The deal covers the mining of lithium and other minerals at Mankessim in the Central Region.

This follows a request by the company to adjust the lease terms due to a sharp fall in global lithium prices, which has affected the viability of the project.

Minister of Lands and Natural Resources told journalists in Accra on Tuesday, November 11, that the deal will create jobs for Ghanaians.

He noted that global lithium prices had dropped from about $3,000 per tonne at the time of the initial agreement to around $630. This, he noted, has made most lithium projects worldwide unprofitable.

“The proponents of the project wrote to say there was no way they could go forward with the old agreement,” the Minister said. “Almost every lithium project around the world has been halted because the profitability is no longer feasible.”

He explained that the government decided to renegotiate the royalty terms to protect the project and the interests of the affected communities.

“Initially, the royalty rate was raised from 5 percent to 10 percent because of high prices. Now that prices have dropped, we’ve agreed to start at 5 percent and return to 10 percent when prices recover,” he stated.

Mr. Buah emphasised that the decision aims to ensure the project proceeds without further delays, especially as farmlands have already been acquired and livelihoods affected. “We are thinking about jobs, empowering our people, and creating industries. This approach ensures the project moves forward while protecting Ghana’s long-term interests,” he said.

However, the Minority in Parliament has called for the agreement to be rejected. Former Lands Minister and MP for Damongo, Samuel Abu Jinapor, argued that the revised deal is no different from the one previously laid before the House during his tenure.

“With the greatest of respect, the terms of this new agreement are not different from what I presented to this House. I therefore pray that this laying be rejected,” he told Parliament.

Minority Leader Alexander Afenyo-Markin also criticised the government’s move, accusing the current administration of inconsistency. He said the governing party had previously condemned the same agreement when it was first introduced under the Akufo-Addo administration.

“You told the people of Ghana that the lithium agreement was bad. Today, you have brought back the same agreement, only reducing the royalties while claiming credit for it,” he stated.

Majority Leader, Mahama Ayariga, opposed the Minority’s assertions and urged Speaker Alban Bagbin to move on.

Speaker Bagbin noted that the first agreement was not presented and rejected by the house.

He added, “Now it is being brought, we are referring it to the relevant committee. Every member is allowed to visit and make contributions, come to the floor here when the report is presented, and you can disagree with the committee. At the end of the day, we make the decision.”