World Bank Arbitration Body Denies Barrick’s Urgent Request in Mali Mining Dispute

The International Centre for Settlement of Investment Disputes (ICSID), the World Bank’s arbitration body, has denied Barrick Mining’s urgent request to accelerate proceedings in its arbitration case against the government of Mali. This dispute originates from Mali’s 2023 mining code, which imposes higher taxes and grants the state a greater equity share in mining ventures. The legislation directly affects Barrick’s flagship Loulo-Gounkoto gold complex, one of Mali’s most productive assets, intensifying the standoff between the Canadian mining giant and the Malian authorities.

Barrick initiated arbitration proceedings with ICSID in December 2024, following rising tensions over the government’s intervention in its operations. The company sought urgent measures from the tribunal after four of its employees were detained and a state-appointed administrator was installed at the mine, developments that Barrick claims threaten its operational control and investor rights under international investment treaties. Despite the urgency, ICSID declined the company’s request for expedited consideration, indicating that the case will proceed under standard timelines. While the tribunal confirmed issuing an order on “provisional measures,” it withheld details, reflecting the confidential nature of such proceedings.

Mali’s 2023 mining code represents a broader attempt by the government to reclaim greater economic sovereignty over its natural resources. By increasing taxes and expanding state ownership stakes, the law aims to maximize national revenue from gold mining, a critical pillar of Mali’s economy. However, these policy shifts have unsettled foreign investors, who view them as a departure from the stability and contractual assurances previously underpinning Mali’s mining sector. Compounding matters, the Loulo-Gounkoto complex’s licence is due to expire in 2026, a deadline that adds urgency to both sides’ maneuvering as they seek to secure their interests in one of Africa’s most lucrative gold belts.

The ICSID’s refusal to fast-track Barrick’s appeal marks a setback for the company, potentially prolonging operational uncertainty and deepening investor concerns. For Mali, the case underscores the delicate balance between asserting resource nationalism and maintaining an attractive environment for foreign investment. The outcome of this arbitration could have far-reaching consequences, shaping the trajectory of mining governance across West Africa, where several governments are revisiting fiscal terms with international mining companies to capture greater local benefits from resource extraction.

Mini-Glossary

• ICSID (International Centre for Settlement of Investment Disputes): A World Bank institution that arbitrates international investment disputes between states and foreign investors.
• Arbitration: A legal process used to resolve disputes outside of court, often in international business or investment contexts.
• Provisional measures: Temporary legal orders issued by a tribunal to preserve rights or prevent harm while a case is ongoing.
• Resource nationalism: A policy trend where governments seek greater control or profit from their natural resources, often through taxation or ownership reforms.