IDEAS home Printed from https://ideas.repec.org/a/eee/jrpoli/v86y2023ipbs0301420723009698.html
   My bibliography  Save this article

The role of social factors in feasibility decisions for complex orebodies: Exploring early exploration practices of the mining industry in Greenland

Author

Listed:
  • Aaen, Sara Bjørn
  • Hansen, Anne Merrild

Abstract

Mining companies have traditionally emphasized factors related to geology, metallurgy, logistics, and the economy when screening the attractiveness of greenfield projects. In recent years, however, there has been a development towards more social awareness and responsibility in the extractive industries, potentially allowing social impacts to play an increasing role in decision-making processes related to greenfield project development. This paper presents an investigation of greenfield screening processes in Greenland and how social factors are considered and influence decision-making. Based on a survey among the mining companies active in Greenland and qualitative interviews with industry and societal players, the study identified a list of factors considered when screening greenfields and found that the dominant focus is still predominantly on geological and mining technology factors. Social and environmental factors are also considered but are less decisive. The study further indicated systematic differences between junior and senior companies in the screening process. The study provides knowledge of the drivers and barriers for the inclusion of social impacts in screening practices which provides valuable knowledge for policy makers on how to create a regulatory push for especially junior companies that have the less extensive screening practices.

Suggested Citation

  • Aaen, Sara Bjørn & Hansen, Anne Merrild, 2023. "The role of social factors in feasibility decisions for complex orebodies: Exploring early exploration practices of the mining industry in Greenland," Resources Policy, Elsevier, vol. 86(PB).
    • Handle: RePEc:eee:jrpoli:v:86:y:2023:i:pb:s0301420723009698
    DOI: 10.1016/j.resourpol.2023.104258
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301420723009698
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.resourpol.2023.104258?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Kamenopoulos, Sotiris N. & Tsoutsos, Theocharis, 2015. "Assessment of the safe operation and maintenance of photovoltaic systems," Energy, Elsevier, vol. 93(P2), pages 1633-1638.
    2. Moffat, Kieren & Zhang, Airong, 2014. "The paths to social licence to operate: An integrative model explaining community acceptance of mining," Resources Policy, Elsevier, vol. 39(C), pages 61-70.
    3. Éléonore Lèbre & Martin Stringer & Kamila Svobodova & John R. Owen & Deanna Kemp & Claire Côte & Andrea Arratia-Solar & Rick K. Valenta, 2020. "The social and environmental complexities of extracting energy transition metals," Nature Communications, Nature, vol. 11(1), pages 1-8, December.
    4. Emiel Duuren & Auke Plantinga & Bert Scholtens, 2016. "ESG Integration and the Investment Management Process: Fundamental Investing Reinvented," Journal of Business Ethics, Springer, vol. 138(3), pages 525-533, October.
    5. E. M. Harper & Goksin Kavlak & Lara Burmeister & Matthew J. Eckelman & Serkan Erbis & Vicente Sebastian Espinoza & Philip Nuss & T. E. Graedel, 2015. "Criticality of the Geological Zinc, Tin, and Lead Family," Journal of Industrial Ecology, Yale University, vol. 19(4), pages 628-644, August.
    6. Lèbre, Éléonore & Owen, John R. & Kemp, Deanna & Valenta, Rick K., 2022. "Complex orebodies and future global metal supply: An introduction," Resources Policy, Elsevier, vol. 77(C).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Leena Suopajärvi & Karin Beland Lindahl & Toni Eerola & Gregory Poelzer, 2023. "Social aspects of business risk in the mineral industry—political, reputational, and local acceptability risks facing mineral exploration and mining," Mineral Economics, Springer;Raw Materials Group (RMG);Luleå University of Technology, vol. 36(2), pages 321-331, June.
    2. Cole, Megan J., 2023. "ESG risks to global platinum supply: A case study of Mogalakwena Mine, South Africa," Resources Policy, Elsevier, vol. 85(PB).
