Artisanal and Small-Scale Mining of Critical Minerals

The report argues that artisanal and small-scale mining (ASM) is an underestimated but significant contributor to the global supply of critical minerals, particularly cobalt, tin, and tantalum. It highlights that while some minerals like lithium have high potential for ASM extraction in pegmatite deposits, others like graphite are less viable due to low value per unit of weight. The document emphasizes that the sector's deep informality, lack of geological data, and restrictive licensing frameworks hinder its potential. It presents case studies from the DRC, Indonesia, and Chile to demonstrate both the challenges of informality and the success of formalization models like Chile's ENAMI. The report concludes that for ASM to become a reliable supplier, governments must streamline licensing, provide geological foundations for small-scale plots, and create tailored regulatory frameworks specifically for critical minerals rather than relying on generic gold or gemstone policies.

• ASM already provides a substantial portion of the global supply for several critical minerals, specifically contributing approximately 8% of cobalt, 40% of tin, and 60% of tantalum production worldwide.
• The potential for ASM to extract critical minerals is determined by the mineral's volume, yield, and price per unit of weight; high-potential minerals have low volume/high yield and high value per unit of weight.
• Lithium extraction via ASM is most feasible in pegmatite deposits, which follow traditional mining processes, whereas salar deposits require infrastructure and investment beyond the capacity of ASM operators.
• In the Democratic Republic of the Congo, ASM is a major source of cobalt, with 20% to 25% of the country's cobalt sourced from these operations, though most remain informal.
• Chile's Empresa Nacional de Minería (ENAMI) serves as a successful model for ASM formalization, providing technical assistance, finance, and market access to 1,360 registered small-scale mining businesses, 95% of which extract copper.
• China maintains a dominant position in the midstream and downstream critical minerals sectors, refining 59% of the world's lithium and 73% of its cobalt, and controlling 78% of the global cell manufacturing capacity for EV batteries.
• Large-scale mining projects face significant delays, taking an average of 15.7 years from discovery to production, which underscores the potential for a formalized ASM sector to provide a quicker source of supply.
• Informality in the ASM sector is driven by inappropriate legal frameworks, such as high permitting fees and bureaucratic procedures, as well as a lack of geological data and capital.
• Current ASM categorization in policies often oversimplifies the sector by focusing only on mechanization, which can stifle production by prohibiting the use of heavy machinery for the lowest categories of miners.

APA

Hilson, G., Hamisi, J., Bellois, G., Ramdoo, I., & Ruete, M. (2024). Artisanal and Small-Scale Mining of Critical Minerals. International Institute for Sustainable Development. https://www.iisd.org/system/files/2024-12/artisanal-small-scale-mining-critical-minerals.pdf

Chicago

Hilson, Gavin, Jonathan Hamisi, Grégoire Bellois, Isabelle Ramdoo, and Marina Ruete. Artisanal and Small-Scale Mining of Critical Minerals. International Institute for Sustainable Development, 2024. https://www.iisd.org/system/files/2024-12/artisanal-small-scale-mining-critical-minerals.pdf.

Wikipedia

{{cite report |last1=Hilson |first1=Gavin |last2=Hamisi |first2=Jonathan |last3=Bellois |first3=Grégoire |last4=Ramdoo |first4=Isabelle |last5=Ruete |first5=Marina |title=Artisanal and Small-Scale Mining of Critical Minerals |publisher=International Institute for Sustainable Development |date=December 2024 |url=https://www.iisd.org/system/files/2024-12/artisanal-small-scale-mining-critical-minerals.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{hilson2024artisanal, author = {Hilson, Gavin and Hamisi, Jonathan and Bellois, Grégoire and Ramdoo, Isabelle and Ruete, Marina}, title = {{Artisanal and Small-Scale Mining of Critical Minerals}}, institution = {International Institute for Sustainable Development}, year = {2024}, month = dec, url = {https://www.iisd.org/system/files/2024-12/artisanal-small-scale-mining-critical-minerals.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }