Confusion Over Bogoso Prestea Mining Lease

The controversy surrounding the revocation of FGR/Blue Gold’s Bogoso Prestea mining lease has taken a new twist, with industry stakeholders raising concerns about the handling of the matter by the Ministry of Lands and Natural Resources and the Minerals Commission.

The revocation, which was initiated by former Lands Minister Samuel Abu Jinapor in September 3, 2023 has left the mine in a state of uncertainty.

Sources within the mining sector report that the underground mine is severely flooded, posing a major risk to future operations.

Additionally, illegal miners have taken advantage of the inactivity, allegedly accessing underground tunnels and conducting unauthorised blasting, further endangering the mine’s integrity.

Concerns are mounting over the role of the Interim Management Committee (IMC) set up by the Minerals Commission to oversee the mine, following the lease revocation. Critics argue that the IMC has done little to maintain the mine, allowing it to deteriorate while illegal operations flourish.

Reports indicate that some members of the IMC, along with certain employees are complicit in these activities, mirroring similar incidents at the Obuasi Mine, where illegal mining led to fatalities.

Adding to the controversy, Heath Goldfields, another company has reportedly been given access to the Bogoso Prestea concessions despite no official transfer of the lease.

This development has sparked outrage, as FGR/Blue Gold continues to challenge the legality of the revocation in both local and international courts. Observers question whether authorities are disregarding the judicial process by allowing Heath Goldfields to operate on the site.

The situation has been further complicated by contradictory directives from the ministry. In a letter dated November 12, 2024, the minister approved the grant of the lease to Heath Goldfields, only to issue another directive on November 20, 2024, suspending all processes related to the mine’s transfer.

This apparent indecisiveness has drawn criticism, with stakeholders labeling the move as “bizarre” and “unethical” for an office of such high authority.

The mining community is calling for urgent government intervention to prevent the collapse of the Bogoso Prestea Mine. Industry experts argue that any investor taking over the mine would need to inject approximately $150 million to settle existing debts—an amount they say could be used to develop a new mine altogether. Given that Blue Gold has already made financial commitments to the project, many are questioning why the government is allowing such uncertainty to persist.

As the standoff continues, all eyes are on the government and the judiciary to determine the fate of the Bogoso Prestea Mine, a key asset in Ghana’s mining sector. The need for transparency and decisive action has never been more urgent.

The post Confusion Over Bogoso Prestea Mining Lease appeared first on The Ghanaian Chronicle.

Read Full Story