Geopolitical tensions are also influencing African countries to revoke licenses from certain companies, shifting their partnerships towards nations like China and Russia.

As African nations diversify their partnerships, Western operators are facing compliance challenges in adapting to new regulatory environments.

Since 2023, Barrick Gold Corporation has been in conflict with the Mali military government over new mining regulations that increase state and local investor ownership from 20% to 35%.

On December 18, 2024, Barrick Gold Corporation announced it had filed for arbitration with the International Center for the Settlement of Investment Disputes (ICSID) regarding a dispute over the Loulo-Gounkoto mining complex.

Legal disputes in the mining sector often arise from tax and customs audits, financial management issues, and changes in legislation, compounded by factors such as insecurity and environmental concerns.

ICSID registered arbitration cases in six sub-Saharan African countries in 2024, with oil, gas, and mining accounting for 28% of these cases, the highest percentage among all sectors.

Africa's mining sector is currently facing a surge in legal disputes, particularly in the Sahel and Central Africa, driven by increased scrutiny of mining companies.

Beverly Ochieng, a senior analyst with Control Risks, highlights that rising resource nationalism is contributing to more conflicts between governments and mining firms as nations seek to maximize their earnings from natural resources.

Political instability in countries such as Burkina Faso, Mali, and Niger is adversely affecting long-standing mining operations, with some sites being closed due to environmental concerns and tax issues.

In 2024, ICSID concluded 88 proceedings, with 71% settled by the tribunal; notably, Tanzania reached a $27 million settlement with Montero Mining and Exploration Limited over a licensing dispute.

Paul Ogendi, a law professor at the University of Nairobi, emphasizes that strong governance and the rule of law are crucial for effective dispute resolution and conflict prevention in the mining sector.