HomeGoldLoulo-Gounkoto a major boost for Malian economy

Loulo-Gounkoto a major boost for Malian economy

Over the years, TSX-listed Barrick Gold’s Loulo-Gounkoto complex has contributed significantly to the Malian economy and has been a key driver of local development.

Now, with a third underground mine on track to start production, Loulo-Gounkoto is set to add even more value to the country and will further empower its people.

READ: Barrick’s performance bodes well for its ten-year business plan

Last week, Barrick Gold president and CEO Mark Bristow announced that Loulo-Gounkoto gold complex’s third underground mine has reached its first mining level and is scheduled to start delivering ore tonnes to the plant during the current quarter. At the same time, a prefeasibility study has started on two more mines on the Loulo permit: An underground operation at Loulo 3 and a large open pit at Yalea South.

These, Bristow said, would add mining sources and improve feed flexibility, providing further support for the complex’s robust 10-year plan. Meanwhile, exploration programmes designed to replace depleted reserves are continuing to deliver good results.

The complex produced 193 014 oz of gold in Q1 and is on track to achieve its full-year guidance of 640 000 to 700 000 oz.


Creating local business opportunities

In addition, Covid-19 testing and care capacities were upgraded during the quarter through the acquisition of new equipment and the complex has been largely unaffected by the third wave of the pandemic.

A key priority for Barrick Gold is investing in the development of the local community. One of its latest initiatives is the Accelerator Programme, which trains smaller suppliers and service providers in all aspects of business to enable them to grow and diversify. In addition, they are mentored by some of Loulo-Gounkoto’s larger, long-established suppliers and contractors. Since the programme was introduced eight months ago, 63% of the participants have diversified their revenue streams and 80% now have five-year growth plans and long-term goals.

“Loulo-Gounkoto remains a pillar of the Malian economy as well as a driver of local economic development. Over the past 24 years, Barrick and its legacy company Randgold Resources have contributed US$7.7 billion to the economy, of which $3 billion went to the state in the form of dividends, taxes and royalties. Our long partnership with the country and its people is a testament to how mutually beneficial a relationship of this kind can be,” Bristow concluded.

Gerard Peter
Gerard Peter is a content creator and media strategist with more than 23 years' experience in new and traditional media.