Mali suspends artisanal gold mining permits for foreign companies after series of accidents
Mali suspends artisanal gold mining permits for foreign companies after series of accidents
BAMAKO, Mali (AP) — Mali said on Wednesday it was suspending licenses for foreign artisanal gold mining companies after a series of fatal accidents in the West African country, one of Africa’s top three gold producers.
Gen. Assimi Goita, president of Mali’s transitional government, ordered “the suspension of artisanal mining permits granted to foreigners,” according to a statement issued following a Council of Ministers meeting which was read out on the national television station ORTM.
The move comes in response to accidents at mining sites that have claimed the lives of dozens of people, most recently in January in the Koulikoro region, in the south of the country, and in February in the Kayes region, in the southwest. Artisanal gold mining is estimated to produce around 30 tons of gold a year and represents 6% of Mali’s annual gold production.
The Council of Ministers’ statement said measures would be taken to facilitate the recovery of equipment used in gold panning and its addition to the national patrimony. This is a major change, as previously mining companies could recover their equipment after paying a fine to the country’s authorities.
“These measures are designed to further strengthen the state authorities and protect our fellow citizens. These measures give us the power to seize materials (mining equipment), which will be confiscated and placed in the domain of national heritage,” Gen. Daoud Ali Mohammedine, the minister of security and civil protection, said on ORTM.
In recent years, there have been concerns that profits from unregulated mining in northern Mali could benefit extremists active in that part of the country.
“Gold is by far Mali’s most important export, comprising more than 80% of total exports in 2021,” according to the International Trade Administration, which is an agency of the U.S. Department of Commerce. More than 2 million people, or more than 10% of Mali’s population, depend on the mining sector for income, according to the U.S.
Mali is one of the top three gold producing countries in Africa. Several major gold producing companies operate in this West African country, including Barrick Gold, B2Gold, Resolute Mining and Allied Gold.
Tensions have been rising between some mining companies and the military authorities, who are demanding that companies pay money and comply with a new mining code. At least four employees of the Canadian company Barrick were still in prison in Bamako at the end of last year. Military authorities then seized 3 tons of gold from Barrick’s mining site and deposited it in a Bamako bank.
BABA AHMED
Associated Press
