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MIIF unveils landmark small-scale mining project with $30m injection

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The Minerals Income Investment Fund (MIIF) is on the cusp of launching a transformative small-scale mining incubation project aimed at formalizing licensed small-scale miners across the nation. CEO Edward Koranteng who unveiled MIIF’s ambitious plans, disclosed an initial injection of US$30 million into the project in an exclusive interview with Business24/Investment Times.

This groundbreaking initiative seeks to provide vital support to licensed small-scale gold mining companies, offering financial backing ranging from $200,000 to $5 million per mine. Mr. Koranteng emphasized the significance of this endeavour, labelling it as a pioneering investment within the African continent.

Speaking from the prestigious platform of the Mining Indaba in Cape Town, South Africa, Mr. Koranteng outlined MIIF’s multifaceted approach. The project aims to address four key areas: capital provision for small-scale miners, facilitation of working capital, implementation of robust corporate governance practices including Environmental, Social, and Governance (ESG) standards, and establishment of a market conduit through the MIIF Trade Desk.

Crucially, the initiative seeks to formalize the small-scale mining sector, recognizing its substantial contribution to Ghana’s gold output, which accounts for up to 40% of the nation’s total production. Given Ghana’s status as Africa’s leading gold producer, this formalization effort holds immense significance.

In addition to the Ghana project, MIIF is actively exploring a monumental venture in Sierra Leone, which promises to be one of the largest mining projects on the continent. Collaborative discussions with the Africa Finance Corporation (AFC) and other Development Finance Institutions (DFIs) are underway to materialize this ambitious vision, with hopes for fruition by year-end.

MIIF’s commitment to strategic investments extends beyond gold, with a notable $32.9 million investment in lithium production. Mr. Koranteng underscored MIIF’s alignment with Ghana’s critical minerals policy, highlighting a $5 million investment in Atlantic Lithium’s holding company and a further $27.9 million in local assets.

As MIIF continues to spearhead transformative initiatives in the mining sector, these strategic investments underscore its pivotal role in driving sustainable economic growth and development within the region.

By Eugene Davis

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