Sam Jonah Launches First Major Indigenous Mine as E&P Secures $100M Loan

A New Era for Ghana’s Mining Sector

A significant milestone has been reached in Ghana’s mining sector with the successful financing of the Black Volta Gold Project by Engineers and Planners (E&P). This $100 million deal marks a turning point, showcasing the potential for local ownership and leadership in the industry. The project is expected to be the first large-scale gold mine developed entirely by a Ghanaian-owned company, highlighting the country’s growing confidence in its domestic capabilities.

Vision Meets Courage

Sir Samuel Esson Jonah, a veteran mining executive, praised the initiative as a long-overdue breakthrough. He emphasized that this project symbolizes what can be achieved when vision meets courage. “We cannot continue to be mere labour providers or royalty collectors while others control the equity, the strategy, and ultimately, the wealth,” he stated. His remarks reflect a broader sentiment among local stakeholders who are pushing for greater involvement in the nation’s natural resources.

Jonah also commended the efforts of previous administrations to increase Ghanaian participation in the mining industry. He argued that E&P’s move represents a practical step toward aligning resource nationalism with indigenous entrepreneurship. This shift is crucial for addressing the sector’s historical disconnect from the broader economy, often attributed to foreign ownership and offshore procurement practices.

The Role of Government and Policy

The success of such projects hinges on supportive policies that promote Ghanaian ownership and leadership in mining. Jonah called for preferential policies that foster local enterprises. He stressed that ownership and equity are essential for national pride and ensuring that the benefits of mineral wealth are felt by the people.

Moreover, he urged E&P to maintain high standards in profitability, environmental care, local content, and governance. “Ghanaian companies must compete with the best—and do so with integrity,” he said. This call to action underscores the importance of maintaining ethical practices and sustainable development in the mining sector.

E&P’s Commitment and Vision

E&P, a wholly Ghanaian-owned firm, secured the $100 million facility from the ECOWAS Bank for Investment and Development (EBID) to fund the full acquisition of the Black Volta Gold Project in Ghana’s Upper West Region. Once operational, the project is expected to produce an average of 163,000 ounces of gold annually, which would represent about 3 percent of Ghana’s total gold production.

The CEO of E&P, Ibrahim Mahama, described the acquisition as a transformational moment for Ghanaian participation in the mining sector. “This is a very significant development for this nation, to have the first indigenous mining firm acquire a 100 percent stake in a large-scale mine in Ghana,” he remarked. Mahama expressed gratitude to EBID for supporting the project, calling it a vote of confidence in their vision and capabilities.

Strategic Partnerships and Due Diligence

The project’s journey began with a proposal from Ibaera Capital to Azumah Resources Ghana Limited (ARGL) in early 2023. Initially hesitant, Mahama was convinced after sustained engagement by the Minerals Commission and Ibaera’s leadership. E&P’s technical team conducted due diligence, confirming the project’s viability and alignment with the company’s growth strategy.

This led to the signing of a Project Acquisition and Development Framework Agreement, under which E&P committed to financing the project through an earn-in arrangement. The collaboration highlights the importance of strategic partnerships in achieving ambitious goals.

EBID’s Support and Future Prospects

Dr. George Agyekum Donkor, President and Chairman of EBID, reaffirmed the bank’s support for indigenous ventures. He noted that E&P has been a longstanding client since 2011, and the current transaction followed two years of due diligence and strategic alignment. The rising gold prices, from around $1,700 per ounce in 2020 to over $3,000 in 2025, have made projects like this increasingly viable.

EBID follows a data-driven, multi-sector strategy focusing on agro-industry, infrastructure, energy, and health. To date, the bank has invested over $5 billion across ECOWAS member states, demonstrating a commitment to regional development.

Industry Reactions and Future Steps

The Minerals Commission welcomed the announcement, while the Ghana Chamber of Mines highlighted the project as a reflection of a future where Ghanaian expertise and capital play a central role in the mining sector. The CEO of the Minerals Commission, Ing. Dr. Kenneth Ashigbey, urged strong collaboration and proactive problem-solving to ensure the project’s long-term success.

On the sidelines of the event, the legal representative of E&P, Bobby Banson, mentioned that the company signed a formal agreement with shareholders of Azumah Resources in October 2023, for the acquisition of a 100 percent stake in the mine. While the $100 million payout is expected to be completed by June 30, 2026, E&P has already taken steps to secure the necessary funding to conclude the deal.

This landmark project signifies a new chapter for Ghana’s mining sector, emphasizing the importance of local ownership, sustainable practices, and strategic partnerships. As the project moves forward, it will serve as a model for future initiatives aimed at empowering local enterprises and fostering economic growth.