Page 74 - Annual Report 2020

1.7.10 Tailings storage facilities

Ensuring the integrity of our tailings storage facilities (TSFs) is a primary focus across our operations.
Our aspiration is to eliminate the risk of catastrophic TSF failure at our operations and we are working
with others and sharing our progress in an effort to make this a reality.
In 2015, following the tragic failure of the Fundão dam at We are currently expanding our capability of a satellite monitoring
Samarco, BHP immediately initiated a Dam Risk Review to assess program to better manage geotechnical risk through the use of
the management of significant TSFs both active and inactive. remote monitoring technologies, including interferometric
Following the Brumadinho event, BHP established a Tailings synthetic aperture radar (InSAR) (ground deformation monitoring
Taskforce that reports to the Executive Leadership Team and technology). InSAR technology can detect critical changes/
the Board’s Sustainability Committee. The Tailings Taskforce is movements related to potential dam failure risks early and monitor
accountable for accelerating our short-, medium- and long-term these changes over time. This control is intended to enable
strategies and working to ensure best practice is embedded. identification, analysis, monitoring and management of ground
In FY2021, upon completion of its current mandate, the Tailings displacements or other indicators associated with tailings and
Taskforce will conclude and transfer ownership to the Centres water storage facilities.
of Excellence which will continue to support and sustain the We are also progressing a simplified and formalised global
program of work for BHP. database for all BHP TSF information. This database will integrate
Governance and centralise our data collection to enhance data preservation,
Over the past year, work progressed on our continuous security and reliability. This key governance control is intended to
improvement and assurance of our operated TSFs. We commenced produce data efficiency gains and improved oversight of our global
an update to our standard that governs how we approach TSF TSFs. For example, we expect to be able to respond more quickly
failure risks, including business planning, risk assessments and and easily to stakeholder requests by maintaining a dynamic and
management of change. This standard, along with our standards efficient TSF database.
on risk management, requires us to take a risk-based approach
and sets out key considerations, such as working with our More information on our management of TSFs and global
governance strategy is available at bhp.com.
communities and external stakeholders and building our
emergency management plans.
In FY2020, critical work progressed on the governance and Strategy
controls of our TSF risk. We completed a Priority Group Risk Review Our short-term strategy is focused on improving KRI performance
of TSF failure risks across some of our highest-rated consequence in line with defined targets. Asset-based studies at our operated
sites, based on the Canadian Dam Association (CDA) classification assets are being conducted on how to seek to reduce and mitigate
system, with findings and recommendations reported to the Risk potential downstream impacts particularly focused on population
and Audit Committee and Sustainability Committee (further at risk (PAR). This is resulting in a diverse range of options to
information on the Priority Group Risk Review process is provided mitigate the PAR risk at our TSF sites. For example we have created
in section 1.5.4). The Tailings Taskforce has continued with reviews physical barriers (such as the diversion wall at our Whaleback site)
of TSF failure risks across our assets with findings incorporated into and the ongoing relocation of a legacy tailings facility from historic
risk remediation plans. These processes partner leading industry underground copper mining at our Miami Avenue site within our
experts with our technical leads to review and enhance BHP’s legacy asset portfolio. The diverse nature of our sites requires
global tailings governance framework. This process was in addition unique solutions and this work continues as a priority for FY2021.
to other governance activities, including Dam Safety Reviews, Our medium- and long-term strategies focus on progressing the
Independent Tailings Review Boards and project specific development of technologies to improve tailings management
Independent Peer Reviews. Our Risk Appetite Statement was storage and working to ultimately eliminate the risk of catastrophic
updated to include a qualitative statement for the new Planning TSF failure. These asset-specific strategies have started with
and Technical Group Risk category, which covers TSF failure risks. concepts for dewatering, stabilisation, reprocessing and reuse
Key risk indicators (KRIs) were set by management to help monitor of tailings. We will work to identify key initiatives around the
performance against our risk appetite, including KRIs that monitor reprocessing and reuse of tailings by assessing technology options
data relating to dam integrity and design, overtopping/flood on cost, feasibility and the ability to support the elimination of
management and emergency response planning. tailings production.

72 BHP Annual Report 2020