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Sources in the industry say that gold miners will continue to work in Mali despite recent attacks.

Industry executives and analysts said that international mining companies will continue to invest in Mali despite the attacks of 'Saturday, which killed the Defence Minister,' raising concerns over supply routes. Mali, one of Africa's largest gold producers, has seen its prices reach record levels on the international market. The country also has large deposits of lithium, uranium, and copper. It has been fighting insurgents for decades, and the unrest that has resulted has allowed the military stage coups.

After rival insurgents demonstrated unprecedented coordination on Saturday, an alliance of al Qaeda linked militants and separatists rebels killed Mali’s defence minister. They also attacked the capital’s?airport, and forced Russian soldiers to leave a deserted town more than a thousand kilometres away.

The government of Mali says the situation is under control

Mali's Government has stated that operations against the rebels continue, but the situation is still under control.

The Mines Ministry did not respond to comments made immediately. The mines ministry did not immediately respond to requests for comment.

Vincent Rouget of Control Risks said that "security and terrorist risks will?predominate" on supply routes.

Daniel van Dalen is a senior analyst at the risk consultancy Signal Risk. He said that there was a greater likelihood of occurrence and that unrest in mining operations could be triggered by this.

He said that there was a "credible risk" of such reactions spreading to foreign interests and assets, especially those linked to the West. Mali has already become less attractive for international miners, as the military-led Government, which is dependent on mining revenue, after gaining power in 2021, altered the mining code.

Reforms increased taxes, increased the amount held by 'the state and decreased that held by foreign companies. Barrick gained operational control over its flagship Loulo-Gounkoto mine earlier this year, after a nearly two-year standoff.

BALANCE OF RISE AND REWARD MOST miners continue to invest despite the strained relationships, mainly because industrial mining is concentrated primarily in the South, where the unrest has been relatively sheltered.

Resolute, a company listed in Australia, said that its Syama mine in southern Mali is fully operational. The violence has not affected the safety of staff or production.

A mining executive in central Mali who operates across the Sahel said that the high gold prices and the good quality ore could offset the risks.

Chinese miners have become more aggressive, and in some cases they are buying assets from other operators who reduced their exposure. Canadian-listed Allied has sold its Malian operations to China's Zijin in the past year.

Sources at Zijin confirmed that they had professional armed guards. A senior official from Ganfeng Lithium, which holds 65% of Mali’s Goulamina project, stated that the mine is located far away from the affected areas, and the company has prepared for all eventualities. Maxwell Akalaare Adombila, Tom Daly and Barbara Lewis contributed to the reporting.

(source: Reuters)