Canadian mining giant Barrick Gold announced on Wednesday that it has filed an arbitration request with the International Centre for Settlement of Investment Disputes (ICSID) to resolve an ongoing conflict with Mali regarding the Loulo-Gounkoto gold mining complex.
The disagreement stems from a 2023 dispute over a contract governed by Mali’s revised mining regulations. Barrick, the world’s second-largest gold producer, owns an 80% stake in the Loulo-Gounkoto complex, while the Malian government holds the remaining 20%.
Tensions have escalated in recent months, with Mali issuing an arrest warrant for Barrick CEO Mark Bristow earlier in December. Additionally, Barrick has warned of a potential suspension of operations at the site due to worsening conditions at the mine.
Jefferies analysts have highlighted the potential financial implications of such a closure, estimating that it could reduce Barrick’s earnings before interest, taxes, and amortization (EBITDA) by 11% in 2025.
The arbitration filing represents a critical step in Barrick’s efforts to address the dispute and protect its investments in the West African nation.