Pioneering Mine Closure Project Creates Value While Reducing Environmental Risk
March 22 2021 - 12:44PM
Montana Governor Gianforte and Barrick Gold Corporation
(NYSE:GOLD)(TSX:ABX) president and CEO Mark Bristow have met at the
closed Golden Sunlight mine in Jefferson County to discuss an
innovative project that is expected to create 75 or more jobs and
tens of millions of dollars in tax revenue and benefits to the
State over the next decade, while removing a source of
potential water pollution from the mine site.
The project involves the reprocessing of ground
rock, known as tailings, from which gold was previously extracted
in the Golden Sunlight mills. The focus will be on removing and
concentrating sulfur (iron pyrite) that will then be sold to and
used in gold production by Nevada Gold Mines (NGM), the largest
gold producing complex in the world. Barrick, which owns Golden
Sunlight, is also the majority owner and operator of NGM. The
concentrated sulfur is not only valuable, but its removal will also
eliminate a source of potential groundwater contamination. After
reprocessing, the remaining benign material will be backfilled into
the Mineral Hill pit.
Governor Gianforte said: “It’s great to see
Barrick’s Golden Sunlight mine continue to invest in the community
of southwest Montana. This is the type of investment that is
possible when state agencies provide a stable, predictable
regulatory process that companies can rely on - one that benefits
the local environment too.”
Speaking at the meeting, Bristow said the
groundbreaking project, which combined rehabilitation with value
creation, would serve as a model for Barrick’s future mine
closures.
“It’s very much in line with Barrick’s commitment
to sustainability as well as our philosophy of sharing the economic
benefits generated by our mines with stakeholders. Everyone wins:
the local community gets jobs and cleaner water; the state of
Montana gets taxes; and Barrick continues to get some revenue from
an operation previously judged to be terminal. We look forward to
completing the permitting process this fall and shipping the first
concentrates as early as the end of this year,” he said.
The Golden Sunlight mine produced more than 3
million ounces of gold during its nearly 40 years of operation. The
mine shut down in 2019 when gold production was no longer
economically viable. Public environmental scoping comments on the
project closed on March 12, 2021 and the Montana Department of
Environmental Quality is currently completing its environmental
review.
Enquiries:
President and CEOMark Bristow+1 647 205 7694+44
788 071 1386
COO North America Catherine Raw+1 416 307
5157
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 our strategy, projects,
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
“expect”, “reduce”, “focus”, “continue”, “would”, “project”,
“goal”, “continue”, “strategy”, “will”, “can” and similar
expressions identify forward-looking statements. In particular,
this press release contains forward-looking statements including,
without limitation, with respect to Barrick’s closure strategy for
the Golden Sunlight mine and the plan to create 75 or more jobs and
generate tens of millions of dollars in tax revenue over the next
decade, while removing a source of potential water pollution from
the mine site and reducing environmental risk, through the
reprocessing of ground rock; the outcome of the ongoing
environmental review of this project; and expected benefits for the
local community, the State of Montana, NGM and other
stakeholders.
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 the Company 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;
risks associated with projects in the early stages of evaluation
and for which additional engineering and other analysis is
required; operating or technical difficulties in connection with
mining or development activities, including geotechnical challenges
and disruptions in the maintenance or provision of required
infrastructure and information technology systems; failure to
comply with environmental and health and safety laws and
regulations; 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 the United States; timing of receipt of, or failure to comply
with, necessary permits and approvals; risks associated with new
diseases, epidemics and pandemics, including the effects and
potential effects of the global Covid-19 pandemic; litigation;
contests over title to properties, particularly title to
undeveloped properties, or over access to water, power and other
required infrastructure; increased costs and physical risks,
including extreme weather events and resource shortages, related to
climate change; 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. We disclaim 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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