Barrick’s gold output for the year to hit upper end of forecast
Canada’s Barrick Gold (TSX:ABX)(NYSE:GOLD), the world’s second largest bullion miner, expects production of the precious metal this year to hit the upper end of its forecast range of 5.1 million to 5.6 million ounces.
Announcing figures for the second quarter to June 30, the Toronto-based miner said strong performance from Loulo-Gounkoto in Mali and Veladero in Argentina – where production increased 14.8% and 7%, respectively – was likely to offset lower output elsewhere.
Barrick churned out 1.35 million ounces of gold and 97 million pounds of copper during the second quarter of the year, slightly down from the 1.4 million ounces and 106 million pounds it generated in the first three months of 2019.
The miner attributed the drop to lower production at Barrick Nevada (-8%) and interruptions at Pueblo Viejo (-16.2%) in Dominican Republic. The fall in copper output was due to lower production at Lumwana in Zambia (-19.7%), the company said.
Barrick completed during the period a transaction that created Nevada Gold Mines, a joint venture with rival Newmont Goldcorp (NYSE:NEM)(TSX:NGT), in which it owns 61.5% and is the operator. The company said the business combination would positively impact its production, as it’s expected to yield between 1.8 million and 1.9 million ounces of gold in the second half of the year.
The gold giant will provide more details when it reports its quarterly results on Aug. 12.