Sudan's Lead Gold Producer and the UAE

Gold has been the primary currency used to finance the ongoing devastating war in Sudan, and nearly all gold is sold via the United Arab Emirates, a country the army has accused of funding their enemy, the Rapid Support Forces (RSF). The Alliance Mining and Kush for Exploration and Production Company, based in the Sudanese army-controlled area bordering the Red Sea and River Nile states, has routinely been earmarked as the largest gold mining operation in the country. The company is owned by Emiral Resources Ltd, based in the UAE, a country the army accuses of supporting the RSF with logistics, armaments, and even foreign militias.

Despite being located in territory controlled by Sudan's army, the bulk of the Alliance's gold exports are sent either directly or indirectly to the UAE, the same country the Sudanese government has accused of backing its combatants, the paramilitary Rapid Support Forces (RSF). In March 2025, the army-controlled de facto Sudanese government filed a court case against the UAE, charging the Gulf country with genocide for their alleged backing of their paramilitary opponents. According to researchers and local miners in the area, all gold mining operations in the army-controlled areas are partly run by senior members of the military - Alliance Mining being no exception. At the same time, the Dubai-based Emiral Resources Ltd refutes any connection to the UAE government and any funding of military activities.

Since April 15, 2023, the national army has fought a devastating war with the RSF, a paramilitary force that was once aligned with the army and deployed on the ground to fight in the vast western Darfur region. A dispute over resources and political influence, however, set the army and RSF apart, with each side relying on gold mines to fuel their war efforts.

The Sudanese people are enduring what the United Nations and aid agencies on the ground consider the world's worst humanitarian crisis, with some estimating at least 150,000 deaths, 12 million conflict-displaced, and half the population facing food insecurity. Overshadowed by conflicts elsewhere in the world, global funding appeals remain only 60 percent met. The warring parties frequently obstruct humanitarian aid from reaching its intended recipients. At the beginning of this year, many internally displaced persons (IDP) camps are reporting child mortality rates of nearly 12 per day due to famine.

While humanitarian aid is prevented from accessing its destination, gold flows relatively effortlessly through the country, with nearly all exports--whether smuggled or openly shipped--ending up in the United Arab Emirates. Earnings from gold exports have helped both sides purchase increasingly sophisticated weaponry, with the Rapid Support Forces (RSF) relying on China and the UAE, while the army receives support from Egypt, Turkey, and Iran.

Gold: central to Sudan's economy and prolonging the war

While Sudan's conflict, now in its third year, has decimated most of the country's economy, the gold mining sector continues to thrive--even expand in the army-controlled areas. In February 2025, the military-controlled government in Port Sudan announced record production in 2024. The state-owned Sudan Mineral Resources Company (SMRC) claimed gold production in the army-controlled areas reached 71 tons in 2024, up from 46 tons two years earlier. The Central Bank of Sudan figures show exports brought in $1.57 billion in much-needed tax revenue last year.

Given these figures, gold production is the most significant source of income for the warring parties. Like the army, the RSF relies on gold mining as a primary financial engine, with mining operations across Darfur, one of the largest being the Sungu gold mining area in South Darfur State. Control over Sudan's vast gold reserves is a contributing component for the conflict between the army and Rapid Support Forces (RSF), says Sudanese economist Abdelazim al-Amawy. It is also, al-Amawy says, "a key factor in prolonging the war." Foreign countries are not only importing and trading in Sudan's gold and providing the revenue to prolong the conflict, but they are also actively mining gold within the country.

The Alliance Mining Company

The Alliance Mining Company operates along the border of the River Nile and Red Sea states in Sudan, in the Haya area, roughly 100 kilometres outside of Port Sudan, the capital of Red Sea State. The company is both historically and currently recognised as Sudan's largest gold producer, having received multiple awards from the SMRC and the Ministry of Energy and Mining in the past.

