Minerals Commission terminates Northern Ashanti Mines rights over $8.3m debt

The Minerals Commission of Ghana has officially terminated the mining leases and prospecting licenses of Northern Ashanti Mines Limited, formerly known as Owere Mines, due to the company’s persistent failure to pay statutory fees. The Commission’s CEO, Isaac Andrews Tandoh, announced that the company owes approximately US$8.33 million in Annual Mineral Right (AMR) fees accumulated since 2010, alongside nearly US$50,000 in outstanding prospecting license fees. Despite multiple notices and opportunities to remedy the default, the Commission maintains that the company failed to honor its financial obligations, leading to the recommendation for termination by the Minister for Lands and Natural Resources. Following the revocation, the mineral rights have reverted to the state, though the company remains liable for all outstanding debts.

Financial records provided by the Commission reveal a significant gap between the company's claims and its actual payments. While Northern Ashanti Mines alleged it had made substantial payments, the Commission clarified that its records show only US$300,000 has been received against a total debt exceeding US$8.38 million. The Commission emphasized that the right to mine is a privilege that carries strict financial and operational responsibilities. In addition to the unpaid fees, the regulator noted that the company had failed to conduct meaningful mining operations for over two years, further justifying the decision to reclaim the concessions for the state.

In response to the termination, Northern Ashanti Mines has accused the regulator of bad faith and aggressive tactics. Director Fredrick Okine claimed the Commission was "bullying" the company’s female CEO in an attempt to force her out of the male-dominated mining industry. Okine argued that the Commission should have pursued dialogue and a payment plan rather than immediate termination, asserting that the company’s stockpiles could have been used to settle the arrears. The Commission has dismissed these allegations of bullying, stating that its actions were strictly lawful and based on transparent regulatory standards rather than personal or gender-based animus.

The dispute has now transitioned to the courts, as Northern Ashanti Mines is seeking legal redress to overturn the termination. CEO Isaac Tandoh has urged the company to respect the judicial process and cease what he described as "media campaigns" intended to influence public opinion. The Commission reaffirmed its commitment to enforcing the Minerals and Mining Act, stating it will continue to pursue the recovery of all owed funds through legal means. This action serves as a broader signal to the mining sector regarding the government's stance on statutory compliance and the protection of national mineral assets.