At a ceremony at Lao PDR’s National Convention Centre in Vientiane Capital this week chaired by the Prime Minister and the Minister of Industry and Commerce, the Lao National Chamber of Commerce and Industry (LNCCI) issued a Lao Business Leader Award to Chifeng Lane Xang Minerals Limited (LXML), acknowledging Sepon mine’s outstanding contribution to socio-economic development in 2022.

“I am very honoured to accept this award on behalf of everyone at Chifeng LXML,” said Mr Saman Aneka, LXML Managing Director. “Recognition inspires us to continue to strive and move forward as a responsible investor to grow the business and benefit more people.”

LXML has received a ’40 Year Award’ for social and economic contributions, employment and environmental performance, an ASEAN Award for Mining Excellence, and an ASEAN Award for Corporate Social Responsibility (CSR) and community development.

LXML is the only mining company in Lao PDR to have consistently received an A+ rating from the Ministry of Energy and Mines since 2016, setting a leading example to other operations.

Since operations commenced in 2003, LXML Sepon has produced over 1.5 million ounces of gold and 1.1 million tonnes of copper, contributing over US$1.6 billion in direct revenue to the Lao PDR in taxes, royalties, and dividends. In addition, LXML has provided hundreds of millions of dollars in indirect benefits through employment, training, community development, and payments to local business partners and suppliers. LXML invested approximately US$50 million in national and local infrastructure, US$56 million in UXO clearance, and millions of dollars in cultural heritage preservation and other programs.

More than 40,000 people in Vilabouly District, Savannakhet Province, benefit from community development programs, totalling US$20 million worth of projects and investment. Community income through local business groups has accumulated to more than US$50 million over the life of Sepon mine.

“We look forward to continuing to make a strong contribution as a valued development partner in Lao PDR,” said Mr Saman Aneka.

Companies across various sectors received the Lao Business Award 2022. LXML was among six mining companies awarded.

Minister of Industry and Commerce Mr Malaythong Kommasith hands award to LXML Managing Director Mr Saman Aneka on 23 January 2023.

LXML Managing Director Mr Saman Aneka receives the Lao Business Leader Award.

In 2022, Lane Xang Minerals Limited (LXML) Sepon Mine in Savannakhet Province, owned and operated by Chifeng Gold, produced more than 6.7 tonnes of gold and 6,600 tonnes of copper, supporting export revenue and socio-economic development in Lao PDR.

Planned production for 2023 is over 6 tonnes of gold and 7 tonnes of copper.

Since operations commenced in 2003, LXML has contributed over US$1.6 billion to the Lao Government in direct revenue through taxes, royalties, and dividends, in addition to hundreds of millions of dollars in employment, training, community, and local business development.

In 2022 LXML opened the first modern underground mine in Lao PDR at Sepon, setting the standard for other mining operations, extending the life of the mine to at least 2033.

Since 2016, LXML has consistently achieved an A+ rating from the Ministry of Energy and Mines for maintaining environmental and community development standards.

LXML has achieved positive community development outcomes over twenty years of operations in partnership with the Lao Government and host communities, resulting in Vilabouly District’s removal from the list of poorest districts in 2015.

LXML procures US$3 million (75% of fruits, vegetables, and local produce) through local businesses - a combined income over US$50 million – creating important income opportunities.

Our community programs focus on health, education, food security, and livelihoods, including support for disadvantaged communities. We continue to engage cooperatively and consult local communities and other partners on development priorities.

In April 2022, LXML donated US$5 million to Savannakhet Province to upgrade Road 28A, a 41.56km bitumen road from Nabor to Vilabouly District, providing better access to markets for more than 40,000 people. Road 28A is an important link in the ‘East-West’ growth corridor, connecting Lao PDR with Vietnam and Thailand.

LXML has invested approximately US$34 million in infrastructure to extend the national energy grid from Thakhek to Maxahay in cooperation with Electricite Du Laos (EDL), extending economic opportunities to rural communities.

