US$10 billion invested in mining

Minister for Lands and Natural Resources, Collins Dauda has disclosed that an estimated total of US$10 billion has been invested in the mineral and mining sector from 1980 to 2009, which is the leading export sector.

“Since 1991 the mining sector has been the single largest contributor to total merchandise exports, except in 2004, when it was overtaken by the cocoa sector.

Mining however became the leader again from 2005 and has since provided an average of about 42 percent to the total merchandise exports,” he said.

The major minerals currently being mined in commercial quantities in Ghana include gold, diamond, bauxite and manganese.

Mr. Dauda who made these known at the opening of the 8th West African Mining and Power Conference and Exhibition (WAMPOC) in Accra explained that the sector contributes about seven percent of the country’s total corporate tax earnings, 12 percent of government revenue and 5.5 percent of Gross Domestic Product (GDP), whereas some 24,000 people are employed by the large scale sector, comprising eight companies producing gold and one each producing bauxite and manganese.

More than 800 registered small-scale mining groups and companies are also engaged in the mining of gold, diamonds and industrial minerals with an estimated 500,000 jobs in the small-scale sector.

The mining sector has implemented various socio-economic programmes as part of its corporate social responsibility including provision of portable water, electricity, health care, education, roads, and some alternative livelihood projects.

“In 2009, alone the producing members of the Chamber of Mines spent nine million as socio-economic contribution to host communities.

“If these projects are properly coordinated within the development programmes of the District/Municipal Assemblies, the net benefits could be greatly enhanced.” he said.

Mr. Dauda indicated that the key role of mining unsustainable development includes a contribution to economic growth through investment injection, employment and personal income generation, government revenue in terms of royalties, taxes, property rates and foreign exchange generation.

Mining also provides mineral-based products for the use of society as well as building blocks of all human activities, ranging from construction materials to inputs for manufacturing of automobiles and other products, he stated.

The two-day conference under the theme: “Promoting sustainable development through mineral resource development,” which brought industry operators, policy makers and stakeholders from the sub region provided the platform for extensive discussions on Africa's mining and energy sectors within a Ghanaian setting , said Joyce Aryee, Chief Executive Officer for Ghana Chamber of Mines.

The conference, powered by Ghana Chamber of Mines is also being endorsed by the Ministries of Energy, and the Lands and Natural Resources.