E&P Seals Acquisition of Black Volta Gold Mine

Ghana has recorded a major milestone in its mining history following the announcement that Engineers & Planners (E&P), a wholly Ghanaian-owned firm, has acquired full ownership of the Black Volta Gold Project in Wa, in the Upper West region of the country.

 Backed by a $100 million facility from the ECOWAS Bank for Investment and Development (EBID), the acquisition marks the country’s first large-scale gold mine to be fully owned and led by an indigenous company.

The announcement was made at a formal signing ceremony in Accra on July 7, where E&P CEO Ibrahim Mahama described the transaction as a historic achievement for Ghanaian enterprise and resource sovereignty.

“This is a very significant milestone for this nation, to have the first indigenous mining firm acquire a 100 percent stake in a large-scale mine in Ghana,” Mahama said.

The acquisition follows initial discussions between E&P and the owners of Azumah Resources Ghana Limited (ARGL), whose parent company is Ibaera Capital. Mahama revealed that the idea was first presented to him in early 2023, though he was initially hesitant due to the project’s history of delays.

However, following sustained engagement by ARGL and the Minerals Commission, E&P’s technical team conducted thorough due diligence and confirmed the project’s economic viability. This led to the signing of a Project Acquisition and Development Framework Agreement in October 2023. Under the agreement, E&P committed to financing the project through an earn-in arrangement, which Mahama stated the company has “religiously fulfilled to date.”

Expected to produce an average of 163,000 ounces of gold annually during its first five years, approximately five tonnes per year, the Black Volta project will contribute around 3 percent of Ghana’s projected 2025 national output of 150 tonnes.

A Turning Point in Local Mining Ownership

The significance of the deal was further underscored by Sir Samuel Esson Jonah, who chaired the ceremony. Widely regarded as a pioneer in African mining, Jonah described the moment as a turning point in Ghana’s long and complex relationship with the extractive sector.

“We are here to celebrate a milestone, affirm a vision, and embrace a bold new chapter in Ghana’s economic story led not by foreign interests but by our own,” Jonah declared.

He emphasized that the success of the deal was rooted in merit and business fundamentals, not political influence or favouritism.

“This is not a favour. This is not political patronage. This is not crony capitalism. The deal was signed with no fanfare, no interference, and no backroom dealing. It is a commercial transaction built on merit and backed by a strong balance sheet,” he said.

Jonah, who advised a young Ibrahim Mahama in the late 1990s to pursue hard rock mining rather than alluvial operations, praised the company’s evolution and the significance of its latest move.

“You are living out my dream. A dream that many believed was too ambitious. You are proof that when local talent is matched with strategic discipline and bold leadership, nothing is impossible.”

Integration, Value Retention and Policy Reform

The transaction has reignited calls for deeper local integration in Ghana’s mining sector. Jonah pointed out that despite its contribution to foreign exchange earnings, the sector has remained largely disconnected from the wider economy due to foreign ownership, offshore procurement, and limited value retention.

He stressed that when mines are Ghanaian-owned and decision-making is local, the mining sector’s contribution to GDP, employment, and industrial development would be significantly enhanced.

“This is the kind of change we need. Ownership matters. Equity matters. And national pride demands that we do more to ensure our people are at the heart of our mineral wealth,” he said.

Jonah cited South Africa’s Black Economic Empowerment framework and the rise of entrepreneur Patrice Motsepe as a model that Ghana can emulate through deliberate policy actions that give local firms access to capital and opportunity.

He called on government to offer clear incentives and policy reforms that make it easier for Ghanaian companies to thrive in the sector, and praised EBID’s decision to finance the project.

“Your decision to back this project with a $100 million facility is a bold endorsement of indigenous entrepreneurship. You have not only provided financing. You have de-risked hope.”

E&P’s Commitment to Responsible Mining

Mahama reaffirmed that E&P is committed to upholding the highest standards of environmental protection, safety, and community engagement.

“This is not just a business win. It is a responsibility. We will ensure that the benefits of this project are felt by our employees, our host communities, and the Ghanaian economy as a whole.”

As Ghana intensifies its push for greater local content across extractive industries, the Black Volta project stands as a powerful symbol of what can be achieved when local capability is matched with vision, financial backing, and policy support.

“This must be the dawn of a new era,” Jonah concluded. “Let this day be remembered as the moment we turned the corner from resource extraction for others to resource empowerment for ourselves.”

Read More