Proper clarity must be given on terms of Ghana’s first lithium mining deal – IMANI

Policy think-tank IMANI has reiterated its position on the terms surrounding Ghana's first lithium mining deal, stating that the government must bring proper clarity on the terms of the agreement with Barari DV Limited.

IMANI argues that indications given by the government that the deal is in the best interest of Ghanaians have not properly been spelled out and therefore calls on it to bring further clarity on the matter.

In a brief sighted by GhanaWeb Business and dubbed; ‘Green Economy Brief’, IMANI said its position is that the common expectations of both the government and the company [Barari DV Limited] as to what conditions must exist before refining will be possible must be indicated in some form to enable tracking.

“Whether it is profitability level, raw lithium availability, electricity pricing and availability, tax waivers for complementary imports, or whatever may be required, the text should be clear so that civil society and others can monitor progress towards value addition, which everyone agrees is essential considering Ghana’s history with mining.

“In the same light, 'refining' should be clarified so that the public will know what end-products or intermediaries are in line with the country’s value addition strategy. There are several stages in the refining process of lithium. Value is unfortunately not added uniformly at every stage,” it stated.

IMANI furthered that it is important that the expectations are set out clearly in the agreement to allow for the needed vigilance in such a critical mineral resource.

Meanwhile, the Minister of Lands and Natural Resources, Samuel Abu Jinapor, has justified the granting of a 15-year mining lease to Barari DV Ghana Limited, a subsidiary of Atlantic Lithium Limited, to commence the construction and mining of lithium at Ewoyaa in the Mfantseman Municipality of the Central Region.

The lease incorporates new and enhanced terms intended to ensure that the country benefits from this mineral.

The granting of the mining lease followed the completion of prospecting and feasibility studies by the company, as well as series of negotiations between government and the company.

The lease covered an area of approximately 42.63 square kilometres, and grants the company the exclusive rights to work and produce lithium and associated minerals in the area, in accordance with the mining laws of the country.

See IMANI's brief below:



MA/AE



Watch the latest edition of BizTech below:



Click here to follow the GhanaWeb Business WhatsApp channel

Ghana’s leading digital news platform, GhanaWeb, in conjunction with the Korle-Bu Teaching Hospital, is embarking on an aggressive campaign which is geared towards ensuring that parliament passes comprehensive legislation to guide organ harvesting, organ donation, and organ transplantation in the country.