Ridge and the steady ramp-up of throughput at Pueblo Viejo’s expanded plant will boost production in the second half of the year and keep Barrick on track to achieve its 2023 guidance, the company said today. Reporting on the results for the first quarter, president and
Q1 Results Release
FROM WORLD-CLASS ASSET BASE, BARRICK HUNTS NEW OPPORTUNITIES
ALL AMOUNTS EXPRESSED IN U.S. DOLLARS Q1 PRODUCTION
TORONTO, May 3, 2023 — The completion of major processing plant maintenance at Nevada Gold Mines, the
IN LINE WITH PLAN
conversion of the Goldstrike autoclave to a carbon-in-leach process, a much-improved performance from Turquoise Ridge and the steady ramp-up of throughput at Pueblo Viejo’s expanded plant will boost production in the second half of the year and keep Barrick on track to achieve its 2023 guidance, the company said today. EXPLORATION TEAM
SECURES NEW PROJECTS Reporting on the results for the first quarter, president and chief executive Mark Bristow said production, while lower than Q4 2022, was on plan, and free cash flow1 had still increased, demonstrating the value of Barrick’s Tier One2 asset portfolio. Net earnings per share for the quarter were $0.07, while adjusted net earnings per share3 were $0.14, NEW GLOBAL SAFETY PROGRAM
'JOURNEY TO ZERO'
and the quarterly dividend was maintained at $0.10 per share.
“At NGM, we have introduced a flatter and more responsive organizational structure and instilled the Barrick style of leadership in what is still a relatively new management team.
Through this process, we have passed a major milestone in our journey to unlock Nevada’s full potential and strengthen STRONG OPERATING CASH FLOW its 15-year business plan,” he said. AND HIGHER FREE CASH FLOW1
“In the Dominican Republic, construction of Pueblo Viejo’s expanded process plant was 93% complete at the end of Q1 and we’re ramping up to full capacity by July. Currently our biggest growth project, it has been designed to extend the
$0.10 PER SHARE DIVIDEND mine’s Tier One life to beyond 2040 at an expected average annual production rate of 800,000 ounces4 of gold.” DECLARED FOR Q1 2023
CONTINUED ON PAGE 3
| 4 | 6 | 7 | 11 |
| UNLOCKING | NEW | PROTECTING | A FIRST |
| NGM DISTRICT | SUSTAINABILITY | BIODIVERSITY | FOR WATER |
REPORT TREATMENT
Key Performance Indicators
Financial and Operating Highlights Best Assets
- Q1 production in line with plan after planned
| Financial Results | Q1 2023 | Q4 2022 Q1 2022 |
|---|---|---|
| Realized gold price5,6 ($ per ounce) Net earnings ($ millions) Adjusted net earnings3 ($ millions) Net cash provided by operating activities ($ millions) Free cash flow1 ($ millions) Net earnings per share ($) Adjusted net earnings per share3 ($) Attributable capital expenditures7,8 ($ millions) | 1,902 120 247 776 88 | 1,728 1,876 (735) 438 220 463 795 1,004 (96) 393 (0.42) 0.25 0.13 0.26 743 478 |
| 0.07 | ||
| 0.14 | ||
| 526 | ||
| Operating Results | Q1 2023 | Q4 2022 Q1 2022 |
| Gold Production5 (000s of ounces) Cost of sales5,9 ($ per ounce) Total cash costs5,10 ($ per ounce) All-in sustaining costs5,10 ($ per ounce) | 952 1,378 986 1,370 | 1,120 990 1,324 1,190 868 832 1,242 1,164 |
| Copper Production5 (millions of pounds) Cost of sales5,9 ($ per pound) C1 cash costs5,11 ($ per pound) All-in sustaining costs5,11 ($ per pound) | 88 3.22 2.71 3.40 | 96 101 3.19 2.21 2.25 1.81 3.98 2.85 |
maintenance at Nevada Gold Mines and start of plant commissioning at Pueblo Viejo
- Pueblo Viejo and Nevada Gold Mines ramp up to drive a stronger second half in line with guidance
- Robust performance from Turquoise Ridge driving year-on-year production increase
- Pueblo Viejo’s expansion project continues to advance: SAG mill turning and first ore through the crusher as ramp-up starts
- Gounkoto underground delivers first production stopes ahead of schedule
- Resin-in-leach to carbon-in-leach conversion at the Goldstrike autoclave completed on time and on budget improving operational flexibility
- Exploration team secures new projects in Canada, USA, Peru, Dominican Republic, Saudi Arabia, Tanzania
Leader in Sustainability
- New global safety program ‘Journey to Zero’ launched
- 2022 Sustainability Report highlights Barrick’s contribution to achievement of United Nations Sustainable Development Goals
- Reko Diq constitutes first Community Development Committee and opens Humai school
- Barrick leads nationwide education initiative in Tanzania with $30 million commitment
Q1 2023 Results Presentation Webinar and Conference Call
- Pueblo Viejo receives highest gender equality certification in Dominican Republic
Mark Bristow will host a live presentation of the results today at 11:00 AM ET, with an interactive webinar linked to a conference call. Participants will be able to ask questions.
