Goldfields pays 27.6 billion cedis dividend to government

Accra, July 18, GNA - Goldfields Ghana on Tuesday presented a cheque for 27.6 billion cedis to the Government as its final dividend for the year 2005/2006.

The amount represents a final dividend of 18.4 billion cedis from Abosso Goldfields, Damang Mines (a subsidiary) and 9.2 billion cedis from the Tarkwa Gold Mine for the year under review.

This brings to three, the number of presentations to Government this year by Goldfields for the financial year 2005/2006 through the Ministry of Lands, Forestry and Mines. The first was by Abosso Goldfields Damang Mine in February whilst that by the Tarkwa Mines was in April.

Mr Mike Ezan, Executive Director, Goldfields Ghana Limited, who presented the cheque on behalf of the Company and its subsidiary, said they had to date presented dividends amounting to 137 billion cedis (US $14 million) to the Government.

He said from a modest beginning in 1993, Goldfields Ghana had risen to become the leading gold producing company in Ghana with annual production in excess of 900,000 ounces.

Mr Ezan said plans were ongoing to double the capacity of the processing mill at the Tarkwa Mine to ensure increased production, higher gold recovery and decrease the production cost. The Company would also review its underground operation at the Tarkwa Mine to enable it to establish the underground economic potential of the areas between Tarkwa and Abosso.

Mr Ezan said the Damang Mine had been awarded the most environmentally committed mining company by the Environmental Protection Agency for the second consecutive year. "This award was in recognition of the Company's commitment to social issues and strict compliance with laid down procedures, rules and regulations," he said.

Mr Ezan pledged the Company's continued commitment to contributing towards the sustainable development of Ghana through proactive programmes for safety and health, corporate social responsibility, good community relations and innovative rehabilitation programmes. Professor Dominic Kweku Fobih, Minister of Lands, Forestry and Mines, who received the dividend on behalf of the Government, praised Goldfields and its partners for being fully committed to sustainable development principles and sound environmental management. He said Goldfields had gained an enviable position of being one of the few companies that had continuously made prompt payment of Government's dividends since 2001.

He noted that the Government would continue to pursue policies that would attract high quality investments into the mining sector.