By Ollus Ndomu
Mali’s military-led government has detained four senior employees of Canada’s Barrick Gold as part of an ongoing effort to pressure mining companies for increased tax payments. Authorities claim the mining giant owes over $500 million in unpaid taxes, a charge Barrick has denied. The employees are awaiting trial as negotiations between the company and the government continue.
Barrick, one of the world’s largest gold producers, has expressed optimism about resolving the dispute, with CEO Mark Bristow stating they aim to reach an agreement by year’s end. The company is also working to secure the release of its staff while finalizing a partnership agreement with the West African nation.
Mali, a leading gold producer, has intensified its efforts to extract more revenue from the mining sector, which accounts for a significant portion of the country’s economy. Last week, Australian firm Resolute Mining agreed to pay $160 million to settle a similar dispute, resulting in the release of its detained CEO and two employees.
The escalating tensions highlight the challenges international mining firms face as Mali’s government seeks to capitalize on its vast mineral wealth amid economic pressures. These disputes could strain relations between foreign investors and the government, potentially impacting the country’s gold production.
Barrick, which operates several mines in Mali, remains engaged in discussions to resolve the tax issue and reaffirm its long-term commitment to the region, despite the growing regulatory and political risks.
