Special Publication on MIIF in the Global Investor Magazine

Global Investor: How is the MIIF pursuing diversification into sectors like salt and lithium, and what potential do these efforts hold for expanding Ghana’s mineral revenue base? 

MIIF CEO: Gold, which once contributed 99% of our royalties, now accounts for 94% as we expand our royalty base beyond gold. This expansion includes silver, sand winning, lithium, graphite, and salt, with plans to add up to 16 minerals, including kaolin. it is important to note that commercial quantities of graphite have been discovered in northern Ghana. We plan to accelerate its development through targeted investment in exploration, aligning with Ghana’s critical minerals policy. We’ve also invested in a 44,000-acre salt lagoon under ElectroChem Ghana Ltd, the largest in Sub-Saharan Africa, projected to pro duce over 1.8 million tonnes of salt. In the long term, MIIF is collaborating with the geological survey to identify around 22 to 23 critical minerals over the next few years in that diversification drive.

Global Investor: What are the key factors that have driven MIIF’s success as one of the fastest-growing mineral sovereign fund globally, and what is your vision for sustaining this growth? 

MIIF CEO: We are expanding the royalties net through many means including the implementation of a geo-mapping system to monitor every mine in Ghana, particularly quarries, in real time. We’ve also established a gold trade desk that supports the small-scale mining sector through a traceability mechanism which supports environmentally sustainable mining, allowing us to buy and export gold to LBMA markets. This has generated $777 million in just eight months helping to stabilize the cedi against the dollar. We’ve also made strategic investments in companies like Atlantic Lithium, where we are the third largest shareholder globally, with plans to inject $27.9 million into local assets. We’ve invested in AshantiGold, ElectroChem Ghana Ltd (set to list on the GSE in 2025), and Injaro, a venture capital fund supporting SMEs in the mining sector. Following a re-evaluation of our assets, we anticipate reaching $1.5 billion in assets under management by the end of 2024 and $6 billion within the next ten years.

Global Investor: Could you provide more details about the gold-backed exchange traded fund (ETF), which you in tend to launch at the end of 2024?

MIIF CEO: The ETF is an Exchange Traded Fund backed by actual responsibly sourced gold and will be the second of such on the Ghana Stock Exchange. It provides an alternative investment option to Ghanaians and pension funds with redemption of investment in either cash or gold. It is also connected to the newly launched MIIF Small-Scale Mining Incubation Program, which aims to help formalize the sector and nurture licensed small mining companies into mid-tier enterprises and facilitate their listing on the local or alternative stock exchange as well.