While welcoming efforts to improve road infrastructure, CSCNR said it is “deeply concerned” about the manner in which the agreement was reached and the potential long-term implications for the country

By Emmanuel Mandella

A coalition of more than 50 civil society organizations has raised serious concerns over the government’s proposed “Gold-for-Roads” project, warning that the massive infrastructure deal risks undermining transparency, environmental safeguards, and national sovereignty if not subjected to strict legal and accountability standards.

In a press statement dated March 3, 2026, obtained by the City Review, the Civil Society Coalition on Natural Resources (CSCN R) called on the government to fully disclose details surrounding the project, which reportedly involves using South Sudan’s gold reserves as collateral to finance the construction of over 1,000 kilometers of roads.

According to the coalition, the Council of Ministers approved a $2 billion national road construction initiative, with the country’s gold reserves cited as collateral for a contract awarded to Shamrock Global Group at a reported rate of $2.3 million per kilometer.

While welcoming efforts to improve road infrastructure, CSCNR said it is “deeply concerned” about the manner in which the agreement was reached and the potential long-term implications for the country.

“We support infrastructural development, but it must be financed transparently and in accordance with legal, environmental and social procedures,” the statement read.

One of the coalition’s primary concerns is what it described as “data obscurity” regarding South Sudan’s national gold reserves.

CSCNR noted that mineral deposits in the country have not been fully mapped and questioned the credibility of using gold reserves as collateral without clear, publicly available data on their estimated value and geographical scope.

“Where is the gold that we are using as collateral for roads?” the coalition asked, pointing to recent engagements with the Ministry of Mining that reportedly revealed gaps in mineral mapping.

The group also raised questions about the selection process of the contractor, arguing that information provided to the public has been vague and lacking in detail.

Citing the Public Procurement and Disposal of Assets Act 2018, CSCNR said the project should have followed open competitive bidding procedures rather than single sourcing.

“How did the government opt for single sourcing as opposed to open competitive bidding, which would have provided competitive offers?” the statement questioned.

The coalition further challenged the flat unit cost of $2.3 million per kilometer, describing it as insufficiently justified and potentially higher than regional averages.

Drawing parallels with the 2020 oil-for-roads initiative in Bahr el Ghazal, which it described as unsuccessful, CSCNR warned against repeating past mistakes.

According to the coalition, previous barter-style infrastructure deals bypassed established procurement frameworks and institutional expertise, ultimately resulting in inefficiencies and accountability gaps.

“Given such records, we question the viability of the project on the angles of efficiency, transparency and accountability,” the coalition stated.

‘Debt trap’ fears

CSCN R also cautioned that using gold reserves as collateral without clear contingency measures could expose the country to a debt trap if payment obligations are not met.

The coalition demanded clarity on alternative payment strategies and safeguards to ensure that the country retains full control over its natural resources during and after project implementation.

“The question of transparency and future sovereignty over the country’s gold reserve in such large-scale procurement of works is concerning,” the statement emphasized.

Beyond financial transparency, the coalition stressed the importance of environmental protection and community consultation, especially in gold-rich areas where mining activities may intensify.

CSCN R called for comprehensive Environmental Impact Assessments (EIA) to be conducted before mining operations begin, along with clear strategies and reserve funds for post-mining environmental rehabilitation.

“Environmental impact assessment must take precedence over mining, and strategies for future rehabilitation and restoration must be in place,” the coalition demanded.

The group also underscored the need for meaningful consultation with communities in targeted gold-mining regions. It urged the government to establish Community Development Agreements (CDA) in line with the Mining Act 2012, ensuring that affected communities have a voice in project implementation and benefit-sharing.

Network’s recommendations

To address the concerns, CSCNR presented a series of recommendations, including, publication of credible data on gold reserves, including estimated monetary value and geographical coverage.

Full disclosure of the contractor selection process, including methodology, criteria and whether other companies were considered.

Independent supervision of the project under the Ministry of Roads and Bridges, supported by an oversight committee comprising legislators, the Office of the President, security organs and civil society representatives.

Clear explanation of the unit cost formula used to determine the $2.3 million per kilometer rate, public disclosure of contingency payment plans to prevent default risks, and strict transparency and accountability mechanisms, drawing lessons from previous infrastructure deals.

Inclusive community consultations in gold-rich areas and formal Community Development Agreements and Mandatory environmental impact assessments and rehabilitation strategies backed by allocated funds.

The coalition concluded by reiterating that infrastructure development is critical for South Sudan’s economic growth but must not compromise transparency, legal compliance or national sovereignty.

“Such initiatives must be transparently and accountably planned, implemented and monitored critically to avoid resource wastage,” the statement concluded.

As the government moves forward with the ambitious Gold-for-Roads project, civil society groups say public trust will depend on how openly and responsibly the process is managed.