Responsible Gold Sourcing: A Practical Guide to Documentation

A clear gold specification answers questions about weight and purity. Responsible sourcing asks further questions: where the material entered the supply chain, which businesses handled it, what risks were identified and how those risks were addressed.

For an individual buyer, a few well-chosen questions can clarify a seller’s claims. For a business purchasing precious metals, the same questions help organise a more detailed supplier review. The aim is to connect each claim to evidence that actually supports it.

Understand what each document can show

Different documents answer different questions. An invoice records a transaction. A product specification describes the item offered. An assay report addresses the material tested. Transport records document a shipment. A sourcing policy explains an organisation’s stated approach to supply-chain risks.

Consider what happens when those records arrive together. An assay might match the claimed purity while leaving the material’s earlier history unexplained. A policy might describe a strong process while providing no evidence that the process was used for a particular supplier.

Organise the review around three questions: does the product match the order, can the parties and material be identified, and is there credible evidence behind the sourcing claim?

Start with the supplier and the material

Establish the seller’s full business identity and clarify its role. Is it the refiner, a manufacturer, an intermediary or the retailer? Ask who produced the bar and how the product or batch is identified.

For business purchases, compare relevant product identifiers, weights and descriptions across the quotation, invoice and shipment records. Follow up on inconsistencies before accepting an explanation that cannot be checked.

These checks reflect the emphasis on supplier identity, material type, transport routes and consistency of records in LBMA’s gold supply-chain risk guidance. The guidance is written for refiners; a buyer should adapt the questions to its own role rather than assume every requirement applies identically to every transaction.

Look for a process behind a sourcing policy

The OECD framework for mineral supply-chain due diligence describes five connected areas: management systems, risk assessment, responses to identified risks, independent audits at relevant points in the supply chain, and public reporting.

This makes a policy a useful starting point. A business buyer can then ask who is responsible for applying it, how concerns are escalated, and what evidence shows that risks are being reviewed. Relevant assurance or public reporting can help explain how a policy operates in practice.

The depth of review should reflect the material, the supply chain and the risks involved. The OECD approach treats due diligence as an ongoing activity, so a new supplier, changed route or unexplained discrepancy can justify a fresh assessment.

Ask what “recycled gold” means in context

The word “recycled” needs a clear definition and supporting records. Ask which material category is being described, where it entered the recycling chain and how that classification was established.

LBMA highlights the importance of due diligence for both primary and secondary gold and distinguishes definitions used for sourcing controls from claims made about products. Its responsible-sourcing overview explains why controls around recycled material matter.

If a seller also makes an environmental claim, ask for the evidence supporting that specific statement. A recycled-material description alone does not quantify environmental performance.

Check the scope of certification claims

When a supplier mentions a certification, ask for the scheme name, certificate holder, covered activities and validity period. Check whether the claim concerns the business, a facility, a management process or the material in the proposed order.

For example, the Responsible Jewellery Council’s Chain of Custody standard addresses the handling and trading of responsibly sourced precious metals through jewellery and watch supply chains. Its scope and supporting transfer records matter when assessing a product-level claim.

An organisation’s name or logo on a brochure is a reason to verify the details. Use the scheme owner’s published information and ask the supplier to explain how the claim connects to the product being offered.

Build a review file you can use

For a business order, a short record can make later checks easier:

• List the exact sourcing claims made in the quotation.
• Save the documents or links supporting each claim, with the review date.
• Note the product, batch or transaction to which the evidence relates.
• Record unanswered questions and the person responsible for resolving them.
• Keep the final agreed specification beside the transaction records.

For a retail purchase, start with a simpler question: “What sourcing information can you provide for this particular product?” Keep the answer with the invoice and product documents.

If you are preparing an enquiry for Jawharat Al Khalij, state the material, quantity and sourcing documentation you need at the outset. Review our services and ask which records are available for the specific proposed supply. Clear requirements make it easier to identify gaps before an order is agreed.