Dubai-based commodities trader Avangaz Trading DMCC has secured a strategic gold mining contract in Cameroon, marking a significant expansion of its operations in Africa’s gold sector and reflecting growing investor interest in the region’s mineral resources.
The agreement allows Avangaz to invest directly in gold production, with a focus on industrial processing capacity. The company said it has acquired three state-of-the-art gold washing and concentration plants, equipped with specialized technology designed to improve recovery rates and operational efficiency. While the company did not disclose the exact investment amount, it described the project as a multi-million-dollar initiative.
Avangaz said the contract would give the firm direct access to production, tighter control over processing and quality, improved supply chain transparency, and greater output capacity. Founded in 2020, the company trades a range of mineral products, including oil, and reports operations in more than 50 countries, with monthly profits estimated at $750,000.
The announcement comes amid ongoing scrutiny of Cameroon’s gold exports, particularly those to the United Arab Emirates, which have been at the center of longstanding discrepancies. According to a December 2025 report from the Extractive Industries Transparency Initiative (EITI), Cameroon officially exported only 22.3 kilograms of gold in 2023, while the UAE, the main reported importer, recorded imports of 15.2 metric tons.
Such disparities are not new. In 2022, partner countries reported importing 4.8 tons of gold from Cameroon, whereas Cameroonian official export records showed just 47.879 kilograms. Between 2008 and 2018, UAE-reported imports from Cameroon rose from 0.3 ton to 11.7 tons, while Cameroonian authorities recorded no more than 32 kilograms per year. EITI estimates potential fiscal losses from these discrepancies at approximately $268 million, highlighting the scale of undeclared exports and challenges in tracking mineral flows.
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Despite these controversies, Avangaz maintains its commitment to investing in Cameroon’s gold sector. The company said its entry into the market reflects a strategic effort to strengthen operational capacity, ensure quality, and contribute to a more reliable and scalable supply of high-quality gold. Avangaz’s involvement also signals growing confidence among foreign investors willing to directly participate in mineral extraction, rather than solely trading commodities.
Industry observers note that Cameroon’s gold sector has long faced challenges related to informal mining, smuggling, and weak regulatory oversight. While official export figures remain low, partner country import data suggest substantial gold flows remain unrecorded, undermining government revenue and creating difficulties for economic planning.
Cameroon is gradually taking steps to improve sector transparency. Initiatives such as the National Gold Traceability System are being implemented to monitor production and exports more accurately, aligning with international standards, including European Union regulations on conflict minerals and deforestation. These measures aim to reduce smuggling, enhance traceability, and secure revenue from the country’s mineral wealth.
Analysts say Avangaz’s investment could help set a new benchmark for industrial-scale operations in Cameroon, potentially raising recovery rates, supporting sustainable mining practices, and integrating local production into global supply chains. By linking extraction with industrial processing, the company is positioning itself as a fully integrated player in both mining and trading.
While the precise economic impact of Avangaz’s contract remains to be seen, the development reflects wider trends of foreign capital entering Africa’s mining sector and underscores the continent’s potential as a source of strategic minerals. For Cameroon, the deal offers an opportunity to attract technology, improve processing efficiency, and increase official gold export volumes, potentially narrowing the gap between domestic records and global trade data.
