Barrick Gold Corporation has temporarily suspended operations at its Loulo-Gounkoto mining complex in Mali, citing ongoing disputes with the country’s military government.
The decision follows the seizure of approximately $245 million worth of gold from the site by Malian authorities, who transported the gold stockpile to a custodial bank. This escalation marks the latest in a series of tensions between Barrick and Mali over taxation and revenue-sharing agreements.
The company stated that it remains restricted from exporting gold from the mining complex, a situation that has significantly disrupted its operations.
Mali, Africa’s second-largest gold producer in 2023 and 11th globally, holds a 20% stake in the Loulo-Gounkoto mine, with Barrick controlling the remaining 80%.
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The government’s actions are part of a broader strategy to renegotiate mining contracts under new regulations introduced in 2023, aimed at securing a larger share of profits for the state. These efforts have intensified under Mali’s military junta, which took power in 2021 and has since sought to realign its economic policies and relationships with foreign investors.
Last year, Mali’s transitional president signed a new mining code increasing the state’s maximum ownership in mining ventures from 20% to 35%.
Adding to the strain, Malian authorities have detained four senior executives from Barrick Gold and issued an arrest warrant for the company’s CEO, Mark Bristow, on allegations of money laundering.
Barrick Gold, which relies on Loulo-Gounkoto for about 14% of its 2025 projected output, has expressed its commitment to finding a resolution. The company has filed a request with the International Centre for the Settlement of Investment Disputes.
By renegotiating contracts, increasing state ownership in mining ventures, and enforcing stricter regulations, Mali’s leadership is pushing for a more equitable distribution of revenues from its natural resources.
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These measures reflect a broader strategy to prioritize national interests and enhance the state’s share of profits from the mining sector, a critical pillar of the country’s economy.
