2023 Acquisition Talks: E&P set to operate Damang Mine - Report

Fresh documents reviewed by this newspaper show that Engineers and Planners (E&P) Company Limited, an indigenous mining contractor with over 30 years experience, began positioning itself to assume operations of the Damang Mine several years before the mine’s eventual transition from Gold Fields to the Government of Ghana.

The documents outline a detailed chronological trail of letters, requests and official engagements between the parties, indicating that the process dates back to at least 2022, when the Ghanaian mining services company began exploring the possibility of acquiring the Damang asset.

Over its operational life, the mine has produced more than four million ounces of gold, making it a significant contributor to the country’s mining output.

The mine’s 30-year mining lease expired in 2025, but the government granted a one-year extension to allow for a smooth transition of ownership and operations.

Gold Fields has since indicated that it intends to formally hand over the mine to the Government of Ghana on April 18, 2026, barely a month away.

Yet documents now emerging suggest that a potential transition to a Ghanaian operator, specifically E&P, had been under discussion for several years.

Damang youth petition government to grant mine concession to E&P

Early positioning by E&P

The earliest indications of E&P’s interest in the Damang Mine appear in engagements dating back to 2022, when the company began initiating discussions around the potential acquisition of the mine or its underlying shareholding structure.

At the time, E&P was already operating at Damang as a mining contractor, providing services within the mine’s operations.

This placed the Ghanaian firm in a unique position: it possessed operational familiarity with the mine and its geological conditions, as well as established working relationships with Gold Fields’ management.

Gold Fields signals end of pit mining in 2023

The first significant turning point in the timeline appears in September 2023.

In a letter dated September 4, 2023, titled Notice of Demobilisation, Gold Fields informed E&P that the company intended to wind down operations at the Damang Mine.

The letter requested E&P to demobilise all mining equipment from the site, signalling that the company was preparing to transition away from active pit mining.

Gold Fields explained that mining of the pits would be completed by December 2023.

According to the company, the plan was to treat existing stockpiles until the end of the mine’s life in 2025, meaning that no further pit mining would occur once the Huni and LKG pits were completely mined out by the end of 2023.

The demobilisation directive effectively indicated that Gold Fields was entering the final phase of operations at Damang.

Gold Fields confirms April 2026 exit from Damang Mine

E&P proposes to buy Damang Mine

Rather than withdraw quietly from the site, E&P responded with a strategic counter-proposal.

In a letter dated September 25, 2023, addressed to the Chief Executive Officer of Gold Fields, the Ghanaian mining company formally requested the opportunity to purchase the Damang Mine.

The proposal represented a bold move by the indigenous contractor, signalling its intention to transform from a service provider into a mine owner.

However, the response from Gold Fields created further uncertainty.

Gold Fields shifts position

Just four days later, in an email dated September 29, 2023, Gold Fields indicated that it was still assessing its options regarding the future of the Damang Mine.

The email was sent by Jacob Ricciardone, Acting Executive Vice-President for Strategy, Strategic Planning and Corporate Development at Gold Fields.

In the correspondence, Ricciardone told E&P that once the company completed its internal assessment of the mine’s future, it would inform the Ghanaian contractor of its intentions.

The communication created a puzzling situation.

While Gold Fields had already instructed E&P to demobilise its equipment from the mine, the company simultaneously stated that it had not yet reached a final decision on the future ownership or operational structure of the Damang asset.

Industry observers say this apparent contradiction left the future of the mine uncertain.

Government engagement begins

The next major development occurred in 2024, when E&P escalated its bid by engaging the Government of Ghana.

Under the Minerals and Mining Act, 2006 (Act 703), the transfer of mining interests or shares in a mining asset requires approval from the government through the Ministry of Lands and Natural Resources.

In pursuit of its acquisition proposal, E&P formally applied for a “no objection” letter from the ministry to support its planned purchase of the Damang asset.

On March 12, 2024, the ministry issued the requested document.

The letter, signed by Prof. Patrick K. Agbesinyale, confirmed that the ministry had no objection to Gold Fields and E&P finalising a transaction for the acquisition of shares related to the Damang Mine.

However, the ministry also noted that any final agreement would need to be submitted for government approval.

E&P has since argued that this approval in principle effectively opened the door for the two companies to conclude negotiations for the transfer of the mine.

Gold Fields Ghana to handover Damang Mine to government in April 2026

Transition discussions intensify

Correspondence between the parties continued over the following months as discussions around the future of the mine progressed.

In a letter dated November 11, 2025, titled Checklist of Recommendations for the Transition and Future Operations of the Damang Mine, Gold Fields acknowledged the operational experience of the incumbent contractor.

The letter noted that E&P was well-experienced in the operating conditions at Damang, suggesting that the company would be well positioned to support continued operations depending on the final ownership structure.

The document signed by Elliot Twum and copied to the Chief Executive Officer of the Minerals Commission, Isaac Tandoh, and Gold Fields CEO Mike Fraser, highlighted the urgency of determining the future operator.

It warned that if a new operator was not confirmed in time, the mine could face challenges in securing the necessary permits and licences, potentially leading to a suspension of operations.

Government acknowledges acquisition discussions

Further evidence of the ongoing negotiations emerged in December 2025.

In a letter dated December 8, 2025, the Minister for Lands and Natural Resources, Emmanuel Armah Kofi Buah, confirmed that he was aware that E&P had engaged Gold Fields to acquire its shares in the Damang Mine.

The minister’s letter, addressed to Gold Fields CEO Mike Fraser, also accepted the company’s recommendation to include E&P in the mine’s transition team.

This decision formally recognised the Ghanaian contractor as a key participant in the process of transferring the mine’s operations.

E&P presses for final negotiations

In a follow-up letter dated December 16, 2025, addressed to the CEO of Gold Fields, E&P indicated that several discussions had already taken place between officials of the two companies.

During those discussions, E&P said it had been advised to formally apply for the no-objection letter from the Ministry of Lands and Natural Resources.

Having secured that approval in March 2024, E&P argued that the next step was for the parties to finalise the agreement for the acquisition of the shares, subject to government approval.

The company therefore requested a meeting with Gold Fields to discuss the modalities of the acquisition.

Frustration over lack of response

However, by early 2026, E&P indicated that it had not received a response to its request for a meeting.

In another letter dated January 26, 2026, addressed again to Gold Fields CEO Mike Fraser, the company pointed out that its earlier request for discussions on the acquisition had not been answered.

This silence came as the deadline for the mine’s transition drew closer.

Countdown to handover

With the Damang lease having expired in 2025 and a one-year transition extension granted by the government, the clock is now ticking toward the planned handover.

Gold Fields has stated that it intends to transfer the Damang Mine to the Government of Ghana on April 18, 2026.

What the documents reveal beyond doubt is that the Ghanaian mining firm has been positioning itself for the Damang opportunity for several years, through formal correspondence, regulatory approvals and negotiations with both the mine’s current owners and the government.

As the transition date approaches, the future of one of Ghana’s long-standing gold mines now hangs on the final decisions of regulators and policymakers.