Section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act requires SEC-reporting companies to disclose whether their products contain conflict minerals (tin, tantalum, tungsten, and gold — 3TG) from the Democratic Republic of Congo (DRC) or adjoining countries. The SEC rule implementing Section 1502 has been in effect since 2013.
Reporting Requirements
SEC-reporting companies that manufacture or contract to manufacture products containing 3TG minerals must: conduct a reasonable country of origin inquiry (RCOI) to determine if the minerals originated in the DRC or adjoining countries; if so, conduct supply chain due diligence following the OECD Due Diligence Guidance; and file a Conflict Minerals Report (CMR) on Form SD with the SEC annually.
Conflict Minerals Report
The CMR must describe: the due diligence measures taken; the products manufactured or contracted to be manufactured that contain 3TG; the facilities used to process the 3TG; the country of origin of the 3TG; and the efforts to determine the mine or location of origin. The CMR must be audited by an independent private sector auditor (IPSA) if the company determines that its products are "DRC conflict undeterminable" or contain "DRC conflict minerals."