Mining in Ghana

from Wikipedia, the free encyclopedia

Ghana is rich in natural resources. The mining in Ghana plays an essential role in the economy of the country for centuries. Already the pre-colonial Ghana had a long tradition of gold mining. Gold was also the primary reason Europeans first settled in the 15th century. Only later did the slave trade dominate and the cocoa cultivation introduced at the end of the 19th century became an important economic factor. About 93% of Ghana's total production of mineral goods comes from gold mining, which is of paramount importance in the mining sector.

The mining sector in Ghana has been largely privatized since 1983 and is now dominated by foreign companies, most of which have joint ventures with Ghanaian companies. A joint venture between South Africa and Ghana is z. B. AngloGold Ashanti , which is now the second largest mining company in the world. The Ghanaian state holds a minimum share of 10% in every mining company in Ghana, in accordance with legal requirements.

The Ghanaian mining policy has come under fire because, in the opinion of independent bodies, it does not take the interests of people and the environment into account, but rather pursues the interests of industry in a highly unilateral manner.

Mining sector

Ghana's mining sector
year export Growth rate
compared to
previous year
Million USD %
2002 853.5 + 4.5
2003 893.6 + 4.7
2004 906 + 4.1
Source: German Embassy, ​​Accra

Ghana's mining sector is the country's largest employer after the government and has a large share of the country's export earnings (around a third). The gold export already played an important role in pre-colonial times. Even if Ghana's gold exports are of subordinate importance on a world scale today, gold exports are vital for the country and play a major role in improving the economic balance sheet.

The Chambers of Mines currently comprises the approx. 30 most important active mining companies (approx. 230 hold a license). A total of around 80,000 people are officially employed in these companies. The large mining companies in particular are powerful structures within the country and have enormous financial strength. The largest mining company in Ghana is the AngloGold Ashanti Corporation, which was founded in 2003 through the merger of AngloGold Ltd. and Ashanti Goldfields Ltd. with equity of approximately 79.1 trillion cedi.

One of the biggest problems facing the Ghanaian mining sector is the comparatively poor infrastructure , without which mining cannot be run economically. The railway plays a key role in this, unless waterways are available. In Ghana, however, the main problem is that the maintenance of the railways has been inadequate since independence. In the 1970s and 1980s, most recently in 2004, this often led to delivery failures for mining products. The rail network is currently being renewed and expanded with a major infrastructure program until 2014 (see Ghana # Rail Transport ). In addition, the roads outside the main routes are mostly just slopes, which are also blocked by floods in the rainy season. The energy supply is unreliable. Again and again, power outages paralyze parts of the funding. Some of the mine operators have installed their own power supply. In particular, the aluminum melt at Tema , which produces aluminum electrolytically, is very dependent on the energy supplies that are made available by the Akosombo hydropower plant at the Volta reservoir . In the past, especially in dry years, when the water level in the reservoir was low, the power plant could not fully supply the energy required in Tema, which ultimately led to years of legal dispute between the Ghanaian government and the US operating company. In 2004 the sector got another problem with soaring fuel prices after fuel prices were more or less allowed by the government. The initial reaction of the market was a drastic increase in the price of almost all petroleum end products. Added to this are the price developments on the international raw materials market. The mining sector was able to show growth of 4.1% in 2004, primarily due to the high gold prices .

Gold production is carried out in Ghana at the most important gold mines of AngloGold Ashanti through open pit mining. This mining variant, which is actually more cost-effective than underground mining, also causes major environmental damage due to the large-scale redesign of the surface . The mining companies are u. a. also encouraged reforestation.

gold

1 kg of gold

Gold is Ghana's most important export good. About a third of export earnings and 93 percent of production in the mining sector are related to gold mining.

Gold production in colonial times

The beginnings of modern gold mining industry in Ghana dating to January 1878, when, at the suggestion of the French Pierre Bonnat in the Ashanti Empire , a small mining company named African Gold Coast Company was created and started at Awuda with gold mining. Some time later she moved her main activity to Tarkwa. By 1880, followed by Messrs. Swanzy and Company, the Effuenta Gold Mining Company and Gold Coast Mining Company three other companies that concentrated their activities specifically to the exploitation of the gold deposits in the Tarkwa-Aboso area. The hopes of the international financial world in the still young industry were considerable and gold coast mining shares were soon the big hit on the stock exchanges in Paris and London, especially after seven other mining companies began mining on the Gold Coast in 1881 and eleven in 1882. Although the Tarkwa-Aboso area had been an African gold mining center for centuries, the Europeans' rapid gain in foothold was mainly due to the pumping equipment available to them, with which the previous main problem of the gold prospectors, the dreaded water ingress in the underground tunnels, was mastered could be.

The undoubtedly exaggerated reports about the wealth of the newly developed gold fields also drew numerous European emigrants to the Gold Coast as gold miners . The colonial government soon became seriously concerned about the unexpected mass influx of Europeans. With the upswing of the mining industry, there was also a lively trade in mining concessions, which was now increasingly out of control and which practically conjured up future potential for conflict between Europeans and local landowners.

The “jungle boom”, as it was then called, was, however, dramatically short-lived. Whereas there were eleven newly registered companies in 1882, there was only one in 1883 and none in 1884.

Systematic geological investigations and the construction of a railway line from Sekondi to Tarkwa and from here to Obuasi , including a Tarkwa- Prestea branch , led to a rapid boom in gold mining at the turn of the 19th and 20th centuries up to the First World War . In addition, there was an increased influx of cheap labor from the northern territories, which additionally promoted the rapid development of gold mining in the Tarkwa-Obuasi-Prestea area. In the years before the First World War, gold was by far the most important export item of the Gold Coast, accounting for about half of the colony's total export value.