Gold dore from LXML Sepon mine

LXML Sepon employees uphold safety first

Vientiane Capital, Lao PDR – To commemorate Lao National Day on 2 December 2022, Lane Xang Minerals Limited (LXML) Sepon Mine acknowledged 434 employees for long service from five to over twenty years. 132 of these employees have worked with LXML for five years, 238 for ten years, 55 for 15 years, eight for 20 years, and one for 25 years.

In 2023, LXML will celebrate 20 years since operations commenced. Over the life of Sepon mine, more than 10,000 employees have contributed to the growth of LXML Sepon, learning professional skills and creating livelihoods.

Of a total workforce of approximately 5,000 employees and contractors, 95% of LXML employees are Lao, 75% are from local communities, and 20% of these are women. Over several decades, LXML has invested millions of dollars in human resource development, including scholarships, internships, on-the-job training, and apprenticeship programs. LXML is continuing to support career growth and employee aspirations to develop Lao professionals for the benefit of the Lao PDR.

“The skills and experience employees have attained throughout the years are invaluable” said Paul Harris, LXML President the ceremony. “These employees are an important asset for LXML, and the skills that each of you have gained will stay with you wherever your work in Lao PDR. LXML will continue to invest in the human capital of Lao PDR through ongoing training, coaching, and career advancement.”

In August, LXML entered a partnership with the Lao German Technical College to provide technical scholarships for communities in Vilabouly District near Sepon mine. Apprentices will receive vocational training in electrical-electronic, mechanical, fabrication, heavy equipment and automotive technology trades. Upon graduation, they will be offered the opportunity to secure a job with LXML. This program will run until 2027.

Since operations commenced in 2003, LXML has invested millions of dollars in training, scholarships, apprentices, traineeship, and internships. More than 105 Lao participants graduated from the apprenticeship program, and 36 professionals graduated from overseas higher education scholarships.

To date, LXML has provided 959,744 training hours to Lao employees through internal, external, on-the-job training, and overseas study. Since June, LXML has reinstated its popular Supervisor and Leadership Development programs to support the next generation Lao mining professionals.

Since operations commenced, LXML Sepon has contributed over US$1.6 billion in direct revenue through taxes and royalties to the Lao Government, and hundreds of millions in indirect benefits through community development, employment, and training.

22 September 2022 – Lane Xang Minerals Limited (LXML), in cooperation with Vilabouly District Education Office, dedicated three new classrooms and sanitary facilities valued at US$36,950 to Phoukam Secondary School in Boungkham Village, Vilabouly District, Savannaket Province where Sepon Mine is located. Vilabouly Vice Governor, Mr Bounneuang Chanhom, LXML representatives, teachers, and students, witnessed a modest handover ceremony for the new buildings at the school.

On the same day, Vilabouly Information, Culture and Tourism Office and LXML, in the presence of Vilabouly Governor, Mr Valiya Sichanthongthip, celebrated a traditional music promotion project. LXML provided financial support and equipment for students in Vilabouly District to learn Lao traditional musical instruments to preserve valuable cultural heritage. To date, LXML has contributed US$10,000 for this project, creating opportunities for 30 aspiring young Lao musicians.

LXML’s Community Development Fund supports communities around Sepon Mine with $750,000 every year, focusing on three development pillars: food security and commercial agricultural production (30%); education, scholarships, and incentives for outstanding and vulnerable students; and community primary health projects (20%).  The remainder is allocated to other development projects in consultation with local communities, including US$25,000 for a Disaster Rehabilitation and Response Fund, which provided support during the COVID-19 pandemic and floods.

To date, LXML has invested over US$11 million in Vilabouly through the Community Development Fund and other community development projects, benefitting over 40,000 community members and their families with key infrastructure, support, and services. Decades ago, Vilabouly was classified as a ‘very poor’ district, but due to employment, commerce, and community development, it is emerging as a thriving and busy district.