Resource Nationalism Surges Across Africa As Governments Tighten Control

West Africa tightens mining rules

The latest reforms are most visible across West Africa, where several countries have recently revised mining legislation.

Ghana implemented a new royalty regime this week, introducing a sliding scale ranging from 5 percent to 12 percent depending on gold prices. The government is also planning to phase out long-term mining stability agreements by 2027.

Those agreements historically helped companies limit fiscal uncertainty over large investments such as mine expansions and processing upgrades.

Mali took even more aggressive steps with its 2023 mining code, which increased the government’s potential equity stake in new mining projects to as much as 35 percent and raised royalty rates from a maximum of 6.5 percent to 10 percent.

The country also established a state-owned enterprise, SOPAMIM, to manage government equity stakes in mining operations.

The stricter framework initially allowed Mali to recover about US$1.2 billion in arrears from mining companies following audits and negotiations.

But the new rules have also coincided with operational disruptions. The country’s gold mine supply fell by 19 percent in 2025 to 81.2 metric tons after a prolonged dispute with Barrick Mining (TSX:ABX,NYSE:B) over the Loulo-Gounkoto complex temporarily halted operations.

Although a settlement was eventually reached, the standoff cost the government millions of dollars in lost taxes and royalties while Barrick reported roughly US$430 million in fees and an estimated US$1.9 billion in lost revenue.

Neighboring Burkina Faso has also revised its mining laws, introducing a sliding royalty scale and raising the government’s stake in mining projects to 15 percent while allowing an additional 30 percent to be held by domestic investors.

The country has also mandated that at least half of production be processed domestically, part of a broader push to develop local mining industries.

Despite the tighter regulations, some projects have continued moving forward. West African Resources (ASX:WAF,OTCPL:WFRSF) brought its Kiaka gold project into production in 2025 after restructuring its ownership to comply with the new rules.

Niger asserts control over strategic minerals

In Niger, resource nationalism has taken a more confrontational form.

The government announced on March 3 that it was revoking mining and refining agreements with three companies—Comini, Afrior, and Ecomine—citing failures to meet commitments related to local employment, environmental protection, and reportorial obligations.

The move follows a series of disputes between Niger’s military government and foreign mining companies since a 2023 coup brought the current leadership to power.

The country has already seized control of about 1,000 metric tons of uranium, known as yellowcake, from the SOMAÏR mine historically operated by French nuclear company Orano.

The material, valued at roughly US$240 million, is currently stored at a military airbase in Niamey and has been offered for sale despite an international arbitration ruling ordering Niger not to transfer the uranium.

Reforms also aim to attract new investment

Not all policy changes are aimed purely at tightening state control. Across the continent, governments are continuing efforts to attract new investment and build domestic processing industries.

Liberia is preparing a new mining code expected to be introduced within the next three months, alongside plans to establish a National Mining Company that would hold equity stakes in major projects.

The government says the reforms are intended to strengthen its negotiating position with investors while unlocking exploration opportunities in a country where nearly 80 percent of the territory remains geologically unexplored.

“Liberia’s geology is exceptionally rich,” Mines and Energy Minister Matenokay Tingban said earlier this year. “We are seeking geomapping and exploration partners. Access to geoscientific data will allow us to negotiate stronger investment deals and develop downstream infrastructure.”

Iron ore remains Liberia’s dominant export, with output targeted to reach 30 million metric tons per year by 2026. But the government hopes updated regulations will encourage exploration for additional minerals and support downstream processing industries.

Namibia is also preparing a new Minerals Bill to replace legislation dating back to 2002. The proposed reforms aim to encourage investment while expanding local beneficiation and participation in mining projects.

Elsewhere, the Republic of Congo approved a draft mining code in late 2025 introducing competitive bidding for licenses and stronger oversight of small-scale mining. Ivory Coast and Somalia are also revising mining regulations to support exploration for minerals including lithium, cobalt, copper, and uranium.

Investment risks remain a concern

While many governments argue the reforms are necessary to ensure citizens benefit more directly from resource wealth, mining companies and investors remain wary.

According to the Fraser Institute’s 2025 Annual Survey of Mining Companies, several African jurisdictions rank near the bottom globally for mining policy attractiveness.

Six African countries were among the bottom ten jurisdictions worldwide based on policy factors such as taxation, regulatory consistency, and infrastructure: Mali, Burkina Faso, Guinea, South Africa, the Democratic Republic of Congo, and Angola.

Meanwhile, four African jurisdictions, which include Burkina Faso, Egypt, Mali and Guinea, are also ranked in the global bottom ten for overall investment attractiveness.

In contrast, Botswana emerged as a bright spot in the region, improving its ranking dramatically to seventh place globally after stronger investor perceptions of both mineral potential and policy stability.

Despite the policy concerns, analysts say many mining companies are adapting rather than withdrawing. Record gold prices have pushed profit margins to historic levels, allowing producers to absorb higher royalties and taxes while continuing to operate.

For now, however, most investors appear willing to remain, but increasingly selective about where and how they deploy capital in Africa’s vast mineral sector.