A major legal showdown over the rights to the Black Volta gold project in northwest Ghana has intensified, with a high-stakes arbitration case now before the International Chamber of Commerce (ICC) in London.
At the heart of the dispute is a failed partnership between two prominent Ghanaian companies, with accusations of contract breaches, financial mismanagement, and derailed timelines.
The case pits Engineers & Planners (E&P), a construction firm owned by businessman Ibrahim Mahama—brother of President John Dramani Mahama—against Azumah Resources, a mining company backed by Australian and Singaporean private equity firm Ibaera Capital.
Agreement Gone Sour
In 2023, E&P and Azumah Resources entered into a development agreement assigning E&P early-stage responsibilities in mine development. The contract also offered E&P a potential equity stake in the Black Volta project, seen as a future cornerstone of Ghana’s gold sector.
But the deal collapsed by the end of 2024. Azumah Resources terminated the agreement in December, citing E&P’s failure to raise funding, secure Engineering, Procurement and Construction (EPC) contracts, and commence site activities—actions the company claims caused significant delays to the project’s implementation.
Arbitration and Counterclaims
E&P had earlier filed a claim in October 2024, accusing Azumah of wrongful termination and seeking damages. In response, Azumah has hit back with a $100 million counterclaim, alleging contractual violations, financial misconduct, and unauthorised decisions by E&P agents.
Azumah has denied all of E&P’s allegations and says it has now taken full control of the project’s development. The company blames earlier delays squarely on E&P’s alleged non-performance and insists the arbitration process has slowed forward progress.
The arbitration is being overseen by a three-member tribunal, chaired by Nigerian legal luminary Funke Adekoya SAN, with Ghanaian arbitrator Shadrack Arhin and British King’s Counsel Edwin Glasgow also presiding.
Legal Representation and Parallel Proceedings
The dispute is being closely watched within Ghana’s mining and legal communities. E&P is being represented by Robert Smith Law Group, while Azumah Resources has retained Steptoe International (London) and Ghanaian firm Bentsi-Enchill, Letsa & Ankomah.
Meanwhile, Ibrahim Mahama and E&P are also suing Bright Simons, a Ghanaian policy analyst, in a separate defamation case in Accra. The lawsuit stems from a publication in which Simons alleged the company was financially unstable due to suspended operations at the Damang gold mine and accused it of influencing government mining policies. E&P has dismissed the claims as “false, malicious, and defamatory.”
Strategic Project in Limbo
The Black Volta gold project is considered a major addition to Ghana’s mining portfolio, with significant potential to contribute to the country’s gold output and economic growth. However, the ongoing arbitration threatens to delay its development timeline further, as both sides dig in over contractual obligations and reputational concerns.
The outcome of the ICC proceedings may not only determine the future of the Black Volta mine but could also set a precedent for how high-profile disputes are managed in Ghana’s extractive sector.
