Jan 5 (Reuters) - Suspected jihadists attacked the

Morila gold mine in Mali at the weekend, burning equipment and

taking seven employees hostage before releasing them, an

official from the mining ministry told ‌Reuters on Monday.

The attack highlights mounting security risks in Mali,

Africa's third-largest gold ​producer, which is battling al

Qaeda-linked jihadists that have ‍targeted economic assets and

foreign investment.

Armed men on ⁠Saturday attacked the ⁠mine, for which

U.S.-based Flagship Gold signed an investment agreement last

year, a ‌spokesperson for Mali's mines ministry ​and another

person familiar with the matter said. They burned equipment and

took seven employees hostage, but ⁠released them all the

following ‍evening, the ​people said.

Both asked not to be named.

Flagship Gold did not immediately respond to a request for

comment.

No ‍mine employees were killed, the ministry spokesman said,

adding that the army has since taken control of the situation

and was conducting a sweep of the area.

New York-based Flagship Gold, which incorporated in June

2024, signed a partnership ​agreement ‍with Mali's

state-owned mining company in October to restart production at

the Morila gold mine.

Located in Mali's southern ​Sikasso region, it holds

estimated reserves of 2.5 million ounces, according to the mines

ministry.

It was taken over by the state after Australia's Firefinch

abandoned operations over declining output and rising

costs. Morila was previously operated by Barrick and

AngloGold Ashanti ( AU ).

Western countries, including Britain, ​France and the United

States, have urged their citizens to leave the landlocked West

African country as concerns have mounted over security.