Gold Fields Ghana has emerged as a trailblazer in corporate social responsibility implementation within Ghana’s mining industry, placing people, partnerships, and long term impact at the centre of its operations.
The company’s approach prioritizes social licence over mineral rights, positioning community wellbeing as a core business necessity rather than charity, according to Michael Edem Akafia, President of the Ghana Chamber of Mines and Vice President of Gold Fields West Africa Region.
Speaking during an interaction with fellows of the Africa Extractives Media Fellowship (AEMF), Akafia recounted how Gold Fields has reshaped CSR conception and delivery in Ghana’s mining communities.
“If you don’t live in peace with your community, how do you expect to mine with peace of mind?” Akafia stated, explaining the philosophy driving the company’s approach.
Gold Fields pioneered a transparent formula for community investments, initially contributing one US dollar per ounce of gold produced. This evolved into a percentage of pre-tax profits, moving from 0.5 percent to one percent, and currently stands at 1.5 percent.
The steady increase reflects the company’s commitment to ensuring host community wellbeing beyond mere obligation, according to Akafia.
The Gold Fields Ghana Foundation, established in 2004 as the first foundation set up by a mining company in Ghana, serves as the primary CSR vehicle. The foundation has invested over US$104.3 million in development projects and programmes from 2004 to 2024.
Funding flows automatically into the foundation, with 10 percent of all funds set aside in a legacy fund designed to support communities after mining ends. Professional fund managers manage this fund to ensure development continuity beyond extraction.
Unlike traditional CSR models where corporate offices select projects, Gold Fields uses a bottom up approach. In Tarkwa, a Community Consultative Committee composed of representatives from all stakeholder groups meets quarterly to decide fund allocation.
One cycle may prioritize a hospital, another a school or police station, ensuring projects reflect real community needs rather than corporate assumptions.
When the government proposed imposing a mandatory one percent levy on mining revenues for community investments, Gold Fields and industry players pushed back against the rigidity of the model. The concern centered on CSR becoming transactional rather than engaging deeper with communities.
Akafia explained that experiences from countries like Burkina Faso showed mandatory CSR can discourage meaningful engagement, with companies doing only the bare minimum.
After the government shifted toward community negotiated agreements, Gold Fields welcomed the move, viewing it as more conducive to sustainable development.
The foundation operates with a seven member Board of Trustees comprising general managers of the Tarkwa and Damang mines, the Chief Executive Officer of the Ghana Chamber of Mines, a Gold Fields board representative, Members of Parliament for Tarkwa Nsuaem and Prestea Huni Valley constituencies, and the Executive Vice President and Head of Gold Fields West Africa, who chairs the board.
The foundation focuses on five core areas including education, health, water and sanitation, agriculture, and infrastructure. Since 2005, the scholarship scheme has provided financial support to 2,448 students from host communities pursuing tertiary education.
A graduate trainee programme initiated in 2018 has benefited 171 university graduates from host communities, building a talent pipeline for Gold Fields and the broader mining industry.
Gold Fields’ approach is driven by global Environmental, Social, and Governance (ESG) standards. As a listed multinational company, it competes for reputation rather than market share with peers like Newmont and AngloGold Ashanti on indexes such as the Dow Sustainability Index.
The company is shifting focus from tracking spending amounts to measuring real impact on livelihoods, employment, procurement, and long term resilience in host communities.
In 2019, the foundation completed rehabilitation of the 33 kilometre Tarkwa Damang asphalt road with over US$27.6 million invested. The road has eased transportation, improved safety, and boosted economic activities in communities within Tarkwa Nsuaem and Prestea Huni Valley municipalities.
Visible infrastructure projects including hospitals, schools, and police stations are clearly branded as Gold Fields supported initiatives, standing as reminders of partnership. Communities view these projects as theirs rather than handouts, strengthening trust and cooperation.
In December 2024, the foundation received five awards at the Sustainability Social Impact Awards, including Best Company in Supporting Sports Development for the Tarkwa and Abosso (TNA) Stadium Project, Best Company in Supporting Health Facilities for the Group Legacy Programme in Health, and Best Company in Clean Water Provision.
Akafia described Gold Fields’ CSR model as resting on the principle that when host communities thrive, mining operations thrive. By treating communities as partners, planning for life after mining, and prioritizing trust over compliance, the company is setting standards others are increasingly following.
