Parliament has approved a major lithium mining agreement between the Government of Ghana and Barari DV Limited, paving the way for large-scale commercial extraction of the mineral despite strong objections from the Minority Caucus.
The agreement covers the development of the Ewoyaa lithium deposit in the Central Region, a project expected to position Ghana as a key player in the fast-growing global market for battery minerals driven by demand for electric vehicles and renewable energy storage.
Presenting the deal in Parliament on Thursday, March 19, the Minister for Lands and Natural Resources, Emmanuel Armah-Kofi Buah, said the country stands to benefit from a revised fiscal framework that links royalties to global market prices.
He explained that under the new sliding-scale regime, Ghana’s earnings will increase when lithium prices rise.
“Given current global prices, Ghana is expected to earn about 12 percent in royalties under the new arrangement,” he stated.
Lithium, a critical component in rechargeable batteries used in electric vehicles, mobile devices, and large-scale energy storage systems, has become one of the most sought-after minerals in the global shift away from fossil fuels.
The Ewoyaa deposit is regarded as one of the most significant lithium discoveries in West Africa and could become Ghana’s first operational lithium mine, diversifying a mining sector largely dominated by gold.
Government officials say the project is expected to deliver wide-ranging economic benefits, including increased royalty revenues, job creation, infrastructure development in host communities, and a boost in foreign exchange earnings.
The agreement also includes provisions to promote local participation and value addition, with plans to explore downstream processing opportunities within the country.
Despite concerns raised by the Minority over aspects of the deal, the approval marks a significant step in Ghana’s efforts to tap into the global energy transition and expand its natural resource base.
