An aspiring Chairman for the Eastern Regional Chapter of the Ghana National Association of Small Scale Miners (GNASSM), Mr. Solomon Kwame Otu, has decried the increasing infiltration of foreigners in the small-scale mining sector.
According to him, the small-scale mining business, which is by law reserved for Ghanaians, has been hijacked by foreign nationals, especially Chinese and other nationals, who are operating illegally with the connivance of some Ghanaians.
In a strong worded statement released ON September 24, Mr. Otu said the development is depriving indigenous small-scale miners of their livelihoods and causing huge revenue losses to the state.
He said many Ghanaian concession owners are now fronting for foreigners due to lack of financial support and equipment.
“It is very worrying that small-scale mining, which is meant for Ghanaians, is now dominated by foreigners. They bring in sophisticated machines like changfangs, excavators and other heavy equipment, destroy our lands and rivers, and take the gold away. The law says small-scale mining is for Ghanaians only, so we must enforce it,” he stressed.
Mr. Otu, who’s the current GNASSM Chairman for Abirem-Zone, and is now aspiring to contest the Eastern Regional GNASSM Chairmanship position, said if given the mandate, he will work with government, the Minerals Commission and security agencies to flush out foreigners from the sector.
He also promised to push for affordable financing, provision of mining equipment, and proper regularization of miners to create jobs for the youth in the region.
He further called for unity among small-scale miners in the Eastern Region to protect the industry and promote responsible and sustainable mining practices.
The Eastern Regional GNASSM elections are expected to come off early next year.
Read full statement below
GHANA NATIONAL ASSOCIATION OF SMALL SCALE MINERS (GNASSM)
BIRIM NORTH/ KWAHU-ABIREM ZONE – EASTERN REGION
POSITION PAPER ON FOREIGN DOMINATION IN THE SMALL SCALE SECTOR, ILLEGAL MINING AND THE PROPOSED MEDIUM SCALE CATEGORY
Presented by: Solomon Kwame Otu
Chairman, GNASSM KWAHU BIRIM north Zone 23rd September 2026*
1. EXECUTIVE SUMMARY
GNASSM Oda Zone observes that the small scale mining sector, by law reserved exclusively for Ghanaians under Act 703, has been systematically infiltrated by foreign nationals through fronting, illegal financing, and direct operations. This foreign domination is the primary driver of illegal mining (galamsey), land degradation, water pollution, and depletion of forest reserves.
The proposed introduction of a Medium Scale category to formally accommodate foreigners risks legalizing this illegality and extinguishing Ghanaian ownership. We propose that Medium Scale must be reserved for Ghanaians who have grown from small scale.
2. HOW FOREIGN DOMINATION DRIVES ILLEGAL MINING
(a) Fronting: Foreign financiers provide GHC 500k – 2M for excavators and wash plants to Ghanaians who hold licenses but have no control. The financiers dictate mining locations, often inside protected red zones.
(b) Mechanized Destruction: Ghanaian small scale is limited to low technology. Foreign-sponsored operations introduce heavy earth-moving equipment capable of destroying 10 acres in 3 days, diverting rivers, and encroaching forest reserves like Atewa.
(c) Environmental Violations: Direct discharge of mercury, cyanide, and silt into Birim, Pra, and Offin rivers. Turbidity in our zone increased 300% since 2020. Abandoned pits 30-50ft deep, no reclamation, destroying cocoa farms.
(d) Undermining Legitimate Operators: Licensed Ghanaians like PL 240/mcom/26 who follow EPA, Minerals Commission, and tax procedures cannot compete with foreign-funded operations that evade royalties and taxes.
3. OUR CONCERN WITH THE PROPOSED MEDIUM SCALE
1. Violates the spirit of Act 703 – small scale was meant to indigenize mining wealth.
2. It will rebrand galamsey. Illegal foreign operators will simply register as “Medium Scale” without remediating past environmental crimes.
3. It threatens 1.2 million Ghanaians who depend on small scale mining.
4. It risks repeating the large-scale sector where Ghanaian ownership is below 10%.
4. GNASSM PROPOSAL – THE GHANAIAN GRADUATION MODEL
i) Reserve Medium Scale for Ghanaians: Concession 50-150 acres, capital GHC 5M-20M, mandatory reclamation bond, 15% local employment quota. Graduated from licensed small scale miners with 3+ years track record.
ii) Empower, Don’t Replace:* Implement Minerals Development Banks to provide affordable finance, geological data, and equipment leasing to Ghanaian miners, not foreign capital.
iii) Enforce Law Without Fear:
– Audit all small scale licenses for beneficial ownership
– Seize and auction equipment of illegal foreign operators
– 10-year revocation for Ghanaians who front for foreigners
(iv) Protect Forest and Water:
– No mining within 100m of river bodies or inside forest reserves
– Concurrent reclamation – mine 1 acre, reclaim 1 acre
(v) Gold Traceability: All small scale gold must pass through licensed Ghanaian aggregators with XRF verification before GoldBod export to block smuggling.
5. CONCLUSION
We, the legitimate licensed small scale miners of Oda (120 miners network) and across the country , have proven with goldbod that Ghanaians can mine responsibly, pay taxes, and employ Ghanaians.
The enemy is not small scale mining – it is foreign domination that has hijacked it.
As stated “Responsible small-scale miners are not the same as illegal miners.”
We are responsible miners. Support us, don’t replace us.
Signed:
Solomon Kwame Otu
Chairman, GNASSM Birim /Kwahu Zone.
