Minerals Commission withdraws Shaanxi’s registration as mine support service company

Shaanxi Mining (Ghana) Ltd’s, a company which has been providing support services to local partners Yenyeya Mining Group and Pubortaaba Mining Group at Gbane in the Talensi District of the Upper East Region, is expected to leave the mining sites following the withdrawal of the company’s registration.

The Minerals Commission in a letter to the Managing Director of the company dated August 17, said the commission is unable to renew the company’s registration due to the operation of law.

“Unfortunately, the Commission cannot continue to renew your company’s registration because of the coming into force of the Minerals and Mining (Local Content and Local Participation) Regulations, 2020 (L.I. 2431) which has reserved contract mining services for small-scale mining operations for Ghanaians”, parts of the letter read.

Consequently, the Chinese-owned company has been instructed by the commission to leave the mining sites immediately.

“We are therefore by this letter withdrawing your registration as a mine support service company with effect from the date of this letter. You are advised to arrange to demobilise from the sites of the two small-scale mining licence holders with immediate effect”.

The company has since written to one of its local partners, Yenyeya Mining Group, to informs them of the Minerals Commissions decision and that it would “cease operation as providing Mining Support Services” by September 1.

Meanwhile, Public Relation Officer (PRO) of Shaanxi, Maxwell Wooma, is reported to have said the withdrawal of registration as a mine support service company, does not mean they have been kicked out of the mining business. He is said to have explained that Shaanxi Mining has been granted a large-scale mining lease to operate under a new company known as Earl International Group (GH) Gold Mining Limited.

“We’ve reached a very reasonable state that we have the understanding that the mine support service will no longer be needed and the commission is aware that we no longer need the mine support service that is why it wrote to us officially telling us that we can now stop the mine support services,” he said in an interview on Bolgatanga-based Dreamz FM.

Source: 3news.com