Barrick Mining has requested the World Bank’s arbitration tribunal to step in amid a tense dispute over the Loulo-Gounkoto gold mine in Mali.
The Canadian miner faces the risk that the Malian government will take control of the mine following a local court’s decision expected on June 2.
The mine has been closed since January after Mali seized three tons of gold, citing unpaid taxes—claims Barrick denies.
Given the government’s push for provisional administration of the mine, Barrick has sought “provisional measures” from the International Centre for Settlement of Investment Disputes (ICSID) to protect its interests during ongoing legal proceedings.
“Put simply, ‘provisional measures’ means that Barrick has applied to the tribunal for an order requiring Mali government to refrain from taking further actions that would exacerbate the dispute, including Mali’s effort to place the mine into provincial administration,” said Timothy Foden, of international law firm Boies Schiller Flexner.
Barrick did not immediately respond to an e-mail query from Reuters. Mali’s Mines Ministry did not respond to a Reuters e-mail query either.
Mali, Africa’s third-largest gold producer, has issued a new mining code and tightened its grip on the country’s gold mines, mostly run by Western companies.
The military-led government says that it wants to increase its revenue from the mining sector as it believes current arrangements are unfair, and that foreign multinationals must comply with its demands if they want to keep operating in the gold-rich country.