Delivering Value
Go to the webinar
- Free cash flow1 increased despite a lower
US and Canada (toll-free), 1 800 319 4610 production quarter UK (toll-free), 0808 101 2791 International (toll), +1 416 915 3239
- Net earnings per share of $0.07 and adjusted net earnings per share3 of $0.14 for the
The Q1 2023 presentation materials will be available on quarter Barrick’s website at www.barrick.com and the webinar will remain on the website for later viewing.
- $0.10 per share dividend declared
BARRICK FIRST QUARTER 2023 2 PRESS RELEASE
CONTINUED FROM PAGE 1 new frontiers and secured multiple interesting prospects in Canada, the USA, Peru, the Dominican Republic, Saudi The development of another major project, Reko Diq in Arabia and Tanzania,” Bristow said.
Pakistan, is also advancing steadily with continued progress on the updating of the feasibility study and the establishment “We’re also maintaining our carefully planned transition to of a Community Development Committee as well as a school.
cleaner energy. In Nevada, work has started on the TS Power Scheduled to go into production in 2028, Reko Diq hosts one Plant’s natural gas co-fire project as well as the TS Solar of the world’s largest undeveloped copper-gold deposits.
project. At Loulo, work is under way on the expansion of its solar plant and the addition of a battery storage system and The Africa and Middle East region finished Q1 with gold at Kibali in the Democratic Republic of Congo (“DRC”), a production ahead of plan, setting the foundation for another battery back-up system for the three hydropower stations that year of delivery. At the Loulo-Gounkoto complex in Mali, the supply the bulk of its energy is being planned.”
first high-grade stope at the new Gounkoto underground mine was successfully mined ahead of schedule. At North Mara in Bristow said Barrick’s consistent reserve replacement and Tanzania, mining has started at the new Gena open pit.
resource growth has allowed it to underpin each operation During the quarter, Barrick committed $30 million to a new and project with a fully planned 10+ year production profile. education initiative in partnership with the Tanzanian This secures the generation of a robust free cash flow that government.
consistently delivers strong returns to shareholders and enables Barrick to drive organic growth by investing in the “While we continue to build our peerless asset base, we are development of its world-class assets.
also casting our net wider and stepping up the hunt for fresh opportunities. During the past quarter, we have opened up
Mark Bristow and Tanzania president Samia Suluhu Hassan announce a $30 million pledge towards the expansion of education infrastructure in the country. Read more on page 9.
BARRICK DECLARES Q1 DIVIDEND
Barrick today announced the declaration of a dividend of $0.10 per share for the first quarter of 2023.
The dividend is consistent with the Company’s Performance “Through the maintenance of a robust balance sheet, we are Dividend Policy announced at the start of 2022 and will be able to continue to provide a strong base dividend to our paid on June 15, 2023 to shareholders of record at the close shareholders, with our Performance Dividend Policy providing of business on May 31, 2023. shareholders with the potential for additional upside going forward,” said senior executive vice-president and chief financial officer Graham Shuttleworth.
BARRICK FIRST QUARTER 2023 3 PRESS RELEASE
Mark Bristow (center in orange) visits Turquoise Ridge.
UNLOCKING THE FULL POTENTIAL OF THE NGM DISTRICT
Successful near-mine exploration at Nevada Gold Mines’ (“NGM”) Tier One operations is adding significant growth potential to its 15-year plan while NGM’s new management team is driving innovation and optimization of the company’s asset suite.