The company also serves as the primary gold mine for the UAE-based Emiral Resources Mining Company. The last available ownership data for Alliance shows Emiral owns 68% of shares, while 25% is owned by the Sudanese mining supply company, Sudamin, and 7% is owned by Exxon Advanced Projects Limited. On its website, Emiral lists Kush as one of its holdings, alongside its subsidiary, Alliance for Mining, which it claims is "the largest industrial gold producer in Sudan".

Ali Al-Rashdi, the CEO of the Dubai-based mineral extraction company, International Resource Holding, served as the chairman of Emiral until 2023. Emiral declined to identify its current owners and directors other than to say that the owners are "private international investors". Boris Ivanov, a former Russian diplomat and executive at Gazprom PJSC, a major Russian state-owned energy corporation, founded the UAE-based Emiral Resources Company. Ivanov has not, however, been involved with the company since 2023, Emiral told Ayin.

For Sudanese working at Alliance, however, the major mining operation is simply called "the Russian Company," says one Alliance production engineer who spoke on condition of anonymity. "The name comes from the fact that it is the only company around here that has Russian people working for it," the same source told Ayin. "Sudanese are not even allowed to access the room to see where the gold is produced." Asked about this assertion, Emiral replied that "[t]he assertion that any person is granted or denied access to facilities based on their nationality is false and wholly without support. Employees are given access based upon the needs of their job function, consistent with standard commercial practices in this industry (and others).

As of 2020, the director and all of the department technical heads are of Russian origin, according to company registration documents in Ayin's possession. Emiral declined to provide Ayin with the current composition of the company's management except through a non-disclosure agreement, saying only that "[m]anagement and senior employees include persons of different nationalities, and the implication that all of them are Russian nationals is wrong."

Alliance mining: digging on the short-term

Alliance started mining in 2015; while registered as an industrial mining operation, its focus has primarily been around processing "mining waste" or "tailings" instead of industrial drilling, according to local staff at Alliance speaking on condition of anonymity. They said that Alliance, along with most mining operations in Sudan, has relied on local, artisanal miners to do the dangerous, heavy work.

When asked about this, Emiral replied, "Alliance does not rely on artisanal miners. To the extent Alliance has any connection to artisanal miners, it is limited to processing ore under an agreement with, and under the supervision of, the Sudanese Ministry of Mining, which heavily regulates the taxation and monitoring of such operations. The product associated with such processing constitutes a tiny fraction of Alliance's production, and the arrangement connects those miners with advanced processing technologies that make operations safer for the miners, the environment, and the community at large."

The "tailings" practice prioritises low-cost, high-profit tailings and weak regulatory enforcement over actual long-term investments in industrial mining. This strategy may explain why the SMRC reported in 2024 that local, artisanal miners accounted for 83% of the total gold production in areas controlled by the army. In 2024, out of the total declared gold production of 64 tons, 53 tons were produced by local miners. According to the organisation SwissAid, artisanal mining dominates Sudan's gold sector, accounting for 91.5% of total declared production.

Artisanal miners rely on inefficient traditional methods to extract a maximum of 30% of the gold from ore, leaving a significant portion of the gold particles in the residue, which is known as tailings or "Karta" in Sudan. According to local employees, local miners are contracted to mine for gold for mining companies, including Alliance. This use of local artisanal miners in mining company operations leads to an unregulated workforce that is difficult to monitor and tax, as well as track actual production, says senior researcher Suleiman Baldo.

"It's a low-investment, maximum-yield operation," Baldo adds. "Equipment for processing tailings is, at most, seven million (dollars), and you are productive from day one." This form of mining has always been associated with the elite and their affiliated armed groups. Since the war started in April 2023, both the RSF and the Sudan Armed Forces (SAF) have been involved in controlling mine waste companies, Baldo said.

Emiral Resources Ltd, however, says its only role with artisanal miners is processing the miners' ore under agreement with and under the supervision of the Sudanese Ministry of Mining. "The arrangement exists to make mining safer: by connecting artisanal miners to advanced processing technology, such arrangements prevent under-resourced local miners from processing with mercury, which is harmful to humans, animals, and the environment," the company adds.

