Mali's Gold Mine Drama: State vs. Barrick in a High-Stakes Standoff

The provisional administrator of Mali's Loulo-Gounkoto gold mine plans to sell one metric ton of gold as operations restart after a six-month suspension due to disputes between Barrick Gold and the Malian government. The conflict has affected national and company gold outputs.

The Loulo-Gounkoto complex in Mali is set to restart operations, following a six-month suspension instigated by government intervention. The Malian court-appointed administrator plans to sell one metric ton of gold from the storeroom to fund operational costs, insiders revealed to Reuters.

The suspension arose when the Malian military government seized gold stocks from the site, leading to halted operations by Canadian miner Barrick Gold in January. Since then, tensions have persisted as both sides engage in a high-stakes standoff over tax disputes, export blocks, and efforts to impose a new mining code.

This restart occurs against a backdrop of rising gold prices, presenting potential challenges for both Barrick and the Malian government as they navigate this protracted conflict affecting one of Africa's largest gold mining operations.

(With inputs from agencies.)