World Gold Council Announces Conflict Gold Standard

The World Gold Council announced June
17 that it had produced a draft of standards designed to combat conflict gold.

The draft standards may be viewed on the World Gold Council website.

The standards are currently being tested
by leading gold mining companies and refineries, the WGC said. Interested
parties are invited to give their feedback on the draft by Sept. 1.

There are two aspects of the standard,
spokesman David Schraeder tells JCK.

The
“Conflict-Free Gold Standard”
sets out a process through which companies can determine if the gold they are
using fuels war and associated human rights abuses. If the metal is produced in a conflict zone, or
the mine does not operate in a transparent and responsible manner, the Standard
will not certify the gold as “conflict-free.”

The
“Chain of Custody Standard” sets
out a process through which companies can determine whether the gold they are
using complies with the above standard. The Standard outlines the documentation
that should be provided as the metal changes hands from one party to the next,
as well as the management system needed.

“We are reinforcing that our members
are committed to the responsible production of gold,” Schraeder said.  

Conflict gold,
specifically gold mined in the Eastern Democratic Republic of Congo, has had a higher
profile lately. The Dodd-Frank Wall Street reform bill included a conflict mineral provision requiring public
companies to declare whether the materials they use fuel conflict.