The Goldrush, Robertson and Cortez Hills mining projects will align with their career ambitions and their core values. Once all bolster the Cortez complex, with further growth to come recruited, they are developed through tailored leadership from Barrick’s wholly owned Fourmile project, which includes programs as well as NGM’s training mine.
the new Dorothy target, and from Hanson, below the Cortez Hills underground mine. NGM is investing $320 million12 in a fleet of 62 new trucks, to be delivered over the next three years, which is expected to Carlin is also well-endowed with opportunities, notably de-risk and accelerate open pit mining. New portals at Pete around the Leeville mine with expansion from Fallon, Bajo and Rita K as well as at Ren will boost productivity and Miramar, Horsham and Upper Rita K. Other opportunities mineralization development, and a new paste plant at around the northern Carlin trend include upside from Ren and Goldstrike underground will increase paste capacity. At Corona. Turquoise Ridge is exploring the BBT corridor and Turquoise Ridge, the ramp-up of the recently commissioned Getchell, while at Phoenix, NGM is investigating the Third Shaft continues to improve hoist capacity, mine expansion of copper production at Copper Canyon. production and ventilation.
The NGM team has identified three key innovation and The conversion from resin-in-leach to carbon-in-leach at the optimization action areas: developing a pipeline of future Goldstrike autoclave was completed during the first quarter, leaders; focusing on further mining efficiencies; and enabling the operation to process open pit material sooner increasing process throughput. from Carlin South. The first phase of the Gold Quarry roaster expansion project was recently completed with the second The NGM complex is a long-life business which needs to and final phase scheduled for 2024. The overall project is attract the best new-generation people for its future expected to deliver around a 20% increase in throughput. operations and leadership by providing opportunities that
BARRICK FIRST QUARTER 2023 4 PRESS RELEASE
At Pueblo Viejo, the new crusher at the process plant expansion was recently commissioned. The milestone was celebrated by processing superintendent Víctor Martínez, operations supervisor Yohan Méndez, general manager Megan Tibbals, heavy equipment operator Rudelania Fabián and operations superintendent José Hawil Féliz.
MASSIVE EXPANSION PROJECT WILL EXTEND PUEBLO VIEJO’S TIER ONE LIFE BEYOND 2040
Barrick’s $2.1 billion investment12 in the expansion of the Pueblo Viejo gold mine in the Dominican Republic — of which the process plant portion is now largely complete — is designed to deliver a totally transformed asset capable of ramping up production to an annual 1 million ounces and averaging 800,000 ounces per year over a life that is expected to extend to the 2040s.4
The reinvention of Pueblo Viejo is all the more remarkable global policy. It now has a 98% Dominican workforce with a says Mark Bristow, because at the time of the merger with female representation of 23%, up from 11% in 2019.”
Randgold in January 2019, the mine was facing closure: its vast resources could not be converted to reserves because it Pueblo Viejo is the first Dominican mining company to be did not have the necessary tailings storage capacity. awarded the highest level of gender equality certification by the country’s Ministry of Women and the United Nations “We tackled the mine’s challenges head-on. Chief among Development Programme, for three consecutive years. these was securing a site for a new tailings storage facility, which required lengthy consultation and negotiation with the Nor has its commitment to its host communities faltered, says regulatory authorities as well as the affected communities. Bristow. Eight community development committees have Once the site was selected, we completed an Environmental been formed in line with Barrick’s sustainability strategy. and Social Impact Assessment in line with the government’s Notable projects include the construction of the Zambrana terms of reference, and we expect a decision towards the medical clinic and the Sabana del Rey potable water middle of this year,” Bristow said. treatment plant, the electrification of 21 rural villages and the establishment of an educational fund for scholars and “Equally remarkable has been Pueblo Viejo’s steady upward students from the communities.
trajectory, in the midst of the expansion project, in all other areas of its business. Despite having to manage multiple tie- Pueblo Viejo is also continuing to reduce its greenhouse gas ins, the team has achieved record throughput levels from emissions through the conversion of its power plant and lime 2019 to 2022. At the same time, it has also been transitioning kiln to use liquid natural gas.
to a local and more diverse workforce, in line with Barrick’s
BARRICK FIRST QUARTER 2023 5 PRESS RELEASE
BUILDING BARRICK’S NEXT LEADERSHIP GENERATION
Barrick continues to invest in the development of a multicultural and multigenerational workforce aligned to a changing world.
The Group sources and trains a vast majority of its employees from its host countries in Africa, the Middle East, South and Central America, as well as in Canada and the United States.
Our diverse workforce is the product of Barrick’s strategy of local employment and stakeholder recognition in the countries in which we operate, says Mark Bristow: 96% of its workforce are host country or community hires, as are 78% of its management. The age profile is also trending younger, with 54% of employees now under the age of 40 and 17% younger than 30.
“Within each region, we have launched a comprehensive frontline development program that focuses on building appropriate business and leadership skills, ensuring consistency of competencies and aligning values with the Rudelania Fabián was the first heavy equipment operator to Barrick DNA. We are also building relationships with partner perform a dump into the new crusher at Pueblo Viejo’s process universities to provide us with a pipeline of talent well into the plant expansion.
future,” says human resources executive Darian Rich.
