Elliot Twum
Gold Fields, operator of the Damang Mine, located in the south-west area of the Western Region has announced that its application for the extension of the Damang main mining lease, which expires on 18 April 2025, has been denied by the government.
Senior Vice President and Managing Director, Gold Fields Ghana, Elliot Twum, in a statement indicated that with the absence of a mining lease, the company is unable to continue operations at Damang beyond April 18, 2025, and are required to vacate the lease by the set date.
He further explained that efforts were made for the government to extend it operations at the mine but to no avail.
“We have tabled further proposals with the Minister of Lands and Natural Resources of Ghana in an effort to resolve the current situation; however, in the interim we must begin preparing to comply with the expiry of our mining license,” he said.
Mr. Twum mentioned that the management will initiate a phased reduction in production and take steps toward ensuring a safe and orderly shutdown of current mining activities at Damang, pending resolution of the matter or further clarity on the way forward.
He emphatically indicated that this development does not affect operations at Tarkwa, “We encourage all our people there to remain focused on maintaining safe and productive operations.
“We understand that this news may come as a shock and will cause concern, particularly to our employees, business partners and communities at Damang. In response, the company has established a management committee to urgently assess the situation, identify potential paths toward resolution, and evaluate the possible impacts on our people,” the statement read.
Mr. Twum further stated that the company’s immediate priorities are to ensure the safety and security of its people, understand the implications of government’s decision including any plans that they may have for the future of Damang mines and explore how they can best mitigate any negative effects.
“We are fully committed to engaging constructively with all relevant stakeholders—especially our people—over the early part of next week. We will maintain regular communication with you as we get additional details and clarifications,” the statement added.
BY Prince Fiifi Yorke