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Resolution: Extractive Industries Reporting
2007 Shareholder Resolution approved by the Advisory Committee on Corporate Social Responsibility (ACCSR)
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Resolution:
Extractive Industries Reporting
WHEREAS:
XXX understands that “respecting indigenous communities is
an important part of addressing the company’s community
impact” and has declared a commitment to “conduct our
business in a way that promotes economic growth, a healthy
environment and vibrant communities.” (ConocoPhillips
Sustainability Report 2005)
The Voluntary Principles on Human Rights and Security
acknowledges that: “The ability to assess accurately risks
present in a Company’s operating environment is critical to
the security of personnel, local communities and assets; the
success of the Company’s short and long-term operations; and
to the promotion of human rights.”
Emerging standards on indigenous rights, such as the
principle of Free and Prior Informed Consent embedded in the
UN Declaration on the Rights of Indigenous Peoples, and the
Organization of American States’ (OAS) Proposed American
Declaration on the Rights of Indigenous Peoples, could shape
the laws and regulations of the countries in which we
operate, and may affect our ability to access reserves.
Since the acquisition of XXX and new upstream investment,
XXX has become a major holder of oil concessions in Latin
America, particularly in blocks located in remote
rainforests where there are: 1) indigenous peoples who have
expressed outright opposition to oil activities in their
territory; and 2) where there are Indigenous Peoples Living
in Voluntary Isolation.
In Ecuador, XXX faced legal challenges, protests, and
accusations of using divisive tactics in attempts to obtain
consent for its projects in the country’s south-central
Amazon. The blocks remain in force majuere due to community
opposition
The indigenous federations in Block 104 of Peru have
publicly resolved to reject hydrocarbon activities and are
calling on our company to abandon its exploration plans.
XXX is a minority partner in Block 39, located in the
Northern Peruvian Amazon, where there is substantial
evidence indicating the presence of four groups of
Indigenous Peoples Living in Voluntary Isolation.
These un-contacted groups—the Abijiras (or Aushiris),
Taromenane, Arabela and Pananujuri—due to a lack of
immunological defenses, are extremely susceptible to
epidemics and dieoffs. Contact through oil exploration could
lead to genocide.
On July 10, 2007, the Inter-ethnic Association for the
Development of the Peruvian Amazon (AIDESEP) filed a legal
injunction, ordering the Peruvian Ministry of Energy and
Mines to prohibit hydrocarbon activity in Block 39 and Block
67. (Demanda de Accion de Amparo, AIDESEP)
Failure to obtain consent, to respect indigenous rights, as
well as to understand the vulnerabilities of and risks to
un-contacted peoples may threaten the viability of current
and future projects. We believe establishing a reputation as
a fair player that respects indigenous rights helps us
access our upstream investments and contributes to our
success.
RESOLVED:
Shareholders request that the Board prepare a report by
November, XXXX, at reasonable cost and omitting proprietary
information, on XXXs’ policies and procedures regarding:
1. Process and practice for obtaining consent of indigenous
peoples affected by our operations, whether as operator or
minority partner, through their recognized and official
governance structures.
2. Indigenous peoples living in voluntary isolation.
SUPPORTING STATEMENT:
XXXs’ success depends not only on receiving legal permits,
but also on the consent of and respect for the indigenous
peoples it affects. Changing norms on indigenous rights
should inform our company’s policies and procedures for
obtaining this consent, thereby helping us maintain our
reputation for leadership and achieve long-term success.
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