Gold refiner audit cross-recognition
Industry programs engaged in conflict minerals issues are working together to harmonise gold refiner audits. Gold refiner audits are carried out to demonstrate due diligence in gold supply chains, particularly if sourcing in conflict-affected and high risk areas. The inter-operability of these standards helps reduce unnecessary duplication of audits and aims to broaden uptake of due diligence by gold refiners of all sizes, in all parts of the world.
The Responsible Jewellery Council has cross-recognition agreements for audits of gold refinery due diligence with the London Bullion Market Association (LBMA) and the EICC-GeSI Conflict Free Sourcing Initiative (CFSI) program, and with the Dubai Multi Commodity Centre (DMCC). These agreements aim to reduce duplication for refiners and to support broader supply chain efforts to implement the OECD Due Diligence Guidance, and relevant national legislation (such as Section 1502 of the Dodd-Frank Act for Conflict Minerals).
RJC’s recognition of the LBMA and EICC audits as fulfilling parts of Section 10 of the RJC Chain-of-Custody (CoC) Standard is included in the CoC documentation published in March 2012. In 2013, RJC announced the same recognition for the DMCC program.
The LBMA, EICC CFSI and DMCC recognitions of RJC CoC Certification for Gold Refiners means:
- CoC Certified Gold Refiners will also be added to the EICC Conflict-Free Refiner list.
- LBMA will accept RJC CoC Certification as demonstrating conformance with the LBMA Responsible Gold Guidance applicable to London Good Delivery refiners.
- DMCC will accept RJC CoC Certification as demonstrating conformance with the DMCC audit requirements for Dubai Good Delivery.
Please note: Under the cross-recognition, all London Good Delivery gold or Dubai Good Delivery Gold is not automatically Eligible / CoC Material under the RJC CoC Standard. Other aspects of the CoC Standard continue to apply, including criteria for declaring Eligible / CoC Material.
The additional benefit of RJC CoC Certification for refiners and their customers is how it can be used to differentiate types of gold sources (mined, recycled, grandfathered). The SEC rule for Dodd Frank has different supply chain inquiries and disclosure requirements for these different types of sources.
RJC welcomes enquiries from Gold Refiners and their stakeholders about RJC CoC Certification and the cross-recognition agreements.
Photo Courtesy: Goldlake I.P. S.p.A
LBMA Toolkit for Refiner Due Diligence
The LBMA has developed a toolkit of checklists and questionnaires for gold refiners carrying out due diligence towards gold sources. They are practical implementation tools that can also be useful for RJC standards, particularly section 10 of the RJC Chain-of-Custody standard on conflict-sensitive sourcing.
The LBMA has kindly made these available to RJC to share with interested Members and stakeholders as optional good practice tools for the gold sector. Thanks to Argor-Hereaus, Metalor and PAMP – LBMA Good Delivery Refiners and RJC Members – who were instrumental in the development of these documents.
Mined Gold (Large scale, medium & small scale)