Gold production in what is now Ghana

Export of Ghana

- Gold -

year production export Share in Ghana's
total
export
revenue
Ghana's share
of
total
world gold
production
kg Million USD % %
1963 28,646.30
1985 9,319.07 12,000 90.6 0.77
1986 8,930.55 11,500 0.70
1987 10,075.22 11,700 0.68
1988 11,630.74 12,100 0.63
1989 13,358.20 15,300 0.74
1990 16,831.55 17,300 201.6 0.81
1991 26,362.03 27,300 300 1.26
1992 31,247.33 33,300 1.48
1993 39,249.17 41,400 1.79
1994 44,741.82 44,500 1.94
1995 53,369.43 647.3 45.2
1996 49,262.62 612.4
1997 54,507.34
1998 73,749.70
1999 81,121.04
2000 76,425.97 702.0 42.0
2001 74,068.11 617.8
2002 69,573.28 689.1 25.7
2003 70,748.81 830.1 27.5
2004 63,139.12 838.7
2005 63,100.00 2.5
2006 63,100.00 2.6
2007 84,000.00 1,733.8 41.5 3.53
2008 81,000.00 2,246.3 42.6 3.44

At the time of independence, the gold mining deposits can be summarized as three major gold fields:

a) the Tarkwa group, which extends in the coastal hinterland of the Cape of the Three Peaks between the Ankobra River and about Sekondi,
b) the Ashanti group , which includes the camps in Adansi, the regions of Lake Bosumtwe and the area from Kumasi to Gyaman, and
c) the Akimi gold field, which is mainly located in Akim-Abuakwa in the region around its capital Kibi.

At that time there was also another deposit in the region of Wa and Bole (NW Ghana), in which gold mining was carried out, about which little is known. But it is described as the northern extension of the Kumasi field.

In the first years of independence, six gold mines were exploited, five of them by the State Mining Corporation (SMC) with the help of state grants.

As a result of economic mismanagement and in connection with political instability, gold production declined more and more in the first decades of independence. While at the beginning of the 1960s around 28 t / year were produced, in the mid-1980s it was only around 9 t / year.

The structural adjustment program of the International Monetary Fund of the World Bank from 1983 as an economic reconstruction program for Ghana therefore also included the promotion of the gold sector. This was followed by radical reforms for the mining industry, with which the privatization of state mine operators and a new investment strategy were initiated. Since then, approximately $ 6 billion in foreign direct investment (FDI) has been invested in the mining industry (2005 figure), 95% of which in gold mining. By the turn of the millennium, Ghana's gold production rose to more than 62 t / year and gold became the country's most important export good and foreign exchange source. In 2000 there were more than 230 gold mining companies in Ghana. In addition, there was small-scale mining of around 150,000 "family businesses".

Obuasi

The Obuasi gold field is the richest gold mine in Ghana and the ninth largest gold mine in the world. The area was once called "the richest square mile in Africa". An estimated 300 tons of minable gold are stored here at a depth of 1,200–1,500 m. Further gold-bearing layers are located at a depth of approx. 3,000 m. The gold production in Obuasi was started in 1968 by the British Lonrho Ltd. taken over and is now operated by the Ashanti Goldfields Corporation , which is largely a subsidiary of Lonrho PLC , in which the state of Ghana is also involved, which in April 1994 still owned 31% of the company shares. In August 1995, however, the state stake fell to 28.8% in the course of an ordinary capital increase in which the state of Ghana did not participate, whereby the stake in Lonrho PLC rose to 41.4%. When rumors of takeover by the South African Anglo American Corporation surfaced in 1996 , Ashanti Goldfields acquired the British Cluff Resources, the International Gold Resources of Toronto and GLAMCO. In addition, one merged with the Australian company Golden Shamrock Mines. This gave access to the New York and Toronto stock exchanges. As a result of the expansions, the share of the State of Ghana in Ashanti Goldfields fell to 19% and that of Lonrho to 34%. In 1992, Ashanti Goldfields started a USD 350 million investment program to increase the production capacity from underground gold sources in Obuasi to 18 t / year. A new sulphide process was introduced, which was used for gold mining in conjunction with new open-pit mining techniques. The output of the Obuasi main mine reached a volume of 29 t in 1995, exceeded 31 t in 1996, but then fell back to 26 t in 1998. Despite the increase in output, the pre-tax profit of the Ashanti fell Goldfields increased 46% to $ 60.1 million in 1996, primarily attributable to increased litigation costs. A package of corrective actions was envisaged, mainly aimed at renegotiating major supply contracts, rationalizing among the workforce and eliminating high cost factors. In the meantime, however, the price of gold in the world market fell to a 20-year low (July 1997) and deteriorated even further by May 1999. At the same time, in May 1999, the mine workers initiated strike actions in connection with demands for wage increases. In 2000, Ashanti Goldfields cut production and laid off 3,000 of the 10,000 miners employed. The justification referred to the lack of profitability, which had decreased more and more in recent years as a result of the high cost intensity involved in mining at great depths. The company hadn't paid a dividend since 1998 anyway. In view of the potential of the mine, the South African mining company AngloGold was not only ready to inject financial capital, it also had extensive experience in technically complex deep mining. In April 2004, Ashanti Goldfields merged with AngloGold, with the approval of the Supreme Court of Ghana and the Ghanaian Parliament, to form AngloGold Ashanti and thus become the second largest gold mining company in the world. The new company's shares are listed on the Johannesburg, London, New York and Euro Next Stockmarket stock exchanges. With 8,600 employees (90% of them Ghanaians), AngloGold Ashanti is the largest employer in Ghana after the Ghanaian government.

Tarkwa
Small-scale mining in Tarkwa

Outside the Ashanti Goldfields , investments in Ghana's gold mining in the 1990s came primarily from the private sector, as the government-owned State Gold Mining Corporation (SGMC) continued to struggle with technical difficulties and was unable to make its own investments. In the course of the political upheavals in South Africa in particular , numerous South African investors pushed into the country and in the mid-1990s bought the operating company of the Tarkwa gold mines from SGMC, whose gold reserves were estimated at 400 t at the time. The Goldfields Ghana Ltd., which operates since the degradation in Ghana is a subsidiary of the South African Gold Fields Ltd., the world's fourth largest gold producer. Tarkwa is the second largest mine in the country. In 2003, 25.2% of Ghana's gold was mined here.

