EFIC goes underground in West Africa

(Jubilee Australia, Sydney, 13 October 2010) In August 2010 EFIC signed a new 4 year US$15 million loan facility to African Underground Mining Services Limited (AUMS) for its contract underground mining operations in Ghana and Mali. The Ahafo gold mine in Ghana has been shrouded in controversy since 2006, with allegations of human rights abuses, displacement of 10,000 people, inadequate compensation, and a second serious cyanide spill in October 2009. Despite this, EFIC has given the project a Category B classification requiring less due diligence. Jubilee Australia had raised concerns about EFIC using public funds and public authority to help dig deeper for gold in Ghana, despite well documented evidence of irresponsible practices. A 13 October ABC News story on the Afaho controversy can be heard here. EFIC has responded saying they have met all internationally recognised social and environmental standards.