Mali's military government has seized three tons of gold from the Canadian mining company Barrick Gold, valued at approximately $180 million. This action is part of an escalating legal dispute over revenue shares owed to the state. The gold, extracted from a mine near Kayes in western Mali, was transported to the capital, Bamako, late Saturday via plane and truck.
The seizure follows a pattern of increasing pressure from Mali's government on foreign mining companies to bolster state revenues. Mark Bristow, CEO of Barrick, communicated to staff in a letter dated Monday that the company is "awaiting official confirmation of the proper receipt by the Malian Solidarity Bank." This statement highlights the ongoing tension between Barrick and Malian authorities regarding financial obligations.
The backdrop of this situation includes the military's takeover of power in Mali in 2020. Since then, the government has intensified its scrutiny over foreign mining operations. In November, the CEO of Australian company Resolute Mining and two of its employees were arrested in Bamako, indicating a broader crackdown on foreign entities operating within the country.
In addition to the recent gold seizure, Mali's military government had previously detained four senior executives of Barrick as part of this dispute. The Canadian company has already paid $80 million to Malian authorities to resolve a tax disagreement and has pledged to pay an additional $80 million in the coming months. However, despite these payments, tensions have not eased.
In December, Mali issued an arrest warrant for Bristow on charges of money laundering, although no evidence has been publicly provided to substantiate these claims. This warrant also included directives for the seizure of Barrick's gold reserves, further complicating the company's operations in the region.
Mali is recognized as one of Africa’s leading gold producers, yet it faces significant challenges including jihadi violence, widespread poverty, and food insecurity. The current dispute with Barrick underscores the precarious balance between ensuring national revenue and attracting foreign investment in a country plagued by instability.
