Barrick Mining has confirmed that the International Centre for Settlement of Investment Disputes (ICSID) arbitration process is fully under way after a tribunal ruling placed the Loulo-Gounkoto complex under temporary provisional administration at the request of the Malian Government.
The Bamako Commercial Tribunal’s ruling transferred operational control of the complex from Barrick’s subsidiaries to an external administrator.
The arbitration, initiated under the binding mining conventions between Barrick subsidiaries and the State of Mali, is critical for the company in safeguarding its rights amidst escalating tensions, the company stated.
The arbitration tribunal has been constituted, and Barrick has submitted a request for provisional measures to prevent further escalation and to safeguard its rights under binding mining conventions with the State of Mali.
Despite Barrick’s subsidiaries remaining the legal owners of the mine, the Malian Government’s recent actions, including blocking gold exports and seizing gold stocks, have led to the temporary suspension of operations.
The company said in a statement: “These developments occurred despite Barrick’s ongoing efforts to reach a constructive and sustainable resolution. While the company has made a number of good faith concessions in the spirit of partnership, it cannot accept terms that would compromise the legal integrity or long-term viability of the operations.”
Barrick has expressed deep concern over the ongoing detention of its employees, which it claims are being used as leverage in the dispute.
The detention of employees and the government’s increasing demands are seen as lacking factual and legal foundation by Barrick.
The company has warned that unilateral actions by the government risk damaging Mali’s economic credibility and its standing as an investment destination.
While the ICSID process is in progress, Barrick is still open to engaging with the Malian Government to find a mutually acceptable solution.
The company has said that it prefers resolving differences through engagement based on mutual respect, legal certainty and a shared commitment to long-term partnership.
