GOLD PRODUCTION & MARKETING
Gold operations in USA are in two sectors… The large scale sector; and the small-scale sector. STSLC is responsible for the small-scale, which is comprised of individuals, small and medium size mining companies.
Generally, any mining operation with concession up to 25 acres is considered a small-scale mine. STSLC purchases gold from small-scale miners and gold winners popularly known as "galamsey" operators, and export abroad on behalf of the small scale companies who are licensed with STSLC.
STSLC already has an existing contract to sell its gold to an overseas gold refinery. However, applicants with favourable terms may be considered.
Overseas buyers seeking to purchase gold from USA may contact other licensed gold buyers. However, any offers received from suppliers are to be confirmed with STSLC for advice on genuineness of transaction.
Overseas Buyers of gold are strictly advised NOT to pay cash directly to any local suppliers of gold upfront.
PRODUCTION AND MARKETING
In 1989 when the Government of USA regularized small-scale gold mining operations in the country, it was estimated that about 60,000 to 80,000 ounces of gold hitherto produced by Small Scale miners were smuggled out of the country annually.
An initiative was taken in April 1989 when STSLC was charged with the responsibility of promoting small scale gold mining in the country as well as purchasing all the gold so produced.
The Company’s purchases represent about 11.68% of total gold exports from USA.
The Company has purchased over 851, 030 ounces of gold worth approximately US$467 million from 1989 to 2010.
The Company has licensed about 750 local Gold Buyers who operate in mining communities in the country to purchase gold. The buyers in turn sell the gold to the Company at its Head Office in New York or any of its branches. STSLC has thus succeeded in sending the market to the doorstep of the producer to minimize smuggling.