Barrick Mining Seeks World Bank Arbitration Amid Mali Gold Mine Dispute

Barrick Mining, a Canadian gold mining company, has appealed to the World Bank’s arbitration tribunal, the International Centre for Settlement of Investment Disputes (ICSID), to intervene in a legal dispute with the Malian government over the Loulo-Gounkoto gold mine. This move comes as a Malian court is set to rule on June 2 on the government’s request to place the mine under provisional administration, potentially transferring control from Barrick to the state.

Background of the Dispute

The conflict escalated in January 2025 when the Malian government seized three tonnes of gold from the Loulo-Gounkoto mine, alleging unpaid taxes. Barrick disputes these claims, asserting that it has fulfilled all tax obligations and that the government’s actions lack legal justification.

In response to the government’s actions, including the closure of Barrick’s Bamako office and the detention of several employees, the company has maintained support for its workforce and continued to pay wages despite the suspension of operations.

Legal Actions and Arbitration Request

Barrick has filed a request for “provisional measures” with ICSID, seeking to prevent the Malian government from taking further actions that could exacerbate the dispute, such as placing the mine under provisional administration. These measures aim to maintain the status quo while arbitration proceedings are ongoing.

Legal experts explain that such provisional measures are intended to restrain the government from actions that could worsen the conflict.

Implications for the Mining Industry

Mali, Africa’s third-largest gold producer, has recently implemented a new mining code aimed at increasing government revenue from mining operations, primarily managed by Western companies. While most companies have complied with the government’s new demands, Barrick has resisted, citing its long-standing investments in Mali and accusing the government of moving the goalposts and unfairly detaining its executives.

The outcome of this dispute could have significant implications for foreign investment in Mali’s mining sector. If the Malian government proceeds with taking control of the Loulo-Gounkoto mine, it may deter other Western investors due to concerns over legal protections and the stability of investment agreements.