Gold (CM:XAUUSD) prices have been on a tear in recent months amid rising global uncertainties. However, the latest developments in Mali could possibly take some sheen off Barrick Gold’s (NYSE:GOLD) (TSE:ABX) share price this week. The mining company operates the Loulo-Gounkoto complex, one of the largest gold mines globally, in Mali. Unfortunately, the currently leadership in Mali is looking to tighten its grip over the country’s mining sector, which could be problematic for Barrick Gold’s operations in the country.
New Threat on the Horizon
Since taking power in 2021, Mali’s regime has undertaken an industry audit and expanded state control over miners. According to the Northern Miner, the regime may be looking to take over Loulo-Gounkoto. The mine holds proven and probable gold reserves totaling nearly 6.7 million ounces. The complex produced around 683,000 ounces of gold last year.
Notably, Barrick has been operating Loulo-Gounkoto for nearly 25 years. Last month, the company noted that Loulo-Gounkoto was on track to meet its production guidance for the quarter.
Barrick Gold’s Upcoming Q1 Results
Separately, Barrick is slated to report its first-quarter numbers on May 1. Analysts expect the company to post an EPS of $0.19 on revenue of $2.89 billion for the quarter. In the comparable year-ago period, Barrick’s EPS of $0.14 had outperformed estimates by $0.03.
Is GOLD a Buy, Sell, or a Hold?
Barrick’s share price has ticked higher by nearly 9.6% over the past three months. Overall, the Street has a Strong Buy consensus rating on the stock, alongside an average GOLD price target of $20.80.
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