Perth Mint allegedly buying conflict gold

Friday 12 June 2020

MEDIA RELEASE
Perth Mint reinforces its commitment to best practice

As a WA State-owned organisation The Perth Mint adheres to the highest ethical standards and is committed to boycotting conflict gold and other minerals. We take Environmental, Social and Governance (ESG) reporting very seriously and are vigilant in our assessments of the companies from which we source gold and other metals for processing. We remain confident that we comply fully with all regulatory requirements and the responsible gold guidelines set out by the global gold industry’s governing bodies.

Consistent with our commitment to ethical, robust and best practice processes we will initiate an independent third party review of our audit processes. The review will also assess our arrangements with licensed counterparties which may deal with Artisanal Small-scale Mining (ASM).

For many years The Perth Mint has led change to improve transparency and compliance within the gold industry. We have actively assisted regulators in their endeavours to address corrupt practices, including GST fraud in the broader gold refining sector.

We remain committed to continuous improvement.

ENDS

For further enquires, contact:

Alexandra Lucchesi, Manager Public Relations and Engagements, The Perth Mint
T: +61 (0) 8 9421 7475
M: +61 (0) 403 985 897
E: [email protected]

https://www.perthmint.com/media-tpm-reinforces-commitment.aspx
 
mmm....shiney! said:
ESG. Anyone looking to invest in any company in the future should take heed of these 3 letters.
Click to expand...

Having a policy is easy enough. A retailer will generally have the tightest policies and expectations. Let’s take a Coles or WW for example. They will request 3rd party audit and certification for all direct suppliers. A supplier of a microwave meal may have 20 suppliers associated with the ingredients and packaging materials of that product and it is incumbent on said supplier to manage this. The parsley might be grown in India and change hands 3 times through growing, drying/processing, blending and packaging. Suddenly the supply chain explodes out into 100’s of unique operators and most of the trust is based on paperwork and diluted resource allocation to verify every aspect of the supply chain. (bonus example:) Then something like covid hits and you need to meet consumer demand so you go out to market and a broker will offer you alternative suppliers for out of stock materials to fulfil production for that week or month (forgoing all audit practises in the emergency).
I’ve seen it improve vastly over time but it’s just worth noting that it’s easy for something that isn’t kosher slip through a globalised supply chain, even if there are the best and most progressive intentions and policies at the consumer-facing level.
I would say 99% of ethical sourcing non-compliance cases these days are because of upstream ignorance and not foul play.
Coles/WW will then pull out the paperwork with a lawyer and say “your document sates ...!”. And you’re toast.

Let’s face it, we rely on so much of the 3rd world for our products at the prices we need to maintain our standard of living, and the 3rd world needs dodgy labour practises to meet that demand. How it is hidden from us is pretty damned interesting.
 
Last edited:
The Perth Mint Depository said:
Dear Depositor

Recently, the Australian Financial Review (AFR) published some articles regarding The Perth Mint and conflict gold. The articles questioned whether some of the metal we use is ethically sourced and alleged that our procedures were insufficient.

I want to take this opportunity to reiterate that The Perth Mint is one of the few refiners in the world accredited as a refiner, weight master and assayer with the five major global precious metals exchanges – the London Bullion Market Association (LBMA), New York Commodity Exchange, Dubai Multi Commodities Centre (DMCC), Shanghai Gold Exchange and the Tokyo Commodity Exchange. As such, we abide by the highest standards and conduct yearly audits of all our customers’ Environmental, Social and Governance (ESG) practices.

The Perth Mint is audited regularly by independent, external auditors in line with the requirements of the OECD Due Diligence Guidance Minerals, LBMA Responsible Gold Guidance, DMCC Responsible Gold Guidance and Responsible Business Alliance (formerly the EICC).

We continue to invest in improving transparency and compliance at every level of the supply chain. As an organisation, we take ESG very seriously and reject any suggestion that we may fail to fully comply with any regulatory requirements or fall short of the industry’s highest ethical standards. We also strongly reject any suggestion that we deal in conflict gold. The article mentioned in particular, small scale mining in Papua New Guinea, and I would advise that this does not represent a significant percentage of our metal supply feed and The Perth Mint does not engage with these miners for financial benefit.

The Perth Mint and the broader industry are acutely aware of the complex issues associated with Artisanal and Small-scale Mining (ASM) operations throughout the globe. In March this year, the PNG Mineral Resources Authority announced a project to reduce the use of mercury in ASM. The project acknowledges that ASM is a key source of revenue to many small communities and any bid to improve practices must be balanced against the risk of acute income shock potentially leading to dramatically reduced standards of living.

The Perth Mint is committed to working collaboratively with all our customers to ensure that best practice supply chain activities are in place at all times.

In addition to scrutinising the source of our metal, we also pay great attention to the individuals and companies with which we transact. We employ strict policies and rigorous procedures as part of our client on boarding process and comply with both Australian and UN sanctions lists.

Please rest assured that these articles have no impact on your Depository holding or the metal held in your account. The purpose of my email is to address the allegations made in the AFR and provide clear and verifiable information regarding our practices.

Should you have any concerns regarding your account or The Perth Mint, please contact us at [email protected] Please be aware that due to current volumes, there may be a delay in our response times.

Regards

John Durham | Group Manager Depository Services
Click to expand...
 
currently my local online dealer price LBMA vs non LBMA bars prices differently, non LBMA are generally priced cheaper
it will be nice to see if, PM is under non LBMA and price cheaper too
this is price discrimination, but the market place work in a certain way
buyers of non LBMA would be shock to see PM on the list :)
there is price disparity going on between local (more expensive) compared to overseas (cheaper) despite our SGD is stronger than AUD
 
mmm....shiney! said:
ESG. Anyone looking to invest in any company in the future should take heed of these 3 letters.
Click to expand...
this bar would help
e8d1c194-0396-4764-a81a-3a4d54d32f6b.jpg
 
You must log in or register to reply here.
Back
Top