Highlights

  • Ghana's Gold Board has opened consultations on a programme to formalise and finance the country's artisanal and small-scale gold Mining sector.
  • The board's chief executive has pointed to models in Colombia, Mongolia, Peru and Tanzania as examples to learn from.
  • A cooperative registration and skills initiative aims to promote mercury-free processing, land reclamation and safer mining practices.

Gold Supply chains in West Africa are a recurring theme for Australian market participants, given the region's importance as a source of global gold output and the presence of several ASX-listed companies operating there. For readers following Gold Stocks, a new policy step in Ghana offers context on how governments are seeking greater control and transparency over gold production. The Ghana Gold Board, known as GoldBod, has begun consultations on its Artisanal and Small-Scale Mining Formalisation and Financing Support Program, which it plans to implement next year. The initiative is designed to bring informal miners into structured frameworks, strengthen traceability and improve environmental and safety standards across a sector that supports a large share of Ghana's gold output and many livelihoods.

GoldBod Launches Consultation on Formalisation

GoldBod announced the start of consultations on the programme in late October. The initiative aligns with the board's statutory mandate under the Ghana Gold Board Act, which requires it to promote formalisation of artisanal and small-scale mining with a focus on responsible sourcing, sustainable supply chains, traceability and international best practice.

According to the board, the programme will establish structured frameworks, strengthen accountability across the gold supply chain and provide financial support to improve the sector's organisation. Deputy Chief Executive Richard Nunekpeku said stakeholder input would be invited throughout the framework's development.

International Models Cited by Sammy Gyamfi

GoldBod Chief Executive Sammy Gyamfi highlighted several countries as examples. Colombia has introduced a special legal framework to formalise small-scale miners through a central mining system, with unauthorised mining subject to prosecution. Mongolia's regulations organised artisanal miners into cooperatives and partnerships, an approach recognised by the United Nations Environment Programme.

Peru maintains a registry that collects and validates information on people engaged in small-scale mining, while Tanzania's identification approach led a large cohort of mining groups to form and encouraged others to formalise. Gyamfi said Ghana would draw lessons from these experiences.

The Cooperative Mining and Skills Programme

A central element is the Responsible Cooperative Mining and Skills Development Program, which seeks to register eligible informal miners into cooperatives. Participants would receive Training in sustainable mining, mercury-free processing, land reclamation and environmentally responsible practices.

Gyamfi argued that properly organised small-scale mining offers a pathway from mineral ownership in law to indigenous ownership in practice. He said that with sound formalisation and modern technology, the sector could improve recovery rates, safety and environmental protection while creating jobs, generating foreign exchange and growing local enterprise.

GoldBod's Expanding Role in Ghana's Gold Trade

GoldBod describes itself as the sole authority with exclusive rights to trade gold from artisanal and small-scale miners through its licensed aggregators. Since its establishment, the board has become a significant source of foreign exchange for Ghana, publishing regular updates on the foreign currency it supplies to local banks.

The formalisation push comes amid public debate in Ghana about illegal mining, known locally as galamsey, which has been linked to river pollution and land degradation. GoldBod has recently rejected claims that its Leadership endorsed illegal mining, stressing that its approach centres on bringing miners under regulation.

Implications for the Wider Gold Sector

Formalisation can raise environmental and safety standards and reduce the instability often associated with informal mining, particularly when high gold prices attract new entrants. For large-scale operators in Ghana, including those listed on the ASX, clearer rules for artisanal miners may help reduce conflicts over land access and illegal incursions onto licensed tenements.

Traceability is also increasingly important to refiners and end users, who face growing scrutiny over the origins of the gold they handle. Stronger documentation of artisanal supply could improve market access for Ghanaian gold.

Challenges in Delivering Formalisation

Formalising a large informal workforce is complex, requiring funding, technical support, enforcement and community trust. Experiences in other countries show that progress can be gradual and that registration alone does not guarantee improved practices.

The programme's success will depend on how GoldBod balances incentives for miners with environmental enforcement and on the capacity of local institutions to support cooperatives over time. Access to affordable finance, equipment and technical advice will be important if registered miners are to adopt cleaner methods, and the consultation process is expected to test how these practical needs can be met.

A Policy Shift With Regional Significance

GoldBod's consultation on formalising artisanal and small-scale mining marks a significant policy step for Ghana, drawing on international models and focusing on cooperatives, training and traceability. If implemented effectively, the programme could influence environmental standards, land access and supply chain transparency. For Australian readers following gold, the initiative is part of the evolving operating landscape in West Africa, a region relevant to several ASX gold companies.