The Government of Ghana through the Ministry of Lands And Natural Resources has imposed a $6M fine on Maxam Co. Ltd, the company responsible for the deadly explosion that took the lives of 13 and left 100s injured at Appiatse on January 20, 2022.
A statement signed by Samuel A. Jinapor, the Minister for Lands & Natural Resources reveals the amount was arrived at after two different reports established regulatory breaches by Maxam Co. Ltd in respect of the manufacture, storage and transportation of explosives for mining and other civil works.
Although the breaches, per L.I. 2177, attract fines ranging from six hundred cedis (GFIC600.00) to ten thousand United States dollars (US$10,000), the Ministry having regard to the nature and totality of the circumstances leading to this tragic incident has imposed an administrative fine of the cedi equivalent of one million United States dollars (US$1,000,000.00), at the prevailing commercial rate, on Maxam.
In addition to the fine, it has been agreed, after extensive discussions with Maxam, that the company will pay to the Government, the cedi equivalent of five million United States dollars (US$5,000,000.00) also at the prevailing commercial rate.
Maxam is therefore obliged to pay to the Government of Ghana six million United States dollars (US$6,000,000.00) or its cedi equivalent at the prevailing commercial rate.
Aside from the fine, the Ministry has given Maxam a set of measures to comply with, as a condition precedent to the restoration of the permit of the company to manufacture, store, transport and/or supply explosives. Among them are that;
- Maxam shall not transport explosives on a public road, unless notice of the transportation has been given to the Chief Inspector of Mines or the Regional Mines Inspector, at least, forty-eight (48) hours before the scheduled time for transportation, to enable the requisite inspection and certification to be carried out before the transportation of the explosives to a mine or quarry site.
- An Inspector of Mines/Explosives shall be present, inspect, verify and record in the designated explosives log book for transportation, that all the requisite safety requirements, rules and protocols have been met before explosives are transported from the operational site of the company to a mine or quarry site.
- An Inspector of Mines/Explosives shall physically inspect the explosives truck to ensure that the explosives truck is in good working condition, in accordance with the truck examination list, and that the truck driver has a professional driver’s license to drive the vehicle before the loading of the explosives into the truck.
- All trucks used by the company in carting explosives shall have: a. A red flashing light clearly visible at least a hundred (100) meters away; b. A klaxon or siren, hooter or automatically operated bell; c. An automatic fire suppression system alongside the fire extinguishers;
