Cassius Mining Ltd., a gold mining company from Australia, has taken its fight with the government of Ghana to the London Court of International Arbitration (LCIA).
The company is asking for $277 million, claiming that Ghana broke a contract and acted unfairly about its gold mining project in Talensi in the Upper East Region.
The problem started in 2019 when Ghana refused to renew Cassius Mining’s licence to explore for gold. The government said the licence was not properly approved under the country’s constitution, making it invalid.
This led to disagreements that ended up in Ghana’s courts. In 2023, the High Court in Ghana stopped Cassius from going to an international court to solve the issue. Later, the court ruled that the company was not allowed to take the case outside Ghana based on the terms of the licence.
Even with these challenges, Cassius has moved forward with its case in the London Court of International Arbitration. The company says Ghana’s actions, like not renewing the licence, have caused it to lose the full value and profits of its gold project. Experts in Australia and the United States helped the company calculate its losses, which they estimate to be $277 million.
In a statement to the Australian Stock Exchange, Cassius Mining said, “Ghana’s actions, including its failure to renew Cassius’ prospecting licence, have resulted in Cassius being deprived of the entire value and profits of its gold project in Ghana.”
David Chidlow, the company’s Managing Director, expressed confidence in the company’s case. “We look forward to progressing the case and achieving a successful outcome for the benefit of shareholders and the company, whether that be at hearing or any earlier potential settlement,” he said.
He also praised his team for their hard work, saying, “The independent experts, company’s lawyers, key witnesses, and the board have all worked tirelessly and effectively to complete the substantial task of filing the company’s claim against Ghana over many months.”
Now, the Ghanaian government is expected to respond to Cassius Mining’s claims by providing evidence and witness statements. While Ghana’s courts have already ruled against allowing international arbitration, it is not clear how this will affect the case in London.
