CAO Cases

Arne Hoel, The World Bank

Latin America & the Caribbean

Peru / Yanacocha-10/Cajamarca

Complainant
A group of current and former employees
Date Filed
May 10, 2017
Concerns
Occupational health and safety and health impacts
Case Status
Open - Compliance
 

Synopsis

Project Overview

Minera Yanacocha S.R.L. operates a large open-pit gold mine located in the Andes mountains, in the Department of Cajamarca, Peru. The company is engaged in the exploration and production of gold. Over a period from 1993 to 1999, IFC committed three loans to finance the capital expenditure programs for three of the Company’s mines, Carachugo, Maqui Maqui and La Quinua. In parallel, IFC made an equity investment for a 5% ownership stake in the Company, which it continues to hold. 

 

Complaint 

The complaint was filed in May 2017 by a group of current and former employees of Yanacocha. The complainants raise concerns about occupational health and safety conditions at the mine and impacts on their health during their employment.

 

CAO Action

CAO found the complaint eligible for further assessment in May 2017 and has begun an assessment of the complaint. Due to lack of agreement between the parties on pursuing a dispute resolution process facilitated by CAO, the complaint was referred for a compliance appraisal of IFC’s due diligence in September 2017 and merged with an earlier complaint that addressed substantively similar issues [Yanacocha-09]. CAO concluded its joint compliance appraisal of the Yanacocha-09 and Yanacocha-10 complaints in November 2017. Following a review of documentation, CAO has questions as to the adequacy of IFC’s appraisal and supervision of occupational health and safety risks as relevant to the issues raised by the complainants. CAO has thus concluded that these complaints merit a compliance investigation. 

 

All documents relating to this case are available under "View Documents" below. A Spanish version of the appraisal report is forthcoming.

 

Status

CAO’s joint compliance appraisal of the Yanacocha-09 and Yanacocha-10 complaints was released in November 2017. CAO has concluded that an investigation is merited in relation to the issues raised in the complaints. CAO is preparing the Terms of Reference for the investigation of IFC’s performance. 

 

Status as of November 16, 2017


Project information

Institution
IFC
Project Name & Number
Yanacocha 2983
Department
Oil, Gas, Mining, & Chemicals
Company
Minera Yanacocha S.A.
Sector
Mining
Region
Latin America & the Caribbean
Country
Peru
Environmental Category
A
Commitment
5% equity stake

Case Tracker

Ombudsman

  • Eligible: Completed
  • Assessment Period: Transferred

Compliance

  • Under Appraisal: Completed
  • Under Audit: In Process