Ministers on AGC board withdrawn

President John Agyekum Kufuor on Monday said Ministers of State on the board of Ashanti Goldfields Company (AGC) were removed to enable the company manage its operations professionally and efficiently.

This would ensure there was no political influence as well as interference in activities of the company, the President told Sir John Craven, Chairman of Lonmin Plc, majority shareholders in AGC, who led a three-man delegation to pay a courtesy call on him at the State House in Accra.

President Kufuor said the government would remain open-minded in ensuring that its interest and the 19 per cent shares in AGC were enhanced, adding "for us gold remains the cornerstone of the economy and nothing would be done to subvert the gold market''.

President Kufuor said with the government's commitment to promoting the private sector as the engine of economic growth, it was still appreciative of the strategic partnership between the government and AGC.

Kwaku Afriyie, Minister of Lands, Forestry and Mines, said a memorandum to review the Mines and Mining Law, promulgated in 1996 has been prepared and would soon be presented to cabinet for consideration.

Sir John expressed his appreciation for the government's desire to enhance the operations of AGC and said Lonmin's interest in AGC has not waned despite its 550 million dollars investment in platinum in South Africa.

He said Lonmin had no ill motive when it reduced its shares in commercial ventures and in agriculture and increased its interests in mining especially in AGC, Zimbabwe and South Africa.

Lonmin did this because of the potentials in the mining industry, Sir John said.

Sam Jonah, Chief Executive Officer of AGC and a Director of Lonmin, said with the government's commitment to transparency, support for the private sector and its determination to work with AGC, the company would reciprocate by working in partnership with the government to ensure maximum value from AGC.