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Mining and Closure Benefit Agreement

  • Health and safety
  • Land-use planning
  • Permitting processes / policy integration
  • Reporting official statistics
  • Socio-economic and environmental impact assessments

Challenge the practice is addressing: This practice is a voluntary agreement which is used to strengthen already existing relationship of trust by acknowledging its commitment to the community. This civil contract is usually negotiated during the permitting process and after the EIA approval

Concrete practice to achieve the expected goal: This civil contract includes a PEST (Political, Economic, Socio-cultural, Technological) analysis, list of stakeholders and communication strategy between the mining company and local community. It should secure financial benefits for the local community, provide job opportunities, protect the local culture, provide a grievance mechanism and provide a Community-Company Environmental Monitoring Plan.

Expected impact/goal of the practice: This contract should secure employment in the area in order to solidify the communities relationship. Furthermore, the company should support local communities in establishing new businesses and helping to strengthen the local culture and traditions. To establish and maintain trust, a Company-Community Environmental Monitoring plan will be included in the civil contract because it could be adaptive and able to be re-opened when necessary. A closure provision is needed because closure related issues remain important across Europe. If achieving and maintaining Social License to Operate is the goal, than establishing a trust-based relationship between company and local community is most important.

Who is the target user group of the practice/intervention or implementing the practice/intervention? Target user group are local communities and other stakeholders, governments and the industry

Data item type
Practice base
Practice type
Public policy
Report / document
Learning relevance
Guidelines / guidance document
Unspecified (universally applicable)
Extractive life-cycle
Pre-exploration (land-use planning)
Pre-exploitation / development stage (e.g. feasibility study)
Exploitation phase
Post-exploitation phase (i.e. rehabilitation)
Sustainability scope
Benefit sharing
Planning beyond the mine life
Valuing all forms of capital (i.e. natural and social capital)
Shared vision partnerships
Stakeholder engagement
Human rights
Cultural heritage and FPIC
Ethical practices
Diversity, inclusion & anti-discrimination
Holistic management and continuous learning
System change potential
Mining and Closure Benefit Agreement (MCBA) is a voluntary agreement usually negotiated during the permitting process after feasibility is established and the EIA is approved. It is a civil contract and would be referred to if any of the parties in the future saw it necessary. Being a voluntary agreement, MCBA is a tool for a company wishing to strengthen an existing relationship of trust by acknowledging its commitment to the community.