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Evolution Energy Minerals gains 'social licence' with compensation payments and livelihood restoration at Chilalo in Tanzania

Published 27/03/2024, 10:36 am
© Reuters.  Evolution Energy Minerals gains 'social licence' with compensation payments and livelihood restoration at Chilalo in Tanzania

Evolution Energy Minerals Ltd (ASX:EV1) has completed the final cash compensation payment to Project Affected Persons (PAPs) under the Resettlement Action Plan (RAP) for its Chilalo Graphite Project in Tanzania.

Relocation of households

All 110 physically displaced households or PAPs have elected to be relocated and 110 houses are to be built as part of the resettlement under the RAP.

The company has identified a suitable location for establishing resettlement houses and is completing the Environment and Social Impact Assessment for the area.

EV1 is tendering the contract to design resettlement housing, however, the construction of resettlement housing and the relocation of PAPs is scheduled to coincide with project construction funding.

To ensure that the compensation payments have the best prospects of improving living standards and well-being in the areas surrounding Chilalo, the company has also engaged specialists to conduct financial literacy training sessions with the local communities.

Livelihood restoration

In addition to cash compensation, as part of the RAP, the company committed to a five-year Livelihood Restoration Program (LRP).

The LRP consists of several initiatives targeted at delivering sustainable benefits to the local communities, including conservation agriculture, tree nurseries, vegetable programs, youth skills training programs and the establishment of a livelihood restoration centre.

Cashew trees are an important commercial crop in southeast Tanzania. Evolution has planted more than 3,000 cashew seedlings to support community cashew farm projects and to replace losses for planting that were not successful last season.

The company has supported the development of a commercial bee-keeping enterprise for the local communities and a honey processing area.

It has also contributed to continued development of the tree nursery, not only for growing new cashew trees but also to provide training for basic agriculture practices, rotational crops, vegetable gardening for personal subsistence and planting for nutrition, as well as indigenous species for our biodiversity corridor.

A demonstration plot for sesame farming has been established, which is expected to support crop diversification over time.

To support these programs, a significant amount of training continues to be carried out with the local communities.

Evolution managing director Phil Hoskins said: “Completion of the cash compensation under the RAP is an important milestone as we progress our Chilalo Project towards development.

“We continue to work closely with our local communities on the implementation of the livelihood restoration program.

“We recognise that working together with our local host communities is a fundamental requirement for the successful development of Chilalo.

“Delivering the RAP in accordance with IFC standards goes well beyond minimum legislated requirements, which not only secures the best possible outcome for local communities, but also enhances Evolution’s social licence to operate and supports our efforts to obtain finance for the development of Chilalo.”

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