Resolute are ok for now, but they will have to announce to their shareholders at some stage over the next 2 years that the Mali government have dictated that all of Resolute's gold must be refined at the new Bamako gold refinery being built for the Junta by Putin's Russia.
Let's see how Resolute's major shareholders adjust to that at the time.
It may just become a small glitch, or there may be other repercussions, especially if there are disagreements on gold price, and on the reliability (or delays) of payments made to the company from the new refinery.
And don't forget who else is involved, the Russian's are building the refinery.
The Mali minister of mines said that owning their own gold refinery will stop foreign gold companies avoiding tax, so there is already a hint of what is coming via a statement like that.
Good luck to anyone who is digging up gold in Mali after the new Bamako/Russian refinery is built.
The Russians will take gold that they refine in Bamako at their JV plant as payment for Wagner services.
Does anyone trust the Russians in this situation?
Personally, I wouldn't want to be in Resolute when this happens.
Gw
LLL Price at posting:
50.5¢ Sentiment: None Disclosure: Held
(20min delay)