On Thursday, Mali’s transitional government signed into law a new State-owned mining company, which is part of the government’s bid to increase revenues from the mining industry, a major part of the West African country’s economy.

The officials said that the company, Société de Recherche et d’Exploitation Minière du Mali (Sorem SA), will be fully funded by the State and will aim to explore and develop mines. 

Although details of how much funding the State was giving Sorem was not disclosed, nor which mine projects the company was likely to focus on.

Mines Ministry Secretary-General, Soussourou Dembele said: “The Malian State is going to enter the mining sector, there is space for everyone”.

According to the law, the Malian State holds stakes of between 10% and 20% in subsidiaries owned by multinational mining companies like Barrick Gold, B3Gold, Resolute Mining, Endeavour Mining, and Hummingbird resources.

However, President of the Legal Commission of Mali’s transitional government, Souleymane Gueye said that: “For the mines that will be developed by Sorem, the State will get 100% of the benefits”.