Key Points
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Barrick Gold dispute deepens as Mali hires Mamadou Traoré.
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Government leans on ex-Barrick executive to advise President Goïta.
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Investors fear tougher terms may derail gold sector growth.
Mali’s long-running fight with international mining companies has taken an unexpected turn. A former executive from Barrick Gold Corp. has agreed to help President Assimi Goïta with the country’s most contentious mining dispute. The change shows that Bamako is serious about improving its bargaining position in the gold industry, which makes up almost 80% of the country’s export earnings and supports the economy.
Government officials said that the adviser, who many news outlets say is former Barrick regional director Mamadou Traoré, used to be in charge of the company’s West African operations and worked on projects like the Loulo-Gounkoto complex.
Mining executives like Barrick CEO Mark Bristow are worried about his move into the president’s circle. They think that Mali is getting ready to take a tougher stance on taxes, revenue sharing, and equity stakes.
Investors are worried about the Barrick Gold dispute
The disagreement with Barrick Gold, which has been doing business in Mali for decades, is about the government’s desire for more state involvement in mining projects and more control over export profits. Finance Minister Alousseni Sanou has said that the reforms are needed to increase government revenue in a country that is already having trouble with its finances and is still facing security threats.
According to a report by reuters, Amadou Sidibé, an economist from Bamako, said, “This appointment changes everything.” The government is saying it wants to fight on equal ground by hiring someone who knows how Barrick Gold works.
Executives at Barrick and Canadian competitor B2Gold Corp., led by CEO Clive Johnson, have privately said they are worried that talks about taxes and royalties could get more heated. Analysts say that tougher demands could make foreign investors less interested in exploring and investing in Mali’s mining sector.
The gold industry in Mali is more politically risky now
Mali is the third largest gold producer in Africa, after South Africa and Ghana. However, since Goïta took power in 2021, the rules have become less clear. The fact that a former Barrick insider is advising the presidency adds to the uncertainty, and companies are wondering if they can go back on agreements they made before.
Barrick Gold says it is still committed to Mali because it has spent billions of dollars on mining infrastructure and local development. But market experts like Abdoulaye Diarra of Amnesty International say that long-lasting disagreements could make it more expensive for companies to do business in the Sahel, slow down expansion projects, and raise geopolitical risk premiums.
The Barrick Gold dispute changes the mining scene in Africa
People all over Africa are paying close attention to the Barrick Gold dispute in Mali. Governments from Zambia to Tanzania have also tried to get more out of their natural resources. Diarra Coulibaly, a mining governance expert in Dakar, said, “Mali is part of a larger trend toward resource nationalism.”
For now, the fact that Mamadou Traoré, a veteran of Barrick, has switched sides has made executives like Bristow nervous and given Mali’s leaders more power. The standoff shows not only how much the country depends on gold, but also how the balance of power is changing between African governments and multinational mining companies.