SUSTAINABLE DELIVERY CENTERED ON ACHIEVEMENT OF UN SUSTAINABLE DEVELOPMENT GOALS
Barrick’s sustainability strategy is based on integrated and holistic management and aligned with the objectives of the United Nations’ Sustainable Development Goals (SDGs), that seeks to deliver outcomes that are achievable, demonstrable and align with global priorities, says Mark Bristow in the company’s 2022 Sustainability Report.
Bristow says by using the SDGs as the central framework of Barrick also invested more than $36 million12 in community its sustainability reporting, Barrick is better able to link an development projects from education facilities in Nevada integrated approach to sustainability management, and to (SDG 4: Quality Education), to business incubators in the avoid the siloed thinking and mere box-ticking approach that Dominican Republic (SDG 9: Industry, Innovation and can be a consequence of taking an ESG compliance-driven Infrastructure) and gender-based violence awareness in approach. Barrick’s latest Sustainability Report, its fifth since Tanzania (SDG 5: Gender Equality). Barrick’s employees at the merger with Randgold in 2019, still complies with Pueblo Viejo are now 23% women, with a target of 50% important key reporting frameworks, but its primary lens for female representation for all new hires (SDG 5: Gender understanding and measuring its progress in sustainability Equality and SDG 10: Reduced Inequality). Pueblo Viejo is aligns with a focus on the SDGs — an often-forgotten global the first Dominican mining company to have been awarded commitment. the highest level of gender equality certification by the country’s Ministry of Women and the UN Development “Our sustainability approach allows us to tackle the Programme.
challenges of alleviating poverty, managing changes to the climate and preserving biodiversity holistically and On the environmental front, Barrick has set itself a concurrently — because they are inextricably connected,” greenhouse gas emissions reduction target that is both Bristow says. demonstrable and achievable (SDG 13: Climate Action). The company’s total emissions in 2022 were 6,705kt CO2e For example, Barrick generated more than $10.7 billion12 in (Scope 1 and 2: market-based), which is 6% lower compared economic value and created 21,000 jobs in 2022 (SDG 8: to the year before and an 11% reduction against its 2018 Decent Work and Economic Growth). Additionally, 96% of its baseline.
employees and 78% of its senior site managers are host country nationals, and $1.4 billion12 worth of goods and “For us, sustainability is instrumental in our continued drive to services were procured from suppliers in the communities operate mines that are welcomed and respected as closest to its mines. In total, Barrick spent over $6.1 billion12 development partners throughout the world,” Bristow says. on host country suppliers in 2022.
BARRICK FIRST QUARTER 2023 6 PRESS RELEASE
PROTECTING BIODIVERSITY: BARRICK LEADS THE WAY
Conserving biodiversity is fundamental to the survival of our world, essential to tackling climate change and has an important part to play in the war on poverty, says Barrick group sustainability executive Grant Beringer.
“We strive not only to protect and restore biodiversity within In Nevada, Barrick has partnered with state and federal our permits, but also to partner with NGOs such as African agencies, NGOs and local stakeholders to identify and Parks to make a positive contribution to nature in the implement projects to improve the ecosystem of the Great countries in which we operate, some of which host unique but Basin. Among these is the rehabilitation of some 10,000 vulnerable ecosystems,” he says. hectares of critically important habitat for sage grouse on the ranches owned by NGM.
“To achieve this, we have committed Barrick, through our Biodiversity Policy and Standard, to have a net neutral impact In the Dominican Republic, Pueblo Viejo, in conjunction with on any key biodiversity features at our sites, as well as to the government, has identified the nearby Aniana Vargas take measurable conservation actions to help conserve high- National Park as a biodiversity offset site. The park shares value biodiversity sites in our host countries.” most of its fauna and flora, as well as unique animals such as the Hutia rodent and the Samana least gecko, with the mine’s Beringer cites Barrick’s partnership with the Garamba site.
