Sudanese Minister of Minerals to Al Jazeera Net: Huge Foreign Investment and a Force to Combat Gold Smuggling

SadaNews - The Sudanese Minister of Minerals, Noor al-Daem Taha, revealed arrangements and plans to curb gold smuggling through electronic monitoring, a joint force from military and security agencies, and encouraging policies and incentives for exporters.

The Mineral Resources Company, the "supervisory arm" of the Ministry of Minerals, announced earlier that last year's gold production reached 70 tons, while data from the Central Bank of Sudan showed that only 14.5 tons were exported through official channels.

According to the Minister of Minerals, Sudan ranks first in the Arab world and third in Africa in gold production, but he is not relying solely on gold, as he began diversifying the production of other minerals to double its resources by expanding exploration and encouraging national and foreign investment in rare and industrial minerals, amid indications of the presence of large quantities of them.

Taha spoke about challenges related to traditional gold mining, which accounts for 80% of Sudan's production. The ministry has started arrangements to organize it and monitor the chemicals used in extraction due to their effects on the environment, human health, livestock, and water streams.

According to the Minister of Minerals, arrangements are in place to launch a joint force from the army, police, and intelligence to combat gold smuggling through land and air outlets and to approve encouraging policies for exporters and others motivating producers to purchase the metal at global stock prices, while arrangements are underway to establish a gold exchange in Khartoum.

He added that three gold refineries are being installed, one government-owned and the other two for the private sector, which will assist producers and facilitate the work of exporters.

He noted that there is a massive foreign investment in minerals amounting to $3 billion from a foreign company on its way to the country, with understandings made about it, reflecting the desire for investment in the country despite the war conditions in some parts of Sudan.

Investment in Mining

For his part, the General Director of the Mineral Resources Company, Mohamed Tahir Omar, told Al Jazeera Net that gold production before the war was spread across 14 states but later declined to 6 states, with mines in South Kordofan recently entering production. Production developed from 64 tons in 2024 to 70 tons last year.

Omar stated that gold markets have decreased from 87 to 64 markets spread across the gold-producing states, while there are 163 companies that have been granted approval to invest in the produced metal, including 30 companies, as well as three Russian, Moroccan, and Jordanian companies that resumed production after the war, and there are companies producing chrome in the Blue Nile region.

The increase in gold production despite the decrease in the number of producing states post-war is attributed to the shift of capital and investors whose activities in trade and industry were disrupted to invest in mining, alongside an increase in the number of workers in the sector after millions lost their jobs and sources of income.

Regarding the main challenges facing mining, Tahir clarified that there are intersections between 13 relevant governmental bodies and the organization of traditional and artisanal mining, in addition to gold production outside the state's control in Darfur and parts of Kordofan states, where Rapid Support Forces (RSF) operate, smuggling production by land and air outside the country.

He added that his company has initiated remote electronic monitoring of gold markets and traditional mining areas, and has a representative with security agencies in the producing companies’ factories, imposing strict penalties on companies that use chemicals in an unsafe manner.

For his part, the General Director of the Geological Research Authority, Ahmed Haroun, told Al Jazeera Net that Sudan is rich in strategic, rare, radioactive, and industrial minerals.

According to Haroun, the authority will launch a plan for mineral exploration on Thursday, starting from the Nile River state, targeting iron, mica, granite, and marble.

He mentioned that the authority seeks to cooperate with foreign expert houses for exploration, extending agreements made previously with entities in Russia, China, Turkey, Germany, and Australia, indicating that exploring rare and strategic minerals requires advanced technology.

Source: Al Jazeera