28 Jan Four miners adopt Mining Shared Value’s local procurement reporting mechanism
Mining Shared Value – a non-profit initiative of Engineers Without Borders – has announced that four mining companies have adopted its Mining Local Procurement Reporting Mechanism (LPRM), with two more firms set to do the same shortly.
The LPRM is a publicly available information sharing framework created by Mining Shared Value and German development agency GIZ to increase and standardise information relating to local procurement at the mine site level.
Robert Friedland’s Ivanhoe Mines became the first miner to use the international transparency standard in 2019, while Lundin Gold, Golden Star Resources and Teranga Gold have all recently produced sustainability reports using the framework.
“With hundreds of millions spent each year by a typical mine site, local procurement of goods and services has huge potential to not only create economic and social benefits for host communities and countries, it is also an incredibly effective way of strengthening a mine’s social licence to operate,” said Mining Shared Value MD Jeff Geipel.
“We created the Mining LPRM as a public good because there was no information-sharing framework for this ESG issue that has such immense potential impact in host countries.”
Local procurement has become a more prominent requirement in the mining sector in recent years, with countries including Ghana, Tanzania and Saudi Arabia implementing regulations requiring local sourcing of goods and services.