Uganda grants Euro Gold licence for Yumbe project

The Ministry of Energy and Mineral Development has issued a mining licence to Euro Gold Refinery (U) SMC Ltd to operate in Yumbe District, in a move aimed at boosting value addition and formalising Uganda’s gold sector.

State Minister for Energy and Mineral Development, Okaasai Sidronius Opolot, said the licence was granted under Sections 87 and 90 of the Mining and Minerals Act, 2022, paving the way for the company to begin mining activities in the area.

The approval expands Euro Gold’s footprint in Uganda and signals growing government support for locally owned investments in the mineral sector. The company is positioning itself as a key player in gold mining, refining and trade, with a focus on transparency and sustainability.

Benard Feni, Director of Euro Gold Uganda, described the Yumbe project as part of a broader plan to strengthen Uganda’s gold value chain. He said early findings point to high-grade deposits, with gold purity levels estimated at between 96 and 97 per cent.

He added that Uganda’s gold industry remains attractive to investors and called for stronger partnerships to unlock its full potential.

Euro Gold Refinery was launched in Kampala in July 2025 by Energy Minister Ruth Nankabirwa. The facility is the first fully Ugandan-owned gold refinery, marking a shift in a sector long dominated by foreign players.

The refinery aims to process gold to 99.9 per cent purity, in line with international standards, while supporting national priorities such as Vision 2040 and the Bank of Uganda’s Domestic Gold Purchase Programme.

Beyond Yumbe, the company has ongoing operations and partnerships in other parts of the country. It holds mining interests in Abim, where it works with artisanal miners, and has a prospecting licence in Busia as it continues to explore new deposits.

The Yumbe project is expected to produce up to 10 kilogrammes of gold daily, with an estimated value of about $500 million over a projected 50-year lifespan.

Officials say the investment could create jobs, improve incomes for local communities and help curb illicit gold trade by formalising artisanal mining and strengthening supply chains.