Ghanaian businessman Mahama secures control of Damang gold mine as South African firm exits

Ghana’s Damang gold mine is set for a major ownership shift, with West Africa’s indigenous mining firm Engineers & Planners, led by billionaire businessman and CEO Ibrahim Mahama, ready to take over operations.

• Engineers & Planners, a Ghanaian-owned mining firm led by Ibrahim Mahama, will take over operations at the Damang gold mine.
• The government rejected a lease renewal from South Africa’s Gold Fields, breaking from previous practices of routinely renewing for foreign firms.
• Only companies fully owned by Ghanaian citizens were eligible for the new license, effectively excluding international bidders.
• Engineers & Planners secured the deal after meeting financial and technical requirements, showcasing strong expertise and local participation.

The decision follows the government’s rejection of a lease renewal application by Gold Fields, which had operated the mine for over two decades.

The South African miner had earlier indicated it could divest the asset, pointing to declining reserves and a shorter remaining mine life. Ghana’s decision to retender the asset marks a break from past practice, where renewals for established operators were often routine.

In a March 24 notice, Ghanaian Lands Minister Emmanuel Armah-Kofi Buah said only firms “100% owned by Ghanaian citizens” can apply, effectively excluding foreign bidders.

After the government's selection process, Armah-Kofi Buah announced that the Minerals Commission selected Engineers & Planners after a competitive process that assessed financial strength, technical expertise, and local participation.

According to Reuters, the company met the government’s funding threshold by demonstrating access to $505 million in financing, exceeding the minimum requirement of $500 million.

It also performed strongly across key evaluation criteria, including technical expertise, equipment, safety standards, and local content, the statement said.

A new phase for Ghana’s mining sector

The Damang transition reflects a deliberate policy direction under President John Mahama to deepen local control over natural resources.

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 strategy also aligns with broader efforts across Africa to capture more value from extractive industries rather than exporting raw resources with limited domestic benefit.

At the centre of this shift is businessman Ibrahim Mahama, whose company Engineers & Planners has evolved into a major mining services provider. Its elevation to mine operator signals growing confidence in local firms to manage large-scale assets.

For Ghana, the Damang decision is more than a change in ownership—it is a test case for whether local players can successfully lead the next phase of the country’s gold industry while delivering economic gains at home.