An Australian mining company, Resolute Mining, says it will pay Mali's military government $160m (£126m) to settle a tax dispute, after the company's British boss and two other staff were unexpectedly detained 10 days ago.

Resolute Mining Ltd. will pay the Mali government about $160 million as it seeks to reolve a tax dispute that’s seens its chief executive officer detained.

Australia's Resolute Mining said on Monday that it would pay $160-million to Mali's government to help resolve a tax dispute after the West African country detained its CEO Terence Holohan and two other employees this month.

ASX-listed gold miner’s chief executive and two other staff remain held by Malian authorities after ransom-style shakedown.

Resolute Mining has inked an agreement to hand over the money to ensure the release of its chief executive and two staff being held by Mali’s military junta.

In a bid to free three of its executives who have been detained in Mali over a tax dispute, Resolute Mining agrees to pay $US160 million ($242 million) to the African country's government.