Minerals Right Not Gift but Privilege Conferred on Terms – MinCom to NAML

Friday, October 30, 2026 Login Top StoriesNewsGeneral NewsEducationHealthOpinionsEconomicsEconomyFinanceBankingInsurancePensionSecurities/MarketsBusinessAgribusinessVaultz BusinessExtractives/EnergyReal EstateWorldAfricaAmericaEuropeUKUSAAsiaAround the GlobeInnovationTechnologyWheelsEntertainment20MOBPL2DNewJobs & ScholarshipsJob VacanciesScholarships No Result View All Result Top StoriesNewsGeneral NewsEducationHealthOpinionsEconomicsEconomyFinanceBankingInsurancePensionSecurities/MarketsBusinessAgribusinessVaultz BusinessExtractives/EnergyReal EstateWorldAfricaAmericaEuropeUKUSAAsiaAround the GlobeInnovationTechnologyWheelsEntertainment20MOBPL2DNewJobs & ScholarshipsJob VacanciesScholarships No Result View All Result No Result View All Result in Extractives/Energy Minerals Right Not Gift but Privilege Conferred on Terms – MinCom to NAMLby Bless Banir Yaraye October 30, 2026 Reading Time: 5 mins read Add as Preferred on Google Mr. Isaac Tandoh, Chief Executive Officer of the Minerals Commission

The Minerals Commission has firmly rejected allegations of bad faith made by Northern Ashanti Mines Limited following the statutory termination of its mining leases and prospecting rights.

Addressing media representatives during a press briefing at its head office in Accra, the sector regulator asserted that state-granted mineral concessions carry legally binding statutory obligations that must be respected by all entities operating in the country.

The regulatory body clarified that no entity, regardless of whether it operates as an indigenous enterprise or a foreign commercial enterprise, holds an absolute entitlement to hoard state-owned natural resources without fulfilling mandatory statutory payments and operational mandates.

“A mineral right is not a gift, and it is not an inheritance! It is a privilege conferred by the State on terms, and those terms must be honoured! No company, whether indigenous or foreign may hold the resources of the Republic, withhold what is owed to the people of Ghana, and then turn around to cry foul when the law takes its course.”

Expanding on its official position, the Minerals Commission emphasized that the Minister for Lands and Natural Resources operated within full statutory jurisdiction when approving the cancellation of the company’s operating licences.

The regulatory agency noted that the official administrative record demonstrates a clear history of persistent defaults by the mining firm, matched by extensive regulatory forbearance extended by state authorities over several years.

While Northern Ashanti Mines Limited, formerly operating under the corporate name Owere Mines, acquired a lease covering 595 cadastral blocks in January 2010, its ongoing non-compliance and multi-million-dollar financial defaults triggered the necessary state intervention to recover public wealth and uphold environmental governance standard protocols.

Ghana’s natural resource governance framework functions on the principle that national mineral wealth remains vested in the President on behalf of, and in trust for, the Ghanaian people.

The Minerals and Mining Act, 2006 (Act 703) mandates that the exploitation of subsoil resources is conditional upon strict regulatory adherence, including the prompt payment of annual mineral right fees, ground rents, and statutory royalties.

When mining entities accumulate substantial fiscal arrears such as the over US$8.3 million debt accrued by Northern Ashanti Mines Limited between 2022 and 2025 the State’s sovereign ownership rights are severely compromised.

Allowing mineral rights holders to hold vast concessions in prolonged default deprives the national treasury of vital non-tax revenue and prevents productive socio-economic development within local host communities.

Regulatory institutions are tasked with ensuring that concession agreements are not treated as permanent corporate entitlements or speculative private property.

When default persists despite formal notifications and statutory grace periods, enforcement mechanisms must be activated to maintain regulatory credibility across the extractive industry.

The Commission’s decision to pursue termination reflects a broader policy commitment to clear the mining registry of non-performing leases, ensuring that active mineral concessions generate tangible fiscal benefits for the country.

The necessity of state intervention in cases of operational latency and fiscal delinquency is grounded in the broader imperative to optimize natural resource utilization.

Holding 595 cadastral blocks without active, viable commercial production or mandatory statutory payments locks up significant geographical areas that could otherwise be allocated to responsible investors capable of generating employment, tax revenues, and local infrastructure.

Regulators point out that corporate pledges of massive capital investments, such as reported multi-million-dollar project funding claims, cannot substitute for basic statutory compliance and prompt settlement of official fee schedules.

By taking decisive administrative action, the Minerals Commission underscores that statutory forbearance has definitive limits.

The State’s firm stance serves as a structural deterrent against corporate negligence across the mining sector, demonstrating that regulatory oversight will be enforced consistently.

Protecting public wealth requires rigorous supervision, where operational licences remain contingent upon continuous, verified adherence to environmental regulations, financial liabilities, and sector-wide legislative frameworks.

In defending its institutional mandate, the Minerals Commission reiterated that every step of the lease revocation process adhered strictly to statutory provisions under Act 703.

The authority countered accusations of arbitrariness by documenting the formal warning notices, opportunities for regularization, and inter-institutional notifications that preceded the Minister’s ultimate executive cancellation order.

 While the affected company has sought judicial review and initiated litigation against state bodies, the regulator maintains that public media campaigns cannot substitute for legal compliance or extinguish accrued financial debts owed to the public purse.

Following the formal termination of the operating licences, all underlying mineral rights have automatically reverted to the State, which remains the lawful custodian of the mineral wealth.

State authorities are taking steps to secure the underlying concession areas from unlawful occupation, informal encroachment, or illegal mining activities while pursuing all legal avenues to recover the outstanding financial liabilities owed by the company.

The enforcement action reiterates a clear message to all extractive industry stakeholders: access to Ghana’s rich mineral reserves remains a conditional statutory privilege subject to strict legal oversight, not an unassailable corporate gift.

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