Niger’s gold industry is expected to experience significant growth in the coming years. According to a report by ITA, this growth will be driven particularly by the expansion of exploration operations carried out by several international companies already operating in the country.
According to the same report, the map of gold activities in Niger includes vast areas with potential for expansion, particularly in the emerging gold belt known as the Samira Horizon.
The most important mining site in Niger is currently the Samira Hill mine, which is the first commercial gold mining site in the country. Opened in 2004 and located in the Tillabéri region, the mine is operated by a consortium that includes Etruscan Resources Inc. (40%), Semafo Inc. (40%) and the Government of Niger (20%).
The Ministry of Mines and Industrial Development is responsible for regulating mining activities, while the Niger Mining Code, adopted in 2022, sets the criteria for obtaining exploration and mining permits, and outlines the environmental and social standards with which mining companies must comply. One of the biggest challenges is the regulation of artisanal mining, which often takes place informally, with few resources to ensure compliance with safety and environmental standards. Last August, the Ministry introduced some legislative amendments to the Mining Code, with important changes for operators in the sector: State shareholding, which now enables the State to hold up to 40% of the stakes in mining companies (previously the cap was set at 15%); new environmental rules (with the prohibition of practices harmful to water resources and the obligation to submit a rehabilitation and closure plan before starting works), the creation of a Mining Development Fund dedicated to infrastructure and financed by mining revenues and the so-called local content obligation, i.e. the obligation to allocate 5% of salary expenses to the training of local staff. The new law also increases penalties, providing for the immediate withdrawal of the concession in case of non-compliance.
As ITA underlined in a recent analysis, these developments are both challenges and opportunities for companies in the sector, which must adapt to the new environmental and training requirements, but can also strengthen their presence by investing in sustainable technologies and local training. The new environmental regulations require greater investment in compliance with standards, linked to the mandatory drafting of Remediation Plans and the implementation of environmental protection measures. Finally, other opportunities arise from the training and equipment solutions that comply with the new regulations that companies can provide locally.
Still a lot of artisanal mining
Gold mining in Niger, although being an essential part of the local economy, still has to face many challenges and just as many opportunities. Extraction mining in Niger is mainly carried out on the basis of small-scale concessions, with the authorization to dig up to 30 meters deep for underground mines and up to 10 meters for surface operations. Concessions are granted for a renewable period of two years, and miners cooperate within economic groups or cooperatives. This economy is therefore still based on artisanal miners, who operate on a small scale, using rudimentary methods that are unsafe for the environment and health.