AngloGold Ashanti and Barrick Gold have agreed to sell their effective 80 per cent stake in the Morila Gold Mine in Mali to Mali Lithium
Mali Lithium will buy the Jersey-based Morila Limited, which is equally owned by AngloGold and Barrick. Morila Limited owns 80 per cent of Société des Mines de Morila SA (Morila SA), a Malian registered company with a 20 per cent interest in the state of Mali, and in turn, owns the Morila Gold Mine.
Morila Gold Mine stopped mining operations in 2019, and currently only processes ore stockpiles. In 2019, it produced 27,000 oz Gold. Mali Lithium, based in Perth, Western Australia, aims to increase sustainable production as quickly as possible after acquisition at Morila Gold Mine.
Under the new ownership structure, the mine has the potential to use existing infrastructure to access additional resources and extend mine life using various planning and assessment criteria, benefiting Morila’s stakeholders in the country.
The consideration payable for the purchase is estimated at between US$22mn and US$27mn, with the final amount determined with reference to the closing balance of tax credits in Morila SA. The consideration received will be allocated against interests held in Morila Limited by AngloGold Ashanti and Barrick Gold, as well as intercompany loans held against Morila SA by Barrick Gold Group.
Barrick Gold, the operator of Morila Gold Mine, has agreed to work with Mali Lithium on a transition plan to ensure continuity of major mine management personnel and operations.
