In too deep: Analysis for institutional investors of critical water security issues facing the metals and mining sector
CDP has been collecting water-related data from companies across the metals and mining sector for more than a decade. This report presents five-year trend analysis of corporate water security data from 54 of the world’s largest listed mining companies. These companies have a total market capitalization of US$1.04 trillion and employ 1.8 million people worldwide.
The report analyzes the evolving implications of water security for the sector, shedding light on how these companies continue to be affected by water-related issues and how they are responding, in order to build both short- and long-term resilience.
The report's key findings include:
- Disclosure and transparency amongst companies in this sector has stagnated
- Operating in this sector remains risky business
- Over the last five years, the sector has been disproportionately impacted by water-related issues
- Companies must ensure that water security issues are meaningfully embedded into corporate governance and strategy
- Tailings dam failures have catastrophic impacts on water security for people, places and profit
CDP’s analysis indicates that companies in the metals and mining sector remain exposed to a variety of large, short-term, high probability risks. While there has been some progress since CDP’s sector assessment in 2013, the pace and scale of change is insufficient to deal with the water security challenges that the sector is facing both today and in the future.