Ayanfuri (C/R), Feb 24, GNA - The Central/Ashanti Gold Limited (CAGL= ), a new gold mining company established at Ayanfuri, is to start operating in June, Mr Paul Essa, the Administrative Manager of the company, said on Wednesday.

He said the GAGL is a sister company of Sun Gold Resource Limited. Mr Essa told journalists that the plant was under construction and the test run of the equipment would begin in May for production to start in June. He said CAGL would respect the mining rules and regulations to ensure tha= t its operations impact positively on the socio-economic activities of people in the area. Mr Essa said management had set up a short and long term development fun= d to undertake projects in health, education and water and that some projects had already started. Touching on employment, Mrs Florence Ansere-Bioh, Social Development Manager of the CAGL, said priority would be given to the local people who qualify and they would be given further training to gain skills to handle specific jobs.

She said management might be compelled to employ people from outside the catchment area if more qualified locals are not available for specific areas. On compensation for those whose houses and cocoa farms have been destroyed to pave way for the mining project, Mrs Ansere-Bioh said an agreement had been reached between the elders, victims and experts to pay appreciable compensation.

Mrs Ansere-Bioh said the company had already started putting up houses for the affected households while cocoa farmers are receiving appreciable monies.

Some schools have been renovated and boreholes are being drilled. To ensure sound environmental practices, Mr Michael Ampim Sackey, the Environmental Manager, said in consultation with the Environmental Protection Agency, an Emergency Preparedness Plan is being developed to check pollution and environmental degradation.