A MALI court will convene Thursday to consider a request from the country’s military government to place Canadian miner Barrick’s suspended Loulo-Gounkoto gold mine under provisional administration, a court official confirmed.
Souleymane Maïga, vice president of the Tribunal de Commerce of Bamako, told Reuters the court will begin processing the case on Thursday, marking a significant escalation in the months-long standoff between Mali and the mining giant.
The hearing follows Barrick’s May 7 earnings update, which revealed that on April 17, the company received a government notice threatening to impose provisional management unless operations resumed by April 20. The mine complex has been idle since January amid disputes over taxes and ownership rights.
As a 20% stakeholder in the facility, Mali’s government filed the request with the Tribunal de Commerce de Bamako Court. If approved, a new management team would be appointed to reopen and operate the mines, said Reuters citing sources familiar with the matter.
The conflict originated in 2023 when Mali implemented a new mining code that increased taxes and expanded the government’s share in gold mining operations. Barrick has maintained it can only resume operations once the government removes restrictions on gold exports.
The situation deteriorated further when Mali’s government seized approximately 3 metric tons of gold valued at $317m, accusing Barrick of failing to meet tax obligations. Authorities had been blocking the company’s gold exports since early November.
Reuters previously reported that Barrick had signed an agreement in February to resolve the dispute, which would have required the company to pay 275 billion CFA ($438m) to secure the release of four detained managers and the seized gold. However, the agreement reportedly stalled when the government claimed Barrick had signed the “wrong” document.
Barrick CEO Mark Bristow recently told Reuters the parties had come close to reaching an agreement three times. Sources indicate the government has requested additional payments, which one person familiar with the government’s position said would cover unpaid taxes since operations were suspended.
Representatives for Barrick and Mali’s Mines Ministry did not immediately respond to requests for comment.
The development comes as negotiations continue for a memorandum of understanding that could potentially resolve the escalating dispute.
