such agreement, and whether it would be appropriate for theDistrict Council to be a party to such agreement. 11. Provisions to be excluded from Community Development Agreements A community development agreement shall not address any of the following matters:- (1) the provision of any passenger car, small truck, or four-by-four vehicle to any individual or single family unit of the partner community or to the partner community, other than a specialized purpose vehicle such as an ambulance, fire engine, water truck, or bus; or (2) the provision of any monetary amount, service, good, orfacility for the sole benefit of an individual or single family unit. 12. Other Matters (1) It is recommended that a community development agreement be inEnglish but where a substantial proportion of the community members are not fluent 106 inEnglish the mining right holder party to such agreement should consider making available to representatives of the partner community translated copies in the local language or dialect. (2) It is recommended that a mining right holder that enters into a community development agreement with a partner community take into consideration;- (a) any community development agreements it has with other partner communities so that such agreements complement one another to achieve synergistic development across the communities. (b) any existing community development agreements entered into by that partner community with other holders of mining rights so that its community development agreement compliments such existing agreements, and whether the mining right holder might become a party to any such existing agreements. (c) any governmental community, local or regional development plans or schemes so that the agreement is in harmony with and compliments such plans or schemes. (3) It is recommended that the holder of a mining right who has entered into one or more community development agreements expendno less thanone tenth of one percent (0.1%) of the gross revenue amount earned pursuant to that right from mineral sales in the previous calendar year to implement all its agreement(s) or otherwise promote community development. (4) Where a mining right holder makes expenditures pursuant to a community development agreement, it is recommended that such expenditures be done in a transparent, predictable and sustained manner over the life of the mine. (5) The value of community development related work might include (whether incurred directly by the mining right holder or indirectly through payments by the mining right holder to a contractor, community trust, community foundation or other legal entity): (a) work or funds irrevocably committed to fulfilany obligation of the mining right holder specified in a community development agreement; (b) salaries and benefits of any person responsible for managing the implementation of one or more community development agreements where such responsibilities comprise over fifty percent(50%) of that person’s time; (c) social baseline studies (the gathering and compilation of baseline data that describes the state of the ecological, social and economic environment and characteristics of the populations living in the area); (d) social impact and opportunities assessment work (assessment of the potential ecological, social and economic impacts of the project upon communities and measures to offset potential negative impacts and maximize positive impacts); (e) competencies assessment (measuring and recording the skills in a community); 107 (f) participatory planning (the preparation of development program plans where community members participate in the planning effort); (g) community and mining operation mapping (maps depicting what the community perceives as its community space, where mining operations will take place and when, where access is open, restricted, or closed); (h) institutional analysis processes (processes for identifying and discussing what institutions are present in and around a community); (i) problem census taking (processes by which community members articulate the problems they consider need addressing in their community); (j) implementation ofDistrict Council regional and community development plans; (k) training programs for members of a partner community; (l) consultation processes between the mining right holder and a partner community or members of a partner community and or local government w h i c h a r e r e l a t e d t o t h e c r e a t i o n o r implementation of a community development agreement; (m) community development agreement monitoring; (n) conflictmanagement activities (the implementation of a grievance process, other than Court actions, as stipulated in a community development agreement); and (o) such other expenditures as may be appropriate in the circumstances. (6) It is recommended that the holder of a mining right provide annually to the Mining Cadastre Office, Minerals Advisory Board for every community development agreement to which it is a party - (a) a Community Development Agreement Annual Report no later thanJanuary 31st, describing objectives, activities, milestones and results for January through December during the prior calendar year, and (b) aCommunity Development Annual Expenditure Report not later thanFebruary 15th detailing its community development