By Eugene Davis
The Senior Vice President and Managing Director of Gold Fields Ghana, Mr. Elliot Twum, has announced that the Government of Ghana has declined the company’s application to extend the mining lease for its Damang Mine. The current lease is set to expire on 18 April 2025, and according to the company, it is not expected to be renewed.
In an official press statement, Gold Fields Ghana disclosed that, “In the absence of a mining lease, the company is unable to continue operations at Damang beyond 18 April 2025 and will be required to vacate the lease area by that date.”
The company has submitted further proposals to the Minister of Lands and Natural Resources in an effort to address the situation. However, Mr. Twum highlighted that, “In the interim, we must begin preparing to comply with the expiry of our mining license. Starting today and over the weekend, we will commence a phased reduction in production and take steps to ensure a safe and orderly shutdown of mining activities at Damang, pending resolution or further clarity on the way forward.”
He clarified that this development affects only the Damang Mine and does not impact operations at Tarkwa.
“We encourage all our people at Tarkwa 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 host communities at Damang,” he stated.
To navigate this critical period, Gold Fields Ghana has established a Management Committee to urgently assess the situation, explore potential resolution paths, and evaluate the potential impact on employees and stakeholders.
The immediate priorities, according to the company, are to:
Ensure the safety and well-being of all personnel;
Understand the implications of the government’s decision, including any future plans for the Damang Mine;
Identify strategies to mitigate negative impacts on employees and associated communities.
Gold Fields Ghana reaffirmed its commitment to open and constructive engagement with all stakeholders—especially its workforce—over the coming days.
“We will maintain regular communication as we receive further updates and clarifications. In the meantime, please feel free to reach out to me or your line manager with any questions or concerns,” Mr.Twum concluded.
