HomeBase MetalsPerformance and strategic progress in 2020 only the start for Barrick

Performance and strategic progress in 2020 only the start for Barrick

In the face of challenges across all regions, notably the Covid-19 pandemic, Barrick Gold Corporation met all its key performance indicators in 2020 and at the same time made significant progress towards achieving its key objectives, says president and chief executive Mark Bristow in the company’s 2020 Annual Report.

“The effectiveness of Barrick’s ESG strategy — which is powered at all levels by a long-established partnership philosophy and a close relationship with all stakeholders, from investors to host communities — was a key factor in the past year’s performance.

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This was particularly evident in our successful Covid-19 containment programs, which buffered the impact of the pandemic on our business and people, and also enabled us to provide much needed and welcomed support to our host countries,” he says.

Noting that the merged Barrick’s foundational objective was to build a business capable of delivering the industry’s best returns, Bristow says that since the announcement of the Randgold merger the Barrick share price had grown by 118% by the end of 2020 against a 92% increase in the GDX. The quarterly dividend has been trebled and the Board has recommended that an additional $750 million of surplus cash be returned to shareholders as a return of capital distribution this year.

“A company that was burdened by net debt of more than $13 billion as recently as 2013 now has zero net debt, no significant maturities for the next 10 years and a robust balance sheet, with strong liquidity consisting of $5.2 billion in cash and an undrawn $3 billion credit facility,” he says.

“Efficient operations and effective management enabled us to capitalize fully on the higher gold and copper prices and to pass the rewards on to our investors as well as our community stakeholders. These achievements were produced on the foundation of a solid 10-year plan built on a great asset base, a fit-for-purpose structure and management teams that more than lived up to our ‘best people’ mantra.”

Bristow says Barrick is still only at the beginning of an exciting and rewarding journey but it is well-equipped in every way to build on what it has and to find and exploit new opportunities, including any openings offered by the ongoing dynamics of the gold industry.

Barrickhttps://www.barrick.com
On 1 January 2019 a new Barrick was born out of the merger between Barrick Gold Corporation and Randgold Resources. Shares in the new company trade on the NYSE (GOLD) and the TSX (ABX). The merger has created a sector-leading gold company which owns five of the industry’s Top 10 Tier One gold assets (Cortez and Goldstrike in Nevada, USA (100%); Kibali in DRC (45%); Loulo-Gounkoto in Mali (80%); and Pueblo Viejo in Dominican Republic (60%)) and two with the potential to become Tier One gold assets (Goldrush/Fourmile (100%) and Turquoise Ridge (75%), both in the USA). With mining operations and projects in 15 countries, including Argentina, Australia, Canada, Chile, Côte d’Ivoire, DRC, Dominican Republic, Mali, Papua New Guinea, Peru, Saudi Arabia, Senegal, USA, and Zambia, Barrick has the lowest total cash cost position among its senior gold peers and a diversified asset portfolio positioned for growth in many of the world’s most prolific gold districts.

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