Gold Fields Limited, a global gold mining company, has announced the rejection of its application to extend the mining lease for its Damang Main operation. The decision was communicated by Ghana’s Minerals Commission, leaving the company just days to vacate the site.
The company submitted its lease extension request in December 2024, hoping to continue operations at the Damang Main site. However, the Minerals Commission notified Gold Fields that the application did not meet the criteria for approval. Following this decision, the government directed the company to cease all activities and vacate the lease area by April 18, 2025, coinciding with the expiration of the current lease.
In a statement issued on April 14, 2025, Gold Fields expressed disappointment at the rejection. The company emphasized that it had met all statutory requirements for the lease extension and had engaged extensively with the relevant authorities to resolve the matter.
“Gold Fields is therefore preparing to safely and responsibly cease operations and ensure the safety and security of our people and high-risk operations. The Company continues to seek ongoing engagement with the government to secure the best outcome for all stakeholders,” the statement read.
Despite this setback, the company assured stakeholders that its operations in Tarkwa, another major mining site in Ghana, remain unaffected and will continue as planned. Gold Fields also pledged to update stakeholders on any significant developments regarding the Damang lease issue.
The rejection of the Damang lease extension marks a critical turning point for Gold Fields, as the company now faces the challenge of ensuring a smooth and responsible exit from the site. This decision could have broader implications for the mining sector in Ghana, raising questions about regulatory policies and the future of mining investments in the country.
Story by: Mercy Addai Turkson #ahotoronline.com
