World Gold Council (WGC) member companies directly contributed $57-billion to host economies in 2022, as well as $570-million to local communities and indigenous groups in 34 countries, which shows that gold mining can contribute greatly to socioeconomic development, the industry body says.
Notably, the local community contributions grew by $118-million compared with 2021, on the back of revenue growing by $3.9-billion across WGC members globally in the year.
The host country contributions include $38-billion of payments to in-country suppliers, $10-billion in salaries and $9.3-billion in payments to governments.
The WGC finds in a social and economic contribution report that every job in the gold mining industry supports six more jobs indirectly in the supply chain.
It quantified the direct social and economic contributions of 30 member companies in 2022, comprising 242 operational mines and 111 non-producing sites, including head offices.
Recent efforts by WGC members to train and develop local skills as opposed to bringing in expatriates have led to 95% of employees coming from the host country of operation.
WGC members now employ a combined 207 000 people and 156 000 contractors.
In terms of gender diversity, the WGC finds that the boards of its member companies comprise, on average, 31% women and 69% men, while women hold 17% of executive leadership positions, compared with 83% held by men. Women make up 16% of the total workforce in the gold mining industry among WGC members.
WGC members include Agnico Eagle, Alamos Gold, AngloGold Ashanti, B2Gold, Barrick Gold, Centerra Gold, China Gold, Endeavour Mining, IAMGOLD, Kinross, Newcrest Mining, Gold Fields, Resolute, Sibanye-Stillwater, Wheaton Precious Metals and Zijin.
The WGC explains that gold mining operations are geographically diverse and often located in areas with little existing infrastructure or alternative economic activity.
Gold mining is a complex multi-year business that involves high capital outlays up front, long lead times and uncertain returns, however, when undertaken responsibly, gold mining can play an important role in contributing to socioeconomic development in its host nations, the WGC states.