Mali has passed a new mining code allowing the state to take up to 30 percent stakes in new mineral projects and collect more revenues from the vital industry.

Junta leader Assimi Goita signed the code into law on Monday (Aug. 28), his office announced on social media Tuesday (Aug. 29).

Mali is one of Africa's leading gold producers.

It is also boasts manganese and lithium -- two minerals key to the global energy transition -- though these have not been extensively explored.

Mali produced 72.2 tonnes of gold in 2022, including six tonnes by artisanal gold panners, then-mines minister, Lamine Seydou Traore, said in March.

Gold accounts for 25 percent of the national budget, 75 percent of export earnings and 10 percent of GDP, he added.

Mali's mining sector is dominated by foreign companies, including the Canadian firms Barrick Gold and B2Gold, Australia's Resolute Mining and the British Hummingbird Resources.

They have continued to operate despite political instability and an expanding jihadist insurgency.

Mali's junta, which seized power in 2020, has made sovereignty a key priority.

Boosting the national budget

The mining code reform could boost the national budget by 500 billion CFA francs ($820 million), economy minister Alousseni Sanou said this month.

The new mines minister, Amadou Keita, said the state hoped the mining industry would eventually contribute to between 15 and 20 percent of GDP.