Which is the largest gold mine in Africa: Kibali Gold Mine

The Kibali Gold Mine, located in the Haut-Uélé province of the Democratic Republic of Congo (DRC), holds the distinction of being Africa’s largest gold mine by production.

Operated by Barrick Gold Corporation, a Canadian mining giant, in a joint venture with AngloGold Ashanti and the state-owned Société Minière de Kilo-Moto (SOKIMO), Kibali is a cornerstone of the DRC’s mining sector and a global leader in gold production.

Let’s explores Kibali’s history, operations, economic impact, environmental initiatives, community engagement, challenges, and future prospects, highlighting its significance in Africa’s gold industry.

Historical Context and Development

Kibali’s roots lie in the Kilo-Moto goldfields, where gold was first discovered in 1903 by Australian prospectors Hannam and O’Brien.

By the 1920s, the Belgian colonial government established SOKIMO to manage mining, with peak production in the 1950s from deposits like Gorumbwa and Durba.

Post-independence in 1960, political instability and civil unrest led to a decline, with artisanal mining dominating until the 1990s.

In 1998, Randgold Resources (later acquired by Barrick in 2019) and AngloGold Ashanti identified the Karagba-Chaffeur-Durba (KCD) deposit, a high-grade ore body. However, civil war stalled progress.

In 2004, Moto Goldmines acquired a 70% stake, completing feasibility studies by 2009. That year, Randgold and AngloGold formed a 50/50 joint venture, purchasing Moto and later acquiring 20% from SOKIMO.

Barrick’s 2019 merger with Randgold cemented its 45% ownership and operational control, with AngloGold Ashanti holding 45% and SOKIMO 10%. Construction began in 2012, and commercial production started in 2013, transforming Kibali into a tier-one asset with an estimated 5 million ounces in reserves.

Location and Infrastructure of Kibali Gold Mine 

Kibali is situated 220 kilometers east of Isiro, 150 kilometers west of Arua, Uganda, and 1,800 kilometers from Mombasa, Kenya, covering 1,836 square kilometers of the Kilo-Moto goldfields.

The mine includes the KCD deposit and satellite deposits like Sessenge, Pakaka, and Pamao. Access is primarily via a 650-kilometer road from Kampala, Uganda, posing logistical challenges due to the remote location and limited regional infrastructure.

The mine combines open-pit and underground operations, supported by a sulphide and oxide processing plant with a 7.2 million-tonne annual capacity.

Power is supplied by three 44MW hydroelectric stations, delivering 79-85% of energy needs, supplemented by a 32MW thermal generator.

In 2024, Kibali introduced a 16MW solar plant and battery storage system, boosting renewable energy use and aiming for full hydropower operation during the rainy season.

Production and Economic Contributions

Kibali is a production powerhouse, yielding 343,000 ounces of gold in 2023, nearly 8.5% of Barrick’s global output. For 2024, estimates range from 686,000 to 762,000 ounces, driven by high-grade ore (4.21 grams per tonne) and efficient processing.

The mine generated $1.4 billion in revenue in 2024, paying $39 million in royalties to the DRC, though this 2.9% share has sparked debate over equitable wealth distribution.

Economically, Kibali has injected nearly $3 billion into the DRC, including payments to 500 local contractors and suppliers. It employs 1,943 Congolese workers (30% of the workforce) compared to 164 expatriates, fostering skills development.

Infrastructure projects, such as a concrete bridge over the Lowa River, 40 kilometers of roads, and two solar farms (2MW at Durba and 1MW at Makoro), enhance regional connectivity and energy access.

Kibali has also built seven schools, supporting education in surrounding communities.

However, critics argue that the DRC’s 10% stake via SOKIMO and modest royalties limit local benefits, with 97.1% of revenue flowing to foreign owners.

The 2018 DRC mining code, which increased royalties and taxes, aims to address this, but tensions persist over profit repatriation and reinvestment.

Environmental and Sustainability Efforts

Kibali is a leader in sustainable mining, aligning with Barrick’s goal to reduce emissions by 30% by 2030. Its three hydropower stations provided 90.89% of power in Q1 2024, with the new solar plant reducing diesel reliance.

