Burkina Faso sits atop some of West Africa’s richest mineral deposits, yet vast reserves remain untapped. As Africa’s fourth-largest gold producer, it has long relied on the precious metal to drive its economy. But beyond gold, deposits of copper, manganese and other strategic minerals – including rare earth elements in regions such as Zoungou and Mangodara – could redefine its mining future. Unlocking this potential requires addressing investment and security challenges.

Two military coups in 2022 upended the political landscape, reshaping investment dynamics and creating risks and opportunities. While some mining companies are cautious, others see potential in a resource-rich but volatile country. 

The country's mineral wealth is rooted in the Birimian greenstone belts of the West African Craton, which underlie around 22% of its landmass. These ancient rock formations, known for hosting significant gold deposits, have made Burkina Faso a key player in Africa's gold industry.

In 2023, the country produced around 57.3 tonnes of gold from 17 industrial-scale mines, with significant operations including Essakane, Houndé and Sanbrado. The largest mine, Essakane, is operated by Canada's IAMGOLD, while Houndé belongs to Endeavour Mining, which is also Canadian. Other key projects include Mana, owned by Canada's Fortuna Silver Mines and Wahgnion, which is part of Endeavour Mining's portfolio.

Russia's Nordgold controls Bissa-Bouly, while Australia's West African Resources operates both Boungou and Sanbrado. The state typically holds a minority stake in several mines, such as Karma and Youga, which are jointly owned by the state.

Despite recent production declines due to security-related mine closures, the country remains highly prospective for further gold discoveries, particularly in underexplored greenstone belt zones. Artisanal and small-scale miners add an estimated 20 to 40 tonnes of gold annually, though much of this output is informally traded and unrecorded in official statistics.

Beyond gold, Burkina Faso has one of the world’s highest-grade manganese deposits at Tambao, estimated at 107mn tonnes. However, commercial development has stalled due to legal disputes and logistical challenges.

Copper reserves are also significant, with the Gongondy and Diénéméra prospects in Poni Province containing around 974,000 tonnes of copper, alongside 105 tonnes of associated gold. Several smaller copper-gold occurrences, such as Wayen and Goren, have been identified, often accompanied by molybdenum and silver, though no large-scale mining has occurred.

Historically, zinc was the second-most important mineral. The Perkoa mine produced 143,000 tonnes of payable zinc in 2021 before its closure in 2022 following a catastrophic flood. Previously operated by Canada's Trevali Mining, the mine remains shut, leaving the nation without an active zinc operation.

Nickel deposits have been identified at Bonga in Sanguié Province and at Dablo in Sanmatenga, but mining activity has not progressed beyond exploration. Iron-vanadium reserves in the Sahel region, including Tin Edia and Gouba, contain tens of millions of tonnes of ore with around 35% iron content and vanadium traces.

Other identified mineral resources include bauxite-bearing laterites near Kaya, Kongoussi, and Bobo-Dioulasso and phosphate, lead, antimony and rare earth elements in regions such as Zoungou and Mangodara.

Alluvial diamonds have been found in the Mouhoun and Comoé river sands, though no confirmed kimberlite sources have been identified. Small quantities of semi-precious stones such as garnets, corundum, and tourmaline have also been discovered, though large-scale gemstone mining has yet to take off.

The geology has already yielded significant mining successes, but the scale of unexploited resources suggests vast opportunities for future development. 

Mining is a pillar of the economy, with gold dominating exports. In 2022–2023, gold accounted for 77-80% of total exports. Gold has been the top export since 2009, surpassing cotton. In 2023, gold mining accounted for 16% of GDP and 22% of government revenues.

Industrial gold exports were valued at $3.5 bn in 2020, with state revenues from mining reaching $544mn in 2021, about 15% of the national budget.

The industrial mining sector supports an estimated 51,000 direct and indirect jobs, while artisanal and small-scale mining employs 1-1.3mn people. Some estimates suggest total mining employment, formal and informal, now exceeds agriculture. Artisanal miners produce gold worth $1-2bn annually, which is traded informally.

New large-scale investments continue despite security risks. The Bomboré Gold Mine, commissioned in late 2022 by Canada's Orezone, is ramping up production. West African Resources is developing the Kiaka Gold Project, which has 4.8mn ounces of resources and is expected to produce 200,000-250,000 ounces annually from 2025.

The Bissa-Bouly complex has extended its mine life, sustaining over 300,000 ounces (9.3 tonnes) of annual output. The Sanbrado mine, which has been in operation since 2020, is now a major contributor to national production.

The government has expanded its role, acquiring the Boungou and Wahgnion mines from Endeavour Mining in 2023 under President Ibrahim Traoré. New state entities, such as SOPAMIB and APEC, will manage these as part of a strategy to retain more revenue. 

