(Ecofin Agency) - Barrick Gold has suspended production at Loulo-Gounkoto, Mali's largest gold mine, since early 2025. The company decided due to an ongoing dispute with Malian authorities over allegedly unpaid taxes and royalties.

Relations between Mali's government and Barrick Gold, the world's second-largest gold producer, remain strained. Malian authorities have recently closed Barrick's offices in Bamako, further dimming prospects for the Loulo-Gounkoto mine's reopening.

Reuters reports that Barrick's staff cannot access their Bamako offices. The closure reportedly stems from alleged tax non-payment. Neither the Malian government nor Barrick have officially commented on this information.

The Malian government has claimed since 2023 that Barrick owes hundreds of millions in unpaid taxes and royalties. Barrick disputes this claim. Months of negotiations have failed to resolve the crisis. Malian authorities seized 3 tonnes of gold from Loulo-Gounkoto in January 2025. Barrick responded by suspending operations at the site.

Reuters reported in February about a potential agreement between the parties. Under this deal, Barrick was to pay CFA275 billion ($438 million) to the government. In exchange, Mali was to release the firm’s arrested employees and seized gold. However, no official announcement has followed.

The closure of Barrick's offices, if confirmed, suggests ongoing negotiations. The outcome of this complex case remains uncertain.

Loulo-Gounkoto's continued closure has concrete consequences. Barrick has excluded the mine from its 2025 production forecasts. The mine produced over 800,000 ounces in 2024, representing 15% of the Group's attributable production.

The production suspension at Loulo-Gounkoto means a revenue loss of around $550 million for the Malian government, according to Barrick.

This article was initially published in French by Emiliano Tossou 

Edited in English by Ange Jason Quenum