Q1 Production Sets Barrick On Track to Achieve 2022 Targets
PRESS RELEASE
NYSE : GOLD TSX : ABX
All amounts expressed in US dollars
Q1 Production Sets Barrick On Track to Achieve 2022 Targets
TORONTO, April 14, 2022 – Barrick Gold Corporation (NYSE:GOLD)(TSX:ABX) (‘Barrick’ or the
‘Company’) today reported preliminary Q1 sales of 1.0 million ounces of gold and 113 million pounds of
copper, as well as preliminary Q1 production of 1.0 million ounces of gold and 101 million pounds of
copper. As previously guided, Barrick’s gold production in 2022 is expected to be the lowest in the fi rst
quarter increasing through the year, while copper production is expected to be higher in the second half
of the year. We remain on track to achieve our full year gold and copper guidance1.
The average market price for gold in Q1 was $1,877 per ounce, while the average market price for copper
in Q1 was $4.53 per pound.
As expected, preliminary Q1 gold production was lower than Q4 2021 including at: Carlin and Cortez
following the depletion of stockpiled higher grade underground ore processed in Q4 2021 after the
mechanical mill failure at the Goldstrike roaster in Q2 2021; Kibali and Turquoise Ridge due to planned
maintenance; and Tongon due to mine sequencing. As Q1 gold ounces sold are 20% lower than the
previous quarter, Q1 gold cost of sales per ounce2 is expected to be 10% to 12% higher, total cash costs
per ounce3 are expected to be 15% to 17% higher and all-in sustaining costs per ounce3 are expected to
be 19% to 21% higher than Q4.
Preliminary Q1 copper production was lower than Q4 2021, prim arily at Lumwana as planned. As
previously guided, we continue to expect steadily increasing throughput at Lumwana over the course of
2022. Notwithstanding the lower production, Q1 copper sales were in line with the prior quarter.
Compared to Q4 2021, Q1 copper cost of sales per pound2 is expected to be in line with the prior quarter,
while C1 cash costs per pound3 are expected to be 10 to 12% higher mainly due to lower planned grades
at Lumwana, as the mine continued to focus on capitalized waste stripping to open up higher -grade
mining areas and allow for future production growth over the five-year outlook. Copper all-in sustaining
costs per pound3 are expected to be 1 to 3% lower than Q4.
Separately, Barrick received a further $0.3 billion from Kibali in the first quarter of 2022, which follows
the $107 million that Barrick received in dividend payments from Kibali in the fourth quarter of 2021.
Barrick will provide additional discussion and analysis regarding its first quarter 2022 production and
sales when the Company reports its quarterly results before North American markets open on May 4,
2022.
BARRICK GOLD CORPORATION PRESS RELEASE
The following table includes preliminary gold and copper production and sales results from Barrick's
operations:
Three months ended
March 31, 2022
Production Sales
Gold (attributable ounces (000))
Carlin (61.5%) 229 230
Cortez (61.5%) 115 118
Turquoise Ridge (61.5%) 67 64
Long Canyon (61.5%) 25 25
Phoenix (61.5%) 23 21
Nevada Gold Mines (61.5%) 459 458
Loulo-Gounkoto (80%) 138 137
Pueblo Viejo (60%) 104 104
Kibali (45%) 76 73
North Mara (84%) 56 58
Veladero (50%) 46 39
Bulyanhulu (84%) 45 55
Tongon (89.7%) 35 38
Hemlo 31 31
Total Gold 990 993
Copper (attributable pounds (millions))
Lumwana 57 70
Zaldívar (50%) 25 26
Jabal Sayid (50%) 19 17
Total Copper 101 113
First Quarter 2022 Results
Barrick will release its Q1 2022 results before market open on May 4, 2022. President and CEO Mark
Bristow will host a virtual presentation on the results that day at 11:00 EDT, with an interactive webinar
linked to a conference call. Participants will be able to ask questions.