Exploration remains active, with over 20 advanced gold projects in the pipeline. These could sustain the sector for at least two more decades if developed.

Burkina Faso’s economy is expected to grow by 5.8% in 2025, with GDP reaching $23.6bn, according to the IMF. Growth is projected to slow slightly to 5% in 2026, bringing GDP to $25.4bn. Per capita income remains low, with GDP per capita estimated at $952 in 2025, rising to $997 in 2026.

Inflation is forecast to remain stable at 2% in both years, providing some relief from price pressures. Meanwhile, government debt remains high, though slightly declining as a share of GDP, from 56% in 2025 to 54.8% in 2026.

The country’s population is projected to increase from 24.7mn in 2025 to 25.4mn in 2026. 

Ouagadougou is the capital and largest city of Burkina Faso, often abbreviated as "Ouaga". The city's population was officially 2.41mn in the 2019 census, up from about 1.5mn in 2006. As of 2024, Ouagadougou's urban agglomeration is estimated at roughly 3.3mn inhabitants.

Burkina Faso has faced significant political instability recently, marked by two military coups in 2022. In January 2022, President Roch Kaboré was overthrown by a military junta, which was removed in September 2022 when Captain Ibrahim Traoré seized power. Traoré was sworn in as transitional president in October 2022.

The primary driver of this instability has been worsening insecurity, with a jihadist insurgency spreading since 2015, leading to thousands of deaths and millions displaced. In 2023, the transitional government extended the transition period by up to five years (from July 2024), delaying a return to civilian rule until possibly 2025-2029.

Burkina Faso has shifted its international alliances, distancing itself from France and aligning more closely with Mali and Niger. In January 2025, the three countries formally exited the Economic Community of West African States (ECOWAS), reflecting growing tensions with regional partners. The security situation remains fraught, with militant attacks expanding across the country and the state losing control in rural areas.

Captain Ibrahim Traoré's government prioritises restoring security, but ongoing attacks threaten stability, state services and economic activity.

Despite militant attacks and rising security costs, mining investment continues. Companies like Orezone and Endeavour Mining are adapting through stronger security measures and government partnerships. Some have increased spending on armed escorts and fortified camps, while others collaborate with authorities to maintain operations. However, exploration has slowed in high-risk zones, and some projects have been abandoned.

The country's mining sector operates under a structured legal framework. The principal legislation is the Mining Code, established by Law No. 036-2015/CNT of 26 June 2015. This updated a 2003 code, introducing stricter provisions on environmental protection, community benefits and state participation. It defines mining titles, the process for obtaining them, and the obligations of title holders.

Licensing is structured through permits. Exploration permits are typically granted for three years, with renewal options if work commitments are met. If a viable deposit is found, companies can apply for an industrial mining permit, usually lasting 20 years, renewable in five-year increments. Small-scale permits and artisanal mining authorisations are also available to regulate informal mining.

The state is entitled to a free 10% ownership stake in any mining operation’s local entity. It can also negotiate an additional 10% stake in strategic projects. Mining firms must sign a mining convention, stabilising fiscal and legal terms for 5-10 years to provide predictability for investors.

Environmental and social obligations are stringent. An environmental and social impact assessment (ESIA) is mandatory before a mining permit is issued. Companies must have an environmental management plan and post a financial guarantee for mine rehabilitation.

Strict regulations govern chemical use, working conditions, community rights and relocation policies.

Artisanal mining is recognised as a legitimate activity, with designated zones and formalised permits. The government has tried to organise the sector, but enforcement remains a challenge due to widespread informal mining.

A revision of the mining code in 2023-24 increased state benefits and oversight. The updated framework maintains the 10% free state equity but expands control in strategic mines and promotes local gold refining. Gold marketing laws were also reformed in 2023 to curb smuggling.

Regulation falls under the Ministry of Mines and Quarries, the Directorate-General of Mines and Geology, and the National Mining Cadastre. A state-owned mining company, Société Nationale des Mines, was recently established to manage public interests. Membership in the Extractive Industries Transparency Initiative (EITI) ensures revenue transparency.

The tax regime includes royalties, corporate taxes and special fees. Gold royalties were initially set on a sliding scale of 3-5%, but in 2023, the government increased rates to 6-7% for higher gold prices. A minimum royalty of 5% now applies, aligning with or exceeding regional norms.

Other minerals have different rates. Zinc, for example, has a flat 5% royalty. Royalties are paid to the central government, which allocates 20% to local communities via the Mining Fund for Local Development (FMDL). The FMDL receives 1% of gross mine revenues to fund community infrastructure and services.

The corporate income tax for mining firms is 27.5%. Withholding taxes of 12.5-15% apply on dividends, interest and foreign service payments. Mining companies benefit from VAT and import duty exemptions on equipment during the exploration and construction phases. Once production starts, regular duties apply to consumables. Surface fees increase upon permit renewal to encourage companies to relinquish inactive ground.

