Barrick Gold (ABX.T) Ups Gold Production In Q2 2022


Barrick Gold (ABX.T), a top gold and copper producer with operating mines and projects in 18 countries, announced today that it had managed to increase gold production in Q2 at 1.04 million ounces compared to the 990,000 gold ounces produced in Q1. Copper production for Q2 came in at 120 million pounds.

This increase was driven mostly by Carlin and Turquoise Ridge in Nevada, Veladero in Argentina, and Bulyanhulu and North Mara in Tanzania. Production is expected to grow further during the second half of the year.

The gold producer reported operating cash flow of $924 million USD with net earnings per share at $0.27, beating estimates by 7.84%. A dividend of $0.20 per share was declared for the quarter due to strong operating performance and net cash of $636 million.

During the quarter, Barrick advanced it Pueblo Viejo project with the commencement of the public consultation process and a selection of a preferred site for the new tailings storage facility. Efforts to expand at Pueblo will extend the mine’s life to 2040 and beyond with an estimated minimum average annual production of 800,000 ounces.

The public review record of the Goldrush Project located in Nevada, has commenced with the record of decision expected in H1 2023.

Barrick also continues to grow its global exploration footprint by extending its search from Nevada to active projects in Canada. This effort in South America led to an entry into the Guiana Shield and, in Africa and the Middle East, new projects have been initiated in Zambia, Tanzania and Egypt.

This heightened exploration strategy is expected to:

  • Deliver short to medium term projects that will support improvements in mine plans
  • Make new discoveries for Barrick’s Tier 1 gold and copper portfolio
  • Optimize the value of major underdeveloped projects
  • Identify and secure emerging opportunities early in their value curve

In a world of growing public skepticism regarding the truthfulness and transparency of corporate sustainability reports, Barrick president and CEO, Mark Bristow, commented on his own company’s ESG performance metrics during the quarter, “We’ve taken the leadership in integrating the various aspects of ESG and managing these complex issues in a measured and holistic manner. There are challenging times ahead, but Barrick faces them with strong and agile leadership, a robust balance sheet, solid life of mine plans, a reliable cash flow, and a strategy focused on sustainability and value creation.”

The Canadian-based gold and copper producer founded by Peter Monk in 1983 reported revenues of $11.98 billion for the fiscal year ending December 31, 2021.

The company currently trades at $20.86 CAD per share for a market cap of $37.34 billion.

Barrick Gold Stock Chart YTD 08-08-22

–Gaalen Engen

Investment information for a new generation, Gaalen Engen

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