Euro Gold has set a target of producing at least 20 kilograms of gold every week as it expands its newly launched small-scale mining project in Yumbe District, a move that could strengthen Uganda’s formal gold industry and unlock new investment opportunities in the West Nile region.
The company says the project marks the beginning of a larger expansion plan across a 79-square-kilometre mining area in West Nile, with Yumbe becoming its first operational site.
Speaking at the project’s official launch, Euro Gold Chief Executive Officer Ben Feni said the company spent more than two years conducting geological surveys and exploration before securing the mining ground.
“We are going to build our nation,” Feni said, describing the investment as part of the company’s commitment to contributing to Uganda’s economic transformation through responsible mineral development.
Processing plant to boost value addition
A key part of Euro Gold’s expansion strategy is the establishment of a gold processing plant in Yumbe to improve accountability, traceability and value addition within the gold supply chain.
The company says the facility will help formalise production while ensuring compliance with Uganda’s mining regulations and creating a safer working environment for artisanal miners.
Feni said Euro Gold intends to work closely with local communities as it gradually scales up production and expands its operations across the region.
If the company achieves its production target, it would produce around 80 kilograms of gold per month and more than one tonne annually, positioning the Yumbe project as a significant contributor to Uganda’s formal gold output.
Government backs formal mining
The launch also received strong backing from the Government, which said the investment aligns with its strategy of formalising Uganda’s mineral sector under the National Development Plan IV (NDP IV).
State Minister for Mineral Development Phiona Nyamutoro said the project demonstrates the Government’s commitment to attracting responsible investment while strengthening regulatory compliance in the mining industry.
She described Yumbe and the wider West Nile region as areas with significant gold potential, alongside districts such as Zombo, and welcomed Euro Gold’s licensed operations.
“The responsible development of Uganda’s mineral resources can create jobs, attract investment and contribute to national economic transformation,” Nyamutoro said.
Jobs and community benefits
The minister challenged Euro Gold to grow from small-scale to medium- and eventually large-scale mining while continuing to support artisanal miners.
She urged the company to prioritise local employment, offer internship opportunities for young people and invest in community development through corporate social responsibility programmes.
Nyamutoro also reaffirmed the Government’s tough stance against illegal mining, warning that operators who violate licensing conditions or exceed approved mining limits will face enforcement action.
She further highlighted the need to improve insurance coverage and healthcare for small-scale miners, saying the Government is working with the Ministry of Health to address occupational health concerns while encouraging miners to use appropriate personal protective equipment.
With formal gold mining increasingly becoming a focus of Uganda’s economic strategy, Euro Gold’s Yumbe project signals growing investor confidence in the country’s mineral sector and the Government’s push to translate mineral wealth into jobs, local value addition and regional economic growth.
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