Barrick Mining NYSE: B reported higher third-quarter gold production and $1.2 billion in free cash flow, while maintaining its full-year production and cost guidance and advancing plans to list its North American gold assets.
The company produced 816,000 ounces of gold and 50,000 tons of copper in the quarter. Adjusted net earnings were $0.82 per share, up 41% from a year earlier, while consolidated adjusted EBITDA was $3.5 billion, President and CEO Mark Hill said on the earnings call.
Barrick expects fourth-quarter gold production to be slightly higher than in the third quarter and copper output to increase as it processes material stockpiled at Lumwana. Hill said full-year production would be around the midpoint of guidance or slightly above, but cautioned analysts against extrapolating that performance into 2027. The company plans to provide 2027 guidance next year.
Higher Output Offsets Weather Disruptions
Hill said the ramp-up of Goldrush Underground in Nevada and stronger production at Loulo-Gounkoto more than offset weather disruptions at Veladero and Porgera. North American operations produced nearly 500,000 ounces of gold, including record throughput at the Gold Quarry Roaster and record tons mined at Turquoise Ridge Underground.
Production at Pueblo Viejo was softer because of planned autoclave maintenance. The company is engineering a third flotation train intended to improve gold recovery beyond 2030. Chief Operating Officer Tim Cribb said a recovery rate in the low- to mid-80% range remained a useful longer-term guide, with updated interim figures expected in technical reports accompanying the IPO filing.
Barrick International produced 319,000 ounces of gold, up 6% from the second quarter, CEO Seb Bock said. Loulo-Gounkoto output rose 16% on higher throughput and grade, while Kibali production increased 20% as its underground operation delivered more higher-grade ore.
Severe winter storms repeatedly suspended operations at Veladero, and drought-related water shortages limited plant operating rates at Porgera. Bock said those conditions continued into early fourth quarter, but stronger performance elsewhere in the portfolio kept international gold production on track for full-year guidance.
Barrick also expects to remain within its full-year gold cost guidance despite pressure from fuel, consumables and foreign exchange in Africa. Copper costs are expected to be around the top of the guidance range, Bock said, citing diesel prices, currency appreciation, higher royalties and additional waste stripping.
North American IPO and Growth Projects
Hill said Barrick expects to complete the IPO of its North American gold assets by year-end or early next year, subject to market conditions and regulatory review. The company plans to file an S-1 and accompanying technical reports this month; the timing will depend in part on feedback from the Securities and Exchange Commission.
The company is also evaluating additional processing capacity and rail infrastructure across Nevada Gold Mines, or NGM. Hill said the potential improvements should be viewed as coming after 2030. An engineering study for a potential roaster is in its early stages, and the broader optimization work remains in progress.
At Fourmile, Barrick is revisiting engineering and examining access to the project from Goldrush following changes to its management under NGM. Cribb said permitting adjustments affected the timing of spending, and more information is expected in the IPO filings.
For Pueblo Viejo’s tailings expansion, Hill said 99% of resettlement packages had been accepted and more than 97% of families had been resettled. Cribb said construction of the new tailings facility was on schedule and on budget, with most permits received.
In Zambia, the Lumwana copper expansion remains on track for first production at the end of the first quarter of 2028, Bock said. Barrick has spent $795 million on the project and continues to target $2 billion in total capital spending. The expansion is expected to bring annual production to 240,000 tons and support a mine life of more than 30 years.
Bock said Barrick is reviewing its Reko Diq project and expects to provide a clearer update by the middle of next year. Spending next year is expected to remain near the current run rate as the company closes out commitments and continues social investment.
Cash Returns and Balance Sheet
Senior Executive Vice President and Chief Financial Officer Helen Cai said Barrick ended the quarter with $0.9 billion in net cash, an undrawn $3 billion revolving credit facility and no meaningful debt due until 2033. The company completed $0.8 billion in share buybacks during the quarter and has returned $3.2 billion to shareholders so far this year.
Barrick’s dividend policy provides for a quarterly base payment of $0.175 per share, with a year-end top-up targeting total dividends of 50% of attributable free cash flow. Cai said any additional proceeds from Fourmile transactions and the IPO would be considered separately from that top-up, subject to a final board decision.
About Barrick Mining (NYSE:B)
Barrick Mining Corporation, formerly known as Barrick Gold Corporation, is a global mining company focused primarily on the exploration, development and production of gold and copper. Its activities include operating mines, advancing development projects and managing mineral reserves across multiple jurisdictions.
The company’s gold operations include Nevada Gold Mines in the United States, a joint venture in which Barrick is the operator, as well as mines and projects in Canada, the Dominican Republic, Mali, Côte d’Ivoire, Tanzania and the Democratic Republic of the Congo.
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