Lands and Natural Resources Minister, Samuel Abu Jinapor says the establishment of a Ghana Lithium Mining Company is not feasible.
Speaking at a press conference to address concerns raised by the government’s contract with Barari DV Ghana Limited, he said that while the government had considered creating an entity to undertake lithium mining and develop the value chain of the mineral in the country, further studies had proven that that option was not feasible.
“Ladies and gentlemen of the press, it will be recalled that the policy statement presented to parliament last year considered the establishing of an entity along the lines of the Ghana Integrated Aluminium Development Corporation (GIADEC) and the Ghana Integrated Iron and Steel Development Corporation (GIISDEC), however, the volumes of the mineral we have currently and our quest to ensure optimal benefit for the exploitation of this mineral meant that that option was not feasible for several considerations,” he explained.
He noted that, taking into consideration the volume of lithium in the country, the government’s first action has been to ensure the retention of a significant part of the lithium value chain in the country in the deal signed with Barari DV Ghana Limited.
He is hopeful that the country will be able to eventually develop the full value chain in the near future.
“Firstly, globally, only China has an end-to-end lithium value chain. This is why we have instituted in this transaction the retention of a significant part of the value chain which we will work systematically to eventually construct here in our country the full value chain for lithium. But as we have said we will not export lithium in its raw form,” he said.
He assured that Ghana’s lithium resources will not be exported in their raw state.
“Everything we have done in respect of this transaction and all the measures we have put in place in respect of this particular transaction will mean that Ghana’s lithium resources will not be exported in their raw state. That is why the mining lease provides establishment of a refinery and the provision or the use of other linkages to support local industries in Ghana,” he said.
He added that the government had ensured that the interest of Ghanaians remained paramount throughout the negotiation process for the lithium deal.
“It has been months of thorough negotiations and hard work in respect of this transaction. Nothing has been agreed to casually, everything has been thought-through and everything has been worked out and all the options have been considered and what we’ve arrived at is in the interest of the good people of Ghana,” he said.
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