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Ghana is facing diplomatic pressure from several major countries to reconsider its proposed increase in gold royalties, a move that could significantly impact some of the world’s largest mining companies.
According to a report by Reuters, the governments of the United States, United Kingdom, China, Canada, Australia, and South Africa have raised concerns over Ghana’s plan to introduce a sliding royalty scale on gold production.
Ghana, Africa’s largest gold producer, intends to replace its current fixed 5 percent royalty with a new system ranging from 5 percent to 12 percent depending on global gold prices. Government officials say the change will enable the country to generate more revenue as gold prices reach historic highs.
However, mining companies argue that the higher rates could make Ghana one of the most expensive destinations for gold mining on the continent and significantly reduce their profitability.
Diplomatic representatives from the six countries reportedly met Ghana’s Minister for Lands and Natural Resources to express concerns about the proposal. They also submitted a joint document highlighting potential challenges the new policy could create for mining operations in the country.
Industry executives described the level of diplomatic involvement as unusual.
“This is the first time I’ve seen the diplomatic community get involved at this scale,” one senior source familiar with the matter said.
Several major mining companies have also directly raised concerns with Ghanaian authorities. These include Newmont, Gold Fields, AngloGold Ashanti, and Perseus Mining.
Chinese-owned firms such as Zijin Mining, Chifeng Gold, and Shandong Gold have also formally protested the proposed changes.
A letter from the Association of China–Ghana Mining warned that the royalty adjustment could threaten several mining operations, including the Akyem, Wassa, and Cardinal gold mines.
Despite the concerns raised, the Ghanaian government maintains that the policy is designed to ensure the country benefits more from its natural resources, especially at a time when gold prices are performing strongly on the global market.
Major gold producers operating in Ghana reported strong financial performance in 2025. Newmont recorded earnings of more than $7 billion, while Gold Fields more than doubled its profits. AngloGold Ashanti also tripled its earnings, and Perseus Mining reported profits of $421.7 million, representing a 16 percent increase from the previous year.
