How do we source responsibility? How do we manage talent? How we share knowledge through the supply chain? How we increase our diversity and how we share value with our stakeholders are all getting transformed. Our new approach is data-driven, agile, integrated, and collaborative, and our team is empowered and becoming future-fit and our stakeholders well being interwoven with our success.
Companies sourcing ASM gold and carrying out due diligence also help drive positive change in the global supply chain. Responsible sourcing and due diligence are at the core of all activities here at Aureus. While ASM and minerals are not the cause of conflict, money made from ASM activities has often been used to fund terror. Although the amount of newly mined gold tainted by conflict is very low, we at Aureus have put processes in place to ensure that ASM partners on our platform source ethically and are socially responsible to creating a supply chain that is sustainable, transparent, and value-enhancing.
The Aureus Way of responsible sourcing has emerged from the practical guidance ethos of DMCC paired with OECD due diligence guidance for responsible sourcing.
We have a five-step framework in place for responsible sourcing:
- Policy and Process to include Scope Responsibilities, KYC process, Monitoring and Surveillance Process, and Training.
- A dedicated staff member with competence knowledge and experience in supply chain due diligence.
- Internal Documentation and Records- Keeping of supply chain to cover inventory and documents.
- Strengthening and maintaining relationships with suppliers.
- Adequate security requirements, including independent, assesses of shipments, and identifiable sealed security.
In line with our Responsible Sourcing Strategy encouraging responsible engagement with Artisanal and Small-scale Mining (ASM), LBMA has joined a call to action by over 20 organisations urging the gold and jewellery industry to include ASM in their sourcing policies and practices. The ASM sector employs approximately 42 million people, with more than 150 million people worldwide depending on mining to make a living. Conny Havel, Markets and Supply Chain Manager at Alliance for Responsible Mining (ARM), has written a blog titled “The Power of Gold Buyers Engaging with Artisanal and Small-Scale Mining” which focuses on their recent Call to Industry.
Financial & Reporting Standards
The financial statements are prepared in accordance with International Financial Reporting Standards issued or adopted by the International Accounting Standards Board (IASB) and which are effective for accounting periods beginning on or after 1 January 2019 and the implanting rules and regulations of the DMCC. The financial statements are presented in U.A.E. Dirhams, which is the company’s functional and presentation currency. The Company recognizes financial assets and financial liabilities when it becomes a party to the contractual provisions of the instrument. All financial assets and liabilities are measured at fair value on initial recognition. Transaction costs that are directly attributable in relation to financial assets and financial liabilities, other than those carried at fair value through profit or loss (FVTPL), are added to the fair value on initial recognition.
The Compliance Desk is responsible for all matters regarding the gold supply chain. In particular, they review the gold supply chain due diligence and assesses if the due diligence is adequate and requests additional documentation or information if necessary. They ensure that appropriate measures are executed in case of high-risk supply chains or transactions. They in addition to conducting KYC & KYS checks are also responsible for the training of the employees with respect to the responsible supply chain, to prepare and update the gold supply chain policy, and to give proper information to the Senior Management in order for them to perform their duties. The compliance desk directly reports to the Managing Director and works closely with our external auditors. Here is a list of our current policies and guidelines.
- Aureus Anti-Money Laundering and Compliance Policy… Read more
- The DMCC (Dubai Multi Commodities Centre) Guidance for Responsible Supply Chain… Read more
- The LBMA (London Bullion Market Association) Responsible Gold Guidance… Read more
- The OECD (Organizations for Economic Cooperation and Development) Guidance for Supplement on Gold… Read more