GoldBod to purchase 30% of gold output from large-scale mining companies effective July 1 

The Government of Ghana has reached a landmark agreement with the Ghana Chamber of Mines for the purchase of 30 per cent of the gold output of all large-scale mining companies operating in the country.

The new arrangement, which takes effect on July 1, will be implemented through the Ghana Gold Board (GoldBod) under the joint direction of the Ministry of Finance and the Ministry of Lands and Natural Resources.

In a notice issued on Thursday, June 25, GoldBod explained that the agreement forms part of government's broader strategy to strengthen the country's gold reserves, promote local value addition and reduce the export of unprocessed minerals.

"Under the new agreement and unlike the previous 2022 arrangement between the Bank of Ghana and the Ghana Chamber of Mines, each large-scale mining company will sell 30% of their gold output to the GoldBod locally in Ghana, in doré (raw) form and at a discount of 0.55%," the statement read in part.

According to the arrangement, all purchases will be made in Ghana cedis using the Bank of Ghana reference exchange rate.

The new framework has been designed to support the establishment of at least one locally accredited refinery that meets the standards of the London Bullion Market Association (LBMA) by 2030.

The statement explained that all doré gold purchased by GoldBod would be refined locally before being sent to an LBMA-certified refinery for melting, stamping and eventual delivery to the Bank of Ghana as part of the country's gold reserves.

"The new arrangement has been strategically curated by Government to ensure that Ghana achieves LBMA accreditation for at least one local gold refinery by the year 2030," the notice added.

The initiative is also expected to support the Ghana Accelerated National Reserve Accumulation Programme (GANRAP), which aims to build foreign reserves equivalent to 15 months of import cover by the end of 2028.

It further aligns with President John Dramani Mahama's policy objective of achieving zero raw mineral exports by 2030 through increased local processing and value addition.