The Minister of Lands and Natural Resources, Samuel Abu Jinapor, has maintained that Ghana benefited most from the contentious lithium transaction.
According to him, the lithium agreement between the Ghanaian government and Barari DV Ghana Limited will have a major positive impact on the nation.
Mr. Abu Jinapor revealed that the contract’s execution will give Ghana 10% in royalties during a press briefing on Ghana’s First Lithium Contract, Terms, Benefits, and the Way Forward at the Ministry of Information.
According to him, the anticipated 10 percent royalties will rank among the highest in the history of mineral exploration in the nation.
“Suffice for me to point out that it is the first time in the history of our country that we have successfully negotiated for 10 percent royalties for any mineral which is one of the highest for the exploration of any mineral across the world.”
In addition, Mr. Abu Jinapor said, the government has managed to secure a 19% state share in Barari DV Limited, the contract mining company, with the goal of increasing that share to 30% by the contract’s conclusion.
“We have already secured 19 percent state participation in this mining company with the requirement to scale it up to a minimum of Ghanaian participation through listing on the Ghana Stock Exchange for shares to be made available to Ghanaians and Ghanaian entities.
“What this simply means is that when it is all over, Barari DV Limited, the holder of this mineral right of lithium, Ghanaian and state participation will be 30 percent and foreign participation will be a maximum of 70 percent and this has never happened in the history of our country in respect of any mineral.
“And for the first time in the history of our country, a mineral lease contains provision for the establishment of a refinery and that is value addition and appreciation and this is the first time.”
Projects throughout Africa are gaining interest as a result of the increasing demand and skyrocketing prices for lithium, a crucial component of batteries used in electric cars.
