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Heath Goldfields settles $22m legacy debt owed ex-FGR workers

Heath Goldfields Limited has paid a total of $22 million in workers’ entitlements left behind by Future Global Resources (FGR), the former operators of the Bogoso-Prestea mine.

The Managing Director of the company, Patrick Appiah Mensah, confirmed that the severance package covered about 212 former FGR workers.

He said as of last Thursday, 210 workers representing about 98 per cent had received their payments.

Mr Mensah made the disclosure after workers of Heath Goldfields and former FGR employees organised a walk to the Bogoso-Prestea mine site last Friday to express appreciation to management for settling severance benefits and salary arrears.

Mr Mensah noted that the remaining beneficiaries were expected to present themselves in person to complete the necessary documentation to receive their payments.

He said the company had committed to settling all legacy debts inherited from the previous operator and had worked with the Ghana Mine Workers Union (GMWU) under an agreed roadmap to guide the payment process.

He added that the company had honoured all its commitments under the arrangement.

He expressed gratitude to the former FGR workers for their patience and support throughout what he described as a difficult turnaround period.

Mr Mensah further stated that the development marked the beginning of renewed growth at the mine and reaffirmed the company’s commitment to prioritising its workforce, describing workers as its greatest asset.

The branch secretary of the GMWU at Heath Goldfields, Raymond Bimpong Boateng, said the walk demonstrated workers’ solidarity and appreciation for management’s efforts to fulfil its promises and restore stability in the company.

He indicated that former FGR workers were relieved that their concerns had been addressed, noting that the mine had previously been in a poor state, with rusted machinery, corroded equipment and overgrown surroundings.

Mr Boateng said the situation had improved significantly following the refurbishment of facilities and the restoration of operations.

He disclosed that employment levels had increased, with about 300 people currently in direct employment and nearly 700 others engaged indirectly through local contractors.

He added that management had, since October last year, paid eight months of salary arrears, as well as pension and SSNIT contributions.

Mr Boateng also dismissed claims by legal practitioner Martin Kpebu that the mine’s plant was not operational, stating that the plant had been functioning since Heath Goldfields took over.

He explained that FGR’s inability to pay electricity bills led to its disconnection from the national grid, which contributed to the mine’s decline.

According to him, the company owed about $2.8 million to the Volta River Authority (VRA) and $1.5 million to GRIDCo but was unable to settle the debts.

He said Heath Goldfields intervened to revive the mine and clear the outstanding debts owed to the two power entities.

Mr Boateng stated that performance at the mine had improved and that all outstanding payments due to former FGR workers had been made.

He added that although operations had initially stalled, management had restored the plant and that the surrounding community was beginning to experience renewed economic activity.

He expressed optimism that the ongoing revitalisation efforts would lead to expansion of the mine, acquisition of new equipment, job creation and increased economic activity within the catchment areas.

FROM CLEMENT ADZEI BOYE, BOGOSO

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