Team size: Ten

How do you approach managing legal aspects during periods of instability or crises, and how does your legal strategy align with the broader business strategy to ensure the organisation’s resilience?

Managing legal aspects during periods of instability or crises requires both a proactive and strategic approach. Here are some key points that we have been applying to ensure organisational resilience when aligning legal strategy with the broader business strategy:

It is imperative to conduct a thorough risk assessment to identify potential legal challenges during periods of instability, as well as to engage in scenario planning to anticipate various legal issues that may arise.

As a large mining company that is part of another very large holding group of companies, it is critical to establish clear communication channels within the legal team and across the organisation, and collaborate closely with other departments, including operations, finance, and public relations, to ensure a coordinated response.

Developing contingency plans for legal scenarios that may impact the organisation was one of our main tasks after Covid-19 arose. Creating a framework for immediate response to legal issues, including designated personnel and communication protocols was a major success after that very special circumstance caught us all by surprise a few years ago. Now, that framework can be amended and replicated as needed in many different other scenarios.

Another lesson learned from Covid-19 was to stay informed about changes in regulations and government directives during times of instability. While Peru is a highly regulated country, the pandemic made us aware of the need to establish efficient internal communication channels to monitor the numerous regulatory changes and assess compliance with legal requirements to prevent regulatory issues in our operations.

We conducted a review of our existing contract templates to identify any force majeure clauses or other provisions that may be triggered during a crisis. We also considered contract renegotiations or amendments as needed to adapt to the changing circumstances.

Other aspects we pay attention to include employee relations and compliance; community and stakeholder relations; insurance coverage and legal protections; and litigation and dispute resolution strategies for handling potential litigation or disputes that may arise during instability:

Another major issue is to ensure that legal counsel is actively engaged with organisational leadership during periods of instability to provide legal advice and support strategic decision-making.

Adaptability and flexibility in responding to the evolving legal landscape during crises is a must; adjust legal strategies as needed to align with changes in the business environment.

Conducting a thorough evaluation of legal responses and outcomes after the crisis has proven to be a helpful and powerful tool, to use lessons learned to enhance future legal contingency planning and resilience. By integrating legal considerations into the broader business strategy, the organisation can navigate periods of instability more effectively, minimise legal risks, and contribute to overall resilience and recovery.

What measures has your company taken to embed sustainability practices into its core business operations, and how does the role of the general counsel contribute to driving and ensuring sustainable practices within the company?

As the general counsel of a large copper mining company in Peru, embedding sustainability practices into core business operations is crucial for long-term success. Here are some measures our company have taken and the role me and my team had in driving and ensuring sustainable practices:

Ensure compliance with environmental and sustainability regulations governing mining operations in Peru; identify and mitigate legal risks associated with sustainability issues, while providing legal counsel on compliance matters.

Collaborate with cross-functional teams to develop and implement sustainability policies aligned with international standards and best practices. Draft and review policies that address environmental impact, community relations, and social responsibility.

Facilitate legal support for stakeholder engagement initiatives, ensuring that the company collaborates effectively with local communities and regulatory bodies. Address legal aspects of community relations to build and maintain positive stakeholder relationships.

Integrate sustainability clauses into contracts with suppliers, contractors, and business partners, promoting responsible business practices throughout the supply chain. Review and negotiate agreements to ensure alignment with the company’s sustainability goals. We obtained a certification within the Customs Authority to expedite the import of goods or materials and the export of concentrates.

Provide legal oversight for environmental impact assessments and permitting processes. Ensure compliance with legal requirements for mitigating and managing environmental impacts associated with mining activities.

Other key measures include promoting sustainability considerations in corporate governance practices; crisis management and reputation protection; developing legal strategies for crisis management related to sustainability issues; championing education and training initiatives.

Stay informed about emerging legal frameworks and innovations related to sustainable practices. Advocate for legal reforms or industry standards that align with the company’s sustainability goals within the Mining Society (SNMPE).

I consider the role of the general counsel to be pivotal in embedding sustainability practices by ensuring that legal frameworks, policies, and practices align with the company’s commitment to environmental stewardship, social responsibility, and ethical business conduct. By integrating sustainability into legal decision-making and processes, we have been able to contribute to the company’s overall resilience, reputation, and long-term success in the Peruvian mining industry.