LBMA Position on the North Mara Mine Claim

In 2022 legal proceedings were instigated against LBMA (London Bullion Market Association) in England and Wales on behalf of two individuals from Tanzania. Specifically, the British Law Firm, Leigh Day, is alleging that security personnel (a combination of members of the Tanzanian Police Force and private security contractors) at the Barrick-owned North Mara Mine (Tanzania), deployed disproportionate and excessive force which resulted in these two fatalities. The incidents in question are alleged to have occurred at the North Mara mine in 2019.

Any loss of life within the global precious metals industry is a tragedy. LBMA has every sympathy for any victims, survivors, and families who may have been involved in any event that leads to a loss of life or to personal injury. It is critically important that ultimate accountability for any alleged violence rests with those who have perpetrated that violence.

Leigh Day have not brought claims on their clients’ behalf against the security personnel at the North Mara Mine, nor against the Tanzanian Police Force, nor against the owners and operators of the Mine.

LBMA will be defending the claims. It denies that it owes a legal duty of care to the claimants as alleged by Leigh Day and it considers that the alleged duty is ill conceived and deliberately misconstrues LBMA’s role in the gold mining industry.

Our Position on the Litigation

LBMA takes human rights very seriously and we are naturally extremely concerned whenever there are any allegations of human rights abuses in the global precious metals supply chain.

The fatalities in question, whilst undoubtedly tragic, are unrelated in any way to LBMA, its work, and its role in the global precious metals industry. LBMA is not a business enterprise involved in the alleged violations. LBMA does not accredit mines, whether the North Mara mine or any other mine. It does not control or otherwise oversee operations at the North Mara Mine. It has no personnel based in Tanzania. It is simply not possible for LBMA to police events taking place at the North Mara mine as it has no involvement in the transactions or business. The claims being brought by Leigh Day in respect of these fatalities are fundamentally misaligned with LBMA’s duties and responsibilities.

Additionally, it should be noted that the claims commenced by Leigh Day on behalf of the two individuals are the subject of an anonymity order. LBMA is, therefore, unable to investigate the factual basis of the alleged events in question or even to ask the owners of the relevant mine to respond to the allegations advanced.

LBMA’s Role in Responsible Sourcing Ecosystem

LBMA is an independent precious metals association. Its mission is to ensure the highest levels of leadership, integrity and transparency for the global precious metals industry by advancing standards and developing market solutions.

LBMA maintains a Good Delivery List, which sets technical standards such as fine ounce weight, purity and physical appearance. Refiners must meet these standards in order to receive accreditation by LBMA.

In addition to these technical standards, refiners seeking to obtain LBMA Good Delivery List accreditation are also required to implement LBMA’s ‘Responsible Sourcing Guidance’ and to obtain independent third-party assurances reporting annually on their compliance with this guidance. By requiring refiners to produce third-party assurances, the LBMA seeks to promote and improve standards in respect of human rights in the precious metals industry.

LBMA is not in a position to undertake its own audit of refiners and so it necessarily relies on these third-party assurances from suitably qualified assurance providers. LBMA carries out no mining activities and does not play any role in overseeing, assessing or accrediting mines.

LBMA is committed to bringing stakeholders together across the industry to encourage continual progress in improving human rights issues across the global precious metals supply chain. LBMA is continually seeking to improve its processes and to work with partners to drive better standards in the industry, in line with the OECD Due Diligence Guidance, its five-step framework, and responsible business practices, in which LBMA participated as key player in the multi-stakeholder development process.

More information about LBMA and our work and governance can be found on our About Us page and on our Case Studies page.