---
title: "Resolute Mining shares plunge after CEO detained in Mali"
description: "Shares in Australia’s Resolute Mining plunged more than 30% on Monday after the gold producer confirmed CEO Terry Holohan and two other employees were unexpectedly detained in Mali late last week."
type: "NewsArticle"
publisher: "Daily Maverick"
site: "https://www.dailymaverick.co.za"
section: "Business Maverick"
author: "Bloomberg"
author_url: "https://www.dailymaverick.co.za/author/bloomberg/"
canonical_url: "https://www.dailymaverick.co.za/article/2024-11-11-resolute-mining-shares-plunge-after-ceo-detained-in-mali/"
published: "2024-11-11T05:28:12"
updated: "2024-11-11T05:28:13"
lang: "en-ZA"
word_count: 309
---

# Resolute Mining shares plunge after CEO detained in Mali

> Shares in Australia’s Resolute Mining plunged more than 30% on Monday after the gold producer confirmed CEO Terry Holohan and two other employees were unexpectedly detained in Mali late last week.

By Bloomberg · Published 11 November 2024, 07:28 SAST · Updated 11 November 2024, 07:28 SAST

## Key points
- As Mali's military rulers sharpen their pencils for a mining contract makeover, Resolute's shares take a nosedive, proving that in the gold game, the only thing shinier than the metal is the government's appetite for a bigger slice of the pie.
- Resolute is in negotiations with Mali's military government amid increased pressure for higher mining revenues as the country seeks to offset sanctions.
- The company's shares plummeted 28% in Sydney, valuing it at over A$1 billion ($660 million).
- Mali's junta is intensifying efforts to renegotiate mining contracts, recently detaining employees from Barrick Gold amid disputes.
- Resolute maintains that it is prioritizing employee safety while working towards a settlement to secure the future of its Syama mine, which produces 2.4 million tons of ore annually.

## Content

Resolute, which operates the Syama mine in the country, has been in talks with mining and tax authorities in the capital Bamako, as the country’s military-controlled leadership pushes for increased revenue from its mineral resources. Mali is Africa’s third-biggest gold producer and is looking to the metal to offset [sanctions](https://www.bloomberg.com/news/articles/2022-01-19/landlocked-mali-turns-to-neighbors-to-sidestep-trade-sanctions) that threaten key sources of government revenue.

Resolute’s shares were down around 28% near noon in Sydney, valuing the miner at just over A$1-billion ($660-million).

Mali’s junta has in recent months [ramped up efforts](https://www.bloomberg.com/news/articles/2024-10-25/mali-threatens-to-let-barrick-mine-permit-lapse-over-dispute) to renegotiate existing mining contracts with foreign companies including B2Gold Corp., Allied Gold Corp. and AngloGold Ashanti Plc. Last month it briefly jailed four employees of Barrick Gold Corp. and threatened to take back a concession to a mine.

Read More: [Mali Threatens to Let Barrick Mine Permit Lapse Over Dispute](https://www.bloomberg.com/news/articles/2024-10-25/mali-threatens-to-let-barrick-mine-permit-lapse-over-dispute)

Resolute’s employees are being treated well and the company is in “regular communication” with all three, the Perth-based miner said on Monday. Mali’s mining ministry has not commented on the arrest. The Australian government did not immediately respond to a request for comment.

Resolute has ramped up output at its Syama mine in the nation’s southeast and a second phase of the mine is expected to be in operation in 2025. The government holds a 20% stake in the project, which produces around 2.4 million tons of ore a year, according to Resolute’s [website](https://www.rml.com.au/assets/syama-mali/).

Subscribe to[The Bloomberg Australia Podcast](https://www.bloomberg.com/podcasts/series/bloomberg-australia) on[Apple](https://podcasts.apple.com/us/podcast/the-bloomberg-australia-podcast/id1768779023),[Spotify](https://open.spotify.com/show/3JNirDOJ5JhNSSgccTeSwp), on[YouTube](https://www.youtube.com/playlist?list=PLe4PRejZgr0MSNZz7MxtmMlSmpoO6u61p), or wherever you listen.

“Resolute has followed all official processes with respect to its affairs and has provided the authorities with detailed responses to all the claims made,” the company said. “While Resolute is working toward a settlement with the Government of Mali to help secure the long-term future of the Syama Gold Mine, the utmost priority remains the safety and wellbeing of its employees.”