Troubles in Dominican mine force Barrick to cut 2015 output forecast
Barrick Gold (TSX:ABX), (NYSE:ABX), the world's largest bullion miner by total output, said Monday it is cutting its 2015 production forecast after a mechanical issue detected at its jointly owned Dominican Republic-based mine.
The Canadian miner said it now expects to produce between 6 million and 6.15 million ounces of gold this year, which will result in reduced production until mid-January 2016. Its previous forecast was for between 6.1 million and 6.3 million ounces.
The revised forecast came as two of three electric motors at Pueblo Viejo's oxygen plant unexpectedly failed on Nov. 19. Barrick said they have been sent for repairs in the U.S.
The Toronto-based gold producer owns 60% of Pueblo Viejo mine. Fellow Canadian producer Goldcorp (TSE:G) (NYSE:GG) holds the remaining 40%.
Commissioned in 2012, Pueblo Viejo mine achieved full production capacity milestone in 2014, and has significant reserves and resources with potential to expend the life of the mine.