Fortuna Mining is reportedly exploring new opportunities in Guinea following its strategic exit from Burkina Faso, where it faced regulatory instability and high security costs.
The Canadian mining company, currently not established in Guinea, is actively conducting site visits and engaging with local authorities to seek gold mining prospects, according to a report by Reuters.
Fortuna CEO Jorge Ganoza was quoted by the news agency as saying: “We find Guinea to be a place we would invest today.”
A portion of the company’s increasing exploration budget is earmarked for Guinea, where Ganoza sees “a lot of room for discovery”.
This move underscores the shifting dynamics in West Africa’s mining landscape, where military-led governments are revising mining codes and grappling with jihadist threats.
Burkina Faso, along with Mali and Niger, has experienced military coups since 2020, leading to new mining codes aimed at bolstering local control.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataThese countries have also taken assertive measures against foreign mining companies, including arrests and asset seizures.
In contrast, Guinea, under military rule since a 2021 coup, has not revised its mining code but has exerted pressure on foreign companies regarding project timelines.
“We don’t see the same situations as we see today in Mali or Burkina Faso or Niger,” Ganoza added.
Fortuna’s recent departure from Burkina Faso involved selling the Yaramoko gold mine for $130m (C$179.32m), despite losing an estimated 70,000oz of gold production.
Ganoza described the sale as “a very compelling offer”, given the mine’s dwindling reserves and the $7m annual security costs incurred due to jihadist threats.
The company had to adopt a “complete fly-in, fly-out basis for all personnel” in Burkina Faso, with ground transportation deemed too risky.
Moreover, Ganoza criticised the Burkinabe Government’s demand for up to 30% state participation in mining companies as part of the new mining code implemented in July 2024, which he believes is not competitive, the report said.
Fortuna’s withdrawal from Burkina Faso follows a similar move by Endeavour Mining last year.
Globally, Fortuna is boosting its exploration and project development investment to $51m this year, up from $41m in 2024.
Besides Guinea, the company is focusing on Senegal’s Diamba Sud gold project and expanding its operations in Ivory Coast, where its flagship Seguela gold mine is situated.
