Ghana Launches Its First Commercial Refinery In Accra

Ghana, the continent’s top producer of gold, launched its first commercial refinery in Accra, the capital, on Thursday in an attempt to increase the value and revenue from the centuries-old precious metal.

The 400 kg/day capacity of the Royal Ghana Gold Refinery will be used to source gold dore from small- and artisanal miners prior to obtaining licenses to process gold from large-scale miners.

With a 20% share, Ghana’s national bank and Rosy Royal Minerals of India jointly own the refinery.

Vice President Mahamudu Bawumia spoke at the event, announcing that the Royal Gold Refinery’s opening signaled “a new era” that would increase national earnings from the precious metal and help stop the smuggling of gold.

“With the ability to refine our gold, we will be able to sell it at the appropriate price, enabling us to retain its economic value within our borders while creating numerous jobs for the youth,” he said.

While a sizable portion of the output from uncontrolled artisanal miners, known locally as galamsey, is smuggled outside the nation, Ghana exports its gold in raw form from legal companies.

Refinery jobs will generate 500 indirect jobs and 80-120 direct jobs, according to Bawumia, the presidential candidate in the December polls.

Ghana continued to lead Africa in gold production last year, with 4.03 million ounces produced thanks to increased output from artisanal and small-scale miners.

With an estimated production of between 4.3 million and 4.5 million ounces of gold, the West African country—which also happens to be the world’s second-largest producer of cocoa—is poised to surpass its 2024 gold production goal.

Governor Ernest Addison of the Bank of Ghana stated that the bank was eager for the refinery to obtain the London Bullion Market Association (LMA) certification as soon as possible. Purchases amounted to 65.4 tons, or $5 billion.