Go to the webinar
US and Canada (toll-free) 1 800 319 4610
UK (toll-free) 0808 101 2791
International (toll) +1 416 915 3239
The Q1 2022 presentation materials will be available on Barrick’s website at www.barrick.com.
The webinar will remain on the website for later viewing, and the conference call will be available for
replay by telephone at 1 855 669 9658 (US and Canada toll -free) and +1 604 674 8052 (international
toll), access code 8611.
BARRICK GOLD CORPORATION PRESS RELEASE
Enquiries:
Claudia Pitre Kathy du Plessis
Manager, Investor Relations and Corporate Access Investor and Media Relations
+1 416 307 5105 +44 20 7557 7738
[email protected] [email protected]
Website: www.barrick.com
Technical Information
The scientific and technical information contained in this news release has been reviewed and approved by: Craig
Fiddes, SME-RM, Manager - Resource Modeling, Nevada Gold Mines; Chad Yuhasz, P.Geo, Mineral Resource
Manager, Latin America and Asia Pacific; and Simon Bottoms, CGeol, MGeol, FGS, FAusIMM, Mineral Resources
Manager, Africa and Middle East — each a “Qualified Person” as defined in National Instrument 43-101 – Standards
of Disclosure for Mineral Projects.
Endnote 1
Porgera has been on temporary care and maintenance since April 2020 and is not currently included in our full year
2022 guidance. On April 9, 2021, the Government of Papua New Guinea and Barrick Niugini Limited, the operator
of the Porgera joint venture, signed a Framework Agreement in which they agreed on a partnership for Porgera’s
future ownership and operation. On February 3, 2022, the Framework Agreement was replaced by the more
detailed Porgera Project Commencement Agreement (the “Commencement Agreement”). We expect to update our
guidance to include Porgera following both the execution of definitive agreements to implement the binding
Commencement Agreement and the finalization of a timeline for the resumption of full mine operations.
Endnote 2
Gold cost of sales per ounce is calculated as cost of sales across our gold operations (excluding sites in care and
maintenance) divided by ounces sold (both on an attributable basis based on Barrick’s ownership share). Copper
cost of sales per pound is calculated as cost of sales across our copper operations divided by pounds sold (both
on an attributable basis based on Barrick’s ownership share).
References to attributable basis means our 100% share of Hemlo and Lumwana, our 89.7% share of Tongon, our
84% share of North Mara, Bulyanhulu and Buzwagi, our 80% share of Loulo-Gounkoto, our 61.5% share of Nevada
Gold Mines, our 60% share of Pueblo Viejo, our 50% share of Veladero, Zaldívar and Jabal Sayid and our 45%
share of Kibali.
Endnote 3
Total cash costs per ounce, all -in sustaining costs per ounce and all -in costs per ounce are non- GAAP financial
measures which are calculated based on the definition published by the World Gold Council (‘WGC’) (a market
development organization for the gold industry comprised of and funded by gold mining companies from around
the world, including Barrick). The WGC is not a regulatory organization. Management uses these measures to
monitor the performance of our gold mining operations and its ability to generate positive cash flow, both on an
individual site basis and an overall company basis.
Total cash costs start with our cost of sales related to gold production and removes depreciation, the non-controlling
interest of cost of sales and includes by-product credits. All-in sustaining costs start with total cash costs and include
sustaining capital expenditures, sustaining leases, general and administrative costs, minesite exploration and
evaluation costs and reclamation cost accretion and amortization. These additional costs reflect the expenditures
made to maintain current production levels.
