(Ecofin Agency) - • EGA signs agreement with GIADEC to assess long-term bauxite opportunities
• Ghana holds 900 million tons in reserves but relies on a single operating mine
• New concessions and expansion projects aim to increase national output

In Ghana, bauxite production currently hinges on the Awaso mine, operated by the Ghana Bauxite Company. The nation has ambitions to fully exploit its potential, estimated at 900 million tons, with new projects expected in the coming years.

On Wednesday, June 4, Emirates Global Aluminium (EGA) announced the signing of an agreement with the Ghana Integrated Aluminium Development Corporation (GIADEC). According to the Emirati company’s statement, the primary focus will be exploring opportunities with this public institution to develop bauxite projects in Ghana.

“Under this agreement, EGA and GIADEC will explore the potential for long-term bauxite supply agreements and collaboration on rail and port infrastructure to increase production,” the note indicated. While the details of the agreement were not divulged, EGA’s decision to turn to Ghana for this purpose is not without reason.

It is estimated that the country has 900 million tons of bauxite reserves but only utilizes a minuscule portion. Presently, it only operates one mine for this raw material, the Awaso project run by the Ghana Bauxite Company. In 2024, national production was established at 1.7 million tons, according to the Chamber of Mines.

In a bid to fully exploit the country’s potential, GIADEC already plans several initiatives aimed at increasing production. Among these is the expansion of the Awaso mine, with a goal of raising its production capacity to 5 million tons a year. Simultaneously, two new mining concessions in the Nyinahin-Mpasaaso region have been respectively awarded to Rocksure International Ltd and Greek company Mytilineos SA. The establishment of another bauxite mine at Kyebi is also under consideration, though no partner has been announced yet.

At this time, EGA’s plans remain insufficiently detailed. As a reminder, Guinea is the only African country where the company is established, even though its activities there are currently suspended. It remains to be seen whether this new agreement will lead to a concrete investment project in Ghana.