Barrick to revise 2019 guidance following Newmont JV
In the aftermath of the joint venture agreement with Newmont Mining Corp. earlier this week, Barrick Gold Corp. has taken steps to revise its production guidance for 2019. Executive chairman John Thornton and CEO Mark Bristow are currently travelling to update shareholders on the company's post JV operations.
"Barrick’s merger with Randgold Resources Ltd. created 'significant value' for shareholders, and the Newmont joint venture should do the same," Bristow said in a statement.
Following its $6.1B merger with Randgold in January, Barrick set a bullish guidance for 2019, forecasting a double-digit jump in output. The 2019 production guidance is currently set at 5.1-5.6 million oz. gold – an over 13% increase over 2018 levels – at all-in sustaining costs of $870-920/oz. Company officials expect its five-year gold production to be within that range, with costs expected to decline below the bottom of these ranges.
"We are engaged in reviewing the impact of the new JV on our guidance for both 2019 and the five-year outlook, and expect to provide an update during the year," Bristow added.