Fortuna Mining (FVI.TO) stated on Monday that the government of Burkina Faso has confirmed it will not revoke the Canadian company’s existing mining permits. This follows comments made by leader Ibrahim Traoré on Saturday, where he mentioned plans to withdraw permits from certain foreign companies to enhance local gold production, but did not provide details on which permits would be impacted.
As a result, shares of gold mining firms operating in Burkina Faso took a significant hit during trading on the Toronto Stock Exchange on Monday, dragging down the overall market index. Fortuna Mining’s stock fell by 9% by 3:25 PM ET (19:25 GMT). Similarly, Orezone Gold Corp (ORE.TO), which manages the Bombero gold mine, also experienced a 9% decline.
Endeavour Mining (EDV.L) highlighted that Traoré referenced various issues on Saturday as he marked two years in office, suggesting that some mining permits could be at risk. However, Endeavour emphasized that the government remains supportive of its operations and is not aware of any plans to revoke its mining permits. The company’s shares were down 3% on the TSX.