Galamsey Mining

Gold washer in West Africa

Galamsey Mining is the term used in Ghana for illegal small- scale mining , which is often carried out by women and children on the edge of the legal mining areas. The dismantling, which is achieved through hard physical labor, takes place here under the worst possible working conditions, especially when it comes to health. The greatest danger comes from the highly toxic chemicals (cyanides, mercury) used to extract gold, which are mostly used without protection. A significant part of the environmental damage caused by mining is due to the Galamsey Miners. In addition, illegal blasting and illegally driven tunnels repeatedly lead to flooding in the legal mines. Earth collapses and holes in the forest floor are also results of Galamsey activities. The workers mostly live in subsistence farming and also with the constant fear of being arrested by the guards of the mines or the police. In addition, they are vulnerable to unscrupulous fraudsters who appear as buyers. According to estimates, around 4,000 kg of gold and a large proportion of diamonds are illegally mined and sold in this way.

On the part of the government there were efforts in 2004/2005 to legalize this inefficient mining in some form in order to achieve at least a certain basic level of safety, health and environmental protection. Since March 2005 the Galamsey Miners , who are mainly to be found in the Western Region , have to be officially registered as small-scale industrialists . In addition, AngloGold Ashanti, which operates the Obuasi mine, offers support with alternative agricultural projects. So far, however, the willingness to register and to shift the focus of activity has been rather low.

Social impact of gold mining

With the advances in technology, with which the exploitation of less gold-bearing layers can be made economical, as well as with the transition to opencast mining for gold, an enormous demand for land arose. In the past, water pollution, falling rocks after blasting, bans on the use of former paths, building bans on former fields and farms on concession areas, noise pollution, up to nuisance after poisoning accidents often led to social tensions between those who wanted to defend their rights and those who who preferred to be pacified by small gifts.

The landowners concerned have practically no influence on licensing practices in Ghana. If anything, they will only find out at some point that their land has been given to a mining company by a special government contract without being given any details. The companies are asked to compensate the residents of the affected villages, but these payments are mostly inappropriately low, but it seems at least high enough that many can be pacified. However, some companies try to compensate and invest in infrastructure, schools, water connections or other humanitarian aid that benefits the entire local population. However, there is no obligation to do so.

In addition to the considerable health consequences for the population in the assisted area, the deprivation of the economic basis of the population is an important aspect of human rights organizations. If the population is not driven out directly, but tolerated, extensive opencast mining often deprives them of their livelihood, subsistence farming. The rural population cannot find a job in the mine due to a lack of adequate training. The farmers are expropriated, and arable land that has often been owned by the villagers for generations has to give way to open-cast mining. The mining companies are sometimes accused of moving their concession area without acquiring new licenses.

Cocoa tree

Many gold mining areas are also located in the areas where cocoa has been grown since colonial times . For many small and very small farmers, cocoa production is often the only source of income besides subsistence farming. Payments of USD 7 are said to have been made for a cocoa tree. It is not possible for those affected to obtain a comparable economic basis for this amount. One year's harvest alone would bring in about $ 35 per tree. In addition, a newly planted cocoa tree only provides salable income after several years. In the US Newmont Mining Corporation's concession area in the Ahafo region alone, around 16,000 people are said to have lost their jobs in the cocoa sector. By comparison, the entire mining sector hired around 15,396 workers in the mines in 2005.

This allegation is also linked to allegations of massive human rights violations against the Ghanaian government. There are also said to have been isolated violent attacks during demonstrations. The financially strong mining companies are suspected of having set up their own "protection troops" to help enforce their own interests.

With the WACAM (Wassa Association of Communes Affected by Mining, Wassa West District) , a non-governmental organization (NGO) has organized itself in one of the main mining areas of Wassa Land to represent the interests of the population affected by mining. It is very active in the area of ​​social and environmental policy and demands, for example, that the local population should participate fairly in the use of the money flowing back to the municipalities from the Mineral Development Fund . With regard to the transparency of the taxes flowing from the raw material extraction companies to the state, Ghana has made itself available as a pilot country (alongside Nigeria and Azerbaijan ) for the implementation of the Extractive Industries Transparency Initiative (EITI), an initiative that was launched at the 2003 World Economic Summit in Evian was created to fight corruption in developing countries. EITI demands transparency of the payment flows with regard to the money flowing from raw material extraction companies as taxes to the state.

At the end of May 2005, the Minister for Land, Forestry and Mining, Dominic Fobih , called on the mining companies to present social plans and, in implementation of the EITI, decided to set up a further commission to monitor the use of the funds flowing to the municipalities.

Environmental aspects of gold mining

Ghana's greatest environmental threat is mining. Again and again, highly toxic chemicals that are used to extract gold ( cyanides , mercury ) end up in the water cycle and cause local fish deaths and symptoms of poisoning in the population. Often such problems are caused by the illegal Galamsey Miners . However, Ghana's environmental activists suspect the government of targeting misinformation and withholding information, such as: B. in the accident in early 2005, when Bogoso Gold Ltd. (Wassa West District) a large amount of cyanide leaked into the surrounding waters and the population was not informed at all or only insufficiently.

Damage to the landscape caused by small-scale mining

Another ecological aspect of gold mining is the destruction of forests, which has taken on threatening features with the introduction of opencast mining . The mining companies were given requirements for reforestation, which are usually complied with. However, the damage caused by the many illegal gold and diamond prospectors is also problematic.

A sad chapter in this context is the mine near Esase (Ashanti region), where a gold mine has been operated by the Canadian Bonte Gold Mines Ltd. since 1991 . was operated. The group was liquidated in July 2004. All operations were stopped at short notice and the corporate representatives left the country practically overnight. It left US $ 18 million in debt to the State of Ghana, and since most of the equipment was leased to its creditors, the financial damage was substantial. In the run-up to the project, there was a confrontation with the Ghanaian environmental protection agency EPA at the beginning of 2004 because the reforestation requirements had not been met. Stagnant water holes where disease-carrying mosquitoes breed, dams slipping (fatal accidents occurred), piles of mud, waste dumps and destroyed natural ponds were the ecological legacies of the group. The environmental damage is estimated at 1.26 million USD. So far only about 10% has been compensated by liquidation proceeds. The local community is currently (2005) fighting against the resumption of mining operations by other companies.

