'Gold is taken, people stay poor': Shocking gaps in South Sudan's mining oversight

Toposa girls pan for gold in the Singaita River in Namorinyang, South Sudan October 24, 2012. In South Sudan ordinary people have been extracting gold from artisanal mines and taking part in as-yet unregulated trade in the precious metal. But now the government hopes to pass mining legislation that will formalise the industry, let them tax precious metal and mineral exports and sell concessions to large-scale investors. Officials say firms from China, Australia, the United States, South Africa and other African countries plan to apply for licences when new mining laws are passed in November. After many delays, parliament is set to begin debate on the bill on Monday. Picture taken October 24, 2012. REUTERS/Adriane Ohanesian (SOUTH SUDAN - Tags: BUSINESS COMMODITIES POLITICS CRIME LAW) ATTENTION EDITORS: PICTURE 05 OF 25 FOR PACKAGE 'SOUTH SUDAN STRIKES GOLD'. SEARCH 'SUDAN GOLD' FOR ALL IMAGES

Source: X03021

A new report by the Civil Society Coalition on Natural Resources (CSCNR) has revealed persistent illegal mining and inadequate government oversight in South Sudan's mineral-rich regions.

The report, released on Friday, 30 May, shows that despite the country's gold exports generating millions of US dollars annually, local communities remain impoverished.

Yoaso Mototio, a geologist at South Sudan’s Ministry of Mining, acknowledged the widespread presence of unregulated mining operations. He stated that the ministry lacks the capacity to properly oversee the sector due to missing geological mapping and the country’s porous borders.

“The ministry, of course, knows there is illicit mining going on… But our biggest challenge is that our minerals or the natural resources are not geologically mapped,” Mototio is quoted by Radio Tamazuj.

South Sudan’s 2012 Mining Act allows the government to hold an optional equity of up to 15% in large-scale mining projects. However, Mototio estimates that as much as 40 tons of gold are exported from the country each year without government monitoring or benefit to the state.

According to the report, the Mining Act and accompanying regulations introduced in 2015 have not been effectively enforced. As a result, the benefits of mining continue to bypass local communities.

The World Bank estimates that about 92% of South Sudan’s population of 11 million people live in poverty. CSCNR chairperson James Boboya emphasised the disconnect between gold extraction and community welfare.

“Gold is being taken out, and money is being made — but the communities remain poor,” Boboya said.

He also highlighted the risks faced by artisanal miners, many of whom work under hazardous and unregulated conditions, often returning without earnings and facing food insecurity.

Edward Sakyi