Ghana’s Gold Refinery Bounces Back! …Akufo-Addo To Commission In August

Barring any last minute changes, Ghana will be commissioning a newly-constructed gold refinery, called Royal Gold Ghana Limited Refinery; in two months.

The edifice, located on the premises of the Precious Minerals Marketing Company (PMMC), in Accra, is slated for commissioning by President Akufo-Addo in August 2022.

It is expected to refine some 400 kilogrammes of gold daily.

For now, government has made it a policy to, at least, refine 30 per cent of all gold produced in Ghana.

It will become the third gold refinery in Ghana in addition to the already two private refineries currently in operation: the Gold Coast Refinery and the Sahara Royal Gold Refinery.

The scheduled August event follows government’s affirmation in October 2019 that it was committed to establishing a state-owned gold refinery through the PMMC.

But ahead of the grand opening, a Deputy Lands and Natural Resources Minister, George MirekuDuker, has paid a day’s working visit to the refinery for inspection.

The Deputy Minister who is in-charge of Mines, was accompanied on the inspection tour by the Managing Director (MD) of PMMC, Nana Akwasi Awuah,as well as, officials from the Ministry, the Commission and the National Chamber of Mines.

The Tuesday, June 28 inspection tour took the team to the various units including the Refinery Section, Assay Laboratory, Control Room, X ‘Ray Room, the Scanners and the Electrolysis Machine.

According to officials, the yet-to-be commissioned refinery has undergone a test run andready to start full operation.

The refinery will beproducing gold bullion bars and would be made up of world-class equipment, using the London Bullion Market Association (LBMA) standards.

MrDuker said the government was working on getting a certification from the LBMA and an alliance with the International Hallmarking Convention (IHC) to certify gold refined in Ghana.

“It will create employment in the natural resource economy and propel us as one of the leading producers and gold refineries in Africa,” he added.

But Ghana has to begin refining her gold locally before the certification will be given.

Ghana is currently the leading gold producer in Africa and sixth in the world – producing about 4.2 million ounces annually since 2018 yet it refines her large amount of it gold abroad.

This means that the gold produced in the country is taken to other countries for refinery simply because Ghana did not have such an edifice, making government lose huge revenue to these countries.

It also did not promote the quest to create descent employment avenues for the populace especially the youth.

The commissioning of the Royal Gold Ghana Limited Refinery, will thus offer employment opportunities to the youth.

MrDuker who is also the Member of Parliament (MP) for the Tarkwa Nsuaem constituency, believes refining gold locally, would expand the Ghanaian economy and create jobs for the teeming youth.

The Deputy Minister said when the refinery – which has a capacity of refining 400 kilogrammes of refined 24 karat gold per day is certified – will complement Ghana’s position as a leading producer and gold refinery in the world.

“It is good news for us as a country to have a refinery of that stature. It’s going to inject more finance into the economy”, he said.

He said the machines and equipment installed at the refinery met international standards and would greatly put Ghana gold on the international map when it became operational.

MD for PMMC Nana Akwasi Awuah, said the reduction of the 3% withholding tax on gold processed locally to 1.5 per cent in January had helped increase the gold channeled through the Company from 100 kilogrammes in 2020 to 1,900 kilogrammes as of May, this year.

The agreement, signed between Ghana and Rosy Royal Limited of India, indicate a 20 per cent equity share for Ghana in the gold refined locally, while the Indian investor, which invested US$25 million in the construction of the refinery, gets 80 per cent.

Under Ghana’s first President Osagyefo Kwame Nkrumah in 1965, Ghana had a gold refinery built in Tarkwa in Tarkwa in the Western Region.

This refinery has been long in coming after successive government made the effort to have it in place without success.

Source: theanchorghana