By Maximilian Clarke
FTSE 100 miner, Randgold Resources, who recently discovered a 5.5 million ounce Gold deposit in Mali have seen share prices (LSE: RRS) drop 15% on news of a partial coup mounted by mutinous soldiers.
Despite tensions, the company remain optimistic about their situation in the West African Republic. Over the past two years Rangold have invested more than £1bn into Mali’s weak economy, creating some 6,000 jobs. This, coupled with the country’s traditional respect for the rule of law as Chief executive Mark Bristow observes, will enable the company to continue to function:
“Malians respect laws and I don’t believe this will come with a high-handed change in political direction. We don’t expect any subsequent governments to disregard proper and due process.” Bristow said.
Bristow is currently at the company’s Loulo complex in the west of Mali some 350 kilometres from the capital Bamako, said the current state of affairs in the country was calm although exact details were unclear. Randgold was in touch with its sources within the country and would make a statement once it had obtained more clarity on the situation. In the meantime, he said, operations at Loulo and Gounkoto as well as at the company’s Morila joint venture were running normally.
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