Mali Begins Construction of Russia-Backed Gold Refinery to Assert Resource Sovereignty
Mali has officially begun construction of a new gold refinery backed by Russia, a move the country’s military leadership says will strengthen national control over its vast natural resources.
The facility, which will have a refining capacity of 200 tons per year, is being built in partnership with Russia’s Yadran Group and a Swiss investment firm. The Malian government will maintain a controlling stake in the project.
Speaking at the groundbreaking ceremony in Senou, near the capital Bamako, interim President Colonel Assimi Goita emphasized that the refinery is a key part of his administration’s broader mining reforms.
Last year, Goita announced that all mining companies operating in Mali would eventually be required to process their gold domestically, under a revised mining code. No specific deadline has yet been given for this mandate.
“Since 1980, Mali’s gold has been exported for refining and sale to countries such as the United Arab Emirates, South Africa, and Switzerland,” Goita said.
“This deprives our country of substantial revenues that could be used for national development.”
Once operational, the refinery will process all gold produced in Mali into dore bars before export. Its annual capacity is nearly four times Mali’s current gold production, and it is expected to serve as a regional processing hub.
Yadran Group President Irek Salikhov noted that the refinery could also process gold from neighboring countries, including Burkina Faso.
The project aligns with a broader regional trend, as countries across the Sahel—including Guinea, Niger, and Burkina Faso—have revised their mining laws to prioritize local processing.
These reforms are aimed at increasing the economic value derived from their natural resources and reducing dependence on foreign refining.
Despite being one of Africa’s top gold producers, West Africa currently lacks a globally certified gold refinery.
Previous attempts, such as those by Ghana—Africa’s largest gold producer—have yet to result in a fully functional, internationally recognized facility.
Mali’s push for greater control over its mineral wealth comes amid strained relations with Western partners. Since seizing power in 2021, Goita’s government has increasingly turned to Russia for support, both militarily and economically.
The country’s new mining code has caused unease among foreign investors. Earlier this month, a Malian court placed Canadian mining giant Barrick Gold’s Loulo-Gounkoto complex under temporary state control, escalating a dispute over alleged tax arrears.
Goita said the new refinery will improve transparency and traceability in Mali’s gold sector—an area long plagued by smuggling and underreporting.
Like many African nations, Mali is estimated to lose billions of dollars annually due to the illicit gold trade, often fueled by the absence of certified refineries and effective monitoring systems.
