Special Advisor Plenary Meeting | An International Minerals Agency & Artisanal and Small-Scale Mining

6 May 2025, Paris & Hybrid

This event summary reflects the authors' understanding of key points made during the discussions. It does not necessarily represent the view of the Paris Peace Forum. The summary may be subject to further revision.

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The Secretariat of the Global Council for Responsible Transition Minerals organized the 5th Meeting of the Special Advisors on the sidelines of the OECD Forum on Responsible Mineral Supply Chains. The discussions, held in a hybrid format, covered two key topics: (1) the case for establishing an International Agency on Minerals and Metals, and (2) the presentation of an initiative to support the legalization and formalization of the Artisanal and Small-Scale Mining (ASM) sector in the Democratic Republic of Congo.

I. The Case for an International Agency on Minerals and Metals (IMMA)

Origins and Rationale Behind the IMMA Proposal

The creation of an International Agency on Minerals and Metals (IMMA) has been a recurring recommendation of the International Resource Panel (IRP), a global science-policy platform established by the United Nations Environment Programme (UNEP) in 2007 to build and share knowledge needed to improve our use of natural resources. This proposal was put forward in its 2020 report “Mineral Resource Governance in the 21st Century: Gearing Extractive industries towards sustainable development” and is reiterated in its forthcoming report “Financing the Responsible Supply of Energy Transition Minerals for Sustainable Development”. Justin Vaïsse, Director General of the Paris Peace Forum, publicly advocated for the establishment of such an agency during the OECD Ministerial roundtable, highlighting the urgent need for coordinated international governance to address the challenges of responsible mineral sourcing and the energy transition.

Mineral resources, when well-governed, have the potential to support a wide range of development outcomes across the Sustainable Development Goals (SDGs). However, today’s governance landscape remains fragmented, dominated by a plethora of sector-specific policies and voluntary standards and frameworks. While each initiative contributes to strengthening the social, environmental, and economic outcomes of mining, none on its own provides the integrated and cross-sectoral oversight needed to align extractive practices with the SDGs.

Drawing inspiration from the International Energy Agency (IEA), created in response to oil supply shocks in the 1970s, a new International Agency dedicated to minerals would be designed to manage emerging instabilities in mineral markets and build collective resilience for the energy transition. While the IEA and its 32 Member States have stepped into the role of a mineral agency to overcome this critical gap, the need remains for a standalone specialized agency which could address the needs of developing and emerging economies and provide a global and regional platform for dialogues and advocacy across cross-cutting issues.

Proposed Functions and Strategic Priorities of IMMA

The IMMA’s core functions could include providing data and information about global mineral resources and markets, providing support for capacity building and technological transfer, as well as support R&D and early-stages activities. It could also provide information on financial risks, improve sources of finance for the ASM sector, and address the challenges associated with mine tailings. Participants suggested the agency could also explore management of demand in high-consuming countries. Such an Agency could pave the way for a binding international agreement on the management of resources, an essential step to catalyze international cooperation on greater benefit sharing, capacity building and technological transfer.

Several initiatives have already made important strides in enhancing coherence across global governance, sustainable development, and due diligence standards within minerals and metals value chains. These efforts could serve as a strong foundation for the establishment of the IMMA. These include the Equator Principles Financial Institutions (EPFIs), the Global Pact for the Environment, Country Mining Visions (CMVs), the OECD Guiding Principles for Durable Extractive Contracts, IGF Mining, Extractive Industry Transparency Initiative (EITI), the World Resource Forum, and the Global Council for Responsible Transition Minerals.

Participants also emphasized the potential for an International Agency to help prevent a race to the bottom, especially given that the current patchwork of inconsistent environmental and human rights standards weakens global efforts to promote responsible mining. Some proposed mechanisms such as a Raw Materials Adjustment Mechanism - inspired by the EU’s Carbon Border Adjustment Mechanism – which would apply penalties to mineral imports produced without adequate environmental or human rights protections. Such a tool could encourage better practices throughout supply chains, even in the absence of universal agency membership.

Several participants highlighted the marginalization of human rights in current mineral governance frameworks, which often prioritize environmental and development concerns. They stressed the importance of upholding economic and social rights, as enshrined in the 1948 Universal Declaration of Human Rights, and noted that the UN Secretary-General’s report also calls for a human rights-based approach to the energy transition. Participants pointed out that recurring human rights violations in mineral-producing countries frequently destabilize supply chains, underscoring the need to link human rights protections with supply security.

Scope, Participation, and Institutional Anchoring

Participants discussed which minerals would fall under the scope of the proposed IMMA and which countries and actors would be eligible to join. Since definitions of “critical” minerals differ across countries based on economic relevance and supply risks, the Agency could instead prioritize a more universally applicable category such as “energy transition minerals” - though even this classification may shift over time as technologies advance. Participants raised the challenge of managing the mineral sector’s diversity, characterized by a broad range of commodity types, each associated with specific risks. The Agency could initially function as an informational and coordination platform; however, participants raised concerns about how it would later be able to establish common obligations across a highly fragmented global landscape if it were to evolve into a regulatory body.

Broad membership, including major players like China, was perceived as crucial to the Agency’s credibility and effectiveness. However, participants raised concerns that the voluntary nature of participation could lead some major countries to opt out. Participants also emphasized the need to expand beyond State membership to include a diverse range of stakeholders. Midstream and downstream companies were notably absent from the UN Panel process and should be involved in the Agency’s work, given the complexity of minerals supply chains. Participants also emphasized the need to engage the financial sector - which plays a critical role in enabling mining operations - as well as civil society organizations and existing initiatives that bring valuable expertise and perspectives to the table.