expenditures and total expenditure for January through December during the prior calendar year. (7) All community development agreements, community development agreement reports and community development annual expenditure reports (including all required attachments) submitted by past and present holders of a mining right in furtherance of these standards shall be open to free inspection by members of the public at theMining Cadastre Office during normal Government office hours. (8) It is recommended that a community development agreement, community development agreement reports and community development annual expenditure reports (including all required attachments) submitted by the holder of a mining right in furtherance of these standards also be open to free inspection by any member of the partner community at the office of the mining right holder located closest to that community during normal office hours. 108 (9) It is recommended that when a mining right is transferred to another party, the transferee should assume all rights and obligations of the transferor under any community development agreement relating to the mining right. (10)The holder of a mining right which came into force prior to the publication date of these guidelines should strive to have community development agreements with all partner communities within two years from the publication date of these Regulations. 109

THIRTEENTH SCHEDULE - CONSENT FOR THE USE OF LAND FOR MINING PURPOSES 1. The nature of consent Before the initiation of any mining activity regulated under the Mines and Minerals Act 2009 and these Regulations, the applicant for a mining right must obtain consent to use the surface land on the licence area for exploration or mining purposes. Consent must be obtained from the Chiefdom Mining Allocation Committee or its rightful occupiers or owners, and must be supported by documentary evidence. 2. Conditions for granting an Environmental Licence Before granting an environmental licence for exploration, small scale mining, large scale mining or any other mineral activities authorized under these Regulations, the Agency will require proof that a legally binding agreement is in place to cover use of land for mining purpose and that any other permits or permissions under other legislation have been secured by the applicant. Exceptionally, the Board of the Agency may grant an environmental licence for complex projects involving a multiplicity of surface right ownerships if evidence is presented to show that negotiations are at an advanced stage and there are no substantive areas of disagreement between all the parties. The issue of a licence under conditions where agreements remain to be concluded will be entirely at the discretion of the Board of the Agency with no grounds for appeal in the event that a licence is withheld. 3. Standard form on the status of consent for the use of land for mining purposes Registration Details Name of Applicant ………………………………………………………………………… Document Identity /registration no.………………………………… Registration with the Agency …………………………………………………………….. Legal representative…………………………………………………………………………. Address……………………………………………………………………………………….. Telephone number………………………………………………………………………… E-mail address…………………………………………………………………………….. Details of the Land owner(s) 110 Provide the name, address and contact details for each independent land owner Details of the Chiefdom Mining Allocation Committee Mining District …………………………………………………………………….. Name of Chiefdom…………………………………………………………………… Name of Representative Address ……………………………………………………………………………….. Telephone number …………………………………………………………………… Email ………………………………………………………………………………….. Details of the Land owner(s) Provide the name, address and contact details for each independent land owner Name ………………………………………………………………………………….. Address ……………………………………………………………………………….. Telephone number …………………………………………………………………… Email ………………………………………………………………………………….. Status of negotiations for consent to use land for exploration purposes Answer each question by ticking the relevant box Yes No A full legal agreement has been signed between the applicant for the environmental licence and mineral rights and the land owner(s) identified above, for the use of land covered by this application for mining exploration purposes. A draft legal agreement has been exchanged between the applicant for the environmental licence and mineral rights and the land owner(s) identified above, for the use of land covered by this application for mining exploration purposes. The draft agreement covers all heads of agreement and there is no dispute between any of the parties which would prevent full agreement being reached. A full legal agreement has been entered into between the applicant for the 111 environmental licence and mineral rights and the land owner(s) identified above, covering the terms of compensation for any disturbance to the land owners’ rights during the mining operations. Attempts to reach a voluntary agreement between the applicant for the environmental licence and mineral rights and the land owner(s) identified above, for the use of land covered by this application for mining exploration purposes have been unsuccessful and an application has been made to the Minister under the Mines and Minerals Act, 2009 Status of