Illegal Gold Mine Collapse in Mali Claims Dozens of Lives

A deadly collapse at an illegal gold mine in Mali’s Kayes region has killed at least 40 people. This incident reflects ongoing safety issues in the country’s mining sector, exacerbated by unregulated operations driven by local poverty. Additionally, a dispute between the Malian government and Barrick Gold highlights tensions affecting foreign investments in mining.

A tragic collapse at an illegal gold mine in Mali’s Kayes region has resulted in the deaths of at least 40 individuals. The incident occurred near Kéniéba and Dabia, areas notorious for informal mining while lacking proper regulation. Victims were scavenging in unregulated open-pit mines when the ground gave way. Rescue operations have recovered many bodies, with reports suggesting the death toll may rise to 48.

The accident underscores Mali’s challenges in managing its gold mining sector, which is characterized by inadequate safety practices and economic constraints. Recently, a similar mining accident claimed the lives of at least 10 people when a tunnel flooded. As one of Africa’s biggest gold producers, the country is grappling with the dire consequences of unregulated mining triggered by local poverty.

Mali’s military-led government is also in conflict with Barrick Gold, a major foreign investor in the mining sector. Tensions escalated when the government temporarily suspended operations at Barrick’s Loulo-Gounkoto mine, leading to the seizure of significant gold shipments valued at approximately $245 million. Barrick’s leadership has expressed concerns over the operational impact caused by this governmental dispute, highlighting their contributions of substantial taxes.

The collapse site, once operated by a Chinese company, raises questions about foreign investment impacts in Mali. While Chinese companies have bolstered local infrastructure, there are growing concerns regarding environmental practices and labor conditions associated with these operations. As Mali’s market remains unstable, the dynamics surrounding foreign involvement and local mining practices continue to evolve.

The recent illegal mine collapse in Mali highlights significant safety and regulatory challenges facing the country’s mining industry. The tragedy reflects the dire economic circumstances prompting informal mining, which leads to hazardous conditions. Furthermore, the ongoing conflict between the Malian government and Barrick Gold exemplifies the underlying tensions in the formal mining sector, complicating the overall landscape for foreign investors in Mali. Overall, the future of Mali’s mining industry rests on reconciling informal practices with necessary regulations to ensure safety and economic viability.

Original Source: investingnews.com