Participants questioned whether the United Nations, given its current financial limitations, is the most suitable platform to host such an ambitious initiative. While interest from international institutions is increasing - evidenced by the UN Secretary-General’s Panel, UNEP’s active engagement, and the IEA’s valuable work on minerals - some participants suggested that reforming or expanding the mandates of existing bodies might be a more practical path forward. Participants also suggested that the mining industry could play a role in supporting the transition toward stronger international governance, through funding the establishment of this new body.

Geopolitical Momentum and Institutional Feasibility

It was noted that both resource-rich and consumer countries may have strong incentives to support such an institution: for producing countries, the Agency could offer greater transparency and more predictable revenue flows, helping to reduce exposure to economic volatility; and for consumer countries, the prospect of minimizing supply disruptions could present a compelling case for engagement.

However, participants debated the feasibility of establishing an International Agency in today’s complex geopolitical climate, marked by heightened competition, rising tariffs, and proliferating export controls. While some voiced skepticism given these tensions, others argued that precisely these dynamics, combined with increased demand for energy transition minerals (ETMs), growing regional protectionism, and calls for responsible sourcing, underscore the need for stronger global governance. The creation of an Agency could begin as a “coalition of the willing,” bringing together countries and companies committed to high standards, with the potential to expand its membership over time. Moreover, the rapid rise in global attention to ETMs - once a marginal issue, now the subject of a UN Secretary-General’s report - offers a compelling rationale for taking action.

Beyond geopolitical drivers, participants debated whether current conditions justify the creation of a new international agency. They referenced the historical context behind the formation of the International Energy Agency (IEA), which emerged in response to a major oil crisis, and questioned whether today’s mineral challenges present a sufficiently urgent disruption to spur a comparable institutional response.

II. Driving the Formalization of Artisanal Cobalt Mining in the DRC

The second part of the discussion was led by DRC’s Entreprise Générale du Cobalt (EGC) and the Fair Cobalt Alliance (FCA), hosted by the Impact Facility. FCA brings together actors across the cobalt supply chain to mobilize investment to strengthen and professionalize the Artisanal and Small-Scale Mining (ASM) sector, particularly in the DRC. FCA’s main priorities include: 1) Improving safety on artisanal mining sites; 2) Preventing and remediating child labor; and 3) Fostering economic resilience.

The ASM cobalt sector in the DRC directly employs approximately 200,000 people. With an average of 5-7 family members dependent on the worker, it is estimated that millions of Congolese rely directly or indirectly on this sector for their livelihood. Yet, the sector is plagued with hazardous working conditions, systemic child labour, and exploitative trading practices that often disadvantage local workers selling their products on the open market.

Although the DRC accounts for 74% of global cobalt production and over half of global tantalum output, this has not translated into widespread social or economic benefit for the population. EGC was created by the DRC government to address this gap by organizing ASM supply chains, improving transparency, and ensuring that mineral wealth contributes to the long-term development of both the State and its people. FCA has worked closely with EGC, leading efforts to implement more structured and large-scale reforms in the ASM sector.

EGC’s action is guided by three main pillars:

1. Economic sovereignty over strategic resources - empowering the State to better manage ASM production volumes, pricing, and export flows (ASM in the DRC could account for up to 15% of global cobalt output).

2. Congolese entrepreneurship - supporting artisanal miners through technical training, financial tools, and organizational assistance to help them transition into Small and Medium Enterprises (SMEs).

3. Social and environmental responsibility - emphasizing the need for ASM to actively engage local communities, safeguard the environment, and operate within a clear framework.

   
   

In line with these three pillars, EGC has adopted a cooperative-based operational model. It purchases minerals directly from ASM cooperatives that it trains and supports, requiring them to meet clear standards, aligned with OECD Guidelines. Although full compliance is not expected from day one, minimum conditions are established, with the goal of progressively elevating practices across the sector. EGC noted that its legal monopoly over the purchase of ASM-sourced cobalt enables it to enforce responsible practices across the sector. A governmental directive further strengthens this mandate by requiring all ASM operations to comply with EGC’s standards – including the prohibition of child labor and the employment of pregnant women, as well as mandatory use of personal protective equipment. Given that artisanal mining often takes place on industrial concessions and accounts for a substantial share of the DRC’s cobalt production, EGC’s work has broader significance for the domestic mining sector.

EGC is currently piloting its model at two sites legally transferred by Gecamines: Kanunka and Tombolo, in the region of Kolwezi. This marks the first time that artisanal mining will take place on a formally recognized site. Before operations begin, EGC conducts geological assessments and designs the mine layout to ensure safer and more efficient mining. Production is expected to begin within three to four months. EGC’s efforts are supported by the Congolese government and European industry stakeholders, as well as FCA, GIZ, the Responsible Minerals Initiative (RMI), and BMW.

FCA highlighted the challenges of attracting financing for these projects, despite the relatively small investment required in comparison to the scale and profitability of the cobalt sector. Although EGC aspires to become a financially self-sustaining and profitable entity over time, it will initially need to rely on blended finance and public funding to achieve financial independence. Currently, approximately 80% of the projects funding comes directly from the government, including through “Fonds des Générations Futures”.

EGC further detailed their engagement with Large Scale Mining (LSM) companies to explore legal avenues for integrating formal ASM within industrial concessions. EGC confirmed that recent amendments to the DRC Mining Code (February 2025) now allow permit holders to voluntarily allocate parts of their concessions to ASM in coordination with EGC. This legal reform opens the door to regulated cohabitation between LSM and ASM. EGC emphasized its role in facilitating the implementation of this mechanism and is actively working to identify and establish ASM zones (“Zones d’Exploitation Artisanale,” ZEAs) to prevent uncontrolled ASM expansion and improve oversight.