Burkina Faso is in West Africa. It’s becoming a top spot for gold lovers and investors. This country is the 13th biggest gold maker in the world.
It makes about 100 tons of gold each year. This gold is worth $6 billion. Gold mining is a big help to Burkina Faso’s economy.
Most gold in Burkina Faso is found by companies from Europe and the West. Canadian companies own $1.8 billion worth of gold here. But, the government wants to take back control of its gold.
This change is making big waves in the mining world. Companies like B2 Gold, Nordgold, and Endeavour Mining are feeling the impact.
Burkina Faso is fighting for its gold. This fight could change the country’s economy a lot. Find out about the gold in Burkina Faso and the chances for investors and mining fans.
Key Takeaways
- Burkina Faso is the 13th-largest gold producer globally, with annual production of approximately 100 tons, valued at $6 billion.
- The mining sector contributes significantly to Burkina Faso’s economy, accounting for 16% of GDP and 80% of exports.
- Canadian companies own $1.8 billion worth of Burkina Faso’s gold resources, highlighting the country’s importance in the global mining landscape.
- Burkina Faso’s government is taking steps to reclaim control over its national resources and mining operations, impacting international companies.
- Discover the abundant gold available in Burkina Faso and explore the vast opportunities for investors and mining enthusiasts.
Gold Production Overview in Burkina Faso
Burkina Faso is a country in West Africa. It is known for its gold mining. The country is the third-largest gold producer in Africa.
Global Production Ranking and Statistics
In 2022, Burkina Faso produced 57.6 tonnes of gold. This is about 2% of the world’s gold. The country is growing in the global gold mining world.
Annual Production Volumes and Trends
The gold production in Burkina Faso has changed over the years. In 2021, it reached 67,126.000 kg. But in 2022, it dropped to 57.6 tonnes, a 14% decrease.
From 1990 to 2023, the average gold production was 5,816.500 kg per year.
Major Mining Companies Operating in the Region
Many big mining companies work in Burkina Faso. One of them is Endeavour Mining. But, Endeavour’s gold production fell by 18% in 2021.
| Year | Gold Production (kg) | Change from Previous Year |
|---|---|---|
| 2022 | 57,600.000 | -14% |
| 2021 | 67,126.000 | N/A |
| 2020 | 61,000.000 | +20% |
| 2019 | 50,000.000 | N/A |
The gold mining in West Africa and Burkinabe gold industry are changing. Burkina Faso is becoming more important in gold production in Burkina Faso.
Current Market Value and Export Destinations
Burkina Faso is big in the global gold market. In 2022, it exported $6.74 billion worth of gold. This made it the 19th biggest gold exporter worldwide.
Most of Burkina Faso’s gold goes to Switzerland. Switzerland got $5.93 billion, or 88% of the gold. Other big buyers are the United Arab Emirates, Mali, India, and Rwanda.
The fastest-growing buyers are the United Arab Emirates, Mali, and Italy. This shows how fast Burkina Faso’s gold exports from Burkina Faso are growing.
Gold is a big deal for Burkina Faso’s economy. In 2023, gold made up 80.4% of its exports. The mining sector, mainly gold, also made up 18.2% of the GDP.
| Export Destination | Value (in millions USD) |
|---|---|
| Switzerland | $5,930 |
| United Arab Emirates | $534 |
| Mali | $171 |
| India | $50.4 |
| Rwanda | $36.4 |
The gold exports from Burkina Faso have helped the country’s economy a lot. They have also improved Burkina Faso’s trade and investment in Burkina Faso mineral resources.
Gold Available in Burkina Faso: Mining Locations and Deposits
Burkina Faso is becoming a big player in Africa’s gold mining. It has lots of gold deposits and places to explore. This is helping the economy grow and attracting investors.
Primary Mining Regions
The country’s gold is mainly found in a few key areas. The Youga Mine in the east has a lot of gold. The Kiaka gold project is also big, with a lot of money being spent on it.
Artisanal Mining Areas
Burkina Faso also has a lot of small-scale gold mines. These mines have been around since 2012. But, there are problems like child labor and forced labor.
Exploration Zones and Potential Sites
Burkina Faso is also looking for more gold. It’s a top place for gold exploration in Africa. In 2006, they found 15 big gold discoveries.
The country’s gold mining is diverse. It has big mines, small mines, and places to explore. This makes it a great place for investors and miners.
Economic Impact of Gold Mining in Burkina Faso
The gold industry is very important. It helps the country grow and develop. Gold mining is about 15% of Burkina Faso’s GDP.
In Burkina Faso, mining is big. It has big companies and small miners. Many people work in mining. It helps local communities a lot.
| Metric | Burkina Faso | Mali |
|---|---|---|
| Annual Gold Output | 9.5 tons | 60 tons |
| Active Artisanal Mining Sites | 448 | 300-350 |
| Artisanal Mining Workers | 140,196 | 400,000 |
But, mining in Burkina Faso has big challenges. Prices of gold can change a lot. This affects mining a lot. Also, mining can harm the environment.
There are also fights over land and resources. Mining companies and local people often disagree.
The government is trying to fix these problems. They have rules since 2015. They want mining to be better for the environment and fair for everyone.
Burkina Faso is growing fast because of gold mining. It creates jobs and brings in money. It helps the country get richer.
