Not all that is gold glitters.

The sale of Canadian listed entity Allied Gold to China's Ziljian is pending Canadian regulatory approval and has poignant implications to Trump era trade tariff politics.

Here we have a morally poignancy. A Hollywood style backstory of foreign greed that began with a family tragedy and which has a documented legacy of poverty in Mali communities.

Here and now. Canadian listed entity Allied Gold is seeking Canadian regulatory approval to sell out for USD4B (CA5.5B) in cash to the partly State Owned Chinese entity Zijin Mining Group Co. Ltd (Ultimate Beneficial Owner or UBO). The acquisition gives China access to asset operations in Mali and Côte d’Ivoire and the Kurmuk project in Ethiopia. Source: Mining(.)com

As you scan this post and rush through the narrative, I encourage scrolling down to the HOLLYWOOD BACK STORY.

What this means.

Allied Gold’s assets are projected to produce up to 800,000 oz/year by 2029.

Zijin’s acquisition adds 533 tonnes of gold resources to its portfolio. Good for China, bad for USA?

The move is likely part of the long term strategy of China to slowly but surely gather gold and broker regional security. An interesting event in the context of Trump threats of 100% Tariffs if Canada moves forward with trade deals with China.

Will Canada approve?

If the deal goes forward, 'Canada’s Gold' (Mali's Gold) will go to

a partly Chinese State Owned Enterprise in China.

FOR RESEARCHERS here is the UBO.

• Zijin Mining Group Co. Ltd. / 紫金矿业集团股份有限公司

• LEI: 529900ABI5CBFXD01Q05

• Registered Address: No. 1 Zijin Road, Longyan City, Fujian Province, China.

• Registration Authority: China’s State Administration for Market Regulation (formerly SAIC).

• Corporate Type: Public, partly state owned enterprise

But that’s not what is most interesting.

How much have the people of Mali

received from their Gold?

The people of Mail have long struggled to capture a fair share of Gold revenue.

Key Data Points

• Gold accounted for 79% of Mali’s exports and 23% of government revenue (2021).

• State revenue from mining companies rose to 835.1 billion CFA (US$1.4B) in 2024,

up from 547.6 billion CFA in 2023.

Here’s the kicker:

• Audits recovered US$1.2B in unpaid mining revenues

as part of Mali’s regulatory overhaul.

What this means for “the people”

• Historically, very little of Mali’s gold wealth reached citizens directly.

• Recent reforms (equity stakes, audits, refinery construction)

are an attempt to reverse decades of leakage.

The coming change:

Mali’s new mining code allows the state and communities to hold up to 35% equity in new projects.

How this promise relates to Ziljin Mining remains to be seen. Allied Gold has just had leases renewed and approval for new projects. The acquisition is likely to benefit the share value of Hong Kong based subsidiary, Zijian Gold.

Beneficiaries may change, but Mali communities have traditionally remained poor while foreign entities have profited.

But that also is not what is most interesting.

THE HOLLYWOOD BACK STORY

Let’s rephrase this a story worthy of Hollywood from the origins of Gold Mining in Mali.

Sadiola Gold Mine in Mali was discovered in 1981 from the fieldwork of Canadian geologist James C. Snell on behalf of IAMGOLD founder Mark Nathanson.

While Sadiola is named after a person and represents the naming and of the spirit of a connected and vibrant community, what happened there in Sadolia became one of the most disturbing origin stories and tragedies in modern African mining.

“Nathanson took credit for the rich discovery, leaving Snell to fend off an assassination attempt on the streets of London England days after giving his geological report to Nathanson and financiers without payment.” Source: Wikipedia.

“After years of seeking justice, Snell committed suicide in east Vancouver Canada.

Nathanson became a philanthropist giving a large sum of money to York University in Toronto Canada.” Source: Wikipedia.

After the suicide of his father, James Westgate Snell authored and then relesed the 2017 novel “Gold Bloody Gold: A True Story of Lost Goldmines, Greed and Misadventure.” Available on Amazon. Was it always this way? No. Mali sustained gold mining and maintained soverign wealth for hundreds of years.

Musa depicted holding a gold coin in the 1375 Catalan Atlas

The next source is CC CARTO

"Gold mining in Mali has a rich and complex history, deeply intertwined with the region's historical and economic evolution. Mali, located in West Africa, has been known for its gold deposits for centuries, with evidence of gold mining activities dating back to the medieval period."

Early History and Pioneers

"The earliest gold mining in Mali dates back to ancient times, with significant evidence from the Mali Empire period (circa 1235-1600 AD). The empire was renowned for its wealth, largely attributed to its vast gold resources. Early gold mining was largely carried out by local miners using traditional methods. One of the most notable early figures in gold mining history was Mansa Musa, the emperor of Mali in the 14th century, whose extravagant pilgrimage to Mecca in 1324 showcased Mali's immense wealth, partly derived from gold. The Mali Empire's wealth and influence in gold were so significant that the region became a major trading hub for gold in the medieval Islamic world."

Control and Major Mines

"In the 19th and early 20th centuries, European colonizers and mining companies began to take an interest in Mali's gold resources. The French colonial administration, which controlled Mali (then known as French Sudan) during this period, initiated more systematic exploration and mining. Major companies such as the Compagnie des Mines d'Or de Syama and the Compagnie des Mines de Kéniéba took control of many mining operations. The introduction of modern mining techniques began to reshape the industry."