ABSTRACT
This chapter analyses the tri-sector partnership approach applied to the management of environmental and social issues related to the closure of the Kelian Equatorial Mining (KEM) project. The mine began commercial operations in 1992, after a contract of work was signed with the Indonesian government in 1985, and produces an average of 400,000 ounces of gold a year. For the company, improved relationships with local stakeholders and a responsible mine closure planning process were vital both for continued operation until closure and for reputation assurance after closure. Whereas the partnership-building phase was characterised by negotiations on the process and decision-making procedures, a vital element of this phase of the partnership was the identification of substantive objectives and targets. At KEM, far-reaching sociopolitical and institutional changes at a national and regional level, and troubled relationships between the company and local stakeholders, provided crucial incentives for the adoption of a partnership approach, as well as significant challenges.
