Barrick Provides Further Update on Loulo-Gounkoto Operations in Mali
Barrick Gold (NYSE:GOLD) has announced that its gold shipping restrictions at the Loulo-Gounkoto mining complex in Mali continue to be in effect. The situation has escalated as the Malian government has executed an interim attachment order, transferring existing gold stock from the site to a custodial bank, further preventing gold shipment and sales.
In response to these developments, Barrick has been forced to temporarily suspend operations at the complex. The company states it remains committed to engaging constructively with the Malian government and stakeholders to find an amicable solution that would ensure the long-term sustainability of the mining complex and its contributions to Mali's economy and communities.
Barrick Gold (NYSE:GOLD) ha annunciato che le restrizioni sulla spedizione dell'oro presso il complesso minerario Loulo-Gounkoto in Mali continuano a essere in vigore. La situazione è peggiorata poiché il governo maliano ha eseguito un'ordinanza di sequestro, trasferendo l'attuale stock d'oro dal sito a una banca custode, impedendo ulteriormente la spedizione e la vendita dell'oro.
In risposta a tali sviluppi, Barrick è stata costretta a sospendere temporaneamente le operazioni nel complesso. L'azienda afferma di rimanere impegnata a collaborare in modo costruttivo con il governo maliano e le parti interessate per trovare una soluzione amichevole che garantisca la sostenibilità a lungo termine del complesso minerario e il suo contributo all'economia e alle comunità del Mali.
Barrick Gold (NYSE:GOLD) ha anunciado que las restricciones para el envío de oro en el complejo minero Loulo-Gounkoto en Mali siguen vigentes. La situación se ha agravado, ya que el gobierno maliense ha ejecutado una orden de embargo interina, transfiriendo el stock de oro existente del sitio a un banco custodio, lo que impide aún más el envío y la venta de oro.
En respuesta a estos acontecimientos, Barrick se ha visto obligada a suspender temporalmente las operaciones en el complejo. La compañía afirma que sigue comprometida a interactuar de manera constructiva con el gobierno de Mali y las partes interesadas para encontrar una solución amistosa que asegure la sostenibilidad a largo plazo del complejo minero y su contribución a la economía y las comunidades de Mali.
Barrick Gold (NYSE:GOLD)는 말리의 Loulo-Gounkoto 광산 단지에서의 금 수출 제한이 계속 시행되고 있다고 발표했습니다. 말리 정부가 임시 압류 명령을 집행함에 따라 상황이 심각해졌습니다. 기존 금 재고가 현장에서 보관 은행으로 이전되어 금 배송 및 판매가 더욱 차단되었습니다.
이러한 상황에 대응하여 Barrick는 광산 단지에서의 작업을 일시적으로 중단할 수 밖에 없었습니다. 이 회사는 말리 정부 및 이해관계자들과 건설적으로 소통하여 광산 단지의 장기적인 지속 가능성과 말리의 경제 및 지역 사회에 대한 기여를 보장할 수 있는 우호적인 해결책을 찾기 위해 최선을 다하고 있다고 밝혔습니다.
Barrick Gold (NYSE:GOLD) a annoncé que ses restrictions sur l'expédition d'or au complexe minier Loulo-Gounkoto au Mali restent en vigueur. La situation a dégénéré depuis que le gouvernement malien a exécuté une ordonnance de saisie intermédiaire, transférant le stock d'or existant du site vers une banque de garde, empêchant encore davantage l'expédition et la vente d'or.
En réponse à ces développements, Barrick a été contraint de suspendre temporairement ses opérations dans le complexe. L'entreprise déclare qu'elle reste engagée à interagir de manière constructive avec le gouvernement malien et les parties prenantes pour trouver une solution amiable qui garantirait la durabilité à long terme du complexe minier et ses contributions à l'économie et aux communautés du Mali.
Barrick Gold (NYSE:GOLD) hat angekündigt, dass die Restriktionen für den Goldversand im Loulo-Gounkoto-Bergbaukomplex in Mali weiterhin bestehen. Die Situation hat sich zugespitzt, da die malische Regierung eine vorübergehende Beschlagnahmeanordnung vollstreckt hat, die den bestehenden Goldbestand vom Standort zu einer Verwahrbank überträgt, was den Goldversand und -verkauf weiter verhindert.
Als Reaktion auf diese Entwicklungen war Barrick gezwungen, die Betriebstätigkeiten im komplex vorübergehend auszusetzen. Das Unternehmen erklärt, dass es sich weiterhin verpflichtet, konstruktiv mit der malischen Regierung und den Stakeholdern zusammenzuarbeiten, um eine einvernehmliche Lösung zu finden, die die langfristige Nachhaltigkeit des Bergbaukomplexes und seinen Beitrag zur Wirtschaft und den Gemeinschaften Malis sicherstellt.
- None.
- Continued restriction on gold shipments from Loulo-Gounkoto complex
- Malian government seized gold stock and transferred it to custodial bank
- Temporary suspension of mining operations
- Inability to generate revenue from gold sales in Mali
Insights
The suspension of operations at Loulo-Gounkoto represents a severe operational disruption for Barrick Gold. The complex is one of Barrick's largest producing assets, historically contributing approximately 600,000-700,000 ounces of annual gold production. The Malian government's execution of the attachment order by relocating gold inventory to a custodial bank signals an escalation of the dispute, effectively freezing a significant portion of Barrick's working capital.
