The Artisanal and Small Scale Mining Africa-Network (ASMAN) says the Ghanaian gold industry can only spring to life if the government tweaks the approach to mining deals and operations in the country.

According to the Director of Policy and Research of the Network, Edward Kwasi Akuoko,mining giants which have invested in the gold sector over the years have ripped-off the sector as a result of the bad deals entered into between government and the various mining firms.

“Now so many countries are interested in resource exploitation so the demand is going high; a reason why Ghana has to take advantage of the trends now. For now what we have to do to in the mining sector to fit into the “Ghana Beyond Aid” agenda is to tender the mining operations. By this way you can be sure of getting the best out of the investor, because it’ll be purely base on competition.It’s interesting to know that now the Oil sector has started this and that is why you see the Oil sector improving compared to other countries” he told host Kwaku Owusu Adjei on Anopa Kasapa on Kasapa 102.5 FM.

President Nana Akufo-Addo has stated that the state of Communities where mining companies in Ghana have operated in for decades such as Obuasi, Tarkwa and Akwatia is a disgrace to the country as well as Mining companies, and it ought to be addressed as a matter of urgency.

Addressing the 12th West African Mining and Power Conference in partnership with the Ghana Chamber of Mines under the theme: “A Responsible and Sustainable Mining Industry; A Partner for National Development”, Akufo-Addo questioned why the major mining communities in Ghana do not in any way reflect the several millions of dollars that mining companies have made as a result of their mining operations there.

“Why is Obuasi not the most beautiful city in Ghana or the world if it hosts the richest Gold mine? Why does Tarkwa and Prestea not look like the Golden towns they are? Why does Akwatia’s appearance not reflect anything about the diamonds that have been taken from the soil all these years,” the President asked.

To this end the President charged the Mining industry players gathered to join hands with government through provisions in the Minerals Development Fund Act, (2016) Act 912, to develop effective strategies to help transform mining communities.
But Mr Akuoko believes the mining communities specifically Obuasi and Akwatia have been lagging behind in real development because government was not strong in their terms of engagement with the mining firms which ultimately affected the local communities vis a vis its development.
“The mining companies were very smart because they had an upperhand in such deals. And what they do was to bid for stability agreement, which allows them to mine for sometimes 20 years before they can declare their profit and start certain responsibilities to government. This is their modus operandi and they can do this for so many years so that their operations is kept out of government’s eye. Sometimes they can mine for 50 years and still insists they have no profits. However, there were no mechanism for government to determine that and this has gone on for a hundred years because of our poverty level. But this is the time for us to make key changes in the sector and tell them until they offer us a better deal we won’t give it to you. We shouldn’t be in a rush at all, if they’re not ready to give us a better deal, just let them go. So many companies are looking for resource exploitation and so there’s high demand for the resource, hence government must be smart, reverse the trend and also build the high standards required in the sector.”