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Euro Gold Launches Gold Mining Project in Yumbe, Targets 20kg Weekly Production

A new gold mining investment in Yumbe District has raised expectations of increased employment, infrastructure development and business opportunities as Uganda intensifies efforts to formalise and expand its mineral sector.

Euro Gold Refinery Ltd on Thursday launched its Small-Scale Gold Mining Project in Yumbe, marking the company’s entry into commercial gold production in West Nile.

The launch brought together government officials, local leaders, mining stakeholders, residents and community groups, with the four-hour event combining official proceedings with cultural performances.

For residents, however, the significance of the project goes beyond the celebrations. Many are looking to the investment to create jobs, open up business opportunities and stimulate development in a district with significant gold deposits.

Government calls for responsible mining

State Minister for Mineral Development Phiona Nyamutoro said the project is in line with Government’s efforts to develop Uganda’s mineral sector under the Fourth National Development Plan (NDP IV).

She said Yumbe and neighbouring Zombo District are among the areas with significant gold potential in West Nile, urging Euro Gold to comply with mining laws and ensure that communities hosting the project benefit from the investment.

Nyamutoro challenged the company to prioritise local employment and internship opportunities while progressively expanding its operations from small-scale to medium- and large-scale mining.

“Government is committed to developing the mineral sector under NDP IV,” she said.

The minister also reiterated Government’s commitment to curbing illegal mining, calling for greater attention to safety, insurance and healthcare for miners.

Euro Gold targets 20kg per week

Benard Feni, popularly known as Mungu Feni and the chief executive officer of Euro Gold Refinery Ltd, said the company undertook more than two years of surveys and exploration before securing its mining ground.

According to Feni, the company’s operations cover approximately 79 square kilometres across West Nile, with Yumbe serving as its pioneer mining site.

He said Euro Gold is targeting production of at least 20 kilogrammes of gold per week and plans to establish a processing plant to improve traceability, accountability and value addition within the gold supply chain.

“We are going to build our nation,” Feni said.

The planned investment has generated considerable interest among residents, with many expecting the project to create employment and stimulate demand for goods and services from local businesses.

Push for formalisation

Assimwe Kenneth, chief executive officer of the Uganda Association of Artisanal and Small-Scale Miners, commended Euro Gold and Government for supporting the formalisation of artisanal and small-scale mining.

He urged communities to ensure children remain in school and stay away from mining activities, while encouraging miners to use personal protective equipment (PPE).

Assimwe also called for more affordable and accessible insurance products for small-scale miners, who often face significant occupational risks.

Mineral Police warn against illegal operations

Tusigwire Julius, head of the Mineral Police Unit, said the unit, established in 2017, is mandated to combat illegal mining, mineral smuggling, fraud and forced labour in the sector.

He said more than 15 illegal mining sites have been closed this year, while expressing concern over deaths occurring at illegal mining operations.

Tusigwire urged miners and investors to comply with regulations and prioritise safety at mining sites.

Children prohibited from mining sites

Eng. Grace Nakku, from the Office of the Commissioner in the Minerals and Energy Department, said responsible mining is critical to attracting investment and unlocking the potential of Uganda’s mineral resources.

She emphasised that only people aged 18 years and above should be allowed to access mining sites, warning against exposing children to dangerous mining environments.

Nakku also encouraged Euro Gold to expand its operations while maintaining support for artisanal and small-scale miners.

Yumbe eyes wider economic benefits

The launch has renewed optimism among residents and local stakeholders, who see the gold project as a potential catalyst for economic activity in Yumbe.

Beyond direct employment, the project could create opportunities for transporters, traders, suppliers, accommodation providers and other businesses as mining operations expand.

However, stakeholders stressed that the long-term success of the investment will depend on responsible mining practices, environmental protection, worker safety and meaningful participation of host communities.

For Yumbe, the launch marks more than the beginning of another mining operation. It signals growing interest in the district’s mineral potential and raises expectations that its gold resources can be transformed into jobs, investment and improved livelihoods.

The project also comes as Government pushes for a more formalised, safe and investment-driven mining industry capable of contributing to Uganda’s economic transformation while ensuring that mineral-rich communities also share in the benefits of the resources beneath their land.

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