Ghana fines mining company $6m after deadly explosion

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Ghanaian officials on Tuesday fined a mining company $6 million after 13 people were killed in an explosion that was sparked when a truck carrying explosive material crashed last month.

The explosion left a huge crater and reduced dozens of buildings to dust-covered piles of wood and metal in Appiatse, near the city of Bogoso some 300 kilometres (180 miles) west of the mineral-rich West African country’s capital Accra.

At least 13 persons were confirmed dead with over 700 local residents displaced, the country’s disaster management organisation said.

Minister of natural resources, Samuel Jinapor, disclosed in a statement that Maxam Ghana Limited, the manufacturers of the explosives, had breached the country’s mining regulations regarding transportation of explosives.

“Having regard to the nature and totality of the circumstances leading to this tragic incident, I have imposed an administrative fine of the Cedi equivalent of US$1 million on Maxam,” the statement said, referring to the local cedi currency.

AFP reports that after discussions Maxam had agreed to pay another $5 million, he added. 

The company has since been closed down pending further investigations into the explosion.

In a statement, Maxam Ghana said it had agreed to pay the fine but added it did not breach any regulations that led to the explosion.

“Based on a different interpretation of the applicable regulations, we believe that Maxam has not committed any of those breaches,” it said.

It had agreed to pay the fine to ensure the continuity of business, to supply customers and to protect its workers, the statement said.

Ghana has been rocked by several deadly explosions caused by fuel accidents in recent years.

Deadly accidents linked to the mining sector are also frequent in Ghana, Africa’s second largest gold producer after South Africa, but they are mostly caused by the collapse of mines, often illegal ones.

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