Alliance gold production

According to Swiss Aid and news reports, Alliance Mining produced at least one tonne (roughly 1.1 tons) of gold last year. Alliance production engineers who spoke to Ayin in confidence said that production was much higher. When asked for this information, Emiral replied, 'In 2024, Alliance for Mining produced approximately 2141 kg (or 2.3 tons) of gold. In 2025, production was 2167 kg (or 2.39 tons). And in the first seven months of 2026, Alliance has produced 1071 kg (or 1.18 tons). Alliance has never misrepresented its production numbers."

From 2024 onwards, there was a sharp rebound in production across all mining operations within the country, including Alliance. According to one of the production engineers at Alliance, the company invested in new machines this year and has expanded operations. Satellite imagery collected by C4ADS in November 2023 and in March 2024 indicates continued mining activity, judging by earth movements, small to medium excavations, and building constructions. Nighttime radiance levels measured by C4ADS in 2025 would also suggest a return to mining excavations following the pause at the start of the current conflict.

But the local community could hardly witness any increments in mining activity at Alliance, local staff told Ayin, given the secrecy that shrouds the companies' operations. According to the production engineers at Alliance, the room designated for weighing and melting the gold into bars is off limits for local staff. "The gold is collected and melted every three days and converted into ingots," one of the engineers said. "No one is allowed to enter the combustion chamber except the Russians." According to the same sources, the gold is then taken at night and shipped for export away from watchful eyes. "The whole transfer is done in complete secrecy; none of us know where the gold goes from here," the engineers added.

Emiral Resources Ltd., however, refutes these claims. The company says these claims are "categorically false" and denies any involvement in smuggling operations. According to a statement by Emiral, "Alliance and its affiliates operate in full compliance with all applicable laws and regulations and take appropriate security measures designed to protect staff, assets, and production in a region where elevated security threats are a daily reality." The statement adds that all employees are given access "upon the needs of their job and function, consistent with standard commercial practices in this industry."

Mass smuggling and the UAE

According to gold researcher Mohamed Salah, most companies involved in "tailings" or "karta" mining only disclose a small portion of their production, while the majority remains unreported. By comparing gold mine production rates in the army-controlled areas of Sudan, listed by the Central Bank of Sudan, with the actual export rates, a serious discrepancy emerges. For almost every year between 2012 and 2024, production levels are higher than exports, SwissAid reports. During this time period, SMRC authorities recorded 404 tons of gold exported while 919 tons of gold were produced, marking a discrepancy of 515 tons. SMRC director Mohammed Taher believes that nearly half of the gold produced in army-controlled areas is smuggled across borders; some researchers estimate even higher rates, closer to seventy percent. Out of the 71 tons officially produced in the army-controlled areas last year, less than half, only 34 tons, were declared for export. Ayin has not, however, found any direct evidence that suggests Alliance engaged in gold smuggling.

The mass smuggling of Sudan's gold occurs, Baldo says, because the state is complicit in the trade. "The government of Sudan encourages corruption. SMRC officials are complicit in the process, and government authorities look the other way since they don't pay the SMCR employees a decent wage." The gold smuggling racket in all of Sudan's mining sectors led Finance Minister Jibril Ibrahim to warn of the collapse of Sudan's economy, along with the army, if this trend is set to continue.

Whether it is exported legally or smuggled, nearly all gold mined in Sudan ends up in the United Arab Emirates. In 2023, roughly 97 percent of gold exports from the army-controlled areas went to Dubai. According to data from the UAE's commodities exchange, the small Gulf country became the world's second-largest gold exporter in 2023, overtaking Britain. The Central Bank of Sudan reported last year that gold exports from army-controlled areas to the UAE remained consistent with previous years, at 97%; this arrangement earns the state $1.5 billion and represents nearly half of all Sudan's exports. In comparison, Sudan exported only $1.2 million worth of gold to Turkey in 2024, $7.9 million to Qatar, $16.3 million to Egypt, and $24.6 million to Oman. According to SwissAid, the UAE represents the leading destination for smuggled gold, with at least 220 tons shipped directly to Dubai from 2012 to 2024. Even gold smuggled from other countries, such as neighbouring Egypt, finds its way to Dubai. Ayin requested information from Emiral Resources Ltd concerning where the company sells the gold that Alliance produces. Emiral replied that Sudanese law requires that it sell a portion of its gold production to the Sudanese Central Bank and that it sells the rest to "buyers where the gold market is".

