Emphasis of stakeholder relations was on nearby residents 

Terrafame has an open approach to interacting with various stakeholders. In 2016, we put effort into collaborating with local stakeholders. Many other groups from all over Finland and around the world also came to see how we operate. During the year under review, Terrafame was owned by Terrafame Group Ltd., which is wholly owned by the State of Finland.

Terrafame’s stakeholders include our own staff and the employees of our business partners, people of the nearby areas, customers, policy-makers, and the media. In addition, various groups, ranging from student guilds to organisations of senior citizens, visited us each week to see how we operate. 

The visits began with a general presentation of the company and a safety briefing. From there, the discussion usually turned to topics of interest to the visitors, such as occupational safety, logistics, or environmental issues. Then it was time to put on the mandatory safety gear and take a tour of the mining site and plant area to take a look at the daily operations of Terrafame. 

Information to people working in the area and their close ones

Internal communications is part of safety work at Terrafame. There are many communication channels in use, such as the Intranet, Terrafame’s own video channel, as well as information displays placed all around the site. Information is also distributed at meetings, for example, in connection with shift changes, as well as during interdepartmental meetings.

Terrafame’s management team and staff met at six staff events during 2016. Safety issues and the progress of the ramp-up were among the topics discussed at these events. In 2016, business partners were invited to four contractor events, one of which was a joint meeting of Terrafame employees and those of its business partners. 

From April 2016 onward, Terrafame ViikkoNews, a weekly staff magazine, has been published as UrakoitsijaExtra once a month. In addition to Terrafame staff, UrakoitsijaExtra is also distributed to business partners.

A Family Day was organised in August during which the family members of Terrafame’s employees were invited to a workplace visit. The theme of the event was production and presenting the different stages of the production process. Approximately 170 people, ranging from babies to grandparents, visited the site during Family Day. 

Networks and monitoring groups support operations

During the year under review, we participated in the activities of the Network for Sustainable Mining. The Network provides a forum for cooperation between the mining industry and various stakeholders, helping the mining industry act in a manner that is sustainable to the environment, people, and the economy. Terrafame is preparing to adopt the sustainability standard for mining – the Finnish TSM (Towards Sustainable Mining) standard – by the end of 2017.

In 2016, Terrafame launched two environmental impact assessment (EIA) procedures. The EIA procedure for water management was launched in July, and the EIA procedure for production, i.e., the continuation and development of mining operations or, alternatively, implementing a managed closure of the mine, in September. As part of the procedure, inter alia, nearby residents may submit their opinions on the environmental impact assessments to the coordinating authority.

A monitoring group was established for both EIA procedures, tasked with promoting the flow and exchange of information among Terrafame, the authorities and other stakeholders. The monitoring groups are composed of citizens and groups whose living conditions or interests may be affected by the project, including residents from the nearby areas, representatives of the municipalities impacted by mining activities, landowners, owners of water areas, and local associations.

Meetings were held with the monitoring groups three times during the autumn. In addition, events that were open to the public were held on both EIA procedures in the autumn. The EIA procedure for water management was presented in Kajaani, and the EIA procedure for production in Sotkamo. 

Reliable operator with security of supply

Terrafame’s goal was to lay the foundation for stable commercial operations in 2016. In its first full year of operation, the company expanded its customer base worldwide. Security of supply and effective logistical solutions are key priorities in the cooperation activities that Terrafame has launched with its customers. 

As a client, Terrafame is committed to developing cooperation and acting in full compliance with its contractual obligations. Deepening partnerships with suppliers will ensure the profitability of the investments made in the partners’ supply chains and service production.

Terrafame.fi and terrafame.com were revamped in the autumn

Terrafame’s websites were revamped to better serve customers and others interested in our products. Topical news is also conveyed through the pages on environmental issues. The EIA procedures have their own section on the website, including progress reports and schedules. The documents related to both EIA procedures, such as the memos of the monitoring groups and the materials for the public events, are also available on these pages (only in Finnish).

Terrafame’s Finnish-language website, terrafame.fi, and English-language website, terrafame.com, had a total of 45,800 visitors during 2016.

Most visited pages:

  1. Homepage
  2. Terrafame Oy – Terrafame’s strategy and governance
  3. Ajankohtaista – News and releases
  4. Meille töihin – Job opportunities
  5. Ota yhteyttä – Terrafame’s contact information and contact message form

Partnering with local sporting clubs

Terrafame sponsored two sporting clubs in 2016: Sotkamon Jymy (a top-level Finnish baseball team) and Kajaanin Edustushokki (plays in the second-highest ice hockey league in Finland). In addition, the company supported financially the Red Feather campaign of Lions Club, which helps young people in life management skills, welfare matters and prevention of social exclusion. 

Terrafame sponsored the above-mentioned bodies with a total of approximately EUR 36,000 in 2016.

Terrafame's stakeholders and their expectations

Stakeholders Stakeholder expectations
Terrafame's response to expectations
Personnel and potential new employee
Safe and permanent job, well-being at work, training, employee development and career opportunities, equal opportunities Safe employer, taking care of work ability and well-being at work, opportunity to improve competence, continuity of operation
Neighbours, landowners and local communities, civil organisations Responsible business operations, risk management, interaction and communications, employment, good corporate governance Responsible operations, stabilisation of production, cooperation, active interaction, up-to-date and transparent communications
Shareholders, investors, financiers and analysts Risk management, economic performance, good corporate governance, interaction and communications, responsible business operations Development and stabilisation of production, consolidation of long-term profitability, responsible operations regarding both safety and the environment, active and up-to-date communications
Customers Product quality and reliable deliveries, responsible business operations, risk management, economic performance, interaction and communications Stabilisation of production, high-quality products and customer satisfaction, cooperation and interaction, responsible operations
Business partners Good corporate governance, economic performance, responsible business operations, risk management, interaction and communications, long-term partnerships Cooperation development and interaction, stabilisation of production, maintenance of a safe work environment, responsible operations, active communications
Educational and research institutes Innovations, responsible business operations, good corporate governance, research cooperation and employment Development of R&D work, providing jobs and traineeships, responsible operations
Representative bodies, authorities and the society Responsible business operations, risk management, interaction and communications, good corporate governance, regional well-being, industry development, tax income and employment
Responsible operations, cooperation and interaction, communications and transparency, stabilisation of production
Media Interaction and communications, responsible business operations Development of cooperation and interaction, up-to-date and transparent communications, responsible operations