BARRICK GOLD CORPORATION PRESS RELEASE
We believe that our use of total cash costs, all-in sustaining costs and all-in costs will assist analysts, investors and
other stakeholders of Barrick in understanding the costs associated with producing gold, understanding the
economics of gold mining, assessing our operating performance and also our ability to generate free cash flow from
current operations and to generate free cash flow on an overall company basis. Due to the capital-intensive nature
of the industry and the long useful lives over which these items are depreciated, there can be a significant timing
difference between net earnings calculated in accordance with IFRS and the amount of free cash flow that is being
generated by a mine and therefore we believe these measures are useful non- GAAP operating metrics and
supplement our IFRS disclosures. These measures are not representative of all of our cash expenditures as they
do not include income tax payments, interest costs or dividend payments. These m easures do not include
depreciation or amortization.
Total cash costs per ounce, all -in sustaining costs and all -in costs are intended to provide additional information
only and do not have standardized definitions under IFRS and should not be considered in isolation or as a
substitute for measures of performance prepared in accordance with IFRS. These measures are not equivalent to
net income or cash flow from operations as determined under IFRS. Although the WGC has published a
standardized definition, other companies may calculate these measures differently.
C1 cash costs per pound and all -in sustaining costs per pound are non -GAAP financial measures related to our
copper mine operations. We believe that C1 cash costs per pound enables investors to bett er understand the
performance of our copper operations in comparison to other copper producers who present results on a similar
basis. C1 cash costs per pound excludes royalties and production taxes and non -routine charges as they are not
direct production costs. All-in sustaining costs per pound is similar to the gold all -in sustaining costs metric and
management uses this to better evaluate the costs of copper production. We believe this measure enables investors
to better understand the operating performance of our copper mines as this measure reflects all of the sustaining
expenditures incurred in order to produce copper. All-in sustaining costs per pound includes C1 cash costs,
sustaining capital expenditures, sustaining leases, general and administrati ve costs, minesite exploration and
evaluation costs, royalties and production taxes, reclamation cost accretion and amortization and write-downs taken
on inventory to net realizable value.
Barrick will provide a full reconciliation of these non- GAAP finan cial measures when the Company reports its
quarterly results on May 4, 2022.
Cautionary Statements Regarding Preliminary First Quarter Production, Sales and Costs for 2022,
and Forward-Looking Information
Barrick cautions that, whether or not expressly stated, all first quarter figures contained in this press release
including, without limitation, production levels, sales and associated costs are preliminary, and reflect our expected
first quarter results as of the date of this press release. Actual reported first quarter production levels, sales and
associated costs are subject to management’s final review, as well as review by the Company’s independent
accounting firm, and may vary significantly from those expectations because of a number of f actors, including,
without limitation, additional or revised information, and changes in accounting standards or policies, or in how
those standards are applied. Barrick will provide additional discussion and analysis and other important information
about its first quarter production levels, sales and associated costs when it reports actual results on May 4, 2022.
For a complete picture of the Company’s financial performance, it will be necessary to review all of the information
in the Company’s first quart er financial report and related MD&A. Accordingly, readers are cautioned not to rely
solely on the information contained herein.
Finally, Barrick cautions that this press release contains forward -looking statements with respect to: (i) Barrick’s
production and full year gold and copper guidance; and (ii) costs per ounce for gold and per pound for copper.