Egypt and Russia

While the total amount is unknown, local staff working at Alliance believe a significant amount of the gold produced from their mines is shipped directly across the border to Egypt. Sudan's northern neighbour, a key ally in the SAF's war effort, has earned substantial profits from gold sales in recent years, with the majority being sold to Dubai. UN trade data shows that Egypt's gold exports were over $1.8 billion in 2023, with over half this amount ending up in the UAE. Emiral, however, categorically denies that the Alliance Mining is involved in any gold smuggling operations.

Gold traders speaking on condition of anonymity told Ayin that over half of the gold produced in the River Nile and Red Sea states ends up in Egypt, whether exported legally or otherwise. "On the SAF side it's obvious; the biggest smuggling route is Egypt," SwissAid researcher Marc Ummel told Ayin. Swiss Aid estimated roughly 44 tons of Sudanese gold were smuggled across the border into Egypt last year. It is something Finance Minister Jibril Ibrahim hinted at in March this year, claiming a "neighbouring country" had obtained 48 tons of smuggled gold last year and warning that Sudan's army would collapse if the economy collapsed. Longstanding economic liberalisation policies in Sudan, which encouraged graft and looting, have weakened Treasury revenues and marked a significant loss in export returns--largely due to the smuggling of key raw materials, especially gold--says economist Dr Wail Fahmi.

The Sudanese gold sold across the border is significantly more profitable because of Egypt's favourable tax policies. According to Baldo, Egyptian and Sudanese security actors benefit markedly from these activities. Roughly 100 kg of gold is smuggled from Sudan into Egypt per day, equating to more than 66 tons from the beginning of the war to the end of 2024. "There is a whole system where Egyptians encourage gold to come to Egypt; no documentation is required," Baldo said. "The motivation for Sudanese traders is simple: a better price and the chance to take goods [from Egypt] to wartime Sudan to make even larger profits." According to one Port Sudan-based gold trader, gold sold in Sudan for $250,000 could be smuggled to Egypt in a one-day trip and sold for $300,000, netting a $50,000 profit in just 24 hours.

Some of Sudan's gold goes to Egypt through the Sudanese army's company, Zadna, says Mubarak Al-Fadl, head of the Umma Party, former investment minister, and a businessman with ties to the gold sector. Zadna International Company for Investment Ltd exports 700 kilograms of gold per year in return for food and other army and trade supplies, Al-Fadl told Ayin. In May 2023, just weeks after the war started, Lt Gen Abdelfattah al-Burhan, the head of the army, appointed Dr Taha Hussein Yousef as the General Manager of the company. "Large quantities of gold produced in areas bordering Egypt, such as Halfa and the Red Sea, are also smuggled into Egypt," Al-Fadl said.

No trade data exists to suggest Sudan exports gold to Russia, but the Council of the European Union reported in 2023 that Russian paramilitary groups such as the Africa Corps have exported significant amounts of Sudanese gold to Moscow. According to an article from the UK daily The Telegraph, Russia had prepared for international sanctions following their invasion of Ukraine in 2022 by securing foreign gold reserves from Sudan and elsewhere. Without data to back up these claims, it is challenging to ascertain whether Sudan is exporting gold to Russia, especially since Russia's ambassador to Sudan has denied such exports.

Contradictory trade

Given the increasing body of evidence linking the UAE's support to the RSF and the multiple public outcries made by the army regarding this support, the army's ongoing gold trade with the Gulf country seems a perplexing paradox. It should, however, be recognised that there is no direct evidence that Emiral is selling gold to UAE-based buyers.

