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Supporting Artisanal Miners in Mongolia: SDC‘s Experiences and Lessons Learnt.

Patience Singo,Project Manager,Sustainable Artisanal Mining Project, Swiss Development Cooperation Mongolia

Swiss Cooperation Office Mongolia

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Initial trigger: Droughts and severe winters 1997-2002.

Ex-herders turn to ASGM (ninja mining) for livelihood.

100,000 miners, 20% of rural workforce.

Illegal, negative public opinion.

Policy makers regarded ASM as temporary phenomenon.

Disorganised, safety, health and environment risks.

Mercury use estimated at 10tons/annum.

Emergence of ASM in Mongolia

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SDC Response: The SAM Project

‘Sustainable Artisanal Mining Project (SAM)’, (2005-2014).

Transforming illegal ‘ninja mining’into a sector of the formal economy.

SDC replicates Latin American experiences.

Creation of ASM legal framework 2010.

ASM formalisation through Rights Based

Empowerment Approaches.

3SCO Mongolia • Patience Singo 3

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SDC Response: The SAM Project

1868 miners from 11 sites formalised in 2011.

2670 miners organise into mining based communities with 12 strong Associations.

Introduction and replication of Hg-free gold processing plants.

15000 miners use Hg -free plants per year.

4SCO Mongolia • Patience Singo 4SDC Mongolia • Patience Singo

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Lessons Learnt

ASM transformation starts with appropriate legal framework.

Political will of policy makers key to regulate ASM.

Formalisation an incentive to responsible ASMG (including mercury reduction).

5SDC Mongolia • Patience Singo

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Lessons Learnt

Formalized miners.

Organized and follow regulations. Have increased and stable income (30-100% > than

informal. Utilize mercury free mineral processing techniques.

46% & 18% of miners enrolled in health and social insurances respectively.

Have improved livelihood quality.

Have paid rehabilitation funds up to 8800CHF.

6SDC Mongolia • Patience Singo

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Lessons Learnt

Mercury free plants replicated by demand from mining communities:

Due to improved gold recovery, 75% (increased income). CHF 4.5million worth of gold produced annually directly to miners.

Enabling legal framework supporting replication( security for miners).

Miners aware of Hg environmental and health risks.

7SDC Mongolia • Patience Singo

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Lessons Learnt

Development cooperation brings often lacking capacity in-country

Legalisation of ASGM and formalisation are key to mercury reduction and eventual elimination

8SDC Mongolia • Patience Singo

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Mercury Reduction and Fair trade initiatives.

Potential SDC-UNIDO GEF project being developed.

To replicate Mongolia mercury free successes. To fill existing gaps and enhance mercury reduction

where there exists clandestine use.

FTFM incentives for ecological premiums

expected to further incentivise towards Hg-free processing

9SDC Mongolia • Patience Singo

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10SDC Mongolia • Patience Singo

Thank you!

Formalisation leads to cleaner gold and secure life for all.

Sustainable Artisanal Mining (SAM) Project