(Ecofin Agency) - The Séguéla gold mine in Côte d'Ivoire, which began operations in May 2023, is on track to produce 4 tonnes of gold in 2024. According to Fortuna Mining, the Canadian company owning the mine, it produced 78,617 ounces in 2023, and eyes 138,000 ounces this year. 

As of the end of September 2024, Séguéla had already delivered 102,537 ounces. Fortuna Mining, the mine’s Canadian owner, announced this in an update on October 10, stating that the project is on track to meet its annual forecast of 126,000 to 138,000 ounces, or up to 3.91 tonnes of gold.

Opened in May 2023, Séguéla has significantly contributed to the growth of gold production in Côte d'Ivoire. If Seguela delivers 4 tonnes this year, its output would have gone up 75% year-on-year. 

The country hopes to produce 55 tonnes of gold in 2024, against 51 tonnes in 2023. The government is counting on growth from existing mines and the launch of the Lafigué mine.

Rising gold production can boost revenues for the mining sector, especially with high gold prices on the international market. This week, gold is trading at over $2,600 an ounce, up about 30% since January 2024. In Côte d'Ivoire, the tax rate is 6% when gold sells for more than $2,000 per ounce, and 5% when it sells between $1,600 and $2,000.

According to the Central Bank of West African States (BCEAO), Ivorian gold export revenues reached CFA1,427 billion ($2.38 billion) in 2023, accounting for 13.7% of total exports of CFA10,349 billion. The Extractive Industries Transparency Initiative (EITI) reports that the gold sector contributed about 4.1% of the nation’s GDP in 2021 and around 6% of budget revenues.

Emiliano Tossou