New mine has created opportunity for Indigenous suppliers
- EFN Staff | May 29, 2017
Five years after breaking ground, K + S celebrated the grand opening of Bethune Mine, Saskatchewan’s First new mine opening in 40 years. More than 700 guests attended the opening on May 2nd, including the Premier Brad Wall and numerous local government dignitaries, representatives from suppliers, and employees.
On the occasion of the ceremony, Dr. Ulrich Lamp, President and Chief Executive Officer of K+S Potash Canada (KSPC), recalled the friendly welcome from the beginning.
“We were welcomed to Saskatchewan with open arms, and we are proud to be here. The change from “Legacy” to “Bethune” honours a community that has shown our company outstanding support over the last years. I would like to thank everyone who contributed to this great project,” said Lamp.
During the ceremony, the mine was officially handed over to the operations team. The five-year construction phase has been successfully completed and the first tonne of marketable potash is expected to be produced in June.
“We’re delighted to welcome a very good corporate citizen, K+S, back to Saskatchewan as it begins operations at a mine that will create more than 400 permanent jobs and generate taxes and royalties for years to come,” Wall said. “The Legacy project strengthens Saskatchewan’s position as the world’s leading potash producer and is another indicator the province’s diversified and resilient economy is weathering economic uncertainty. We’re thankful for an investment that creates jobs and opportunity in Saskatchewan.”
The new mine development offered the opportunity for a new supply chain to emerge, particularly in the Indigenous business sector. The development of a thriving Indigenous supply chain has been the commitment that Terry Bird, Lead Advisor, has made over his five-year relationship with K + S Potash Canada.
Starting with a clean slate, Bird set out to work on building relationships with local First Nations and Métis communities and individuals to look for ways to create opportunities that provide sustainable benefits from the development of the new mine.
“For K + S Potash Canada, it was more about the deliverables, and less about talking about what 'could' be done. We believed that we needed to present opportunities, and commit to finding workable solutions,” said Bird. “It was incredible to see during the construction phase of the Legacy project. At any one time, you could visit the site and see Indigenous people working on all four corners and in the middle of the development. This is what Legacy is all about, ensuring that inclusion happens in all phases of the mine’s lifecycle.”
The development of procurement and human resource policies inclusive of Indigenous people were fundamental for the organization. During the construction phase of the Legacy project, over $350 Million worth of contracts were procured with Indigenous contractors and their business partners. In the initial phase, the company employed over 344 self declared Indigenous people, and contracted 14 Indigenous contractors, entrepreneurs and joint venture companies.
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“At the end of the day, it is about results. Participation from local communities and people is what will make us leaders in our industry. Local people want to work for us, and because of our commitment to them, they will be the anchor that ties us to success,” said Bird.
When asked about the approach that K + S has taken to achieve their goals, Bird suggests that relationships and trust are what make things work.
“You have to get out to the communities. Really take the time to develop a deep understanding of who they are and how they fit in the business equation. Our company’s approach went beyond checking a box as a supplier that identifies Indigenous content. We made it our business to get out and meet with these companies and make sure that they walk the talk. It’s not enough to have an armchair deal to get your foot in the door.”
Commitments in the areas of profit sharing, education and training and capacity development have become common requirements when suppliers are being considered for contracts. “We plant the seed with all of our contractors to be inclusive, and for those that do, we are there to offer support and direction to help them succeed in those efforts.”
Looking to the future, Bird sees the next steps as supporting the growth of a new workforce. “We will work towards finding solutions to ensure that a representative workforce is present and inclusive of Indigenous people for operations. We have a good base of Indigenous people working for us now however we are looking to see more of them as we head into operations.”
K + S is shifting its focus to production and operations and will continue to reach out to Indigenous people who may be interested in working for them.
“We have already developed our human resource metrics and track our successes,” added Bird. “This is how we measure the impacts we have not only on the profitability side of our business equation, but on the quality of life for those people, communities and businesses who have connections to our operations.”