Damang Gold Mine: A Product of Continuity in Government for National Development
The writer
During the commissioning of the Damang Gold Mine, it was heartwarming to hear Mr. Ibrahim Mahama recount the role of the government of Nana Addo Dankwa Akufo-Addo, under whose tenure the initial steps towards taking control of the mine were set in motion.
It was, in fact, on 12th March 2024 that the then Lands Minister, Samuel Abu Jinapor, granted Engineers and Planners a “no objection” letter to explore a takeover pathway, effectively opening the door for everything that followed. This singular act of statesmanship by the previous administration deserves recognition.
Indeed, it is a testament to the fact that government is a continuum, regardless of which party is in power. The baton was passed, and the race continued.
For nearly three decades, Gold Fields operated the Damang Mine under a 30-year lease, and over that period the mine produced more than four million ounces of gold, cementing its place as a key contributor to Ghana’s mining output.
When that lease expired in April 2025, the government granted a one-year extension to allow for a structured transition before the final handover, choosing not simply to renew but to open the concession to competitive tender in pursuit of deeper local ownership. That decision was bold and right.
Equal commendation must go to the current government of President John Dramani Mahama for overseeing a smooth, transparent and competitive bidding process that upheld the integrity of Ghana’s mineral governance. Engineers and Planners won the Damang mining lease through a competitive tender process that saw the company score 93.15 per cent in the Minerals Commission’s technical and commercial evaluation, outperforming three rivals, and secured US$505 million in financing, surpassing the government’s minimum capital threshold of US$500 million. This was not a gift. It was earned.
The assumption of control of the Damang Gold Mine by Engineers and Planners, a wholly Ghanaian-owned enterprise, therefore reflects the full capabilities of Ghanaian businesses and should be commended by all Ghanaians.
Gold has, from time immemorial, been the bedrock of the Ghanaian economy. Despite the mine being in a mature phase of its production cycle, the asset generated US$138 million in adjusted free cash flow in 2024 alone, a 235 per cent increase, supported by elevated global gold prices.
The potential locked within this single mine is enormous, with industry estimates suggesting that revitalising Damang to its full production potential of up to 150,000 ounces annually will require between US$600 million and US$1 billion in capital investment.
Issues of this magnitude must be viewed through the lens of national development and must never be reduced to political point-scoring.
It is a great achievement for Engineers and Planners, under the leadership of Mr. Ibrahim Mahama, to have brought finality to a process which commenced over two decades ago.
E&P has been engaged in mining services at the Damang site since 2002, initially as a subcontractor before becoming a key operator from 2016, giving the company unrivalled knowledge of the mine’s geology, workforce and operational systems. That history of commitment laid the foundation for this historic moment.
The handover marks the first time a major large-scale gold mine in Ghana has moved to full indigenous ownership, and the significance of that milestone cannot be overstated. Mr. Mahama has already outlined plans for roads, healthcare facilities, sports infrastructure and even an airport for the Damang enclave, and has pledged to reinvest all financial returns from the mine directly into its host communities. E&P currently employs more than 4,000 workers across its operations at Tarkwa and Damang combined, meaning the social stakes are real and immediate.
I commend Mr. Ibrahim Mahama and Engineers and Planners for this daring move to take control of this precious mineral resource, which carries far-reaching consequences for our country.
I commend the Akufo-Addo administration for planting the seed that made it possible, and the Mahama administration for nurturing it to fruition with transparency and purpose. Ghana wins when we build on what came before.
Source: Mame Yaa Gyamera Aboagye (Former Deputy Communications Director, NPP)