The fiscal regime ensures that when a mine is in full production, the government earns revenue through multiple channels: royalties (5-7%), its 10% free equity (entitling the state to dividends), corporate taxes (27.5%) withholding taxes and the 1% local development levy. These elements combine for an effective tax rate of 40–50% of net cash flow when gold prices are high. Stability clauses protect existing projects from sudden tax hikes.

The mining sector continues to face severe security challenges. Jihadist insurgencies and banditry remain a significant threat, particularly in the north and east. Mines and convoys have been repeatedly targeted, forcing some operations to shut down.

In November 2019, gunmen ambushed a convoy transporting workers of the Canadian mining firm Semafo near Fada N'Gourma en route to the Boungou mine. At least 37 people were killed, and dozens more were injured.

In August 2022, unidentified armed men attacked a convoy returning from the Boungou mine, operated by Endeavour Mining. Six civilians were killed and two others were injured.

The violence escalated in March 2024 when militants from Jama'at Nasr al-Islam wal-Muslimin (JNIM) attacked the Tawori base and the nearby Boungou gold mine in Tapoa Province. Over 70 military personnel and 32 civilians lost their lives.

Infrastructure limitations also create significant challenges. As a landlocked country, Burkina Faso depends on overland transport to move minerals to ports. Gold doré, the semi-purified gold alloy and the main mineral export, is transported by road to Ghana, Togo or Côte d'Ivoire before being shipped to refineries. Zinc concentrates face similar logistical hurdles.

Future production of other base metals, such as manganese or copper, would also require long-distance trucking. This reliance on road transport adds costs and risks, especially given the deteriorating security situation.

Road conditions further complicate logistics. Many mining sites are connected by narrow paved or dirt roads, which become impassable during the rainy season. The limited railway network offers little relief.

A single railway line links Ouagadougou to the port of Abidjan in Côte d’Ivoire, but it does not directly service most mining regions. Without rail options, bulk mineral exports remain expensive and vulnerable to delays.

Power shortages add to costs. The national grid is small and unreliable, with much electricity imported from Ghana and Côte d'Ivoire. While some mines access grid power, many must rely on diesel generators, so increasing operating expenses.

Some companies invest in solar hybrid systems to reduce costs, but off-grid solutions remain expensive and unreliable. Water scarcity in arid areas poses another obstacle, particularly for operations requiring large processing volumes.

Environmental and social concerns are growing. Land degradation, deforestation, and mercury pollution from artisanal mining pose significant risks. Extreme weather events, such as the 2022 Perkoa mine flooding, highlight the need for stricter safety measures.

Illegal gold smuggling also undermines state revenues. In 2024, Interpol launched a major crackdown on illicit gold mining in the region, including Burkina Faso. The operation led to 200 arrests and the seizure of hazardous materials.

For investors, security is only one concern – regulatory uncertainty post-coup is another. The government has raised royalties, taken control of strategic mines, and adopted a more resource-nationalist stance. In October 2024, President Traoré announced plans to revoke certain foreign mining permits to boost domestic gold production but did not name specific companies. This raised concerns among international miners, though several received assurances that their operations would not be affected.

Orezone Gold confirmed its Bomboré mining permit remained valid, with officials stating that only companies violating national laws faced permit withdrawals. Endeavour Mining reported no risk to its permits, while West African Resources and Fortuna Mining also received confirmation that their licences were secure.

Australia's Sarama Resources, however, lost its exploration permit in 2023 after holding it for 12 years. The company called the decision unjustified and launched arbitration against Burkina Faso, seeking $115mn in damages.

The mining sector has long focused on extraction and exporting, with little domestic processing. Gold has been shipped as semi-refined doré bars, mainly to Switzerland, while zinc from Perkoa has been exported as a concentrate for overseas smelting. 

The government plans to change this. In November 2023, President Traoré launched the country's first industrial gold refinery with Marena Gold. Expected to be operational by late 2024, it will refine up to 150 tonnes of gold annually, cutting reliance on foreign refineries. The complex will also house a jewellery unit and a state-run precious metals trading hub, creating thousands of jobs. 

Beyond gold, processing remains limited. There are no base metal smelters, meaning potential manganese production from Tambao would likely be exported raw. Industrial minerals see some processing – cement plants like CIMBURKINA and Diamond Cement use local limestone and clay, while small-scale operators produce bricks, tiles, and quarry stone for domestic use.

Despite ongoing security risks, regulatory changes and infrastructure challenges, Burkina Faso remains an attractive destination for junior and mid-tier mining firms due to its rich geological endowment. Gold remains the industry's dominant driver, but growing interest in base metals and strategic minerals presents new opportunities. The recent wave of new mines and expansions highlights continued investor confidence, reflecting the sector's resilience and long-term economic potential.