Barrick further reported a 33% increase in annual dividend on a full-year gold production of 4.53 million ounces at all-in sustaining costs (AISC) of 806 $/oz. Besides, the company’s full-year copper production was 383 million pounds at AISC of 2.82 $/lb.
According to Bristow, “Barrick has a unique ability to grow three-dimensionally: through its large and high-quality exploration portfolio and geological capability; the brownfields extension potential at its existing operations; and new projects destined to become Tier One mines”. Tier One status is sought after for the new company resulting from the merger.
Bristow also announced that Barrick’s 2019 gold production (including reserves and newly acquired Randgold assets) will be in the range of 5.1 to 5.6 million ounces while copper production should be in the range of 375 to 430 million pounds.
The main African assets (Loulo-Gounkoto and Kibali) and Argentina assets (Valadero) should be driven back to Tier One status with disposable margin. It however seems these assets should be able to sustain the quality of their reserves.
Some good news also came from Senegal where the feasibility study on the Massawa project has been completed. In Tanzania, the company continued discussions with the government on the impasse regarding Acacia.
In Nevada, Turquoise Ridge assets, now being operated as a single complex, are already delivering efficiencies. Meanwhile, the Fourmile discovery has now been combined with the nearby Goldrush in a single project which has the potential to become Barrick’s next Tier One gold mine.
In the Dominican Republic, a scoping study supports the expansion of what is already one of the world’s largest open pit gold mines.
As expected, Bristow, a geologist who built Randgold Resources on a strategy of discovery and valuation, said there was a renewed focus on exploration across the group’s Latin American portfolio.