Mali creates company to manage mining holdings

Mali will create a company to manage the country’s holdings in mining companies, according to a statement released by the council of ministers.

Fully owned by the state of Mali, the company will acquire and manage the country’s holdings.

Niger and Guinea have also created state-wned companies to manage their mining interests.

Mali is one of Africa’s largest gold producers.

The creation of a mining company comes after the conclusion of Bamako’s long fight with Canadian miner Barrick Gold.

Mali’s junta had tightened regulations on the mining sector, which is key to its economy, before falling into dispute with Barrick.

Bamako had introduced a new industry code in recent years granting the government a bigger share of profits from mining activities in the name of national sovereignty.

It accused Barrick of not properly paying taxes, royalties and dividends owed to the state.

Mali seized gold stocks and also closed the lucrative Loulo-Gounkoto mine. Last November, the two parties announced an end to their dispute.