Canadian mining giant Barrick Gold (ABX.TO) has formally requested arbitration through the International Centre for Settlement of Investment Disputes to resolve a longstanding dispute with Mali over its Loulo-Gounkoto gold mine complex.
The conflict stems from disagreements between Barrick, the world’s second-largest gold producer, and Mali’s military government regarding a contract that aligns with the country’s updated mining regulations. Tensions have escalated since 2023, with the Mali government issuing an arrest warrant for Barrick CEO Mark Bristow earlier this month.
Barrick holds an 80% stake in the Loulo-Gounkoto complex, while the Malian government owns the remaining 20%. The company recently warned that it might suspend operations at the mine due to deteriorating conditions. Analysts at Jefferies indicated that such a closure could lead to an 11% drop in Barrick’s earnings before interest, taxes, and amortization (EBITDA) next year.
