The world's leading gold producers have reported their lowest carbon emissions in more than a decade, but the news is not all good, as a sharp increase in fatalities troubles the industry, according to a new assessment of ESG performance compiled by consultancy Metals Focus.

The Gold ESG Focus 2025 report found that absolute greenhouse gas emissions (scope 1 and scope 2) from the sector dropped below 30Mt of carbon dioxide equivalent in 2024, continuing a six-year downward trend. 

Energy use and water withdrawals also declined, reflecting efficiency gains and shifting operational profiles.

But the report noted that emissions intensity (i.e. emissions per unit of gold equivalent ounces produced) rose, partly because of lower overall production. 

"Emissions have dropped below 30,000 kilotons carbon dioxide equivalent for the first time in a long time," Sarah Tomlinson, director of Mine Supply at Metals Focus, told Mining Magazine. 

"What we did see was that the emissions intensity has increased. That's partly a result of lower gold equivalent production within the group of companies."

Safety setbacks

The most striking reversal came in worker safety. Mining fatalities climbed to 27 in 2024, up from 20 the previous year. The industry's lost-time injury frequency rate also displayed an upward trend. 

"Sadly, there was an increase in fatalities, up to 27 in 2024," Tomlinson said. "That reflects the inherent risk of mining. You're working in hazardous environments with dangerous equipment. You can embed safety culture and practices, but sometimes accidents happen."

So, while gold companies seem to be responding well to the mounting investor pressure to decarbonise, the human cost of extraction remains significant. 

Financial contributions

Government revenues from gold mining surged to more than US$10 billion in 2024, driven by higher royalties and taxes amid robust bullion prices. 

Local procurement also edged higher, while community development spending reached its third-highest level in a decade, according to the report.

"There was a big increase in government payments, primarily due to higher royalties and taxes. We saw a small drop in community development spending, but it was still the third highest in our 10-year period," Tomlinson said.

Education and health initiatives dominated that spending.

In South Africa, companies continued to fund a variety of health initiatives, including antiretroviral treatment programmes, while others invested in digital education and training for local entrepreneurs. 

"Predominantly, companies are looking at education initiatives … there's lots of money invested on health initiatives," Tomlinson explained. "Particularly in South Africa, funding of antiretroviral treatments has been going on for a very long time."

For investors, the report suggested that ESG reporting is slowly but surely becoming standard practice.  Tomlinson said stakeholders now expect management of climate, safety and community impacts alongside production targets.

"I think over the last five or six years … reporting is improving all the time. And I think it's now regarded as standard operating procedure. Investors and stakeholders are expecting ESG to be enacted on continually."

A shifting emissions landscape

The report highlighted a growing complexity in how miners measure climate progress. Several companies revised or withdrew their greenhouse gas targets in 2024 amid portfolio changes and expansion projects.

"Quite a few emission baselines were changed in 2024 and that's a reflection of changing portfolios," Tomlinson said. "Newmont will come out with new baselines in 2025, once they've fully understood the impact of the Newcrest assets. Barrick [is] moving forward with looking at emissions intensities … IAMGOLD have actually withdrawn all of their targets at the moment."

She added a personal observation, noting that the language of "net zero" was used less frequently than in previous years. According to Tomlinson, this reflects the challenges of meeting ambitious pledges in a sector facing expansion. "It's not going to be easy and there are lots of challenges ahead," she said.

Scope 3 emissions (i.e. the indirect emissions across the supply chain) rose for the seventh consecutive year, though Metals Focus said the increase partly reflected better disclosure. Thirteen of the 14 companies surveyed now report on Scope 3, up from just a handful six years ago.

"That, for me, is very much a reflection of improved data and a better understanding of the scope three value chain," Tomlinson said. "The expectation now is that ESG is embedded in standard operating procedures, in a similar way to safety processes."

Deep mines and energy intensity

The report also flagged the rising energy intensity of deep-level underground mines, particularly in South Africa, where producers depend heavily on Eskom, the state utility, which still generates 70% of its electricity from coal.

"In terms of energy intensity, South African mining companies, Sibanye Gold and Harmony, were topping the list," Tomlinson said. "That is partly because they've got deep-level underground mines, with t much higher energy requirements. They are very reliant on their electricity coming from Eskom … that then obviously adds a significant amount to their emissions."

At the same time, new renewable projects are starting to ease the profile. "Harmony's emissions and their energy intensities are high, but they're coming down because the solar plants are coming on stream," she said. Northern Star and Gold Fields in Australia were also cited for rolling out solar power to cut reliance on fossil fuels.

Community and ASM challenges

While the report covered climate and safety metrics in depth, it touched only lightly on artisanal and small-scale mining (ASM), despite the fact that ASM accounts for around 20% of annual global gold supply and as much as 80% of gold mining employment, according to the World Gold Council.

When asked about the omission, Tomlinson said producers are experimenting with different strategies to manage risks posed by unlicensed miners. 

"Some of the companies are engaging with the ASM miners and helping them learn and adopt cleaner recovery processes so that they have less environmental impact," she said. "Others are working with host communities on economic projects so that they don't have to go into ASM. Other companies are leaving it to the security forces."

Illegal incursions into disused shafts in South Africa were described as an escalating safety and security problem. "It's not just an environmental issue. It's dangerous for the people operating within the licensed mining areas. With the gold price as it is, and the involvement of criminal gangs in ASM, it's an ongoing battle," she said.

With the scale of ASM involvement in gold, this could be a potential ESG blind spot.