Ghana, the continent’s top gold producer, opened its first commercial refinery in the capital Accra on Thursday in a bid to boost the value and revenue of the centuries-old precious metal.
The Royal Ghana Gold Refinery’s 400kg/day capacity will be used to source gold from small-scale and artisanal miners before securing licenses to process gold from large-scale miners.
With a 20% stake, the National Bank of Ghana and Rosy Royal Minerals of India jointly own the refinery.
Vice President Mahamudu Bawumia spoke at the event, announcing that the opening of the Royal Gold Refinery marked “a new era” that would boost national revenue from the precious metal and help end gold smuggling.
“With the ability to refine our gold, we will be able to sell it at the right price, which will allow us to retain its economic value within our borders while creating many jobs for young people,” he said.
While a significant portion of the output of unregulated artisanal miners, known locally as galamsey, is smuggled out of the country, Ghana exports its gold in raw form to legal companies.
Jobs at the refinery will generate 500 indirect jobs and 80 to 120 direct jobs, according to Bawumia, the presidential candidate in the December elections.
Ghana continued to be Africa’s top gold producer last year, with 4.03 million ounces produced thanks to increased output from artisanal and small-scale miners.
With an estimated production of between 4.3 and 4.5 million ounces of gold, the West African country, which also happens to be the world’s second-largest cocoa producer, is on track to exceed its gold production target for 2024.
Bank of Ghana Governor Ernest Addison said the bank wanted the refinery to obtain London Bullion Market Association (LMA) certification as soon as possible. The purchases amounted to 65.4 tonnes, or $5 billion.
