Barrick Gold Corporation has halted its operations in Mali after the government seized gold stocks worth $245 million Cdn from the company’s Loulo-Gounkoto mining complex. The military-led government moved the gold stock from the site to a custodial bank, further preventing the shipment and sale of the gold.
In a statement, Barrick, which is headquartered in Toronto, said it “regrettably initiated the temporary suspension of operations while it continues to work towards a resolution.”
Around three metric tons were taken from the mining complex in western Mali on Saturday, reports Reuters. Barrick’s shares remained relatively stable at $22.76 Cdn in Toronto and $15.90 US in New York as of 3:30 p.m.
Barrick has been in a dispute with Mali’s government since 2023 over a contract based on new mining rules. The row has escalated several times, with Mali detaining senior executives and issuing an arrest warrant for Barrick CEO Mark Bristow.
In the statement, Barrick said it “remains committed to constructive engagement with the Malian government and all stakeholders to find an amicable solution that ensures the long-term sustainability of the Loulo-Gounkoto mining complex and its vital contribution to Mali’s economy and communities.”
Mali had previously demanded about $500 million US in unpaid taxes from Barrick, reports Reuters. Barrick warned last month of a significant deterioration in conditions at Loulo-Gounkoto, with employees detained without cause and shipments of bullion blocked.
The company owns 80 per cent of the mining complex, with the Mali government owning 20 per cent. Loulo-Gounkoto accounts for around 14 per cent of Barrick’s estimated 2025 gold output, while gold is Mali’s top foreign currency earner, accounting for more than 80 per cent of total exports in 2023.