negotiations for consent to use land for small scale mining Answer each question by ticking the relevant box Yes No A full legal agreement has been signed between the applicant for the environmental licence and mineral rights and the land owner(s) identified above, for the use of land covered by this application for small scale mining operations. A draft legal agreement has been exchanged between the applicant for the environmental licence and mineral rights and the land owner(s) identified above, for the use of land covered by this application for small scale mining operations. The draft agreement covers all heads of agreement and there is no dispute between any of the parties which would prevent full agreement being reached. A full legal agreement has been entered into between the applicant for the environmental licence and mineral rights and the land owner(s) identified above, covering the terms of compensation for any disturbance to the land owners’ rights during the mining operations. Attempts to reach a voluntary agreement between the applicant for the environmental licence and mineral rights and the land owner(s) identified above, for the use of land covered by this application for mining exploration purposes have been unsuccessful and an application has been made to the Minister under the Mines and Minerals Act, 2009 Status of negotiations for consent to use land for large scale mining Answer each question by ticking the relevant box Yes No A full legal agreement has been signed between the applicant for the environmental licence and mineral rights and the land owner(s) identified above, for the use of land covered by this application for large scale mining operations. A draft legal agreement has been exchanged between the applicant for the environmental licence and mineral rights and the land owner(s) identified above, for the use of land covered by this application for large scale mining 112 operations. The draft agreement covers all heads of agreement and there is no dispute between any of the parties which would prevent full agreement being reached. A full legal agreement has been entered into between the applicant for the environmental licence and mineral rights and the land owner(s) identified above, covering the terms of compensation for any disturbance to the land owners’ rights during the mining operations. Attempts to reach a voluntary agreement between the applicant for the environmental licence and mineral rights and the land owner(s) identified above, for the use of land covered by this application for large scale mining have been unsuccessful and an application has been made to the Minister under the Mines and Minerals Act, 2009 for the land covered by this application to be compulsorily purchased, subject to the provisions for compensation contained in the above act. 113

FOURTEENTH SCHEDULE - CONFIRMATION OF LOCAL COMMUNITY PARTICIPATION IN SUSTAINABLE DEVELOPMENT 1. Basic requirements The applicant for an Environmental Licence is obliged under the principles and obligations set out in Sections 15. 26 and 32 of the Regulations to;- (1) engage the local community at the earliest opportunity; (2) ensure that the programme of participation: (i) identifies all relevant issues that could have harmful effects on the local community; and (ii) guides the identification of development priorities, joint planning, implementation, management and monitoring of sustainable development projects. 2. Form confirming participation of the local community Applicants’ Details Name of Applicant …………………………………………………………………………… Identity document/registration………………………………………………………………… Registration with the Agency ……………………………………………………………….. Legal representative…………………………………………………………………………. Address…………………………………………………………………………………….. Telephone number…………………………………………………………………………… E-mail address……………………………………………………………………………….. Local Community Details (A separate entry should be made for each local community involved) Name of Community: …………………………………………………………………… Location (Name of District): ……………………………………………………… Official representative of the Community: ……………………………………………… Chiefdom(s) within the local community area: ……………………………………………….. 114 Details of any Community Liaison Committee(s) (CLC) Established Name of CLC: ………………………………………….. Name of CLC Representative: ………………………………………….. Contact Details for CLC Representative: ………………………………………….. Date of formation and incorporation of the CLC: ………………………………………….. Number of meetings of the CLC: ………………………………………………………….. Dates when meetings of the CLC were held ……………………………………………… Record of Public Consultation (Provide a list of all public consultation meetings and describe the location, venue, purpose, type of meeting, number of participants, outcomes and recommendations with copies of minutes) 1. 2. 3. Note: Add rows as necessary Record of Publications, Advertisements and Media Events (Video, Film, TV and Radio Broadcasts) 1. 2. 3. Note: Add rows as necessary 115

