Nevada Gold Mines (NGM) has come a long way since 2019 when Barrick
and Newmont pooled their assets in the state to create the world’s
largest gold mining complex and is now making a strong start to the
new year on the back of performance improvements and new growth
prospects.
Emphasizing this point here today, Mark Bristow,
president and chief executive of operator and majority shareholder
Barrick Gold Corporation (NYSE:GOLD)(TSX:ABX), said operational
highlights of the past year included a record production by the
post-merger Cortez and the continuing turnaround at Turquoise
Ridge, which is beginning to live up to its Tier One1 status again.
The most significant development, however, was the completion of
the Goldrush permitting process at the end of 2023. This enabled
Cortez to accelerate the development of a key project which will
already make a significant production contribution this year.
Bristow said far from being a mature gold district,
Northern Nevada was still highly prospective for new world-class
discoveries. The Barrick-owned Fourmile, for example, is expected
to more than triple its current mineral resource of 0.48 million
ounces2 at 10.04 g/t indicated in addition to 2.7 million ounces2
at 10.1g/t inferred, as well as uplifting the grade as orebody
modelling and evaluation continue with a view to commence a
pre-feasibility study at the end of 2024. In the meantime,
brownfields exploration has delivered an exciting pipeline of
near-mine growth opportunities across Carlin, Cortez and Turquoise
Ridge.
“The complex now boasts a production growth profile
that goes well beyond 10 years as the geologists step up the
replacement of the ounces depleted by mining,” Bristow said.
In line with the Barrick group’s transition to
renewable energy, NGM completed the commissioning of the first 100
megawatt phase of its solar power project in the last quarter of
2023, with the second 100 megawatt scheduled to come on stream in
the second half of this year.
NGM also continues to invest in developing a new
generation of skilled entrants to the mining industry. Last year,
270 people enrolled in its training mine, of whom 95% graduated. Of
these, 84% are now employed by NGM.
NGM has similarly invested $4.5 million in the
establishment of three children’s learning centers in its
communities aligned with its mining schedules to alleviate the
shortage of childcare services in the areas around its mines. The
provision of strong childcare benefits is expected to attract
younger employees, and particularly women, to an aging and
male-dominated industry. Its latest social infrastructure
development project is a $10 million recreation center, based on
the principle that a healthier community will deliver a healthier
workforce.
About Nevada Gold MinesNevada Gold
Mines is operated by Barrick Gold Corporation (NYSE:GOLD)(TSX:ABX)
and is a joint venture between Barrick (61.5%) and Newmont (38.5%)
that combined their significant assets across Nevada in 2019 to
create the single largest gold-producing complex in the world.
Enquiries:Barrick COO North
America Christine Keener+1 865 209
0781christine.keener@barrick.com
NGM Executive Managing DirectorPeter
Richardson+1 775 934
3238peter.richardson@nevadagoldmines.com
Barrick Investor and Media RelationsKathy
du Plessis+44 20 7557 7738barrick@dpapr.com
Website: www.barrick.com
Technical InformationThe
scientific and technical information contained in this press
release has been reviewed and approved by: Simon Bottoms, CGeol,
MGeol, FGS, FAusIMM, Mineral Resource Management and Evaluation
Executive; and Craig Fiddes, SME-RM, Lead - Resource Modeling,
Nevada Gold Mines — each a “Qualified Person” as defined in
National Instrument 43-101 - Standards of Disclosure for Mineral
Projects.
Endnote 1 A Tier One Gold Asset is
an asset with a $1,300/oz reserve with potential to deliver a
minimum 10-year life, annual production of at least 500,000 ounces
of gold and with all in sustaining costs per ounce in the lower
half of the industry cost curve.
Endnote 2Estimated in accordance
with National Instrument 43-101 - Standards of Disclosure for
Mineral Projects as required by Canadian securities regulatory
authorities. Estimates are as of December 31, 2023, unless
otherwise noted. Indicated resources of 1.5 million tonnes grading
10.04 g/t, representing 0.48 million ounces of gold. Inferred
resources of 8.2 million tonnes grading 10.1 g/t, representing 2.7
million ounces of gold. Complete mineral reserve and mineral
resource data for all mines and projects referenced in this press
release, including tonnes, grades, and ounces, can be found in the
Mineral Reserves and Mineral Resources Tables included in the
Barrick press release entitled “Geologically Driven Asset
Management Delivers Third Successive Year of Reserve Growth at
Sustained Quality, While Unlocking Embedded Growth Portfolio” dated
February 8, 2024. Fourmile is currently 100% owned by Barrick. As
previously disclosed, Barrick anticipates Fourmile being
contributed to the Nevada Gold Mines joint venture if certain
criteria are met following the completion of drilling and the
requisite feasibility work.
