Sustainability website / Case Studies 2007 / Xstrata nickel / Community response to impacts of Tropical Storm Noel

Community response to impacts of Tropical Storm Noel

Xstrata Nickel’s Falcondo operations include a ferronickel mine and processing facility in Bonao in the Dominican Republic. In the early morning hours of 29 October, Tropical Storm Noel struck the Dominican Republic with little warning. Falcondo’s operations were deluged by approximately 250 millimetres of rain which caused flash floods and forced an emergency shutdown of the power plant, oil refinery and the process plant. Although no employees were injured, around 30 employees had their homes severely damaged.

The knowledge and understanding gained from its close integration with its local communities meant that Falcondo could respond instantly to the emergency situation. The management team immediately established an assistance plan that included making staff and equipment available to replace the terrestrial communication systems and donating fuel, materials and resources to the aid organisations.

The operation’s union centre was used as a shelter for over 100 people and the company provided drinking water and hot food as well as clothes, materials for road repairs, diesel and heavy equipment to the community. Falcondo teams also provided significant assistance to reach four stranded communities and its power plant stabilised frequency and voltage to help maintain power grid stability throughout the country. 5,100 cubic metres of slag and screened rocks from mining operations were provided to stabilise the bridges over the Yuna and Maimon rivers and the highway.

The Falcondo Foundation, the non-profit body that receives funding from Falcondo for community initiatives in the Dominican Republic, opened sponsored schools for use as shelters.

Xstrata Nickel donated US$1 million to various emergency relief committees and organisations throughout the country to support direct relief and rebuilding efforts in the affected provinces and towns. Additionally, the company matched voluntary donations made by Xstrata Nickel employees worldwide to the relief efforts. The matched funds directly supported impacted employees’ family members and the operation’s local communities in the Monseñor Nouel and La Vega areas.

The Monseñor Nouel Emergency Committee has allocated some of the funds to build 60 houses. Following the building of four prototypes in Bonao, the construction of the houses is commencing. In addition to providing funds, Falcondo has cleared the ground for this new neighbourhood. The La Vega Emergency Committee has used the funds to repair a fresh water aqueduct and to divert approximately 5 kilometres of a stream that overflowed during the storm, destroying numerous houses and plantain plantations.

The company’s emergency response plans and crisis management plans were developed in line with Xstrata’s sustainable development standards and were effectively executed during this crisis. Falcondo’s response to this crisis demonstrated its ability to take a leadership role and willingness to support the community through shared resources in a time of crisis.

“Falcondo actively participated with the authorities and aid organisations in the provinces of San Cristobal, Monseñor Nouel and La Vega associated with our operations,” said Ernest Mast, General Manager of Falcondo. “We are proud to take a leading role in rebuilding areas damaged by the storm.”