ENVIRONMENT

Majority on land and Natural Resources Committee pushes for amendment on lithium agreement

The Lands and Natural Resources Committee has called for an amendment to the law on mining royalties to adjust the lithium agreement royalty from five percent to a better rate, likely 10 percent or more.

Date Created : 11/25/2025 : Story Author : Kwaku Sakyi-Danso/Ghanadistricts.com

The Chairperson of the Committee, Collins Dauda noted that the current law, which is the Minerals and Mining (Amendment) Act 2010 (Act 794) sets the royalty rate at 5%, which is what is contained in the new deal laid by the Minister.

Section 25 of the Minerals and Mining Act, 2006 (Act 703) as amended states; “Royalties - A holder of a mining lease, restricted mining lease or small-scale mining license shall pay royalty in respect of minerals obtained from its mining operations to the Republic at the rate of 5%of the total revenue earned from minerals obtained by the holder”.

He said an attempt to get the amendment done by the previous minister was unsuccessful, rejecting claims by the current Minority that the agreement was rejected in the past parliament by the then NDC Minority.

The Asutifi South legislator explains that the new deal cannot quote a higher rate when the law disapproves of it.

He contends that a new amendment should direct that other mining companies pay similar or the same royalty as would be paid by Barari DV Ghana Limited to ensure fairness.