South African gold miner becomes first major casualty of Ghana’s tighter resource control

EXECUTIVE SUMMARY –

Gold Fields will hand over ownership and operatorship of the Damang mine to the Government of Ghana on April 18, 2026, after authorities declined to renew its mining lease and opted for state control following a one-year transition period. The move signals Ghana’s stronger push for national ownership of mineral assets, though the mine’s long-term operator remains undecided pending government selection and possible parliamentary approval.

Keywords: Gold Fields, Ghana, Damang mine, state ownership, mining lease expiry, resource nationalism, gold sector, transition, parliamentary approval, mineral wealth.

Solomon Ekanem

20 February 2026 06:27 AM

South Africa’s Gold Fields will formally relinquish ownership and operatorship of the Damang mine on April 18, 2026, marking a significant turning point in Ghana’s evolving strategy to increase national control over its mineral wealth.o

South African gold miner becomes first major casualty of Ghana’s tighter resource control

• Gold Fields will officially hand over the Damang mine to Ghanaian authorities on April 18, 2026.
• The government decided not to renew Gold Fields’ mining lease, opting instead for state ownership after its expiration in April 2025.
• A one-year extension was granted for a smooth transition, with a transition team coordinating the handover since July 2025.
• Future long-term operatorship of the mine is still undecided and will require government selection and potentially parliamentary approval.

The decision follows the government’s move not to renew the mine’s lease after its expiration in April 2025. Instead, authorities opted for the asset to revert to state ownership, in line with Ghana’s mining laws, which provide the government full discretion over the future of mining assets once leases expire.

The Damang mine is best known as one of Ghana’s major open-pit gold mines and a long-standing contributor to the country’s position as Africa’s leading gold producer. Operated by South Africa’s Gold Fields since the 1990s, it has produced millions of ounces of gold and played a key role in Ghana’s mining economy.

Located in Ghana’s Western Region, Damang has supported export revenues, jobs, and foreign investment, making it one of the country’s important industrial gold operations.

Gold Fields was granted a 12-month extension to continue operations during the transition period, a measure the company said was designed to ensure a “safe and seamless” handover while authorities prepared to assume control.

Transition team prepares to assume control

Speaking during a media roundtable on the company’s 2025 full-year results, CEO Mike Fraser confirmed that Gold Fields had applied to renew the lease but accepted the government’s decision after it indicated a preference for Ghanaian ownership.

“Our lease expired in April 2025. We applied for an extension, but the government indicated a preference for the asset to transition to Ghanaian ownership, which we accepted and thought made sense,” Fraser said.

He added that a ministerially appointed transition team has been working alongside Gold Fields’ operational management since July 2025 to coordinate the handover. The team is expected to assume interim leadership and operatorship of the mine beginning April 19, 2026.

However, the company said it has not received formal communication regarding the appointment of a long-term operator. Any future operator would need to be selected by the government and granted a new mining lease, a process that could require parliamentary approval.

The Damang mine has been a longstanding component of Gold Fields’ West African portfolio, contributing to its regional production alongside other key assets.

Its transfer to state control highlights Ghana’s growing willingness to assert greater authority over its gold sector, as the country seeks to maximize national benefit from its position as Africa’s leading gold producer.

Gold Fields’ exit makes it the first major foreign miner in recent years to relinquish a producing asset following lease expiry, underscoring a broader shift in resource governance that could reshape the operating landscape for international mining firms in Ghana.

SOURCE: https://africa.businessinsider.com/local/markets/south-african-gold-miner-becomes-first-major-casualty-of-ghanas-tighter-resource/ewn2lpn

See also: MADARAKA: The Poor Shall Inherit the Earth, Including Its Natural Resources