COVID-19 Hudbay Response

Last updated on September 7, 2020


We are closely monitoring the coronavirus (COVID-19) pandemic and are responding to the rapidly changing environment with our priority on the continued health and safety of our employees, contractors and our local communities

We are guided by our values in everything we do, including the ongoing business decisions we make. Our Executive Committee is meeting daily to discuss the up-to-the minute issues relating to our operations, our finances and our communities. See below for information on our business response plans, which will be updated regularly as the situation evolves.


CRISIS MANAGEMENT RESPONSE

Our Crisis Management Plans were activated in early March, establishing two tiers of crisis response. The first tier is at the corporate level with a focus on ensuring overall business stability, continuity and coordination. The second tier is at the business unit level where the response plans are developed based on the dynamics and context of the local situation. Our business units are engaging with local communities, health authorities, government and other stakeholders in each of our regions.

All our locations have implemented measures in response to COVID-19, including travel restrictions, testing of incoming workers prior to their travel to site, pre-screening protocols, quarantine periods for incoming workers, adjustment of work rotation schedules, workplace physical distancing protocols, work from home policies, increased hygiene practices and increased sanitization of offices and employee common areas. These measures continue to evolve as the status of the pandemic changes in each of the company's operating regions and the company's measures are adapted to the regional health authorities' latest restrictions and guidelines.

We are working to fulfill our role as a responsible community member, employer, supplier, and steward of our investor’s funds. To do our part to ensure these response measures are successful and effective in keeping our environments safe, we are continually evaluating and changing the way we work.

PERU BUSINESS UNIT

At the beginning of March, when Latin America was confirming its first cases of COVID-19, we started taking precautions to protect our employees in Peru. Though it wasn’t required for companies in the country at the time, Hudbay conducted temperature checks, provided masks, and discouraged close contact, such as handshakes. ‘Quick tests’ (antibody tests) were administered to incoming and outbound workers at Constancia.

The Peruvian government declared a state of emergency on March 15, 2020, requiring non-essential businesses to be shut down, initially for a 15-day period. This state of emergency has been extended, most recently to September 30th. On March 19th, we initiated a temporary and orderly suspension of our Constancia mine. During the suspension period, a smaller workforce was maintained at the site to oversee critical aspects of the operation in order to facilitate a quick and efficient restart and ramp-up of the mine.

On May 14th, Constancia received recognition and approval from Peru’s Ministry of Energy and Mines for its restart protocols and final operating approval was received in mid-May. Due to proactive mine restart planning, the mine achieved normal mill throughput levels on May 18, within 48 hours after restart. The initial six weeks following restart focused on milling activities while processing stockpile ore. This was followed by a ramp-up of mining activities commencing the last week of June with a full ramp-up to normal levels in early July. Enhanced health and safety measures were implemented upon the re-start of operations and remain in place as Hudbay continues to monitor the local impacts of the COVID-19 pandemic.

Throughout the rapidly changing environment, our focus remains on the health and safety of our workforce and the local communities. To protect our workforce, beyond screening for symptoms of COVID-19, the administering of ‘quick tests’ on incoming and outbound workers has continued at testing facilities in Cusco and Arequipa, supervised by the health authorities. Although molecular tests are more accurate, their availability is limited. The quick tests allow us to "triage" potential cases. A positive result from a quick test does not indicate a confirmed COVID-19 case. If a quick test comes back positive, we then refer the case to the public health authorities for further molecular testing and ensure the affected personnel are appropriately quarantined. We have also been able to access a limited number of molecular tests which we are administering to inbound workers as an additional layer of precautionary measures. If or when molecular tests by health authority-certified labs become more readily available, these tests will be added to our protocol and used in place of quick tests, as circumstances warrant.

In addition to testing incoming and outbound workers, we have taken the following steps: implemented procedures for quarantining incoming workers in hotels in Cusco and Arequipa before they travel to site; conducted additional screening protocols; introduced extensive sanitary protocols; enforced workplace physical distancing protocols, and made adjustments to work rotation schedules. Our testing of inbound workers at testing facilities in Cusco and Arequipa has helped protect our workforce and local communities by identifying potentially infected individuals prior to their travel to Constancia. These individuals have been isolated and received medical assistance at the testing location.





MANITOBA BUSINESS UNIT

Our mines in Manitoba continue to operate and ship concentrate and zinc metal. The Manitoba team is actively engaging with its employees and the local communities to manage the evolving situation and has implemented a number of measures and layered workplace controls to maintain a safe work environment and help protect local communities. As a result, operating results have been largely unaffected by the COVID-19 pandemic.  The team has also developed business preparedness plans for further possible developments, including planning activities in the event we need to reduce or cease operations or construction activities in the future. The Manitoba business unit’s response plans focus on maintaining business continuity while ensuring a safe environment for our workers and the communities.

Resources

Below are some links to stay informed on COVID-19.

World Health Organization: https://www.who.int/health-topics/coronavirus

Canada Public Health: https://www.canada.ca/en/public-health/services/diseases/2019-novel-coronavirus-infection.html

US Centers for Disease Control and Prevention: https://www.cdc.gov/coronavirus/2019-nCoV/index.html

Peru: https://www.gob.pe/coronavirus

 

Please email us if you have any questions: info@hudbay.com

Related News

Hudbay Provides Business Update

Hudbay Peru delivers biomedical equipment and supplies to the Cusco region to combat COVID-19
Note: each Hudbay business unit has access to different resources and local medical supply needs are different in each region.