Here Is What The Ghana Chamber of Mines Has to Say On the Gold Fields' Damang Mine Shut Down

 

The Ghana Chamber of Mines has expressed concern over the government's rejection of Gold Fields' Damang Mine lease renewal application.

In a statement signed by the acting CEO of the Chamber, Ahmed Nantogmah, it said the Chamber believes that such decisions have significant implications for the mining industry, investor confidence, and the nation's economic growth. The mining sector remains the most significant contributor to Ghana's economy, providing substantial employment, foreign exchange earnings, and revenue for national development. In 2024, gold exports resulted in export revenues of about $11.5 billion, representing over 50% of Ghana's total export earnings for that year.

The rejection of a renewal application raises questions about the long-term security of mining investments in Ghana and could potentially send a negative signal to both domestic and international investors.

A predictable and transparent regulatory environment is crucial for attracting and retaining the investments necessary to sustain and grow this vital sector," the Chamber stated.

The Chamber recognizes the government's prerogative in granting and renewing mining leases but believes that decisions of this nature should be carefully considered to avoid negative outcomes for all stakeholders. This development has the potential to undermine Ghana's hard-earned reputation as a leading destination for mining investment in Africa.

The Ghana Chamber of Mines firmly believes in constructive dialogue and collaboration between the government and industry stakeholders.

We urge all parties to prioritize dialogue and collaboration to resolve this matter swiftly and effectively, thereby safeguarding Ghana’s enviable position as an investment destination of choice on the African continent," the Chamber noted.

The Chamber reiterates its commitment to working closely with the government, regulatory bodies, and other stakeholders to foster a conducive environment for responsible and sustainable mining practices that benefit both the people of Ghana and investors in the sector.