Stanbic will invest $1.1 billion over 5 years in the mining, metals and energy sectors

Lorraine Mac-Pods, Senior Vice President, Mining & Metals, Corporate & Investment Banking, Stanbic Bank Ghana

As part of its ongoing efforts to drive economic growth in the country, Stanbic Bank Ghana has invested $1.1 billion in Ghana’s mining, metals and energy sectors over the past five years.

This was announced during a presentation by Lorraine Mac-Pods, Senior Vice President, Mining and Metals, Stanbic Bank at the West African Mining Power Conference and Exhibition (WAMPOC/WAMPEX) in Accra.

Recalling some of the bank’s interventions in the country’s mining and energy sectors, Ms Mac-Pods said: “Over the last five years, Stanbic Bank has contributed $800 million to the US mining and metals sectors in Ghana. Eleven of the country’s 13 large mines use our transaction banking services and acted as sole arranger and lender of a $100 million term loan to a local surface mining contractor, assisting in contract execution.

She added that “We also provided $100 million in loans in 2024 to small local contractors and mining company suppliers. Additionally, we have provided a $90 million Term Loan and Security Solution to a gold mining company for expansion and an $80 million Environmental Guarantee to six gold mines over the past five years.

Ms. Mac-Pods also mentioned the bank’s interventions in the energy sector, which have a positive impact on the economy. She said: “In the energy sector, we acted as lead bank on a $325 million syndicated term loan facility for a local independent power producer to build a power plant at the mine site, which resulted in significant energy cost savings for the mining company…We were also the lead arranger for a state power producer , providing a $120 million syndicated term loan.”

Lorraine Mac-Pods further urged the government to put in place measures to ensure that both the country and its citizens can enjoy the benefits of the country’s mineral resources. She noted that “…for the mining and energy sector to truly thrive and attract sustainable investment, the role of government is crucial. First, the government could facilitate the creation of a stable regulatory framework. A predictable regulatory environment helps reduce uncertainty and risk for investors, making the sector more attractive for investment.

“Involving financial institutions in creating regulations ensures that policies are practical and business-friendly. Resource nationalism, aimed at increasing local benefits from natural resources, can sometimes discourage investment if not managed carefully. It is important for the government to strike a balance between maximizing local benefits and maintaining an attractive investment climate. A stable regulatory environment, transparent processes and fair competition will increase investor confidence and encourage long-term investments,” added Ms. Mac-Pods.

WAMPOC/WAMPEX is a sub-regional platform that brings together key stakeholders from West Africa’s mining and energy sectors to discuss issues key to the development of these sectors. The event showcases and showcases the latest innovations and solutions for the mining sector and is the premier meeting place for senior mining and energy professionals, government representatives and stakeholders, enabling them to stay up to date with the latest industry developments, discuss key challenges and understand future opportunities.