Ghanaian tycoon Ibrahim Mahama's Damang mine takeover wins civil society backing despite controversy

The Media Coalition for Good Governance (MCGG) has backed Ibrahim Mahama and his company, Engineers and Planners (E&P), over the takeover of Ghana’s Damang Gold Mine, describing criticism of the deal as politically motivated and urging support for indigenous businesses.

• The Media Coalition for Good Governance supports Ibrahim Mahama and Engineers and Planners (E&P) in their acquisition of Ghana's Damang Gold Mine, labelling criticism as politically motivated.
• E&P officially took over the Damang concession from Gold Fields Ghana in April 2026, promising major community investments such as an airport and hospitals.
• The deal is seen as a major step for local participation in Ghana's mining sector.
• Controversy surrounds the transaction due to Ibrahim Mahama's political connections.

The Media Coalition for Good Governance (MCGG) has backed Ibrahim Mahama and his company, Engineers and Planners (E&P), over the takeover of Ghana’s Damang Gold Mine, describing criticism of the deal as politically motivated and urging support for indigenous businesses.

The coalition’s intervention adds to a growing debate that has drawn in Ghana’s parliamentary opposition, the Commission on Human Rights and Administrative Justice (CHRAJ), government officials, and policy analysts.

E&P formally took over the Damang concession from Gold Fields Ghana on April 18, 2026. At the handover ceremony, Mahama pledged major investments in the host community, including an airport, two hospitals, and sports facilities, BillionairesAfrica reported.

Local Mining Push

MCGG said the acquisition represents a significant milestone for local participation in Ghana’s mining sector and called for greater support for homegrown entrepreneurs. While Ghana remains Africa’s top gold producer, much of the sector has historically been dominated by foreign firms, limiting the share of value retained within the domestic economy.

By prioritising indigenous companies, authorities aim to increase state revenues, build local technical capacity, and reduce long-term dependence on multinational operators.

The group argued that political interference could undermine investor confidence and discourage indigenous business growth.

The transaction has faced scrutiny because Ibrahim Mahama is the younger brother of President John Dramani Mahama. Opposition lawmakers have petitioned CHRAJ, alleging a conflict of interest and questioning why E&P emerged ahead of other shortlisted bidders.

The Minerals Commission has rejected those claims, insisting the tender process was transparent and compliant with mining regulations. The commission noted that E&P has provided mining services at Damang since 2004 and began pursuing the concession in 2023, before the current administration took office.

Additional controversy emerged after policy analyst Bright Simons questioned the legality of gold sales made between E&P’s takeover of the mine and parliamentary ratification of the lease agreement. The government has since indicated that the Damang lease will be submitted to Parliament for approval.

Despite the controversy, E&P is moving ahead with its plans. In February, the company secured a $205 million syndicated loan from Stanbic Bank Ghana and Standard Bank of South Africa.

The same month, it sold its first batch of gold production—110 kilograms—to the state-backed Gold Board, a move aimed at boosting Ghana's foreign reserves.

A Gold Fields feasibility study estimates Damang could produce up to 150,000 ounces of gold annually for at least nine years, though it may require up to $600 million in investment.