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Damang Gold Mine Ltd has sold 100 per cent of its first gold output, weighing approximately 110 kilogrammes, to the Ghana Gold Board (GoldBod) to support the accumulation of foreign reserves.
The gold will be assayed and valued by the GoldBod on behalf of the Bank of Ghana, then refined and added to the central bank’s gold holdings.
The Chief Executive Officer (CEO) of the GoldBod, Sammy Gyamfi, received a team from Damang Gold Mine led by the Chief Executive Officer, Ibrahim Mahama, at the GoldBod Assay Laboratory in Accra for the transaction last Thursday.
In a subsequent press briefing, Mr Gyamfi called for a national conversation on the role of large-scale mining companies in strengthening the country’s gold reserves.
He said that although Ghana remained richly endowed with gold, the country had long struggled to fully benefit from the exploitation of the precious mineral.
He, therefore, stressed that the government’s commitment to resetting the minerals and mining sector was beginning to yield results.
Mr Gyamfi said the decision by Damang Gold Mine Ltd, owned by businessman Ibrahim Mahama, to sell 100 per cent of its first gold output to GoldBod was a wake-up call to the industry.
“This bold and patriotic step by Damang Gold Mine must challenge us as a nation to begin a serious conversation about the need for large-scale mining companies to contribute meaningfully to Ghana’s gold reserve accumulation,” Mr Gyamfi said.
He said having Ghanaians at the helm of the country’s minerals and mining sector was critical to maximising national benefits, promoting local value retention, and driving economic transformation.
The GoldBod CEO expressed concern about the relatively low contribution of large-scale mining companies to Ghana’s foreign reserve accumulation efforts.
He said while artisanal and small-scale miners (ASMs) continued to play a significant role in gold supply, contributing an estimated 104 metric tonnes, generating approximately $10 billion, the output from large-scale mining companies directed toward national reserves remained comparatively low.
“It is imperative that we reassess the current dynamics.
The disparity between ASM contributions and those of large-scale mining firms raises important questions about how we can better align our extractive sector with national economic priorities,” he added.
Mr Gyamfi commended Mr Mahama and his team for setting a strong example and urged other large-scale mining companies to align with the government’s vision by increasing local sales and contributing more meaningfully to Ghana’s economic development.
He described the move as essential for the successful implementation of the Ghana Accelerated National Reserve Accumulation Programme (GANRAP) launched by the government and approved by Parliament.
The Head of Gold Management at the BoG, Paul Bleboo, emphasised that the gold supplied would play a critical role in boosting the country’s central bank reserves.
He said increased gold holdings would enhance the central bank’s capacity to support the national currency and cushion it against external shocks.
“We know that this gold is going to go a long way in boosting our gold holdings at the Bank of Ghana and ensuring currency stability,” he said.
The lawyer of Damang Gold Mine, Bobby Banson, emphasised the role of local participation in strengthening the country’s economy and building national reserves.
He said that although the acquisition of the mine was initially planned for 2024, unforeseen challenges delayed the process; however, he stressed that the current milestone marked a significant step forward for Ghana’s mining sector.
“This is the beginning of what we hope will serve as an example to other miners in this country.
The Ghana we want to build can be achieved in our own small ways by contributing to economic stability and strengthening our reserves,” Mr Banson said.