In the first half of 2005, Ghana's Environmental Protection Agency (EPA), with the support of the World Bank, evaluated the most important mining companies (gold and manganese) under the aspects of social responsibility and environmental protection (water, air, waste management). In March 2005, the WACAM asked the EPA to revise the environmental standards and prohibit the extraction of raw materials in forest protection areas. The latter is no longer permitted under the new mining law, but exemptions were still possible in 2005.

The AngloGoldAshanti mines have certificates of South African safety standards and ISO environmental certificates . The mines of Goldfields Ghana Ltd. have the ISO 14001 environmental certificate.

aluminum

West African bauxite
Export of Ghana

- aluminum -

year bauxite Raw aluminum
1,000 t Million USD 1,000 t Million USD
1970 338.0 2.0 99.1 31.3
1975 320.4 3.8 65.8 28.7
1980 223.0 3.1 166.2 248.3
1985 124.0 2.7 121.4 18.6
1990 369.0 11.0 127.5 230.0
1995 505.0 9.6 120.0 239.9
1996 460.0 9.7 120.9 201.5
1997 470.0 10.0 130.0 217.0
1998 550.0 10.5 55.0 81.0
1999 247.0 7.5 124.4 179.2
2000 363.0 8.96 114.3 164.0
2001 11.0 121.2
2002
2003 10.31 10.1
2004 7.27 2.3
2008 690.7
2009 490.4
Source: UNCTAD, Commodity Yearbook 2003,
Geneva 2003, Tab. 213, 214, 2113, 2114,
and UNCTAD / WTO,
International Trade Statistics 2000–2004

Ghana has larger bauxite stores in Akim-Abuakwa, on the Kwahu Plateau and in Asante. The largest of these is apparently the one west of Kumasi, where an estimated 200 million tons of bauxite are stored. However, it has the disadvantage that the deposits are spread over a very large area, which begins approximately north of the city of Yenahin and reaches up to around 7 ° N. Another warehouse is located at Sefwi-Bekwai. Ghana's most important bauxite deposit, however, is Ejuanema Mountain, about 3 km from Nkawkaw. According to estimates from the 1950s, there are only around 1.8 million tons of solid bauxite and 2.2 million tons of bauxite nodules, some of which are also solidified (so-called "rubble bauxite"), but the camp is more or less concentrated on this a mountain. The local rock is yellowish, gray, pink, red to brown, which is mainly determined by the content of iron oxide impurities. The coloring z. B. a local dark red variety is z. B. caused by a content of 54% Fe 2 O 3 . However, the importance of aluminum bearings only increased with the increasing demand for aluminum in the aircraft industry, which the Second World War had given the decisive impetus.

Despite the abundant deposits in Ghana, only a small proportion of the bauxite deposits are mined at Awaso today. The exploitation of this deposit, which was taken up in the 1950s by the British Aluminum Company , was taken over by the Ghana Bauxite Corporation (GBC), which was initially 55% government-owned , after gaining independence . In 2004 the government share in the GBC was only 20%, the remaining 80% were owned by the Canadian ALCAN.

Due to neglected maintenance of the railway line that connects Awaso with the port of Takoradi, there was a sharp decrease in exported bauxite quantities in the 1970s and early 1980s. While around 300,000 t / year of bauxite were still being exported in the 1950s, it was not even 130,000 t / year in the mid-1980s. However, repairs to the track system caused bauxite mining to recover in the second half of the 1980s and 1990s.

Because of the high energy requirements in the electrolytic aluminum production, the project of a large power station in Ajena (Ajin) on the lower Volta was considered after the Second World War, which should deliver an output of 545 MW for aluminum smelting. The project was not carried out until the end of the colonial era. The plans for the aluminum factories came from the British Aluminum Corporation and the Aluminum Corporation of Canada, the two largest aluminum producers in the world at the time. In addition, the construction of a large port nearby was seen as another necessary prerequisite for the economic operation of an aluminum smelting industry. Especially for this purpose, the construction of a large port was started at Tema (40 km east of Accra), which was finally opened in 1961. With the 912 MW hydropower plant opened at the Volta reservoir near Akosombo in 1966 , the energy requirements for an aluminum smelter, which was built at Tema with American capital, were also established. At that time (until 2004), the operating company of aluminum smelting, VALCO (Volta Aluminum Corporation), was 90% owned by the American Kaiser Corporation (today Kaiser Aluminum and Chemicals Corporation ). Allegedly for cost reasons, Tema has so far only processed raw material imported from Jamaica; the bauxite mined by Awaso is still fully exported to this day. The start of further local bauxite mining was successfully prevented by Kaiser at the time.

In order to start processing the country's own ores in Tema, the development of the bauxite deposits of Kibi, which is closer to Tema, was considered and a corresponding railway line was built there. However, the kibi camps have not yet started to be exploited. A lower demand for aluminum on the world market in the 1980s and years of drought, which were reflected in the lower output of the Akosombo hydropower plant, also left their mark on Ghana's aluminum industry, as the export figures shown make clear, because the Tema smelter has a production capacity of 200,000 t of raw aluminum per year. The lower output quantities can essentially be attributed to the scarcity of energy. The American operators of VALCO, however, insisted on compliance with the contractual delivery quantities of electrical energy. The resulting dispute ultimately meant that the contract between the state-owned Volta River Authority (VRA), which operates the power plant on the Volta, and VALCO regarding the supply of electricity to the Tema smelter was not extended when it was extended in April Expired in 1997. The main reasons for the failure to extend the contract were mainly the fact that it was not possible to agree on a new contract. This mainly concerned the price structure, about which Kaiser and VRA had different ideas and each side insisted on their demands. The VRA saw the demanded electricity price as a reflection of the own costs incurred in energy production, which otherwise could not be compensated, while Kaiser was only willing to pay a price that was based on the world mean of production costs for electrical energy. Despite the failure to extend the contract, Tema-Schmelze initially continued to operate with electricity from VRA. In January 2003 the dispute reached a conciliation committee in Washington DC , which was chaired by the former President of the International Court of Justice in The Hague, Stephen Schwebel . However, no agreement was reached. Kaiser and VRA broke off talks after a while and instead applied for an arbitration award from the International Chamber of Commerce. Despite a partial backing of the Ghanaian government, no agreement was reached by 2004, whereupon the Tema-Schmelze had to stop its production. In July 2004 the government of Ghana decided to buy the 90% Kaiser shares in VALCO.

