NATURAL
RESOURCES LAW
LECTURE 3
OWNERSHIP OF MINERAL RESOURCES
CONSTITUTIONAL
BASIS FOR
OWNERSHIP OF
MINERAL
RESOURCES
CONSTITUTIONAL BASIS
ARTICLE 257(6)
Every mineral in its natural state in, under
or upon any land in Ghana, rivers, streams,
water courses throughout Ghana, the
exclusive economic zone and any area
covered by the territorial sea or continental
shelf is the property of the Republic of
Ghana and shall be. vested in the
President on behalf of, and in trust for
the people of Ghana
CONSTITUTIONAL BASIS II
ARTICLE 268 Protecting Natural Resources
(1) Any transaction, contract or undertaking involving the
grant of a right or concession by or on behalf of any person
including the Government of Ghana, to any other person or
body of persons howsoever described, for the exploitation
of any mineral, water or other natural resource of Ghana
made or entered into after the coming into force of this
Constitution shall be subject to ratification by Parliament.
(2) Parliament may, by resolution supported by the votes of
not less than two-thirds of all the members of
Parliament, exempt from the provisions of clause (1) of this
article any particular class of transactions, contracts or
undertakings.
WHERE & WHAT IS GHANA ?
ARTICLE 4(1) & (2)
(1) The sovereign State of Ghana is a unitary
republic consisting of those territories
comprised in the regions which immediately
before the coming into force of this
Constitution, existed in Ghana, including the
territorial sea and the air space.
(2)Parliament may by law provide for the
delimitation of the territorial sea, the
contiguous zone, the exclusive economic
zone and the continental shelf of Ghana.
LEGISLATIVE BASIS
FOR OWNERSHIP
OF MINERAL
RESOURCES IN
GHANA
MINERAL LEGISLATION
Between 1986 and 2006, the Mineral and
Mining Law 1986, PNDCL.153 was the basic
mining legislation in Ghana.
While it was regarded as a trailblazer in terms
of mining legislation in sub-Saharan Africa,
changes in the international mining scene
necessitated its revision.
After a protracted review from the early 2000s,
the current Minerals and Mining Act, Act
703 of 2006 became the governing legislation
for Ghana’s minerals and mining sector.
MINERALS AND MINING ACT, 2006 (ACT 703)
Section 1 of Act 703 Minerals Property of Republic
1. Every mineral in its natural state in,
under or upon land in Ghana, rivers,
streams, water-courses throughout the
country, the exclusive economic zone
and an area covered by the territorial
sea or continental shelf is the
property of the Republic and is
vested in the President in trust for
the people of Ghana.
S1 Demystified
Under section 1 of Act 703, all
minerals are vested in the President
in trust for the people of Ghana.
This existed under the previous law.
SO WHAT’S NEW?
The Minister of Lands and Natural
Resources (“the Minister”), on behalf
of the President, is therefore mandated
under the Act to grant, revoke,
suspend or renew mineral rights,
on the advice and recommendation
of the Minerals Commission.
SEE sections 5 & s 100 (2) of Act 703
Sections 5 & 100 (2) of Act
703
s100(2) The Minister shall obtain the advice
and recommendation of the Commission
before exercising a power, discretion or
making a determination or agreement
pursuant to this Act and Regulations
made under this Act.
S5 Upon receipt of a mineral right
application, the Minerals Commission
must submit its recommendations to
the Minister within 90 days of receipt
of the application.
SO WHO OWNS THE MINERALS?
A mineral in its natural state
found in any part of Ghana
shall be vested in the President
in trust for the People of Ghana.
TERRITORIES OF GHANA
Land size – 16 regions of Ghana
Internal waters – waters on the landward
side of the baseline of the territorial sea &
The sea which includes
The territorial sea
The contiguous zone
The exclusive economic zone and
The continental shelf
THE TERRITORIAL SEA
Its breath does not exceed 12
nautical miles measured from the
low waterline along the coast as
marked on large-scale official charts.
