ICGLR: Mineral Tracking & Certification Scheme

The Four Principle Elements 1. Mineral Tracking -- source to export 2. A regional database 3. Regular 3rd party audits 4. An independent Mineral Chain auditor ICGLR

Element 1: Chain of Custody Tracking from Approved Mine Site to Export 1. Mine site inspection/approval 2.Chain of Custody tracking from Mine to Export 3. ICGLR Regional certificates ICGLR

1. Mine Site Inspection &Approval The responsibility of MS governments Physically inspect each active mine site Must check for conflict, human rights May also address working conditions, environment Standard Developed by ICGLR Standards Committee Members drawn from government, industry, civil society Developed through multi-stakeholder consultation Reviewed regularly ICGLR

2. Chain of Custody Tracking Chain of custody tracking from mine site to export implemented by national governments prior to export must be able to track national production from pit to export point must be able to track minerals imported and then re-exported Before export, review chain of custody documents to establish that minerals can be tracked from mine site to exporter (producer countries), or border post to exporter (reprocessing countries) Can be outsourced to private sector/NGOs But must still meet ICGLR standards for mineral tracking, transparency, data sharing Mineral Chain Auditor inspects systems for ICGLR compliance Done prior to systems going live ICGLR

2. Chain of Custody Tracking DRC Rwanda Abroad Domestic Production Comptoirs Artisanal Dig Site (certifiable) End Users A Reprocessing Centre Artisanal Traders - CEEC, Div. Mines, SAESSCAM all present to register, track productions Formal Mine Smelter B Reprocessing Centre Chain of custody tracking Artisanal Dig Site (Non-certifiable) OGMR D Div Mines CEEC SAESSCAM ICGLR

3. Issuing ICGLR Regional Certificates ICGLR Regional Certificate issued to mineral exports that have the appropriate chain of custody documents Certificate serves as sole proof of compliance throughout region ICGLR

Issuing Certificates – DRC & Rwanda Abroad Domestic Production Comptoirs Artisanal Dig Site (certifiable) End Users A Reprocessing Centre Centre de Negoce protected by MONUC - CEEC, Div. Mines, SAESSCAM all present to register, track productions Formal Mine Smelter B Reprocessing Centre Artisanal Dig Site (Non-certifiable) OGMR D ICGLR Regional Certificate Div Mines CEEC SAESSCAM ICGLR

ICGLR

Regional Tracking of Mineral Flows using an ICGLR database Data Flows open and public for transparency and legitimacy Responsibility of ICGLR Secretariat ICGLR

Regional Tracking via ICGLR Database Regional Tracking of mineral flows by ICGLR database Data on regional mineral flows transmitted to ICGLR on a monthly basis For each participant, data will be analysed to determine if exports equal legal imports In case of imbalance, participant given a chance to explain and correct. If this is not done, participant will be declared non-compliant All data and analyses will be stored on publicly accessible database ICGLR

2. ICGLR Database Smelter A B C D ICGLR Database DRC Rwanda Abroad Domestic Production Comptoirs Artisanal Dig Site (certifiable) End Users A Reprocessing Centre Centre de Negoce protected by MONUC - CEEC, Div. Mines, SAESSCAM all present to register, track productions Formal Mine Smelter B C Artisanal Dig Site (Non-certifiable) D ICGLR Database ICGLR

Regular Independent 3rd Party Audits 2. Audit Committee 3. Funding Audits 4.Scope of audits ICGLR

1. Regular Independent 3rd Party Audits System is ‘dual-key’ – need to prove chain of custody to get ICGLR certificate and have to pass 3rd party audit All exporters (comptoirs/processors) must submit to regular audits by independent third party auditors Exporters (comptoirs/processors) must pass audits (i.e. those failing audits will be declared non-compliant) ICGLR

2. Audit Committee – Composition Audit Committee will be composed of government, industry and civil society Suggest 3 government, 2 industry, 2 civil society Industry – FEC, ITRI Civil Society – International NGOs (PAC, GW, IPIS, etc) – National NGOs (CENADEP, OGP, etc) ICGLR

2. Audit Committee – Powers Accredits auditors Determines which auditors have the competence and independence to perform credible audits Sets audit terms of reference for audits Check list of where to look, what to look for Determines frequency of audits Commissions Auditors Suggestion: Open bidding process Committee receives finishes results Reads, comments, publishes on website Recommends further action ICGLR

$ Audit Escrow Account $ 3. Funding Audits DRC Rwanda Abroad Comptoirs End Users A Smelter Reprocessing Centre Formal Mine B $$ $$ Auditor Auditor $$ per tonne Reports Reports $ $ ICGLR Audit Committee $ Audit Escrow Account $ ICGLR

Reprocessing Centre Audit 4. Scope of Audits DRC Rwanda Abroad Artisanal Dig Site (certifiable) Domestic Production Comptoirs End Users A Reprocessing Centre Centre de Negoce protected by MONUC - CEEC, Div. Mines, SAESSCAM all present to register, track productions Formal Mine Smelter B Reprocessing Centre Audit C Artisanal Dig Site (Non-certifiable) Comptoir Audit D ICGLR

Element 4: An Independent Mineral Chain Auditor To investigate unforeseen situations that we know will arise ICGLR

Independent Mineral Chain Auditor The Mineral Chain Auditor will monitor the full mineral chain for discrepancies and anomalies arising from data collected in system The Mineral Chain Auditor has authority and resources to initiate investigations at their own discretion The Mineral Chain Auditor is appointed by the ICGLR Executive Secretary from a candidates list submitted by the the Steering Committee The Mineral Chain Auditor is the last line of defence Can react to unforeseen situations close loopholes that were not foreseen when system created ICGLR

Summary - Elements of the System Chain of custody tracking from verified and approved mine site to export Regional Tracking of mineral flows via ICGLR database Regular independent 3rd party audits Independent Mineral Chain Auditor ICGLR

ICGLR: Mineral Tracking & Certification Scheme Thank you very much for your attention Merci beaucoup pour votre attention