Burkina Faso’s military-led government has approved a fresh gold mining licence for Russian mining giant Nordgold, further deepening the country’s economic and political alignment with Moscow. Details of the agreement were revealed through cabinet meeting minutes reviewed by AFP on Friday.
Gold remains a critical pillar of Burkina Faso’s economy, generating about 14 percent of its state revenue, according to official data. In a statement following the cabinet session, authorities confirmed that Nordgold Niou, a subsidiary of the Russian firm, was granted the rights to develop the Niou gold project.
Spanning an area of 52.8 square kilometres, the Niou mine is expected to produce more than 20.2 tonnes of gold over an eight-year period. The project is projected to inject approximately 51 billion CFA francs (about $88.7 million) into government coffers, with an additional seven billion CFA francs (around $12.2 million) earmarked for the country’s Mining Development Fund.
Beyond its financial impact, the project is anticipated to create 204 jobs—75 of them directly tied to mining operations and the remaining 129 through indirect employment opportunities.
Over the past decade, gold has overtaken cotton as Burkina Faso’s leading export product. Currently, 17 industrial mines produce around 70 tonnes of gold each year, underscoring the sector’s growing significance.
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Since 2015, however, Burkina Faso has grappled with persistent violence linked to extremist groups affiliated with Islamic State and Al-Qaeda. In response to the ongoing insecurity and perceived inefficacy of traditional alliances, the country has experienced successive military coups, the most recent led by Captain Ibrahim Traoré in September 2022.
The latest mining deal is not Nordgold’s first in the West African nation. Earlier, the company secured an operating permit for the Yimiougou project, a 31.4-square-kilometre site expected to yield around 2.53 tonnes of gold.
Burkina Faso, along with Mali and Niger, made headlines earlier this year when they collectively withdrew from the Economic Community of West African States (ECOWAS), citing dissatisfaction with the bloc’s handling of the jihadist insurgency. In place of ECOWAS membership, the three nations have formed the Alliance of Sahel States, a new coalition that has been rapidly building military and economic ties with Russia.
Moscow has stepped in to fill the void, signing defence pacts with the Sahel alliance and expanding its cooperation in energy and mining ventures—of which Nordgold’s latest licence is a clear example.
As Burkina Faso continues to forge a new path, its pivot toward Russia signals a major shift in the geopolitical dynamics of West Africa, with gold mining emerging as a key part of that realignment.
