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2. Workshop Introduction Approach: Introduction Module format; Introduction to Ideas; Facilitate Discussion during conference Community Planning Based Objectives : Develop/strengthen appreciation for “community” values; Introduce participants to trends in industry, government policy and community expectations that will affect industry Introduce participants to resource people, tools and information 2

3. Agenda Part 1: Why Engage? Part 2: Who to Engage? (Guest Speakers) Part 3: How to Engage? 3

4. Why Engage? 4

5. The short answer…. 1.Legal Obligation (question of timing) 2.Moral Duty (‘rights’ often debated) 3.Fiscal Responsibility 5

6. Why engage? 1.Perceptions and Issues (Internal/External to Industry) 2.Trends and their Impact on Industry Activities 3.Evolution of Community Engagement 6

7. Mineral Industry Perceptions and Issues 7

8. 1.‘Free Entry System’ 2.Dual Rights System 3.Evolution of Environmental Movement 4.Public Perceptions and Past Practices 5.Secrecy of industry Mineral Industry Perceptions and Issues 8

9. 1. ‘Free Entry System’ Allows for virtually anyone to acquire claims – promotes fair access Promotes low cost access for initial exploration Usually ‘outsider’ acquires claims 9

10. Mineral Industry Perceptions and Issues 2. Dual Rights System – pros and cons Crown owns minerals – promotes social equity Landowner perspectives Creates challenges in resource and land management Perpetuates ‘outsider’ perspective 10

11. Mineral Industry Perceptions and Issues 3. Evolution of Environmental Movement Goal of social equity and environmental protection Change in philosophy from abundant to finite capacity Changes in societal expectations (trends) Changes in demographics – ‘luxury of thought’ 11

12. Mineral Industry Perceptions and Issues 4. Public Perceptions and Past Practices Litany of environmental legacy sites Public does not differentiate between mines & quarries Media coverage Poor public understanding of modern society ‘footprint’ 12

13. Mineral Industry Perceptions and Issues 5. Secrecy of industry Protection of claims – property Uncertainty in prospect development Fear of community response Investor issues 13

14. Mineral Industry Perceptions and Issues 6. Minimal Contact Local landowner contact Message and managing expectations Company capability Traditional use of public relations to deliver message Companies have difficulties defining “Community” 14

15. Trends 15

16. 1.Communications, Media and the Internet 2.Environmental and Community Planning 3.Government Policy and Activities 4.Industry Initiatives 5.Demographics Trends and their Impact on the Mineral Industry 16

17. Trends and their Impact on the Mineral Industry 1. Communications, Media and the Internet Social Media has forever changed how we communicate and share information Free access to internet - unchallenged reporting Instant access to news 17

18. Trends and their Impact on the Mineral Industry 2. Environmental and Community Planning Move towards sustainability Downloading programs – FG -> PG -> MG Community-based Initiatives (volunteer; NSEN) 18

19. Trends and their Impact on the Mineral Industry 3. Government Policy and Activities Legislation supporting sustainability (EGSPA) Natural Resources Strategy – policy document Federal, Provincial and Municipal legislation First Nations and Aboriginal Interests – Duty to Consult 19

20. Trends and their Impact on the Mineral Industry 4. Industry Initiatives PDAC E3-Plus Program Exploration Focus - Voluntary Guidelines Emphasizes CSR & Environmental Stewardship MAC - Towards Sustainable Mining Voluntary ~ 20 companies participate (operations) TSX Requirements – Section 20 of Technical Reporting 20

21. Trends and their Impact on the Mineral Industry 5. Demographics Nova Scotia’s aging population Less appetite for industry (retirement ‘community’) Skilled Labour? 21

22. Evolution of Community Engagement 22

23. Evolution of Community Engagement Where have we been?? Minimal effort - as demanded by legislation Mainly one-way communications – PR based Early environmental legislation adopted to meet environmental and social demands (EA process) EA process only applicable at ‘development’ stage 23

24. Evolution of Community Engagement Where are we now? Trends in Social & Environmental Awareness Impact: Government Policy Industry Association Initiatives Regulatory Requirements (TSX) Any Change in Community Confidence? 24

