Sequel to different surveys, Uganda has made known to the public that it has discovered 31 million metric tonnes of gold waiting to be extracted in the country.
Solomon Muyita, a spokesman for Uganda Ministry of Energy and Mineral Development said that these reports are aimed at attracting gold miners and investors in the cryptocurrency sector.
President Yoweri Museveni also called for local refinement of gold, labelling any external refinery criminal.
“It is criminal for anyone to advocate continuing commodity exports in Africa, when that commodity is 90% more valuable than what you are giving to outsiders,” he said.
Refining gold locally could bring about job opportunities, and improve social service delivery to those living close to where the mineral is extracted.
In order to boost the country’s economy, the Ugandan government has authorized the Wagagai gold mining company, a Chinese company, to start producing gold products in Busia district.
The company involved on building its $200 million gold refinery in phases in the district in 2016.
Muyita said the gold discovered could start being mined immediately.
The general manager of the Wagagai gold mining company, Tan Chun Chi, said the investment has reached $60 million.
He furthered that construction has been lingering behind due to lack of two licenses.
The company has recently obtained a gold production license in March this year and has a 21-year lease to mine gold in the country.
It is expected of them to double their speed because they need to begin gold production by July 2023. “If this is really the volume we have, it’s time to clean our house and do business, to develop ourselves and our country, moving to middle-income status and beyond.” said Winnie Ngabirwe, an expert in gold mineral development.
Even with the gold discovered in the country, the difficulty of mining is extremely high and this impacts the amount of gold that is actually mined. About 2,500 to 3,000 metric tons are mined every year.