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Valuing environmental impacts of mercury emissions from gold mining: Dollar per troy ounce estimates for twelve open-pit, small-scale, and artisanal mining sites

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  • Gulley, Andrew L.

Abstract

Mercury is a toxic pollutant that distributes globally once emitted into the air. Mercury emission is the primary environmental impact of small-scale and artisanal gold mining, which are responsible for nearly half of anthropogenic mercury emissions each year. Considering that small-scale, artisanal, and formal gold mining are linked by the global gold price, this analysis evaluates the question - In dollar terms, what is the difference in mercury emission impact, per ounce of gold production, from these three forms of mining? To answer this question, a calibrated benefit transfer approach is employed to apply environmental valuation literature estimates (of mercury's impact on global earnings) to twelve gold mining sites around the world. The results indicate a mean impact range of <$1–$5 for two formally operated open-pit mines in Nevada, $200–$600 for small-scale and artisanal sites that concentrate gold ore prior to mercury amalgamation, and $500–$3200 for small-scale and artisanal sites that amalgamate all of the ore. Given the vast disparity between impact per ounce estimates, even small leakages in gold production from formal to informal operations could increase the net environmental impact of global gold production. Future research ought to estimate this leakage rate by modeling small-scale and artisanal miners’ price elasticity of supply.

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  • Gulley, Andrew L., 2017. "Valuing environmental impacts of mercury emissions from gold mining: Dollar per troy ounce estimates for twelve open-pit, small-scale, and artisanal mining sites," Resources Policy, Elsevier, vol. 52(C), pages 266-272.
    • Handle: RePEc:eee:jrpoli:v:52:y:2017:i:c:p:266-272
    DOI: 10.1016/j.resourpol.2017.03.009
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    References listed on IDEAS

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    1. Sergey V. Paltsev, 2001. "The Kyoto Protocol: Regional and Sectoral Contributions to the Carbon Leakage," The Energy Journal, International Association for Energy Economics, vol. 0(Number 4), pages 53-80.
    2. Wilson, Matthew A. & Hoehn, John P., 2006. "Valuing environmental goods and services using benefit transfer: The state-of-the art and science," Ecological Economics, Elsevier, vol. 60(2), pages 335-342, December.
    3. Babiker, Mustafa H., 2005. "Climate change policy, market structure, and carbon leakage," Journal of International Economics, Elsevier, vol. 65(2), pages 421-445, March.
    4. Balistreri, Edward J. & Worley, Christopher M., 2009. "Mercury: The good, the bad, and the export ban," Resources Policy, Elsevier, vol. 34(4), pages 195-204, December.
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    1. Moses Nyakuwanika & Huibrecht Margaretha van der Poll & John Andrew van der Poll, 2021. "A Conceptual Framework for Greener Goldmining through Environmental Management Accounting Practices (EMAPs): The Case of Zimbabwe," Sustainability, MDPI, vol. 13(18), pages 1-26, September.
    2. Johan Danu Prasetya & Dian Hudawan Santoso & Eni Muryani & Tyka Ramadhamayanti & Bandhar Aji Sukma Yudha, 2021. "Carrying Capacity Of Mercury Pollution To Rivers In The Gold Mining Area Of Pancurendang Village, Banyumas," Journal Clean WAS (JCleanWAS), Zibeline International Publishing, vol. 5(1), pages 1-4, March.
    3. Konstantinos Komnitsas, 2020. "Social License to Operate in Mining: Present Views and Future Trends," Resources, MDPI, vol. 9(6), pages 1-15, June.
    4. Gasparinnetti, Pedro & Bakker, Leonardo Barcellos & Queiroz, Julia Mello & Vilela, Thais, 2024. "Economic valuation of artisanal small-scale gold mining impacts: A framework for value transfer application," Resources Policy, Elsevier, vol. 88(C).
    5. Queiroz, Julia & Gasparinetti, Pedro & Bakker, Leonardo B. & Lobo, Felipe & Nagel, Gustavo, 2022. "Socioeconomic cost of dredge boat gold mining in the Tapajós basin, eastern Amazon," Resources Policy, Elsevier, vol. 79(C).
    6. Leonardo Barcellos de Bakker & Pedro Gasparinetti & Júlia Mello de Queiroz & Ana Claudia Santiago de Vasconcellos, 2021. "Economic Impacts on Human Health Resulting from the Use of Mercury in the Illegal Gold Mining in the Brazilian Amazon: A Methodological Assessment," IJERPH, MDPI, vol. 18(22), pages 1-26, November.

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