Mali starts seizing gold stocks at Barrick site

Mali’s government has begun enforcing a provisional order to seize gold stock at Barrick Gold’s Loulo-Gounkoto site, the Canadian miner said in a note to Malian staff, warning again that it may have to suspend operations at the complex.

The move suggests that Mali’s military-led authorities are not ready to back down in a standoff over a contract based on new mining rules as they push for a greater share of revenues from Western miners.

“A provisional order to seize our existing gold stock was issued last week and the Malian government began its enforcement on Jan. 11,” Barrick said in the staff memo.

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Two Barrick employees in Mali and a consultant working for mining companies confirmed the authenticity of the letter seen by Reuters. Speaking on condition of anonymity, the employees said it was sent to staff on Sunday. Barrick has not said what volume of gold is at risk, but one of the employees said Loulo-Gounkoto’s stock was around 4 metric tons, citing internal estimates. This amounts to nearly $380 million, based on spot gold prices on Monday.

Responding to a request for comment, Barrick said it had nothing to add beyond what it said in a Jan. 6 statement.

In that statement, the world’s second-biggest gold miner by volume had warned that it would have to suspend operations at Loulo-Gounkoto temporarily if restrictions on its gold shipments were not lifted within the week.

The threat remains on the table. In Sunday’s note to staff, Barrick said “if the situation is not resolved quickly” it may be forced to follow through on the suspension.

The Malian authorities did not immediately respond when asked to comment.

Loulo-Gounkoto accounts for around 14% of Barrick’s 2025 estimated gold output. Meanwhile gold is Mali’s top foreign currency earner, accounting for more than 80% of total exports in 2023.

The dispute comes at a delicate time for many Western miners in West Africa, industry insiders say.

Military governments in Mali, Burkina Faso and Niger are all trying to renegotiate terms to gain a bigger share of mining revenues after a series of coups that have seen them shift away from their traditional backers France, the United States and the United Nations towards Russia and elsewhere.

Mali, Africa’s second-largest gold producer, has issued an arrest warrant for Barrick Chief Executive Mark Bristow and detained Barrick staff.