In the middle of 2004 there was also a five-week standstill in bauxite exports due to damage to the Awaso-Takoradi railway line. Ultimately, GBC and PMMC financed the purchase of spare parts and trucks for the railway company GRC (Ghana Railways Corporation).

On January 26, 2005, the Ghanaian government and the US aluminum group Alcoa (which owns the remaining 10% shares in VALCO) signed a memorandum of understanding on the start of bauxite mining in Kibi and Nyinahin (Eastern Region), the resumption of the Production in the Tema smelter, the construction of another aluminum factory and the improvement of the associated infrastructure with a focus on the railways. The Tema smelter is currently closed because Ghana does not have the required electrical output of 150 MW. It is not assumed that the required electricity capacity can be made available in the short or medium term. As a result, Ghana's economy is losing US $ 300 mil. per year.

manganese

Manganese ore
Export of Ghana

- manganese -

year Manganese ores
and concentrates 		Ferromanganese
1,000 kg Million USD 1,000 kg Million USD
1970 403.3 7.1
1975 367.0 14.8
1980 236.0 13.7
1985 252.0 9.0
1990 295.0 19.5
1995 250.0 9.0
1996 300.0 9.0
1997 300.0 9.5 0.5 0.1
1998 387.2 12.0 1.1 0.3
1999 479.4 5.8 3.5 0.9
2000 645.7 21.0 5.6 1.5
2008 934.6
2009 1,000.0
Source: UNCTAD,
Commodity Yearbook 2003,
Geneva 2003, Tab. 252, 253, 257, 258

In 1914, extensive manganese deposits in the form of brownstone were discovered near Nsuta near the Sekondi-Tarkwa railway line . The favorable location of this deposit and the outbreak of the First World War favored a rapid development of exports, since manganese is mainly used in the deoxidation of iron and steel as well as in the manufacture of accumulators, so that manganese was of great importance to the war effort.

After gaining independence, the African Manganese Company operated the exploitation of the Nsuta mine until the 1970s, with annual export rates fluctuating between 400,000 and 600,000 t. In the 1970s, the company became the state-owned Ghana Manganese Corporation . Outdated technology and limited transport and handling capacities to and in the port of Takoradi , however, kept the production and export quantities of manganese ores low until the 1990s, but have increased dramatically since 1995. This was the year in which Ghana established the formerly state-owned Ghana Manganese Corporation privatized. Ghana now ranks 8th on the list of the world's largest manganese producers. The Nsuta mine is the third largest manganese mine in the world.

Diamonds

rough diamond
Production in Ghana

- diamonds -

year Rough diamonds
carat
1980 1,148,678
1985 636.127
1990 636.503
1995 631.708
1996 714.738
1997 829.524
1998 822,563
1999 681.576
2000 878.011
2001 1,090,072
2002 963.493
2008 598.042
2009 354.443
Source: Ghana Minerals
Commission, 2006

In 1919, the first diamond deposits were discovered northwest of Kibi on the Birim River . Further discoveries followed until 1924 in the area around Oda, around Akwatia and in the Bonsa Valley, which is located about 30 km southwest of Tarkwa. The Ghanaian deposits, like most diamond deposits in the world, are alluvial rock debris (so-called soaps ), in which other precious stones and metals also occur. The deposits of Oda and Akwatia were also suitable for mining on an industrial scale, so that in the 1920s corresponding concessions were awarded to various European companies. At that time, the bonsa deposits were left to local small and very small diggers due to the low density of diamond deposits in the soil . However, the share of small-scale miners in the total output volume of diamond production was remarkably high at the time: of the 3,273,000 carats produced in 1960, more than half came from small-scale miners. This changed rapidly in the 1960s. In 1965, the Digger's total production of 2,273,000 carats was only 51,000 carats; in 1969, of 2,391,000 carats, only 7,000 carats were brought in by the miners. This decline in the proportion of small-scale miners was essentially a result of the Ghanaian state policy. After the state government of Ghana switched to regulating foreign exchange rates in 1961 and thus also determined the purchase prices for the raw diamonds mined and, in 1963, also set up a state-owned monopoly company for diamond purchase with the Diamond Marketing Board , the interest of the small- scale miners slackened rapidly concerned the arduous digging. In addition, smuggling flourished as a result, because the mined diamonds could be sold far better abroad than with local low-price buyers. When all previous small-scale prospecting licenses were suspended (temporarily revoked) by the government in 1965/66, this was another reason for many to stop small-scale prospecting, which was already very laborious. Without a doubt, the importance of the human production factor in this economic sector was far underestimated by the authorities of the time.

After gaining independence, diamond mining from the Akwatia fields was carried out by the Consolidated African Selection Trust and two smaller foreign companies. The former company has now been transferred to the state-owned Ghana Consolidated Diamonds , which is now practically the sole producer. Most of the rough diamonds exported by Ghana today are industrial diamonds.

Ghana has been a member of the Kimberley Process since November 2002 , i. H. the Kimberley Process Certification Scheme (KPCS) , the aim of which is to prevent the export of blood diamonds . Ghana has issued Kimberley certificates for the export of diamonds since January 1st, 2003, which are issued in accordance with the Diamond Act (Export and Import of Rough Diamants Act) of December 12th, 2002 in cooperation with the Representation of Canada in Ghana.