Forward-looking statements are necessarily based upon a number of estimates and assumptions including material
estimates and assumptions related to the factors set forth below that, while considered reasonable by the Company
as at the date of this press release in light of management’s experience and perception of current conditions and
BARRICK GOLD CORPORATION PRESS RELEASE
expected developments, are inherently subject to significant business, economic, and competitive uncertainties and
contingencies. Known and unknown factors could cause actual results to differ materially from those projected in
the forward-looking statements, and undue reliance should not be placed on such statements and information. Such
factors include, but are not limited to: fluctuations in the spot and forward price of gold, copper, or certain other
commodities (such as silver, diesel fuel, natural gas, and electricity); the speculative nature of mineral exploration
and development; changes in mineral production performance, exploitation, and exploration successes; the
duration of the temporary suspension of operations at Porgera and the timeline for the execution of definitive
agreements to implement the Commencement Agreement, form a new joint venture, and recommence operations
at Porgera; risks associated with projects in the early stages of evaluation, and for which additional engineering
and other analysis is required; disruption of supply routes which may cause delays in construction and mining
activities at Barrick’s more remote properties; whether benefits expected from recent transactions are realized;
diminishing quantities or grades of reserves; increased costs, delays, suspensions and technical challenges
associated with the construction of capital projects; operating or technical difficulties in connection with mining or
development activities, including geotechnical challenges and disruptions in the maintenance or provision of
required infrastructure and information technology systems; failure to comply with environmental and health and
safety laws and regulations; timing of receipt of, or failure to comply with, necessary permits and approvals; non -
renewal of key licenses by governmental authorities; uncertainty whether some or all of targeted investments and
projects will meet the Company’s capital allocation objectives and internal hurdle rate; the impact of global liquidity
and credit availability on the timing of cash flows and the values of assets and liabilities based on projected future
cash flows; the impact of inflation, including global inflationary pressures driven by supply chain disruptions caused
by the ongoing Covid-19 pandemic and global energy cost increases following the invasion of Ukr aine by Russia;
fluctuations in the currency markets; changes in national and local government legislation, taxation, controls or
regulations and/ or changes in the administration of laws, policies and practices, expropriation or nationalization of
property and political or economic developments in Canada, the United States, and other jurisdictions in which the
Company or its affiliates do or may carry on business in the future; lack of certainty with respect to foreign legal
systems, corruption and other factors that are inconsistent with the rule of law; damage to the Company’s reputation
due to the actual or perceived occurrence of any number of events, including negative publicity with respect to the
Company’s handling of environmental matters or dealings with community groups, whether true or not; the
possibility that future exploration results will not be consistent with the Company’s expectations; risks that
exploration data may be incomplete and considerable additional work may be required to complete further
evaluation, including but not limited to drilling, engineering and socioeconomic studies and investment; risk of loss
due to acts of war, terrorism, sabotage and civil disturbances; risks associated with illegal and artisanal mining;
risks associa ted with new diseases, epidemics and pandemics, including the effects of the global Covid- 19
pandemic; litigation and legal and administrative proceedings; contests over title to properties, particularly title to
undeveloped properties, or over access to w ater, power and other required infrastructure; business opportunities
that may be presented to, or pursued by, the Company; our ability to successfully integrate acquisitions or complete
divestitures; risks associated with working with partners in jointly controlled assets; employee relations including
loss of key employees; increased costs and physical risks, including extreme weather events and resource
shortages, related to climate change; and availability and increased costs associated with mining inputs and labor.
Barrick also cautions that its 2022 guidance may be impacted by the unprecedented business and social disruption
caused by the spread of Covid-19. In addition, there are risks and hazards associated with the business of mineral
exploration, development and mining, including environmental hazards, industrial accidents, unusual or unexpected
formations, pressures, cave -ins, flooding and gold bullion, copper cathode or gold or copper concentrate losses
(and the risk of inadequate insurance, or inability to obtain insurance, to cover these risks).
Many of these uncertainties and contingencies can affect our actual results and could cause actual results to differ
materially from those expressed or implied in any forward-looking statements made by, or on behalf of, us. Readers
are cautioned that forward-looking statements are not guarantees of future performance. All of the forward-looking
statements made in this press release are qualified by these cautionary statements. Specific reference is made to
the most recent Form 40- F/Annual Information Form on file with the SEC and Canadian provincial securities
regulatory authorities for a more detailed discussion of some of the factors underlying forward -looking statements
and the risks that may affect Barrick’s ability to achieve the expectations set forth in the forward-looking statements
contained in this press release.
BARRICK GOLD CORPORATION PRESS RELEASE
Barrick disclaims any intention or obligation to update or revise any forward-looking statements whether as a result
of new information, future events or otherwise, except as required by applicable law.