Barrick Gold Committed to Resolving Mining Dispute with Mali

Barrick Gold is committed to resolving its mining asset dispute with the Malian government over the new mining code. Operations have been temporarily suspended since January due to government seizures of gold stock. An agreement was signed to address the issue, but formal approval is still pending, causing delays in finalization.

Barrick Gold has expressed its determination to achieve a mutually beneficial resolution with the Malian government regarding an ongoing dispute over its mining assets. The dispute stems from the implementation of Mali’s new mining code, which mandates a larger share for the government in Barrick’s Loulo-Gounkoto gold mining complex. Since January 13, Barrick has temporarily suspended its mining operations due to government action, which included the seizure of approximately three metric tons of gold stock and restrictions on gold exports since early November.

On February 19, reports indicated that Barrick had signed an agreement to resolve the dispute, pending formal government approval. Although there have been no significant setbacks, finalizing the deal is taking longer than expected, similar to previous agreements made with other mining companies in Mali. Sebastiaan Bock, Barrick’s Chief Operating Officer for Africa and the Middle East, noted in a recent memo that there are currently no major updates on the situation, emphasizing that all non-critical operations remain paused.

Despite the operational suspension, Barrick has maintained salaries and annual bonuses for its staff. However, a supplier indicated in early March that the company was facing overdue payments for two months. The situation continues to evolve as stakeholders await the finalization of the agreement with the Malian government.

In summary, Barrick Gold is actively working towards resolving its dispute with the Malian government regarding its mining operations, particularly in light of the new mining code. While progress has been made with the signing of an agreement, delays in finalization persist. The company has prioritized employee salaries amid operational challenges, even as it deals with overdue payments to suppliers.

Original Source: www.mining.com