Saudi Arabia moves to buy Sudanese gold, challenging Dubai’s dominance

Saudi Arabia is positioning itself as a new hub in Africa’s gold trade, announcing that it is ready to begin purchasing bullion directly from Sudan in a move that could reshape long-established export routes dominated by Dubai.

The initiative marks a strategic shift for Khartoum, which has long relied on the United Arab Emirates as the primary destination for its gold exports. 

Sudanese officials say engaging Saudi Arabia could provide a more transparent, secure and profitable channel for monetising the country’s mineral wealth, at a time when smuggling and informal trade have severely limited state revenues.

The announcement followed high-level talks in Riyadh between Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef and Sudan’s Minister of Minerals Nour al-Dayem Taha on the sidelines of the fifth Future Minerals Forum, which drew delegations from more than 100 countries. Discussions focused on expanding cooperation, encouraging mutual investment and aligning the two countries’ mining sectors to support broader economic growth.

Momentum was reinforced by a subsequent meeting between a Sudanese delegation, including Mohammed Taher Omar, director general of the Sudanese Mineral Resources Company, and Suleiman bin Saleh al-Othaim, chairman of the Saudi Gold Refinery Company. 

Sudan’s state mining firm said the refinery is operationally ready to process Sudanese gold immediately, using integrated laboratories and a logistics network designed to handle bullion efficiently.

The pivot comes as Sudan struggles to capture value from rising gold output. In 2025, the country produced around 70 tonnes of gold, but only about 20 tonnes were exported through official channels, according to Finance Minister Gibril Ibrahim. 

The remainder is believed to have been lost to smuggling and parallel markets. Officials argue that a state-backed Saudi channel could help formalise exports, curb illicit flows and revive stalled production and exploration projects that require capital and technical expertise.

Minister Taha said Sudan would provide all necessary facilities to support Saudi investment, while Ahmed Haroun al-Tom, head of the Geological Research Authority, said talks also covered potential exploration rights for Saudi companies in industrial minerals such as talc, mica, chrome and manganese.

The shift also carries geopolitical undertones. Sudan’s military authorities have recently accused the UAE of involvement in the conflict through alleged support for rival armed groups, deepening mistrust. 

While Khartoum has not publicly linked the gold decision to these tensions, analysts say diversifying away from Dubai reduces political risk and dependence on a single export hub.

For Saudi Arabia, the move signals a broader ambition to expand its footprint in Africa’s resource sector and build a competing centre for bullion trade. 

For Sudan, it offers the prospect of a more controlled and higher-value export pathway, at a time when stabilising gold revenues has become critical to the country’s war-strained economy.