Sustainability website / Economic contribution / Enterprise development

Enterprise development support to assist small and medium-sized companies to be established by community members is an important part of Xstrata’s approach to enhancing the socio-economic capacity of communities in which we operate. Xstrata’s businesses support a wide range of enterprise development initiatives through providing soft loans, start-up and bridging capital, training, transfer of technology, and a range of management expertise including project management, business plan and cash flow management, help in obtaining financial advice and assistance, legal and regulatory compliance and agreements.

In South Africa, our enterprise development programmes supported 47 SMEs in 2007, and we are aiming to increase this number to 61 SMEs in 2008. A number of successful companies have been established through these programmes, supplying Xstrata and other businesses in the region with a range of services and goods, including logistics, cleaning and catering services and light equipment.

In Peru, Xstrata Copper’s Las Bambas project has facilitated the establishment of a number of small enterprises to provide communities in an impoverished region with sources of income including a trout farm, local handicrafts programmes, guinea pig breeding and agricultural projects.

Xstrata Nickel’s Falcondo operation in the Dominican Republic has supported the development of a coffee-growers’ collective and a number of agricultural projects.

Xstrata Copper’s Tampakan project in the Philippines is currently evaluating options to establish a micro financing system for the local region.