The concerned youth of Damang in the Prestea Huni-Valley Municipality of the Western region, have called on the government of Ghana not to renew the mining lease of Goldfield Ghana to continue to mine at Damang site.

In a press conference held at Damang, Emmanuel Afful, the convener of the youth group, has urged government not to renew the mining lease of Goldfields site at Damang.

"Thank you for joining us. We, the youth of the Damang Site Catchment Area, have convened this press conference to express our collective concerns about the operations of Goldfields Ghana Ltd and to urge the Government of Ghana not to re-consider into renewing the
company’s mining lease at Damang", he stated.

He emphasised that, "After 25 years of mining activities in our area, the evidence overwhelmingly shows that the company’s operations have brought limited benefits to the local communities. The current state of affairs raises critical questions about Goldfields’ commitment to community development, operational sustainability, and responsible corporate citizenship".

He worried, "Limited Economic Impact on Local Communities Goldfields Ghana Ltd. initially promised meaningful employment for people within the
Damang catchment area. However, the majority of well-paying jobs continue to go to non-residents, while locals are left with casual, low-paying roles such as security, catering, and cleaning—mainly through subcontractors".

Emmanuel Afful stated that Goldfields has failed to develop their catchment areas.

"Despite decades of operations and the wealth generated from our lands, Goldfields has failed to construct even a single hospital to serve the community. In contrast, mining companies like Newmont Ghana have built hospitals in Kenyasi and Akyem, demonstrating a far greater commitment to community welfare", he said.

He urged the government by stating "Consider awarding future contracts to mining companies with a proven commitment to community development and corporate responsibility. Conduct a thorough review of Goldfields Ghana Ltd.'s track record before renewing any mining lease".

Read the full press statement below;

TOPIC: A CALL FOR CAUTION IN THE RENEWAL OF GOLDFIELDS GHANA
LTD.’S MINING LEASE AT DAMANG

BY THE YOUTH OF THE DAMANG SITE CATCHMENT AREA

Thank you for joining us. We, the youth of the Damang Site Catchment Area, have convened this press conference to express our collective concerns about the operations of Goldfields Ghana Ltd and to urge the Government of Ghana not to re-consider into renewing the
company’s mining lease at Damang.

After 25 years of mining activities in our area, the evidence overwhelmingly shows that the company’s operations have brought limited benefits to the local communities. The current state of affairs raises critical questions about Goldfields’ commitment to community development, operational sustainability, and responsible corporate citizenship.

1. Limited Economic Impact on Local Communities Goldfields Ghana Ltd. initially promised meaningful employment for people within the
Damang catchment area. However, the majority of well-paying jobs continue to go to non-residents, while locals are left with casual, low-paying roles such as security, catering, and cleaning—mainly through subcontractors.

In addition, industrial attachments, graduate training programs, and national service placements have consistently excluded local youth, with such opportunities reportedly going to relatives and associates of company executives.

2. Inadequate Social Infrastructure and Healthcare Development

Despite decades of operations and the wealth generated from our lands, Goldfields has failed to construct even a single hospital to serve the community. In contrast, mining companies like Newmont Ghana have built hospitals in Kenyasi and Akyem, demonstrating a far greater commitment to community welfare.

The company has also neglected its commitments under the 2015 Stability Agreement, which included improving major roads in Huni Valley, Damang, Aboso, and Bompieso.

These roads remain in poor condition, severely affecting daily life and economic activity.

Resettled communities such as New Ampoyo, New Kyekyewere, and Ata ne Ata—displaced since 2002 to make way for mining—still lack basic amenities such as clean water, drainage systems, and proper sanitation. This neglect is deeply disappointing

3. Weakening Community Relations and Transparency

Goldfields' engagement with the local community is very poor, this has made it
difficult for the community to raise issues or track the company’s commitments.

Redundancy exercises continue to disproportionately affect indigenous employees, with no safeguards in place to protect local jobs or prioritize affected families.

4. Operational Realities – A Site in Decline

In the last two years, Damang’s operations have declined significantly:

- The company has been processing only stockpiles, with no active mining activities.

- No exploration has been conducted, and there is no exploration plan in place.

- Contractors have been instructed to demobilize, while others have drastically scaled down operations.

- Goldfields has signaled its intention to close the site in its own annual reports.
Given these facts, what then is the justification for a lease renewal? If the company is winding down its own operations, how does an extension serve the interests of the state and the community?

5. Questionable Practices and Allegations of Bias

There have also been troubling reports of discriminatory practices within departments such as Security and Local Affairs. Youth operating on unused lands were recently removed by the company’s task force under controversial circumstances. Some of these actions appear to have been carried out in ways that reflect favoritism or exclusion, contributing to a growing sense of mistrust.

