Newmont Ghana's Ahafo Linkages Program wins awards at Chartered Institute of Purchasing and Supply (CIPS) Awards 2010

04/30/2010

Accra, April 30, 2010 - Newmont  Ghana’s business initiative, the Ahafo Linkages Program, designed to maximize procurement from local Ahafo businesses has won the most awards at the recent 2010 Chartered Institute of Purchasing & Supply UK (CIPS) Procurement Awards for the Africa continent held on April 19 in South Africa.

Newmont Ghana’s Ahafo Linkages Program (ALP), which is a partnership between Newmont Ghana and the International Finance Company (IFC), was the leading award recipient with three awards: the Best Community Procurement Award, the Best Supplier Diversity Project Award while Newmont Ghana’s Manager, Local Supplier & Contractor Development, George Brakoh, was named the Best Procurement Professional of the Year (Male Category) at the 2010 CIPS UK’s Annual Procurement Awards

“We are encouraged that our efforts at creating income and employment opportunities for local businesses in and around the Ahafo area, substantially improving the environment for local business development and long term survival have been recognized at an international level,” the company’s Regional Vice President, Environment & Social Responsibility, Nick Cotts noted. Adding that Newmont Ghana’s Ahafo Linkages Program “focuses on building the capacity of local businesses to help ensure the development of a diversified economy outside the Mine.”

The awards which covered eight (8) categories were open to ranges of businesses including smaller entrepreneurial businesses and thriving large organizations. The Best Procurement Community Award was given based on the role Newmont Ghana’s supply chain management function had played in safeguarding and enhancing the company's reputation and brand values while undertaking a role in using procurement for social and economic enhancement. The Best Supplier Diversity Project was awarded based on the company demonstrating that it had addressed the use of local suppliers, in particular, local small and medium-sized enterprises (SME's) and had also engaged them in supplier development programs. The judges also looked at how the Newmont Ghana had increased employment, profitability and revenue generation of its local suppliers while, at the same time, not over exposing them to unnecessary commercial risks. George Brakoh, Newmont Ghana’s Manager, Local Supplier & Contractor Development won the Best Procurement Male Professional of the Year award. He was adjudged to have made the most effective contribution to his organization in terms on innovation, leadership, knowledge sharing and demonstration that he was a good team player. The judges also determined that his initiatives had impacted considerably upon the bottom line of Newmont Ghana and its customers by promoting good procurement.

Newmont Ghana’s Ahafo Mine has created more than 15,000 direct and indirect jobs. Between 2007 and 2009, 99 suppliers from its local Ahafo host communities were awarded contracts to the tune of $14.5 million. The company contracted business worth $272 million in 2008 with Ghanaian businesses. The businesses under the Ahafo Linkages Program also accessed $6.8 million from other clients apart from Newmont Ghana in 2009. The Program broadly offered training in record keeping, business management, market diversification, finance facilitation and technical/productive assistance to over 210 local small and medium-sized supplier businesses in its Ahafo host communities. The total Ahafo Linkages Program cost is $3 million.

A total of 341 Ghanaian businesses were also awarded contracts worth over $144.3 million accounting for over 60 percent of the Newmont Ghana’s total purchases in 2009. Newmont Ghana continues to seek new opportunities to engage with appropriate local contractors and recently organized its maiden Supplier Summit in February this year.

“We are proud to continuously partner with interested organizations to develop business opportunities with local business people for the wellbeing of our host communities in Ghana and all our other operations the world over”, Mr. George Brakoh, Manager, Local Supplier & Contractor Development for Newmont Ghana.

Newmont Ghana appreciates all its partners in the Ahafo Linkages Program, including, Ahafo Local Business Association (ALBA), Technoserve International and CDC Consult Limited and FIT Ghana, for their efforts in the drive to provide the needed local content to help attain sustainable development.