Mali's Loulo-Gounkoto gold mine shut down after seizure

Mali's Loulo-Gounkoto gold mine, one of Africa's largest, has been shut down after the government seized three metric tonnes of gold worth around £190 million. The mine, operated by Canadian company Barrick Gold, produced nearly 700,000 ounces of gold in 2023 and plays a crucial role in Mali's economy. The closure follows ongoing disputes between Barrick Gold and the Malian military-led government over new mining regulations. These rules require a larger share of mining revenues to go to the state, reflecting a broader trend across the region. The Malian authorities halted gold shipments and seized the mine's stockpile, storing it at a state-owned bank. In response, Barrick Gold has stopped mining activities and furloughed employees, including many of the 8,000 local workers. The company has been in conflict with the government since 2023, when several employees were detained and the CEO faced legal troubles. Barrick's CEO, Mark Bristow, has expressed readiness to resume operations if shipments are allowed. The mine contributes significantly to Mali's economy, generating over £790 million ($1 billion) in 2023. The shutdown raises concerns about job losses, with local unions fearing thousands could be affected. Barrick has suggested bringing in an independent expert to help resolve the dispute. Bristow warns that continued disagreements could deter foreign investment in Mali, ultimately harming the local population. The company remains in temporary closure while negotiations continue, but further long-term decisions may be necessary if an agreement is not reached.