Deal #256 | Version 45683 | Version 87723 |
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General info | ||
Size under contract (leased or purchased area) |
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Comment on land area | Since 2008, LXML has rehabilitated 452 hectares of land. The company said it is committed to returning land to a state that supports public safety and protects resources through sustainable revegetation.
Source: Company website | |
Intention of investment |
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Comment on intention of investment | Sepon Gold-Copper Project (Open-pit mining)
Source: Companyβs factsheet | |
Comment on implementation status | The previous owner of the copper and gold mine, MMG Ltd, had ceased gold production at the project in December 2013, citing depleting ore reserves and lower margins, choosing to focus on copper.
The resumption of gold production will extend the life of Sepon mine for at least another ten years.
Source: Mining.Com & Laotian Times
Recently (July 2022), Chifeng Jilong Gold entered into a cooperation agreement with Lao Mining Development State Enterprise (LMD). The agreement will enable the parties to focus on exploration and development of mineral resources to develop another mining operation in Laos
Source: News on company website | |
Employment | ||
Comment on jobs created (total) | The company employs approximately 3,000 people in Lao PDR as of 2021. | The company employs approximately 3,000 people in Lao PDR as of 2021.
LXML employees β 2,099 people . Contractors β 1,830
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Comment on jobs created (domestic) | Approximately 95% of workforce are Lao nationals. Over 180 Lao nationals are in superintendent and supervisory positions.
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Investor info | ||
Comment on investment chain | In 2018, "MMG CEO Jerry Jiao said the company was pleased to transfer its 90% stake in the mine" to Shanghai-listed Chifeng Jilong Gold Mining Co. and expressed the potential of the mine to be gold-focused in the years to come. | In 2018, "MMG CEO Jerry Jiao said the company was pleased to transfer its 90% stake in the mine" to Shanghai-listed Chifeng Jilong Gold Mining Co. and expressed the potential of the mine to be gold-focused in the years to come.
Chifeng Jilong bought a 90% stake in the mineβs operator, Lane Xang Minerals, from MMG in 2018 for $275 million.
Source: Mining.Com |
Local communities / indigenous peoples | ||
Comment on displacement of people | In 2020, the company ordered 10 families to move away from the Nonsomboun village to a nearby mine site area but villagers did not want to move as it is far from the town.
Source: RFA Lao | |
Negative impacts for local communities | Socio-economic, Violence, Other | Environmental degradation, Socio-economic |
Comment on negative impacts for local communities | There had been hundreds of employees let go over the years. A particular news story focused on the 400 employees let go last 2014.
The company is situated in a remote area of Vilabouly District, Savannakhet Provinceβone of the most bombed districts in Lao PDR. Over 21,000 people have been killed or injured as a result of unexploded ordnance (UXO) accidents in the post-war period (1974β2018), of which 25 percent were in Savannakhet Province. This legacy brings unique challenges to mining operations, development projects, and agricultural production. | There had been hundreds of employees let go over the years. A particular news story focused on the 400 employees let go last 2014.
The company is situated in a remote area of Vilabouly District, Savannakhet Provinceβone of the most bombed districts in Lao PDR. Over 21,000 people have been killed or injured as a result of unexploded ordnance (UXO) accidents in the post-war period (1974β2018), of which 25 percent were in Savannakhet Province. This legacy brings unique challenges to mining operations, development projects, and agricultural production.
Local residents raised their concerns for the negative impacts from this mining especially the loss of forest area and the exposure of chemical use
Source: RFA Lao |
Comment on materialized benefits for local communities | The Company focuses on small-scale development projects such as fish ponds, meeting places, irrigation, and other activities, in consultation with local villagers close to Sepon mine. Since 2010 more than US$2.5 million has been allocated from the fund. Since operations commenced in 2003, the company has contributed more than US$7.6 million to build schools, hospitals, water, sanitation, roads, and other infrastructure. | The Company focuses on small-scale development projects such as fish ponds, meeting places, irrigation, and other activities, in consultation with local villagers close to Sepon mine. Since 2010 more than US$2.5 million has been allocated from the fund. Since operations commenced in 2003, the company has contributed more than US$7.6 million to build schools, hospitals, water, sanitation, roads, and other infrastructure.
About 40,000 people in 72 villages around the mine have access to basic services through the Community Development Fund and Fund for the Assistance to the Disadvantaged Groups.
The company also building schools, roads, latrines, fishponds, and potable water access.
Source: Companyβs factsheet |
Former use | ||
Produce info | ||
Mineral resources area/yield/export |
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Comment on mineral resources | In 2021, Sepon produced over 5,341 tonnes of copper and 192,988 ounces of gold dorΓ©. 2022 production guidance for Sepon is approximately 224,000 ounces (7 tonnes) of gold dorΓ© and 8,000 tonnes of copper cathode.
Source: Company website | |
Water | ||
Gender-related info | ||
Overall comment | ||
Meta | ||
Locations | ||
Location #PzWBAE7B | ||
Location | Xepon, Laos | Savannakhet, Laos |
Point | Lat: 16.95945 Lng: 105.99876 | Lat: 16.57205 Lng: 104.76868 |
Description | Vilabouly District | |
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Contracts |