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Article

1 Jul 2010

Author:
Ina Pozon, Asian Water Project

Zijin and the quest for materiality [China]

…Zijin Mining Group was forced to shut down its copper plant in Shanghang…after a 2.4 million gallon toxic spill contaminated the local river… [I]n the week that followed, it became clear that the Chinese government was going to make an example of Zijin to show that the government was serious about the new environmental standards for commodity producers issued last year…One takeaway for investors here is the critical importance of disclosure. Zijin is now under investigation by the CSRC for its delay in disclosing the leak…Disclosure of relevant environmental performance data is critical for investors, and utilising this data even more so...