Newmont Officials visit GNA

Accra, Feb. 7, GNA - Newmont Ghana Gold Limited, a subsidiary of Newmont Mining Corporation, says its biggest challenge apart from the current power crisis is how to manage community expectations of employment.Speaking during a visit to the Ghana News Agency to acquaint himself with operations, Dr Chris Anderson, Director, External Affairs, Africa and Europe, said while the Company had a commitment of employing local population at the Ahafo Project, it was important for Ghanaians to understand that not everyone could be engaged.The Company currently employs about 2,500 people about 98 per cent of which are Ghanaians. During the peak of construction the Company engaged about 4,000 people.Production of gold at the 476 million-dollar Ahafo Mine, one of Newmont's two projects in Ghana, began in July 2006. The Mine is expected to produce half a million fine ounces of gold annually.
   Dr Anderson said the Company was prepared to work with the community and train the local population to set up their own enterprises so as not to sacrifice the development of the community when the mine expired.He said Newmont in collaboration with the International Finance Corporation was prepared to help local small and medium-sized firms by putting them in the position to become potential suppliers and providers of services such as food, laundry, equipment maintenance and cleaning to Ahafo and other ventures outside the Mine.   
   "There is no better value than increasing the skills level of people in the local communities and equipping them to take tasks beyond just this project", he said.Touching on royalty payments, Dr Anderson said the Company had paid 3.6 million dollars for the five months of production and the expectations are that the amount could be doubled to seven million dollars at the end of 2007.
    He said to ensure that the amount of royalties to the District Assemblies and communities made the necessary impact on the ground, Newmont was at the forefront of proposals to increase the royalty payment from the current nine per cent to 30 per cent.
    Dr Anderson said the Company was also setting aside one dollar on each ounce of gold to meet its social responsibility to the communities within the mine area.On the environment, Dr Anderson said the Company was determined to bring down the best environmental practices elsewhere to safeguard the environment.It is in this direction that the Company signed the International Cyanide Management Code to which it obtained a certification as a good adherent.On the Akyem Project, Dr Anderson said uncertainty of electricity supply had been the major source of delay of work on the mine, which was estimated to have eight million ounces of gold.He said in the short term, Newmont would invest more money in Ahafo and get ahead with the Akyem Project once the power situation had improved.
    Dr Anderson lauded GNA's balanced coverage of activities of the Company and pledged the readiness of the Management to answer any questions about the operations of the Company.Newmont, the world's biggest gold producer, acquired Normandy Mining, which was operating in Ghana, three years ago and has so far invested 750 million dollars in the Ahafo Project.Mr Boakye-Dankwa Boadi, Supervising Chief Editor, said the Ghana News Agency would continue to offer balanced and professional reportage on mining issues.
He urged the Management of Newmont to narrow the areas of rift between it and the communities so as to reduce tension in its areas of operation.
7 Feb. 07

Technorati Tags :  Ghana