Gold discovery turns into crisis: Uganda launches crackdown on illegal mining

Written by Omnia Hassan

The discovery of new gold deposits in western Uganda has led to a major challenge for the government as a rush of thousands of residents into artisanal mining has caused environmental damage, health risks, and disruption to agricultural activities.

As chaos increases in the Kayongwe area of Kanungu District, authorities have announced the suspension of all mining operations in a move aimed at asserting state control over the sector and regulating artisanal mining within a legal framework.

Mining suspension two months after the gold rush

In the past two months, the village of Kanuni has witnessed an influx of hundreds of gold seekers following news of new deposits, quickly transforming the area into an informal mining camp with tents and temporary shelters lacking basic services like sanitation and healthcare.

The Ministry of Energy and Mineral Development clarified that the decision to halt mining came due to the spread of unlicensed activities, as well as environmental and health risks resulting from random extraction operations.

Government: Artisanal mining is welcome... but with conditions

During a site visit, Minister of State for Minerals, Fiona Nyampoto, confirmed that the area falls within a legal exploration license granted to a mining company, noting that the workers at the site do not possess the required licenses under the Mining and Minerals Act.

The minister affirmed that the government does not aim to eliminate artisanal mining, but rather seeks to regulate it, calling on workers to establish legal cooperatives that will enable them to obtain licenses and technical support and to work in a safer and more sustainable environment.

Growing environmental and health concerns

The unregulated activity has sparked a wave of concern among local communities, as residents of neighboring areas have filed complaints regarding the pollution of water sources due to the random disposal of waste and the use of mercury in gold extraction, which threatens the environment and public health.

As authorities warned of deteriorating health conditions within the mining site, due to the absence of medical facilities, first aid services, and sewage networks, they vowed to take legal action against anyone who resumes unlicensed mining.

Agriculture pays the price for the rush of gold seekers.

The repercussions of the gold rush were not limited to the environment. Local officials pointed out that many residents abandoned their farms and turned to gold prospecting, while some children dropped out of school to accompany their families to mining sites, raising concerns about food security and the future of the educational process in the region.

Gold leads Uganda's exports

Although Uganda is not a major gold producer in Africa, in recent years it has become a regional hub for refining and trading the precious metal in the eastern part of the continent.

According to Bank of Uganda data, gold exports amounted to approximately $5.8 billion in 2025, compared to $3.3 billion in 2024, surpassing coffee exports and becoming the country's largest source of foreign exchange.