FG Gold Secures US$330m Financing for Baomahun Mine
FG Gold Limited has reached financial close and completed the first drawdown on its US$330 million Senior Debt Financing package with Africa Finance Corporation (AFC) and the African Export-Import Bank (Afreximbank), marking a major step in developing Sierra Leone’s flagship Baomahun Gold Project.
The facility finalises the financing required to construct the country’s first large-scale commercial gold mine. It follows AFC’s earlier US$100 million investment in gold streaming and mezzanine commitments, bringing the total backing from leading African development finance institutions to US$430 million, including US$75 million from Afreximbank. Additional capital mobilisation was supported by the Trafigura Group.
FG Gold’s Founder and Executive Chairman, Oliver Tunde Andrews, described the achievement as a turning point for the company and Sierra Leone. He said the project shows Africa’s growing capability to finance and develop world-class mining assets, noting that AFC’s anchor investment helped attract further financiers and build confidence in the project’s delivery.
The Baomahun development is positioned to become one of Sierra Leone’s most significant economic drivers, with construction of core infrastructure already underway and preparations advancing towards the first gold pour.
AFC President and CEO, Samaila Zubairu, said the Corporation was proud to have led and structured the deal, calling it an example of African institutions collaborating to unlock value from the continent’s natural resources. He added that the project will generate long-term economic benefits and set a benchmark for responsible mining across Africa.
Afreximbank’s President and Board Chairman, Dr George Elombi, said the Bank’s participation reflected its commitment to enabling African countries and private developers to create domestic value and inclusive growth through their mineral endowments.
Trafigura’s Global Head of Metals and Mineral, Gonzalo De Olazaval, said the firm was pleased to support Sierra Leone’s first major gold mine, noting that the investment aligns with Trafigura’s growing presence in global gold markets.
The project is being implemented through Boxmoor Au and the Africa Minerals and Metals Processing Platform (A2MP), with support from a largely African technical team and global partners including Lycopodium, Knight Piésold, CrossBoundary Energy, and Komatsu/PanAfrican Equipment.
Baomahun is regarded as one of Sierra Leone’s most pioneering mining developments, introducing new standards in engineering, power solutions, financing structures, and community partnership.
FG Gold already employs a predominantly local workforce, with Sierra Leoneans making up 90% of staff. Once operational, the mine is expected to support up to 900 direct and indirect jobs, contribute around 10% of national GDP, and stimulate significant local supply chain activity.
Sierra Leone’s Minister of Mines and Mineral Resources, the Honourable Julius D. Mattai, welcomed the financing milestone, describing it as a vote of confidence in the country’s investment climate and a step towards responsible, community-centred mineral development.
FG Gold has committed 1% of gross revenues to a Community Development Fund, supporting education, health, agriculture, infrastructure, and social programmes in surrounding communities. Early projects include the Baomahun Community Centre, St Joseph Bakhita Primary School, upgrades to the Baomahun Health Centre, and improvements to the 66-kilometre Matotoka–Baomahun access road.
