Kodal Minerals said Monday its Bougouni lithium mine in southern Mali remains operational even as Islamist insurgents intensify a nationwide fuel blockade that has paralyzed transport, closed schools, and choked diesel deliveries critical to mining logistics. The al-Qaeda-linked Jama’at Nusrat al-Islam wal-Muslimin (JNIM) has expanded attacks on petroleum tankers entering from Côte d’Ivoire and Senegal, aiming to isolate the capital Bamako, according to Reuters. Kodal’s site, 180 km south of the city, continues trucking spodumene concentrate to the Ivorian port of San Pedro under tightened security, as first reported by The Northern Miner.
The blockade coincides with a broad restructuring of Mali’s extractive sector. In late October, the military government cancelled more than 90 foreign-held exploration contracts, citing violations of the revised 2023 mining code, Reuters reported.
The junta has tightened fiscal terms, lifted state-equity thresholds and moved to increase domestic refining requirements. Barrick Gold suspended production earlier this year after a royalty dispute, while U.S.-based Flagship Gold Corp. signed a new partnership with state miner SOREM to restart the Morila mine, according to Business Insider Africa.
Fuel scarcity has now become a national emergency. A France 24 dispatch confirmed that the U.S. Embassy has evacuated non-essential personnel as jihadist groups strike convoys on major import roads. The BBC and regional outlets report petrol lines stretching for blocks in Bamako and rationing of diesel to government and industrial users. The education ministry has shut schools until November 9 due to transport paralysis.
For mining operations, the logistical strain is acute. Bougouni depends entirely on truck convoys fueled from Bamako depots; power generation, drilling compressors and haulage fleets all run on diesel. Kodal has secured security escorts and contingency storage on-site, but fuel allocations are reportedly falling below half of normal levels. Prolonged disruption could force diversion of concentrate via secondary roads through Sikasso, extending the trip to San Pedro by nearly 40% and raising transport costs per tonne exported.
By Charles Kennedy for Oilprice.com
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