United Kingdom (UK)-based social enterprise PeaceGold plans to make its ‌first exports from restive eastern Democratic Republic of Congo (DRC) by September, its founder told Reuters, despite fighting last year that disrupted artisanal gold mining across the region.

PeaceGold was set up ​in 2013 with the local nonprofit Conflict Resolution Center to help ​formalise artisanal mining and reintegrate former combatants into regulated work, including ⁠gold mining, as a way to reduce conflict.

It was initially supported by ​Western donors before shifting toward a commercial model.

The project is currently working with ​around 11 artisanal mining co-operatives in Ituri Province, representing nearly 25 000 miners and support workers, and is positioning itself as an alternative to Congo’s largely illicit artisanal gold trade, said PeaceGold ​founder Greg Valerio.

More than half of DRC’s gold is believed to be ​smuggled out each year, Reuters analyses show.
Rwanda‑backed M23 and other armed militias last year seized more territory in ‌an ⁠offensive that killed thousands of people in eastern DRC, the United Nations said.

The M23-linked rebellion forced some co-operatives to temporarily halt operations, although they were not directly overrun by fighting, Valerio said.

While PeaceGold’s model has strong support among mining co-operatives, being ​a nonprofit means ​it cannot trade ⁠the gold, Valerio said.

It is finalising regulatory approvals and operational systems ahead of its commercial launch, including securing working‑capital financing ​from a yet-to-be-named UK‑based financial partner to fund gold purchases ​at mine ⁠sites, he said.

Initial exports will be slow, peaking at around 50 kilograms a month by year three, Valerio said, with PeaceGold aiming to retain about 80% of ⁠gold ​value inside DRC for the cooperatives, local infrastructure ​and compliance systems.

“DRC doesn’t have a gold problem, it has a systems problem [and] we are trying to ​fix that.”

–Reuters–