The government has submitted a revised lithium mining agreement between the Ministry of Lands and Natural Resources and Barari DV Ghana Limited to Parliament for approval.

The updated agreement covers the extraction of lithium and other associated minerals in the Central Region.

It follows a request by Barari DV Ghana Limited to review the lease terms due to a significant drop in global lithium prices, which has affected the project’s viability.

Speaking to the media on November 11, 2025, the Minister of Lands and Natural Resources, Emmanuel Armah-Kofi Buah, said the revised deal is expected to create employment opportunities for the youth.

He expressed concern over the sharp decline in global lithium prices, from about $3,000 per tonne at the time of the original agreement to around $630 per tonne, stressing that the downturn has rendered many lithium projects around the world unprofitable.

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“The proponents of the project wrote to say there was no way they could proceed with the old agreement. Almost every lithium project around the world has been halted because profitability is no longer feasible,” he explained.

Kofi-Buah further stated that the government decided to renegotiate the royalty terms to sustain the project and support residents in the affected communities.

“Initially, the royalty rate was increased from 5 percent to 10 percent due to high prices. Now that prices have dropped, we’ve agreed to begin at 5 percent and revert to 10 percent when prices recover,” he added.

SP/MA

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