Ganfeng Lithium to operate the Goulamina lithium mine in Mali
The government of Mali has signed an agreement with China’s Ganfeng Lithium to operate the Goulamina lithium mine and add its share in the project in accordance with a new mining code.
adopted last year, the mining code allows the military-led government to increase its ownership of mining projects and recoup what it says is a major shortfall in production revenue.
Mali’s share in the Goulamina project will increase to 35% from 20%, according to the economy ministry’s statement published on 16 May.
“With this win-win agreement, which defends the vital interests of the Malian people, the State of Mali enters into a new partnership with the Chinese group Ganfeng Lithium Co for the development and operation of the Goulamina lithium project,” the statement said.
A spodumene plant will be set up Ganfeng Lithium which will start production by the end of the year. The deal could bring Mali between 110 billion and 115 billion CFA francs ($191.51 million) per year. Ganfeng Lithium bought Australia’s Leo Lithium’s 40% stake in the Goulamina mine for $342.7 million earlier this month.
Leo Lithium said at the time that the risks associated with operating in Mali and the impact of new mining code meant selling the stake was in the best interests of its shareholders.