1 nautical mile = 1.82 km
See section 1 of Maritime Zones
(Delimitation) Act, 1986 (PNDCL
159)
CONTIGUOUS ZONE
It is the zone contiguous to the
territorial sea which may not
exceed 24 nautical miles from
the baseline from which the
territorial zone is measured.
S4(1) of PNDCL 159
EXCLUSIVE ECONOMIC ZONE
It is the area beyond and adjacent
to the territorial sea and does
not extend beyond 200 nautical
miles from the baseline from
which the breadth of the
territorial sea is measured.
S5(1) of PNDCL 159
CONTINENTAL SHELF
Comprises the sea-bed and subsoil of
the submarine areas that extend
beyond the territorial sea throughout
the natural prolongation of its
land territory to a distance of
200 nmi from the baselines from
which the breadth of the
territorial sea is measured.
S 6(1) of PNDCL 159
SUMMARY
It is therefore unlawful for a
person to mine on the land or
under rivers, streams or
watercourses without a licence
from the Minister for Lands.
COMPULSORY
ACQUISITION
COMPULSORY
ACQUISITION
The owner of land owns the surface soil
But the mineral in its natural state under it
is owned by the Republic of Ghana.
In effect, the republic cannot exploit or
mine the mineral in its raw state or grant
a mineral right to an entity without
acquiring the land as required in the public
interest for public purposes for appropriate
compensation.
The republic may authorize the grantee of the
mineral right to pay compensation.
COMPULSORY ACQUISITION OF LAND s 2
OF ACT 703
Where land is required to secure
the development or utilization of a
mineral resource, the President
may acquire the land or authorise
its occupation and use under an
applicable enactment for the time
being in force.
Public Lands
Agbosu LK, ‘Land Administration in
Northern Ghana’ (1980) XII RGL 104
Read for discussion on what public lands are.
LAND AVAILABLE FOR APPLICATION FOR MINERAL RIGHT
s3
3. Land in the country may be made the subject of
an application for a mineral right in respect of a
mineral specified in the application, other than land
which is
(a) the subject of an existing mineral
right in respect of the specified
mineral, or
(b) expressly reserved, by or under
this Act or any other enactment from
becoming the subject of a mineral right.
MINISTER MAY RESERVE LAND FROM MINING
4. (1) The Minister may, by Executive Instrument
declare land, not being the subject of a mineral
light, to be reserved from,
(a) becoming the subject of an application for
a mineral right for a mineral, or
(b) becoming the subject of an application
for a mineral right in respect of specified
minerals or of all minerals except specified
minerals.
(2) An Executive Instrument issued shall be by the
authority of the President.
POWER OF MINISTER TO GRANT MINERAL RIGHTS
s5
5. (1) Subject to subsections (4) and (5), the Minister
on behalf of the President and on the
recommendation of the Commission may negotiate,
grant, revoke, suspend or renew mineral rights in
accordance with this Act.
(2) Where the Minister grants a mineral right, the
Minister shall determine the land subject to the
grant.
(3) Where the Minister determines not to grant an
application or determines to grant an application
over a part of the land applied for, the Minister
shall give the applicant written reasons.
POWER OF MINISTER TO
GRANT MINERAL RIGHTS
s5(4) &(5)
(4) A transaction contract or undertaking
involving the grant of a right or concession by or
on behalf of a person or body of persons, for the
exploitation of a mineral in Ghana shall be subject
to ratification by Parliament.
(5) Parliament may, by resolution supported by
the votes of not less than two thirds of all the
members of Parliament, exempt from the
provisions of subsection (4) of this section a
particular class of transactions, contract or
undertakings.
GOVERNMENT'S RIGHT OF PRE-EMPTION
s7
(1) The Minister has the right of pre-emption of all
minerals raised, won or obtained in Ghana and
from any area covered by territorial waters, the
exclusive economic zone or the continental shelf
and products derived from the refining or
treatment of these minerals.
(2) The Government may, by an Executive
Instrument, appoint a statutory body to act as its
agent for the exercise of the right of pre-emption.
