Crisis in Mali: Barrick Gold Faces Seizures and Suspended Operations

Canadian miner Barrick Gold must halt mining in Mali after the government seized gold stock worth $245 million from the Loulo-Gounkoto complex. The seizure is linked to a dispute over alleged $5.5 billion in unpaid obligations. Arbitration proceedings have been initiated as tensions rise.

Canadian mining giant Barrick Gold is facing a major setback in Mali as the government has seized three metric tons of gold from its Loulo-Gounkoto complex. The government flew the gold to Bamako, Mali's capital, following a court order linked to an ongoing financial dispute.

Eyewitnesses reported seeing the gold transported via air force helicopters over the weekend. This action has forced Barrick to suspend operations temporarily, prompting concern among investors as shares fell. Barrick denies any financial wrongdoing and is pursuing arbitration with the International Centre for Settlement of Investment Disputes.

The Malian government claims Barrick owes $5.5 billion under a dispute that has simmered since 2023. Barrick, which owns 80% of the complex, disputes these claims and warns of a potential 11% earnings hit. The situation underscores broader tensions in West Africa over mining revenue amid soaring gold prices.

(With inputs from agencies.)