Gold Is Mined in Sudan
Gold mining in Sudan has exploded over the past decade. Amid the country’s economic crisis, the gold trade has become a vital means of overcoming the problems. It provides a source of employment for 1.5 million young people. But it has also become a key source of power politics. While many citizens demand safer working conditions, others want to reduce the use of cyanide.
Sudan’s gold production has jumped more than 1,200 percent in a decade. According to the US Geological Survey, it grew from a mere 7 tons in 2008 to 90 tons in 2017. Yet, the government underestimates how much gold is produced by informal artisanal miners. They dig deep trenches following a vein of gold. In some areas, companies move around so the number of mining sites is not always known.
The government has been accused of neglecting environmental concerns. However, a recent study by the Central Bank of Sudan shows that gold is the largest export commodity in the country. As the price of gold rises, Sudan’s exports are expected to increase as well. These exports are likely done through the United Arab Emirates.
How Much Gold Is Mined in Sudan?
During the military dictatorship, a large number of shadowy companies operated gold mines in the country. Those companies were often allied with the security services. This allowed them to smuggle large amounts of gold without having to pay taxes.
Russia is now heavily involved in the gold trade in Sudan. Some of the country’s leading figures have joined the Russian company to smuggle out gold. One such figure is Mohamed ‘Hemeti’ Hamdan Dagalo, the deputy to Abdel Fattah al Burhan, the new prime minister. Hemeti rose to power as a brigadier general in the government-backed Janjaweed militia. Now he is the second most powerful general in the transitional government.
In addition to his role as Sudan’s top military leader, Abdel Fattah al Burhan has been involved in a controversial deal with Abdalla Hamdok, the head of a shadowy company that allegedly smuggles out large amounts of gold. Burhan has argued that the money will help the economy. Others have said it will allow easier smuggling of gold to Dubai.
The government has imposed restrictions on cash withdrawals. This has led to an increased need for cash and an inflated black market. But the gold trade has provided temporary employment opportunities for 1.5 million Sudanese youth.
The government has stepped up its monitoring of Meroe Gold, which is a Kremlin-backed company that extracts and sells gold from the country. It is linked to other sanctioned actors in the gold trade. Also, the company has provided weapons and training to paramilitary groups in the country.
Meanwhile, the Russian-backed Wagner Group has been accused of human rights abuses in several countries. The group has a subsidiary, Meroe Gold, that has been engaged in gold mining and tailings exploration. It has been linked to the Central African Republic (CAR) and other countries where the security services are backed by Russia.