The JSE-listed company – which operates mines in Australia, Ghana, Peru and South Africa – said in a statement that an investment of U.S.$1.4 billion in operating and capital expenditure between 2017 and 2024 would result in the creation and preservation of 1,850 direct jobs.

A strategic review of Damang commenced in 2015, had considered various options, from closing or mothballing the mine to expanding operations.

Gold Fields said on Monday that it was retaining the option to expand the operation should the gold price strengthen sustainably to above U.S.$1,400 per ounce.

“In addition to the attractive returns associated with the project, the reinvestment plan will result in significant social and fiscal benefits flowing into Ghana and, more importantly, the communities surrounding Damang,” said Gold Fields in a statement.

The company estimated that of the expected of 1,850 people to be employed as a result of the reinvestment plan, more than 55 percent would come from the adjacent communities.

The company said the investment in sustainable development projects over the eight-year period was expected to be $5 million. This would be split between education ($1.5 million), health ($200,000), water and sanitation ($700,000), agriculture ($1.6 million) and infrastructure ($1 million).

Gold Fields added that it had commenced the tarring of the road between Damang and Tarkwa, at an estimated cost of $17 million, which would be expected to benefit the mine as well as other local stakeholders.

ANA