25. Evolution of Community Engagement Where are we now? Government Policy/Legislation Community Engagement opportunities MRA – no current opportunity; Rewrite - opportunities? Natural Resources Strategy – Engagement Exercise EA & Integration of Permitting – Mineral Lease/Industrial Approval (One-window Approach) 25

26. Evolution of Community Engagement Where are we now? Industry Association Actions PDAC E3 Plus Initiative – CSR, Engagement focus! Response to growing community planning trends Few exploration companies have taken action Benefits not part of corporate psyche yet Illustrates need for corporate training in CSR etc. 26

27. Evolution of Community Engagement Where are we now? Financial Regulatory Actions New Section in TSX 43-101 Technical Reports Item 20: Environmental Studies, Permitting, and Social or Community Impact Requirement to discuss issues that may affect an issuer's ability to mine Only comes into play at “advanced project” stage 27

28. Evolution of Community Engagement Observations…. Industry associations seem to be keeping pace with trends in government policy and community based planning Mining companies – not so much 28

29. Evolution of Community Engagement Observations for moving forward….. Companies need to recognize level of understanding of geology, industry activities by community as a first step Companies must be aware of community perceptions of mining Companies must recognize range of values in a community Engagement needs to focus on community planning and what that means to the community 29

30. Evolution of Community Engagement Summary Industry suffers from past practices and a negative image Trends in communications, government policy and ‘community’ planning will impact industry Industry associations and regulatory agencies have developed policies and programs to keep pace with these trends Most ‘engagement’ is still a “must do” rather than “should do” activity 30

31. Who to Engage? 31

32. How to Engage? 32

33. Why Engage Issues, Trends and History Who to Engage? Varied Interests, Perspectives and Values How to Engage? Key Elements A Plan to Move Forward 33

34. Typical Engagement Scenario AcquisitionExplorationMining $ $$$$$$ $$$$$$$$$$$$ Investment Engagement X ? Trend 34

35. Corporate Social Responsibility – Commitment Attitude (CSR profile, training, etc.) Develop Community Awareness – Pre-engagement How? Costs? Community Focused Engagement Best Management Principles Meeting the Challenge: Key Elements 35

36. Corporate Social Responsibility Often Poorly Defined & Criticized What would it look like if it was actually done? Called a “Weapon” in some countries. Heavily biased towards financial “reward” rather than changing corporate attitudes. Still has great potential if genuinely applied Still has great potential if genuinely applied Meeting the Challenge: Moving Forward 36

37. Corporate Social Responsibility adaptable to change It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is the most adaptable to change. Charles Darwin Sooner or later poor performers get weeded out… Meeting the Challenge: Moving Forward 37

38. Corporate Social Responsibility Change……. Natural Resources Strategy Phase 1 Citizen Engagement - Submissions Critical of Industry Looking for Change Concern Concern (Values) Focused Phase 2 Expert Panels – Technical Advice Position Position Focused Meeting the Challenge: Moving Forward 38

39. Corporate Social Responsibility Are Companies Adapting? Exploration Companies – informal survey results on CSR/Environmental Policies Saying you are a good corporate citizen is almost meaningless….. Proof? Meeting the Challenge: Moving Forward 39

40. Corporate Social Responsibility How can you build ‘Proof’? Start Internally – Develop CSR Policy & Program Research – Get Help OH&S Process/NSCSA Safety Passport – Models? Learn about Nova Scotia’s Rural Heritage/History Look for Opportunities Seminars or Workshops Attend or Sponsor Seminars or Workshops (Example) Meeting the Challenge: Moving Forward 40

41. Making a Commitment to Corporate Social Responsibility 41

42. Corporate Social Responsibility - Sustainability Sustainability is about long-term community health Future generations definition (Bruntland Commission, ‘87) Local, regional & national scales Triple Bottom Line Accounting: People - Profit - Planet Not simply sustaining an activity Need recognition of differing perspectives & values Meeting the Challenge: Moving Forward 42

43. Corporate Social Responsibility - Sustainability In Minerals Sector: Needs to have community focus Environmental protection (BMP’s) Long term care of the land (Reclamation) Redefinition of minerals and sustainability…. Meeting the Challenge: Moving Forward 43

