Some players within the extractive sector are expressing optimism that the government’s decision not to renew Gold Fields’ Damang Mining Lease is ultimately in the best interest of the state.
Although the move has raised concerns among some market watchers about its potential impact on investor confidence—especially coming on the heels of a recent hike in the Growth and Sustainability Levy from 1 percent to 3 percent—others believe it signals a stronger stance on maximizing national benefit from mineral resources.
Speaking to Citi Business News, Chairman of the Ghana Extractive Industries Transparency Initiative (GHEITI), Dr. Steve Manteaw, welcomed the decision, noting that the country must prioritize value for money in lease agreements.
“There have been instances where certain expired leases were renewed for the holders to only flip, sell the mine and make huge profits which should have come to the state. I am not saying that is the reason for the decision of the Minerals Commission in this particular instance but I won’t be surprised but let’s believe that the regulator is working in the best interest of the state I don’t believe there’s any course for worry,” he explained.
“All you need to do is monitor the space and see that going beyond the refusal what the regulator will do with this particular mine,” he added.
Meanwhile,the Minerals Commission has framed the move not as a setback but as a turning point for Ghana’s natural resource management.
According to Isaac Andrews Tandoh, Deputy Chief Executive Officer of the Minerals Commission, said this decision offers Ghana a rare opportunity to redefine the trajectory of its extractive industry and assert greater national control over its mineral wealth.
