NEWMONT SIGNS AGREEMENT WITH MINING COMPANIES (GRAPHIC ASEMPA, PAGE 22)

By Akwasi Ampratwum-Mensah, Yamfo

An agreement, known as the Ahafo Social Responsibility Agreement (ASRA) has been signed between Newmont Ghana Gold Limited (NGGL), operating the Ahafo Mine in the Asutifi and Tano North Districts of the Brong Ahafo Region and representatives of 10 communities where the mining company is currently doing business.
ASRA was borne out of a forum known as the Ahafo Social Responsibility Forum (ASRF) in response to Newmont’s Commitment to the sustainable development of its areas of operation.
It comprises three parts namely, the Relationship Agreement, Employment Agreement and the Foundation Agreement.
In December 2005, Newmont made a commitment that, $1 per an ounce of gold sold and one per cent of the net profit from the Ahafo Mine, would be set aside in a community Development Fund for sustainable community development projects.
Following that commitment, the chiefs in the two districts and Newmont agreed to establish ASR, which was aimed at providing Newmont’s Ahafo host communities with the opportunity to participate in the company’s decisions and plans that affect them and their environs, deliberate on issues of mutual interest, help build strong communication and decide on how the community development would be allocated.
The ASRA sets out key principles and directions on how the company and the communities, would work together for their mutual benefit.
Signatories to the agreement, which took place at a historic ceremony at the Yamfo Roman Catholic School Park at the weekend included the chiefs in Newmont’s mine communities, the Tano North and Asutifi District Assemblies and representatives of groups in the 10 Ahafo mining communities.
The communities are, Terchiere, Adrobaa, Yamfo, Susuanso and Afrisipakrom all in the Tano North District, and Kenyasi No. 1, Kenyasi No.2, Wamahinso, Ntotroso and Gyedu in the Asutifi district.
ASRA consists of 53 individuals and representation of Non-governmental Organizations (NGOs), farmer’s representatives, women and Youth representative as well as chiefs, the Brong Ahafo Regional Minister, Mr Ignatius Baffour-Awuah, the two District Chief Executives (DCEs), and other opinion leaders as well as representatives of NGGL, with Professor Daniel Mireku-Gyimah, the Vice Chancellor of the University of Mines at Tarkwa as the Moderator and Mr Kwame Saarah Mensah, a former Brong Ahafo Regional Minister as a Co-Moderator.
Professor Mireku-Gyimah, in his welcoming address, noted that, it was the first time in the history of Ghana that a mining company and the community members had come together to discuss the means to live together harmoniously and also discuss measures to develop the communities where the mine was located.
He said the signing of the agreement was very significant as it would go a long way to strengthen the relationship between the company and the community members and that it would serve as a reference when the history of mining operations in the country was being written.
The Brong Ahafo Regional Minister called for peace and tranquility between the two parties and expressed the hope that all the players in the agreement had settled any previous disagreements in misunderstanding before arriving at the final document.
Mr Baffour-Awuah urged the two parties to respect and co-operate with each other, adding that, it was incumbent on the NGGL to operate while abiding by the rules and regulations regarding mining operations in the country.
The Regional Minister used the occasion to dispel the notion that the government only takes 10 per cent as net profit from Newmont but explained that the total percentage was between 40-45 per cent.
Dr Chris Anderson, the Director for Environment and Social Responsibility, pointed out that, contemporary business practice places a moral responsibility on companies to improve the quality of life of local communities and society at large, a fact he said, had gained acceptance throughout the world.