44. Develop Community Awareness – Pre-Engagement Identify potential Interested and Affected Parties Use watershed unit – know your surroundings Research - NGO’s, First Nations & ENGO’s Research local community demographics Meeting the Challenge: Moving Forward 44

45. Develop Community Awareness – Pre-Engagement Develop awareness of community and motivators Develop awareness of issues and perspectives Develop appreciation for differing perspectives Ask for help - resource organizations, NGOs, government staff, local citizens, community groups Meeting the Challenge: Moving Forward 45

46. Community Focused Engagement Public Participation Spectrum (International Association of Public Participation) Meeting the Challenge: Moving Forward InformConsultInvolveCollaborate Increasing Effort, Time and Community Input Approach is Community Dependent Empower 46

47. Community Focused Engagement - Processes Public Displays/Story Boards Briefings Informal/Formal Public Meetings Visitor Centre Newsletter Website Community Liaison Committee Advisory Groups Workshops and Focus Groups Meeting the challenge: Moving Forward 47

48. Community Focused Engagement – Generic Steps 1.Define community 2.Baseline studies 3.SWOT Analysis (Risk/Opportunity) 4.Develop Engagement Plan 5.Evaluate (Internally/Externally) Meeting the challenge: Moving Forward 48

49. Community Focused Engagement: Principles 1.COMMUNICATION 2.TRANSPARENCY 3.COLLABORATION 4.INCLUSIVENESS 5.INTEGRITY Meeting the Challenge: Moving Forward 49

50. Community Focused Engagement: Action Elements 1.COMMUNICATION 1 Foster TWO-WAY communications/ownership “We have two ears and one mouth so that we can listen twice as much as we speak.” “First learn the meaning of what you say, and then speak.” Epictetus Develop clear, accurate and relevant information Meeting the Challenge: Moving Forward 50

51. Community Focused Engagement: Action Elements 1.COMMUNICATION 2 Identify appropriate individuals to ensure the right people are engaged and represent interested groups Maximize communication opportunities Maximize feedback opportunities Be accessible Listening Demonstrate you are Listening (timely responses) Meeting the Challenge: Moving Forward 51

52. Community Focused Engagement: Action Elements 1.COMMUNICATION 3 Convey all relevant social, environmental and economic impacts of activities Provide information in a form that is understandable by the community Encourage access to information & questions Establish realistic timeframes for community input When to communicate Meeting the Challenge: Moving Forward 52

53. Community Focused Engagement: Action Elements 2.TRANSPARENCY How How information about engagement process is managed and communicated Identify company objectives for engagement Clarify the preferred outcomes of the process Agree on/establish a process for two-way feedback Report openly regarding engagement and feedback Documentation Meeting the Challenge: Moving Forward 53

54. Community Focused Engagement: Action Elements 3.COLLABORATION Work together to seek mutually beneficial outcomes Help community where necessary Seek joint ownership of outcomes Learn about & and get involved in community Third-party facilitator if necessary Meeting the Challenge: Moving Forward 54

55. Community Focused Engagement: Action Elements 4.INCLUSIVENESS Engage early and often! Community – individuals linked by: Geography, Issues, Identity & Interaction Acknowledge & respect diversity of community (CSR) Incorporate concerns of community Meeting the Challenge: Moving Forward 55

56. Community Focused Engagement: Action Elements 5.INTEGRAITY CSR philosophy Back to CSR philosophy Build mutual respect Be clear about the nature of engagement process Identify what is and is not negotiable Clearly agree on & define expectations early Be fair, honest and ethical Meeting the challenge: Moving Forward 56

57. SUMMARY Four Point Action Plan Engagement (Community of Interest; Asset Mapping) Relationship Building (Establishes Players/Commitment; ‘Awkward’ Communications) Trust (Commitment Accepted; Comfortable Communications) Credibility (Desirable in Negotiations) Social/Environmental Portfolio of Actions Corporate Social Responsibility Record 57

58. Take Away Points 1.Trends Driving Community Expectations 2.‘Sustainability’ Key Element in Community Planning and there IS Help out there! 3.Survival of the Fittest will Prevail 58

59. Questions? 59