Fiscal stability and fair tax and royalty systems are vital if countries want to attract mining investment, Newmont CEO Tom Palmer told Reuters as the company opened its $900-million Ahafo North mine, in Ghana.

In Africa, Newmont now only operates in Ghana, one of the continent’s most stable mining jurisdictions, offering stability agreements for firms to lock in royalties for five to 15 years, although the government plans tighter oversight of mining companies.

Newmont’s investment decisions hinge on “very stable fiscal regimes” and “robust, fair tax and royalty systems,” Palmer said in an interview with Reuters on Thursday following the inauguration of the Ahafo North mine, its second mine in Ghana after selling the Akyem mine to China's Zijin last year.

“It is important that we see a regime that is fair and transparent... If not, capital will go elsewhere,” he said.

Reuters reported this week that Ghana, Africa’s top gold producer, has ordered sweeping audits of mining firms, including US-based Newmont, AngloGold Ashanti, Gold Fields and China’s Zijin.

Ghana is also preparing major legal reforms, as West African states push for greater control over natural resources amid a global commodity boom. Palmer said the investment climate was still attractive.

"Ghana is a key place," he said. "We're in Australia, Canada, the United States, Peru, Argentina, Mexico, Suriname, all of those locations are very deliberately chosen and all of those locations we choose to go there for the very long term because we can be confident that we can build and maintain lasting relationships.”

Newmont now operates two mines in Ghana - Ahafo South and Ahafo North - which Palmer described as “cornerstones” of the company’s global portfolio.

“We’ve been here 30 years. I expect Newmont will be here at least another 30.”

Ghana’s Vice President Jane Naana Opoku-Agyemang said the Ahafo North mine marks a new phase of inclusive growth for Ghana's economy.     

“This partnership must go beyond profit. It must deliver lasting value to the people of Ghana, especially those in the host communities,” she said.     

Ghana's regulatory environment is more stable than other parts of Africa where military-led governments in Burkina Faso, Mali, Niger and Guinea, also rich with gold, uranium, bauxite, lithium and iron ore resources, are tightening fiscal regimes to boost state revenues.

Spot gold prices hit a record above $4 380 a troy ounce on October 20, boosting miners’ revenue.

The Ahafo North mine, located 30 km (19 miles) from Newmont’s Ahafo South operation, is expected to produce 50,000 ounces of gold this year, ramping up to 275 000 oz/y to 325 000 oz/y over its 13-year life. 

The mine will employ about 1 000 permanent workers, Palmer said. Newmont produced around 800,000 ounces of gold in Ghana in 2024.