Barrick Gold Reaches Deal With Mali to End Mining Dispute

BREAKING NEWSFebruary 20, 2025 at 1:13 PM UTC

TLDR

Barrick Gold has agreed with Mali to resolve a nearly two-year dispute over its mining assets
The deal, pending formal approval, will see Barrick pay 275 billion CFA ($438 million)
The disagreement stemmed from Mali’s 2023 mining code, which grants the government a larger stake in gold mines

Barrick Gold has signed a new agreement with Mali’s government to resolve a nearly two-year dispute over its mining assets, per Reuters. The deal, pending formal approval, will see Barrick pay 275 billion CFA ($438 million) in exchange for the release of detained employees, seized gold, and the resumption of operations at its Loulo-Gounkoto mine.

The disagreement stemmed from Mali’s 2023 mining code, which grants the government a larger stake in gold mines. The deal could be announced as early as Thursday, but last-minute hurdles remain. Mali had given Barrick a one-week deadline to restart operations.

Gold prices have reached record highs, yet Barrick’s stock performance has lagged. A resolution in Mali could stabilize its operations, though it remains unclear if Barrick will drop its arbitration case.

Daba is Africa's leading investment platform for private and public markets. Download here

Key Takeaways

Barrick’s agreement comes amid rising tensions between foreign miners and Mali’s military-led government, which has sought greater control over its gold sector. The dispute halted operations at a key mine, impacting both Barrick’s output and Mali’s revenues. Mali’s industrial gold production fell 23% in 2024, while Barrick lowered its annual output forecast due to the mine’s closure. The broader trend of legal disputes and resource nationalization in Mali, Niger, and Burkina Faso signals a shift in how West African governments engage with foreign mining firms.

Business

Mali

Barrick Gold

Mining

Exports

Gold