Government, Gold Fields reach agreement on Damang Mine lease

Published 1 month ago• 2 minute read

A new 12-month mining lease will be issued to Gold Fields' subsidiary for the Damang Mine

The government has reached an agreement with Gold Fields Ghana Limited regarding the renewal of its Damang Mine lease.

According to the government, an amicable agreement has been reached on a transitional plan for the mine.

It stated that a new 12-month mining lease will be issued to Gold Fields’ subsidiary, Abosso Goldfields Limited, pending parliamentary ratification in May 2025.

In a release signed by the Minister, Government Communications, and Spokesperson to the President, Felix Kwakye Ofosu, it noted that, "Under the new arrangement, Goldfields will resume open-pit mining during the transition period, safeguarding jobs and conducting feasibility studies to establish Damang's reserves and mine life."

"At the same time, the processing of existing stockpiles will continue under the supervision of a joint management team composed of representatives from the Government of Ghana and Goldfields. The two parties will work in good faith to secure a successful transition and eventual transfer of a viable mine to Ghanaian ownership," the statement added.

The government further noted that both parties have agreed to continue discussions in good faith on the renewal of the lease for the Tarkwa mine, which is due in 2027, and have pledged to work together to enhance Ghana's potential as a favourable destination for mining investment.

See the statement below