There have been some statements in the past few years suspecting Ghana of importing "blood diamonds" from Ivory Coast . Despite Ghana's membership in the Kimberley Process, the Ghana's government is under suspicion of re-declaring diamonds from the neighboring country of Ivory Coast, which was torn by the civil war, and of bringing them onto the market as Ghanaian goods with a Kimberley seal. According to some sources, the suspicion is fueled by the increase in exports of diamonds between 2000 and 2005 by 60 percent, without the production volumes increasing to the same extent.

mineral oil and natural gas

Offshore platform in the Gulf of Mexico
Export of Ghana

- mineral oils -

year Export
volume
Million USD
1970 0.7
1975 20.3
1980 3.7
1985 31.9
1990 42.9
1995 44.6
1996 82.7
1997 50.0
1998 37.8
1999 56.1
2000 81.8
Source: UNCTAD,
Commodity Yearbook 2003,
Geneva 2003, Tab. 112

A gigantic contiguous oil field is suspected under the West African coast , which is said to extend along the coast between Angola and the Ivory Coast and to contain an estimated 105 billion barrels of oil . In the USA, it was expected in 2005 that West Africa would cover around a quarter of the US demand for oil by 2015 at the latest. The US government has therefore declared the West African coast from Ivory Coast up to and including Angola a “national zone of interest”. From an American and European point of view, oil from this production area has three main advantages, which are reflected in the lower cost intensity of imports. a) The oil is low in sulfur, which makes the refining process less expensive. b) The transport routes to the USA and Europe are shorter than z. B. from the Arabian Peninsula. c) With the exception of Nigeria, none of the coastal states is a member of the OPEC cartel and would therefore not be bound by its pricing policy.

Ghana's oil reserves were discovered in 1970 by the Signal / Amoco Group. Ghana's oil production began in 1978 when the American Agripetco began production on the continental shelf 12 km off the coast at Saltpond. The reserves of the local oil field were estimated at 7 million barrels when it was developed. Initially, 4,800 barrels / day were produced here, but the amount fell to 580 barrels / day in the early 1980s and production here was completely stopped in 1985.

In 1983 the Ghanaian government established the Ghana National Petroleum Corporation (GNPC), which is supposed to coordinate the further expansion of production off the coast by granting production rights. In 1984, all oil extraction and production rights were placed under the effect of the 1984 Petroleum Act, which allowed the government to acquire an initial 10% stake in any petroleum business venture with the option of up to 50 To be able to buy up% of the production and to be able to claim up to 50% of the output quantity as a royalty. Ghana's state mineral oil reserve was estimated in December 1995 at 16 million barrels. In 1995 it was also decided to reassess the natural gas reservoirs discovered off the coast of Cape Three Peaks in 1974 and in 1997 the GNPC signed contracts with two foreign consortia for the exploitation and production of natural gas from the area.

In September 1995 Ghana, Togo, Benin and Nigeria signed a contract to build a natural gas pipeline from Nigeria to Ghana. In May 2003 these states reached a further agreement regarding the formation of the West African Pipeline Company (WAPC) as the joint operating company for the pipeline. According to the Ghanaian government, Ghana's 16.3% investment in WAPC's equity was paid in in full in 2004. The pipeline was expected to deliver the first gas in mid-2005. In addition, Ghana's only oil refinery, the Tema Oil Refinery (TOR) operated by the Ghanaian-Italian Petroleum Corporation , has been expanded with systems designed to convert excess medium boiling fractions into liquid gas and light petrol. The TOR was also transferred to the GNPC. The plans for a partial privatization of TOR, after which 30% of the shares are to be sold to a "strategic investor", who should also get control of the management and 25% of the stock market flow, were stopped in November 1998 by the Ghanaian parliament. The parliament objected to the sale of TOR and the Ghana Oil Company (GOC), as these would be among the country's "strategic assets". This in turn met with resistance from the World Bank's International Monetary Fund (IMF) , which was then prompted to urge the government in January 1999 to implement the privatization plans as planned.

In 2000, the GNPC agreed a joint venture with Lushan Eternit , the Ghanaian subsidiary of the Lushan International Energy Group from Houston / Texas, for the purpose of renovating the production facilities.

In October 2002 the British Dana Petroleum PLC announced the discovery of oil-bearing strata in the western deep-water area of ​​the Tano . Another find in a nearby shallow water area was made a few days later. In both cases, at a depth of 1,860 m, an approximately 23 m thick oil-bearing sandstone layer was encountered, which could possibly contain several hundred million barrels of crude oil. However, since the sandstone is of poor quality and the oil is relatively viscous, the realization of a production in the future is heavily dependent on how technologies can be used to make production efficient. This was also the focus of some studies that were started in 2003. The Ghanaian government then offered Dana a three-year extension of her investigation license until mid-2007.

In 2004 the production of TOR was throttled and limited to the pure refining of crude oil. At the same time, the import of crude oil end products , which was previously under a state monopoly, was opened up for the oil marketing companies of the private sector (oil marketing companies (OMCs)) , but only in submission, i.e. against an offer after a tender. In March 2004 the first submitter was found. In early 2005, the government began to regulate fuel prices and announced that from now on new prices could be set by the OMCs, albeit under the supervision of an independent National Petroleum Authority (NPA), whose regulatory powers were also enshrined in law in 2005. This initially led to an initial drastic price increase for carburetor fuel for Otto engines, diesel and other petroleum end products.

On July 30, 2004, the Ghanaian government signed a contract with the aforementioned Lushan for oil production over the next 20 years. Likewise, on July 22nd, 2004 a contract was signed between the GNPC on behalf of the government and Kosmos Energy from Houston / Texas, which already operates oil production in Equatorial Guinea. Kosmos is supposed to search for oil for three years on a 1000 km² area in front of the Cape of the Three Peaks and if oil is found, mining and extraction rights for 23 years have been promised.