National Park and African Parks in the DRC as a prime example of its commitment to protecting nature as well as its At the Lumwana copper mine in Zambia, Barrick’s holistic approach to sustainability. commitment to the implementation of the UN’s REDD+ project has advanced with the completion of an eligibility and Since 2015, Barrick has provided financial and in-kind feasibility study, and the project’s broad acceptance by the support for a comprehensive conservation program designed affected communities. The project aims to conserve 530,000 to restore the park’s former megaherbivore abundance. The hectares of woodland around the mine, which will benefit latest Barrick-sponsored initiative will see the return of white these communities through the creation of tourism, rhinos, last spotted there in 2006, to the park. horticulture and beekeeping opportunities. It will also have the capacity to generate carbon credits aligned with Barrick’s “Our engagement with Garamba also includes livelihood hard-to-abate emissions strategy that can be used to offset support for the communities that depend on it. In addition to hard-to-abate emissions, in line with Barrick’s Roadmap to its 500 employees, we have helped the park to provide Net Zero.
economic opportunities for some 10,000 people through agricultural projects, while the four hospitals it supports treat more than 12,000 patients annually.”
BARRICK FIRST QUARTER 2023 7 PRESS RELEASE
CONTINUED RESERVE REPLACEMENT AND DISCIPLINED STRATEGY SUPPORT 10-YEAR GROWTH PLAN
Barrick last year again more than replaced the gold reserves it mined and its proven ability to sustain this achievement through exploration will support the execution of its 10-year rolling business plan, says executive chairman John Thornton.
“Attuned to the cyclicality of markets, Barrick’s strategy of “The creation of long-term value for all stakeholders building its future by continuing to invest in sustainably contributes meaningfully to the social and economic profitable growth, organic as well as external, has equipped development of our host countries and communities, protects us well to deal with challenging circumstances. In the current the safety and health of our people, respects human rights climate of uncertainty, we are proving again that our people and manages the impact of our operations on the are truly world class and are more than capable of making environment. Sustainability performance accounts for 25% of Barrick the world’s most valued gold and copper company,” the long-term incentive awards for our senior leaders, he added. demonstrating the importance Barrick attaches to our sustainability commitments,” he says.
“Our focus in 2023 will be on expanding Barrick’s value foundation, already one of the industry’s best, within and Barrick lead director Brett Harvey says that at a time when beyond our current borders. The Reko Diq project in Pakistan the mining industry’s recruitment pool is shrinking, Barrick will almost double our current copper production and will add actively seeks to attract talented young people by offering to our gold production when it is fully operational. We are also them exceptionally rewarding career opportunities in a extending our presence in North and South America and we modern, world-class business. By prioritizing local are particularly excited by new opportunities in North Africa recruitment — 96% of Barrick’s global employees are host and the Middle East.” country nationals — the company has also built a workforce that is naturally multicultural and ethnically diverse. Similarly, Thornton says that at a time when environmental the Board represents a mosaic of skills, nationalities, racial management and human rights are coming under and ethnic backgrounds and experiences and perspectives increasingly critical scrutiny, Barrick’s sustainability strategy that is not only capable of directing Barrick effectively in a has long been embedded in its business plans. rapidly changing world, but also represents the composition of our stakeholder universe.
BARRICK STEERS PORGERA BACK TOWARDS WORLD-CLASS PRODUCTION
The government of Papua New Guinea, Barrick Niugini Limited and New Porgera Limited have signed an agreement to progress with the resumption of operations at the Porgera gold mine, which have been suspended since 2020.12
Porgera hosts an orebody with measured and indicated shared 53% by the PNG stakeholders and 47% by Barrick resources of 10 million ounces14 and inferred resources of 3.4 Niugini Limited, which will operate the mine.
million ounces.14 After the initial ramp up and optimization of the Wangima pit, the mine is forecast to produce an average After the signing ceremony, Mark Bristow said there was of 700,000 ounces per year, achieving a milestone towards strong support from all stakeholders to get Porgera reopened its potential Tier One status. as soon as possible.
The New Porgera Progress Agreement, signed on March 31, “It’s been a long journey but in the process we have secured confirms that all parties are committed to reopening the mine the buy-in of all the stakeholders. For Barrick, the reopening at the earliest opportunity, in line with the terms of the of the mine would represent another victory for our host- Porgera Project Commencement Agreement and the New country partnership model which has been so successful in Porgera Limited Shareholders Agreement, both concluded in Tanzania and has now also been adopted for the new Reko 2022. The New Porgera project team will now move ahead Diq copper-gold project in Pakistan,” Bristow said.
with the filings for a special mining lease and progressing the other conditions set out in the Commencement Agreement for “Localization is an essential part of our partnership the reopening of the mine. philosophy so New Porgera will, whenever possible, source the goods and services it requires from businesses genuinely The equity in New Porgera is shared 51% by Papua New based and owned in Porgera, the Enga province and PNG. Guinea (“PNG”) stakeholders, including local landowners and Similarly, it will give preference to locals in recruiting the Enga provincial government. Economic benefits will be employees for the reopening mine.”
