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Monday, November 7, 2011

Battle over Sheini Iron Ore Concession; Lands Minister and A-G dragged to court

Francis Npong, Tamale

Sheini Hills
The counsel for Inlands Ghana Mines, a registered mining company, Esq. John A. Ndebugre has filed a suit against the minister of lands and Natural Resources and Attorney General at the Accra High Court praying for an order of judiciary review to compel the respondents to grant prospecting license to enable his client begin the development of Sheini Iron Ore concession in the northern region.
The writ filed on the 17th of October, 2011 stated in part that Inland Ghana Mines which is registered under the companies Act, 1963, act 179 undertook various investigations and submitted its finding on the Sheini iron ore as mandated by the law.
And that the mineral commission which is under the ministry of Lands and Natural Resources acknowledged it report being very comprehensive but however failed or refused to grant the company the prospecting licenses to begin exploration upon applications.
The ministers the writ stated failed to respond to the letters written by the Inland Ghana Mines limited seeking answers to the activities of one company called Emma lands Ghana Limited and Cardero Resource Corp as mandated by the mining law of Ghana.
The counsel for Inland Ghana Ltd stated in his suit that his client though undertook all legal processes regarding Sheini iron ore concession it was not being fairly treated.
Based on this the counsel is praying the court to compel the authorities particularly the minister of Lands and natural resources, and Attorney general to grant his client the license to enable the company begin the development works of the sheini iron ore concession.
However, a press release issued by Cardero Resources Corp and published by Marketwire,British Colombia on the 10/26/11 claimed that it has been advised by Emmaland Resources Limited, its Ghanaian joint venture partner (“Emmaland”), the minister of Lands and Natural Resources has given his  final approval for the grant to Emmaland  three prospecting licenses covering lands located in the Zabzugu-Tatale District in the Northern Region of theRepublic of Ghana and referred to as the Sheini Hills Iron Project (approximately 400 square kilometres in aggregate).  The release stated “accordingly, Emmaland has submitted to the Minerals Commission (Ghana) (“MinCom”) the final documentation required for the formal issuance of the prospecting licenses and anticipates that they should be issued around the beginning of November, 2011”.  It said that Cardero has negotiated joint ventures with Emmaland pursuant to which the Company can acquire a 100% working interest in each of the three licenses.
The Sheini Hills Iron formation, occurring as hematite with a lesser component of magnetite, has an indicated average thickness of 50 to 150 metres and can be followed by surface mapping and sampling for a minimum of 30 kilometres of strike. The mineralized system appears to be flat to gently dipping at surface, forming north-south trending prominent ridges.
The Sheini Hills Iron Project is a large-scale iron project, which is in line with Cardero’s bulk commodity focus, and is anticipated to add considerably to the Company’s existing coal and iron resource base.
It could be remembered sometime this year that the mineral commission detailed all companies interested in the development of Sheini Iron Ore concession to submit their detail proposals to the commission to enable it choose the “well to do” company which has the capacity to build the iron ore factory in Northern region, near the raw material as part of strategies to offer jobs in the area which is perceived to be poverty stricken. Stay tuned as the Enquirer brings you the nitty-gritty of the Sheini iron ore concession, activities of the companies, individuals who has interest in the project, the side of the communities and chiefs who feel being neglected in the process.

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