An indigenous gold mining firm, Takoradi Gold has sued the Minerals Commission for refusing to renew its gold prospecting contract even though it has met all the requirements.

A Court in Tarkwa is hearing the case and the company asserts that the delay in renewing its license has cost the company significant losses.

Takoradi gold says it has been operating since 1992 and has since then renewed its operating license every two years.

But the troubles began when management applied for the renewal of the operating license for its Kutukrom concession in 2011 only to be informed in 2013 that the application will not be renewed.

This was after it paid a processing fee of $500, a Consideration fee of $20,000 and annual Ground rent to the administrator of stool lands.

The Commission in a response asserts that for the 21 years of exploration, the company has not upgraded its activities in the area.

It also cited the slow pace of work as indicative of the fact that Takoradi Gold Limited lacks the financial capacity to embark on detailed mineral exploration. 

In the Commission’s view, Takoradi Gold Ghana Limited did not have the financial capacity and the technical ability to effectively explore the Kutukrom concession.

The case will be heard on Friday 24 July, 2015.