Lundin Group adds US$100M to Clinton-Giustra Initiative

Vancouver — When something is hot in the mining industry, it’s usually a metal price or a developing project. It’s not usually sustainable development. But thanks to a Vancouver mining magnate, a Mexican multi-billionaire, and now one of Canada’s more ambitious mining houses, sustainable development is becoming the talk around the drill rig.

Lundin for Africa, the philanthropic arm of the Lundin Group of Companies led by Lundin Mining (LUN-T, LMC-X), has pledged US$100 million to the Clinton-Giustra Sustainable Development Initiative, a program launched last month aimed at fighting poverty in developing countries.

Former U.S. president Bill Clinton, whose foundation will lead the project, announced the US$100-million contribution in New York. The donation matches the US$100-million individual donations from Frank Giustra, the Vancouver-based mining financier who masterminded the project, and Carlos Slim, the Mexican telecommunication billionaire who recently overtook Bill Gates as the world’s richest man. Giustra has also pledged half of his future earnings from the mining industry.

“When Frank Giustra brought forward the idea of having the world’s mining sector pull together in support of alleviating poverty and building sustainable local economies in developing countries, I knew it would only succeed if the industry was serious about being actively involved,” Clinton said in the announcement speech. “Today’s generous support by the Lundin Group is to be applauded because it demonstrates the potential of this global initiative to capture the imagination and support of the mining sector.”

Giustra pointed out that the Lundin Group, through Lundin for Africa, is already carrying out significant aid in five African countries. Lundin’s donation will be earmarked for African projects, to strengthen Lundin’s commitment to the continent where it holds significant mining, oil, and gas interests.

“The Lundin contribution sends a strong signal that the resource sector is prepared to step up and take the initiative off the drawing board and turn it into a reality for developing countries around the world,” Giustra says.

Giustra dreamt up the project after his wife — the dot-com millionaire turned documentary filmmaker and philanthropist, Alison Lawton — challenged him to use his influence in the mining industry to make positive changes for the developing countries that so often host mining projects without reaping the benefits. The organization’s partner list is already a who’s who of the mining industry, with signatories including Canaccord Capital (CCI-T, CCDPF-O), Coalcorp Mining (CCJ-T, CCJMF-O), Deloitte & Touche, Gold Fields (GFI-N, GOF-L), the London and Toronto Stock Exchanges, Newmont Mining (NMC-T, NEM-N), Northern Orion Resources (NNO-T, NTO-X), Pacific Stratus Energy (PSE-T, PSELF-O), Teck Cominco (TCK.B-T, TCK-N), and the World Gold Council.

The coalition of companies and organizations will work with government and non-governmental organizations to improve health and education and promote sustainable development. Initially focused in Latin America, but with plans to expand worldwide, the initiative will identify opportunities to assist local leaders in addressing social, economic, and environmental issues in a cost-effective, sustainable manner.

The Clinton Foundation has considerable experience in successfully implementing and scaling up development in initiatives in the Third World.