New National Gold Refinery Development
Burkina Faso is starting a big project. They want to use more of their gold production and mineral resources. The country’s President, Ibrahim Traoré, started the project on November 23, 2023. He worked with Marena Gold, a local company.
Processing Capacity and Infrastructure
The new refinery will process 150 tonnes of gold each year. This makes Burkina Faso important in the world of gold. It will start working in eleven months.
Employment Opportunities
The project will create 100 jobs directly. It will also make over 5,000 jobs indirectly. This will help many people in Burkina Faso.
Economic Benefits of Local Processing
By processing gold at home, Burkina Faso will make more money. This way, the country will get more from its gold. It will also help the people of Burkina Faso more.
“Africans must mine and refine their own minerals,” declared President Ibrahim Traoré at the Russia-Africa Summit in St. Petersburg, Russia, highlighting the nation’s determination to take greater control of its natural resources.
Burkina Faso’s gold refinery project is a big step. It aims to use more of its gold and minerals. This project will create jobs and help the country’s economy grow.
Investment Opportunities in Burkinabe Gold Sector
The gold mining in Burkina Faso has grown a lot in the last ten years. It has drawn in a lot of money from countries like Canada, Australia, and the UK. With a new gold refinery and more exploration, there are great chances to invest.
Burkina Faso is a big gold producer in Africa. It welcomes foreign money with open arms. The tax on profits and dividends has gone down, making it more inviting for investors.
But Burkina Faso is not just about gold. It also sees money coming in from other areas like tech and farming. The government wants to add more value to gold, which could lead to more investment.
Yet, there are challenges. The 2022 coup shook things up, affecting the economy. Burkina Faso also struggles with innovation and freedom. Still, the gold mining in West Africa and gold exploration in Burkina Faso offer chances for smart investors.
| Indicator | Value |
|---|---|
| Burkina Faso’s Ranking in Doing Business Report | 151st |
| Corporate Income Tax Rate | 27.5% |
| Tax on Dividends | 12.5% |
| FDI Inflows in 2022 | $121 million |
| Total FDI Stock in 2022 | $2.44 billion |
| GDP in 2022 | $21.8 billion |
| Economic Growth Rate in 2022 | 2.7% |
| Economic Growth Rate Forecast for 2023 | 4.9% |
| Fiscal Deficit as % of GDP in 2023 | 6.9% |
| Population in 2022 | 22 million |
“The gold mining industry in Burkina Faso has seen significant growth over the past decade, attracting investments primarily from countries like Canada, Australia, United Kingdom, South Africa, and Russia.”
Environmental and Social Responsibility in Mining
Burkina Faso is seeing a mining boom. This means it’s key to find gold in a way that’s good for the planet and people. The country has made rules to protect the environment and make sure mining is done right.
Sustainable Mining Practices
Big mining companies in Burkina Faso, like Essakane, are trying to be green. They follow rules to keep the environment safe. This helps Burkina Faso meet its promises to protect nature.
A new mining law in 2003 made it easier for companies to do things right. This law helps mining be better for everyone.
Community Development Programs
- Burkina Faso is working to stop kids from mining, which is against the law.
- The U.S. Department of Labor is helping with a $5 million project. It’s to stop child labor in cotton and gold mining.
- The Fairmined standard is used in Burkina Faso. It makes sure mining is done right and helps the community.
- The Alliance for Responsible Mining (AGC) in Burkina Faso wants to help miners sell gold. They also want to make mining better for the environment and people.
Burkina Faso’s gold mining is becoming more responsible. It’s good for the environment and helps the community grow.
Trading Partnerships and International Relations
Burkina Faso has strong trading partnerships for its gold exports. It sends gold to Switzerland, United Arab Emirates, Mali, India, and Rwanda. These partnerships are key for the country’s gold trade and growth.
The gold mining in Burkina Faso has changed a lot in 15 years. It moved from state control to private companies. A new mining law in the 1990s helped make this change.
Artisanal gold miners have had to move south about 50 km each year. This is because resources are getting rare and mining companies have taken over prime areas.
| Destination Country | Share of Burkina Faso’s Gold Exports |
|---|---|
| Switzerland | 40% |
| United Arab Emirates | 25% |
| Mali | 15% |
| India | 10% |
| Rwanda | 5% |
The Liptako-Gourma Authority (LGA) was set up in 1970. It helps with the gold mining sector in Mali, Niger, and Burkina Faso. The OECD Due Diligence Guidance also helps with responsible mining.
Burkina Faso is working hard to keep its gold exports and partnerships strong. This will help the country grow and develop in the long run.
Future Growth Prospects and Challenges
Burkina Faso’s gold industry is looking bright. A new national gold refinery is coming. It will help the country get more value from its gold.
This plan will also create jobs and boost gold production. It’s a big step for Burkina Faso.
Market Projections
Burkina Faso is Africa’s fourth-largest gold producer. It has grown economically over the last ten years. This looks good for the gold market.
Experts think the gold industry will grow. They point to new mines and better processing at the refinery. This will help the industry expand.
Infrastructure Development Plans
Building better infrastructure is key for Burkina Faso’s gold sector. The new refinery will create many jobs. It’s a big step forward.
The government and private sector are also planning more projects. They want to help the gold mining industry grow. This will make sure Burkina Faso can use its gold wisely.