Barrick Gold and Mali government to find resolution for Loulo, Gounkoto gold mines

Barrick Gold Corp and the Mali government have decided to find a resolution to existing claims and disputes over the Loulo and Gounkoto gold mines in the West African country, the company said on Monday.

The statement from the world’s second largest miner comes two days after the Malian government arrested four Barrick employees. The two parties have been negotiating a new mining contract that proposes to give Mali’s military-led authorities greater control over its resources. Mali is one of Africa’s biggest gold producers.

Barrick said the details of the agreement will be made public once terms of the settlement have been finalized.

Shares of Barrick were trading down by 2% on the Toronto Stock Exchange at 2:16 p.m ET (1816 GMT).

“The current negotiations have proved challenging but we’re encouraged by the government’s recognition of the importance of securing the long-term viability of the Loulo-Gounkoto complex as a substantial contributor to the Malian economy,” Barrick’s CEO, Mark Bristow, said in a statement.

The Mali government was not immediately available for comment.

In July Barrick said it had invested over $10-billion in the Malian economy over the past 29 years.