Gold production in Mali is being called into question following a military coup two weeks ago. African media are reporting that many foreigners are fleeing the country.
In recent years Mali has become an important gold and cotton producer. However, the coup could undermine these achievements. In the past two weeks the stocks of gold producers operating in the country have dropped sharply – including those of Jersey-based Randgold Resources and the South African mining giant AngloGold Ashanti. Randgold’s Loulo mine in Mali is one of the most productive gold mines in the region. Randgold CEO Mark Bristow has stated though that the military coup poses no risk to his company's production activities.
Similarly, Alan Fine – Public Affairs Manager at AngloGold Ashanti – stated that his company's production would be unharmed, since it was hundreds of miles from Mali's capital. But these statements have not calmed stock market investors, who have kept selling AngloGold shares. Now junior explorers and gold producers in Mali have halted their activities owing to energy supply problems.
Daily neccesities are becoming increasingly scarce, and banking transactions have been affected. According to African media, petrol reserves in the country are dwindling. Furthermore, as specialised foreign personnel are fleeing the country, economic activity is becoming harder to sustain.
According to Bristow, the 1991 mining codex had always been respected by the country's frequently changing political forces. Hopefully the new military regime will stick to this tradition. Once again, this highlights the risks inherent to gold mining operations in unstable third world nations.
- English (UK)
- English (India)
- English (Canada)
- English (Australia)
- English (South Africa)
- English (Philippines)
- English (Nigeria)
- Deutsch
- Español (España)
- Español (México)
- Français
- Italiano
- Nederlands
- Português (Portugal)
- Polski
- Português (Brasil)
- Русский
- Türkçe
- العربية
- Ελληνικά
- Svenska
- Suomi
- עברית
- 日本語
- 한국어
- 简体中文
- 繁體中文
- Bahasa Indonesia
- Bahasa Melayu
- ไทย
- Tiếng Việt
- हिंदी
Military Coup In Mali Raises Concerns For Gold Producers: April 5, 2012
Published 04/05/2012, 12:59 AM
Updated 05/14/2017, 06:45 AM
Military Coup In Mali Raises Concerns For Gold Producers: April 5, 2012
Latest comments
Loading next article…
Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.