Conflict Minerals
Understanding the new Dodd-Frank Section 1502 disclosure requirements
The U.S. Congress passed the Dodd-Frank Wall Street Reform and Consumer Protection Act (the Act), which was signed into law on July 21, 2010. Section 1502 of the Act is a provision related to sourcing ‘conflict minerals.’ The term ‘conflict mineral’ is defined as:
- Columbite-tantalite, also known as coltan (the metal ore from which tantalum is extracted);
- Cassiterite (the metal ore from which tin is extracted);
- Gold;
- Wolframite (the metal ore from which tungsten is extracted); or their derivatives.
- Conflict minerals are also referred to as “3TG”. Additionally, any other mineral or its derivatives could be added if determined by the Secretary of State to be financing conflict in the DRC countries.
Section 1502 instructs the U.S. Securities and Exchange Commission (SEC), in consultation with the U.S. Department of State, to promulgate regulations requiring certain companies to submit annually a description of measures taken to exercise due diligence on the source and chain of custody of “conflict minerals”.
The intent of the provision is to deter – through increased transparency of companies’ sourcing practices – the extreme violence and human rights violations in the Democratic Republic of Congo (DRC) and neighboring countries funded by the exploitation and trade of certain minerals.
Get answers to some of the Conflict minerals frequently asked questions.
Attachments
Conflict minerals - Services
Brochure, 2-Page PDF
Conflict minerals - Understanding compliance challenges
Guide, 20-Page PDF
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