Responsible and conflict-free artisanal gold supply chain in Eastern Congo
The Just Gold project, whic...
The Democratic Republic of Congo has its first responsible and conflict-free artisanal gold supply chain fully operational.
The Just Gold project, which began as a pilot in Ituri Province back in 2015, has officially moved beyond the pilot stage having proven a successful chain of custody from mine site to explorer.
Just Gold please
The Just Gold project is an incentivised project in which artisanal gold miners can channel their gold output to legal exporters and responsible customers by offereing fair and transparent pricing. The project also provides capacity building, such as technical assistance to miners in return for legal sales.
Through the project, miners are taught better exploitation techniques and offered Just Gold project equipment, in return for which any gold produced must be tracked and sold through legal channels.
The project is the first of its kind to successfully trace conflict-free and legal artisanal gold mine from mine right through to export, applying regional and international standards.
The Just Gold project comes from Partnership Africa Canada and the Democratic Republic of Congo government. In September last year, a Memorandum of Understanding (MoU) was signed between PAC and Minister of Mines Martin Kabwelulu, highlighting the support for the organisations activities to strengthen the governance of the natural resources industry.
The Ministry of Mines played a key role in the establishment of Just Gold, recognising the project as a system of traceability and encouraged its implementation.
Signs of success
“After almost two years of testing the Just Gold project with an aim to develop a chain of custody and due diligence system for artisanal gold in DRC, we are excited to share news of our success,” said Joanne Lebert, Partnership Africa Canada’s Executive Director.
“The Just Gold project can now move from a period of testing to implementation and ensuring we have a long-term, sustainable and viable solution for traceable, legal and conflict-free exports of artisanal gold from Congo,” said Lebert. “We look forward to sharing our lessons learned with key actors and to deepening our collaboration with the DRC Government.”
“Proving that artisanal gold in eastern Congo can be conflict-free, legal and traceable is a major step in responsible sourcing efforts in the Great Lakes region. The government of Democratic Republic of Congo is taking major strides in complying with regional standards and demonstrating how the implementation the OECD Due Diligence Guidance for Responsible Supply Chains can contribute to progressive improvements in the sector, supporting artisanal gold men and women miners to enter international markets,” said Lebert.
AngloGold Ashanti establishes BG Umoja JV in Tanzania
AngloGold Ashanti, in line with it s strategy to ensure a sustainable contribution to the economies of host countries, has established the BG Umoja joint venture (JV), in Tanzania.
Awarded a $186m two-year mining contract for the Nyankanga and Geita Hill underground mining projects, the 80/20 joint venture is a partnership between Africa Underground Mining Services (AUMS) Tanzania, a subsidiary of Australia’s Perenti Group, and local drilling services and mining- supply company, Geofields Tanzania Limited.
The partnership is modelled on a similar underground mining joint venture at the Company’s Obuasi Redevelopment Project in Ghana between AUMS Ghana and Accra-based, wholly Ghanaian-owned Rocksure and will help build local specialised mining capacity.
“We’re working with our experienced mining contractors to assist in establishing local joint ventures for long-term transfer of sustainable skills, and to continue building on our sustainable local procurement programmes,” commented Sicelo Ntuli, AngloGold Ashanti’s Chief Operating Officer: Africa.
“AngloGold Ashanti is building sustainable local procurement programmes that will allow it to stimulate economic and social development at all of its operations, evidenced by the significant contribution Geita has made to the fiscus and people of Tanzania.”
AngloGold Ashanti’s annual expenditure with indigenous Tanzanian suppliers has almost tripled to $162mn since 2016. The company’s local team in Tanzania has set itself an ambitious target of 60% to 70% of all expenditures with indigenous Tanzanian companies, by 2025.
Scope 3 Emissions
In addition, AngloGold Ashanti’s Geita Gold Mine has awarded a two-year fuel transportation contract, worth approximately $10.8m a year, to two local contractors - one of which is originally from Geita. This is in line with the mine’s commitment to contribute to the economies of host communities. The Geita-based company was part of Geita Mine’s supply chain capacity building initiative for host community suppliers, a partnership between the Mine and the National Economic Empowerment Council.
To influence Scope 3 emissions, trucks are to be compliant with EURO IV emissions standards, tankers are to be made of an aluminium alloy material to reduce weight and the age of the fleet will be maintained at less than six years.
Diversity & Inclusion
The contractors already employ women fuel tanker drivers, fulfilling the Mine’s requirements for diversity and inclusion. The two contractors both own workshop facilities in Geita town and participate in social initiatives aimed at uplifting the lives of host community residents.
AngloGold Ashanti has been operating at Geita Gold Mine for more than 20 years, with the project initially a single pit mine, evolving now to a predominantly underground operation, employing 5,700 employees and contractors.
Earlier this year, the Government of Tanzania recognized AngloGold Ashanti’s contribution to the economy of the country, awarding it for its outstanding performance in a number of areas, including environmental and safety performance, corporate social investment, the best taxpayer in the mining sector, the runners up in local business content and overall best performer in the mining sector in Tanzania in 2019/2020.
Geita Gold Mine
Geita, one of AngloGold Ashanti’s flagship mines, is located in north-western Tanzania in the Lake Victoria goldfields of Mwanza region, about 120km from Mwanza and 4km west of the town of Geita. It has been in operation as a large-scale mine since 2000.