FIFTEENTH SCHEDULE - APPLICATION FORM FOR ENVIRONMENTAL LICENCE This application dated ………………..has been: (1) Hand-delivered to the Registration Office of the Environment Protection Agency at 3rd Floor West Wing Youyi Building, Freetown. (2) Submitted to the Registration Office of the Environment Protection Agency at 3 rd Floor West Wing Youyi Building, Freetown by Courier service. (3) Hand-delivered to a regional office of the Environment Protection Agency. (strike out whichever of the above categories do not apply). Signed and dated by individual authorised to submit the application …………………………………………… Counter signature and date by receiving officer………………………………. Official Date Stamp of the Environment Protection Agency: The period specified for determination of the environmental licence by the Environment Protection Agency will run from the day following receipt of the completed application if delivered at the headquarters in Freetown, or 5 working days after registration at a regional office to allow for the transfer of relevant documents. An application shall not be complete until it comprises the requisite number of all of the documents specified in Section 33 of the Regulations. Confirmation by the Environment Protection Agency’s reception staff of the type and number of documents handed over does not in itself constitute a formal acceptance of a completed application. This will be provided by letter signed by a duly authorised officer once the applications details have been checked and verified. Registration Details Name of Applicant …………………………………………………………………………… Identity document/registration………………………………………………………………………… Registration with the Agency ……………………………………………………………….. Legalrepresentative………………………………………………………………………………… 116 …. Address…………………………………………………………………………………………… …….. Telephone number…………………………………………………………………………………… E-mail address………………………………………………………………………………………….. I confirm, as the authorised officer or agent for the applicant, that the following details are correct and that the requisite number of documents (identified by a tick in the appropriate boxes) has been submitted with this application form: Signature of applicant’s agent or Authorised Officer:……………………………… Date:………………………. History of Application Project Screening Application submitted: Date : Environment Protection Agency Decision on Project Category issued: Date Environment Protection Agency Application Reference Number: Project Category: Application documents submitted with this form To be completed EPA by applicant confirmation No. of  No. of Copies Copies CATEGORY D PROJECT Environmental Code of Practice CATEGORY C PROJECT Environmental and Social Impact Assessment Mine Closure Plan CATEGORY B PROJECT 117 Mine Closure Plan Environmental Management Plan Social Management Plan Draft Community Development Agreement (where required) CATEGORY A PROJECT Mine Closure Plan Environmental Management Plan Social Management Plan Draft Community Development Agreement (supported by a community development plan) Resettlement Management Plan 118 SIXTEENTH SCHEDULE - FINANCIAL ASSURANCE MECHANISM STANDARDS The financial assurance mechanism utilised for a specific project shall be comply with the standards defined in this Schedule. 1. Early scoping of financial feasibility The mining right holder must ensure that the costs associated with mine closure and post closure activities, including post closure care, are included in business feasibility analyses during the planning and design stages. Minimum considerations should include the availability of all necessary funds by appropriate financial instruments to cover the cost of closure at any stage in the mine life, including provision for early or temporary closure. Funds must be set aside early on in the project development to finance the social and economic aspects of mine closure. 2. Level of financial assurance The required level of financial surety will be established by the Agency taking due regard of the following end goals and rehabilitation standards and in all cases, to enable full reclamation and cover all costs relating to the physical closure of the site. Reclamation shall comprise but is not limited to (i) removal of all plant, equipment, and, where it is no longer needed, infrastructure; (ii) removal of all hazardous materials; (iii) sealing of adits; (iv) stabilization of all surfaces; (v) re-vegetation of all surfaces; (vi) restoration of surface and groundwater flows; (vii) prevention of long-term pollution and (viii) the adverse effects of closure of social assets in the local community, the closure of which can have severe economic consequences. In addition, reclamation includes amounts to cover activities provided for in future care, maintenance, reconstruction and emergency response action plans. The social elements that should be taken in to consideration include redundancy payments, retraining schemes, support for dependent (spin-off) businesses, utilities (electricity, water, communications etc.), social facilities (health, education, justice etc.), infrastructure (roads, airstrips, ports, wharves etc.), food security and the financial system. In most cases, the amount that is required for the financial surety is based on the specific itemized costs of all components included in the closure or rehabilitation plan. The amount of financial surety shall be established by the applicant and reviewed by the Agency. 3. Timing The financial surety must be in place before work is allowed to start on site. It does not have to be lodged until after the mining title is granted. 