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Damang deal: Suame MP alleges conflict of interest, vows probe if NPP wins power

John Darko, the New Patriotic Party (NPP) MP for Suame and legal counsel for the Minority Caucus in Parliament, has warned that a future NPP government would review the process used to grant mineral rights in the ongoing Damang gold mine transaction.

Speaking on The Forum on Asaase Radio over the weekend, Darko questioned the structure of the tender process for Damang, citing what he described as an overly limited seven-day bidding window and the disqualification of some firms over documentation requirements such as tax and social security clearance certificates.

The MP further raised concerns about the involvement of Engineers & Planners (E&P), a company linked to Ibrahim Mahama, the brother of President John Dramani Mahama.

“When we come to power we will look at the process in granting this mineral right. If it is in line with the law, then Ibrahim Mahama should do his work; if not, we will allow the law to take its course …

“If you look at the way and manner this process has gone, it clearly tells you that the president was interested and wanted his brother to get this,” Darko said.

“We need to make the process so fair that nobody can come back to complain,” he added, warning that perceived irregularities could undermine public confidence in the allocation of national assets.

“Let’s not pretend there is nothing wrong – it is a clear case of conflict of interest,” he said.

Darko also referred to past disputes in the mining sector, including the Exton Cubic case involving the Nyinahin bauxite concession in the Ashanti Region. That decision was overturned by the courts over legal breaches. Without strict adherence to the law in allocating licences, the industry runs the risk of instabilitym.

Risk of corruption

The Damang mine process continues to attract political and public attention, highlighting questions of governance, accountability and how to manage key mineral resources.

For the mining consultant and engineer Wisdom Gomashie, who was also a guest on The Forum, the time Ghana is allowing for bidding on major mineral assets falls far below international best practice. He warned that compressed timelines undermine transparency and increase risks of undue influence coming to bear.

Gomashie argued that properly structured timelines allow governments to publish full information on assets and give bidders adequate time to respond, ensuring fairness in selection.

“In every mineral administration of a top deposit like Damang, the essence of a minimum of 30 to 45 days up to 120 days is to allow competitive bidding and reduce corruption. How can you select bids while the government has not opened a tender?” Gomashie asked.

He described the rollout of the bids as raising “serious corruption flags”.

Distinction

The government extended the lease on the Damang gold mine by one year in April 2025. With the extension nearing expiry on 18 April, officials announced that control of the mine would revert to the state if it could reach no new arrangement with a private operator.

Gomashie drew a distinction between mining lease holders and service providers, saying that E&P does not operate mineral concessions but provides mining support services.

“They just provide mine support services … there are over 50 companies [in Ghana] that do the same,” he said.

He criticised the seven-day bidding window after the government moved to open competitive tendering, arguing that such timelines are inconsistent with international procurement standards for multibillion-dollar assets.

Petition to CHRAJ

Meanwhile, the Minority Caucus in Parliament has announced plans to petition the Commission on Human Rights and Administrative Justice to investigate Ibrahim Mahama, Engineers & Planners and their involvement in the Damang bid process as well as the use of a private jet owned by the company but frequently used by President John Mahama.

Addressing journalists in Parliament on 26 March, the ranking member on the lands and natural resources committee and MP for Mampong, Kwaku Ampratwum-Sarpong, said the caucus is concerned about what it sees as potential constitutional breaches and a lack of transparency in selecting an investor for the Damang gold mine.

“The Minority will not accept the government characterisation of this process as competitive. What we see is a winner being arranged and not selected,” Ampratwum-Sarpong declared.

“These are not separate stories. They are the same story … taken together, they present the most serious conflict-of-interest question,” he said.

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