In addition, the company has been accused of interfering in traditional leadership matters within the catchment area, by recognizing and supporting certain factions over others to
advance its own corporate interests. This interference has intensified chieftaincy tensions and disrupted the harmony of local governance structures, which traditionally play a critical
role in community development and cohesion.

While we acknowledge the importance of maintaining order on company lands, we expect such actions to be guided by transparency, fairness, and a genuine concern for community welfare.

6. Support for Government’s Decision Not to Renew the Lease

We commend the Government of Ghana for its bold and principled decision not to extend the mining lease of Goldfields Ghana Ltd. at Damang, which is set to expire on 18th April 2025. This position reflects the concerns of the people in the catchment area who, for over two decades, have endured mistreatment, exclusion, and underdevelopment despite the immense wealth extracted from their land

We urge the government to remain firm in its resolve and not yield to any pressure from labor unions or other interest groups seeking to reverse this decision.

This decision presents an opportunity to correct historical injustices and to chart a new path that prioritizes transparency, local empowerment, and sustainable
development.

7. Breach of the 2015 Stability Agreement Commitments

In 2015, under the administration of then-President John Mahama and Vice President Kwesi Amissah-Arthur, the Government of Ghana signed a Stability Agreement with Goldfields Ghana Ltd. to support the expansion of the Damang Mine.

As part of this agreement, the
government granted significant tax reductions and fiscal concessions to the company, with the understanding that Goldfields would, in return, invest meaningfully in community development and operational growth.

Key commitments under this agreement included:

- Expansion of mining operations with priority employment for catchment communities – yet operations have scaled down and local employment remains minimal.

- Construction of two kilometers of tiled town roads in Damang, Huni-Valley, Bompieso, and Aboso – only one road was partially completed, and it measures less than one kilometer.

- Improvement of water supply in all catchment communities – work only began in Damang in February 2025, just months before lease expiration.
- Construction of a hospital within the catchment area – instead, the company only renovated the existing Huni-Valley Health Centre.

These broken promises constitute a clear breach of the Stability Agreement and further underscore why Goldfields Ghana Ltd. does not deserve a lease renewal.

8. Promoting Local Ownership and Success Stories

There is growing evidence that Ghanaian companies are capable of successfully managing and expanding mining operations when given the opportunity. A compelling example is the Awaso Bauxite concession, which was previously operated by the Chinese-owned Bosai Minerals Group. Despite years of production, Bosai failed to significantly expand operations
or increase employment.

In 2022, the Government of Ghana transferred the concession to a Ghanaian-owned company, OPCL (IOP). At the time of the takeover, the mine employed 483 workers. As of
the end of February 2025, that number had grown to 1,158 workers, more than doubling employment within two years. Additionally, OPCL has acquired over 3,000 acres of land to establish a bauxite refinery—right here in Ghana.

This success story reinforces our belief that local companies, when supported and properly regulated, can perform just as well—if not better—than foreign multinationals. We therefore urge the government to consider awarding the Damang concession to a capable
Ghanaian entity with a strong local development agenda.

9. A Call for Community Empowerment
As part of any new mining arrangement, we call on the Government of Ghana to allocate a portion of the undeveloped concession lands to the communities in the Damang catchment area for cooperative and community mining purposes.

This initiative will provide sustainable livelihoods for local residents and ensure that they have a direct stake in the resources extracted from their ancestral lands.

Empowering communities through shared ownership and responsible small-scale mining can foster greater accountability, reduce tensions, and promote inclusive growth.

Conclusion and Recommendations
After 25 years of unmet promises and deteriorating relations, we urge the Government of Ghana to:

1. Conduct a thorough review of Goldfields Ghana Ltd.'s track record before renewing any mining lease.

2. Ensure that future mining agreements strictly enforce provisions related to local employment, healthcare, and infrastructure.

3. Prioritize the implementation of the Local Content Act to empower Ghanaian contractors and workers.

4. Consider awarding future contracts to mining companies with a proven commitment to community development and corporate responsibility.

The people of the Damang catchment area deserve better. We are not opposed to mining, but we demand a mining partnership that respects, uplifts, and invests in the communities it affects.

Thank you for your attention.

For further Information, please contact the below spoke persons for Concern Youth of Damang Mine Catchment Area.

✓ Main Convener: Emmanuel Afful -----------0244 952 426

Signature:

✓ Eric K. Garibor------------- 0240 631 937
✓ Fredrick Obeng ------------0242 730 333
✓ Alex k. Aidoo -------------- 0243 278 486
✓ Francis Mensah ----------- 0244 097 589