Modern Mining in Armenia: GE, IBM, Zeppelin Cat at Yerevan conference

 November 17, 2016 - 12:46 AMT

PanARMENIAN.Net - On November 16, the U.S. Embassy in Yerevan, in partnership with the Ministry of Economic Development and Investments, the Ministry of Energy and Natural Resources, and HSBC Bank, organized a one-day sustainable mining business conference, Modern Mining in Armenia.

The goal was to connect Armenian mine operators with well-known U.S. companies that offer products and services that ensure greater mine productivity, employee safety, and nature protection. Representatives from seven leading U.S. companies and 35 Armenian mining companies attended the event.

The conference was designed to strengthen the growing commercial ties between the United States and Armenia by introducing leading American businesses to Armenian mining sector operators, and by giving the American companies the opportunity to showcase the latest technological advances in the field. Seven U.S. corporations – Modular Mining Systems, General Electric, Caterpillar/Zeppelin, IBM, Honeywell, Terra Source Global and Dow – sent representatives to Yerevan to present their products and services and to learn about business opportunities in Armenia.

“Mining, done responsibly and transparently in line with the highest international environmental and social standards, can be a successful investment and be of benefit to the Armenian people,” said Ambassador Richard M. Mills, Jr. in his opening remarks. “Sustainable mining, using the latest technology and equipment, can be safe for mining workers and can protect Armenia’s environment.”

“Today we’re focusing on the mining sector, because as you know, it is one of the leading sectors in the Armenian economy and a major contributor to the GDP and the country’s exports. Mining represents real opportunities for Armenia,” said Ambassador Mills. “And these opportunities are not just ideas on paper; there are successful mining enterprises that are already in operation and looking to expand. We want to see them grow, and at the same time preserve the country’s natural beauty, invest in the communities where they operate, and protect their workforce.”

Minister of Economic Development and Investments Suren Karayan said, in turn, that mining is a vital pillar for Armenia, one of the leading sectors of the economy. He stressed that mining industry accounts for the greatest share of Armenia’s exports: the sector’s produce amounted to some $462 million in 2015, which makes up around 31% of the country’s total production.

According to the Minister, foreign investments in this sector bring advanced technologies and highly qualified specialists into the country. Also, Karayan said, the government prioritizes the continued development of the mining industry in a modern, environmentally-friendly manner.

Paul Edgar, Chief Executive Officer of HSBC Bank Armenia CJSC, said: “Today we have invited companies working in the mining sector to speak about the trends and approaches of the industry aimed at developing sustainable mining in Armenia. Sessions will cover an overview of the sector, experience sharing around new technologies, as well as HSBC's Commodity and Structured Trade Finance proposition supporting customers along their physical supply chains from Andrew Robinson, Head of Commodity and Structured Trade Finance UK and France.”

According to him, the mining and metals sector is fundamental to many of today’s society’s basic needs. Its activities, he said, range from the exploration and mining of minerals to the complex industrial processes required to manufacture refined metals such as copper, gold or those, which Armenia produces, largely for export.

“However, if not managed responsibly, these activities can have unacceptable adverse impact on people and the environment,” Edgar said.

“HSBC is a longstanding supporter of the mining and metals sector globally. We ensure that our customers operate in accordance with international good practice and minimum standards. If unchecked, environmental damage and climate change threatens the customers, the communities and the environment on which HSBC’s business has been built over 150 years. If HSBC is to successfully help people to fulfil their hopes and realise their ambitions, it has an important role to play in addressing these challenges."

The one-day program also featured presentations by EBRD Armenia, HSBC Bank, Lydian International, and Armenian government officials.

The day-long event helped the U.S. companies gain a greater understanding of the objectives and priorities of Armenia’s government leaders and businesses, as well as the perspectives of multilateral financing institutions and other key business actors.