The Africa Centre for Energy Policy (ACEP) has called on the Ghanaian government to suspend plans to take over the Damang gold mine, urging a transparent and legally guided approach to resolving its ongoing dispute with Abosso Goldfields Limited (AGL).
In a statement issued on Thursday, April 17, ACEP’s Executive Director, Benjamin Boakye, advised the government to exercise restraint and re-engage AGL in dialogue.
“ACEP calls for a halt in the operation to expropriate the mine tomorrow. The government needs to exercise restraint, renew dialogue, and pursue a legally guided resolution that protects the interests of both the state and investors,” Boakye stated.
The government’s decision not to renew AGL’s mining lease—which is set to expire on April 18, 2025—has led to directives for the company to cease operations and vacate the site.
According to the Deputy Chief Executive Officer of the Minerals Commission, Isaac Tandoh, AGL failed to comply with instructions to engage the Commission on the lease extension. He said the company bypassed the Commission and communicated directly with the Minister of Lands and Natural Resources, contrary to clear directives.
Boakye cautioned that abrupt and disputed actions could have far-reaching implications for Ghana’s mining industry.
“The government’s approach to this matter should reflect diligence, legal compliance, and a genuine commitment to Ghana’s long-term mineral wealth. A rushed and disputed decision not only risks international litigation and reputational damage, but also undermines investor confidence and the rule of law.
“Already, the news portals have captured state officials and also implied in the minister’s statement that this is all an effort to nationalize the mine,” he added.
ACEP stressed that Ghana must prioritize legal due process and foster an investment climate rooted in predictability and trust.
