A UK-backed social enterprise is planning to begin gold exports from the conflict-affected east of the Democratic Republic of the Congo by September, aiming to bring more transparency and stability to the region’s mining sector.
PeaceGold, founded by Greg Valerio, was established in 2013 to help formalise artisanal gold mining and provide alternative livelihoods for former fighters. The project works closely with local organisations to support miners and reduce the link between illegal mining and armed conflict.
The initiative is currently operating in Ituri Province, where it partners with around 11 mining cooperatives. These cooperatives represent nearly 25,000 miners and support workers who depend on small-scale mining for their income.
Eastern Congo has faced years of instability due to armed groups competing for control of valuable mineral resources. Violence increased again last year when the M23 rebel group and other militias expanded their activities, leading to thousands of deaths and forcing some mining operations to stop temporarily.
Although PeaceGold’s partner sites were not directly taken over, the unrest disrupted work and showed the ongoing risks in the region.
A major challenge for Congo’s gold sector is illegal trade. More than half of the country’s gold is believed to be smuggled out each year, which reduces government revenue and limits benefits for local communities.
PeaceGold aims to change this by creating a legal and transparent supply chain. The project plans to ensure that most of the value from gold production stays within the country. According to Valerio, up to 80% of the gold’s value could be retained locally, helping miners, improving infrastructure and strengthening regulatory systems.
Because PeaceGold is a nonprofit, it cannot directly trade gold. To address this, the organisation is moving toward a commercial model and is finalising the necessary approvals and systems needed to begin operations.
A UK-based financial partner is expected to provide working capital, allowing the project to buy gold directly from mining sites and offer fair prices to miners. This approach is intended to reduce reliance on illegal buyers and middlemen.
Initial exports are expected to be small, but they could gradually increase. The project aims to reach exports of up to 50 kilograms of gold per month within three years.
Despite the challenges, PeaceGold believes its model can make a difference. Valerio said the main issue in Congo is not the availability of gold, but the lack of proper systems to manage it.
He emphasized that improving regulation and transparency could help reduce conflict and create long-term economic opportunities for local communities.
If successful, the project could become an example of how responsible mining can support both development and peace in regions affected by conflict.
0 Comments