A Malian court has placed Barrick Gold’s Loulo‑Gounkoto gold complex under provisional state administration, the latest development in a deepening spat between the government and the Canadian mining firm.
The order, issued on 16 June 2025, empowers a Malian court appointed administrator, former Health Minister Soumana Makadji, to oversee mine operations for an initial six-month period. The move follows months of tension after Mali adopted a 2023 mining code that raised taxes and increased the state’s stake in major mining ventures.
Barrick has strongly opposed the decision, arguing it undermines existing contractual rights and hampers its ability to operate. The company swiftly announced plans to appeal and submitted a request for arbitration to the World Bank’s International Centre for Settlement of Investment Disputes.
The ruling comes after Mali blocked all gold exports from the site in late 2024 and seized more than three metric tonnes of its gold stocks actions that prompted Barrick to suspend operations in January. The Loulo‑Gounkoto mine contributes approximately 14% of Barrick’s total output.
Despite entrenched legal and political stand‑offs, Mali has permitted the repatriation of 20% of the mine’s earnings. Meanwhile, Barrick has initiated arbitration in hopes of reversing the court’s grip on its asset.
The takeover escalates broader regional patterns: following the 2020 coup, Mali’s military-led government has taken aggressive steps to renegotiate mining contracts, increase national revenue, and boost local control over resources—moves analysts say may deter foreign investment.
Barrick officials warn that unless the state lifts export restrictions and restores operational autonomy, the mine may remain shuttered, jeopardizing jobs and revenue. Mine employees, nearly 8,000 strong, face an uncertain future as management changes hands.
As regulators and the company lock horns, the outcome of this legal and political showdown will signal whether foreign investors can continue in Mali’s mining sector under the new rules will or face further expropriations.