Two factors could account for this glaring inconsistency: a scarcity of options and personal greed. According to the Director General of the SMRC, Mohamed Tahir, there are simply limited options for exporting gold elsewhere. The UAE, Tahir says, has a developed financial system and a point of access to global markets. Tahir claims the government is attempting to find alternative markets to sell gold to in Qatar, Oman, and Saudi Arabia.

In an interview with Al-Jazeera, Finance Minister Dr Jibril Ibrahim stressed that trade and export revenue transcends any political dispute. "We've heard a lot of criticism about how we allow gold exports to destinations we're in conflict with," the minister said. "But shifting to new [gold] markets takes time, and we are currently transitioning gradually to alternative ones."

The UAE is the main destination for smuggled gold out of Africa, hosting a gold laundering system that has prevailed for years. According to Swiss Aid, the UAE has, over the past decade, accepted more than 2,756 tons of smuggled gold with a total value of over $115 billion. Despite having laws to prevent gold smuggling, Ummel says these laws are rarely adhered to, allowing a steady flow of smuggled gold into the country. The UAE is also logistically convenient for most gold traders operating in Africa. "They have big transport planes to carry the gold," Ummel said. "Cash is still used; you do not need a visa to enter the country and can simply carry the gold by hand."

Other global centres for gold sales, such as London and Singapore, are off-limits to Sudanese traders, Al-Fadl says, because of their selling requirements, which require traders to prove and clarify the source of the gold. "As a result, the Sudanese, including the military authorities, prefer to sell in Dubai because it is a free market, and they are able to obtain cash and dispose of it easily," he said. Al-Fadl asserts that this rule also applies to Russian arms dealers who exclusively transact in cash in Dubai.

According to one Port Sudan-based gold trader, the military's relationship with the UAE in the gold sector remains essential, regardless of political disagreements. Commercial dealings, including gold exports to the UAE, have not ceased in any way. "This whole process happens with the knowledge and assistance of military personnel--up to the rank of lieutenant general," the gold trader told Ayin on the condition of anonymity.

"It's a very realpolitik environment where everyone benefits for themselves," Baldo said. The scale of the flow underscores how small-scale, artisanal mining has mushroomed into a business involving millions of people in Sudan, producing volumes of gold far larger than full-scale industrial productions.

Senior individuals within the army and business elite help facilitate gold smuggling, according to an official from the ministry of energy and mining under the de facto, army-controlled government. These individuals, the ministerial source told Ayin on the condition of anonymity, all are involved in the mining companies operating in SAF-controlled territories. "There are senior people behind the gold trade who directly benefit from these [smuggling] operations," the official said. "The current war makes these operations even easier for them with the reduced scrutiny. No one is currently watching." Emiral commented that "[a]ny suggestion that Alliance or any of its affiliates engages in unlawful smuggling is categorically false."

A "tailings" or "karta" gold processing station in River Nile State (Ayin)

Conclusion

Sudan's current war is far from civil - a multitude of foreign actors are backing it up and providing devastating longevity, partly due to their interest in the gold trade. Not only is gold the mainstay of Sudan's export economy, but it is also a key resource both warring parties rely on to fuel the conflict. Both sides, including the army and the RSF, rely on the UAE in this process. And while both warring parties continue to hinder aid access, causing widespread starvation across the country, gold continues to find markets, and production appears set to expand.

The majority of Sudan's citizens are yearning for peace after enduring over two years of one of the worst humanitarian catastrophes in the world. But there are senior individuals within the armed forces and government who benefit from the status quo via current gold smuggling operations. "This is one of the Sudanese army's most important incentives to perpetuate the war and prevent it from ending so that it can benefit from the corruption of these funds," Al-Fadil says. "These funds are not subject to any oversight and are solely managed by the army commander and the governor of the Central Bank."

If this concern is not addressed, more gold will flow from Sudan to international markets in the UAE, ensuring both warring parties continue to access more weapons and more war. "This is not a war of ideology; it's a war of resources - the warring parties and their international backers are fighting for the country's resources," says Baldo. "It's that simple and that callous."

This report was done in collaboration and support with the Washington DC-based global security nonprofit C4ADS.

Read the original article on Ayin Network.

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