Market Intelligence
Metals Equipment and Machinery Material Handling Sub-Saharan Africa Ghana Local Content Requirements

Ghana Mining Sector

Ghana’s Legislative Instrument 2431 (2020) on Minerals and Mining (Local Content and Local Participation) requires minerals license holders to create a localization program for recruitment and training of Ghanaians and imposes quota limits on expatriate hires.  It also establishes requirements for the procurement of local goods such as explosives, electrical cables, cement, and services that support the mining industry (including R&D, technical and engineering services, insurance, accounting, legal, and financial services as well as security, transport, fuel provision, etc).  This list evolves and expands over time. 

On January 1, 2023, Ghana published the fifth edition of Ghana’s procurement list associated with Legislative Instrument 2431, which immediately went into force.  This revision further expanded the number and type of goods and services that companies operating in Ghana’s mining sector must buy from local Ghanaian companies.  It also expanded ownership share requirements for companies providing many services. The new additions include the following: 

  • Increased shareholder requirements insurance and reinsurance services. Service providers are to be strictly incorporated in Ghana with a minimum of 60% Ghanaian Directors and Shareholders, up from 20% in the fourth edition. 
     
  • Increased shareholder requirements for financial services, including revenue from the sales of minerals.  Service providers are to be strictly incorporated in Ghana with a minimum of 60% Ghanaian Directors and Shareholders, up from 20% in the fourth edition.
     
  • Increased shareholder requirements for the provision of mining-underground operations.  Service providers are to be strictly incorporated in Ghana with a minimum of 40% Ghanaian Directors and Shareholders, up from 30% in the fourth edition. 
     
  • Increased shareholder requirements for the provision of drilling – underground operations.  Service providers are to be incorporated in Ghana with a minimum of 40% Ghanaian Directors and Shareholders, up from 30% in the fourth edition.  
     
  • Providers of oxygen generating plants and boosters must be strictly incorporated in Ghana with a minimum 30% Ghana Directors and Shareholders. 
     
  • The construction and management of tailings storage facilities was added to the list. Firms providing these services must have exclusively Ghanaian Directors and Shareholders. 
     
  • The provision of medical services was added to the list.  Firms providing these services must have exclusively Ghanaian Directors and Shareholders. 
     
  • The provision of plant installation activities (including structural steel installation works, pipe installation, plate works installation, mechanical installation works, crane lifting equipment rentals) must be done by Ghanaian companies. 
     
  • The provision of steel supply and prefabrication services, including structural steel, pipe and plate fabrications must be done by Ghanaian companies. 
     
  • The following must be provided by Ghanaian suppliers: assaying; motor rewinding; conveyor idlers/head pulley and systems; cutlass epoxy resins; and slurry, water, and sewage valves.  

Further, under Legislative Instrument 2174 (2012), only Ghanaian companies can provide Class B mining support services which include catering, camp management, and security services.   

CS Ghana can inform interested U.S. companies about developments in Ghana’s mining sector. Contact: PaaEkow Quansah at Office.Accra@trade.gov or +233(0)30-274-1870 for more information.