A Malian court has postponed a ruling for a fourth time on whether to place Barrick Mining’s (TSX: ABX; NYSE: B) Loulo-Gounkoto gold complex under provisional administration, delaying the hearing until June 12.
The court has given no reasons for the delays. The government wants to take control of the mine that’s been embroiled in a legal dispute with the West African nation over taxes and ownership for the past 18 months. The junta enacted a new mining code in 2023 seeking larger shares of royalties and ownership.
Barrick suspended operations at the complex in January after officials seized some three tonnes of gold and held four local employees. Since November, authorities have blocked the company’s gold exports. Barrick has stated it will only resume operations once the Malian government lifts those restrictions.
Shares of Barrick fell 0.4% to $27.46 apiece in Toronto on Thursday afternoon, giving the company a market capitalization of $47.4 billion (US$34.7 billion).
Mining code
In May, the government requested that the Bamako Commercial Court appoint a provisional administrator to take control of the mines amid the negotiations.
A major point of contention remains Mali’s demand that Barrick transition to the country’s 2023 mining code. The government has already renegotiated agreements with other multinational miners under the new legislation
CEO Mark Bristow said in May Barrick is spending about $15 million per month on maintenance and salaries. The company, which described the shutdown as “reluctant,” has removed the Loulo-Gounkoto complex from its production forecasts until at least 2028. It earned $1.24 billion in revenue from the mine in 2022.
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