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Gold to be even more proud of

We spoke to the Alliance for Responsible Mining to learn about sustainable mining and to find out more about the special features of ecological gold, a little-known form of the Fairmined Standard.

Oro Ecológico

Ecological gold is mined and processed without any toxic chemicals like mercury or cyanide.

As we know, gold mining is associated with serious environmental impacts and human rights violations of various kinds, whether it occurs on a large scale (industrial) or in artisanal and small-scale mining (ASM). Notable among these issues is the use of mercury and its effects on health and the environment, particularly in the context of ASM, given that it accounts for almost 40% of the world’s anthropogenic mercury emissions. The mercury that is released not only poses serious risks to the miners who inhale it and their environment, but it also pollutes rivers and oceans and eventually reaches the global food chain.

However, there are responsible sourcing options that enable us to bring another meaning to the jewellery we create and, with it, share stories of human dignity and respect for nature from the very origin of the metal. The best alternative we have found is the Fairmined certification, promoted in 2014 by the Alliance for Responsible Mining (ARM). The gold it offers can be traced throughout its entire cycle and comes from small mining organisations that guarantee safe and dignified working conditions, exclude child labour, apply environmental protection mechanisms and foster the socio-economic development of the communities.

The Fairmined Standard has two categories of gold: Fairmined Gold and Fairmined Ecological Gold.: Fairmined Gold and Fairmined Ecological Gold. Both are produced under the same strict standard of responsible mining, but there are some significant differences. We spoke to ARM to learn more about the special features of this ecological gold to be even more proud of.

The first major difference lies in the fact that ecological gold is extracted and processed without any toxic chemicals such as mercury and cyanide, a requirement throughout the mine’s production system. For conventional Fairmined gold, on the other hand, responsible handling of both chemicals is permitted, and the trend is towards their reduction. In fact, all certified mines now operate mercury-free, except for a single mine that is presently working to eliminate mercury with the assistance of ARM and the Mercury Free Challenge.

A second difference concerns the strategies for restoring the areas and ecosystems in which they intervene, e.g. through revegetation or reforestation of land. These strategies are based on medium and long-term planning and are designed in accordance with the characteristics of the natural environment, soil type and biome.

A mine that seeks the ecological certification must already be a Fairmined certified mine and therefore meet the basic requirements of the Standard. However, it must also demonstrate that it fulfils these two necessary criteria for eco-certification from the outset.

There is also a difference in the amount of the Fairmined Premium. This premium is a financial incentive that is additional to the price received for the sale of the metal, which can be allocated to improving the organisation or to projects in community infrastructure, education, health, etc. It is an acknowledgement to mining organisations for their commitment to implementing responsible mining. For Fairmined Gold the Premium is set at four dollars per gram, while for Ecological Fairmined Gold it is six dollars per gram.

This surcharge is intended to offset the loss in productivity that usually occurs, as the gold recovery rate tends to be lower when switching to mercury- or cyanide-free techniques. Occasionally, this loss can be quite significant and can drop to 72%, for example, as is the case in one of the mines in Puno (Peru).

Why aren’t all Fairmined mines certified as ecological? 

The process of transforming mines into 100% ecological forms of production is much more complex than it may seem at first sight and requires years of effort. On the one hand, it requires huge financial investments for small organisations, especially for subsistence activities. The cost of a mercury-free plant for a mine of this size amounts to around $100,000 (this cost is much higher for larger scale facilities). It takes time to adapt, which also comes at a cost and has an impact on the mine’s productivity. On the other hand, it requires a lot of work to change the culture. Often, these are miners who have been working with these substances for decades. Mercury makes the recovery process much easier and is also cheap.

Such challenges are compounded by the geological characteristics of the environment and the type of mining it facilitates. Of the seven mines that are currently Fairmined certified, only two have been certified ecological and both are alluvial mines (the gold comes from deposits that can be exploited using open-pit methods and is easier to extract), which means that it is possible to operate plants using gravimetric methods. These two mines are Oro Puno and CECOMIP, in the district of Ananea, department of Puno, Peru. There are also four Peruvian mines in the Amazonian department of Madre de Dios undergoing the certification process, which have the potential to produce ecological gold and are also alluvial mines.

By contrast, in Colombia, a type of underground mining is conducted, whereby in this type of mining, because of the way the gold is encapsulated within other minerals, it is extremely difficult to achieve cyanide-free treatment and it is not possible to separate the gold by gravimetric methods alone. As a result, not all mines will be able to reach the level of ecological certification.

However, this does not mean that other Fairmined mines are not striving to improve their environmental management and reduce the use of these toxic substances. The case of the La Gabriela mine in the department of Antioquia is an interesting and encouraging example for underground mining. This mine has already managed, after four years of work, to cease using mercury, although they still use cyanide in a very controlled manner. La Gabriela can and probably will become in the future the first case of ecological gold underground mining.

Supporting these initiatives enables mining communities to make faster progress in the pursuit of their goals and inspires other organisations to follow the path towards producing gold to be even more proud of.

Article drafted in partnership with the Alliance for Responsible Mining (ARM).

* If you are interested in starting to work with this type of ecological gold, you can obtain it from suppliers such as Fairever (Germany), Vipa Designs (UK), which also offers a casting service, Malleable Jewelers (Canada) and Hoover & Strong (USA). For further information, please see the new catalogue of Fairmined suppliers