The Excessive Courtroom (Industrial Division), Accra Thursday, twentieth March 2025, threw out an Utility filed by Blue Gold Bogoso Prestea Restricted (1st Applicant) and FGR Bogoso Prestea Restricted (2nd Applicant) for judicial evaluate of the Minister for Lands and Pure Assets’ termination of their mining rights and its subsequent switch to Heath Goldfields Ltd.
Blue Gold Bogoso Prestea Ltd, and FGR Bogoso Prestea Ltd filed an software inviting the Excessive Courtroom to quash the Minister’s (third Respondent) resolution approving the switch of the Bogoso Prestea Mines and likewise for an injunction restraining the Respondents and Heath Goldfields Ltd from taking management or possession of the mines till the dispute is resolved.
The appliance additionally sought an order barring the Minister from presenting any mining lease agreements to Parliament for ratification, amongst different reliefs.
Counsel for the Respondents forcefully opposed the appliance as being incompetent and never correctly invoking the jurisdiction of the courtroom for the reason that Minister didn’t commit any illegality in terminating the Candidates’ proper and in transferring similar to Heath Goldfields Ltd.
Her Ladyship Justice Yaa Onyameye Gyakobo upon listening to all authorized arguments, dismissed the appliance as incompetent for failing to correctly invoke the judicial evaluate jurisdiction of the Courtroom.
BACKGROUND
FGR acquired the Bogoso Prestea Mines from Golden Star Assets in October 2020. Nonetheless, resulting from monetary constraints, the Mine ceased operations in December 2023. As of December 2023, FGR was indebted to staff in unpaid salaries and to different individuals with whom it had contractual agreements.
In January 2024, FGR submitted a proposal to the Minister for Lands and Pure Assets to restructure the Firm and lift One Hundred and Fifty Million United States {Dollars} (US$150,000,000.00) to pay its collectors and revive the Mine.
Nonetheless, FGR failed to meet the situations given by the Minerals Fee. On the third and fifth February 2024, the Minerals Fee, by means of its authorized processes and issues, concluded that FGR had breached the mining lease and that it must be revoked.
On the sixth of February 2024, the Minerals Fee advisable that the Minister terminate the mining lease.
On thirteenth February 2024, FGR wrote to the Minerals Fee indicating that FGR has been unable to inject any capital into the mine and additional acknowledged that “this, due to this fact, contradicts LI 2182 (Reg 32: which signifies that the holder of a mining lease or restricted mining lease shall make monetary and different provisions and take different steps which can be vital to make sure that the mine is managed and labored in accordance with the necessities of those rules”.
On 14th February 2024, the Minister wrote to the Minerals Fee in response to its sixth February 2024 advice, requesting the Minerals Fee to offer sure responses to help him to behave accordingly.
FGR additional launched an announcement on its meant recapitalisation as a part of its proposed restructuring.
On twenty seventh February 2024, the Minister wrote to the Lawyer Normal and Minister of Justice for recommendation on whether or not all substantive and procedural authorized steps required underneath the regulation for the termination of the mining lease had been adopted in mild of the Minerals Fee’s advice for the FGR mining lease to be terminated.
On 18th March 2024, the Lawyer Normal responded to the Minister’s letter acknowledged above and indicated that FGR and Blue Gold have breached the mining legal guidelines.
In a letter dated seventeenth April 2024, the Minister granted FGR a “Conditional Approval” to execute the proposal inside 120 days.
FGR was additionally given two weeks to start cost of excellent salaries and full the identical no later than thirtieth Could 2024. The letter additionally acknowledged expressly that if FGR failed to satisfy the situations, the Conditional Approval can be deemed revoked and the Mining Leases terminated with out additional recourse to the corporate.
On twenty fifth April 2024, the Minister met Mine Staff and warranted them that “ought to the Firm fail to satisfy any of the above situations, the Conditional Approval given shall be deemed revoked, and the Mining Leases terminated, with out additional recourse to the Firm”.
On fifth June 2024, the Ghana Mine Staff Union and the Bogoso Gold Enterprise Primarily based Union wrote to FGR on the standing of the Conditional Approval given by the Minister and acknowledged that as of third June 2024 “the corporate has not simply didn’t fulfil this situation however has gravely worsened the residing situations of staff”.
On eighth July 2024, the Minerals Fee wrote to advocate the termination of the lease and additional acknowledged that the Governing Board had advisable the proposal by Heath Goldfields for consideration and approval to facilitate the resumption of the operations of the Mine.
On third September 2024, the Minister wrote to FGR and Blue Gold and indicated that their failure to adjust to the situations contained within the Conditional Approval, and on the recommendation and advice of the Minerals Fee, the Conditional Approval granted on seventeenth April 2024 had been revoked, and their Mining Leases terminated, in accordance with the phrases of the Conditional Approval.
Additional, the Authorities introduced in a press launch dated 18 September 2024 that the Firm’s Mining leases had been terminated. Then on twentieth September 2024, FGR and Blue Gold duly acknowledged receipt of the Discover of Termination.
On twentieth September 2024, the Minerals Fee appointed an Interim Administration Committee (IMC) made up of Labour and Employees of the Fee to handle the affairs of the mine pending the number of a brand new investor in keeping with regulation.
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