Join our LinkedIn Group

This Guidance for Disclosure on Human Rights Due Diligence in Mining Sector Procurement has been written by the Mining Shared Value (MSV) programme of Engineers Without Borders Canada, with funding from GIZ Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ). The objective of this guidance is to support mining sector companies in sharing information on how they conduct human rights due diligence (HRDD) during the procurement of goods and services. By following this guidance mining companies will provide all the information required to satisfy the needs of due diligence legislation, sustainability and reporting standards in use by the mining sector, and criteria from Environmental, Social and Governance (ESG) rating agencies. In working to provide this information, mining companies will identify gaps in their current approach to due diligence during procurement, charting a path towards improvements in their policies and procedures. This guidance is therefore focused on meeting the requirements of various laws, standards, and rating agencies, which sometimes mandate that companies report on existing policies and processes (or their absence) and, in other cases, require companies to both report on and implement due diligence policies and processes. Given this distinction, the ultimate aim of this guidance is to drive improved due diligence performance in the mining sector and go beyond mere reporting to implementing meaningful change within company supply chains. This guidance is a spinoff from the Mining Local Procurement Reporting Mechanism (LPRM), launched by MSV in 2017, also with the support of GIZ and BMZ. The Mining LPRM guides companies to increase and standardise their information-sharing on how they approach local procurement of goods and services, and the results of those efforts. Like this guidance on HRDD during procurement, the aim of the LPRM is to help mining companies improve their performance – in this case to create more economic benefits for the host communities and countries where they operate. It also aims to improve their social licence to operate and relationships with governments. Use of the LPRM also guides companies to provide practical information for host country suppliers and the institutions that support them, so they can better seize supplying opportunities. Now in use by multiple global mining companies and featured as a suggested resource in multiple industry standard and guidance documents, the Mining LPRM can be used by companies at any stage of the mining life cycle – exploration, development, operations, and closure. ESG criteria, as well as consultations with mining companies, industry organisations, civil society organisations, suppliers, and other stakeholders. Suppliers based in countries with documented human rights risks were interviewed to ensure their perspective was incorporated. In-person side meetings and roundtable consultation sessions were also carried out during several of the world’s key mining events. This project started in September 2023, and research and consultation carried on until June 2024. The MSV team attended the Intergovernmental Forum on Mining, Minerals, Metals and Sustainable Development (IGF) Annual General Meeting (AGM) in Geneva in November 2023, where initial consultations were held with human rights experts and consultants working on this topic. This was followed by an in-person roundtable in November with consultants working in HRDD, ESG practice, and sustainability reporting, during the Resourcing Tomorrow event in London. In February 2024, initial progress was presented during the Mining Indaba convention in Cape Town, engaging with different stakeholders to discuss the structure of the guidance and to gather their input. Two industry group consultation sessions focused on mining companies took place during the Prospectors and Developers Association of Canada (PDAC) Convention in Toronto in March. Lastly, at the Organisation for Economic Co-operation and Development (OECD) Forum on Responsible Mineral Supply Chains in Paris in May, further in-person interviews with stakeholders took place to gather final thoughts.

Guidance for Disclosure on Human Rights Due Diligence in Mining Sector Procurement

Resource Key: K9PSLYZW

Document Type: Report

Creator:

Author:

  • Jeff Geipel
  • Tatiana Alarcon

Contributor:

  • Caroline MacIsaac
  • Gabriel Vasquez

Creators Name: {mb_resource_zotero_creatorsname}

Place: Canada

Institution: Mining Shared Value (MSV)

Date: June 2024

Language: en

This Guidance for Disclosure on Human Rights Due Diligence in Mining Sector Procurement has been written by the Mining Shared Value (MSV) programme of Engineers Without Borders Canada, with funding from GIZ Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ). The objective of this guidance is to support mining sector companies in sharing information on how they conduct human rights due diligence (HRDD) during the procurement of goods and services. By following this guidance mining companies will provide all the information required to satisfy the needs of due diligence legislation, sustainability and reporting standards in use by the mining sector, and criteria from Environmental, Social and Governance (ESG) rating agencies. In working to provide this information, mining companies will identify gaps in their current approach to due diligence during procurement, charting a path towards improvements in their policies and procedures. This guidance is therefore focused on meeting the requirements of various laws, standards, and rating agencies, which sometimes mandate that companies report on existing policies and processes (or their absence) and, in other cases, require companies to both report on and implement due diligence policies and processes. Given this distinction, the ultimate aim of this guidance is to drive improved due diligence performance in the mining sector and go beyond mere reporting to implementing meaningful change within company supply chains. This guidance is a spinoff from the Mining Local Procurement Reporting Mechanism (LPRM), launched by MSV in 2017, also with the support of GIZ and BMZ. The Mining LPRM guides companies to increase and standardise their information-sharing on how they approach local procurement of goods and services, and the results of those efforts. Like this guidance on HRDD during procurement, the aim of the LPRM is to help mining companies improve their performance – in this case to create more economic benefits for the host communities and countries where they operate. It also aims to improve their social licence to operate and relationships with governments. Use of the LPRM also guides companies to provide practical information for host country suppliers and the institutions that support them, so they can better seize supplying opportunities. Now in use by multiple global mining companies and featured as a suggested resource in multiple industry standard and guidance documents, the Mining LPRM can be used by companies at any stage of the mining life cycle – exploration, development, operations, and closure. ESG criteria, as well as consultations with mining companies, industry organisations, civil society organisations, suppliers, and other stakeholders. Suppliers based in countries with documented human rights risks were interviewed to ensure their perspective was incorporated. In-person side meetings and roundtable consultation sessions were also carried out during several of the world’s key mining events. This project started in September 2023, and research and consultation carried on until June 2024. The MSV team attended the Intergovernmental Forum on Mining, Minerals, Metals and Sustainable Development (IGF) Annual General Meeting (AGM) in Geneva in November 2023, where initial consultations were held with human rights experts and consultants working on this topic. This was followed by an in-person roundtable in November with consultants working in HRDD, ESG practice, and sustainability reporting, during the Resourcing Tomorrow event in London. In February 2024, initial progress was presented during the Mining Indaba convention in Cape Town, engaging with different stakeholders to discuss the structure of the guidance and to gather their input. Two industry group consultation sessions focused on mining companies took place during the Prospectors and Developers Association of Canada (PDAC) Convention in Toronto in March. Lastly, at the Organisation for Economic Co-operation and Development (OECD) Forum on Responsible Mineral Supply Chains in Paris in May, further in-person interviews with stakeholders took place to gather final thoughts.

Download Document