The Malian government has secured a 20% stake in Société des Mines de Komana, the subsidiary of UK-based mining company Hummingbird Resources that operates the Yanfolila Gold Mine.
This increase, up from the government’s standard 10% entitlement, aligns with the country’s 2023 Mining Code, which grants Mali the option to acquire an additional 20% stake in new mining ventures.
Hummingbird has finalized an agreement with Mali to apply the updated Mining Code to the Yanfolila project. As part of this agreement, Mali will renew exploration permits for Hummingbird, including those for the Komana exploration area.
The mining company will also make a $16.4 million settlement payment to the government by June 30, 2025. To support this payment, Hummingbird secured a $5 million loan from investment firm CIG SA. Additionally, the company has committed to developing and implementing a production maximization plan for the Yanfolila project.
“This agreement represents a significant milestone in our relationship with the Government of Mali and provides a stable framework for our continued operation and development of the Yanfolila Gold Mine,” stated Geoff Eyre, Interim CEO of Hummingbird.