The World Bank’s work in the extractives sector focuses on:

1.       Holistic sector reforms that maximize the benefits of the extractives sector in a way that contributes to sustainable and inclusive development, helping governments realize the development potential of the sector. This approach involves minimizing any negative impacts on people and the environment.

2.       Accelerating the energy transition and climate action by reducing emissions from the extractives sector. Current work includes:

·       The Climate-Smart Mining initiative helps resource-rich developing countries manage the increasing demand for minerals and metals needed for a low-carbon future by implementing sustainable, “climate-smart” mining practices. The climate-smart mining approach minimizes social, environmental, and climate footprints by integrating renewable energy into mining operations, preventing deforestation, repurposing mine sites, and recycling minerals. 

·       The Supporting Energy Transition in Coal Regions initiative supports countries in transitioning away from coal by helping governments close coal mines and ensuring a “Just Transition for All” that protects and respects people and the environment. The World Bank helps national and subnational governments develop roadmaps to help coal regions implement effective policies and strengthen institutional capacities. Ongoing assistance to coal regions can take many forms, spanning various challenges and solutions associated with regional transformation.

Dedicated Multi-Donor Trust Funds support the World Bank’s engagement in developing countries:

·       The Extractives Global Programmatic Support (EGPS) is a Multi-Donor Trust Fund that supports developing, resource-dependent countries in the governance of their oil, gas, and mineral resources. This ensures they are used sustainably and transparently to reduce poverty and encourage sustainable economic growth. Its programs range from transparency and governance to legal and regulatory reform, local economic diversification, strengthening institutions, and social and environmental sustainability.

·       The Global Gas Flaring Reduction Partnership (GGFR) is a Multi-Donor Trust Fund composed of governments, oil companies, and multilateral organizations. It works to decarbonize the oil and gas sector by ending routine gas flaring at oil production sites worldwide. GGFR helps identify solutions to the many technical, financial and regulatory barriers to flaring reduction by:

·       Developing country-specific flaring reduction programs

·       Conducting research and assessing viable emerging technologies

·       Monitoring global flaring levels

·       Sharing best practices

·       Raising awareness and increasing the global commitments to end routine flaring, and