4. Types of funding 119 Acceptable funding instruments include a cash accrual system, bank guarantee or letter of credit, offshore trust fund, insurance policy or surety bond.The two acceptable cash accrual systems are fully funded escrow accounts (including government managed arrangements) or sinking funds. 5. Accessibility of financial assurance Financial assurances should be readily accessible, dedicated, and only released with the specific consent of the Agency. Forms of financial assurance should be payable to the Agency under its control or in a trust for their benefit and earmarked for reclamation and closure. 6. Funding provider An acceptable form of financial guarantee must be provided by a reputable financial institution. Where a guarantee is provided, in order to assure that guarantors have the financial capacity to assume an operator’s risk of not performing its reclamation obligations, the Agency must carefully screen a guarantors’ financial health before accepting any form of assurance. Any risk-sharing pools should also be operated on an actuarially sound basis. The Agency should require periodic certification of these criteria by independent third parties. 7. Review of financial assurance The level of financial surety may be reviewed and revised at any time by the Environment Protection Agency. 8. Release of financial assurance Following the successful total rehabilitation of the site and consultation with the relevant local community, all of the financial surety is returned to the proponent. The financial surety funds are not available to the mining permit holder for ongoing rehabilitation. The funds may be partially released where progressive rehabilitation has been successful and at the time of periodic review. Staged reductions in the level of financial surety can help to promote progressive rehabilitation and good practices. Before any money is returned to the mining permit holder, the Agency should establish that the program has been successful and no further work is required on the site. A commonly used method of evaluating the release of the financial surety is the success of the re-vegetation program. It is also possible to use other testing criteria, such as the surface stability, water quality, or a combination of all three. Depending on the post closure monitoring requirements, as specified in the mine closure plan, the mining title may not be relinquished for a significant period of time during which period, the proponent is responsible for any additional rehabilitation work for residual environmental impacts and social impacts and long term care and maintenance issues. Financial surety is required to support these obligations, either through the original security or by provision of a specific fund. It is released when the Agency has 120 issued a closure certificate, but a portion may be retained to cover latent or residual environmental impacts and social impacts. 9. Public Involvement Since the public runs the risk of bearing the environmental and social costs not covered by an inadequate or prematurely released security, they must be accorded an essential role in advising authorities on the setting and releasing of such security. Therefore, the Environment Protection Agency must give the public notice and an opportunity to comment both before the setting of the financial level of the security and before any decision on whether to release the same. 10. No Substitute Any type of financial assurance should not be regarded as a surrogate for a mining permit holder’s legal liability for cleanup or for the Agency applying the strictest scrutiny and standards to proposed mining plans and operations. Rather, a financial assurance is only intended to provide the public with a buffer against having to shoulder costs for which the mining permit holder is liable. 11. Primary Agency The Agency shall act as primary government agency in all mine closure matters. This assures the business community that one agency will take the lead on its problems and that it will not have to answer to many differing opinions on how the success of operation, reclamation, and closure will be measured. 121 SEVENTEENTH SCHEDULE - CARE AND MAINTENANCE PROGRAMME STANDARDS 1. Context A mine may need to be closed either permanently due to unexpected circumstances, including but not limited to, a marked change in the geological conditions, or temporarily due to changes in mineral demand and/or market priceswhich make it uneconomic to continue production in the prevailing economic climate. Whenever a mine needs to be closed it is a fundamental requirement of the Regulations that one of the following two actions is taken: (1) the mining operations are brought to an end in accordance with the Mine Closure Plan; or (2) the mining operations are put into temporary suspension and a care and maintenance plan is enacted to ensure that there are no adverse environmental or social impacts arising during the period in which the mine is dormant. 