Gold mining companies in Côte d’Ivoire have started paying a new 8% revenue royalty, retroactive to January, following months of disagreement over its legality, three industry sources told Reuters on Tuesday.
The West African nation, seeking to diversify its economy, replaced the previous contract-linked rate of 3% to 6% with a flat 8% levy. Miners initially resisted, arguing that their contracts protected them from fiscal changes, and engaged in negotiations to have the royalty scrapped.
Sources said companies ultimately began payments after the government maintained its position. One executive noted, “Everyone has now agreed to pay – the question is whether penalties apply,” adding that firms were settling quickly to avoid fines. Fortuna Mining confirmed compliance. As gold and commodity prices rise, West African countries, including Guinea, Mali, Niger, Burkina Faso, Ghana, and Côte d’Ivoire, are increasing fiscal pressure on mining operators, either through new levies or, in some cases, licence revocations and asset seizures.