Mike Fraser
Gold Fields Ghana has announced plans to hand over the Damang Mine to the Government in April 2026, following the expiration of its one-year transitional lease.
The company’s Group Chief Executive Officer, Mike Fraser, disclosed this during a conference call with investors and journalists on Friday, August 22, 2025, while presenting the firm’s half-year financial results.
Mr. Fraser explained that the handover forms part of an agreement reached with the government to ensure a smooth and safe transfer of ownership.
“We will continue to manage the mine during this period but are also working with a committee exploring ways to extend Damang’s life of mine,” he said.
He explained that Gold Fields had no intention of acquiring Damang, stressing that the mine would transition to a new owner because of its current asset quality.
“We are committed to supporting the government in ensuring a successful transition,” he added.
The CEO dismissed claims that Gold Fields agreed to release Damang in exchange for an extension of the Tarkwa mine lease. He, however, confirmed ongoing discussions with government regarding Tarkwa’s future, assuring that the company is committed to investing further in Tarkwa to improve returns for shareholders.
Mr. Fraser noted that Gold Fields has operated in Ghana for more than 30 years and intends to continue long-term operations, even as new mining regulations are being considered.
“Our relationship with government has improved significantly, and we look forward to strengthening it,” he said.
On financial performance, Gold Fields reported a 24 percent rise in attributable production to 1,136koz for the first half of 2025, with no fatalities recorded across its operations.
The company remains on track to meet its full-year guidance, with commercial production expected in the third quarter of 2025 and steady-state throughput in the fourth quarter.
Parliament had earlier approved a one-year lease for Damang, running from April 2025 to April 2026. The agreement is explicitly non-renewable and prohibits any extension, transfer, or related transactions beyond its expiry.
Mr. Fraser assured that while Gold Fields will relinquish Damang, its focus remains on optimising Tarkwa as a standalone operation following the suspension of a joint venture deal with AngloGold Ashanti earlier this year.
A Business Desk Report