The Minerals Commission has rejected Gold Fields Limited’s request to extend its Damang Mining Lease by an additional 30 years.
The lease, originally granted in April 1995, is set to expire on April 18, 2025, which will mark the end of nearly three decades of operations at the Damang Gold Mine, a key player in Ghana’s gold industry.
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Gold Fields, a South African mining giant, has been a significant player in Ghana since it began operations at Damang in August 1997.
The company also operates the nearby Tarkwa Mine, with the Government of Ghana holding a 10% carried interest in both mines.
The Damang Mine employs around 1,850 workers and supports numerous local businesses, making it crucial for communities in the Western Region.
The Commission’s rejection, first reported on April 13, 2025, has raised concerns. A memo from Gold Fields to its staff confirmed that the lease will not be renewed, and the company is now in discussions with the Minister of Lands and Natural Resources to seek clarification.
Mining consultant Wisdom Edem Gomashie has called for transparency, urging the government to explain the reasons behind the application denial.
“Is there a violation of the 2016 Aboso Development Agreement?” he questioned, highlighting the need for public disclosure under Ghana’s mining regulations.
Conversely, Isaac Andrews Tandoh, Deputy CEO of the Minerals Commission, has framed the decision as a crucial turning point.
“For too long, our nation has watched wealth flow from our soil while local communities see little change,” he stated.
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