Lands Minister Emmanuel Armah-Kofi Buah has reassured employees of the Damang Mines, operated by Abosso Gold Fields, that their jobs are secure despite recent issues surrounding the renewal of the mine’s lease. The company’s lease officially expired on April 18, 2025, prompting fears among the over 1,000 workers that operations might shut down and lead to mass layoffs. In response, the government has stepped in to take over the mine temporarily due to what it calls procedural failures in the renewal process.

During a visit to the site, Minister Buah emphasized that President Mahama’s administration is committed to ensuring job continuity during this transitional phase. He assured both direct workers and contractors that the government’s actions are meant to strengthen operations and protect livelihoods, not disrupt them. “This transition will not affect your contracts or agreements,” the minister said, adding that the aim is to preserve the operational integrity of the mine.

Gold Fields has continued to engage the government, seeking a favorable outcome for all stakeholders. However, tensions remain high, with the Ghana Mine Workers’ Union (GMWU) warning of possible protests if no resolution is found. GMWU General Secretary Abdul-Moomin Gbana stressed the severe economic consequences that could follow any job cuts, saying families and local economies would suffer greatly.

Meanwhile, Deputy CEO of the Minerals Commission, Isaac Tandoh, accused Gold Fields of bypassing proper renewal channels and failing to engage with the Commission effectively. He defended the government’s decision to reject the company’s lease renewal, insisting that business could not continue as usual.

Tandoh also criticized Gold Fields for allegedly using profits generated in Ghana to acquire assets in other countries, like Canada and Chile, instead of reinvesting in the Damang operation. “Last year alone, Tarkwa and Damang mines made over $600 million. How much of that remained in Ghana?” he asked rhetorically.

He added that Ghana’s mining sector no longer lacks the capital or technical capacity it once did. Local companies now have access to significant financing options, and he cited examples like Engineers & Planners and Rockshore, who have secured multimillion-dollar equipment deals.

The government maintains it is not targeting foreign companies but insists that accountability must accompany the privileges they enjoy, such as tax waivers on fuel. Tandoh concluded by accusing Gold Fields of prioritizing stockpile treatment over active mining, thereby extracting value from Ghana without meaningful investment in the mine’s future.

The takeover has sparked significant debate across business and mining circles, but the government insists it is acting in the best interests of Ghana and its workers.