BARRICK FIRST QUARTER 2023 8 PRESS RELEASE
PIONEERING KIBALI PLANS FURTHER PARTNER-BASED DEVELOPMENT
Since Kibali went into production 10 years ago, it has not only grown into Africa’s largest gold mine, it has also opened a new mining frontier in the DRC and stimulated the development of a thriving regional economy in the country’s north-east province.
Mark Bristow says the mutually beneficial partnership Congolese team that built the mine’s Azambi hydropower between the company and its local stakeholders, notably the station,” Bristow said.
government, contractors, service providers, employees and the community, has demonstrated that it is possible to build “Kibali’s three continuously upgraded hydropower stations and operate a successful world-class mine, run by host and their battery back-up system have put it in the lead of the country nationals, in one of Africa’s remotest corners. Barrick group’s green energy drive. At present, approximately 80% of the mine’s power requirement is provided by In the 13 years since the acquisition of the property which renewable energy sources and this will rise when the planned became Kibali, it has invested more than $4.6 billion12 in the new solar plant is commissioned in 2025, further reducing DRC, with payments to local contractors and suppliers alone Kibali’s carbon footprint as well as its energy costs.”
amounting to almost $2.4 billion, $1.4 billion going to the government in the form of royalties, taxes and permits, The mine also continues to invest in the recruitment and salaries amounting to $621 million, and the investment of training of Congolese nationals, who already account for 95% $196 million in infrastructure development and community of its workforce and 76% of its leadership, with special support. emphasis on the skills development of potential managers and technicians.
“Kibali has multiple partnerships with local businesses, many of which we have actively mentored, such as the all-
BARRICK PLEDGES $30 MILLION TOWARDS SCHOOL DEVELOPMENT IN PARTNERSHIP WITH TANZANIA
In a meeting between Mark Bristow and Tanzania president Samia Suluhu Hassan, the company affirmed its pledge of $30 million in partnership with the Tanzanian government, towards the expansion of education infrastructure in Tanzania.
Called ‘The Barrick-Twiga Future Forward Education Centre in Bunango Village. Barrick’s investment around the Program’, the objective is to build 1,090 classrooms, 1,640 mine has given 7,557 Tanzanian girls access to education in ablution blocks and 270 dormitories across 161 schools 2022.
nationwide, helping to accommodate approximately 49,000 of the estimated 190,000 students who are expected to start “In addition to the company’s support of education, last year their A-levels in July this year. The first $10 million was North Mara was officially recognized as Tanzania’s largest committed in April and the balance will be rolled out with the taxpayer and Bulyanhulu was awarded the Best Compliant program. Employer prize by the National Social Security Fund. North Mara and Bulyanhulu also received the first and runner-up “We believe that education is key to the development of the recognition awards, respectively, for the export of minerals country. Both the Bulyanhulu and North Mara gold mines and the generation of foreign currency. They’ve both come a continue to support the education sector through the building very long way and we look forward to continuing that journey of classrooms and the improvement of education through our Twiga partnership with the government.”
infrastructure around the mines, which has seen some of them consistently feature among the top schools in these Bristow said since Barrick took over control of the mines in regions,” Bristow said. 2019, it had pumped $2.4 billion into the Tanzanian economy. Through their community development committees, the North Mara has already spent $1.9 million on 87 primary and mines had invested more than $10 million in projects to secondary schools in the Tarime District, 14 of which are the improve healthcare, education, access to potable water and best performing schools in the district. Bulyanhulu has spent the road infrastructure.
$1.8 million on 80 educational projects around the mine and is currently building a Vocational Education Training College
BARRICK FIRST QUARTER 2023 9 PRESS RELEASE
PEERLESS ASSET QUALITY AND HIGH-POTENTIAL PROSPECTS POSITION BARRICK FOR PROFITABLE GROWTH
The past year marked a major milestone in Barrick’s journey to becoming the world’s most valued gold and copper mining company, with the foundational targets of the new business created by the merger with Randgold in January 2019 having largely been met, and its greater goals now within reach, says Mark Bristow with the recent publication of the company’s 2022 Annual Report.
“North America is Barrick’s value foundation and the true Demonstrating its commitment to strong shareholder returns, benefits of our creation of the NGM complex are now Barrick returned a record $1.6 billion17 to shareholders last becoming evident in the form of mineral resource growth and year, but this was not at the expense of its growth strategy, new discoveries. The quality and prospectivity of its portfolio Bristow said.
cannot be overstated,” he said.
