The Office of the Attorney-General and Ministry of Justice, has engaged Gateley Legal and Atuguba and Associates to assist Ghana’s legal team in defending a US$1 billion damages claim brought by Future Global Resources Limited and Blue Gold Holdings Limited, against the Republic of Ghana over the Bogoso-Prestea gold mines.

The British Company is seeking US$1 billion in damages against Ghana before the Permanent Court of Arbitration, alleging breaches of the bilateral investment treaty (BIT) between Ghana and the United Kingdom.

The Bogoso-Prestea gold mine was handed over to Heath Goldfields Ltd., owned by former Finance Minister, Dr Kwabena Duffuor, during the administration of President Nana Addo Dankwa Akufo-Addo, under the supervision of then Lands and Natural Resources Minister Samuel Abu Jinapor.

Dr Duffuor was a client of the current Attorney-General, Dr Dominic Ayine, during Dr Ayine’s private legal practice. It is unclear whether he deliberately declined to act on the matter upon assuming office when John Mahama became President in January 2025, to further his former client’s commercial interests.

The Herald had, since 2023, repeatedly sounded the alarm on this matter and had been sued twice for defamation by Dr Duffour and the management of Heath Goldfield, respectively.

The Herald is aware of several attempts by the British company, including formal letters to the Minerals Commission, the Attorney-General’s Department, Dominic Ayine, the Minister for Lands and Natural Resources, Emmanuel Armah-Kofi Buah, and even the Office of the President, to have the matter resolved, but to no avail.

Indeed, Buah was observed engaging closely with Heath Goldfields Ltd. during a visit to the Bogoso-Prestea gold mines, amid ongoing tensions between the former minister’s company and unpaid workers, residents, and traditional authorities.

Furthermore, several trips to Accra and public demonstrations by affected groups have reportedly been met with a cold shoulder from the John Dramani Mahama administration.

It is not clear how much Ghana is likely to pay Gateley Legal and Atuguba and Associates as legal fees to assist in fighting the US$1 billion arbitration.

According to Future Global Resources Limited and Blue Gold Holdings Limited, Ghana’s attempt to terminate the lease for the Bogoso and Prestea gold mines constitutes a violation of the treaty.

Blue Gold Ltd, acting through its subsidiary Blue Gold Holdings Limited, together with Future Global Resources Limited, the previous owner of the mine, is pursuing the claim in arbitration proceedings commenced on 2 April 2025 under the 2021 UNCITRAL Arbitration Rules.

The arbitral tribunal comprising Klaus Sachs (chair), Raëd Fathallah, and Mohamed Abdel Wahab held its first case management conference in early 2026.

Blue Gold Ltd has since discontinued proceedings in the Ghanaian courts to concentrate on its US$1 billion arbitration claim.

In November 2024, Mayer Brown International LLP wrote to Ghana’s then Attorney-General, Godfred Yeboah Dame, alleging unlawful expropriation, asset stripping, and failure by the state to protect foreign investments linked to the Bogoso-Prestea Gold Mine.

In a strongly worded letter dated 13 November 2024, the firm, acting on behalf of Future Global Resources Limited and Blue Gold Holdings Limited, said the investors had formally triggered a dispute under the UK-Ghana BIT, citing what they described as Ghana’s “mistreatment and unlawful expropriation” of their assets.

The investors claim ownership of substantial mining interests in Ghana, including the Bogoso-Prestea Gold Mine, associated leases, and operational assets. They argue that, despite formally notifying the Government of Ghana of the dispute on 14 October 2024, authorities failed to respond or engage in proposed amicable settlement discussions.

Instead, the letter alleges that conditions on the ground deteriorated, with unauthorised parties actively extracting gold tailings valued at millions of dollars from the mine.

According to the investors, members of an “Interim Management Committee” linked to the Minerals Commission were involved in the sale of these tailings to unknown third parties. Efforts to halt the alleged activities were reportedly obstructed by local security forces said to be aligned with the Commission.

The letter further claims that other unauthorised individuals gained access to the mine site, extracting and selling gold tailings without the investors’ consent, while the Ghanaian military allegedly failed to provide adequate protection.

“These acts constitute theft of the investors’ property,” the letter states, stressing that the tailings form part of the investors’ operational plans and remain their lawful assets.

Beyond the alleged illegal extraction, the investors also accuse the Government of Ghana of attempting to transfer ownership of the mine and its associated leases to Heath Goldfields Ltd.

They contend that such a transfer, reportedly undertaken by the Ministry of Lands and Natural Resources in collaboration with the Minerals Commission, would violate both Ghanaian law and the country’s obligations under the UK-Ghana BIT.

The investors argue that Ghana has breached several provisions of the treaty, including obligations to provide fair and equitable treatment, ensure full protection and security, and refrain from expropriation without prompt and adequate compensation.

They have warned that Ghana could face substantial financial liability if the dispute proceeds to international arbitration.

The letter also cites World Bank guidelines on expropriation disputes, cautioning that failure to make reasonable efforts to resolve such matters could adversely affect Ghana’s international credit standing and access to future financing.

To prevent further escalation, the investors called on the government to immediately secure the mine and preserve all assets, while engaging in urgent settlement discussions. They proposed that talks be held either in Accra or London at a mutually agreed date.

The investors set a deadline of 14 January 2025 to resolve the dispute amicably, failing which they said they would initiate international arbitration proceedings under the treaty.

Copies of the letter were sent to several high-level officials, including President Nana Addo Dankwa Akufo-Addo, former Lands Minister Samuel Abu Jinapor, and former Minerals Commission Chief Executive Martin Kwaku Ayisi, as well as diplomatic representatives of the United States and the United Kingdom.

On 20 September 2024, the previous leaseholder received a notice of termination of mining leases from the Minerals Commission, alleging breaches of lease conditions.

Following the notice, the Commission established an Interim Management Committee (IMC), which assumed control of the mine site. Blue Gold Holdings Limited and the previous leaseholder have disputed both the legality of the termination notice and the appointment of the IMC under the Minerals and Mining Act, 2006 (Act 703).

On 14 October 2024, BGHL formally notified the Republic of Ghana of the dispute under the UK-Ghana BIT, which governs investment protection between the two countries.

Pending resolution, BGHL has been advised by its Ghanaian counsel, Kimathi Partners, that under Section 27(5) of the Mining Act, the leases remain valid and in force.

On 2 April 2025, BGHL served a notice of arbitration on Ghana pursuant to Article 10 of the treaty.

Ghana responded on 6 June 2025, contesting jurisdiction and disputing both the validity and merits of the claims, while agreeing to a three-member tribunal administered by the Permanent Court of Arbitration in The Hague.

The company has warned that the outcome of the arbitration could significantly affect its business. A favorable ruling would depend on securing the necessary approvals and operational conditions to restart the mine.

However, it cautioned that delays or an unfavorable decision could materially impact its operations and financial position. If unsuccessful, the mining leases could be relinquished, potentially reducing the recorded value of its mineral rights to zero.