Mali's junta creates a new ministerial-level post to oversee the mining sector

Mali Establishes New Ministerial Role for Mining Sector Oversight

The Malian government has introduced a new ministerial-level position to enhance oversight of the mining sector. This move aims to increase governmental control over the nation's vital gold industry. The appointee to this position is Hilaire Bébien Diarra, a former executive from Barrick Mining.

The newly established ministry will have the authority to supervise the implementation of mining policy, ensure compliance with the mining code, and review reports from license holders. These duties were previously managed by the Ministry of Mines.

According to a presidential decree dated Fri, Jan 19, 2024, Hilaire Bébien Diarra has been appointed to lead this new ministry. Diarra, an expert in earth sciences, joined the government while still involved in negotiations for Barrick's Loulo-Gounkoto complex.

The new structure positions the presidency at the forefront of supervising the mining sector. Major operating permits and contract negotiations, including ongoing disputes with Barrick, are now handled directly by the presidential office. The Finance Ministry oversees tax-related matters, while the Mines Ministry focuses on regulatory aspects.

Mali's government has implemented a new mining code in 2023, which has reportedly enabled the recovery of 761 billion CFA francs (approximately $1.2 billion) in arrears. However, this stringent code has caused unease among mining operators and contributed to a prolonged standoff with Barrick, resulting in a projected 23% decrease in industrial gold output by 2025, based on provisional data from the Mines Ministry.

Based on reporting by Africanews.