Barrick Gold has finalized a deal with the Malian government to resolve a two-year dispute concerning mining assets. The $438 million agreement will release detained employees and seized gold, enabling operations at the Loulo-Gounkoto mining complex to resume. The conflict stemmed from a new mining code introduced by Mali in 2023, impacting Barrick’s revenue significantly.
Barrick Gold has reached a new agreement with the Malian government aimed at resolving a nearly two-year dispute regarding its mining operations in Mali. The agreement, pending formal approval from Bamako, involves Barrick agreeing to pay $438 million. This deal will facilitate the release of detained employees, the return of seized gold, and the resumption of operations at the Loulo-Gounkoto mining complex, which have been halted due to ongoing conflicts.
The dispute originated in 2023 when Mali introduced a revised mining code that increased government stakes in gold mining operations. Barrick’s CEO, Mark Bristow, indicated that the situation created financial losses for both Barrick and Mali, as neither party was able to benefit from the operations. With the new agreement in the pipeline for ratification, both sides anticipate an eventual return to profitability and operational stability.
This agreement marks a significant turning point in the relationship between Barrick Gold and the Malian government, suggesting a resolution to the lengthy dispute that has impeded mining operations in the region. Once the deal is approved, the financial implications are expected to benefit both parties involved, restoring vital revenue streams. Overall, the successful resolution may serve as a framework for addressing similar conflicts in the future.
Original Source: www.africa.com
