Gold Mine Tensions: Mali's Court Places Barrick Mining under State Control
A court in Mali placed Barrick Mining’s Loulo-Gounkoto gold complex under state control amidst a taxing dispute. Former Malian health minister Soumana Makadji is appointed as provisional administrator. Barrick plans to appeal as negotiations continue over a new mining code and ownership shares.
In a significant development, a Malian court has taken control of Canada's Barrick Mining's Loulo-Gounkoto gold complex amid a heated dispute over taxes and ownership rights. Former health minister, Soumana Makadji, will administer the complex for six months, as ordered by the court.
Barrick Mining intends to appeal the court's decision. This move comes as the Malian government has blocked gold exports and seized stocks from Barrick's subsidiaries. These government actions have led to a temporary halt in operations, which Barrick claims was unwarranted.
The situation escalates as Barrick and the Malian government remain in discussions over the new mining code, which proposes higher taxes and more government shares in the gold industry. Meanwhile, Mali has allowed Barrick to repatriate a part of its earnings, a privilege not extended to other foreign miners.
(With inputs from agencies.)
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