In 2007 oil deposits were discovered off the coast of Ghana. Production started in 2010 (4th quarter). Production was 72,000 barrels per day in 2012 and 100,000 barrels per day in 2013. This should make Ghana the 50th largest oil producing country (Germany is in 47th place). A total of up to three billion barrels of oil are said to be in the fields off the coast. The operator is Kosmos Energy Ghana, an offshoot of a Texan specialist in oil exploration. In addition, the British oil company Tullow Oil and the US competitor Anadarko Petroleum are also on board. According to Kosmos, the Ghana National Petroleum Corporation only has a ten percent stake. Tullow Oil suspects around 800 million barrels in the Jubilee oil field. From 2011 the first income from oil production will flow into the state budget of Ghana. The West African state wants to use the proceeds from oil production in a fund to build up capital for the future and invest part of it in renewable energies.

Ghana's own consumption of oil is currently (2008) estimated at 56,000 barrels / day. Ghana's current production (2008) is around 7,399 barrels / day. (for comparison: Ivory Coast 35,000 barrels / day). Funding is currently only provided from one of six developed sources. Ghana obtains other crude oil mainly from Nigeria , Iran , Libya and Algeria .

The gas reserves have not yet been used, which is due to the high capital intensity of a possible reduction. At the end of May 2005, a Norwegian company announced the discovery of another, commercially viable gas field in western Ghana.

Other degradable minerals

Wherever gold can be found in nature, silver is almost always present. Investigations during colonial times showed that the quartz reefs of the Tarkwa district, which accompany the gold-bearing hills to the east and west, contain silver. The same applies to copper and nickel , which mostly occur in small quantities in various places on the territory of Ghana. Copper has been found in abundance in association with silver on the Birim . In view of the significantly richer gold deposits, during colonial times one had primarily invested in the economic exploitation of the gold deposits, while the mining of the other deposits was initially considered unprofitable. Nevertheless, today at least the silver associated with gold, which is also preserved in gold production, is deposited and also exported. With the introduction of fiber optic technology and digital photography, the demand for copper and silver, which has now fallen worldwide, makes the economic viability of mining silver, copper and nickel seem questionable today.

high-purity tantalum in fragments

Another natural resource in Ghana is tantalum . A related mine is located in Oda (Akim) and is being exploited today (2005) by the company AFIMEX, which undertakes the mining on behalf of Leo Shield Exploration Ghana Ltd. operates. The tantalum mineral is stored here in a 176,000 m³ alluvial layer with an average content of 210 g / m³. Tantalum is mainly used for steel finishing and is used, among other things, as a platinum substitute in microelectronics.

After more than 40 years of dormant production, the beginning of the 2000s began again to quarry limestone for local cement production. In addition, lime is also required in gold mining. Larger limestone deposits are located near Nauli (Western Region) and Buipe (Northern Region). So far, the required lime has been imported from Europe.

Other minerals that can be mined in Ghana with future potential would be niobium minerals , feldspar , kaolin , silica , granite , marble as well as jasper and quartz for jewelry production.

In addition, deposits of arsenic and mercury ores have been found on the coast between Winneba and Apam, as well as mineral deposits that would be suitable for the production of sulfur . The fact that there is now hardly any demand worldwide in connection with the fact that arsenic, mercury and sulfur compounds are more of a disposal than disposal problem is the reason why one refrains from developing these deposits.

There are also iron ore deposits in the east of Ghana , but their iron content was classified as too low to make industrial exploitation and processing appear economical.

Institutions in Ghana's mining sector

Ministry of Land, Forestry and Mines

The Ministry of Land, Forestry and Mining is responsible for national mining policy. It negotiates, awards, forfeits, suspends and renews mining rights. This ministry has existed since the beginning of 2005, before that there was an independent ministry for mining.

Minerals Commission

The Minerals Commission was created by law in 1993. It has a monitoring function with regard to all activities in the mining sector, it formulates proposals for national mining policy, it controls and evaluates the implementation of legal requirements. She is the link between government and the mining industry and she is the first point of contact for potential investors and information point for all essential information. The Minerals Commission has an extensive collection of data.

Chamber of Mines

It has existed as a chamber of industry and commerce for the mining sector for over 75 years. As an interest group for mining companies, it is a private sector organization. It draws up proposals for legislation.

Mines Department

The mining authority is responsible for health and safety aspects as well as for the data archive.

Precious Minerals Marketing Corporation (PMMC)

Founded in 1989, PMMC is the only authorized buyer and sole exporter in Ghana for gold, silver, diamonds and other precious and semi-precious stones. An export of these goods is only possible via the PMMC with precise regulations and strict controls. In addition, the PMMC also supports the efforts of goldsmiths, designers and jewelers to process gold and diamonds from Ghana into jewelery and to market them abroad. The company itself produces jewelry on a large scale.

Environmental Protection Agency (EPA)

The EPA is Ghana's state environmental protection agency and, among other things, also responsible for environmental aspects in mining.

Forestry Commission

The Forestry Commission is responsible for all matters relating to Ghana's forests. It controls the implementation of the reforestation guidelines for the mining companies, but has little opportunity to assert itself against the powerful mining industry.

Lands Commission

The Land Commission is responsible for land administration and land policy in Ghana. It collects legal material, documents, etc. for the mining industry, it is what gives leases to the holders of exploration, exploitation and mining licenses issued by the Minerals Commission.

Important mining companies

gold

  • AngloGold Ashanti Corp., joint venture Ghana and South Africa, world's second largest gold mining company, mines: Obuasi, Teberebie, Iduapriem, Ayanfuri, Bibiani, Asikam
  • Goldfields Ghana Ltd. ( Goldfields Ltd. South Africa), world's fourth largest gold producer, concession in Tarkwa and Abosso, mine u. a .: Tarkwa (open pit)
  • Bogoso Goldfields / Prestea Sankofa Gold Ltd. ( Golden Star Resources, USA). The parent company Golden Star Resources is the third largest mining company in the world. Mines: Bogosu (Wassa District), Bondaye (Golden Star)
  • Newmont Minig Corp. (USA), the world's largest gold producer from Denver, Colorado
  • Red Back Mining (USA). Mine: Chirano
  • Naworo Ltd. (Germany), based in Berlin, sub-license of the Newmont concession, still under construction
  • Obenemase Gold Mines (Australia), Mine: Konongo (has since been abandoned)
  • Golderae Mining Co., Mine: Kwabeng (since 1990)
  • Wexford Goldfields Ltd., subsidiary of Bogoso Goldfields , Mine: Akyempim
  • Resolute Amansie Ltd. (Australia)

