In a collective decision, the Parliament of Ghana has approved a mining lease for the Ghana Bauxite Company, granting it the rights to mine bauxite in Awaso, located within the Bibiani Anhwiaso Bekwai Municipality of the Western North Region.
This decision came after a comprehensive report was presented by a joint Parliamentary Committee of Mines and Energy and Lands and Forestry on June 26, 2024.
The committee's report highlighted the mining lease's strategic importance, emphasising its potential to bolster the nation's economy and create regional job opportunities. The ratification marks a significant step forward in Ghana's efforts to harness its natural resources for sustainable development.
The approval of the mining lease has sparked anticipation and optimism among stakeholders in the mining industry and local communities. They eagerly await the economic benefits and infrastructural improvements that the project promises to bring, underscoring the mining lease's positive impact.
The Awaso bauxite mine is a cornerstone of the government's strategy to develop an integrated aluminium industry in Ghana. The Ghana Integrated Aluminium Development Corporation (GIADEC) has earmarked this mine as one of its four key projects to achieve this goal. GIADEC is collaborating with strategic investors to expand the mine and establish a refinery to process the locally mined bauxite.
The Ghana Bauxite Company has a rich operational history of over 80 years. Originally owned by the British Aluminium Company Ltd, the Ghanaian government acquired a 55 per cent stake in the company in 1972. However, production levels experienced a significant decline from 407,000 tonnes in 1974 to 64,000 tonnes in 1982.
In 1997, the Ghana government divested its interest, and the Canadian company Alcan acquired an 80 per cent stake. This stake was subsequently sold to the Bosai Minerals Group in 2010. In 2022, Ofori-Poku Company Limited (OPCL), a wholly owned Ghanaian firm, acquired the 80 per cent stake, making the Ghana Bauxite Company a fully Ghanaian-owned entity for the first time.
For detailed insights into the bauxite industry in West Africa, mainly focusing on the significant roles of Guinea and Ghana, as well as information on major bauxite mining regions globally, refer to AL Circle's comprehensive report, "Global Aluminium Industry Outlook 2024." This report includes a unique mini version covering the global bauxite and alumina segment.
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