The operational suspension will immediately impact Barrick's production capacity and cash flow generation. With gold prices currently near historic highs, each day of suspended operations translates to substantial foregone revenue. The Loulo-Gounkoto complex typically accounts for roughly 15-20% of Barrick's total gold production, making this disruption materially significant to the company's overall performance.
This development highlights the heightened sovereign risk in Mali, where political instability has increased following recent military coups. The government's aggressive stance in executing the attachment order suggests a deteriorating relationship between the state and foreign mining companies. This situation mirrors similar resource nationalism trends seen across West Africa, where governments are increasingly asserting control over natural resources.
The forced movement of gold inventory to a custodial bank is particularly concerning as it demonstrates the government's willingness to exercise direct control over mining outputs. This action could have broader implications for foreign investment in Mali's mining sector and potentially influence other West African nations' approaches to mining partnerships.
The operational suspension at Loulo-Gounkoto poses significant financial risks for Barrick. With current gold prices around
For retail investors, this situation warrants careful attention. While Barrick's diversified portfolio provides some buffer against regional disruptions, the Loulo-Gounkoto complex's significance to overall production makes this a material event that could impact share price performance. The uncertainty regarding resolution timeline and potential precedent for other African operations adds layers of risk to Barrick's investment thesis.
TORONTO, Jan. 14, 2025 (GLOBE NEWSWIRE) -- Barrick Gold Corporation (NYSE:GOLD)(TSX:ABX) today confirmed that the company remains restricted from shipping gold from the Loulo-Gounkoto mining complex in Mali. Additionally, the interim attachment order on the gold has now been executed by the Malian government by moving the existing gold stock from the site to a custodial bank, further preventing the shipment and sale of the gold.
As a result, Barrick has regrettably initiated the temporary suspension of operations while it continues to work towards a resolution.
Barrick remains committed to constructive engagement with the Malian government and all stakeholders to find an amicable solution that ensures the long-term sustainability of the Loulo-Gounkoto mining complex and its vital contribution to Mali’s economy and communities.
Barrick enquiries
Investor and media relations
Kathy du Plessis
+44 20 7557 7738
barrick@dpapr.com
Website: www.barrick.com
Cautionary Statement on Forward-Looking Information
Certain information contained or incorporated by reference in this press release, including any information as to our strategy, projects, plans, or future financial or operating performance, constitutes “forward-looking statements”. All statements, other than statements of historical fact, are forward-looking statements. The words “continue”, “intended”, “committed”, “engage”, “negotiate”, “pursue” and similar expressions identify forward-looking statements. In particular, this press release contains forward-looking statements including, without limitation, with respect to: the status of the gold stock removed from site; the outcome of dispute resolution through arbitration; the status of negotiations with the Government of Mali in respect of ongoing disputes regarding the Loulo-Gounkoto Complex and Barrick’s commitment to reach a mutually acceptable solution; the potential to increase the Government of Mali’s share in the economic benefits of Loulo-Gounkoto; and Loulo-Gounkoto’s partnership with the Government of Mali.
Forward-looking statements are necessarily based upon a number of estimates and assumptions including material estimates and assumptions related to the factors set forth below that, while considered reasonable by the Company as at the date of this press release in light of management’s experience and perception of current conditions and expected developments, are inherently subject to significant business, economic, and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements, and undue reliance should not be placed on such statements and information. Such factors include, but are not limited to: changes in national and local government legislation, taxation, controls or regulations and/ or changes in the administration of laws, policies and practices; expropriation or nationalization of property and political or economic developments in Mali and other jurisdictions in which the Company or its affiliates do or may carry on business in the future; fluctuations in the spot and forward price of gold, copper, or certain other commodities (such as diesel fuel, natural gas, and electricity); the speculative nature of mineral exploration and development; changes in mineral production performance, exploitation, and exploration successes; risks related to disruption of supply routes which may cause delays in construction and mining activities, including disruptions in the supply of key mining inputs due to the invasion of Ukraine by Russia and conflicts in the Middle East; risk of loss due to acts of war, terrorism, sabotage and civil disturbances; risks associated with new diseases, epidemics and pandemics; litigation and legal and administrative proceedings; employee relations including loss of key employees; increased costs and physical and transition risks related to climate change, including extreme weather events, resource shortages, emerging policies and increased regulations related to greenhouse gas emission levels, energy efficiency and reporting of risks; and availability and increased costs associated with mining inputs and labor. In addition, there are risks and hazards associated with the business of mineral exploration, development and mining, including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins, flooding and gold bullion, copper cathode or gold or copper concentrate losses (and the risk of inadequate insurance, or inability to obtain insurance, to cover these risks).
Many of these uncertainties and contingencies can affect our actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, us. Readers are cautioned that forward-looking statements are not guarantees of future performance. All of the forward-looking statements made in this press release are qualified by these cautionary statements. Specific reference is made to the most recent Form 40-F/Annual Information Form on file with the SEC and Canadian provincial securities regulatory authorities for a more detailed discussion of some of the factors underlying forward-looking statements and the risks that may affect Barrick’s ability to achieve the expectations set forth in the forward-looking statements contained in this press release.
Barrick disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law.
FAQ
Why did Barrick Gold (GOLD) suspend operations at Loulo-Gounkoto in Mali?
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