Resolute Mining shares rise after Mali government payment
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More news: Shares in Resolute Mining gained in early trading after the gold miner confirmed it had made a second payment of $77 million to the Mali government as part of an agreement over the release of its detained executives earlier this month.
Resolute shares were up 5.4% to 43.8 cents by 11am AEDT having plunged around 50% in the last month.
Resolute Mining makes second settlement payment to Mali government
The news: Resolute Mining has made a second settlement payment to the Mali government as part of a protocol agreed to secure the release of its detained executives earlier this month.
The numbers: The gold miner said it has made a second payment of USD50 million ($77 million) out of existing cash reserves, with the balance USD30 million expected to be paid by the end of the year.
Earlier this month, the company agreed to pay a total USD160 million to the Mali government, with an initial payment of USD80 million.
The context: Resolute said the protocol sets the framework for further detailed discussions with the government regarding the long term future of the company’s operations in Mali, including the migration of its assets to the 2023 Mining Code along with the safety of all its employees.
Resolute, which is also listed on the London Stock Exchange, holds an 80% stake in the Syama gold mine in Mali, with the African country’s government owning the balance 20%.
Three of its employees, including chief executive Terence Holohan, were released last week after being detained by Maligovernment officials earlier this month.
The source: ASX announcement
