DAKAR, Jan 13 – Barrick Gold has announced it will suspend operations at its Loulo-Gounkoto mining complex in Mali after the government seized around three metric tons of gold from the site, valued at approximately $245 million. The gold was airlifted by helicopter over the weekend, sources reported.
The Canadian mining giant stated in a letter to the Malian government that the seizure has left it no choice but to temporarily halt mining operations at both the Loulo and Gounkoto mines. The gold is expected to be moved to the state-run Banque Malienne de Solidarite (BMS) in Bamako, the country’s capital.
The confiscation follows a court order issued last week by a Malian judge, demanding the seizure of the gold. The Mali government claims Barrick’s mines owe $5.5 billion in unpaid taxes, far surpassing earlier estimates. Barrick has been involved in a dispute with the Malian government since 2023 over new mining regulations. The tensions have escalated, with the detention of company executives and an arrest warrant issued for Barrick CEO Mark Bristow.
The news of the seizure led to a 1.9% drop in Barrick’s stock on the Toronto Stock Exchange. Barrick has stated that the removal of the gold means it is no longer covered by insurance, and the company is awaiting confirmation that the gold has safely arrived at the BMS along with proof of its insurance.
Barrick warned that the ongoing dispute could result in a suspension of operations at the mine, which could reduce its earnings by 11% in 2025, according to analysts from Jefferies.
Mali had previously demanded approximately $500 million in unpaid taxes from Barrick. The company maintains it has complied with its tax obligations, having paid $85 million in October.
