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Chamber Urges Calm as Ghana Weighs Contract Mining Shift, Warns Against ‘Sensational’ Reporting

 Contract mining, Local content

The Ghana Chamber of Mines has called for measured public discourse over Ghana’s planned transition to contract mining, cautioning against alarmist reporting that suggests an imminent shutdown of mining operations.

Chief Executive Officer, Dr. Kenneth Ashigbey, in an interview said ongoing engagements between the Minerals Commission and industry players are part of a structured policy dialogue—not a crackdown on mining firms.

His comments come in response to reports that major mining companies, including Newmont Corporation, AngloGold Ashanti, and Zijin Mining Group, have been given until December 2026 to transition their operations to local contractors or face sanctions.

There is a conversation ongoing between the industry and the Minerals Commission. It is not as if the Commission is coming to shut down mines,” Dr. Ashigbey clarified. “We must avoid presenting these issues in a way that creates unnecessary panic.”

Policy shift, not punishment

Under Ghana’s revised local content rules introduced in 2025, surface mining is to be undertaken by fully Ghanaian-owned companies, while underground mining must involve firms with at least 50% local ownership.

While many mining companies have already adopted contract mining models, a few large operators continue to run operations in-house and have requested more time to comply.

Dr. Ashigbey emphasised that the industry is not resisting the policy but is working with regulators to ensure a smooth and efficient transition.

This is not about pushback. It is about how to implement the policy in a way that is not disruptive to operations,” he said.

Efficiency and revenue at stake

The Chamber warned that poorly managed transitions could undermine operational efficiency and ultimately reduce government revenue.

If you get the wrong contractor or the process is not handled well, it affects productivity and profitability. And when profitability goes down, government corporate income tax is also impacted,” Dr. Ashigbey noted.

He added that decisions around outsourcing must remain commercially sound, allowing mining companies to determine when and where contract mining is appropriate within their operations.

Local capacity exists—but challenges remain

Dr. Ashigbey acknowledged that Ghana has a growing pool of capable local contractors already operating in the sector, citing firms such as Rabotech, Rocksure International, and Engineers & Planners.

However, he stressed that transitioning complex mining operations requires careful planning, technical evaluation, and phased implementation to avoid disruptions.

You need to manage the transition in a seamless and smooth manner, taking into account the unique complexities of each mine,” he said.

Toward a ‘win-win’ outcome

The Chamber expressed confidence that ongoing consultations between industry players and regulators will produce a balanced outcome that supports both national development and operational sustainability.

At the end of the day, it is about what is optimal for Ghana,” Dr. Ashigbey said. “We believe we can reach a win-win situation where local participation is enhanced while mines remain efficient and productive.”

The push for contract mining forms part of a broader trend across Africa, where governments are tightening regulations to increase local participation and maximise benefits from natural resources amid rising global commodity prices.

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