The Ethiopian Ministry of Mines has announced the discovery of gold deposits exceeding 517 tons across several regions, including Benishangul-Gumuz, Gambella, Oromia, and Tigray. This discovery is the culmination of extensive geological surveys conducted over the past 15 years, according to Mines State Minister Million Mathewos.

While gold extraction will begin in the coming years, exploration efforts continue in earnest. The Ministry, working alongside industry partners, is actively supporting existing gold processing companies to pave the way for large-scale production. New companies will be evaluated based on their experience, workforce expertise, and financial muscle. Adding further weight to Ethiopia's gold ambitions, the country's first major gold processing plant is under construction in Benishangul-Gumuz. Plans are also underway to build additional facilities in Wollega, Guji, Gambella, and Tigray within the next two years. The Ministry acknowledges the need for robust infrastructure development to support these projects.

During the first quarter of the current fiscal year, the Ministry reported foreign exchange earnings of USD 63.6 million from gold production. The earnings fell short of the ambitious target of USD 112.8 million. Minister of Mines Habtamu Tegegn, speaking during a review of the ministry's performance by the House of People's Representatives in November last year, disclosed that although the initial target was to extract 996.1 kilograms of gold, only 719.6 kilograms were produced, primarily due to security and infrastructure challenges. Company-level extraction contributed 78 percent of the total output, with traditional methods making up the remaining 22 percent.

Ethiopia aims to generate USD 512 million from various sectors, including gold, precious stones, lithium, and others.

Source: The Ethiopian Herald

Additional source: 2Merkato Archives