2. Preparation of the care and maintenance plan A care and maintenance plan must be prepared as part of the environmental management plan and social management plan so that the necessary actions can be taken as soon as the need for temporary closure arises. It is acknowledged that some elements of the care and maintenance plan will cover protection of plant and equipment and that these elements are covered in the Operational Regulations for the Minerals Sector, 2011. This guidance relates only to environmental and social aspects of the care and maintenance plan. 3. Activating a care and maintenance plan Any decision taken by the environmental licence holder to place a mine under care and maintenance must be immediately notified to the Agency. Concurrently with this notification the environmental licence holder must undertake an environmental and social audit of the site and its surrounding area. 4. Audit requirements The environmental audit will establish the precise condition of all open excavations, waste tips, minerals dumps, watercourses, chemical storage tanks, treatment plants, tailings dams and lagoons and assess their vulnerability to erosion, subsidence, corrosion, rupture or any other form of failure in the absence of on-going mining activities. The social audit will establish the likely impact of closure for employees and their dependents and for the local and host community as well as the consequences this will have for obligations and commitments entered into by the environmental licence holder in relation to any Community Development Agreement. 5. Care and maintenance inspections Under the terms of the care and maintenance plan the environmental licence holder will be obliged to continue carrying out inspection and monitoring activities in accordance 122 with a schedule agreed with the Agency. Where the Agency concludes that additional surveys and inspections or remote monitoring is required this shall be provided by the environmental licence holder at its own expense. 6. Emergency response action plan It shall be a condition of acceptance of the care and maintenance plan by the Agency that the environmental licence holder formulates an emergency response action plan along with all relevant implementation tools. 7. Financial assurance and compensation The costs of the care and maintenance plan and the emergency response action plan shall be covered by the financial assurance scheme. Under the terms of the care and maintenance plan, the environmental licence holder shall make compensatory payments to the local community and host community to cover the loss of any payments over the period of temporary closure which would fall due in accordance with any Community Development Agreement. 123 SCHEDULE EIGHTEEN - ROSTER OF INDEPENDENT AUDITORS 1. Creation of a roster of independent environmental auditors The Agency will establish and maintain a roster of environmental and social consultants with the necessary credentials, skills and experience to undertake the full range of environmental and social audits in the mining and minerals sector. The roster will comprise between four and six international consultancy companiesthat can be called upon to provide the full range of auditing services over a three year period of service on the roster. Competitive tendering for the auditor positions will be undertaken at three yearly intervals. 2. Selection of auditors for the roster Advertisements will be placed in international mining journals, the newsletter for the International Association of Impact Assessors (IAIA) and other international press outlets inviting environmental and social consultants with capabilities in impact assessment, management, and auditing in the field of mining and mineral development to apply for a three year post on the auditing roster. Terms of Reference will be provided which set out the requirements for the submission of parallel technical and financial bids. All proposals will be evaluated in terms of the technical competence of the auditing consultancies and their staff. Applications from those consultancy companies scoring a minimum of 70 points under the technical assessment will go forward to a second stage review based on its financial proposal. The selection of environmental auditors for the roster will be based on an evaluation of the best performing applicants on technical merit combined with lowest financial cost using the following ratio: Technical assessment score x 70% + financial assessment score x 30% Technical assessment will be based on submissions outlining: Organisation, skills and capacity Score 1. Company structure and organisation 10 2. Number and specialisms of senior managers and project managers 10 3. A list of in-house staff (names, disciplines, qualifications, seniority, years 10 of work experience), 4. A list of recruited external consultants (names, disciplines, 10 qualifications, seniority, years of work experience). 5. Access to laboratories and description of in-house monitoring and 10 auditing equipment 6. A method statement for handling different types of audit with examples 20 of related work 7. A detailed description of similar auditing work and experience in the 30 mining and related development sectors, including client references, timescale and costs. Total Score 100 124 Financial Proposals will provide the following information: Information Required Score 1. Scale of charges in bands relating to skills and experience 60 Project Director Principal Auditors Senior Auditors Middle Rank Auditors Support Staff 2. Fully costed financial proposals for undertaking 3 levels of audit 40 according to the detailed brief provided in the Terms of Reference for appointment. Total Score 100 125