Ghana is under growing diplomatic and corporate pressure to reconsider a proposed increase in gold royalties that would tie payments to rising gold prices, according to industry sources and a letter reviewed by Reuters.
As Africa’s leading gold producer, Ghana currently applies a fixed 5% royalty rate on mining operations. The government now wants to shift to a sliding scale ranging from 5% to 12%, arguing it would allow the country to capture more revenue during periods of record-high gold prices and support national development.
Mining companies, including some of the world’s largest operators, warn that the upper end of the scale would make Ghana one of the most expensive mining jurisdictions in Africa, squeezing profit margins at a time when costs are already elevated.
To soften the impact of the reform, Ghana has agreed to lower an existing levy on miners, but companies insist the proposed royalty structure remains too burdensome. They have submitted alternative, lower rates for consideration.
The level of diplomatic involvement is striking. The United States, China, United Kingdom, Canada, Australia and South Africa have all engaged Ghanaian authorities on the issue — a degree of coordinated intervention that senior industry executives describe as unusual.
Officials from these embassies met with Ghana’s Minister for Lands and Natural Resources earlier this month and presented a joint document outlining their concerns. They have requested further discussions with the Finance Minister.
“The heads of missions expressed concern that the operating environment of the mines will be challenging,” one executive familiar with the meeting told Reuters.
Embassies of the UK, Canada, Australia, US, South Africa and China in Accra did not immediately respond to requests for comment.
Top executives from Newmont, Gold Fields, AngloGold Ashanti and Perseus raised their objections directly with the Lands Minister in meetings held in December and January. Chinese-owned operations, including those of Zijin, Chifeng and Shandong Gold, have also formally protested. A letter from the Association of China–Ghana Mining, copied to Beijing’s ambassador and seen by Reuters, warned that the royalty changes could threaten major projects such as Zijin’s Akyem mine, Chifeng’s Wassa mine and Shandong’s Cardinal operations.
“The royalty issue has united companies like nothing in recent years,” one senior source said.
Neither the mining companies nor Ghana’s Lands and Finance Ministries responded immediately to requests for comment.
Ghana-based gold producers reported strong financial results in 2025. Newmont generated over $7 billion in revenue, Gold Fields more than doubled its profits, AngloGold Ashanti tripled earnings, and Perseus posted $421.7 million, up 16% from the previous year.
The government maintains that the royalty adjustment is necessary to ensure Ghana benefits more fully from its mineral wealth during a period of elevated global prices. Discussions between the government and industry continue, with the outcome expected to shape the future competitiveness of one of Africa’s most important mining destinations.
