With Guinea revoking more than 129 licenses of the bauxite miners, Ghana is now following a similar step. Starting with a local firm, Rocksure International, Ghana has cancelled the bauxite lease worth USD 1.2 billion. The major cause behind the cancellation was the lease being ratified by the parliament.
Under Ghana’s legal framework, a landmark 2019 Supreme Court decision, widely known as the “Exton Cubic ruling” established that any mining lease not ratified by Parliament is deemed legally void. This legal precedent empowered the Ministry of Lands and Natural Resources to formally notify Rocksure of the termination of its mining lease.
After cancelling the lease of its local firm, Rocksure International, Ghana is currently seeking a partnership with international companies. The major potential partnership will be drafted with the Dubai-based Emirates Global Aluminium (EGA) and with two other Chinese firms, whose names are yet to be revealed.
Relation with Rocksure before revocation
Rocksure held a lease over the Nyinahin Hills in central Ghana, which contained an estimated 376 million tonnes of bauxite, an essential raw material for aluminium production. The lease formed the foundation for a joint venture between Rocksure and the state-owned Ghana Integrated Aluminium Development Corporation (GIADEC) to develop a bauxite mine and alumina refinery. Rocksure held a 70 per cent stake in the Asante Bauxite Company JV, while GIADEC and the Government of Ghana held 20 per cent and 10 per cent, respectively.
Back on September 16, 2021, the state-owned Ghana Integrated Aluminium Development Corporation (GIADEC) signed a USD 1.2 billion agreement with Rocksure International. As part of the deal, Rocksure was assigned to develop a bauxite mine at Nyinahin-Mpasaaso in central Ghana, valued at approximately USD 200 million, along with an alumina refinery estimated at USD 1 billion, according to GIADEC CEO Michael Ansah.
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