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Ghana Secures Sliding-Scale Royalties in New Lithium Pact

Ghana's Minister for Lands and Natural Resources, Emmanuel Armah-Kofi Buah, has presented a renegotiated lithium agreement to Parliament, calling it a stronger and more transparent deal that better protects national interests.

Date Created : 12/19/2025 : Story Author : Ghanandistricts.com

The decision to withdraw and revise the original agreement followed consultations with local communities and civil society.

Key improvements include a new sliding-scale royalty system for minerals. This mechanism adjusts the state's share based on global prices; allowing Ghana to benefit more when prices are high while offering companies relief during downturns.

Additionally, the new pact establishes a mandatory 1% community development fund from gross revenue for host communities, earmarked for local infrastructure projects.

The Minister also cited clearer legal frameworks and explicit investor obligations as major enhancements.

Buah stated the revised agreement balances investor certainty with a greater share of benefits for Ghana, positioning the country as a more predictable destination for responsible mining investment.