Kremlin secures over $2.5 billion in gold trades through Mali connections since Ukraine invasion

The Kremlin has acquired over $2.5 billion through gold trading in Africa since Russia’s invasion of Ukraine in February 2022. Mali has emerged as a significant conduit for these funds, where the Russian Wagner Group operates actively. According to a recent report, four Western mining companies are operating in Mali, including Barrick Gold Corporation, the world’s second-largest gold producer from Canada, which partners with Finnish company Metso Oyj. Barrick has entered a significant equipment agreement with Metso for a copper mine in Zambia.

In 2021, Western companies reportedly paid around $10 million per month in taxes to Mali’s junta, which came to power following a military coup. Barrick Gold is noted as the junta’s largest financier, providing approximately $206 million in the first half of 2023. The company has strongly denied the allegations outlined in the report concerning its connections to financing Putin’s military operations.

Mali’s junta has established close ties with Wagner, which first entered Mali in 2021. After a coup in August 2022, the last French troops left the country. Since then, the junta has maintained control over the nation with the support of Wagner forces. Meanwhile, relations between Mali and North Korea have also strengthened.

Metso has faced scrutiny regarding its involvement in this situation. While the company states it respects international human rights, concerns remain about its operations in authoritarian regimes like Uzbekistan, where it is involved in another significant collaboration.

Experts emphasize that mining in conflict zones perpetuates violence and human rights abuses. The responsibility extends to companies like Metso and, by extension, to the Finnish government as well. Authorities and analysts highlight the importance of maintaining ethical practices and transparency in their dealings with such regimes.