Mali’s government has begun enforcing a provisional order to seize gold stocks at Barrick Gold’s Loulo-Gounkoto mining complex, a move that could lead to a suspension of operations, according to an internal memo from the company. The action highlights escalating tensions between Mali’s military-led authorities and Western mining companies over new regulations that seek to increase the government’s share of mining revenues.
The gold stock at the Loulo-Gounkoto site is estimated at approximately 4 metric tons, which would be worth around $380 million at current gold prices. The move follows a broader push by Mali, Africa’s second-largest gold producer, to assert greater control over its natural resources.
Barrick Gold, a major player in Mali’s mining sector, has raised concerns about the potential suspension of operations at the site, which has been a key source of revenue for the company. In addition, Mali has issued an arrest warrant for Barrick’s CEO Mark Bristow and detained several Barrick employees, further escalating the dispute.
The situation reflects broader tensions in the region, where governments are increasingly seeking to renegotiate contracts with foreign mining companies in a bid to secure a larger share of mineral revenues. While the Malian government pushes for these changes, Barrick and other miners are concerned about the stability of their investments and operations in the country.
As Mali continues to assert its position, the future of Barrick’s operations in the country remains uncertain, with both parties facing significant challenges in resolving their differences.
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