Barrick Gold on track for 2021 gold production target

BARRICK Gold was on target to meet its 2021 gold production guidance of between 4.4 million to 4.7 million ounces (excluding Porgera in Papua New Guinea), according to second quarter numbers published Thursday.

Preliminary production for the second quarter totalled 1.04 million oz and 96 million pounds of copper. The group’s Africa and Middle East and its Latin America and Asia Pacific regions were “trending to the higher end of their regional gold guidance”, it said.

Gold production for the quarter from the North America mines, which includes Nevada Gold Mines in which Barrick has a 61.5% stake, was “to the lower end” owing to scheduled maintenance-related shutdowns. Newmont Mining owns the balance of Nevada Gold Mines.

The average market price for gold in the second quarter was $1,816 per ounce, while the average market price for copper in the period was $4.40 per pound. Barrick’s gold production in the second half of 2021 is forecast to be higher than the first half, it said.

The company is due to report its second quarter numbers on August 9.

In February, Barrick reported full year adjusted (for exceptional items) net earnings for 2020 of $1.15/share, a year-on-year increase of 125%. The earnings improvement was a result of higher realised gold and copper prices, the former averaging $1,778/oz (2019: $1,396/oz).

This was achieved on lower production of 4.76 million oz (5.47 million oz) as a result of having its 47.5%-owned Porgera gold mine put into mothballs amid a dispute on royalties with the government.