Russian gold giant Nordgold is ramping up its presence in West Africa, signaling plans to expand operations into Sierra Leone and Guinea-Bissau.

The move follows the company’s recent acquisition of the Niou gold project in Burkina Faso, a significant step in its strategy to deepen its footprint across the continent.

Speaking at the 2025 St. Petersburg International Economic Forum (#SPIEF2025), Nordgold CEO Georgi Smirnov described Africa as “an extremely promising region,” citing the continent’s largely untapped mineral potential.

“By the way, we are ready to invest in both Sierra Leone and Guinea-Bissau,” Smirnov said.

He clarified that while no formal agreements have been signed, the company sees a wealth of opportunity.

“The projects are omnipresent and the opportunities are undeniable,” he added.

Nordgold currently operates across Burkina Faso, Guinea, Russia, and Kazakhstan, with a portfolio that includes four active mines, two projects under development, and several exploration licences.

Its aggressive push into West Africa reflects a broader trend of growing economic cooperation between African states and Russia, particularly in regions seeking alternatives to traditional Western partnerships.

Don’t Miss This: Junta-led Mali starts construction of gold refinery in partnership with Russia

In April 2025, Burkina Faso’s military-led government awarded Nordgold an industrial mining licence for the Niou project, located in Kourweogo province.

The mine sits on a 52.8-square-kilometre site previously controlled by Jilbey Burkina, now a Nordgold subsidiary.

The decision to greenlight the project, amid record-high global gold prices, comes as the country looks to boost revenues in the face of ongoing security and economic challenges.

According to projections, the Niou mine could yield approximately 20.22 metric tonnes of gold over an eight-year lifespan.

Under Burkina Faso’s revised mining laws, Nordgold will hold an 85% stake through Jilbey Burkina, while the Burkinabe government will retain 15% without contributing financially.

The project is expected to inject 51.5 billion CFA francs (around £89 million) into the national budget and contribute 7.06 billion CFA francs to Burkina Faso’s mineral wealth fund.

With gold prices surging more than 25% this year, driven by global tensions and shifting U.S. trade policy, Burkina Faso remains a key player in the gold sector, reporting over 57 tonnes of output in 2023, according to the NGO Swissaid.

Other major operators in the country include Canada’s IAMGOLD and Endeavour Mining, as well as Australia’s West African Resources Ltd.

Still, not everyone is optimistic about the expansion.

Ulf Laessing, who leads the Sahel programme at Germany’s Konrad Adenauer Foundation, cautioned that the Niou site’s proximity to a major artisanal mining zone could disrupt local livelihoods.

“It might displace local miners, depriving them of essential income,” he warned.

The Burkinabe government, however, expects the new mine to create 204 direct jobs and support continued employment at the nearby Bissa Gold SA operation, also managed by Nordgold.

Don’t Miss This: Ghana Loses $11.4 Billion in Smuggled Gold to UAE, Report Reveals