Govt Secures $330M for First-Ever Large-Scale Commercial Gold Mine

Sierra Leone has secured a landmark $330 million in financing for the Baomahun Gold Project, which is set to become the country’s first-ever large-scale commercial gold mine.

The funding was finalized through a senior debt facility arranged by the African Export-Import Bank (Afreximbank) in partnership with the Africa Finance Corporation (AFC). Afreximbank contributed $75 million directly, bringing the total secured financing for the project to $430 million.

Located about 200 kilometers east of Freetown in Bo and Tonkolili Districts, the Baomahun Project spans 124.27 square kilometers. Geological assessments estimate the deposit at over 60 tonnes of gold, valued at more than $4 billion.

Once operational, the mine is expected to produce an average of 5 tonnes of gold annually over a projected 12.5-year mine life, generating more than $300 million in yearly revenue. The project is also poised to create approximately 900 direct and indirect jobs, with 90 percent of the workforce expected to come from Sierra Leone.

Government officials and sector analysts say the successful financing represents a major milestone for a mineral-rich country that has long lacked industrial-scale gold production. They note that the deal signals growing international confidence in Sierra Leone’s mining sector and its potential to drive broad-based economic growth.

Afreximbank a pan-African multilateral financial institution established in 1993 said the investment aligns with its commitment to advancing strategic mineral development across the continent.

With financing secured, the Baomahun Gold Project is positioned to become a cornerstone of Sierra Leone’s economy, supporting job creation, infrastructure development, and the diversification of an economy traditionally dominated by diamonds and bauxite. Officials add that the mine’s success could elevate Sierra Leone into a competitive global gold producer while delivering long-term economic benefits to surrounding communities.