In a decisive move aimed at safeguarding national interest and ensuring economic continuity, the Government of Ghana has announced that it will assume full operational control of the Damang Gold Mine following the expiration of Abosso Goldfields Limited’s (AGL) mining lease on April 18, 2025.
The announcement, delivered by the Minister for Lands and Natural Resources, Hon. Emmanuel Armah-Kofi Buah, comes with firm assurances to all workers, contractors, and service providers that there will be no job losses during or after the transition period.
At a press briefing held in Accra, the Minister underscored the government’s commitment to protecting employment, sustaining operations, and honouring all valid service contracts as it takes over the management of the mine.
He reiterated the government’s resolve to ensure that Damang Mine continues to function efficiently and effectively, stressing that the welfare of its workforce and surrounding communities remains a top priority.
“We want to assure the hardworking employees, contractors, and service providers at Damang that your dedication has been the backbone of this mine, and it will remain indispensable.
“All essential services—from security to healthcare, fuel supply to camp management—will continue without interruption. Valid contracts will be honoured, wages paid, and operations sustained as we work to regularise arrangements under the State’s stewardship.”
Minister for Lands and Natural Resources, Hon. Emmanuel Armah-Kofi Buah
According to the Minister, the decision to take over the mine was necessitated by Abosso Goldfields’ failure to meet critical conditions required for the renewal of its mining lease.
Among the key lapses cited by the Minister were the company’s failure to declare verifiable mineral reserves, the absence of a technical program detailing operational history and future plans, and a lack of budgetary provision for exploration, raising questions about the long-term viability of the mine.
“These omissions are significant and undermine our confidence in the company’s ability to ensure the mine’s sustainability. However, despite these challenges, we recognise the strategic importance of Damang Mine to the local and national economy.
“That is why the government is committed to maintaining seamless operations.”
Minister for Lands and Natural Resources, Hon. Emmanuel Armah-Kofi Buah
A Robust Transition Plan
To ensure continuity and minimise disruptions, the minister disclosed that the government has put in place a detailed transition strategy.
He noted that a dedicated team will oversee the operational handover and engage closely with all stakeholders—employees, contractors, and community leaders—to ensure transparency and effective communication throughout the process.
A central tenet of the transition plan is adherence to Ghana’s Local Content Policy, which prioritises employment for Ghanaians and procurement from local businesses within the Damang catchment area.
Safety and asset protection protocols, according to the minister will also be enhanced to safeguard both workers and infrastructure.
“We are committed to transparency and accountability throughout this process. Regular updates will be provided to ensure all stakeholders are informed.”
Minister for Lands and Natural Resources, Hon. Emmanuel Armah-Kofi Buah
Towards Economic Sovereignty and Sustainable Development
Hon. Buah framed the takeover not only as a corrective measure but also as a bold step toward economic sovereignty.
By asserting greater control over its natural resources, Ghana aims to ensure that the benefits of gold mining are more directly enjoyed by its citizens and contribute meaningfully to national development.
“Today’s decision will yield a brighter, more sustainable tomorrow. We are confident that Damang Mine will continue to play a pivotal role in Ghana’s economic development under state supervision”.
Minister for Lands and Natural Resources, Hon. Emmanuel Armah-Kofi Buah
The government reaffirmed its commitment to upholding Ghana’s mining regulations as enshrined in the Minerals and Mining Act, 2006 (Act 703), while also respecting international investment protections.
Hon. Buah emphasized that Ghana remains a responsible and attractive destination for investors but noted that the long-term interests of the people must always take precedence.
“Ghana remains a beacon of responsible investment and stability. While we remain open to foreign collaboration, we are clear on balancing investor interests with the long-term needs of our people”.
Minister for Lands and Natural Resources, Hon. Emmanuel Armah-Kofi Buah
The government’s decision to assume control of the Damang Mine is both a bold and strategic move to safeguard jobs, protect local economies, and uphold national interests.
In the view of the minister, it signals a new chapter in the country’s approach to natural resource governance.
It is one that the minister believes seeks to harmonise private sector participation with state stewardship to ensure that the wealth beneath Ghana’s soil ultimately serves the broader public good.
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