Engineers & Planners Ltd (E&P), one of Africa’s leading mining and Civil Engineering firms, has completed US$100 million final payment for the acquisition of Azumah Resources Limited, making it the sole owner of the Black Volta Gold concessions in the Upper West Region.
Briefing stakeholders last Friday in Accra, following an agreement by E&P to acquire total shares of Black Volta and Sankofa gold projects from Azumah Resources, Executive Director at Azumah Resources Limited in charge of Finance and Sustainability, Okyere Danquah, said the payment for the total acquisition of Azumah Resources Limited has been settled.
The settlement transactions, he explained, involved two international transfers through the ECOWAS Bank for Investment and Development (EBID).
Background
The government granted a lease to an Australian company, Azumah Resources Ghana for a gold concession in the Upper West Region in 1992.
According to E&P, from 1992 till 2022, the company was unable to commence any significant exploration activities on the land, contrary to the terms of the lease agreement.
On October 9, 2023, E&P and Azumah Resources Limited signed a Project Acquisition and Development Agreement following an offer by Azumah Resources in May 2023 to sell the project to E&P for $100 million.
But in August 2024, Mr. James Walbank, a Director of Azumah Resources, demanded that the price of the project which was originally $100 million should be increased to $300 million, citing increase in the price of gold in October 2023.
The request from Azumah Resources Limited led to several months of litigation in court when E&P rejected the proposal for an increase and insisted on paying the original value of $100 million agreed between the parties for the sale of the project.
Subsequently, Engineers and Planners on July 7, this year, signed an agreement to acquire a US$100 million facility from ECOWAS Bank for Investment and Development following a formal application to the bank in 2024 to enable them take full control of operations of Azumah Resources Black Gold Project in the Upper West Region.
Mr. Danquah, who also showed evidence of payment by E&P through swift transfers bank document, said, “On the 6th and 7th of October, 2025, ECOWAS Bank for Investment and Development (EBID), through Standard Chartered, transferred US$ 91,923,963 to IGIC PTE Ltd in Singapore and US$8,076,037 to CANGOL PTE Ltd. London, making full payment of $100 million.”
Litigation Resolved
But, according to E&P, all issues pertaining to the payment transactions that led to the litigation in court have all been resolved.
“On the 6th and 7th of October, this month, we paid all the $100 million to now bring closure to the acquisition phase of the Black Volta Gold Project, so as we speak right now, the single sole owner for the equity stake of Azumah is E&P through its beneficial owner Mr. Ibrahim Mahama,” the Finance and Sustainability Director disclosed.
According to Mr. Danquah, all engagements for the acquisition was purely commercial without political influence, adding that though earlier cost of capital needed for the development of the concessions amounted to about US$204 million, other investment partners are currently reviewing the cost for work at the mines to start in earnest in the next 15 months.
Mr. Danquah also mentioned that apart from jobs that will be created by the company for dozens of people, including natives in its operational area, structures are already in place to help provide the needed support to the communities in the Upper West Region as well.
Director of Azumah Resources Limited, Noel Nii Addo, for his part, also confirmed to the stakeholders that all the former owners of the company have resigned and paid off all their benefits.
“The transaction is in two folds; the acquisition of the shares and acquisition of the loan of the company all for the consideration of US$100 million. E&P acquired the shares first, and negotiated and paid off for the loan. E&P takes over the loan of the previous owners to bring finality to the transaction.
“E&P now holds 100% equity in Azumah, making it the sole owner of the Black Volta concession,” Mr. Addo stressed.
New Management
With the completion of the transaction, Mr. Addo said the Board of Directors has been reconstituted to reflect the new ownership structure.
He said all former foreign directors have formally resigned, and a new Ghanaian management team has assumed responsibility for the company’s operations and strategic direction.
“The Board and Management will immediately begin engagements with statutory regulators and relevant third-party entities to ensure a smooth transition in full compliance with Ghanaian law and the regulations governing the mining sector,” he stated.
Azumah Resources Ghana Limited reaffirmed its commitment to developing the Black Volta and Sankofa Gold Projects in a responsible, transparent, and sustainable manner.
“The conclusion of this transaction and the restructuring of the board mark a defining moment for Azumah Resources Ghana Ltd. We are confident that the new management and shareholders have the capacity, integrity, and commitment to advance the Black Volta and Sankofa projects in line with Ghana’s highest standards of governance and sustainability,” Mr. Addo stated.
The Black Volta project is expected to produce an average of 163,000 ounces of gold per year.
By Ebenezer K. Amponsah