(Ecofin Agency) – Tensions between Mali and Barrick have escalated in recent weeks, with an arrest warrant issued against the CEO of the Canadian company and the new arrests of four local employees. Barrick announced at the start of the week the blocking of its gold exports from Mali.
Canadian Barrick, Mali’s leading gold producer, has submitted a request for arbitration to the International Center for Settlement of Investment Disputes (ICSID). According to a press release dated Wednesday, December 18, the world’s second largest gold producer is using this institution of the World Bank group to address existing disagreements with the Malian government at Loulo-Gounkoto, the country’s largest gold mine.
Nothing has yet filtered out about the Canadian company’s requests in this procedure and it is also not possible to know whether the procedure will succeed. After submitting a request, the ICSID may indeed refuse registration of the request and close the file. If Barrick takes this step, various mechanisms are triggered until a tribunal is set up to hear both parties and then decide. Note that this procedure can last several years.
« During its three decades of activity in Mali, Barrick has always demonstrated its long-term commitment to the country and its people. Throughout this process, Barrick remains open to ongoing dialogue with government to amicably resolve these issues and ensure the long-term success of the Loulo-Gounkoto complex. “, said Mark Bristow, leaving the door open for an amicable resolution of the dispute.
Barrick’s recourse to international justice comes a few days after the Canadian company announced the blocking of its gold exports by Mali. The two parties have been holding negotiations for several months, but are struggling to find a compromise. Bamako announced in 2023 an audit of gold mines revealing a shortfall and demanding payment of around $500 million from Barrick. While the company still rejects the government’s allegations, four of its employees in Mali are currently detained awaiting trial, and an arrest warrant is issued for CEO Mark Bristow.
Emiliano Tossou
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16/12/2024 – Mali blocks exports from Loulo-Gounkoto, its largest gold mine (Barrick)
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