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Home Business Barrick Gold Backs Down as Mali Tightens Control of Its Mining Sector

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Barrick Gold Backs Down as Mali Tightens Control of Its Mining Sector

West Africa WeeklyNovember 26, 20252 Mins read3

After more than two years of standoffs, seizures, legal battles and diplomatic tension, the government of Mali has finally compelled Barrick Gold to comply with its revised mining code, marking the end of one of the most significant resource disputes in West Africa today.

The Canadian mining giant has signed a formal agreement with the Malian authorities, aligning fully with the country’s 2023 mining code. The settlement closes a long chapter defined by shutdowns, detentions and arbitration threats, and allows operations at the Loulo Gounkoto gold complex to restart under Barrick’s control.

The breakthrough came after months of sustained pressure from Mali. Troops had taken control of the mining site earlier this year, gold shipments were halted, several tons of gold were seized, the company’s Bamako office was forcibly closed, and four Barrick staff members were detained during the dispute. The government also placed the mine under provisional administration and began limited state-managed production to prevent a total halt.

With the new agreement in place, Mali has withdrawn all legal actions and released detained employees. Barrick has withdrawn its arbitration case and formally accepted fiscal and regulatory obligations under the updated mining code, which increases state participation, raises royalties and expands community development responsibilities for foreign operators.

For Mali, the deal is a strategic victory. The Loulo Gounkoto complex is one of the largest and most profitable gold sites in West Africa, and gold remains Mali’s most valuable export. Officials in Bamako described the agreement as a reaffirmation of national sovereignty over natural resources, signalling the government’s intention to ensure multinational companies operate on terms it considers fair and transparent.

The reopening of the mine is expected to restore significant revenue flows to the state. It also sends a message to other foreign operators that Mali will enforce its laws with renewed assertiveness, particularly in the extractive industries. Regional analysts suggest this outcome may influence future negotiations across West Africa, where several governments are revising mining, oil and gas policies.

For Barrick, the settlement protects a crucial asset that had been frozen since early 2025. Investors reacted positively, and the company has already announced plans to resume full production as soon as regulatory clearance is completed.

The resolution marks a turning point. Mali has demonstrated its willingness to confront major multinationals when national interests are at stake. Barrick, in turn, has opted for cooperation after months of tension that disrupted one of its most critical African operations.

With activities at Loulo Gounkoto set to restart, both sides now enter a new phase defined not by confrontation but by negotiated coexistence. Yet the broader signal remains clear. Across the region, African states are taking firmer control of their resources, and global mining giants are being forced to adjust.