·       Advancing flare measurements and reporting

Last Updated: Aug 13,2021

• Afghanistan: The Bank is working closely with the government to ensure the sustainable development of the country’s natural resources. The current project facilitates a sustainable supply of gas through targeted investments in gas infrastructure and enhanced gas sector governance, doubling the deliverability of commercial quality natural gas that can be used for energy access. The Bank also helps manage ancient and treasured cultural assets around the Mes Aynak site.
• Burkina Faso: The World Bank has provided technical assistance to the mining sector, directly benefiting over 19,000 people, including over 4,000 women. The technical assistance program supported an improved regulatory and policy framework.
• Democratic Republic of Congo (DRC): With World Bank support, women working across the mining sector in DRC organized themselves to establish a national network to advance gender equity. The World Bank held two “Women in Mining Conferences” in 2015 and 2017 and conducted an in-depth survey in 2016/17 across five major mining provinces, resulting in elections for a new national Women in Mining network. The Bank also implemented pilot projects on women’s working conditions and child labor. The latter pilot program succeeded in getting 1,200 children out of child labor and into school and training.
• Guinea: The Bank is helping build systems and capacity to manage the country’s mining sector, including the development of major growth corridors around bauxite and iron ore mines.
• Indonesia: the World Bank and the government of Indonesia are working together under the Natural Resources for Development Program (NR4D) to strengthen Indonesia’s natural resources management and governance as part of wider reforms in the extractives sector. The program prioritizes marginalized groups, including women and artisanal and small-scale mining communities, and examines the opportunities and challenges for Indonesia to reduce carbon emissions and transition to clean energy. As part of this work, the World Bank and the government are reviewing the gas value chain in Indonesia to facilitate reductions in gas flaring and the use of flared gas to boost energy access in the country. The ultimate goal of the overall program is to maximize the benefits of Indonesia’s natural resources in a way that is sustainable, inclusive, and just.
• Mozambique: The Bank is supporting the government by strengthening the capacity and governance systems of key institutions to manage the mining and hydrocarbon sectors.
• Nigeria: The Bank is helping the country substantially enhance the mining sector’s contribution to the economy while strengthening key government institutions and fostering domestic investment in the sector. The World Bank’s Global Gas Flaring Reduction Partnership (GGFR) is also supporting the government in its efforts to end the polluting and wasteful practice of routine gas flaring during oil production, in line with its Nationally Determined Contribution under the Paris Agreement, and to provide Nigerian citizens more access to energy.
• Rwanda: the government of Rwanda created a new mining law and a clear framework for the country’s mining sector. The new mining law was informed by the African Mining Legislation Atlas (AMLA), which the World Bank created as part of the Extractives Global Programmatic Support (EGPS) Multi-Donor Trust Fund.
• Senegal: following three major oil and gas discoveries, the Bank is helping to build the government’s capacity and provide support and technical advice to negotiate oil and LNG contracts. These efforts are expected to boost investments, foster sustainable gas sector development, and lay the foundations for the sector’s contribution to the economy.
• Togo: The Bank is helping streamline the institutional framework of key government agencies involved in the extractives sector to strengthen efficiency and accountability for effective management of the sector. The Bank is also helping artisanal and small-scale mine operators develop skills while raising awareness of sustainable mining practices in communities affected by mining operations.
• Zero Routine Flaring by 2030 initiative: As of August 2021, 79 governments and oil companies that account for nearly 60 percent of global gas flaring have committed to (a) not routinely flare associated gas in new oil field developments and (b) end existing (legacy) flaring as soon as possible and no later than 2030.
• As part of the Supporting Energy Transition in Coal Regions initiative, the World Bank, in partnership with the European Commission, is assisting Poland to ensure a “Just Transition” in the country’s primary coal regions of Dolnośląskie (Lower Silesia), Śląskie (Silesia), and Wielkopolskie (Greater Poland). The project will focus on enhancing the capacity of coal regions to plan for a Just Transition through job creation, repurposing of former mining lands, and stakeholder engagement.
• The World Bank is also facilitating knowledge exchange between the coal regions of Poland and Ukraine, helping both countries prepare for an energy transformation in the coming years. Representatives from Ukraine’s public and private sectors will visit Polish coal regions and share challenges and experiences.
• Through EGPS, the World Bank is a major supporter of Extractive Industries Transparency Initiative (EITI) implementation in developing countries. The implementation of EITI fosters discussion between industry, government, and civil society and is linked to broader policy reforms. EGPS has supported over 50 countries, of which more than 80 percent achieved meaningful or satisfactory progress—meaning that most EITI requirements have been implemented and the broader objectives of these requirements have been fulfilled. These countries’ successes are critical milestones in the global journey towards a transparent, accountable extractives sector.
• EGPS also supports the Extractives-Led Local Economic Diversification (ELLED) program, which promotes local economic diversification and the development of competitive local industries in mineral and hydrocarbon-rich economies. ELLED supports cutting-edge research and the systematization and sharing of existing knowledge to address extractives-related policy challenges, including climate-smart investment, strategic spatial planning, forward-looking value chains, and the development of network economies.
• EGPS recently created a new emergency response for vulnerable artisanal and small-scale mining communities impacted by COVID-19, providing assistance to various international, regional, national, and local organizations engaged in the sector.

Last Updated: Aug 13,2021

To achieve sustainability goals and improved governance in extractive industries, the World Bank has developed partnerships with a wide range of organizations in the sector. This helps align efforts while also leveraging resources and expertise to end poverty and boost shared prosperity.

• Donors to the Extractives Global Programmatic Support Multi-Donor Trust Fund: Australia, Belgium, Canada, the European Union, Finland, France, Germany, the Netherlands, Norway, Switzerland, and the United Kingdom.
• Governments in the Global Gas Flaring Reduction Partnership include Algeria, Azerbaijan; Cameroon; the Republic of Congo, Gabon, Finland, Indonesia, Iraq, Kazakhstan, Khanty-Mansiysk (Russian Federation), Kuwait, Mexico, Nigeria, Norway, Qatar, and Uzbekistan. Companies include BP, Chevron, Eni, Equinor, ExxonMobil, Pemex, Shell, SNH (Cameroon), SOCAR, Sonatrach, and Total Energies. Multilateral organizations include the European Bank for Reconstruction and Development (EBRD), the European Union, and the World Bank.

Other partners include:

·       International Council on Mining and Metals (ICMM)

·       International Petroleum Industry Environmental Conservation Association (IPIECA)

·       International Association of Oil & Gas Producers (IOGP)

·       International Gas Union (IGU)

·       Methane Guiding Principles

·       Natural Resource Governance Institute

·       Oil and Gas Climate Initiative

·       Publish What You Pay (PWYP)

·       The Africa Union Commission (AUC)

·       The Extractive Industries Transparency Initiative (EITI)

·       The Intergovernmental Forum on Mining, Minerals, Metals and Sustainable Development (IGF) 

·       World Petroleum Council

·       World Wildlife Fund (WWF)

Last Updated: Aug 13,2021