Burkina Faso: Towards nationalization of gold mines under the impetus of President Ibrahim Traoré

Gold production in Burkina Faso has seen a decline in recent years, primarily due to insecurity that has led to the closure of several mines. However, the head of state, Captain Ibrahim Traoré, recently reaffirmed his commitment to nationalizing the country’s gold mining industry and reducing the dominance of foreign multinationals, mainly based in Canada and Australia, which currently control most of the mines.

During a radio broadcast last weekend, President Traoré condemned the excessive presence of these companies in the national gold sector, stating, “All gold mines are currently on our agenda […]. I don’t understand why we know how to extract gold, yet we should allow multinationals to come and exploit our gold. We will do it ourselves.” This statement aligns with the president’s policy since he came to power in 2022 following a coup, aiming to strengthen the country’s control over its natural resources and increase the share of revenues from gold exploitation.

This commitment has materialized through a recent tripartite agreement with Endeavour Mining and Lilium Mining, a group owned by Burkinabe businessman Simon Tiemtoré. Through this agreement, the Burkinabe state, via the Mining Participation Corporation of Burkina Faso (SOPAMIB), has acquired control over the Boungou and Wahgnion gold mines, which were previously operated by Endeavour. This acquisition marks a turning point for Burkina Faso, which seeks greater autonomy in managing its mineral wealth. SOPAMIB is also expected to take over other industrial gold mines in the coming months.

Meanwhile, the Agency for the Promotion of Community Entrepreneurship (APEC) has already begun gold mining in the Southwest region, demonstrating the government’s efforts to promote strong local content in this strategic sector.

While some foreign companies, such as West African Resources, operating the Sanbrado mine, have stated that they maintain good relations with the Burkinabe authorities and will continue their operations, President Traoré’s nationalization policy for gold appears inevitable. This initiative is a decisive step towards the country’s economic self-sufficiency and is seen as a means to ensure that the benefits of mining operations more directly benefit the Burkinabe people.