Resolute Mining CEO Terry Holohan, executives detained in Mali

An Australian gold mining company has revealed what occurred in the lead up to the shock detainment of CEO Terry Holohan and his staff by the military-controlled government of Mali.

Terry Holohan, chief executive of the Australian mining company Resolute Mining Ltd. Picture: Supplied

Australia’s Resolute Mining have broken their silence on the concerning detainment of CEO Terry Holohan and two other staffers in Mali.

Non-executive chairman Andrew Wray released a statement about the arrest of the three men which occurred on Friday.

“(Resolute) confirms that the Company’s CEO, Terence Holohan, and two other employees, have been temporarily detained in Mali by Government Officials,” Mr Wray’s statement reads.

“The executives were in Bamako to hold discussions with the mining and tax authorities regarding general activities related to the Company’s business practices in Mali in addition to progressing open claims which have been made against Resolute and which the Company maintains are unsubstantiated.

“Following the conclusion of these meetings on Friday, the three employees were unexpectedly detained.”

Mr Wray said the company would continue to work with the authorities to secure the release of the three employees.

A file photos shows soldiers parading in vehicles near Bamako. Picture: Getty Images.

“Resolute has followed all official processes with respect to its affairs and has provided the

authorities with detailed responses to all the claims made,” Mr Wray said.

“While Resolute is working toward a settlement with the Government of Mali to help secure the long-term future of the Syama Gold Mine, the upmost priority remains the safety and wellbeing of its employees who are receiving support on the ground from the UK and International Embassies and Consulates.

“The Company will provide a further update on the situation as appropriate.”

The incident has sent shockwaves through the investment community.

Popular London Stock Exchange identity Baron Investments posted on X about Mr Holohan’s predicament.

First Barrick and now #RSG Resolute Mining.

A feature on their recent call was how African nations are wanting a bigger piece of the pie giving soaring gold prices.

I had been with Terry recently so this update feels all the more real and concerning. pic.twitter.com/M1IJNbeIda

— Baron Investments (@baroninvestment) November 10, 2024

“First Barrick (Gold) and now Resolute Mining. African nations are wanting a bigger piece of the pie giving soaring gold prices,” Baron Investments tweeted.

“I had been with Terry recently so this update feels all the more real and concerning.”

As alluded to by Baron Investments, it is the second time in just over a month that employees of a foreign mining firm have been detained in Mali, as the ruling military junta seeks greater control over the lucrative mining industry.

The Resolute executives were arrested on Friday at a hotel in the capital, Bamako, and taken to a specialised unit set up by the junta to tackle corruption, and economic or financial crimes, the judiciary source said.

They are being questioned over suspicions of false evidence and misappropriation of public goods, said a Resolute executive on condition of anonymity.

He denied the allegations but said attempts to convince the investigators had failed so far.

Resolute Mining has been contacted for comment.

Resolute holds 80 per cent of a subsidiary that owns the northwestern mine of Syama, with the Malian state controlling the remaining 20 per cent, according to the firm’s website.

Resolute also owns a gold production site in Mako in neighbouring Senegal, and has other exploration operations in Mali, Senegal and Guinea.

Since seizing power, Mali’s leaders have vowed to ensure a more equitable distribution of mining revenues.

Despite being one of the leading gold producers in Africa, the Sahel nation is also one of the poorest countries in the world.

Mali is embroiled in a political, security and economic crisis, and since 2012 has been battling al-Qaeda and Islamic State armed groups, as well as a separatist insurgency in the north.

Gold contributes a quarter of the national budget and three quarters of export earnings.

Foreign companies, which dominate the mining sector, have recently faced tighter control by the junta.

Four employees of Canadian mining company Barrick Gold in Mali were detained for several days in September before being released.

Barrick Gold said it has reached an agreement with the state and paid 50 billion CFA Francs ($81 million) in October.

But the government in late October said Barrick Gold had not honoured its commitments and threatened to pursue the firm.

After the 2021 coup, Bamako broke off relations with former colonial ruler France, which had been helping to fight jihadist insurgents in the north, and turned to Russia for political and military assistance.

Originally published as Resolute Mining CEO Terry Holohan, executives detained in Mali