Mali secures $160m in gold dispute after detaining British CEO Terry Holohan
Mali’s military government has struck a $160 million settlement with Australian mining company Resolute Mining, following the detention of its British CEO, Terry Holohan, and two colleagues.
Mali military government has struck a $160 million settlement with Australian mining company Resolute Mining, following the detention of its British CEO, Terry Holohan, and two colleagues. The executives were reportedly arrested while traveling to Bamako 10 days ago for what they believed would be routine negotiations over a tax dispute.
Resolute, which operates the Syama gold mine in Mali, confirmed it would pay $80 million immediately and the remaining balance in the coming months. “We have reached an agreement with the Malian government to resolve the tax dispute, ensuring the continuity of our operations in Mali,” the company said.
Reports suggest the release of the three executives is contingent on signing a memorandum of understanding and completing the initial payment. The French broadcaster RFI highlighted the conditions, noting that “part of the terms for their release was tied to financial compliance with the settlement.”
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Mali’s military rulers, who took power in a 2021 coup, have accused the executives of forgery and damaging public property. Critics see the detentions as a pressure tactic. “The executives were detained due to allegations of forgery and damaging public property, and this case demonstrates our commitment to protecting national interests,” a government official stated.
Mali, one of Africa’s largest gold producers, has ramped up efforts to extract a greater share of income from foreign mining operators. President Col. Assimi Goïta’s government introduced a new mining code last year, increasing the maximum state and local ownership stake from 20% to 35%.
“We are determined to ensure that Mali benefits more equitably from its natural resources,” the government official added.
The settlement underscores Mali’s strategic pivot toward renegotiating foreign partnerships, a hallmark of the junta’s rule. While Resolute’s payment marks a significant win for the government, the episode raises concerns about the risks faced by foreign investors in Mali’s evolving regulatory landscape.
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