BUR
KINA Faso’s significant gold mining industry, contributing 16 percent to the country’s GDP and 80 percent of its exports, has spurred plans for a monumental shift. The government recently announced its intent to construct a local gold refinery to amplify the sector’s economic role.
President Ibrahim Traoré inaugurated the groundwork for the national gold refinery on November 23, 2023. Set to process up to 150 tonnes annually, the refinery, developed in partnership with local firm Marena Gold, aims to commence gold production within eleven months. While the total project cost remains undisclosed, its vision encompasses more than gold refinement.
Being the country’s inaugural refinery, it will host a jewellery store and serve as the future headquarters for the Société Nationale des Substances Précieuses, responsible for overseeing the initiative on behalf of the state. Forecasts suggest the facility will generate approximately 100 direct jobs and create over 5,000 indirect employment opportunities, as outlined by authorities.
President Traoré, emphasising the significance of this domestic initiative, said, ‘We will no longer be refini
ng our gold abroad but have it refined. And we will know what the real value of the raw gold that comes out of our mines is.’ The President’s sentiments were conveyed through Minister of Mines, Simon Pierre Boussim, during the event.
Gold stands as Burkina F
aso’s primary export commodity. However, its production declined by 14 percent in 2022, with the country yielding 57.6 tonnes.
This movement towards local processing aligns with a trend sweeping several African
mining nations, aiming to retain more value from their natural resources. Typically, many African gold producers export raw output for processing, often to refineries in South Africa, Switzerland, or China. Mali, Africa’s third-largest gold producer by 2022, is potentially following Burkina Faso’s lead. This comes after the recent signing of a memorandum of understanding with Russia for the construction of a gold refinery, signifying a potential paradigm shift in the region’s gold mining landscape.