    3. Cheng, Yingchao & Watari, Takuma & Seccatore, Jacopo & Nakajima, Kenichi & Nansai, Keisuke & Takaoka, Masaki, 2023. "A review of gold production, mercury consumption, and emission in artisanal and small-scale gold mining (ASGM)," Resources Policy, Elsevier, vol. 81(C).
    4. Anne-Maree Dowd & Michelle Rodriguez & Talia Jeanneret, 2015. "Social Science Insights for the BioCCS Industry," Energies, MDPI, vol. 8(5), pages 1-19, May.
    5. Pruthiranjan Dwibedi & Debasis Pahi & Antarjyami Sahu, 2024. "Mapping the landscape of environmental, social and governance research: A bibliometric analysis," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(5), pages 3745-3767, September.
    6. Danny Zhao‐Xiang Huang, 2022. "An integrated theory of the firm approach to environmental, social and governance performance," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 62(S1), pages 1567-1598, April.
    7. Cagli, Efe Caglar, 2023. "The volatility spillover between battery metals and future mobility stocks: Evidence from the time-varying frequency connectedness approach," Resources Policy, Elsevier, vol. 86(PA).
    8. Deanna Kemp & John R. Owen, 2022. "Corporate social irresponsibility, hostile organisations and global resource extraction," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(5), pages 1816-1824, September.
    9. Aleksandra Kozłowska-Woszczycka & Katarzyna Pactwa, 2022. "Social License for Closure—A Participatory Approach to the Management of the Mine Closure Process," Sustainability, MDPI, vol. 14(11), pages 1-26, May.
    10. Tan, Yafei & Zhu, Zhaohui, 2022. "The effect of ESG rating events on corporate green innovation in China: The mediating role of financial constraints and managers' environmental awareness," Technology in Society, Elsevier, vol. 68(C).
    11. Marcos-Martinez, Raymundo & Measham, Thomas G. & Fleming-Muñoz, David A., 2019. "Economic impacts of early unconventional gas mining: Lessons from the coal seam gas industry in New South Wales, Australia," Energy Policy, Elsevier, vol. 125(C), pages 338-346.
    12. Hache, Emmanuel & Seck, Gondia Sokhna & Simoen, Marine & Bonnet, Clément & Carcanague, Samuel, 2019. "Critical raw materials and transportation sector electrification: A detailed bottom-up analysis in world transport," Applied Energy, Elsevier, vol. 240(C), pages 6-25.
    13. John R. Owen & Deanna Kemp, 2024. "Corporate Responses to Community Grievance: Voluntarism and Pathologies of Practice," Journal of Business Ethics, Springer, vol. 189(1), pages 55-68, January.
    14. Blesia, Jhon Urasti & Dixon, Keith & Lord, Beverley Rae, 2023. "Indigenous experiences and perspectives on a mining corporation's community relations and development activities," Resources Policy, Elsevier, vol. 80(C).
    15. Zhou, Dengji & Yu, Ziqiang & Zhang, Huisheng & Weng, Shilie, 2016. "A novel grey prognostic model based on Markov process and grey incidence analysis for energy conversion equipment degradation," Energy, Elsevier, vol. 109(C), pages 420-429.
    16. Clementino, Ester & Perkins, Richard, 2020. "How do companies respond to environmental, social and governance (ESG) ratings? Evidence from Italy," LSE Research Online Documents on Economics 103046, London School of Economics and Political Science, LSE Library.
    17. Trinks, Arjan & Ibikunle, Gbenga & Mulder, Machiel & Scholtens, Bert, 2017. "Greenhouse Gas Emissions Intensity and the Cost of Capital," Research Report 17017-EEF, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
    18. Measham, Thomas G. & Zhang, Airong, 2019. "Social licence, gender and mining: Moral conviction and perceived economic importance," Resources Policy, Elsevier, vol. 61(C), pages 363-368.
    19. Kaouther Chebbi & Mohammed Abdullah Ammer, 2022. "Board Composition and ESG Disclosure in Saudi Arabia: The Moderating Role of Corporate Governance Reforms," Sustainability, MDPI, vol. 14(19), pages 1-25, September.
    20. Viveros, Hector, 2017. "Unpacking stakeholder mechanisms to influence corporate social responsibility in the mining sector," Resources Policy, Elsevier, vol. 51(C), pages 1-12.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jrpoli:v:86:y:2023:i:pb:s0301420723009698. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/30467 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.