BARRICK Mining has given the green light to a separation of its North American gold mines through an IPO which it expects to be completed by late 2026.
The new company will hold Barrick’s joint venture interests in Nevada Gold Mines and Pueblo Viejo as well as Fourmile, a gold discovery in Nevada. Barrick said it intended to “retain a significant controlling interest” in the IPO.
The decision to proceed with the spinoff followed “a rigorous financial and operational analysis” by Barrick and its advisors which found it “represents the best path for maximizing value for Barrick’s shareholders”.
The logic behind the proposal is that Barrick Mining’s North American assets do not receive the same risk rating as peers with greater or complete exposure to the continent.
“Barrick will continue to own and drive value in the company’s other world-class gold and copper assets,” the company said.
Mark Hill, Barrick’s newly appointed president and CEO following the resignation of Mark Bristow in September, said in December the group’s mines in Nevada and the Dominican Republic were “among the best in the world” and that Fourmile was “one of this century’s most significant gold discoveries”.
In an all-action report, Barrick also announced an upgrade to its dividend policy. It said with its fourth quarter results on Thursday that it would target a total payout of 50% of attributable free cash flow, including 40% increase in quarterly base dividend to $0.175 per share, plus performance year end top-up.
For the period under review, Barrick declared a $0.42 per share quarterly dividend, representing an increase of 140% over the third quarter. This was on the back of fourth quarter net earnings of $2.41bn, equal to $1.43 per share (Q4 2024: $1.30bn or $0.76/share).
Driven by the vastly improved gold price, Barrick ended the 2025 financial year with a more than doubling in net earnings which came in at $4.99bn or $2.93/s (2024: $2.14bn or $1.22/share).
One reason for Bristow’s sudden departure last year after seven years was a reluctance to bow to Mali government demands for back payments. The impasse that followed resulted in the detention of employees and the suspension of the Loulo-Gounkoto complex. Hill today described a $430m settlement with Mali in November as “a major success”.
