Prestea Sankofa Gold Mine Invests Millions to Boost Production and Secure Future

Managing Director Alhaji Ishaq Dauda disclosed that these projects are central to a broader strategy to enhance recovery efficiency and strengthen the state-owned company's operational capacity.

“The processing section and dam area form the heart of the organization,” Alhaji Dauda said during a tour of the facility in the Prestea Huni-Valley Municipality. He explained that management decided to prioritize the upgrades without halting operations, using a phased approach.

“Most of the tanks are very old, so we decided to refurbish them one after the other instead of shutting down completely,” he said. “We have eight tanks- we drain one, refurbish it, hand it over, and move to the next. The exercise is expected to be completed by December.”

The Managing Director emphasized the critical importance of the tanks to the company's output. “If the tanks are not in good shape, recovery becomes very poor and we risk losing gold in the process. But when everything functions well, we can trap and process more efficiently.”

Once completed, the refurbishment is projected to increase the mine's production capacity by 50 percent. This builds on recent strong performance, where monthly gold output has already doubled from 25 kilograms to 50 kilograms since Alhaji Dauda assumed office, a growth he attributes to improved maintenance and operational efficiency.

“Even as we work on the refurbishment, our minimum output is now 50 kilograms per month,” he noted. “Once we complete the tanks and the dam by December, our target is to reach at least 150 kilograms per month.”

Community Engagement and Security

Beyond the operational upgrades, Alhaji Dauda highlighted the company's commitment to its host communities. Recent initiatives have included a breast cancer screening exercise for 300 women, and the company is collaborating with the traditional council on plans to build a community library.

He also noted that about 85 percent of recent recruits are from local communities, underscoring a policy of inclusive growth. “We always ensure that the people in our host communities benefit directly from our operations,” he stressed. “This builds trust and strengthens our relationship with them.”

On security, the MD acknowledged that illegal mining continues to pose a challenge. “There are attempts by illegal miners to encroach, but we have put strong security arrangements in place to ward them off,” he said.

Transition to Hard Rock Mining

Looking to the future, Alhaji Dauda explained that the mine's current operations rely on processing tailings, which have a limited lifespan of about five years. For long-term stability, management is actively engaging stakeholders to secure additional concessions for hard rock mining.

“At a point, tailings alone will not be sustainable,” he said. “We need our own concessions to mine hard rock. That’s the future of the company.”

He revealed that exploration work has already defined approximately 400,000 ounces of gold, a figure expected to rise with further drilling. The company has invested over $3.5 million in exploration and preparatory activities to open up new mining areas.

With strong global gold prices, management is optimistic about the mine's prospects. “We are building buffers that will sustain the company,” Alhaji Dauda stated. “Once we secure our own concessions, we are confident that Prestea Sankofa Gold Mine will remain profitable and resilient for years to come.”

Owned 90% by the Ghana National Petroleum Corporation (GNPC) and 10% by the Government of Ghana, the revitalized Prestea Sankofa Gold Mine is positioning itself to reclaim its place as a leading state-owned gold producer.

“Our focus is not just on production,” Alhaji Dauda concluded, “but on building a mine that creates value for the community, our shareholders, and the entire nation.”

Source: Nana Esi Brew Monney