Ahafo Chiefs Finally Endorse $850M Newmont Project

All is set for much-awaited US$850 million Newmont Ahafo North Project to finally takeoff, peacefully, after traditional rulers, youth and other key stakeholders have given their blessings to the project.

This was after Government, through Ministry of Lands and Natural Resources secured staggering GH₵45 million compensation package for the aggrieved residents and parties in the catchment areas of the project, for their resettlement.

The agreement betweenthe parties, namely; Newmont Ghana Limited, Ahafo traditional authorities as well as youth groupsfrom the affected communities was reached, following a meeting last Monday, July 18, 2022 in Accra, chaired by Deputy Minister of Lands, George MirekuDuker, on behalf of the sector minister.

Speaking on behalf of the Chiefs, the Yamfohene and President of Ahafo Regional House of Chiefs, Nana Ansah AduBaah II, commended the government and the Lands Ministry for a good job – by engaging all stakeholders towards the success of the project.

The indigenes have locked horns with Newmont Ghana after several efforts by the multi-national mining firm to resettle some residents in the area to pave the way for the project has been met with opposition amidst series of agitations.

The agitation by the residents led to work on the project being stalled, a situation which threatened the company’s investment plans, to expand its operations in the country.

This, among others, forced a government delegation led by MrMirekuDuker to visit the area in March this year, where he appealed to the chiefs and people to consider the interest of their community and that of the country and give their blessings to the $800 million Ahafo project.

He said the project had the backing of Asantehene, Otumfuo Osei Tutu and President Nana Addo Dankwa Akufo-Addo, for which reason, it was important for the traditional authorities at Kenyasi to accept it.

The deputy minister allayed fears that the community would not benefit from the project, explaining that the impact on the community would be enormous.

Meanwhile, The Anchor is informed; an official ground breaking ceremony of the project is expected to take place soon.

Background

Newmont’s Ahafo North project is located in the Tano North municipality in the Ahafo Region. The five host communities are Yamfo, Susunso, Afrisipakrom, Adrobaa and Terchire.

The project, which comprises four open-pit mines and the construction of a stand-alone mill, is located approximately 30 kilometres north of the company’s existing Ahafo South operations.

Production from the mine is expected to average 275,000 to 325,000 gold ounces with all-in sustaining costs of $600 to $700 per ounce for the first five years.

The Projected capital costs are estimated to be $800 million, with construction expected to be complete in the second half of 2023.

Additionally, the project is expected to create an estimated 1,800 jobs at the peak of construction with more than 550 permanent jobs created once the mine is operational.

A key aspect of the Ahafo North project’s workforce planning will be a target to achieve gender parity in the workforce when operations begin.

Source: Anchorghana