Barrick’s Mali Gold Mine Restarts Under State Control

Barrick Mining’s (TSX:ABX,NYSE:B) Loulo-Gounkoto mine in Mali has resumed operations for the first time in over nine months, following a court-ordered takeover by the West African nation’s military-led government, according to a Bloomberg report.

The Loulo-Gounkoto complex had been shuttered since January when Mali’s government blocked exports, detained senior staff, and seized several tons of gold.

In June, a local court appointed former health minister and accountant Soumana Makadji to manage the mine for at least six months under state supervision.

Barrick, which previously managed the mine through a joint venture with the Malian government, has not commented publicly on the restart.

Makadji also did not respond to requests for comment, while a mining ministry spokesperson said he was unaware of any operational updates, noting that the ministry “isn’t involved in operations” under the interim arrangement.

The Loulo-Gounkoto complex produced 723,000 ounces of gold in 2024, making it one of Barrick’s most valuable assets.

Crucially, the ongoing dispute has prevented the company from benefiting fully from a 60 percent rally in global gold prices this year.

Tensions between Barrick and Mali’s junta stem from long-running disagreements over alleged back taxes and new mining laws introduced in 2023.

While other miners have since reached settlements with the government, Barrick has denied owing any unpaid taxes, arguing that its Malian subsidiaries operate under binding conventions that shield them from retroactive legal or regulatory changes.

The conflict escalated in July when military helicopters landed at Loulo-Gounkoto and removed over a metric ton of gold, valued at roughly US$117 million, following a similar seizure in January involving three tons.

Barrick said it is still waiting for information on the “whereabouts and intended fate” of the confiscated bullion.

The company has also previously filed arbitration proceedings at the International Centre for Settlement of Investment Disputes, claiming violations of its investor rights under international law.

The turbulence in Mali has added to a year of upheaval for Barrick. Longtime CEO Mark Bristow stepped down in late September after nearly seven years at the helm, during which he oversaw the company’s merger with Randgold Resources and managed its expansion in gold and copper assets.

His departure came just weeks after Barrick sold its Hemlo mine in Ontario and as it continued grappling with the fallout from Mali’s nationalization move.

Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.