The Ghana Chamber of Mines has urged strict adherence to due process following government’s revocation of key mining leases held by Adamus Resources Limited, while firmly rejecting calls by the Institute of Economic Affairs (IEA) for the state to deny renewal of Gold Fields’ Tarkwa Mine lease.
In a detailed statement, the Chamber confirmed it had taken note of the decision by the Minister for Lands and Natural Resources, Emmanuel Armah-Kofi Buah, to revoke the Akango, Salman and Nkroful leases after investigations by the Minerals Commission into alleged breaches of the Minerals and Mining Act, 2006 (Act 703).
While acknowledging the seriousness of the findings, the Chamber stressed that enforcement actions must remain consistent with statutory procedures.
“The long-term credibility, stability and competitiveness of Ghana’s mining industry depend on adherence to legal and regulatory standards by all operators,” the Chamber said.
However, it pointed to claims by Adamus and its legal representatives that the revocation may not have met statutory notice requirements, including provisions under Section 68(2) of Act 703.
The Chamber welcomed recent engagements between government and the company, including the formation of a ministerial review committee, and called for constructive dialogue.
“Regulatory enforcement must be firm but also respect procedural safeguards that underpin investor confidence,” it noted.
The industry body also flagged potential socio-economic impacts on workers and host communities, urging mitigation measures as the process unfolds.
Turning to the IEA’s May 13 call for government to reject the lease renewal application of Gold Fields’ Tarkwa Mine, the Chamber described the think tank’s arguments as “factually inaccurate” and lacking historical context.
It argued that Ghana’s previous experiment with state-led mining operations resulted in declining output, underinvestment and financial losses that contributed to broader economic deterioration prior to IMF-supported reforms in 1983.
“The evidence does not support the assertion that state ownership alone prevents IMF recourse,” the Chamber said, adding that prudent resource management and public-private partnerships remain critical.
According to the Chamber, reforms opened the sector to private investment, leading to a surge in production from 216,000 ounces in 1983 to nearly 3 million ounces in 2025.
Addressing concerns about perceived imbalance in mineral revenue sharing, the Chamber maintained that Ghana’s fiscal regime ensures the state captures over 60 percent of mining rents through taxes, royalties and dividends.
It cited data indicating that major Tarkwa-based operations remitted approximately GHS5.1 billion in taxes in 2024 alone, accounting for 7.3 percent of total domestic tax collections.
At the national level, the mining sector contributed about GH¢19 billion in taxes in 2025 — nearly 23 percent of total domestic revenue.
However, the Chamber acknowledged development deficits in mining communities, attributing them to weaknesses in the distribution of mineral revenues rather than lack of corporate contribution.
It reiterated its longstanding proposal for at least 30 percent of mineral royalties to be allocated directly to mining communities.
The Chamber also pointed to a major imbalance in the sector: small-scale mining produced over half of Ghana’s gold output in 2025 but contributed less than GH¢0.5 million in taxes.
It described this disparity as a “significant fiscal inefficiency” and urged government to prioritise formalisation and taxation of the segment.
On environmental and social impacts, the Chamber defended large-scale mining firms, arguing that illegal mining (galamsey) remains the primary environmental threat.
It further highlighted over US$300 million in corporate social investments by member companies over the past decade with Goldfields alone spending nearly US$110 million through its Ghana Foundation on projects spanning roads, education, health and infrastructure.
On the Tarkwa lease renewal, the Chamber emphasised that Act 703 provides clear legal grounds for extensions where mining companies have complied with obligations.
“Policy and regulatory certainty, and security of tenure, are essential to sustaining Ghana’s mining industry,” it said.
The group cautioned against policy shifts that could undermine investor confidence and reverse decades of sector growth.
The Chamber reiterated its support for evidence-based reforms to deepen local benefits while preserving Ghana’s attractiveness as a mining destination.
“The imperative is to strengthen and modernise the sector—not reverse gains through policies that introduce uncertainty,” it concluded.
By: Christian Akorlie / businesspostonline