Cautionary Statement on Forward-Looking
InformationCertain information contained or incorporated
by reference 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 “positioned”, “prospects”,
“create”, “growth”, “develop”, “expect”, “continue”, “deliver”,
“will”, “can”, “could”, and similar expressions identify
forward-looking statements. In particular, this press release
contains forward-looking statements including, without limitation,
with respect to: Barrick’s plans and expected completion and
benefits of growth projects at Nevada Gold Mines, including the
Goldrush project and the Fourmile project; Barrick’s
forward-looking production guidance, including the estimated
10-year production profile for Nevada Gold Mines and anticipated
production growth from Barrick’s organic project pipeline and
reserve replacement; estimates of future costs and projected future
cash flows, capital, operating and exploration expenditures and
mine life and production rates including for the Goldrush project
and the Fourmile project; the anticipated timeline for the
commencement of a prefeasibility study for the Fourmile project;
our ability to convert resources into reserves and replace reserves
net of depletion from production; mine life and production rates;
maintenance and processing initiatives at Nevada Gold Mines; our
ability to identify new Tier One assets and the potential for
existing assets to attain Tier One status; Barrick’s exploration
strategy and planned exploration activities, including in North
America; potential mineralization and metal or mineral recoveries,
including near-mine exploration upside potential; joint ventures
and partnerships; Barrick’s strategy, plans, targets and goals in
respect of environmental and social governance issues at Nevada
Gold Mines, including the solar power project, support for
childcare services, social infrastructure and health and safety
initiatives; and expectations regarding future price assumptions,
financial performance and other outlook or guidance.
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 (such as silver,
diesel fuel, natural gas and electricity); risks associated with
projects in the early stages of evaluation and for which additional
engineering and other analysis is required; risks related to the
possibility that future exploration results will not be consistent
with the Company’s expectations, that quantities or grades of
reserves will be diminished, and that resources may not be
converted to reserves; risks associated with the fact that certain
of the initiatives described in this press release are still in the
early stages and may not materialize; changes in mineral production
performance, exploitation and exploration successes; risks that
exploration data may be incomplete and considerable additional work
may be required to complete further evaluation, including but not
limited to drilling, engineering and socioeconomic studies and
investment; the speculative nature of mineral exploration and
development; 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 or other countries in which Barrick does or
may carry on business in the future; risks relating to political
instability in certain of the jurisdictions in which Barrick
operates; timing of receipt of, or failure to comply with,
necessary permits and approvals; non-renewal of or failure to
obtain key licenses by governmental authorities; failure to comply
with environmental and health and safety laws and regulations;
increased costs and physical and transition risks related to
climate change, including extreme weather events, resource
shortages, emerging policies and increased regulations relating to
greenhouse gas emission levels, energy efficiency and reporting of
risks; contests over title to properties, particularly title to
undeveloped properties, or over access to water, power and other
required infrastructure; the liability associated with risks and
hazards in the mining industry, and the ability to maintain
insurance to cover such losses; damage to the Company’s reputation
due to the actual or perceived occurrence of any number of events,
including negative publicity with respect to the Company’s handling
of environmental matters or dealings with community groups, whether
true or not; risks related to operations near communities that may
regard Barrick’s operations as being detrimental to them;
litigation and legal and administrative proceedings; operating or
technical difficulties in connection with mining or development
activities, including geotechnical challenges, tailings dam and
storage facilities failures, and disruptions in the maintenance or
provision of required infrastructure and information technology
systems; increased costs, delays, suspensions and technical
challenges associated with the construction of capital projects;
risks associated with working with partners in jointly controlled
assets; risks related to disruption of supply routes which may
cause delays in construction and mining activities, including
disruptions in the supply of key mining inputs due to the invasion
of Ukraine by Russia and conflicts in the Middle East; risk of loss
due to acts of war, terrorism, sabotage and civil disturbances;
risks associated with Barrick’s infrastructure, information
technology systems and the implementation of Barrick’s
technological initiatives, including risks related to
cyber-attacks, cybersecurity breaches, or similar network or system
disruptions; the impact of global liquidity and credit availability
on the timing of cash flows and the values of assets and
liabilities based on projected future cash flows; the impact of
inflation, including global inflationary pressures driven by supply
chain disruptions and global energy cost increases following the
invasion of Ukraine by Russia; adverse changes in our credit
ratings; fluctuations in the currency markets; risks related to the
demands placed on the Company’s management, the ability of
management to implement its business strategy and enhanced
political risk in certain jurisdictions; uncertainty whether some
or all of Barrick’s targeted investments and projects will meet the
Company’s capital allocation objectives and internal hurdle rate;
whether benefits expected from recent transactions being realized;
business opportunities that may be presented to, or pursued by, the
Company; our ability to successfully integrate acquisitions or
complete divestitures; risks related to competition in the mining
industry; employee relations including loss of key employees;
availability and increased costs associated with mining inputs and
labor; and risks associated with diseases, epidemics and pandemics
including the effects and potential effects of the global Covid-19
pandemic.
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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