7xm Mining Company Whose C.E.O. Was Detained Agrees to Pay Mali $160 Million
An Australian mining company said it would pay the military government of Mali $160 million after the authorities detained three of its executives for over a week in a dispute about taxes.
Terence Holohan, the chief executive of the company, Resolute Mining, was detained in the West African country’s capital, Bamako, on Nov. 8 with two other employees, after discussions with the mining and tax authorities. At the time, the company said claims the government had made against it were “unsubstantiated.”
But on Monday, Resolute Mining agreed to make the payment to the Malian government.
Beverly Ochieng, an analyst focused on the Sahel region of Africa for the security consulting firm Control Risks, said the government was moving toward nationalizing mining. But in the meantime, she said, it is facing a serious economic crisis as it tries to fight off rebels and terrorist groups, and is looking for ways to get cash.
“They need to fund the government and the intense military operation,” Ms. Ochieng said.
Resolute Mining said in a statement that it had “made an initial settlement payment of approximately U.S. $80 million to the government from existing cash reserves, with future payments of approximately U.S. $80 million to be made in the coming months.”
The company said that it was working with the Malian government toward the release of the detained three employees, and that they were all “safe and well.”
Since a coup overthrew Mali’s government in 2020, the country has become estranged from its Western partners and has drawn closer to Russia. The Russian government has sent weapons, helicopters and mercenaries from the Wagner group to help Mali fight Islamist insurgents and rebels.
We are having trouble retrieving the article content.
Please enable JavaScript in your browser settings.
Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.
Thank you for your patience while we verify access.
Already a subscriber? Log in.
Want all of The Times? Subscribe.7xm
