AMN - Sudan hits top two gold producers - comment by Yolanda Torrisi

Sudan is poised to become Africa’s number two gold producer and ninth globally. Sudan’s move up the gold producing rankings follows from 2015 when South Africa was named the continent’s top gold producer and seventh worldwide, producing 140 tonnes of gold, with Ghana two and tenth globally, producing 91 tonnes, and Sudan ranked third and seventeenth worldwide of 97 gold producing countries.

Gold mining in Sudan is still undertaken by traditional artisanal methods but the industry is tainted with controversy as are other keynote factors and people in the country, namely its 22-year-old leader Omar al-Bashir who is being sought by the International Criminal Court for crimes against humanity.

Until 2012, 74% of Sudan’s proven gold reserves were managed through two companies, the Canadian-Egyptian-Sudanese joint venture Ariab and the Moroccan-Sudanese venture Managem.

Their concessions are in Red Sea and Nile states, and although these large-scale mines attracted criticism for poor labour conditions and negative environmental impact, the country’s gold trade was never directly touched by wars until 2012 with the discovery of significant gold deposits in North Darfur.

It is believed that gold coming from Sudan is conflict-affected and high risk and in some way destabilizing the country. Gold has been Sudan’s main source of income since the division between Sudan and South Sudan in 2011. South Sudan holds most of the oil reserves.

Sudan wants gold production to be stepped up to produce much-needed foreign income. Small mining companies that are not actively exploring on their mining leases are having their concessions cancelled.

The highly prospective Darfur region has sanctions extended over it directed by the UN Security Council and this is placing restrictions on gold mining. The area has become a high conflict zone with some 300,000 people killed in Darfur, a further 4.4 million needing aid and more than 2.5 million have been displaced.

- Yolanda Torrisi is Chairperson of The African Mining Network and comments on African mining issues and the growing global interest in the African continent. Contact:yolanda@yolandatorrisi.com