BURKINA Faso has strengthened its grip on key gold mining operations by increasing its free carried stake in projects run by West African Resources (WAF) from 10 percent to 15 percent. The adjustment follows the country’s revised mining code, adopted in July 2024, and was officially confirmed by WAF on June 3, 2025.
The change stems from Article 66 of the updated mining legislation, which mandates a 5-point rise in the state’s equity in mining ventures. It applies immediately to WAF’s flagship Sanbrado, Toega, and Kiaka gold projects.
Bigger share in gold-rich assets
Among the three, Kiaka stands out for its long-term production potential. Still under development, it is expected to yield 234,000 ounces of gold annually over a 20-year life span.
The Sanbrado mine, operational since 2020, remains a cornerstone of national output, having produced 206,622 ounces in 2024. Meanwhile, Toega is set to expand WAF’s footprint in Burkina Faso’s prolific mining zone.
WAF confirmed that the new shareholding terms comply with Burkina Faso’s regulations, and said existing agreements remain largely unchanged.
Government eyes deeper stakes
While the updated law enforces a 15 percent free carried interest, it also opens the door to additional paid equity stakes. The government may now acquire up to 30 percent in mining ventures, independently or alongside local private investors. This means the state could, in theory, hold up to 45 percent ownership in select mining assets.
WAF has not indicated any plans for such expanded equity arrangements and maintains that no other changes to its mining conventions are under discussion.
Region-wide shift in mining policy
The reforms echo a broader regional movement as Mali, Niger, and now Burkina Faso seek to reclaim greater sovereignty over mineral resources. Governments across the Sahel are increasingly rewriting mining laws to ensure national benefit from the booming gold sector.
While Ouagadougou has not yet provided revenue projections from its increased stake, the move is widely seen as a bid to boost fiscal returns and support economic resilience.
State moves into direct mine ownership
Beyond legislated equity, Burkina Faso is actively pursuing full ownership of key assets. In 2024, the government acquired control of the Boungou and Wahgnion gold mines—two previously foreign-operated projects.
Prime Minister Rimtalba Jean Emmanuel Ouédraogo has since hinted that further acquisitions may follow, indicating a strategic pivot toward nationalisation in select cases.
Observers say this dual approach—raising state stakes and acquiring full control of select mines—signals a long-term policy to convert resource wealth into public value.
