Blue Gold secures $140M to restart Ghana gold mine

[Ben Graham]

Shares of Blue Gold (Nasdaq: BGL) jumped as much as 9.6% Wednesday after the junior miner announced it had secured an additional $65 million in funding to restart the Bogoso and Prestea gold mine in Ghana. 

The new commitment, from an undisclosed institutional investor, brings the total capital pledged to $140 million.

Blue Gold’s market cap now sits at $194 million. Year-to-date, the company has nearly halved in value, with its stock falling from $10.9 to $6.45 in early morning trading in New York.

The funds are being held in escrow, pending resolution of a mining lease dispute with the Ghanaian government. Blue Gold said it is prepared to drop ongoing litigation if the matter is settled immediately.

“This funding, along with the amount that is already committed, clearly evidences our capacity to invest and restart in the mine to bring it back into full production,” chief executive Andrew Cavaghan said.

Turning gold into tokens

The mine’s restart aligns with Blue Gold’s broader strategy to tokenize gold output by turning mined gold into secure digital money backed by that gold. The company plans to launch what it claims will be the world’s first global, gold-backed currency. The initiative is being led by Blue Gold’s new digital division.

The lease dispute stems from actions taken by Ghana’s previous government in September 2024, when it moved to block Blue Gold’s planned investment by terminating the mining leases on claims of unpaid wages. Blue Gold challenged the move and says the issue is now before international arbitration.

“We are confident of reaching a resolution, including a settlement, to ensure this important mine is brought back into production as quickly as possible,” the company said.