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West African Resources (WAF), the leading gold producer in Burkina Faso and a major foreign investor, has implemented the country’s updated 2024 mining code by increasing the government’s free equity share in its gold projects from 10% to 15%. This change, reflected in WAF’s interim financial report for the first half of 2025, was finalized across its Sanbrado, Kiaka, and Toega projects in July and August.
Executive Chairman Richard Hyde confirmed the equity transfer, noting it resulted in a AU$33.4 million reduction in retained profits and a corresponding rise in non-controlling interest. Moving forward, each subsidiary will distribute a 15% priority dividend to the government, while WAF retains its 85% share of profits, subject to available free cash flow.
This new arrangement enhances Burkina Faso’s mining revenues and aligns with its strategy to derive more fiscal benefit from its most critical export—gold. The country expects industrial gold production to grow 4% this year to 55.7 tons, amid rising global gold prices and increased domestic reliance on mining revenues.
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The policy shift comes at a pivotal time for the government, led by Captain Ibrahim Traoré, which is seeking greater financial independence to address an escalating Islamist insurgency and the loss of Western financial support. With 6.5 million ounces in gold reserves and projected output averaging 480,000 ounces annually over the next decade, WAF remains essential to Burkina Faso’s economic and security strategies.