Other minerals

  • Diamonds: Ghana Consolidated Diamonds, has a state director, Mine: Akwatia
  • Bauxite: Ghana Bauxite Company, 80% participation by Alcan (Canada), mine: Awaso
  • Mangan, Ghana Manganese Company, Mine: Nsuta
  • Tantalum: Afimex / LeoGoldshield, mine: Akim-Oda

Footnotes

  1. ↑ a b c German Embassy Accra ( Memento of the original from October 23, 2013 in the Internet Archive ) Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice. (PDF). @1@ 2Template: Webachiv / IABot / www.accra.diplo.de
  2. ↑ a b c Germanwatch ( Memento of the original from September 28, 2007 in the Internet Archive ) Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice. (PDF; 107 kB) @1@ 2Template: Webachiv / IABot / www.germanwatch.org
  3. ↑ AngloGold-Ashanti website
  4. ↑ In July 2006, the total was around 7.1 billion euros.
  5. ↑ It is about that Pierre Bonnat, who was together with the missionaries Ramseyer and Kühne 1869–1874 in Ashanti captivity and who from 1875 served as governor of the Ashanti King in Salaga.
  6. ↑ Awuda: 5 ° 26 ′  N , 2 ° 5 ′  W.
  7. ↑ a b Tarkwa: 5 ° 18 ′  N , 2 ° 0 ′  W.
  8. ↑ a b c Minerals Commission of Ghana
  9. ^ A b Statistical Tables 1994. Chamber of Mines of South Africa, Johannesburg 2001.
  10. ↑ a b c Linda van Buren: Ghana - Economy. In: Africa South of the Sahara. 29, 2000, pp. 517-542; 30, 2001, pp. 544-571; 34, 2005, pp. 492-519; 35, 2006, pp. 517-545.
  11. ^ Douglas Rimmer: Ghana - Economy. In: Africa South of the Sahara. 1, 1971, pp. 339-371.
  12. ↑ a b goldsheetlinks.com, May 16, 2010.
  13. ↑ a b Investing in A BETTER GHANA. ( Memento from October 4, 2013 in the Internet Archive ) Ghana Budget Plan 2009, March 6, 2010 (PDF; 2.0 MB)
  14. ↑ There are at least five places in Ghana called Obuasi. Is meant Obuasi, the capital of Adansi (earlier notation:.. Oboase u Ä) at 6 ° 10 '0 "  N , 1 ° 41' 0"  W .
  15. ↑ a b c Ghanaweb
  16. ↑ Esase (Esaase): 6 ° 33 ′  N , 1 ° 53 ′  W.
  17. ↑ a b c d e f businessweek.com of April 1, 2010.
  18. ↑ Bekwai (in Sefwi): 6 ° 27 ′  N , 1 ° 35 ′  W
  19. ↑ Nkwakaw: 6 ° 33 ′ 2.3 ″  N , 0 ° 46 ′ 41.5 ″  W.
  20. ↑ The more impurities are contained in the ore than gangue, the higher the effort for ore processing for the electrolysis, in which pure Al 2 O 3 is converted into metallic aluminum. However, higher productive effort also means higher costs and reduces the aluminum yield per tonne of raw ore, which has an impact on the profitability of the overall process.
  21. ↑ Awaso (Western Region): 6 ° 14 ′  N , 2 ° 19 ′  W
  22. ↑ Ajena: 6 ° 18 '  N , 0 ° 4'  O
  23. ↑ businessguideghana.com of May 4, 2010.
  24. ↑ There are at least two cities in Ghana called Nsuta. Is meant Nsuta in the Western region at 5 ° 16 '  N , 1 ° 59'  W .
  25. ↑ For precious stones, 1 carat = 0.205 g. (The decimal places vary depending on the country.)
  26. ↑ is meant Kibi, the capital of Akim-Abuakwa (earlier notation: Kyebi) at 6 ° 10 '  N , 0 ° 33'  W .
  27. ↑ a b There are at least three places in Ghana called Oda. Is meant Oda at 5 ° 55 '  N , 1 ° 0'  W .
  28. ↑ Akwatia: 6 ° 1 ′  N , 0 ° 47 ′  W.
  29. ↑ Kimberley Process Homepage
  30. ↑ africanow.ch ( Memento of the original from December 15, 2006 in the Internet Archive ) Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice.  @1@ 2Template: Webachiv / IABot / www.africanow.ch
  31. ↑ especially for crude oil: 1 barrel [ptr.bbl.] = 158.628 liters [dm³]
  32. ↑ tullowoil.com tullowoil.com of March 10, 2010 (English)
  33. ↑ woz.ch March 14, 2013.
  34. ↑ kosmosenergy.com Kosmos Energy Ghana (English)
  35. ↑ tullowoil.com Tullow Oil Ghana of March 10, 2010 (English)
  36. ^ Anadarko Announces Successful Appraisal of Tweneboa Discovery. ( Memento from October 17, 2014 in the Internet Archive ) Anadarko Petroleum from January 21, 2010 (English)
  37. ↑ gnpcghana.com Ghana National Petroleum Corporation (English)
  38. ↑ Friederike Freiburg: Ghana's Future - The Power of Black Gold. In: Spiegel online. April 19, 2010.
  39. ↑ epo.de of May 4, 2010.

The figures for exports vary considerably depending on the source. The given currency values ​​are based on the INCOTERMS clause FOB (free on board).

swell

  • German Embassy, ​​Accra
  • Jim Silver: The failure of European mining companies in the nineteenth-century Gold Coast. In: Journal of African History. 22, 4, 1981, pp. 511-529.
  • Walter Victor Oertly: Central economic problems in Ghan since independence - development of primary production and external debt. Bern / Frankfurt am Main 1971, DNB 720083370 .
  • Gustav Gast: The British Gold Coast Colony - A Physico-Geographic Study. Reprint from the communications of the Leipzig Geographic Society 1919–1922, Leipzig 1922.

Web links