Blockchain startup MineHub Technologies has launched a platform to tackle inefficiencies in trading operations and environmental and social governance (ESG) compliance in mining and metals supply chains.

Built on the IBM blockchain platform using the open-source Hyperledger Fabric standards, the MineHub platform allows parties involved in selling, buying, delivering and paying for a cargo of minerals to collaborate securely in real-time, sharing electronic information rather than couriering or emailing paper documents that are subject to interception, fraud and cyber threats.

In practice, this will see miners capturing mineral production and digital contracts with buyers, which will help streamline post-trade operations, financing and logistics. MineHub says its platform can be used by a wide variety of company types and sizes including SME and large corporate miners, trading houses, financial institutions, alternative financiers, streamers, logistics companies and assayers.

“By providing an immutable record of transactions, MineHub is already helping its members streamline operations, improve key process efficiencies, and bring a new level of trust and transparency. We anticipate considerable reduction in disputes on assays and logistics events by automating the capture of mineral provenance data. This is an exciting advancement that will pave the way for traceability reporting as well,” says Manish Chawla, general managing director, IBM energy and natural resources.

“We are excited about having the first trades going through the platform in the coming weeks and from there start demonstrating the benefits of the solution, in particular the cost savings from streamlining operations, improving access to finance and enabling mineral provenance,” adds Arnoud Star Busmann, CEO of MineHub.

The company has set up a consortium with firms across the mining supply chain, including ING, Wheaton Precious Metals, Ocean Partners USA, Kutcho Copper, Capstone Mining and law firm White & Case. Initial usage and transactions with consortium members are anticipated to commence within the next few weeks as well as the addition of new industry participants to the platform.