Business

No Lease Renewal for Gold Fields; Damang Mine Must Shut by April 18

The Government has rejected Gold Fields’ application to extend its Damang Main Mining Lease, instructing the company to cease operations and vacate the site by April 18, 2025.

The decision, communicated by the Minerals Commission, has cast uncertainty over the future of one of the country’s key gold mining operations.

Gold Fields, a leading global gold producer, disclosed that the lease extension request was submitted in December 2024.

Despite what it describes as “extensive engagement” with authorities and full compliance with all statutory requirements, the company says it was notified of the rejection and is now preparing to shut down operations at Damang.

Although the company is working to safely wind down activities, the sudden closure could result in significant job losses and economic disruptions for surrounding communities that depend on the mine.

Industry watchers warn the decision could dampen investor confidence in Ghana’s mining sector.

Meanwhile, Gold Fields says it remains in ongoing discussions with the government to find a mutually beneficial path forward.

“The Company continues to seek ongoing engagement with the Government to secure the best outcome for all stakeholders,” it said in a statement.

Related posts

5% Tax on Remittances Proposed by U.S. Government

quasi

Ghana’s Strategic Gold Reserve Growth Reaches 31.01 Tonnes in Two Years

quasi

ENI and Tullow Resume Oil Exploration at Jubilee and Cape Three Points Sites

quasi

No Government Mandate for Price Cuts, Trade Minister Explains

quasi

US Tariffs Could Jeopardize Global Economy, IMF Warns

quasi

We don’t win power by making noise – Fiifi Kwetey tells the NPP

admin

Leave a Comment