October 21, 2021

Responsible Sourcing & Industrial Miners in ASM

Alan Martin, Head of Responsible Sourcing, LBMA; Gregory Mthembu-Salter, Director, Phuzumoya Consulting.

Alan Martin (Head of Responsible Sourcing, LBMA) and Gregory Mthembu-Salter (Director, Phuzumoya Consulting) discussed how industrial miners could help responsible sourcing in the Artisanal and Small-scale Mining (ASM) sector.

The discussion covered whether industrial mines could be the key to capturing more ASM production. “Regardless of blame, we can agree that all the gold does get to the market eventually,” began Gregory Mthembu-Salter. “The way to change things is to actively encourage responsibly sourced gold which doesn’t involve conflict.”

The discussion turned to obstacles faced by the ASM sector in bringing gold to the market, and explored how greater cooperation and co-existence between industrial mining and ASM could work.

“We need to explore ASM working adjacent to industrial mining permits,” Gregory continued. “It’s an antagonistic relationship, but if it’s not possible to cooperate, then ways of co-habiting must be found to increase volumes of artisanally-mined gold.”

There’s no ‘one size fits all’ approach, explained Gregory. “It’s essential that the various actors are all aligned, including the bank, auditor, and the refiner. That supply chain diplomacy isn’t easy – and that’s where LBMA can come in.”