Feb. 5 at 11:28 AM
$B $48.26 bid
Holding long position as a component of SPM cash reserves.
OVERVIEW:
Barrick Mining beats by
$0.14, beats on revs (47.36 -0.17)
Reports Q4 (Dec) earnings of
$1.04 per share, excluding non-recurring items,
$0.14 better than the FactSet Consensus of
$0.90; revenues rose 44.6% year/year to
$6 bln vs the
$5.2 bln FactSet Consensus.
Gold production in Q4 was 5% higher than Q3 at 871,000 ounces, with cost of sales, of
$1,904 per ounce, total cash costs of
$1,205 per ounce and all-in sustaining costs of
$1,581 per ounce. Gold COS4 per ounce and AISC2 per ounce were 22% and 3% higher than Q3, respectively. Nevada Gold Mines performed well across the board in Q4, led by a 25% increase in Carlin's production over Q3. Throughput at Pueblo Viejo rose to another record high and partially offset reduced recoveries from stockpiled material in the flotation and Carbon-In-Leach circuits.
Following the operational review launched in Q3 2025, mine plan ownership was transitioned back to site teams and responsible regional leaders. These teams developed deliverable, ground-up plans informed by past performance and improved confidence levels. Our 2026 guidance is based on these plans.
Gold production guidance for 2026 is 2.90--3.25 million ounces.1 This compares to actual 2025 gold production of 3.26 million ounces, or 3.03 million ounces when the divested assets Hemlo and Tongon are excluded. Gold cost guidance for 2026, including COS4 of
$1,870--
$2,070, TCC2 of
$1,330--
$1,470 and AISC2 of
$1,760--
$1,950, is based on a gold price assumption of
$4,500 per ounce. Copper production guidance for 2026 is 190,000--220,000 tonnes1, compared to actual production of 220,000 tonnes in 2025, at copper COS5 of
$3.05--
$3.35 per pound, C1 cash costs of
$2.20--
$2.45 per pound and AISC2 of
$3.45--
$3.75 per pound. Copper cost guidance is based on a copper price assumption of
$5.50 per pound.
As announced on December 1, 2025, the Board authorized Barrick's management team to explore the IPO of an entity that will hold Barrick's premier North American gold assets ("NewCo"). Following a rigorous financial and operational analysis by Barrick's management and its advisors, the Board has concluded that the IPO of NewCo represents the best path for maximizing value for Barrick's shareholders. The Board has authorized Barrick's management to begin preparations for the IPO of NewCo and expects the IPO to be completed by late 2026.
NewCo will hold Barrick's joint venture interests in Nevada Gold Mines and Pueblo Viejo, as well as Barrick's wholly owned Fourmile gold discovery in Nevada. Barrick intends to retain a significant controlling interest in NewCo following the IPO and continue to benefit financially through its majority ownership of NewCo. Barrick will continue to own and drive value in the Company's other world-class gold and copper assets. Barrick expects to provide further details of the IPO in the coming months.
