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First with the News

Ghana Takes Control Of Damang Mine Operated By South Africa

“The Damang mine’s return to state oversight marks a critical step in Ghana’s economic reset, ensuring its gold reserves directly benefit citizens,” the Mines Ministry said in a statement.

April 16, 2025
in Economy, Top Stories
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By Enyichukwu Enemanna

Ghana’s government has taken over the operational control of the Damang mine operated by Gold Fields after it rejected an application from the South African company to renew its lease, the Ministry of Mines in Accra said on Wednesday.

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Gold Fields, a Johannesburg-based miner, said on Monday that it had unsuccessfully applied to extend the Damang lease, which is due to expire on 18 April, and was winding down operations as a result.

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Gold Fields was only processing stored gold at Damang after ceasing mining operations in 2023.

It had, however, committed to exit the operation in an orderly way as part of its end-of-life plan, the firm said.

“The Damang mine’s return to state oversight marks a critical step in Ghana’s economic reset, ensuring its gold reserves directly benefit citizens,” the Mines Ministry said in a statement.

It said the decision aligned with policy moves to stop the “neo-colonial” automatic renewal of mining licences in gold-producing Ghana, and to reassess in order to maximise national benefit.

“We are on the lookout for value propositions on the utilisation of our mineral resources that align with the same,” the ministry added.

Damang is the smaller of Gold Fields’ two mines in Ghana after Tarkwa, the biggest open-pit gold mine in the country.

Damang produced 135,000 ounces of gold in 2024, about six percent of the group’s total output of 2.15 million ounces.

The company has been weighing selling its smaller operations including Damang and the Cerro Corona mine in Peru, which has less than five years left on its lifespan as it focuses on its newly commissioned Salares Norte mine in Chile and the Windfall project in Canada.

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