Gov't Orders Ghana Manganese Company To Halt Operations

Government has ordered Ghana Manganese Company in Tarkwa in the Western Region to stop mining operations by February 15, 2019.

The Minister of Lands and Natural Resources, Kwaku Asomah-Cheremeh in a letter sighted by Citi News said his outfit was left with no option” but issue the directive to allow for a thorough and uninterrupted technical and financial audit of the company.

“The cessation of your operations would, among others, ensure that the ethical and financial audit are undertaken without any challenges.”

In January 2019, the Ministry commissioned a team to audit the company for about six months.

Sources indicated that the ministry had concerns over a lack of transparency from the company.

Some points of concern included the prices of manganese, the grade of ore and royalties expected to be paid to the state.

The audit was also meant to scrutinize compliance with local content laws and a loan agreement.

In July 2018, then-Minister of Lands and Natural Resources, John-Peter Amewu, indicated that the government was not going to renew the mining lease license of the company.

This was because of concerns the company was flouting its mining agreement.

The company had allegedly failed to involve the government in the pricing of manganese ore that was being sold to a firm in China.

Mr Amewu had said the company’s actions risked losing Ghana millions of dollars in revenue.

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By: citinewsroom.com | Ghana