Burkina Faso has nationalized two contested gold mines, Wahgnion and Boungou, following a legal settlement between Endeavour Mining Plc and Lilium Mining. The dispute began when Endeavour alleged that Lilium had missed over $100 million in payments. Lilium in turn accused Endeavour of misrepresenting the mines’ financial status. Under the settlement, Lilium will transfer ownership of the mines to the Burkina Faso government. In return, the government will pay Endeavour $60 million and a 3% royalty on up to 400,000 ounces of gold produced at the Wahgnion mine. The agreement also ends ongoing arbitration between the companies. The mine acquisition reflects a broader trend in Africa, particularly among military regimes, where governments are reasserting control over valuable natural resources.
SOURCE: BUSINESS INSIDER
