PMMC drives gold industry transformation with innovation and reforms

Another state-owned agency that has since 2017 elevated Ghana to the forefront of the African and global gold industry is the Precious Minerals Marketing Company (PMMC).

Established in 1963, PMMC was mandated to purchase and market Ghana’s gold and diamond resources. In 1965, the parliament of Ghana formally endorsed PMMC as a state-owned enterprise.

The company now operates as government’s national assayer with the sole mandate of assaying all gold that leaves the country. The Company is also sole implementing agency for the Kimberley Process Certification Scheme (KPCS), the global regime for trade in diamonds.

Jewellery production is also a core function of the Company, operating under the subsidiary name PMMC Jewellery Ltd. (PJL). The Company is located at the Diamond House building in Accra, which is situated on Kinbu Road, adjacent to the Registrar-General’s Department and next to the Ministry of Foreign Affairs.

Achievements

In 2018, Ghana was adjudged the best gold producer in Africa. The country also placed 6th globally in the same category that year. And in 2023, Ghana once again emerged as the top gold producer in Africa – surpassing South Africa and other major players.

Challenges

Before Nana Akwasi Awuah assumed the role of Managing Director in 2021, PMMC was facing significant financial challenges, including debts owed to local partners totaling over GH¢70million and an additional amount of about US$5million owed to international creditors.

Strategy

In a documentary produced by the State Interests and Governance Authority (SIGA) on state-owned enterprises (SOEs), the PMMC Managing Director revealed that the company has diligently worked to settle these outstanding obligations. Nana Awuah noted that PMMC has successfully paid off the foreign debt and established a plan to liquidate the local debt through an arrangement with the Receiver.

The Managing Director attributed PMMC’s remarkable turnaround to implementation of new reforms spearheaded by the Vice President , which have been instrumental in transforming the company into a profitable state agency. These strategic interventions have enabled PMMC to overcome its past financial challenges and emerge as a thriving enterprise.

Technology

Nana Akwasi Awuah disclosed that the company has made strategic investments in cutting-edge 3D technology, which has enabled the company to design and produce high-quality gold and diamond jewellery that can compete with the best in the world. This technological advancement has been a game-changer, empowering PJL to manufacture intricate jewellery and other gold-based products with precision and efficiency.

He also disclosed that the company has taken advantage of the digitalisation drive led by the Vice President to develop an E-Commerce website in order to market and sell its premium jewellery online.

Working environment

Nana Awuah emphasised PMMC’s commitment to employee welfare, ensuring that no staff member is owed salary arrears or long service payments like in years previous to 2017. He added that those which demonstrated remarkable efficiency over the years, whether it be 5, 10, 15 or 20 years of service, have been rewarded with motivational sums in accordance with the Collective Bargaining Agreement (CBA).

This strategic approach, he explained, is aimed at stimulating growth and profits through a highly motivated and engaged workforce.

Exploits and Refinery

The CEO credited government’s decision to restructure PMMC as a key factor in the company’s success. This restructuring has culminated in the opening of a new state-of-the-art refinery by the Vice President, where about 400 kilogrammes of gold is expected to be processed each day.

This initiative is part of government’s broader strategy to ensure that Ghana mines and refines its gold deposits for export and manufacturing jewellery, thereby promoting full value beneficiation of the mineral resource and also reducing need for Ghanaians to travel abroad and purchase such products.

Corporate Social Responsibilities

Nana Awuah highlighted PMMC’s active engagement in corporate social responsibility (CSR) initiatives, noting that the company provides support to healthcare agencies, NGOs and outfits focused on breast-cancer awareness and other health campaigns.

Additionally, PMMC has been supporting the student front with funding for educational projects, including scholarships and other incentives to needy and vulnerable students through a partnership with student organisations such as the National Union of Ghana Students (NUGS), University Students Association of Ghana (USAG) and others.

Vision

The Managing Director expressed his vision to oversee the continued reform and growth of PMMC, ensuring that the company can obtain necessary international certification and enable Ghana’s jewellery to penetrate the international market.

He also stressed the company’s collaboration with government agencies to crack down on illegal activities in the mining sector, ensuring that the gold it uses in production is responsibly sourced – free from conflict, child labour and environmental degradation.

Commendation of the board, management and staff

Nana Awuah also expressed appreciation to the company’s Board, management and staff for their continued support and contribution to PMMC’s success story.

He stated that their collective efforts have been instrumental in the company’s remarkable turnaround and transformation into a profitable state-owned enterprise.

“Our team has been the driving force behind PMMC’s success,” the CEO said.

“Their unwavering commitment, hard work and shared vision have been crucial in overcoming the challenges we faced and positioning the company for long-term growth and profitability,” he added.

Nana Awuah’s commendation of his team’s dedication underscores the pivotal role they have played in elevating PMMC to become a leading player in Ghana’s mining sector and a source of national pride.

 

Nana Akwasi Awuah, Managing Director-PMMC

FIN

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