Barrick Gold Corporation: Morila Sale Concluded
November 10 2020 - 8:00AM
Barrick Gold Corporation (NYSE:GOLD)(TSX:ABX) and AngloGold Ashanti
Limited (JSE:ANG)(NYSE:AU) today concluded the sale of their
interest in Morila Gold Limited, which owns 80% of the Morila gold
mine in Mali, to Firefinch Limited (previously named Mali Lithium
Limited) (ASX:FFX) for $28.8 million cash. The state of Mali
continues to hold the remaining 20%.
Noting that all Morila employees had been
re-employed by Firefinch, Barrick president and chief executive
Mark Bristow said the transaction would benefit the mine’s Malian
stakeholders by giving Firefinch the opportunity to extend its life
by accessing satellite resources and adapting the infrastructure.
The mine had been scheduled for closure in 2021.
Barrick has been the operator of the mine and the
sale is in line with its policy of selling non-core assets to
concentrate on Tier One mines – those with the capacity to produce
at least 500,000 ounces of gold annually for more than 10 years in
the lower half of the industry’s cost curve. Bristow said
Barrick remained committed to its partnership with Mali, where it
owns and operates the Tier One Loulo-Gounkoto gold complex.
The discovery and development of Morila served as
the springboard for the Barrick legacy company Randgold Resources’
expansion into Africa. Since it went into production in
October 2000 it has produced 6.9 million ounces of gold and paid
more than $2.5 billion to its stakeholders in the form of dividends
and taxes. Morila transitioned to a stockpile treatment
operation in 2009 and began processing tailings in 2013.
Barrick Enquiries
President and CEOMark Bristow+1
647 205 7694+44 788 071 1386
COO, Africa and Middle EastWillem
Jacobs +44 779 557 5271
Investor and Media RelationsKathy du
Plessis+44 20 7557 7738Email: barrick@dpapr.com
Website: www.barrick.com
Cautionary Statement on Forward-Looking
Information
Certain information contained in this press
release, including any information as to Barrick’s strategy, plans,
or future financial or operating performance, constitutes
“forward-looking statements”. All statements, other than statements
of historical fact, are forward-looking statements. The words
“would”, “benefit”, “extend”, “remain”, “commit” and similar
expressions identify forward-looking statements. In particular,
this press release contains forward-looking statements including,
without limitation, with respect to the anticipated benefits from
the transaction including the potential extension of the life of
the Morila gold mine and related benefits for the community and
country. Forward-looking statements are necessarily based upon a
number of estimates and assumptions; including material estimates
and assumptions related to the factors set forth below that, while
considered reasonable by Barrick as at the date of this press
release in light of management’s experience and perception of
current conditions and expected developments, are inherently
subject to significant business, economic, and competitive
uncertainties and contingencies. Known and unknown factors could
cause actual results to differ materially from those projected in
the forward-looking statements, and undue reliance should not be
placed on such statements and information. Such factors include,
but are not limited to: fluctuations in the spot and forward price
of gold, copper, or certain other commodities (such as silver,
diesel fuel, natural gas, and electricity); risk of loss due to
acts of war, terrorism, sabotage and civil disturbances; timing of
receipt of, or failure to comply with, necessary permits and
approvals, including acknowledgment of the transaction by the state
of Mali; the speculative nature of mineral exploration and
development; changes in mineral production performance,
exploitation, and exploration successes; diminishing quantities or
grades of reserves; changes in national and local government
legislation, taxation, controls, or regulations and/or changes in
the administration of laws, policies, and practices, expropriation
or nationalization of property and political or economic
developments in Mali; lack of certainty with respect to foreign
legal systems, corruption and other factors that are inconsistent
with the rule of law; failure to comply with environmental and
health and safety laws and regulations; litigation and legal and
administrative proceedings; damage to Barrick’s reputation due to
the actual or perceived occurrence of any number of events,
including negative publicity with respect to the Barrick’s handling
of environmental matters or dealings with community groups, whether
true or not; employee relations including loss of key employees;
business opportunities that may be presented to, or pursued by,
Barrick; our ability to successfully complete divestitures; risks
associated with working with partners in jointly controlled assets;
and availability and increased costs associated with mining inputs
and labor. In addition, there are risks and hazards associated with
the business of mineral exploration, development, and mining,
including environmental hazards, industrial accidents, unusual or
unexpected formations, pressures, cave-ins, flooding, and gold
bullion, copper cathode, or gold or copper concentrate losses (and
the risk of inadequate insurance, or inability to obtain insurance,
to cover these risks).
Many of these uncertainties and contingencies can
affect our actual results and could cause actual results to differ
materially from those expressed or implied in any forward-looking
statements made by, or on behalf of, us. Readers are cautioned that
forward-looking statements are not guarantees of future
performance. All of the forward-looking statements made in this
press release are qualified by these cautionary statements.
Specific reference is made to the most recent Form 40-F/Annual
Information Form on file with the SEC and Canadian provincial
securities regulatory authorities for a more detailed discussion of
some of the factors underlying forward-looking statements, and the
risks that may affect Barrick’s ability to achieve the expectations
set forth in the forward-looking statements contained in this press
release.
Barrick disclaims any intention or obligation to
update or revise any forward-looking statements whether as a result
of new information, future events or otherwise, except as required
by applicable law.
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