Mali to restart production at Loulo‑Gounkoto gold mine
Mali has announced plans to restart operations at Barrick Gold’s Loulo-Gounkoto complex and will be done under the supervision of a court-appointed administrator, following a state seizure earlier this month.
Reason for halt and resumption of operations
The decision stems from a growing dispute between Barrick and the Malian government over unpaid taxes and the 2023 mining code, which increased state royalties and equity participation in mining projects. On June 16, Mali’s Tribunal de Commerce ordered the mine into temporary state control for six months and named former health minister Soumana Makadji as the administrator.
Barrick halted operations at the site in January 2025, after the government blocked gold exports, detained staff, and confiscated three tonnes of bullion. Loulo-Gounkoto, a flagship project for Barrick, contributed over 720,000 ounces of gold in 2024 and was projected to produce about 250,000 ounces in 2025, roughly 14% of Barrick’s global output—before being removed from the company’s guidance.
Authorities reopened Barrick’s Bamako office under Makadji’s supervision. Mali’s Mines Minister, Amadou Keita, said operations would resume to protect workers, continue production, pay salaries, and contribute to the national economy.
Barrick maintains that the new mining code violates its stabilization clauses under existing agreements and has initiated arbitration through the World Bank’s ICSID. Meanwhile, the future of the mine remains uncertain, with permits set to expire in February 2026. This standoff underscores the broader tensions between resource-rich African states seeking greater benefit from natural resources and multinational firms protecting legacy contracts.
