The Malian government has announced a landmark partnership with Russian firm Yadran to construct a state-controlled gold refinery—its first to meet international certification standards—in a strategic move to capture more value from the country’s vast gold reserves.
Alousseni Sanou finance Minister revealed on Wednesday that the newly established entity, SOROMA-SA, will be majority-owned by the Malian state with a 62 percent stake, while Yadran will hold the remaining 38 percent. The refinery will be sited on a five-hectare parcel of land near Bamako’s Modibo Keita International Airport and is expected to process up to 200 metric tons of gold annually—four times the country’s current domestic refining capacity.
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Mali, Africa’s second-largest gold producer after Ghana, has long relied on foreign refineries due to the lack of internationally certified facilities within its borders. Existing domestic refineries have failed to meet standards set by global industry bodies such as the London Bullion Market Association (LBMA), forcing Malian miners to ship raw gold abroad for purification. The new facility will produce gold with a purity of 99.5 percent, meeting LBMA requirements and enabling Mali to export value-added gold directly to international markets.
Strategic reforms reshape the mining landscape
The gold refinery project forms a central pillar of the Malian government’s broader reform of the mining sector, which has accelerated since the military seized power in 2020. A revised mining code, introduced under transitional president Assimi Goita, mandates increased state participation in mining ventures, raises royalty rates, and requires that gold be refined within the country.
“These reforms are about sovereignty and self-reliance,” Sanou said. “The refinery will not only enhance our earnings but also ensure compliance with the new legal framework that demands domestic processing.”
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Government projections suggest the reforms could boost annual state revenues by as much as $950 million, or nearly 20% of the national budget—a substantial injection of funds for a country grappling with insecurity and economic challenges.
Regional shift, global concerns
Mali’s decision to localise more of the gold value chain aligns with similar efforts in neighbouring countries like Burkina Faso, Niger, and Guinea. Governments across the region have sought to extract greater benefit from their mineral wealth, often at the expense of longstanding arrangements with Western mining firms.
These policy shifts have unnerved some investors but have also paved the way for closer economic cooperation with countries such as Russia and China. In Mali’s case, the choice of Yadran as a strategic partner underscores a deepening alignment with Moscow following a rupture in relations with traditional Western allies.
Construction of the refinery is scheduled to begin later in June, with President Goita expected to lay the foundation stone at a public ceremony. Once completed, the facility is expected to mark a turning point in Mali’s gold industry and its broader economic ambitions.
“This project is more than a refinery,” said a spokesperson from the Ministry of Mines. “It is a symbol of Mali’s determination to regain control of its resources and chart its own path to prosperity.”
