EU AMENDS NORTH KOREA, LIBYA AND IRAQ SANCTIONS LISTS

EU AMENDS DETAILS OF 1 VESSEL LISTED UNDER NORTH KOREAN SANCTIONS

EU Regulation 2018/1284/EU amends the details in the North Korean sanctions lists relating to WAN HENG 11.  Formerly a Belize-flagged vessel, is now operating as a DPRK-flagged vessel named the KUMJINGANG3 or KUM JIN GANG 3.  See also Council Decision 2018/1249/CFSP.

https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=uriserv:OJ.L_.2018.240.01.0002.01.ENG&toc=OJ:L:2018:240:TOC

EU AMENDS DETAILS OF 6 ENTRIES ON LIBYAN SANCTIONS LIST

EU Regulation 2018/1285/EU amends the details for 6 individuals on the EU Libyan sanctions list.  See also Council Decision 2018/1290/CFSP.

https://eur-lex.europa.eu/legal-content/EN/AUTO/?uri=uriserv:OJ.L_.2018.240.01.0004.01.ENG&toc=OJ:L:2018:240:TOC

EU REMOVES STATE COMPANY FOR ELECTRICAL INDUSTRIES AND STATE ENTERPRISE FOR DRUG INDUSTRIES FROM IRAQ SANCTIONS LISTS

EU Regulation 2018/1286/EU has amended the Iraq sanctions lists by removing 2 entries following the decision of the relevant UN Sanctions Committee.

https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=uriserv:OJ.L_.2018.240.01.0008.01.ENG&toc=OJ:L:2018:240:TOC

THE RISING RISK OF GOLD SUPPLY CHAINS IN SOUTH AMERICA

Mining Technology on 24th September carried an interview with Jesse Spiro, global head of threat finance and emerging risks for Thomson Reuters Financial & Risk.  It is said that in South America in particular, a lack of monitoring or prosecuting illegal mining, together with endemic corruption, has resulted in gold being perceived as a low-risk-high-reward way to make money, and that while many believe the major drug trafficking organisations in Colombia make all their money from the production of cocaine and trafficking, illegal gold mining and the extortion that is baked into the system and targeting legitimate miners, both large and small, is extremely profitable, in some cases even more so than coca production.  The article refers to a recent report which claims that FARC, a Colombian guerrilla group, obtains an estimated 20% of its funding through illegal gold mining, whereas in Peru, annual illegal gold exports are double that of cocaine, amounting to around $3 billion.  The problem is also said to be prevalent in Bolivia, Brazil, Ecuador and Venezuela.  One particular problem is said to be so-called ‘gold laundering’ –  as with money laundering, illegal miners and organised criminals try to hide the illicit origins of their gold by mixing it with legitimately mined gold, to then introduce it into the legal international gold market.  It is also said that the reputational risk for companies that become embroiled in illegal gold mining could be higher and ‘should be higher’.

https://www.mining-technology.com/features/the-rising-risk-of-gold-supply-chains-in-south-america/

The report itself: ILLEGAL MINING IN SOUTH AMERICA AND FINANCIAL RISK – TAKING THE SHINE OFF GOLD, is available at –

https://risk.thomsonreuters.com/content/dam/openweb/documents/pdf/risk/white-paper/illegal-mining-in-south-america-and-financial-risk-taking-the-shine-off-gold.pdf

gold

US: ‘FINGERPRINTING’ TECHNIQUE FOR EXPORTS TO KEEP WMD DUAL-USE GOODS OUT OF THE WRONG HANDS

On 24th September, the National Nuclear Security Administration reported that it has developed a way to identify suspicious shipments of “dual-use” goods.  Dual-use goods are commodities that could be used for commercial purposes or to contribute to a foreign WMD programme and many of these commodities require an export licence.  Each “fingerprint” is a profile used to identify a particular dual-use commodity using the fields of the shipping documents themselves.  One example is a pressure transducer, which is a sensor used in uranium enrichment.  It shares the same commodity code number as other pressure sensors, such as those used to check car tyres.  But research revealed that transducers used in uranium enrichment typically cost more than $1,000, weigh a few pounds, and sell in quantities of a couple dozen at a time.  This fingerprint distinguishes them from other pressure sensors that share the same code number, but are cheaper, lighter, and sold in larger quantities.

https://www.energy.gov/nnsa/articles/nnsa-develops-fingerprinting-technique-exports-keep-wmd-building-blocks-out-wrong