Ibrahim Mahama (M) flanked by officials of both Azumah Resources and FLSmidth
Azumah Resources, a Ghanaian mining company, last Friday signed an agreement with Danish mining firm FLSmidth to supply equipment valued at US$37 million to develop the Black Volta gold project.
Director of Azumah Resources, Noel Nii Addo, in an interview with the media after the signing ceremony in Accra, said Azumah Resources selected FLSmidth (FLS) as its strategic technology partner and supplier of all major equipment and main process technologies due to its 140 years’ experience in the mining industry.
According to him, the signing ceremony for the supply of equipment begins the process towards large scale commercial gold production.
“The initial order for the long-lead equipment and associated technical support services is valued at approximately USD$37million. The equipment is due to be delivered during 2026, ahead of mine start-up date in 2027.
“As part of the long-lead equipment, FLS will supply among other equipment: gyratory crushers, raptor cone crusher, SAG and ball mill, a pre-leach thickener, screens, apron feeders, KREBS cyclones, and pumps. The order also includes equipment for absorption, desorption and refining and detoxification,” he noted.
Mr. Addo stated that the company would also provide technical support to the EPC contractor, start up, commissioning and site training, including spare parts as well as a performance guarantee for the process equipment during the detailed engineering phase and site support.
“The items will take close to forty-six weeks to manufacture, so we need to pay for them now while we continue sourcing other components. That is the essence of today’s ceremony. FLS is well known in the mining industry and their presence alone gives us significant leverage,” he added.
The Director of Azumah Resources also stated that commercial gold production is expected to begin in about 21 months after the supply of equipment by FLSmidth, which will create about 1,700 sustainable jobs for people, especially residents in the area, rather than short-term contracts, having explored only about 20 percent of the total concession.
He indicated, “This is a mine with an 11-year life, and we have only explored 20% of the total concession. As we continue mining, we will conduct further exploration which will uplift the entire Wa area.”
The signing ceremony, which brought together some management of the two companies, including the Chief Executive of Engineers and Planners (E&P), Mr. Ibrahim Mahama, FLS Vice President for Capital Sales in Europe, Arabia, and Africa, Alistair Mackay and some management of Azumah Resources Limited, follows the complete payment of US$100 million by E&P to former foreign shareholders of Azumah Resources as sole owners of the Black Volta Gold project.
Alistair Mackay said that the company is committed to providing advanced technology to improve efficiency and output.
“The signing today is focused on the long-lead items, which involve a substantial amount of equipment. We expect installation to begin early next year and anticipate that six months from now, we will see construction,” he said.
Background of FLSmidth & Azumah Resources Ghana Limited
FLSmidth is a full flowsheet technology and service supplier to the global mining industry that enables customers to improve performance, lower operating costs and reduce environmental impact. FLSmidth work within fully validated Science-Based Targets, have a clear commitment to improving the sustainability performance of the global mining industry, and aim to become carbon neutral in operations by 2030.
Azumah Resources Ghana Limited is a Ghanaian-incorporated mining company holding the Black Volta and Sankofa Gold Projects in the Upper West Region of Ghana. The company’s mission is to responsibly explore, develop, and operate these assets to generate long-term economic and social value for Ghana.
By Ebenezer K. Amponsah