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Minerals Commission Rejects Narawa’s Claim of Unlawful Lease Termination

The Commission said the company’s leases were terminated after a US$909,127.79 fee default, and the State now holds the rights.

Commission statement on Narawa mining lease termination
Minerals Commission Rejects Narawa’s Claim of Unlawful Lease Termination

The Minerals Commission denied Narawa Company Limited’s allegation that it unlawfully terminated the company’s Nsutam and Osiem mining leases and transferred operations to an individual. The Commission said the leases were cancelled after Narawa failed to pay the annual mineral right fees totalling US$909,127.79, a requirement under Section 24 of the Minerals and Mining Act, 2006 (Act 703) and Clause 27 of its lease agreement with the Government of Ghana.

Despite being served with Notices to Remedy Breach under section 68(2) of Act 703 and regulation 200(3) of the Minerals and Mining (Licensing) Regulations, 2012 (L.I. 2176), Narawa did not settle the outstanding amount within the stipulated period. The Commission recommended termination to the Minister for Lands and Natural Resources on 29 July 2025, and the Minister approved it on 19 August 2025. A formal notice of termination was issued to Narawa on 3 September 2025.

The Commission clarified that the termination meant Narawa no longer held any valid mineral rights over the Nsutam and Osiem concession areas, as the rights reverted to the State. It added that any activity by Narawa on the concessions after the termination date would constitute illegal mining. The Commission also denied that it had sanctioned an invasion of the concessions, noting that the State had granted new mineral rights to two separate entities who are now operating lawfully.

Narawa has initiated arbitration proceedings on 12 December 2025 to challenge the termination, but the matter remains pending. Until a final determination is made, the termination of the leases remains in full force and effect. The Commission called Narawa’s public allegations “misleading” and urged the company to resolve the dispute through the competent court rather than media trials.

The Minerals Commission reiterated its commitment to the transparent and lawful administration of Ghana’s mineral resources and stated it would not be swayed by attempts to misinform the public or circumvent due legal process.

Written by

Daniel

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