OUAGADOUGOU — In a significant move for Burkina Faso’s mining sector, the government has successfully negotiated the acquisition of the Boungou and Wahgnion mines, resolving long-standing disputes between the major mining companies, Lilium Mining and Endeavor Mining.
According to Burkina Information Agency, the agreements were signed on Monday by the Minister of Economy and Finance, Aboubakar Nacanabo, alongside representatives from Lilium Mining, Endeavor Mining, and Vista Bank. The deal encompasses three key agreements with Endeavor Mining: a royalty agreement, a transactional agreement, and a payment agreement, while with Lilium Mining and Vista Bank, it involves the sale of shares.
The financial terms of the agreements stipulate that the Burkinabe State will pay a total of approximately $90 million, which includes $60 million plus royalties on a production of 400 thousand ounces of mineral resources. Minister Nacanabo emphasized the strategic importance of this acquisition, which not only resolves disputes but also secures critical resources for the nation.
Furthermore, Minister Nacanabo reassured employees at the Boungou and Wahgnion mines that the government is committed to maintaining operations and preserving jobs. This acquisition is part of a broader strategy by the Burkinabe government to enhance its direct involvement in managing the country’s natural resources. The ministers highlighted plans to expand mining operations to other sites as part of efforts to strengthen Burkina Faso’s financial position.