The Minerals Commission has pushed back firmly against allegations of bias in the award of the Damang Mining Lease to Engineers and Planners Limited (E&P), describing the tender process as transparent, competitive, and fully grounded in Ghana’s mining regulations.
The lease award, announced on April 7, 2026 by Lands and Natural Resources Minister Emmanuel Armah-Kofi Buah, has drawn public scrutiny given that E&P was founded by Ibrahim Mahama, brother of President John Dramani Mahama. The Commission moved swiftly to address those concerns.
Four companies submitted bids ahead of the March 31, 2026 deadline: Vortex Resources Mining Group, Engineers and Planners Ltd, Heath Goldfields Ltd, and Maripoma Mining Services Ltd. All submissions were evaluated against mandatory requirements outlined in Phase 1 of the Notice, including proof of a wholly owned Ghanaian-registered company, valid tax, Social Security and National Insurance Trust (SSNIT), and Value Added Tax (VAT) clearance certificates, certificate of incorporation, and payment of a GH¢100,000 application fee. Following verification, only Engineers and Planners Ltd and Heath Goldfields Ltd met the mandatory requirements.
Heath Goldfields Ltd subsequently failed to attain the required technical score, leaving E&P as the preferred bidder.
Commission Cites Regulatory Framework
Josef Iroko, Acting Director of Legal Affairs at the Minerals Commission, told Citi News on April 7 that the evaluation committee operated without any external influence. “The committee went into this work without regard to anybody’s last name,” he said. “The committee was guided by the Tender Notice Guidelines published by the minister as per regulation 258 of the Minerals and Mining Licensing Regulation 2012, LI 2176.”
Iroko added that the criteria were publicly available from the outset. “The minister published the notice and told the whole world as to the criteria that any bidder must meet,” he said, underscoring that the process left no room for subjective decision-making.
E&P’s proposal was the only one that fully satisfied the financial requirements, specifically demonstrating access to financing that met the US$500 million minimum threshold set by the government. The evaluation also covered technical expertise, equipment capacity, safety records, and local content commitments.
Mine Transition Underway
The award comes ten days before Gold Fields is due to formally transfer operational control of the mine. The South African miner has confirmed the handover will proceed as scheduled on April 18, 2026, with a government-appointed transition team set to assume interim control pending formalisation of the new operator arrangement.
Damang has a workforce exceeding 2,000, and the minister has assured that no layoffs will occur during the transition, citing direct instructions from President Mahama to safeguard all employment. A feasibility study submitted by Gold Fields to the Minerals Commission in December 2025 found the mine could sustain operations for approximately nine more years, with projected annual output of between 100,000 and 150,000 ounces of gold and an estimated capital requirement of around $600 million.
The Minerals Commission has been directed to complete all regulatory steps necessary to formalise the lease arrangement.
