Burkina Faso to shift towards nationalism of mines
The government of Burkina Faso has announced plans to deepen its control over the country’s lucrative gold mining industry, signaling a continued shift toward resource nationalism amid rising global gold prices and mounting economic pressures.
Prime Minister Jean Emmanuel Ouédraogo said the state will expand its role in managing natural resources through the newly established state mining entity, Société de Participation Minière du Burkina (SOPAMIB). The company has already taken control of two key industrial gold operations the Boungou and Wahgnion mines previously owned by Endeavour Mining, a London-listed firm.
“These recoveries mark only the beginning,” the prime minister stated, indicating that more mines may be nationalized as part of an ongoing effort to maximize the country’s share of mineral wealth.
Mining code
The move follows the 2023 revision of Burkina Faso’s mining code, which emphasized the use of local expertise and suppliers while granting the government broader powers in the sector. Officials describe the changes as a “revolution” in how the country manages its natural resources.
Burkina Faso, one of Africa’s top gold producers, yielded over 57 tonnes of gold in 2023 despite ongoing conflict with Islamist insurgents. The government argues that increasing public participation in mining revenues is essential to reviving an economy weakened by years of insecurity.
The reforms, however, have raised alarms among foreign investors, particularly as several international companies including Canada’s IAMGOLD and Australia’s West African Resources remain active in the country. Uncertainty surrounding legal frameworks and the state’s expanding role could deter future investment.
The gold sector’s importance has grown in recent months due to global market dynamics. The price of gold has climbed more than 25% this year, driven by heightened geopolitical tensions and trade instability.
Meanwhile, Burkina Faso has continued to strengthen its ties with Russia following a breakdown in relations with Western nations after two military coups in 2022. Just last week, the government awarded a new industrial mining license to Russian company Nordgold for a gold project in Kourweogo province. The project is expected to contribute nearly 52 billion CFA francs (approximately $89 million) to the national budget, with additional allocations to Burkina Faso’s mineral wealth fund.
As part of broader sector reforms, the government is also formalizing artisanal mining and has begun building a national gold reserve. According to Ouédraogo, over 11 tonnes of gold were collected in the first quarter of 2025 alone, largely from artisanal sources, marking a sharp increase from the previous year.
“We must ensure the benefits of mining are felt by the Burkinabè people not just the consequences,” Ouédraogo emphasized.
With regional neighbors Mali and Niger pursuing similar strategies, Burkina Faso’s approach underscores a wider recalibration of how West African nations manage their natural resources prioritizing sovereignty and domestic benefit over foreign control.
