Burkina Faso

Burkina Faso has political risks. It is often in the headlines for the wrong reasons.

Most of the country’s violence is attributed to the jihadist group Ansarul Islam – who have sworn allegiance to Al-Qaeda. This group has about 500 members – and usually operates in the north and the east.

Burkina Faso is the 16th poorest country in the world. It is a communal versus an individualist society. Generally, people from different tribes and religions co-exist peacefully.

Despite the outbursts of violence, the rate of homicide In Burkina Faso is 67/100,000 people – compared to the U.S. rate of 94 homicides/100,000 people.

So, moving from Baltimore to Ouagadougou reduces your chances of being murdered by 34%.

The country recently built the biggest solar power generator in West Africa and gave a green light to a 2,000 kilometer fibre optic backbone.

Big gold mining companies like the $2.4 billion Endeavour Mining (EDV.T) operate there successfully.

EDV’s Houndé mine is comfortably on track to meet 2018 production guidance of 250,000 – 260,000 ounces and the low end of its AISC guidance of $580-630 per ounce.

Another Burkina Faso mine, Karma is on track to meet production guidance of 105,000 – 115,000 ounces and the top end of AISC guidance of $780-830 per ounce.

At the current spot price of CAD $1,738 – EDV’s 350,000 ounces of gold is worth about CAD $600 million

Eight new mines have been commissioned in Burkina Faso over the past six years.