The Ghana Chamber of Mines has called for strengthened legal consistency and contract enforcement following the government’s rejection of Gold Fields’ lease renewal application for its Damang Mine.

The industry body warned that abrupt regulatory decisions risk undermining investor confidence in a sector critical to the national economy, contributing over $11.5 billion in gold export revenue in 2024 alone, which accounts for more than half of Ghana’s total export earnings.

While acknowledging the state’s prerogative in mineral lease approvals, the Chamber stressed that Ghana’s appeal as a mining investment hub relies on its reputation for honoring agreements and maintaining judicial predictability. “All concerns must be resolved through due process, with respect for binding contracts and a commitment to clarity,” the group stated, emphasizing that mining projects depend on stable, long-term regulatory frameworks to justify capital-intensive operations.

The dispute highlights broader tensions in balancing regulatory oversight with investor assurances. Industry analysts note that mining firms typically require decades to recoup investments, making unpredictable policy shifts a deterrent to exploration and expansion. The Chamber cautioned that the Damang case could unsettle existing operators and deter new entrants, complicating efforts to sustain the sector’s growth amid global competition for mineral resources.

Ghana has long ranked among Africa’s top gold producers, leveraging its mineral wealth to attract foreign investment. However, the Chamber reiterated that resource abundance alone cannot secure the sector’s future without parallel commitments to legal integrity. The group urged renewed dialogue between regulators, mining firms, and communities to align governance with industry needs, noting that transparent processes would help prevent disputes from escalating into protracted legal battles.

The government has yet to disclose specific reasons for denying Gold Fields’ renewal bid, though officials previously cited environmental and community engagement standards as key evaluation metrics. The Chamber’s appeal reflects mounting scrutiny of Africa’s mining governance, as nations increasingly seek to maximize local benefits while retaining foreign capital. Ghana’s ability to navigate these competing priorities, observers suggest, will shape its capacity to leverage mineral wealth for sustained economic transformation.