“We continue to invest in and roll out our 10-year gold and “In Central America, the plant expansion project we initiated copper plans, projecting real growth on a steady base-case at the Pueblo Viejo gold mine in the Dominican Republic is production profile. This investment is made possible by the rapidly taking shape. With its unlocked reserve base now unmatched quality of our assets and the abundant free cash standing at 20 million ounces15, the life of the mine — one of flow they generate. Also embedded in our portfolio is a long the six Tier One assets in our gold portfolio — has been pipeline of quality projects from which we are steadily extended beyond 2040 and it will maintain an average annual unlocking value. The ability to grow without having to buy is a production rate above 800,000 ounces over that time.4 very significant advantage that differentiates Barrick from its peers,” he said.
“Another of our Tier One assets, the Loulo-Gounkoto complex in Mali, which has produced more than 9 million ounces of In line with Barrick’s commitment to a ‘best people’ workforce, gold since 2005, is set to maintain its current rate of Bristow said Barrick is aggressively recruiting promising production for the next 10 years, with its life extending to young professionals across all of the relevant disciplines. The 203716.” next generation of leaders is already taking shape in the company’s succession plans and last year already saw Bristow said Barrick was also achieving its strategic objective seamless transitions in a number of key positions.
of significantly expanding its copper holdings. Work on the reconstituted Reko Diq project in Pakistan — one of the It is also rapidly progressing the greening of its power grid largest and highest quality undeveloped copper-gold deposits across the group. Major solar projects in the Dominican in the world — has started, and the revitalized Lumwana Republic and Nevada, the expansion of solar power and the mine in Zambia has commenced a prefeasibility study on the addition of a battery energy storage system at Loulo- Super Pit expansion. When both of these projects are Gounkoto, and the planned solar power dry season back-up completed in 2028, they will elevate Barrick into the front rank for Kibali’s three hydropower plants, will not only significantly of copper producers. advance Barrick towards its 2050 net zero target, but will improve the mines’ margins by pruning energy costs.
“Brownfields exploration continues to unlock potential around our existing assets while greenfields work has started Also in the annual report, executive chairman John Thornton delivering real value. We’re continuing to expand our global noted the significant contribution Barrick’s operations make in exploration footprint with active programs elsewhere in North the developing countries in which it operates.
America as well as in Latin America, Saudi Arabia and Egypt,” he said. “Mining can and should be a key catalyst for economic growth and social upliftment. Barrick’s substantial contribution “One of the highlights of last year was the continued growth to our host countries’ coffers and our equally significant in our gold reserves and resources, driven by our strategy of investment in the welfare of the communities that border on investing in organic growth through exploration and mineral our mines is making a real difference, highlighting the resource management. Barrick’s ability over time to more important part the mining industry can play in narrowing the than replace the ounces we mine reinforces our sustainability gap between the richer and poorer nations to make the world and our sector-leading production profile.” a better place,” he said.
BARRICK FIRST QUARTER 2023 10 PRESS RELEASE
MALI OPERATIONS HONORED BY GOVERNMENT FOR TAX CITIZENSHIP
Barrick’s Loulo-Gounkoto gold mining complex, as one of the largest taxpayers in Mali, has been formally thanked by the government for its role in enabling the tax department to achieve its revenue targets for 2022.
In a ceremony at Barrick’s Bamako office, the country’s Barrick, through its legacy company Randgold, has been director of large enterprises presented both Loulo and operating in Mali for more than a quarter of a century and Gounkoto with certificates of recognition honoring what was during that time, we have contributed to the development of described as their high level of tax citizenship and expressing the country’s economy and its mining industry.
the hope that this productive partnership between the mines and the government would continue.
A FIRST FOR WATER TREATMENT IN SAN JUAN
The community of Iglesia near the Veladero mine in San Juan, Argentina, has become the first municipality in the province to use alternative energy to power its drinking water treatment plants.
Solar energy will power the plants' pumps and operate the last three years," said Veladero's sustainable development filtering equipment, sending water from wells to reserve manager, Alberto Abecasis.
tanks.
The effort was a collaboration between Veladero, "This system will reduce our electricity expense by 50% to neighborhood associations, the Municipality of Iglesia and the 60%, which is a huge savings," says Oscar Varela, president Ministry of Mining.
of the Rodeo Neighborhood Association.
