Australian mining company Resolute Mining has agreed to pay $160 million to the Malian junta to resolve a tax dispute.
This comes after the company’s CEO, Terence Holohan, and two employees were detained in Bamako earlier this month.
The exact nature of the tax dispute remains unclear.
However, the company has confirmed that all claims made by the Malian authorities, including those related to taxes, customs levies, and offshore accounts, have been settled.
Resolute Mining will pay $80 million from its existing cash reserves, with an additional $80 million to be paid in the coming months.
The company has assured the public that its detained employees are safe and well, and that it is working closely with the Malian authorities for their release.
The Syama gold mine, a major operation in Mali’s southwest, is 80% owned by Resolute Mining and 20% by the Malian government.
This incident highlights the increasing scrutiny faced by foreign mining companies operating in Mali.
The military junta, which seized power in 2020, has been exerting pressure on these companies to increase government revenue.