Plans to merge Ghana’s neighbouring Tarkwa and Iduapriem gold mines have been shelved, with AngloGold Ashanti and Gold Fields announcing a pause in discussions due to regulatory delays. The decision comes two years after the joint venture was unveiled and is seen as a setback for what could have become Africa’s largest gold mine.
According to Reuters, both mining giants confirmed on Tuesday that talks have been suspended while they focus on improving operations independently. Ghana’s government has yet to give the green light for the deal, leaving the ambitious plan in limbo.
‘The companies have decided to pause discussions around the joint venture to allow them to focus on improving the current, standalone performance at their respective sites,’ AngloGold Ashanti said in a statement.
Gold Fields, in a separate release, noted the merger still holds strategic value but affirmed it would now ‘focus on optimising the performance of Tarkwa as a standalone operation.’
Delays dash high-yield projections
The original plan envisioned a joint operation in which Gold Fields would hold 60 percent, AngloGold 30 percent, and the Ghanaian government 10 percent. The merged mine was forecast to produce 900,000 ounces of gold annually during the first five years and about 600,000 ounces per year over an 18-year mine life.
Despite these high stakes, the inability to secure timely regulatory approval has stalled the deal’s progress.
Political and economic context
The delay comes amid a tense political and economic climate in Ghana, which is navigating its worst financial crisis in a generation. Illegal gold mining has become a flashpoint issue ahead of national elections, with public and political pressure mounting to clamp down on unregulated operations.
In this environment, large-scale mining deals face heightened scrutiny, making government approval processes more cautious and prolonged.
Focus shifts to independent performance
Though the joint venture remains technically on the table, both companies have now shifted their attention to increasing operational efficiency at their respective mines in the Western Region.
The merger, first announced in 2023, had been viewed as a landmark opportunity to reshape Ghana’s mining sector and boost global production standing. For now, that vision remains on hold.
Credit: Africabriefing
