Ghana picks E&P to run Damang gold mine

Ghana has awarded the Damang gold mine to local mining services company Engineers & Planners Ltd (E&P), says Reuters. Instead of an automatic extension, Ghana’s authorities invited local bids for what could become a $1bn revival of the asset. The Minerals Commission recommended E&P as the preferred bidder following a competitive tender process that began after Ghana declined to renew Gold Fields’ operating lease last year.

E&P demonstrated access to $505m in financing, meeting the government’s minimum funding threshold of $500m, and scored well on technical capability, equipment, safety and local content, said Reuters, citing the minister’s statement. Johannesburg-based Gold Fields, which operated Damang for more than two decades, had flagged the mine’s limited remaining life and lack of economic reserves when it initially indicated it might sell the asset.

The company said last month it was working to ensure an orderly handover to an incoming operator. Ghana’s move reflects a broader effort to deepen local ownership across its mining sector. According to the authorities, the tender was designed to keep Damang operational and protect employment.