The Foundation supports the growth of high potential businesses operating in sectors unrelated to mining or oil and gas to ensure local communities have diverse and resilient economies both during, and beyond the life of the operating asset.
Livestock plays an important role in households living in Boteti Sub-District, the area in which Karowe Mine is located. Prior to 2015, the community relied on a slaughterhouse which could not keep up with growing demands of the local market, or meet health and sanitary standards, negatively impacting livestock producers.
The Foundation, in partnership with the Central District Council, supported the upgrade and expansion of the slaughterhouse to a modern certified abattoir, with increased processing capacity and adherence to national health standards so that local livestock producers gain increased incomes from livestock sales. The abattoir opened for operations in May 2016 under the management of the Letlhakane District Council and has been steadily increasing monthly processing capacity. The Foundation continues to support management through targeted technical assistance and training programs.
Karowe Emerging Entrepreneurs Fund (KEEF)
To promote employment opportunities within Karowe Mine's sphere of influence, the Foundation launched the Karowe Emerging Entrepreneurs Fund (KEEF) to identify and support the growth early stage micro-businesses. KEEF offers dedicated business development services to local entrepreneurs and access to financing. To date, KEEF has funded 8 high potential business operating in a range of sectors including manufacturing, agriculture, and retail.
Among the entrepreneurs is Ms. Onnielle Alogeng who took over a fledgling brick manufacturing business in Letlhakane. In the 6 months since taking over the Letlhamosu, Ms. Alogeng has established strong sales channels, doubled production and created 7 new jobs.
picaneros Goat Cheese Initiative
Lundin Mining and NGEx resources are active in Copiapo Province of the Atacama Region in Chile. There is a existing goat milk industry which produces goat cheese for the local market and has untapped growth potential which could provide additional income benefits to local producers. The Foundation is working with local producers in and around Tierra Amarilla and Juntos del Potro to improve the quality and quantity of production, while at the same time, working with industry leaders to strengthen commercial relationships with local producers and increase market opportunities for locally produced goat cheese.
APEOSAE Coffee and Cocoa producers
Lundin Gold's Fruta del Norte mine is located in the province of Zamora Chinchipe where agriculture is the mainstay of local livelihoods. Over 30% of local households are reliant on the production and sale of coffee, cocoa and plantains for income. APEOSAE is a long standing local farmers association providing an important link to market for local farmers. However, due to high reliance on non-recurring grants, APEOSAE has, in recent years, begun been facing production and financial difficulties.
To ensure on-going and improved incomes for local farmers, the Foundation partnered with APEOSAE and national level buyers to strengthen production and management capacity at and secure new commercial relationships. The Foundation has provided technical assistance and financing to support the turnaround. Since the launch of the initiative in April 2016, APEOSAE has more than doubled its sales showing upward trajectory towards a strong recovery.
ECOLAC DAIRY PROCESSING
Dairy production in the province of Zamora Chinchipe provides steady incomes for over 15% of local households. ECOLAC is a regional dairy processor providing market access to hundreds of local dairy farmers. However, low levels of production and poor handling practices prevent farmers from receiving higher prices and more income. In 2016, the Foundation launched an initiative supporting ECOLAC to work with their suppliers to improve herd management and milking practices. The Foundation has provided technical assistance and financing to ECOLAC. Since the launch of the initative in January 2016, ECOLAC producers has seen over 2x increase in monthly income as a result of improved quality and quantity of production.
ELECTRIC VINE INDUSTRIES
Due to the archipelagic nature of Indoensia, access to energy remains limited for communities in eastern Indonesia. To support access to renewable and clean energy in remote areas, the Foundation provided seed funding for Electric Vine Industries to launch a prototype solar mini-grid system in Papua. The pilot system supported energy access to 40 households in Abar, and eliminated the community's reliance on diesel generators. Electric Vine Industries is now preparing to scale into additional areas and connecting small cottage industries to power through its mini-grid system. Learn more here
The Kenyan Government, in partnership with neighouring countries is launching the Lamu Port South Sudan Ethiopia Transport Corridor (LAPSSET) a large infrastructure project which includes transportation infrastructure and an oil and gas pipeline. The LAPSSET corridor traverses Turkana, Isiolo and Lamu counties, three under-served counties with limited economic activity. The Foundation is supporting two key initiatives to leverage the economic spinoff arising from the construction of LAPSSET to ensure employment and income gains can be retained within surrounding communities.
lUNDIN eQUITY bANK eMERGING ENTREPRENEURS fUND (LEEF)
In 2015, the Foundation launched LEEF in partnership with the Equity Bank Foundation. LEEF is targeted at supporting micro-small businesses operating in Turkana, Isiolo and Lamu counties with business training. The Foundation is also providing a partial loan guarantee facility to unlock additional capital to micro-enterprises which otherwise would have difficulty securing financing with local banks.
LEEF has to date, trained over 860 micro and small businesses and provided more than 80 small businesses with financing under the guarantee.
LAPSSET INVESTMENTS LIMITED
The Foundation is the co-founder and investment manager of LAPSSET Investments Ltd., launched in partnership with Mennonite Economic Development Associates (MEDA). LAPSSET Investments is a $1.3mn investment vehicle targeting the growth of small and medium sized businesses operating, or originating within, the three LAPSSET counties - Turkana, Isiolo, and Lamu. LAPSSET Investment will provide between $100,000 and 500,000 USD of capital to businesses operating within the oil and gas supply chain, transportation and logistics or agriculture sectors, with a view to increasing employment opportunities and income benefits along the corridor.
PENAMPANG RENEWABLE ENERGY
In Malaysia, the cost of grid extension to rural areas is prohibitively high, and remote communities lack access to energy. Penampang Renewable Energy (PRE) is an early stage renewable energy company based in Sabah that manufactures and installs micro-hydro systems in remote communities. The Foundation provided seed funding to strengthen PRE’s manufacturing capacity, refine its business model and further expand access to renewable energy to four new sites.
PRE has since tripled its manufacturing capacity and can produce hydro turbines at 20% of the cost of international competitors. PRE also trained 35 village operators to manufacture, operate and maintain micro-hydro systems and installed four new hydro systems which connected over 1140 people to renewable energy. PRE was recognized as finalist for the ASEAN "Rice Bowl" start-up awards in 2015 in the social enterprise category. Learn more...
Norway has benefited from decades of oil and gas development. More recently, with the downturn in oil and gas industry, there is a growing momentum to promote entrepreneurship and alternative sectors for employment. The Foundation has partnered with Kunnskapsparken ( KUPA) a regional business incubator operating in Northern Norway to launch the Arctic Accelerator (AA)in Harstad. AA issupporting entrepreneurs under the age of 30 to launch promising business ideas in the areas of environmental sustainability and sustainable use of Arctic resources. Launched in August 2016, AA received 18 applications from which 5 high potential businesses will be selected to receive in-depth business incubation support from KUPA. The target impact is to create sustainable businesses, and generate employment in Northern Norway.
eagle emerging entrepreneurs fund (EEEF)
The Foundation, in partnership with Northern Initiatives in Marquette Michigan, launched the Eagle Emerging Entrepreneurs fund to support the growth of small businesses in the communities around Eagle Mine. The Foundation has provided in a partial loan guarantee to high potential businesses who have also received business training. To date, the Foundation's guarantee has enabled the provision of over $740,000 in loans to 20 local businesses operating in retail and services, agricultural and manufacturing sectors. In turn, 20 new jobs have been created and 98 jobs have been retained within loan recipient companies.