Mali Secures 35% Stake in Bougouni Lithium Project with New Mining Code

The Malian government has marked a significant milestone in its mining sector by formally applying the country’s new mining code to the Bougouni lithium project, securing a 35% stake in the venture.

In a statement released on November 1, British company Kodal Minerals, co-owner of Bougouni, announced that the government’s increased role in this high-potential sector was now formalized. Bernard Aylward, CEO of Kodal Minerals, commented, “The Memorandum of Understanding (MoU) with the Malian State for the transfer of the Bougouni mining licence is the final legal step required as we rapidly advance the construction of the project, with production on track for the first quarter of 2025.”

Under the terms of the agreement, Kodal Minerals and its Malian subsidiary, in partnership with China’s Hainan Mining, have secured a 10-year mining license for Bougouni, with the option for unlimited renewals.

This agreement follows a similar arrangement made earlier in 2024 for the Goulamina lithium project, which, once operational, is expected to become Mali’s largest lithium mine and a major contributor to the country’s economy.

The revised mining code, enacted in 2023, mandates that the Malian government holds up to a 30% stake in mining projects, including a 10% free share. Additionally, local investors are permitted to acquire a 5% stake, giving both the Malian state and local investors a combined 35% interest in new mining ventures.

Mali’s transitional government, led by President Assimi Goïta, has been actively seeking to maximize the value of its mineral resources. In a related move, the government also announced the full takeover of the Yatela gold mine from foreign operators AngloGold and IAMGOLD.

The Yatela gold mine, which began operations in 2001, was previously 80% owned by Sadiola Exploration Company Limited—a joint venture in which AngloGold Ashanti and IAMGOLD each held a 40% stake, while the Government of Mali owned the remaining 20%.