The Difference Between Fairmined Gold and Recycled Gold

Gold, the precious metal that has been treasured for centuries, is now available in two forms that are attracting attention: Fairmined gold and recycled gold. Both types of gold offer unique benefits and have varying impacts on the environment and society. In this blog post, we'll delve into the differences between Fairmined gold and recycled gold, exploring their advantages and disadvantages.

What's in the blog?

• What is Fairmined Gold? A Symbol of Ethical Mining
• The Origins of Fairmined Gold
• Where are Fairmined Gold Mines Located?
• The Benefits of Fairmined Gold
• Recycled Gold: The Rise in Demand
• What is Recycled Gold?
• Recycled Gold Drawbacks and Benefits
• Comparison of Fairmined vs Recycled Gold
• Juraster Supports Fairmined and Your Recycled Gold
• Final Thought: A Matter of Choice

What is Fairmined Gold? A Symbol of Ethical Mining

Fairmined Gold is a certification scheme that guarantees traceability, environmental protection, and the development of small mining communities. It is real gold, described under the Fairmined certification standard, which ensures the gold is minimally sourced, traceable, and environmentally friendly. Fairmined Gold is an assurance label that certifies gold from empowered responsible artisanal and small-scale mining organisations. 

 

The Origins of Fairmined Gold

The concept of Fairmined gold was born out of a need to transform the devastating impacts of informal small scale gold mining industry in Latin America. It was developed by the Alliance for Responsible Mining (ARM) with the goal of giving 'artisanal' miners the opportunity to produce gold in a responsible, eco-friendly manner and providing them with legitimate access to global markets. 

The pathway to Fairmined Certification is rigorous and lengthy, however, upon being awarded certification, mines are entitled to charge a premium, an economic boost that allows them to invest in community development projects such as health clinics or educational projects.  A key part of the Fairmined scheme involves help to build a new business which will run alongside mining activities that will endure beyond the lifetime of the mine, e.g. trout farming in the Peruvian Andes, or cocoa farming in Columbia.

The Fairmined Standard promotes the miners' well-being by ensuring fair working conditions, industry leading standards of health and safety at work, fair wages and working hours, gender equality, and the elimination of both child labour and forced labour.

Where Are Fairmined Gold Mines Located?

Currently there are five Fairmined certified gold mines which are located in two main gold-rich regions of Latin America, in areas where small-scale artisanal mining is prevalent and legitimate labour opportunities are limited. 

• Peru: there are three Fairmined certified mines of which two are high in the Andes, Oro Puno, CECOMIP, and the third, AMATAF, is a pioneering indigenous Amazon cooperative who have proved that small scale extraction methods in their reserve can successfully harmonise with nature.

• Colombia: there are three Fairmined certified mines: Chede, La Gabriela and Iquira, all of which are underground operations.  The Cannes Film Festival 'Palme d'Or' is made from gold mined at Iquira. 

• Other Locations: Fairmined currently supports mining organisations on their journey to accreditation in Ecuador and other regions of S. America.

 https://www.youtube.com/watch?v=Xa-SZ3FaXMk

The Benefits of Fairmined Gold Within Global Mining

Fairmined gold offers numerous benefits. It guarantees traceability, ensuring that the gold you wear can be traced back to its origin. It promotes safe working conditions, excellent health and safety standards, fair wages, and fair working hours (maximum of 48 hours a week).

Furthermore, by choosing Fairmined gold, you are contributing to a positive transformation of the artisanal and small-scale mining (ASM) sector.  About 20% of new gold entering the market comes from artisanal or small-scale mines, and because most of them are unregulated, the environmental and societal impacts can be devastating.  It is estimated that 15-20 million people are involved in ASM gold mining world-wide which is largely informal and unregulated, hence the need to introduce proper regulation and a legitimate route to market, such as that provided by Fairmined.  

The majority of the world’s gold comes from large industrial open pit mines, which move vast volumes of 'waste rock' – a low-grade mine that would be considered economically viable may produce only 2gm of gold from 1 tonne of overburden.  CO2 emissions vary from mine type and ore grade, but the highest figures reported are around 0.9kg of CO2 per USD of mined value which compares well to to 5.3kg for steel, and 10.2kg for aluminium mining (source mining.com).  Decarbonisation within electricity grids will lead to improvements.

More beneficial are mines in the Fairmined scheme which not impact the environment, and all practise restorative reclamation and revegetation, along with careful water usage, and chemical and CO2 emission mitigation (see 2024 ARM report).  Indeed, methods can even be successful in the most sensitive environments on Earth - as mentioned above, AMATAF is a small Amazon cooperative using extraction methods in their rainforest reserve which have zero impact on nature.

Photo credit: ARM/Fairmined gold.

Recycled Gold: The Rising Demand The rise of recycled gold is a significant trend in the gold industry, driven by the very high market price of gold since the COVID pandemic, growing environmental consciousness and the desire for more sustainable practices. According to the World Gold Council, recycled gold accounted for 28 per cent of the total global gold supply of 4,633 metric tons in 2020 (Kimai). The market for recycled gold is growing rapidly. The gold recycling market size is expected to reach USD 27.3 billion by the end of 2030, growing at a CAGR of 12.25% from 2024-2030 (Verified Market Reports).

