Barrick Gold Corporation has reported preliminary first quarter sales of 1.22 million ounces of gold and 110 million pounds of copper as well as preliminary first quarter production of 1.25 million ounces of gold and 115 million pounds of copper.
President and Chief Executive Mark Bristow said these results positioned Barrick well to achieve its guidance for the year despite the impact of the global Covid-19 pandemic and the resultant lockdowns.
Bristow also said comprehensive programs to counter the spread of Covid-19 were in action at all of Barrick’s operations and it had taken the necessary steps to manage the impact of the pandemic on its business.
As announced earlier, the company has provided financial aid and support to its host countries to strengthen their campaigns against the virus.
The average market price for gold in the first quarter was $1,583 per ounce, while the average market price for copper in the first quarter was $2.56 per pound.
The company’s first quarter realized copper price is expected to be 12-14% below the average first quarter market price for copper, primarily as a result of provisional pricing adjustments that reflect the downward trend in copper prices over the period.
First quarter gold costs, including cost of sales per ounce4, total cash costs per ounce and gold all-in sustaining costs per ounce, are expected to be similar to the fourth quarter of 2019.
Preliminary first quarter copper production was in line with the fourth quarter of 2019, while preliminary first quarter copper sales improved from the previous quarter following the completion of a major refurbishment at a third-party smelter that processes a portion of Lumwana’s concentrate. First quarter copper cost of sales per pound4 are expected to be 12-14% lower than the prior quarter.
C1 cash costs per pound and copper all-in sustaining costs per pound5 are expected to be 17-19% and 27-29% lower, respectively, than the fourth quarter of 2019, primarily due to the increase in copper sales.
Barrick will provide additional discussion and analysis regarding its first quarter production and sales when the company reports its quarterly results before North American markets open on May 6, 2020.
Given our Covid-19 protocols, Mark Bristow will host an interactive webinar on the results at 11:00 EDT/15:00 UTC. The presentation will be linked to the webinar and conference call.
Participants will be able to ask questions.