Civil Society Organisations (CSOs) have thrown their weight behind increased equity investment in Electrochem Ghana Limited (EGL) especially by Minerals Income Investment Fund (MIIF) describing the company’s operations at Ada as a strategic national asset capable of transforming Ghana into a major player in Africa’s salt industry.
The endorsement followed a recent visit by a delegation of CSO leaders to the Ada Songor Salt Project, where they toured the company’s facilities and engaged management, traditional authorities and community stakeholders on the progress of one of West Africa’s largest salt mining ventures.
The CSOs expressed satisfaction with the scale of investment undertaken by Electrochem over the past five years, noting that the project is emerging as a key driver of industrialisation, job creation and local economic development.
Chief Executive Officer of the Consumer Protection Agency (CPA), Mr. Kofi Owusu Hene, popularly known as Kofi Kapito, praised the company for its commitment to unlocking the economic potential of the Songor Lagoon.
According to him, the level of investment already made by Electrochem has positioned Ada as a future salt production hub with continental significance.
“Electrochem’s commitment to developing Ghana’s salt industry is evident, and the investments being made have the potential to generate substantial economic opportunities for both the local community and the country at large,” he stated.
Mr. Kapito, however, stressed the need for sustained community engagement, urging management to continue educating residents on the long-term benefits of the project while addressing concerns through dialogue and consultation.
His comments come as Electrochem pursues an ambitious $500 million expansion programme, which has attracted growing interest from international investors.
Chief Executive Officer of Electrochem Ghana Limited, Mr. Francis Buamah, disclosed that investors from the United Arab Emirates, France, the United Kingdom and Austria have expressed interest in acquiring equity stakes in the company.
He revealed that discussions with prospective investors have intensified over the last six months as the company seeks strategic financing to scale up operations and modernise infrastructure.
The proposed expansion will fund major capital projects, including the automation of pumping systems, construction of pipelines and a jetty, acquisition of vessels and barges, completion of a salt refinery, establishment of a caustic soda plant, procurement of mining equipment and the development of a research-focused university.
Mr. Buamah noted that international investors increasingly view Ghana’s salt sector as a gateway to the wider African market. “We’ve had investors from the United Arab Emirates, France, the United Kingdom and Austria who are interested in the salt business and see Ghana as a gateway to the African market,” he disclosed.
He argued that Electrochem’s strategic position offers investors access to a continental market of more than 1.2 billion people under the African Continental Free Trade Area (AfCFTA), making the company an attractive long-term investment destination.
Board Chairman of Electrochem Ghana Limited, Professor Kofi Abotsi, underscored the importance of ensuring that private investment translates into tangible national benefits.
He maintained that investments in the Songor Salt Project must deliver value beyond shareholder returns by creating jobs, supporting industrial growth and improving living conditions in surrounding communities.
Prof. Abotsi stressed that stakeholder engagement remains essential to ensuring sustainable development and maintaining public confidence in the project.Traditional authorities also welcomed the growing investor confidence in the Songor concession.
Addressing participants, the Vice President of the Ada Traditional Council described the Songor Lagoon as one of Ghana’s most valuable natural resources, with the capacity to produce millions of metric tonnes of industrial salt annually.
The Council recalled the recommendations of the 1991 Songor Master Plan, which proposed a coordinated approach to salt production involving investors, local communities and structured management of the lagoon’s resources.
Traditional leaders noted that government’s decision to grant the concession to Electrochem in 2019 was intended to revive the salt industry and unlock its economic potential after decades of underutilisation.
Nene Agudey Obichere III dismissed misconceptions about the company’s operations, insisting that Electrochem’s activities remain consistent with the broader objectives of sustainable development, community participation and restoration of the lagoon ecosystem.
The Ada Traditional Council further commended the company for investments in employment generation, potable water provision, women empowerment initiatives and other community development programmes.
The Council called for continued government support, peaceful stakeholder engagement and effective law enforcement to safeguard the long-term development of the Songor Lagoon.
The CSO visit forms part of ongoing efforts to strengthen stakeholder engagement and promote public understanding of Electrochem’s operations as the company advances plans to increase annual salt production to one million tonnes.
Industry observers believe the expansion could significantly boost Ghana’s industrialisation agenda, deepen value addition in the minerals sector and create new economic opportunities for communities across the Ada enclave and beyond.
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