2018 is a very special year for the Fairmined Initiative; we can say very proudly that, since 2014, approximately $2,530,000 dollars have been paid as part of the Fairmined Premium to artisanal and small-scale mining organizations (ASMO) certified under the Fairmined standard.
The main purpose of the Fairmined Premium is rewarding the efforts made by mining organizations to attain a responsible gold production. In this sense, the Premium becomes a tool that miners obtain to perform the investments that, in the mid to long term, lead to a social, economic and environmental sustainable development that improves the quality of life of miners, their families and the surrounding community.
This economic incentive, dubbed “The Premium” may reach up to $4000 dollars per kilogram of Fairmined Gold sold, and an additional $2000 dollars (totaling $6000 dollars) for Fairmined Ecological Gold. The amount paid for the Fairmined Ecological Premium is greater because it acknowledges the additional, voluntary efforts undertaken by ASMOs in producing gold without the use of hazardous substances and their efforts to restore native ecosystems.
International precious metal markets increasingly demand guarantees that the gold that they are buying comes from mines that do not finance conflicts and that are not involved in human right violations. For this reason, jewelry, watchmaking and mints, among others, are willing to pay an additional Premium over the international gold price. On the other hand, consumers buy ethically-certified gold since, through the Premium, they are contributing to generating a positive impact in the responsible mining communities.
Below you can find a summary of the projects in which the Premium was invested among the various mines that got certified between 2014 and 2017.
2017 Report: $ 719,000 dollars in Premiums paid in 2017
2016 Report: $ 575,000 dollars in Premiums paid in 2016
2014-2015 Report: $ 895,000 dollars in Premiums paid between 2014-2015
* During the first quarter of 2018 we have paid approximately $330,000 dollars in Premium.
The certified mining organizations have accomplished positive and significant impacts through the Fairmined Initiative, such as: Improvements in plants and physical facilities, such as the enhancement of processing plants to increase their productivity, the purchase of real estate for administrative installations, the improvement of environmental plans and the provision of materials, among others. In line with this, the Premium has allowed investments for works such as the improvement of camps and healthcare posts (rooms, healthcare services, water treatment well). In addition, investments have also been made in fields such as education and culture (donations to schools, uniforms for sports clubs, support to other institutions) with the aim of benefiting the community.
Thanks to the Fairmined Premium, “socially, we provided assistance to people of old age; aided children and people in situations of vulnerability and helped with sidewalks and the construction of homes, among others. Through this we were able to do our small part for those in need. Something that is quite important is that new equipment, slushers and compressors have been bought, as well as self-rescue devices for work teams; these are some of the requirements we have and we are fulfilling our obligations and complying with what is required by the mining authority,” Doris Cuantin – Miner of the Coodmilla mining organization