UK based Goldplat offers $1.5m for Ghana gold mine

A UK registered mining company Goldplat plans to buy a mining concession in Ghana for $1.5 million.

According to a report by the Mining Weekly, Goldplat is making the offer to buy the concession from Canadian miner, Gulf Coast Resources.

Goldplat which says on its website that it is aiming to become a highly profitable mid-tier gold mining company has signed a memorandum of understanding (MoU) with Gulf Coast which holds a 90% interest in the Banka mining concession in the Ashanti Region of Ghana. Banka is said to be a renewable mining lease for gold and diamonds.

Goldplat has reportedly paid an initial $50 000 to Gulf Coast and would proceed to undertake a due diligence review of the Banka concession and the subsidiary.

Should the results of the review be favourable, it would pay the Canadian company $1.5 million.

The conclusion of the transaction would also be dependent on the ability of Gulf Coast to secure a renewal of the mining lease, for which it applied in February this year, the report indicated.

The application was still under consideration by the Ghanaian government.

Gulf Coast would also be entitled to receive a 1.5% net smelter return on all gold production from the mining lease in future.

The Ghana government holds the remaining 10% interest in the Banka mining licence.

Gold is Ghana’s highest foreign exchange earner, followed by cocoa, remittances from Ghanaians abroad and tourism.

By Emmanuel K. Dogbevi