Mali finalises takeover of gold mines abandoned by foreign operators
Mali has taken over the Yatela and Morila gold mines, reclaiming control of strategic resources.
The move reflects a trend among West African nations prioritizing national resource management.
Despite being Africa's second-largest gold producer, Mali lacks an internationally certified gold refinery.
Mali has officially completed its takeover of the Yatela and Morila gold mines, both previously abandoned by their foreign owners, the government announced over the weekend.
The move aligns with a growing trend among junta-led West African nations seeking to reclaim control of strategic natural resources and leverage surging gold prices to boost their economies and reduce foreign dependency.
Mali, which produces roughly 65 tons of gold annually, is Africa's second-largest gold producer. Yet despite its output, the country lacks an internationally certified gold refinery.
Bold reforms face uncertain future
Earlier, Business Insider Africa reported reported that Mali has begun building a new gold refinery backed by Russia, a move its military-led government says will help the country gain greater control over its natural resources.
Despite this strategic shift, the road ahead is uncertain. The Yatela mine, located in western Mali's Kayes region, was shuttered in 2016 by Sadiola Exploration Company, a joint venture between South Africa's AngloGold Ashanti and Canada's IAMGOLD, due to low prices, even though unexploited reserves remained.
Likewise, the Morila mine in the Sikasso region was abandoned in 2022 by Australia's Firefinch, which had previously acquired stakes from Barrick Gold and AngloGold Ashanti.
The government recently placed Barrick's Loulo-Gounkoto gold complex under state control, escalating tensions over taxes and ownership rights, a signal that more confrontations with international mining firms may be on the horizon.
Since seizing power in 2020, Mali's military government has vowed to overhaul the mining sector to ensure the state captures a larger share of gold revenues. These reforms are projected to boost annual government income by about $950 million, representing nearly 20% of the national budget.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
18 hours ago
- Yahoo
Mali government takes over abandoned Yatela and Morila gold mines
Mali's government has completed the nationalisation of the Yatela and Morila gold mines, previously abandoned by their owners, in an effort to regain control of its natural resources, as reported by Reuters. Despite being Africa's second-largest gold producer with an annual output of around 65 tonnes (t), Mali has struggled to profit from its gold assets. The nationalisation reflects a broader trend among West African states, including Burkina Faso and Niger, to leverage high commodity prices for economic growth. The military leaders of Mali, who assumed power following coups in 2020 and 2021, had declared their intentions to nationalise the mines in 2024. Since the military takeover, foreign mining companies operating in Mali have faced increased taxes, revised contracts and regulatory crackdowns. The government's inclination towards Russian interests from Western investors has also been noted amidst the backdrop of strong gold prices, which have been buoyed by US trade policies and geopolitical tensions. The Yatela mine, located in the western Kayes region, was abandoned in 2016 by the Sadiola Exploration Company, a joint venture between South Africa's AngloGold Ashanti and Canada's IAMGOLD, due to low gold prices and uneconomical operations, despite the presence of unexploited reserves. Similarly, the Morila mine in the southern Sikaso region was left by the Australian company Firefinch in 2022. The government's recent statement highlighted 'significant environmental and financial liabilities' associated with the mine's abandonment. The newly established Society for Research and Exploitation of Mineral Resources of Mali (SEMOS) is set to revive the mines. Details of the operational and financial strategies for these mines remain undisclosed. The challenge of extracting value from Yatela and Morila is compounded by the government's efforts to reopen Barrick's Loulo-Gounkoto gold complex, which was recently placed under state control amid a dispute with the company over taxes and ownership. In June 2025, Mali initiated construction of a new gold refinery backed by Russia, marking a step towards the country's goal of asserting greater control over its natural resources. "Mali government takes over abandoned Yatela and Morila gold mines" was originally created and published by Mining Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Business Insider
20 hours ago
- Business Insider
Top 5 safest African countries mid-way into 2025
A low crime rate and a high safety index are now crucial advantages for African countries looking to achieve more wealth, draw in international collaboration, and enhance the standard of living for their people in 2025. Business Insider Africa presents the top 5 safest African countries mid-way into 2025. This list is courtesy of Numbeo. Rwanda ranks number on the list. Besides maintaining peace and order, these metrics show how stable, resilient, and prepared a country is for sustainable growth. A low crime rate has several direct benefits, one of which is the confidence it gives investors. When making financial commitments, both small business owners and big businesses give careful thought to safety. Businesses are more willing to invest, grow, and add employment when they are guaranteed security for their resources, employees, and clients. This boosts tax income for the government in addition to stimulating economic growth. A lower crime rate at the local level is associated with a higher standard of living. People are free to go about, work into the night, and let kids stroll fearlessly to school. Safer surroundings stimulate social and economic engagement and foster inclusion, which is especially beneficial for women and other vulnerable groups. Furthermore, sound governance and robust institutions are reflected in a high safety rating. It implies that judicial systems operate equitably, law enforcement is efficient, and corruption is controlled. These serve as important cornerstones of democracy and progress, promoting social cohesiveness and public trust. In terms of economics, safety lowers operating expenses. Insurance rates are cheaper, businesses pay less on private protection, and the government can focus more on infrastructure, education, and health rather than policing and dispute resolution. Lastly, the problem of brain drain is addressed when a safe environment promotes the retention of local talent and the return of qualified individuals. When people feel safe, they are more prone to construct their futures at home. With that said, here are the African countries with the highest safety index, as per Numbeo. Top 5 safest African countries mid-way into 2025 Rank Country Safety index Global rank 1. Rwanda 73.6 23rd 2. Tunisia 55.0 71st 3. Zambia 54.4 72nd 4. Sudan 54.4 74th 5. Ghana 54.2 76th
Business Insider
a day ago
- Business Insider
Mali finalises takeover of gold mines abandoned by foreign operators
Mali has officially completed its takeover of the Yatela and Morila gold mines, both previously abandoned by their foreign owners. Mali has taken over the Yatela and Morila gold mines, reclaiming control of strategic resources. The move reflects a trend among West African nations prioritizing national resource management. Despite being Africa's second-largest gold producer, Mali lacks an internationally certified gold refinery. Mali has officially completed its takeover of the Yatela and Morila gold mines, both previously abandoned by their foreign owners, the government announced over the weekend. The move aligns with a growing trend among junta-led West African nations seeking to reclaim control of strategic natural resources and leverage surging gold prices to boost their economies and reduce foreign dependency. Mali, which produces roughly 65 tons of gold annually, is Africa's second-largest gold producer. Yet despite its output, the country lacks an internationally certified gold refinery. Bold reforms face uncertain future Earlier, Business Insider Africa reported reported that Mali has begun building a new gold refinery backed by Russia, a move its military-led government says will help the country gain greater control over its natural resources. Despite this strategic shift, the road ahead is uncertain. The Yatela mine, located in western Mali's Kayes region, was shuttered in 2016 by Sadiola Exploration Company, a joint venture between South Africa's AngloGold Ashanti and Canada's IAMGOLD, due to low prices, even though unexploited reserves remained. Likewise, the Morila mine in the Sikasso region was abandoned in 2022 by Australia's Firefinch, which had previously acquired stakes from Barrick Gold and AngloGold Ashanti. The government recently placed Barrick's Loulo-Gounkoto gold complex under state control, escalating tensions over taxes and ownership rights, a signal that more confrontations with international mining firms may be on the horizon. Since seizing power in 2020, Mali's military government has vowed to overhaul the mining sector to ensure the state captures a larger share of gold revenues. These reforms are projected to boost annual government income by about $950 million, representing nearly 20% of the national budget.
