GoldBod Ghana: Galamsey Threatens LBMA Certification Bid

• The Ghana Gold Board (GoldBod) has firmly rejected any support for illegal mining, known as galamsey.
• GoldBod's stance is crucial for its pursuit of certification from the London Bullion Market Association (LBMA).
• LBMA certification requires strict adherence to responsible sourcing, ensuring gold comes from legitimate, environmentally sound operations.
• GoldBod's Head of Communications, Prince Kwame Minkah, clarified the CEO's position on formalizing small-scale miners, not endorsing illegal activities.
• The LBMA is a global authority setting standards for precious metals quality and responsible sourcing.

This commitment means GoldBod cannot sanction any mining activities that contravene established laws or inflict harm upon the environment, aligning its operations with global best practices for Ghana Gold Board responsible sourcing.

The Ghana Gold Board (GoldBod) has unequivocally dismissed any notion that it would condone illegal mining activities, commonly known as galamsey, within the nation's gold sector. This firm stance was articulated by Prince Kwame Minkah, the Board's Head of Communications and Media Relations Officer, who emphasized that such support would directly jeopardize GoldBod's critical pursuit of certification from the London Bullion Market Association (LBMA). The organization's commitment to international standards necessitates a clear rejection of unlawful and environmentally damaging practices.

Mr. Minkah's public comments, made on Channel One TV on Saturday, October 24, were a direct response to public scrutiny directed at GoldBod's Chief Executive Officer, Sammy Gyamfi. The CEO had faced criticism following remarks he made concerning efforts to integrate unlicensed small-scale miners into a regulated framework. Mr. Gyamfi subsequently clarified his position, asserting that his objective was to transition eligible operators into a lawful system, rather than to endorse or legitimize illegal mining operations. Minkah's intervention served to reinforce this clarification, underscoring the Board's dedication to lawful operations.

A core reason behind GoldBod's resolute position against galamsey in Ghana is its ambition to achieve the prestigious GoldBod LBMA certification. This certification is contingent upon strict adherence to responsible sourcing principles, which mandate that all gold entering the market must originate from legitimate sources and be extracted without causing environmental degradation. The London Bullion Market Association (LBMA) functions as a global authority within the precious metals industry, setting comprehensive standards that encompass both the quality of gold and silver and the ethical sourcing of these materials.

Prince Kwame Minkah explicitly stated that GoldBod's institutional aspiration for LBMA certification makes any endorsement of illegal mining untenable. He cautioned against any misconception that the CEO, leading an institution striving for such high international benchmarks, would compromise on the fundamental prerequisite of responsible sourcing. This commitment means GoldBod cannot sanction any mining activities that contravene established laws or inflict harm upon the environment, aligning its operations with global best practices for Ghana Gold Board responsible sourcing.

GoldBod's unwavering commitment to securing LBMA certification and its rejection of illegal mining in Ghana carries significant implications for the country's gold industry. By prioritizing responsible sourcing and the formalization of small-scale miners, GoldBod is signaling a move towards greater transparency and accountability in the supply chain. This approach aims to elevate the reputation of Ghanaian gold on the international stage, ensuring it meets the stringent requirements of global markets.

The emphasis on transitioning eligible operators into a regulated system, as clarified by CEO Sammy Gyamfi and reinforced by Prince Kwame Minkah, highlights GoldBod's strategy for addressing the challenges posed by illegal mining Ghana gold. This process of GoldBod formalizing small-scale miners is crucial for both economic development and environmental protection, aligning local practices with international expectations and fostering a more sustainable and legitimate gold sector in Ghana.

Lawyers advising mining companies, gold traders, or financial institutions involved in the gold supply chain in Ghana should note GoldBod's commitment to LBMA certification. This signals increased regulatory scrutiny on gold provenance, requiring enhanced due diligence to ensure compliance with responsible sourcing standards and to avoid association with illegal mining (galamsey).

Source: Original reporting via myjoyonline.com