Ghana has taken a historic step in its gold mining journey by launching its first commercial gold refinery in Accra on Thursday. The Royal Ghana Gold Refinery, a state-of-the-art facility, is set to transform the nation’s gold industry, adding significant value to its precious metal and boosting national revenue.
The refinery, capable of processing 400 kilograms of gold daily, will initially source gold dore from small-scale and artisanal miners before expanding to handle larger volumes from major mining operations. This venture is a strategic partnership between Rosy Royal Minerals of India and Ghana’s central bank, which holds a 20% stake in the refinery.
Vice President Mahamudu Bawumia, who presided over the inauguration, described the event as “the dawn of a new era” for Ghana’s gold sector. “With the establishment of this refinery, we are not just adding value to our gold; we are reclaiming its full economic potential within our borders,” Bawumia stated. “This facility will not only curb gold smuggling but also ensure that Ghana reaps maximum benefits from its natural resources while creating thousands of jobs for our youth.”
Traditionally, Ghana’s gold from licensed producers has been exported in its raw form. Meanwhile, a significant portion of gold extracted by unregulated artisanal miners, known locally as galamsey, often finds its way out of the country through illegal channels. The new refinery aims to change this by providing a legitimate and profitable avenue for gold processing within Ghana.
The refinery is expected to create direct employment for 80 to 120 people, with an additional 500 indirect jobs, further contributing to the local economy. As Ghana approaches its 2024 general elections, this initiative is seen as a critical development, with Vice President Bawumia, a presidential hopeful, emphasizing the broader economic impact of the refinery.
Ghana, which retained its position as Africa’s leading gold producer last year, is on track to exceed its 2024 gold output target, with projections ranging between 4.3 million and 4.5 million ounces. The country’s central bank, the Bank of Ghana, launched a gold purchase program in 2021 to build reserves and stabilize the cedi, Ghana’s currency.
Ernest Addison, the Governor of the Bank of Ghana, highlighted the importance of securing London Bullion Market Association (LBMA) certification for the refinery. “LBMA accreditation will not only enhance the global credibility of our gold exports but also allow us to diversify and organically grow our foreign exchange reserves,” Addison noted. “This will reduce our reliance on external borrowing and strengthen our economic sovereignty.”
Godwin Armah, the General Secretary of the Small-Scale Gold Miners Association, also stressed the need for transparency in the refinery’s operations. “For this refinery to gain the trust and support of our members, it must be transparent in its pricing and in the quantities of gold received,” Armah stated. “This transparency is crucial for building a sustainable and mutually beneficial relationship between the refinery and the small-scale miners.”
With the launch of the Royal Ghana Gold Refinery, Ghana is poised to redefine its role in the global gold market, ensuring that the country—and its people—derive the full benefits of their rich mineral resources.