What Is Recycled Gold?

Strictly speaking, recycled gold is gold that has been diverted from waste disposal and then refined and reused.  This can be traced to legitimate sources such as from customers' discarded jewellery, gold plated items, dental implants, refinery and manufacturing scraps, and 'e-waste' - electronic waste from digital circuitry in laptops and mobile phones. 

The refining process involves evaluating the quality of the gold-bearing material, melting it down, and purifying it to remove any impurities. Unlike recycled plastic which can only be refined & reused 2-3 times, recycled gold is as good as new gold, and it can be melted down and refined infinitely without losing its integrity.

The recycling process not only rejuvenates the gold but also reduces waste, making it a sustainable and ethical alternative to traditional gold mining. 

Recycled Gold: The Drawbacks and Benefits

Transparency

Recycled gold is a term that is misleading.  Gold is inherently valuable and has always been recycled through reuse. Only a very small amount can be truly considered recycled i.e. diverted from a waste stream having been disposed of after use. 

Post-consumer gold that has been owned and worn as jewellery rarely goes into the bin and off to local landfill.  It will be sold into a scrap gold recycling process, where it is not segregated or traceable back to its original use.  Manufacturer’s scrap gold processing is not a recycling process either, for the same reason.  Once gold is melted and mixed with other gold, it can't be separated out again.  Recycled gold can’t be traced back to the original mine. 

New standards for the terminology and classification of recycled gold are currently being developed by ISO which will provide rigorous consumer assurance and eliminate the greenwash and misleading boasts of many brands about their use of recycled gold. 

Circular economy

Recycling gold contributes to a circular economy - Goal 12 of the UN's Sustainable Development Goals.  The world's available gold stock will be exhausted by the end of the century at current demand levels, so recycling is increasingly important.  Gold mining is a huge source of revenue for gold rich nations, and 80% of all new gold mined in the world comes from large scale industrial mining operations.  However, gold that is accessible and viable to mine commercially is declining and will be exhausted by 2040.  A new clean-tech process pioneered by the Royal Mint is recovering gold from circuit boards in discarded electronic waste.  In time they hope to ‘mine’ up to 4,000kg of gold from trash. 

Lower Environmental Impact

Gold recycling uses fewer chemicals, much less water and electricity compared to extracting new gold from the ground.  When done without full regard to environmental and societal regulations gold mining pollutes waterways, displaces populations and harms wildlife

Traceability

'Dirty gold' is flowing into the market all the time and is a serious problem despite current industry best-practise.  A 2024 letter from SWISSAID to the London Bullion Markets Association challenged the ongoing scale of gold laundering into this most respected marketplace because they do not trace gold back to the original source.  Gold from 'wildcat' illegal mining operations, criminal gangs, armed paramilitary groups, and corrupt kleptocratic states easily enters the market and becomes legitimised.  Even legitimate gold can't be validated because it’s not segregated and traced back to origin.  Recycled gold is not clean gold.

Table: Comparison of Fairmined vs Recycled Gold

  

Juraster Supporting Fairmined Gold

We are proud to be the very first jewellery brand to batch produce all our designs in Fairmined gold. All Juraster jewellery has been crafted exclusively using Fairmined gold and silver. 

We have build Juraster on a bedrock of ethical values because we hold a strong belief in transparency and equality - ensuring everyone who is part of our supply chain receives a fair wage, works in good conditions and can improve life for themselves and their families.  We have chosen to play our part in reducing our impact on the environment by working with Fairmined's sustainable mines.  And we are very proud to make a positive impact towards the people doing the hard work to bring us beauty from the Earth. 

Discover our Fairmined Gold collections

Juraster Supporting Your Recycled Gold

In Juraster's transformable bespoke design service, we love to redesign your existing jewellery items, from family heirlooms to those pieces which hold deep sentimentality to you.  Thanks to our specialist workshops we can recycle your own family gold. We will take the time to design your jewellery and transform it into beautiful recycled gold and gemstone jewels, crafting new pieces to create new memories all over again. 

“I have recently given Jessica several pieces of jewellery that I just didn’t wear any more. Pieces I had inherited and pieces that I had. She has transformed all of them into pieces I can now wear everyday, wear for fun and wear forever! She is incredibly talented and I can highly recommend her. We worked well together as she listened to my ideas and also gave me her thoughts. I am thrilled with what she has done for me”.

Gail, London

A new cocktail ring created from an old gold brooch, bespoke design by Juraster.

Discover our Bespoke Design Service

The Verdict: A Matter of Personal Choice

In conclusion, both Fairmined Gold and recycled gold offer benefits, but they are aimed at different aspects of sustainability and ethical mining. Fairmined Gold focuses on empowering mining communities and promoting environmental protection, while legitimate recycled gold aims to prioritise the conservation of natural resources and the reduction of environmental impact.

Ultimately, the choice between Fairmined Gold and recycled gold depends on your personal values and priorities. Whether you value ethical sourcing, environmental protection, or the continuity of traditional mining practices, there is a type of gold out there that aligns with your beliefs.

Remember, the more we understand about where our gold comes from, the better choices we can make to support a more sustainable and ethical future. So, the next time you're shopping for gold jewellery, consider the source of your gold and make an informed decision.

 

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