Stakeholders explore enhancing mining contributions

The International Council on Mining and Metals (ICMM) and the Ghana Chamber of Mines (GCM)  have brought together communities and mineworkers, governments and mining companies, donor agencies and civil society to chart a future where the country’s development will be accelerated by mining.

At the workshop, over 70 stakeholders came together to assess the full economic and social contribution of large-scale gold mining in the country, and seek ways to enhance it.

The Minister for Lands and Natural Resources, Nii Osah Mills, opened the stakeholder workshop by emphasising the importance of mining to the economy -- with the mining sector accounting for nearly 40% of the country’s exports in 2013.

“While mining has been a key driver in our strong economic growth, the industry has even greater potential to improve the wellbeing of all Ghanaians. The best way to make this a reality is for all segments of society to be part of planning a definite future for mining in Ghana and seeing to its implementation.” Minister Mills said.

“Mining therefore has an integral part to play in our economy.” The discussion was based on the findings of an independent study commissioned by ICMM and GCM that presents a life-cycle analysis of seven mining operations representing 71% of the large-scale gold mining sector in Ghana.

The study, by Steward Redqueen and the African Centre for Economic Transformation (ACET), demonstrates that the Ghanaian mining industry currently faces declining grades and lower gold prices, which will affect company revenues, employment, social investment and related service industries over time.

In order to enhance the benefits of mining today as well as to plan for the future, participants at the workshop agreed three priority partnership areas for Ghana: economic development and employment; revenue management; and social investment. These priority areas will be translated into multi-stakeholder action-plans over the coming months.

The study covers production levels, capital investment, tax payments, employment, procurement and community spending over a forward-looking timeframe. It is designed to contribute to more broad-based economic and social development in Ghana through objective projections based on the current gold price.

The analysis, workshop and forthcoming report are part of an ICMM process called Mining: Partnerships for Development -- a toolkit that facilitates collaboration among multiple stakeholders in mining countries. 

It is designed to facilitate an evidence-based discussion about the real challenges facing the mining industry, and serve as a catalyst for stakeholders to collaborate on potential solutions.

The workshop was part of a longer-term planning process that seeks to establish various partnerships to carry the work forward. Since 2011, the Mining: Partnerships for Development toolkit has been applied in Brazil, Chile, Peru, Ghana, Tanzania, Lao PDR and Zambia.