Barrick Gold (TSX: ABX) (NYSE: GOLD) said on Thursday it would not approve Société Minière de Kilo-Moto’s (Sokimo) intended sale of its 10% interest in Kibali gold mine in the Democratic Republic of Congo.
Sokimo can’t sell nor transfer its shares in the mine without the approval of both Barrick and its JV partner AngloGold.
The world’s second largest gold miner’s comments come as Canadian junior AJN Resources said earlier this month it had entered into a memorandum of understanding with Sokimo to acquire several of its rights in DRC. Those included the state miner’s shareholding in Kibali Goldmines – the owner of Kibali mine.
Barrick noted that Sokimo was contractually bound to the company and its joint venture partner, AngloGold Ashanti. This means that it can’t sell nor transfer its shares in Kibali Goldmines without their approval.
“No such approval has been sought, nor will it be granted,” The Toronto-based miner said in the statement.
Last year, Kibali beat production guidance of 750,000 ounces of gold by a substantial margin, delivering 814,027 ounces in what Barrick called “another record year”.
The Toronto-based miner, which has a 45% stake in Kibali, is the operator of the JV with AngloGold and gained ownership of the mine after acquiring Randgold Resources in January last year.