pollution and deaths in a Swiss gold mine

In 2023, the Geneva gold trader MKS Pamp made headlines because of one of its mines in Liberia. At the time, he was accused of polluting the environment. This time, the charges are more serious.

Maximilian Jacobi / ch media

Earlier this year, bloody unrest broke out in Liberia’s largest gold mine, New Liberty. The workers protested against their employer: they complained of poor employment contracts, environmental pollution and lack of safety in the galleries. On several occasions, miners have lost their lives underground. On February 28, police fired tear gas at protesters. The situation degenerated, shots were fired. Four people died and 19 were injured.

All of the gold extracted from the mine is purchased by the Swiss company MKS Pamp. The company is headquartered in Geneva and processes the precious metal in its refinery in Ticino. Already in 2023, the New Liberty mine was making headlines in Switzerland: for years, it continued to poison the nearby Marvoe River with cyanide and arsenic. At the time, MKS Pamp defended itself as follows:

Lack of equipment and emergency exits

The mine workers cannot say that they perceive this commitment. Four months later, when people died in February riots, the Liberian parliament sent a committee to the mine. We had access to this official report. There are a total of 38 demands from miners towards the Bea Mountain Mining Company, their employer. There is always talk of environmental and health risks linked to chemicals. The key points are:

Requirement 7: Adequate protective equipment to prevent fatal accidents

The mining company said it had provided protective equipment to all workers. The committee draws another conclusion: when it visited the mine, many miners were working without helmets or safety boots. The committee also heard about a photo shoot from several workers. The miners were reportedly forced to don protective gear for the photos. These were to be used by the mine operator as proof of work safety.

Requirement 22: The mining company must safely store residual materials from the mine because they have been treated with chemicals

The committee requires that warehouses for residual materials be controlled by the Ministry of the Environment.

Requirement 23: Underground ventilation systems, emergency exits and rescue teams in good working order

The committee notes that deaths and environmental risks could have been avoided if the mining company had listened to the demands of its employees.

The Swiss gold hub

All gold extracted from the problematic mine is destined for MKS Pamp. Asked by CH Media (publisher of watson)the company writes that the protests earlier this year were started by residents of villages around the mine. The Swiss gold importer says nothing about the miners’ demands. It is with “great sadness” that we learned of the deaths, says MKS Pamp. But as these people lost their lives following the intervention of the Liberian police, the company says this is not the responsibility of the mine operators. And therefore not the responsibility of MKS Pamp either.

The gold trader highlights his efforts around the New Liberty mine: he is committed to protecting the river and to a better relationship between the mining company and the population. The company does not answer a question about whether it has ever abandoned a gold mine due to ethical concerns.

The weight of “good will”

Christoph Wild, President of the Swiss Precious Metals Industry Association, heads one of the world’s most influential interest groups when it comes to gold processing: a third of the world’s gold is refined in Switzerland.

As a member of this association, MKS Pamp is required to source its gold from environmentally and socially viable sources. However, mines that do not meet these standards should not be immediately abandoned, according to Christoph Wild. Indeed, if a Swiss gold trader abandons a mine, it will simply look for customers in other countries, which often do not care about standards.

But if the company does not demonstrate “good will”, it risks being excluded from the Swiss Association of the Precious Metals Industry, confirms Christoph Wild. Last year, it separated from Valcambi, a major Ticino refinery. His fault? It continues to source precious metals from the Dubai market, although the association warns that gold from illegal mines in Africa is also sold there.

Goodwill is not enough for the Liberian Parliament’s commission of inquiry. At the end of his report, he demands from the mine operator ambulances for workers, investments in the neighboring hospital and medicine for local residents.

Translated and adapted from German by Léa Krejci

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