Resolute Mining CEO Terence Holohan and two other company employees remain detained in Mali, diplomatic sources confirmed on Thursday. The executives were taken into custody by government officials last Sunday while discussing mining and tax matters in the capital, Bamako.
Resolute has not provided further details about the situation, but Bloomberg reported that the Malian military junta is seeking a substantial sum of money from the company to resolve a tax dispute.
The detention has led to a significant drop in Resolute’s share price, prompting the Australian Stock Exchange to halt trading. The company has stated that it will provide updates as appropriate.
The incident highlights the increasing tensions between Mali’s government and international mining companies. The country’s new mining code, implemented in August 2023, has empowered the government to increase its stake in mining operations and demand higher revenue payments.
This move has sparked disputes with major gold mining companies, including Barrick Gold and B2Gold, which have also faced similar issues with Malian authorities.