A fresh push has been made to terminate the Bogoso–Prestea mining lease, with the Catchment Area Community Alliance (CACA) insisting that ongoing regulatory reviews should lead to the immediate revocation of the contract held by Heath Goldfields Limited.
Speaking at a press conference, legal counsel for CACA, Martin Kpebu, said the current technical assessment by the Minerals Commission must result in decisive action by the Minister for Lands and Natural Resources.
According to him, the Commission’s ongoing review is aimed at determining whether Heath Goldfields has complied with the conditions outlined in the Notice to Remedy Breaches and the broader terms of its mining lease. However, he argued that available evidence already points to a clear conclusion.
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“We are confident that the Minister will direct the termination of the lease since it is overwhelmingly clear that the company is not financially sound to manage the mine,” he stated.
CACA’s position is partly anchored in the circumstances surrounding the previous operator, Future Global Resources (FGR), whose lease was revoked after failing to meet statutory payments and creditor obligations.
Those liabilities, the group noted, were effectively inherited by Heath Goldfields, with strict timelines imposed, requiring negotiations and commencement of payments within days of the November 2024 award.
However, CACA claims that these obligations remain largely unpaid, raising serious questions about the company’s capacity to manage the asset.
The group also raised alarm over a $65 million financing agreement between Heath Goldfields and global commodities firm Trafigura.
CACA alleges the arrangement violates both the 1992 Constitution and the Minerals and Mining Act, 2006 (Act 703), particularly provisions requiring parliamentary ratification of mining leases and ministerial approval before any encumbrance on mineral rights.
The agreement reportedly grants Trafigura a first-ranking charge over nearly all company assets, including bank accounts, infrastructure, and even the mining leases themselves.
More controversially, provisions within the deal allow enforcement actions—including asset seizure—without prior judicial process, raising fears that control over the mine could shift to a foreign lender without full state oversight.
“This creates a dangerous precedent where sovereign mineral assets could effectively be mortgaged without proper approval,” Martin Kpebu warned.
CACA further questioned the financial structure underpinning the lease, pointing to inconsistencies between the originally touted $500 million investment from Yilmaden Holding and a revised financing plan totaling $205 million from multiple sources.
Of that amount, the group said only $30 million—reportedly from a shareholder loan- had been disbursed as of late 2025, with no evidence of funding from other listed institutions. Total expenditure on the mine so far is estimated at $23.7 million, a figure stakeholders say falls far short of what is required to revive operations at the strategically important asset.
CACA maintains that the combination of financial shortfalls, unmet obligations, and what it describes as unauthorized collateralization of national assets justifies immediate termination of the lease.
The group urged the Minister to act under Section 68(2) of Act 703, arguing that continued occupancy of the lease by Heath Goldfields cannot be justified under current conditions.
“The people of Prestea are yearning for a capable and well-resourced investor,” Martin Kpebu said, appealing for swift intervention to restore confidence and unlock the mine’s economic potential.