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Electrochem Ghana Limited invests over USD$88 million in Songor Lagoon

Osumanu Al-Hassan by Osumanu Al-Hassan
March 21, 2024
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Electrochem Ghana Limited (EGL), a subsidiary of McDan Group, says it has over the past three years invested more than US$88 million in the Songor Lagoon Salt Project.

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The investment was towards the establishment of a commercial salt production complex in Ada to create job opportunities for residents.

Mr. Razak Adams, the Chief Executive Officer of EGL, disclosed this at a meeting with the Ada Traditional Council, and said the company had so far created over 70 community pans to be tripled over the years, to ensure that salt mining was done at least three times a year in the area.

He said less than five percent of the potential of the lagoon had been met, adding the company has the capacity and capability to make it a financial hub for Ghana and Africa at large.

He debunked assertions that Electrochem wants to monopolise salt mining operations in Ada, stating that they were aware that salt mining was a traditional work of the people of Ada for many generations, hence their resolve to include them in the project to sustain their source of livelihood.

The CEO gave the assurance that it would continue with its plans to revamp the lagoon to a standard that would provide wealth for Ada.

Mr Adams said the company could produce two million metric tonnes of salt annually, adding that it is upgrading its crystallizers and expanding its operation from Ada West to Ada East.

He stated, however, that even though the company had all the required documents to operate in the lagoon, it still needed the support and blessings of the traditional council and the people of Ada to operate in a peaceful atmosphere, hence the need to keep the traditional authorities updated. 

“We realised that the community is sitting on wealth, but the wealth is not being properly harnessed, so EGL needs your blessings to make sure Songor becomes the number one salt mining area in Africa,” he emphasised. 

The Electrochem CEO also revealed that the company had acquired additional space for the construction of a harbour in Ada for easy transportation of the salt.

Mr. Adams said the GHs3 million grant the company provided for businesswomen in Ada would be expanded to GHs10 million and encouraged beneficiaries of the first tranche to invest in their businesses and payback for it to keep rolling.

He appealed to the Ada Traditional Council to help fight poverty among the people by collaborating with the company through advice and support to help them create meaningful and respectful job opportunities for the youth while achieving its goal of making Ghana the largest producer and exporter of salt in Africa and beyond.

He complained that “Atsiakpo (illegal salt mining) practitioners are still endangering the development of the lagoon with their practice.

“Our staff has been attacked, brutalised, and injured; our machines have been burned and some vandalised, and we know you as chiefs are not in support of that, so we want you to intervene. Identify them and isolate them,” he appealed.

Nene Agudey Obitchere III, sitting in for Nene Abram Kabu Akuaku III, the Paramount Chief of Ada, thanked the company for the tremendous transformation of the Songor Lagoon.

He gave an assurance that the company’s message would duly be laid before the Paramount Chief for advice on how to collaborate to make the project successful.

GNA

Tags: Electrochem Ghana

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