How are global gold market trends impacting gold refining volumes, customer demand and investment trends across Africa?

Record prices have encouraged producers to maximize output and accelerate doré processing, while governments continue to build reserves and seek responsibly sourced bullion amid geopolitical and economic uncertainty.

For refiners, higher prices increase costs. Every ounce refined requires more working capital, while liquidity, insurance, security and transport expenses continue to rise. A $50 million insured shipment carried around 864 kg of gold when prices averaged $1,800/oz in 2022. At today's price of around $4,600/oz, the same insurance limit covers only 338 kg.

Governments are also investing in domestic refining capacity, creating additional competition in an already oversupplied refining market. Higher prices also place greater emphasis on precision, making robust quality control, traceability and operational discipline crucial.

What are Rand Refinery's operational targets for 2026 and 2027?

Our focus is creating long-term value rather than simply increasing refining volumes. While refining internationally recognized bullion remains a core business, it is increasingly competitive and low margin. We are therefore shifting toward a market-led, margin-driven model.

Key priorities include expanding premium bullion products, strengthening traceability, investing in advanced refining technologies, modernizing infrastructure and enhancing responsible sourcing and digital traceability systems.

We are also expanding our footprint through Technical, Operational and Commercial (TOC) partnerships across Africa, including in Ghana and Tanzania where we are helping increase volumes of responsibly sourced artisanal and small-scale mining (ASM) gold.

What are the biggest market challenges facing Rand Refinery?

Balancing commercial growth with increasingly complex risk management remains the biggest challenge. High gold prices have increased illicit mining and informal trading, making responsible sourcing, due diligence and robust traceability more important than ever.

ASM now accounts for approximately 24% of global gold production and supports nearly 100 million livelihoods. In Africa, the sector produces an estimated 1,000 tons of gold annually and contributes around 50% of gold output.

At current prices, ASM production could surpass large-scale mining output in several markets. The priority is therefore to formalize ASM supply chains in ways that benefit governments, communities and international markets.

Infrastructure constraints, fragmented regulations and limited internationally accredited refining capacity remain additional challenges. Addressing them requires collaboration among industry stakeholders.

Customers also increasingly demand verified origin, full supply chain transparency and compliance with OECD Due Diligence Guidance and LBMA Responsible Gold Guidance, making responsible sourcing fundamental to maintaining confidence in African gold.

Which markets offer the strongest growth opportunities?

West Africa offers significant opportunities due to rising gold production, supportive policies and a stronger focus on local beneficiation. East Africa also presents strong long-term potential as governments invest in domestic refining capacity and formalize ASM.

With nearly 35 gold-producing countries, Africa offers substantial opportunities. While not all ASM can be legitimized, Rand Refinery will continue partnering with governments and institutions that support responsible sourcing and internationally recognized standards.

How does the Ghana partnership support responsible gold refining?

Gold Coast Refinery has capacity exceeding 80 tons annually and has agreed with the Ghana Gold Board to refine up to one ton of ASM doré per week through formal government channels.

Our partnership with Gold Coast helps integrate ASM gold into formal, transparent supply chains, enabling Ghana to meet international market requirements. The model can be replicated elsewhere, provided it reflects each country's regulatory framework and development priorities.

What will Rand Refinery highlight at African Mining Week 2026?

AMW brings together governments, miners, refiners, investors and development partners to strengthen Africa's mining value chain. Our message is that Africa's opportunity extends beyond mining to responsible beneficiation, internationally recognised refining standards, transparent supply chains and strong partnerships.

We will showcase how responsible sourcing, advanced traceability technologies and technical collaboration can strengthen Africa's competitiveness. Rand Refinery continues to enhance provenance verification through internationally recognized responsible sourcing frameworks and analytical tools including ASM Check, Fingerprint Similarity and Fingerprint DNA, supported by annual LBMA Compliance Reports and country-of-origin reporting.

AMW aligns closely with our long-term strategy of building resilient, responsible and internationally competitive precious metals ecosystems across Africa.