- GNPC’s Prestea Sankofa Targets 150 Kilograms Monthly Gold Output With Chinese Partner
Prestea Sankofa Gold Limited has signed a Memorandum of Understanding with Kingmamo Resources Holdings Company Limited, a Chinese investment firm, in a move aimed at revitalising the state-owned mining company and significantly increasing gold production.
The agreement, signed on June 10, 2026, is expected to provide Prestea Sankofa with technical expertise, modern mining equipment and operational support to improve efficiency and support long-term growth.
Prestea Sankofa Gold Limited is a state-owned subsidiary of the Ghana National Petroleum Corporation.
Managing Director of Prestea Sankofa Gold Limited, Alhaji Ishaq Dauda, said the company’s current operations have been constrained by ageing equipment and frequent maintenance problems.
“Look at the current state of the machines we have. It can take up to about 21 hours of maintenance. With this partnership, we are hopeful of significantly increasing our production,” he said.
According to him, the company currently produces about 50 kilograms of gold per month.
With the new equipment and technical support expected under the partnership, the company is targeting monthly production of between 100 kilograms and 150 kilograms.
That would represent a major improvement in output and could strengthen the company’s contribution to GNPC and the national economy.
“The more profit we make, the more GNPC benefits and ultimately the country benefits as well,” Alhaji Dauda stated.
The partnership comes at a time when Ghana is seeking to maximise value from its gold sector, deepen local participation in mining and strengthen state-linked commercial mining assets.
Gold remains Ghana’s largest export earner and a critical source of foreign exchange, fiscal revenue and employment.
However, many local and state-linked mining assets continue to face operational challenges, including weak capitalisation, ageing equipment, low recovery rates, limited technical capacity and inadequate investment in modern mining systems.
The Kingmamo partnership is expected to address some of these operational constraints at Prestea Sankofa.
Chairman of Kingmamo Resources Company Limited, Zhon Danhna, popularly known as Kofi Danny, said the company would introduce advanced mining and tailings-processing equipment to support operations.
“We are coming to introduce some of the best mining and tailing machines to Sankofa and also bring the expertise to train local workers to manage the machines effectively,” he said.
His comments suggest that the partnership will not only focus on equipment supply, but also on skills transfer and local capacity building.
This will be important if the project is to deliver sustainable productivity gains beyond the initial deployment of machinery.
Tailings processing could also become an important part of the company’s production strategy, especially if modern recovery technology allows Prestea Sankofa to extract additional gold from previously processed material.
Across the mining industry, improved tailings management and recovery systems are increasingly being used to enhance output, reduce waste and improve environmental performance.
GNPC Board Member, Kwame Jantuah, described the agreement as a strategic move to increase gold production and strengthen Ghana’s mining sector.
“We are looking at the next three to six months to finalise all the necessary arrangements. We needed a company that could help increase our production and contribute to Ghana’s development,” he said.
“We went abroad in search of a suitable partner and have now struck a deal with Kingmamo to help boost production at Sankofa,” he added.
The three-to-six-month timeline suggests that the parties still have to complete key arrangements before full implementation begins.
These may include technical assessments, financing structures, equipment deployment plans, regulatory processes and operational integration.
For Ghana, the proposed production increase carries both commercial and policy significance.
If Prestea Sankofa raises monthly production from 50 kilograms to as much as 150 kilograms, the company could triple output at the upper end of its target range.
That would improve revenue, strengthen GNPC’s returns from the asset and support government’s broader objective of increasing local participation in the mining value chain.
The deal also comes at a time when Ghana’s mining industry is under pressure to demonstrate stronger national value retention.
Policy discussions have increasingly focused on local ownership, domestic procurement, value addition, responsible mining, environmental protection and improved community benefits.
A successful turnaround at Prestea Sankofa could therefore become an important example of how state-linked mining assets can be revived through strategic partnerships, technology transfer and stronger operational discipline.
However, execution will be critical.
The partnership will need to deliver not only new machinery, but also measurable improvements in production efficiency, cost control, recovery rates, maintenance systems, worker training and environmental compliance.
It will also be important to ensure that the partnership is structured transparently and delivers clear value to Ghana.
Strategic foreign partnerships in the mining sector can provide capital, technology and expertise, but they must be aligned with national interest, local employment, skills transfer and responsible resource management.
For Prestea Sankofa, the immediate priority will be to move from agreement signing to practical implementation.
The company’s current production level shows that the asset still has value, but its future will depend on whether modern equipment and technical support can unlock higher output at commercially sustainable cost.
For Kingmamo, the partnership offers an opportunity to establish a stronger presence in Ghana’s mining sector and demonstrate the value of Chinese technical expertise in mine revitalisation.
For GNPC and the state, the deal represents a chance to improve returns from a mining asset that could contribute more meaningfully to national revenue if properly capitalised and managed.
The broader lesson is that Ghana’s mining growth will not depend only on new concessions and large multinational operators.
It will also depend on whether existing assets, including state-linked mines, can be modernised, made efficient and integrated into a stronger local mining ecosystem.
Prestea Sankofa’s partnership with Kingmamo Resources therefore marks an important step, but the real test will be whether the agreement translates into higher production, stronger profitability and lasting value for Ghana.
