Perseus Mining is exiting Sudan’s mining sector after agreeing to sell its stake in the Meyas Sand Gold Project (MSGP) in a transaction valuing the project at approximately $372 million. The move comes amid ongoing civil conflict that has disrupted major investment plans in the country.
The company has entered a share purchase agreement to offload its 70% interest in the northern Sudanese project, with Perseus set to receive around $260 million from the deal.
The sale underscores the increasing difficulties foreign investors face in Sudan following the outbreak of conflict in 2023.
The MSGP is situated roughly 900 kilometres north of Khartoum, near the Egyptian border, within the Block 14 mining concession, an exploration area covering about 1,000 square kilometres.
The deposit encompasses the Galat Sufar South and Wadi Doum prospects, which are regarded as among the region’s most promising undeveloped gold resources.
Perseus acquired MSGP in 2022 through its acquisition of Orca Gold, positioning the firm to develop what could have been one of Sudan’s largest modern gold mines. Geological assessments estimate the project holds about 2.85 million ounces of probable gold reserves and 3.34 million ounces of measured and indicated resources.
The outbreak of the Sudanese Civil War has reshaped the investment environment in Sudan. Fighting between the Sudanese Armed Forces and the Rapid Support Forces has damaged infrastructure and disrupted supply chains, making large-scale mining development highly uncertain.
Although the MSGP itself has remained largely unaffected due to its remote desert location, broader security challenges have complicated logistics, financing, and long-term planning for construction.
Craig Jones stated: “Perseus maintains the view that the MSGP is a high quality gold project. A strategic review of MSGP was undertaken as a result of the protracted armed conflict in Sudan and its impact on Perseus’s ability to progress the development at suitable scale.”
He added, “The sale represents an important step for Perseus in its portfolio optimisation and allows allocation of resources to core assets and its growth strategy. Matrix Group is a proven development partner with a vision for the MSGP that aligns with the development goals of Sudan.”
Under Sudanese mining regulations, the government retains a 20% interest in the project, while local partner Meyas Nub Multi-Activities Company holds 10%, leaving Perseus with the majority share being divested.
For Perseus, which also operates producing gold mines in Ghana and Côte d’Ivoire, the decision enables the company to focus on jurisdictions with lower geopolitical risk amid continuing uncertainty in Sudan.