Migration to two mines in Laos

This paper considers migration patterns to the Sepon and Phu Kham copper‐gold mining projects in Laos. Data collected biennially at these two mining ventures to monitor socio‐economic change is analysed to establish numbers, sources and types of migrants towards these mines and the distribution of project‐generated cash flows captured by such groups in comparison with those accruing to pre‐existing populations. The bulk of migration is demonstrated to be due to personal ties between migrants and pre‐existing residents. It is argued that in‐migration ultimately tends to dilute and partly undermine the immediate and positive impact of any intentional efforts to maximize local economic opportunities. Efforts to maximize employment for pre‐existing populations are shown to have been significantly undermined by numerous factors. Variations between different state policies on the distribution of and eligibility for receipt of project benefits are key to determining the extent of inward migration. The mines considered here, like many such operations elsewhere and throughout history, are located in relatively remote areas where the prospects for any form of economic development, other than mining, have been minimal. It is unlikely, therefore, that the higher levels of income and the increased opportunities (both social and economic) generated in mine impact areas during operations will be maintained after mine closure. The challenge to mining companies (and host governments) is not so much to create a sustainable economy in the places where they operate but rather to create sustainable improvements in the opportunities for the people who were living in such places prior to the start of their operations.