An Australian mining company, Resolute Mining, has agreed to pay Mali’s military government $160 million to settle a tax dispute, following the unexpected detention of its British CEO and two other staff members. The three executives were arrested 10 days ago while traveling to Mali’s capital, Bamako, for what was expected to be a routine negotiation.
Resolute Mining, which operates a gold mine in Mali, confirmed on Sunday that it will pay an initial $80 million from its existing cash reserves, with the remainder to be paid over the coming months. The company stated that the payment is part of an agreement to resolve the ongoing tax dispute with the Malian government.
Mali, one of Africa’s top gold producers, has been seeking to increase its share of profits from foreign mining companies operating in the country. The government’s actions, including the detention of the Resolute executives, are seen as part of a broader push to renegotiate terms with foreign operators in the mining sector.
The exact timing of the release of the three detained executives remains unclear. However, reports suggest that part of the conditions for their release includes signing a memorandum of understanding (MoU) and completing the initial payment. According to French broadcaster RFI, the three men were detained on charges of forgery and damaging public property—allegations that many observers view as a form of pressure or blackmail aimed at Resolute Mining.
Since taking power in a military coup in 2021, Mali’s ruling junta, led by President Colonel Assimi Goïta, has been working to realign the country’s political and trade relationships, particularly with Western countries. As part of this effort, Mali introduced a new mining code last year, which increased the maximum stake that state and local investors can hold in mining projects from 20% to 35%.
The incident with Resolute Mining underscores the increasing tension between foreign mining companies and Mali’s military government, which has been asserting greater control over the nation’s valuable natural resources. The dispute also highlights the shifting political and economic landscape in Mali as it moves away from traditional Western alliances and seeks to strengthen ties with other global powers.
