Mali seizes 3 tons of gold from Canadian company Barrick amid dispute over share of revenue

Author of the article:

The Associated Press

Wilson Mcmakin And Baba Ahmed

Published Jan 13, 2025  •  2 minute read

FILE - Barrick Gold Corporation President and CEO Mark Bristow visits the trading floor of the New York Stock Exchange after ringing the opening bell, Wednesday, Jan. 2, 2019. Photo by Richard Drew /THE ASSOCIATED PRESS

DAKAR, Senegal (AP) — Mali’s military government has started seizing gold stocks of the Canadian mining company Barrick as part of a legal battle over the share of revenue owed to the West African state, according to an internal Barrick letter seen by The Associated Press.

Article content

Article content

The letter from CEO Mark Bristow to staff, dated Monday, says Barrick is “awaiting official confirmation of the proper receipt by the Malian Solidarity Bank,” a government entity.

Article content

The seizure follows a warning letter to Barrick earlier this month from Mali’s senior investigating judge, Boubacar Moussa Diarra, saying three tons of gold would be seized.

On Monday, a senior Barrick manager confirmed that three tons had been seized by the military government and placed in the capital, Bamako. The manager spoke on condition of anonymity because they were not authorized to speak publicly.

According to the senior manager, the gold was taken from a mine near Kayes in the west and transported by plane and truck to the capital late Saturday.

The Malian authorities did not immediately respond for comment.

Valued at around $180 million, the gold seizure is part of the dispute over revenues owed to the state.

In December, Mali issued an arrest warrant for Bristow for charges of money laundering, without giving evidence, and ordered the seizure of Barrick’s gold reserves. The company has offered to pay $370 million.

Mali’s military government previously arrested four senior executives of the Canadian mining company as part of the dispute. They were quickly released.

Mali is one of Africa’s leading gold producers, but it has struggled for years with jihadi violence and high levels of poverty and hunger. The military seized power in 2020, and the government has placed foreign mining companies under growing pressure as it seeks to shore up revenues.

In November, the CEO of Australian company Resolute Mining and two employees were arrested in Bamako. They were released after the company paid $80 million to Malian authorities to resolve a tax dispute and promised to pay a further $80 million in the coming months.

___

Ahmed reported from Bamako, Mali.

Article content