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The chief executive of Anglo-Australian gold miner Resolute Mining, who was temporarily detained in Mali last year, has resigned, the company said on Monday.
Terry Holohan and two other Resolute employees were detained in Bamako, Mali’s capital, late last year following talks with the country’s military government about the terms of their operations there.
Resolute agreed to pay $160mn to settle the dispute, with Holohan taking a temporary leave of absence from his role at the company in December.
On Monday, Resolute said Holohan had resigned as chief executive and managing director “with immediate effect”.
Interim chief Chris Eger, former chief financial officer, would take on the role, the company said.
Shares in Resolute plummeted in November when the detentions were announced and have yet to recover.
The Malian government had demanded the payment of back taxes and the renegotiation of the terms of Resolute’s Syama gold mine operation, its biggest asset.
Mali, Burkina Faso and Niger, part of Africa’s so-called “coup belt” ruled by military regimes are taking a firmer stance against international mining companies in a campaign described as “terrifying” by industry insiders. Mali has revised its mining law to increase local participation in mining projects to 35 per cent, up from 20 per cent, and is demanding a greater share of revenue from mining groups.
Canadian miner Barrick Gold is currently embroiled in a stand-off with Malian authorities and last month suspended operations in the west African country after gold was seized from its Loulo-Gounkoto mining complex.
Eger said last week that the episode in Mali was “the most challenging [time] the company has ever faced”.
The settlement agreement was part of “paving a path forward”, he said. Resolute had tried “very hard” to continue to engage with the government since then but officials were “consumed with discussions with other mining companies, so we have not really engaged with the government as would like”, he added.
On Monday, Resolute’s non-executive chair, Andrew Wray, said Holohan had “played an important role in the team that has improved operational performance across our business, particularly at Syama which is now positioned to deliver on its significant potential”.
The company said it was discussing the terms of a settlement with Holohan.
Eger, who joined Resolute in 2023, previously held roles at companies including miner Chaarat Gold, trading house Trafigura and Bank of America.
Resolute’s shares were down 5 per cent in early morning trading in London.
Additional reporting by Aanu Adeoye in Lagos
