LAW PILL SERIES

MINERALS RESOURCES IN GHANA

Ghana is well endowed with substantial mineral resources, the major ones being Gold, Diamonds, Manganese, and Bauxite. Gold is the majority mineral produced in the country accounting for over 90% of all mineral revenues annually over the past two decades.

Small-scale mining of precious minerals continues to make significant contributions to the country’s foreign exchange earnings. It was estimated that in 2018 more than?43% of the total gold output?in Ghana, contributing almost 2.13 million ounces of gold came from artisanal and small-scale miners.

Artisanal and small-scale mining is estimated to support the livelihoods of some?4.5 million Ghanaians. It is said that all diamond production is now from small-scale mining.

OWNERSHIP OF MINERAL RESOURCES IN GHANA

The well-known law governing the ownership of mineral resources provides for the collective ownership of mineral resources by the people (citizens) of a state. The 1992 Constitution Article 257(6) of the Republic of Ghana set out the General Ownership regime for Mineral Resources in Ghana. Article 257(6) provides as follows:

“Every mineral in its natural state in, under, or upon any land in Ghana, rivers, streams, water courses throughout Ghana, the exclusive economic zone, and any area covered by the territorial sea or continental shelf is the property of the Republic of Ghana and shall be vested in the President on behalf of, and in trust for the people of Ghana.”

The above Ownership law of Mineral Resources is more specifically detailed in the Minerals and Mining Act, 2006 (Act 703) (MMA). Section 1 of the MMA details the state ownership of the Mineral Resources in Ghana as provided in Article 257(6) of the 1992 Constitution.?