Gold Fields ends ops at Ghana's Damang mine after govt rejects lease renewal

South Africa's Gold Fields (GFIJ.J) said on Monday it is winding down operations at its Damang mine in Ghana after the government rejected an application to extend the lease.

The Johannesburg-based miner has been weighing selling its smaller operations - including Damang and the Cerro Corona mine in Peru, which has less than five years left on its lifespan - as it focuses on its newly commissioned Salares Norte mine in Chile and the Windfall project in Canada.

Gold Fields was only processing stockpiles at Damang after ceasing mining operations in 2023 although the company had committed to exit the operation in an orderly way as part of its end-of-life plan. The company said in a statement it had unsuccessfully applied to extend the Damang lease, which is due to expire on April 18.

"The government has instructed Gold Fields to cease operations and vacate the lease area by the 18th April on expiry of the lease," Gold Fields said. The company was "preparing to safely and responsibly cease operations and ensure the safety and security of our people and high-risk operations," it added.

Damang is the smaller of Gold Fields' two mines in Ghana after Tarkwa, the biggest open pit gold mine in the country. Damang produced 135,000 ounces of gold in 2024, about 6% of the group's total output of 2.15 million ounces.