Ghana Ratifies Mining Lease for Bauxite Company, Boosting Production Prospects

Ghanaian MPs have unanimously ratified the mining lease granted to the Ghana Bauxite Company (GBC) on June 26, 2024. GBC, which is 80% owned by local firm Ofori-Poku Company Limited and 20% by the government, operates the country's sole bauxite mine in Awaso.

The ratification of the lease is a significant step for Ghana's ambitions to develop a local aluminum production industry. Currently, GBC exports most of its production to China. Ofori-Poku Company Limited acquired its majority stake in GBC from China's Bosai Minerals in 2022.

In 2023, bauxite production in Ghana increased by 24.1% year-on-year to 959,601 tonnes, according to the Chamber of Mines. Production is expected to rise further in 2024, potentially reaching between 1.2 million and 1.5 million tonnes.

Awaso is one of four key projects that Ghana is relying on to establish a robust aluminum production sector.