This renewable energy strategy minimizes the mine’s carbon footprint, setting a model for African mining. Barrick is also exploring authorized artisanal mining zones to support local livelihoods while curbing illegal activities on its concession.

Environmental challenges include managing cyanide and flotation tailings, which require separate storage to prevent pollution.

Barrick’s commitment to green initiatives, such as the solar plant and battery storage, mitigates some impacts, but ongoing monitoring is needed to ensure compliance with DRC regulations and global standards.

Community Engagement and Social Challenges

Barrick prioritizes community development, but Kibali’s operations have faced scrutiny. During the 2012-2013 construction phase, 17,000 people were resettled from the mine’s exclusion zone, receiving compensation.

However, a 2021 resettlement in Bandayi and Mege raised allegations of unlawful evictions and uncompensated property destruction, with 129 individuals reportedly affected.

On October 22, 2021, protests in Durba over evictions turned deadly, resulting in four deaths (including one soldier) and 14 injuries.

A parliamentary investigation urged Barrick to secure the mine’s perimeter to prevent further unrest.

Barrick denied directing police actions, attributing the violence to illegal miners protesting government evictions.

These incidents highlight tensions between large-scale mining and local communities, exacerbated by historical grievances and perceived inequities.

Barrick’s community investments, such as schools and infrastructure, aim to mitigate these issues, but distrust persists.

The company uses unarmed private security and is working with the DRC government to create legal artisanal mining zones to reduce conflict.

Gold Smuggling and Regional Dynamics

Gold smuggling is a significant issue in eastern DRC, with $300-$600 million worth of illegally mined gold funding armed groups annually. Kibali’s proximity to Uganda and Rwanda, key smuggling hubs, complicates enforcement.

The United Nations has noted that Rwanda’s lower tax regime incentivizes smuggling, undermining DRC revenues.

Barrick’s efforts to secure its concession and support legal mining aim to curb these activities, but the region’s conflict dynamics, including the Rwanda-backed M23 rebel group’s control of mineral-rich areas, pose ongoing challenges.

Operational and Regulatory Environment

Kibali operates under the DRC’s 2018 mining code, which raised royalties and taxes to boost government revenue. Barrick initially opposed the changes but has since adapted, paying dividends from $500 million in retained cash.

The code requires 60% of mineral revenue to be repatriated, funding economic development. Barrick’s partnership with President Felix Tshisekedi’s administration supports its expansion plans, including new gold and copper exploration in the DRC’s copperbelt.

The DRC’s mineral wealth, including 70% of global cobalt, attracts international firms, particularly from China. Chinese companies dominate cobalt and copper, but recent arrests for illegal gold mining highlight regulatory gaps.

Barrick’s adherence to global standards, such as the Extractive Industries Transparency Initiative (EITI), positions it as a responsible operator.

Future Prospects

Kibali’s future is bright, with geological extensions like the ARK target and KCD downdip discoveries potentially sustaining operations until 2040. Barrick’s $3 billion investment and partnerships with 500 Congolese firms underscore its commitment.

The mine’s focus on automation, renewable energy, and local employment sets a benchmark for African mining.

Expanding copper exploration and addressing community grievances will be critical to maintaining stability and growth.

Geopolitically, the U.S. is exploring minerals partnerships with the DRC to counter China’s dominance, potentially benefiting Kibali through improved infrastructure like the Lobito Corridor. However, regional conflicts and smuggling risks require vigilance.

The Kibali Gold Mine is a testament to the DRC’s mineral wealth and the complexities of large-scale mining in a challenging environment.

As Africa’s largest gold mine, it drives economic growth, employs thousands, and pioneers sustainable practices, with $1.4 billion in 2024 revenue and significant community investments.

However, issues like smuggling, community tensions, and regulatory complexities underscore the need for equitable wealth distribution and robust governance.

Barrick’s strategic focus on renewable energy and long-term exploration positions Kibali for sustained success, making it a pivotal player in Africa’s gold industry.