Russia exploits African gold to fuel war effort in Ukraine
Since the start of the invasion of Ukraine, Russia has exported gold worth $2.5 billion from Africa. According to a report by the World Gold Council, this money supports the Kremlin's war efforts.
Russia obtains gold from small artisanal mines in Burkina Faso, the Central African Republic, Eritrea, Guinea, Libya, Mali, and Sudan.
"The mysterious death of Yevgeny Prigozhin, head of the Wagner Group, in a plane crash in August 2023, has not hindered the plunder and looting of natural resources by Russia worldwide—from Libya to the Central African Republic. Instead, the Kremlin has used the opportunity to regain control over these lucrative businesses," stated the authors of the report "Silence is Golden."
Gold from Africa is smuggled to countries in the Middle East, primarily the United Arab Emirates, where it is refined and mixed with legally obtained metal. It is then sold in Dubai and reaches markets worldwide. Profits from these transactions are transferred to Russia.
"On the battlefields of Ukraine, as the struggle for territory control hangs by a thread, it is notable how little-coordinated political will exists to stop the illegal flow of profits from gold exploitation in Africa to the Russian war machine," noted the World Gold Council (WGC) report.
"Russia's blood gold"
The Kremlin most exploits Mali, the Central African Republic, and Sudan. "In these countries, the trade in Russia's blood gold has intensified recently," said Jessica Berlin, co-author of another report on the use of gold for waging wars, in a conversation with the American broadcaster NPR.
Just a few days ago, as a warning, they robbed and brutally murdered a local gold and diamond trader. They placed the severed head between the legs of the deceased, and photos of the ritualistically posed corpse were published online.
Local media also reported the killing by Wagner Group mercenaries in June of this year of at least 20 gold miners in small mines in Koki, in the Ouham prefecture. After the massacre, they gathered the villagers and declared that anyone who mined gold without their permission would be executed.
In Burkina Faso, the military junta granted the Russian company Nordgold licenses to exploit four of the largest gold mines. In Mali, after a military coup, mercenaries took over the largest mine in Intahaka in the Gao region. Russia is also increasing cooperation with Mali in extracting oil, gas, uranium, and lithium.
Sanctions aren't working
Nordgold, owned by Alexei Mordashov, also mines gold in Guinea, which is also ruled by a military junta led by Colonel Mamady Doumbouya, who is trying to balance between Russia and the West. The Russian mining company has been exploiting one of the country's largest gold mines in Lefa for a decade.
The increased access of Russia to mining in Africa, and to gold deposits in particular, not only enables Moscow to finance the war in Ukraine but also strengthens its economy and mitigates the effects of Western sanctions imposed on it.