The mine and its neighbors have also collaborated in Two photovoltaic kits of 12 horsepower with 32 panels environmental participatory monitoring. Over the past few generating 9.9 kilowatts, and one 17 horsepower kit months, five monitoring sessions that had 21 community comprising 60 panels of 18.6 kilowatts, were built in the members collect water samples at Veladero's compliance Rodeo and Bella Vista water treatment plants. In case of any points and submit them to a certified lab for testing, has power failure in the panels, the plants are automatically confirmed water quality meets all baseline parameters. reconnected to the power grid.
Barrick organizes participatory monitoring sessions like these "The idea of powering the water treatment plants with solar at several operations worldwide to ensure that our host energy is an innovation that emerged as we have been communities understand what we are doing to make sure we working to refurbish a total of ten plants in the region over the are responsible stewards of the environment.
BARRICK FIRST QUARTER 2023 11 PRESS RELEASE
APPENDIX 2023 Operating and Capital Expenditure Guidance
GOLD PRODUCTION AND COSTS
2023 forecast 2023 forecast all-in 2023 forecast cost 2023 forecast total attributable production sustaining costs10 ($/ of sales9 ($/oz) cash costs10 ($/oz)
(000s oz) oz)
Carlin (61.5%) 910 - 1,000 1,030 - 1,110 820 - 880 1,250 - 1,330 Cortez (61.5%)18 580 - 650 1,080 - 1,160 680 - 740 930 - 1,010
Turquoise Ridge (61.5%) 300 - 340 1,290 - 1,370 900 - 960 1,170 - 1,250
Phoenix (61.5%) 100 - 120 1,860 - 1,940 880 - 940 1,110 - 1,190
Long Canyon (61.5%) 0 - 10 2,120 - 2,200 730 - 790 1,080 - 1,160
Nevada Gold Mines (61.5%) 1,900 - 2,100 1,140 - 1,220 790 - 850 1,140 - 1,220
Hemlo 150 - 170 1,400 - 1,480 1,210 - 1,270 1,590 - 1,670
North America 2,100 - 2,300 1,160 - 1,240 820 - 880 1,170 - 1,250
Pueblo Viejo (60%) 470 - 520 1,130 - 1,210 710 - 770 960 - 1,040
Veladero (50%) 160 - 180 1,630 - 1,710 1,060 - 1,120 1,550 - 1,630 Porgera (47.5%)13 — — — —
Latin America & Asia Pacific 630 - 700 1,260 - 1,340 800 - 860 1,110 - 1,190
Loulo-Gounkoto (80%) 510 - 560 1,100 - 1,180 750 - 810 1,070 - 1,150
Kibali (45%) 320 - 360 1,080 - 1,160 710 - 770 880 - 960
North Mara (84%) 230 - 260 1,120 - 1,200 900 - 960 1,240 - 1,320
Bulyanhulu (84%) 160 - 190 1,230 - 1,310 880 - 940 1,160 - 1,240
Tongon (89.7%) 180 - 210 1,260 - 1,340 1,070 - 1,130 1,240 - 1,320
Africa & Middle East 1,450 - 1,600 1,130 - 1,210 820 - 880 1,080 - 1,160
Total Attributable to Barrick19,20,21 4,200 - 4,600 1,170 - 1,250 820 - 880 1,170 - 1,250
COPPER PRODUCTION AND COSTS
2023 forecast 2023 forecast cost 2023 forecast C1 2023 forecast all-in attributable production of sales9 ($/lb) cash costs11 ($/lb) sustaining costs11 ($/lb) (Mlbs)
Lumwana 260 - 290 2.45 - 2.75 2.00 - 2.20 3.20 - 3.50
Zaldívar (50%) 100 - 110 3.40 - 3.70 2.60 - 2.80 2.90 - 3.20
Jabal Sayid (50%) 65 - 75 1.80 - 2.10 1.50 - 1.70 1.60 - 1.90 Total Attributable to Barrick21 420 - 470 2.60 - 2.90 2.05 - 2.25 2.95 - 3.25
ATTRIBUTABLE CAPITAL EXPENDITURES
($ millions)
Attributable minesite sustaining7 1,450 - 1,700 Attributable project7 750 - 900
Total attributable capital expenditures 2,200 - 2,600
2023 OUTLOOK ASSUMPTIONS AND ECONOMIC SENSITIVITY ANALYSIS
2023 Guidance Impact on EBITDA22 Impact on TCC and Hypothetical Change Assumption (millions) AISC10,11 Gold price sensitivity $1,650/oz +/- $100/oz ‘+/-$590 ‘+/-$5/oz
Copper price sensitivity $3.50/lb +/- $0.25/lb ‘+/- $110 ‘+/-$0.01/lb
BARRICK FIRST QUARTER 2023 12 PRESS RELEASE