Parliament approves lithium mining deal despite Minority opposition

Parliament Approves Controversial Lithium Mining Deal for Ewoyaa Project

Parliament has approved a major lithium mining agreement between the Government of Ghana and Barari DV Limited, clearing the way for large-scale commercial extraction at the Ewoyaa deposit in the Central Region. The decision marks a significant step in Ghana’s ambition to become a key player in the fast-growing global market for battery minerals.

The agreement, which was passed on Thursday, March 19, comes after extensive debate on the floor of Parliament and was ultimately approved despite strong resistance from the Minority Caucus. The Ewoyaa project is widely regarded as one of the most promising hard-rock lithium discoveries in West Africa, and its development is expected to transform Ghana’s mineral landscape, which has long been dominated by gold production.

Presenting the terms of the agreement, the Minister for Lands and Natural Resources, Emmanuel Armah-Kofi Buah, outlined what he described as a more favorable fiscal framework for the country. He explained that the deal incorporates a revised royalty system tied to international lithium prices, allowing Ghana to benefit more directly from fluctuations in the global market.

“In the current dispensation, and given the global market price of lithium, Ghana will get 12 percent royalties due to the sliding scale legislation that has matured into law,” the minister told lawmakers.

Lithium, a critical component in rechargeable batteries used in electric vehicles, smartphones, and renewable energy storage systems, has become increasingly valuable as the world accelerates its transition toward cleaner energy. Ghana’s entry into this sector is expected to position the country strategically within global supply chains that support the green energy revolution.

Government officials say the Ewoyaa project will not only diversify the mining sector but also deliver substantial economic benefits. These include increased revenue through royalties and taxes, job creation for local communities, higher foreign exchange earnings, and improvements in infrastructure in the Central Region. In addition, authorities have highlighted plans to promote local participation and encourage value addition, including the possibility of establishing downstream processing facilities within Ghana to refine lithium before export.

However, the agreement has not been without controversy. The Minority in Parliament strongly opposed the deal, raising concerns about whether it offers Ghana sufficient long-term value. Key issues cited include the fairness of the revenue-sharing arrangement, the adequacy of environmental protections, and the broader implications for national resource management.

Minority Leader Alexander Afenyo-Markin stated that all Minority members present rejected the agreement.

“We, the 87 Minority, vote en bloc against this agreement to the extent that the Lands Minister did not carry our concerns on board and insisted on carrying the report in its current form,” he said during proceedings.

The approval of the lithium deal comes at a time of heightened national debate over how Ghana should manage its critical mineral resources. Analysts, civil society groups, and industry stakeholders continue to call for greater transparency, stronger environmental safeguards, and policies that ensure equitable distribution of benefits to local communities.

As Ghana moves forward with the Ewoyaa project, attention is expected to remain focused on how effectively the country balances economic opportunity with environmental responsibility and long-term national interest.