Driving value,
building growth
ANNUAL REPORT 2023
CONTENTS
Building Growth
Our Global Business
2023 Highlights
2024 Guidance
Key Performance Indicators
Key Growth Projects
We Are Barrick
The Case for Investing in Barrick
Letter from the Chairman
Board of Directors
Message from the President and CEO
Executive Committee
Financial Review
Gold Market Overview
Copper Market Overview
Our Regions and Operations
Reserves and Resources
Exploration
Mining Sustainably for a Better Future
Endnotes
Financial Report
01
02
03
03
04
06
08
09
10
12
14
18
20
22
23
24
36
38
42
54
55
Barrick Gold Corporation shares
trade on
the New York Stock Exchange (NYSE) under
the symbol GOLD, and on the Toronto Stock
Exchange (TSX) under the symbol ABX.
Barrick Gold Corporation
NYSE : GOLD • TSX : ABX
www.barrick.com
Unless otherwise indicated, all amounts are expressed in US dollars.
BUILDING GROWTH
Organic Replacement of Reserves Sets Us Apartii
Gold equivalent ounces (GEO) Moz
4.2
2.2
7.4
8.5
0.91 6.9
13
0.0
6.3
6.7
0.0
6.0
104
105
97
98
120
110
100
102
90
80
70
60
2019
2020
2021
2022
2023
Proven and probable gold equivalent ounces
Net change
Acquisitions and divestments
Depleted ounces
Gold Equivalent Production Growth with Reko Diq and Lumwana Super Pitiii
GEO Moz
7
6
5
4
3
2
1
0
Wangima
Pit
More than
30% growth
by the end of the
decade driven by our
organic project
pipeline and
continued reserve
replacement
2023
2030
Gold
Copper
Reko Diq and Lumwana Super Pit
1
Barrick Gold Corporation | Annual Report 2023 OUR GLOBAL BUSINESS
Nevada Gold Mines (61.5%)
Cortez (including Goldrush)
Turquoise Ridge
Carlin
Phoenix
CANADA
Donlin (50%)
Hemlo (100%)
USA
Fourmile (100%)
Corporate office, Toronto
DOMINICAN
REPUBLIC
Kibali (45%)
Jabal Sayid (50%)
Reko Diq (50%)
SAUDI
ARABIA
Balochistan,
PAKISTAN
JAPAN
SENEGAL
Tongon (89.7%)
EGYPT
MALI
ECUADOR
PERU
Norte Abierto (50%)
Pascua-Lama (100%)
Alturas (100%)
CÔTE
D’IVOIRE
DRC
Lumwana (100%)
ZAMBIA
TANZANIA
North Mara (84%)
Bulyanhulu (84%)
Zaldívar (50%)
Veladero (50%)
CHILE
ARGENTINA
Loulo-Gounkoto (80%)
Pueblo Viejo (60%)
PAPUA
NEW GUINEA
Porgera (24.5%)
Tier One gold minesi
Other gold mines
Copper mines
Development projects
Pipeline projects
Barrick has one of the largest portfolios of world-class gold and copper assets in the
industry with 13 gold mines, including six of the world’s Tier One gold operations, and
three strategic copper mines; each with a long-term business plan based on declared
resources. Its operations and projects span 18 countries and four continents.
2
Annual Report 2023 | Barrick Gold Corporation 2023 HIGHLIGHTS
Group Gold Production
Net Earnings
4.05 Moz
Group Copper Production
420 Mlbs
Net Cash Provided by
Operating Activities
$3,732
million
$1,272
million
Cash Distribution to
Shareholders
$700 million
Free Cash Flowi
$646 million
2024 GUIDANCE
Moody’s Long-term
Credit Rating
A3
Highest rating in the gold
mining industry
Attributable EBITDAi
$3,987
million
Greenhouse Gas
Emissions
~5%
Scope 1 and 2 (location-based)
Gold Production
Cost of Salesi
Total Cash Costsi
AISCi
3.9 – 4.3Moz
$1,320 – 1,420/oz
$940 - 1,020/oz
$1,320 - 1,420/oz
Copper Production
Cost of Salesi
C1 Cash Costsi
AISCi
180 – 210kt
$2.65 – 2.95/lb
$2.00 – 2.30/lb
$3.10 – 3.40/lb
Total Attributable Gold & Copper Capexi
$2,500 – 2,900 million
3
Barrick Gold Corporation | Annual Report 2023 KEY PERFORMANCE
INDICATORS
Gold Production
Gold Cost of Salesi
Gold Total Cash Costsi
Gold AISCi
Moz
5.0
4.0
3.0
2.0
1.0
0
2021
2022
2023
$/oz
1,500
1,200
900
600
300
0
2021
2022
2023
$/oz
1,000
800
600
400
200
0
2021
2022
2023
$/oz
1,500
1,200
900
600
300
0
2021
2022
2023
Copper Production
Copper Cost of Salesi
Copper C1 Cash Costsi
Copper AISCi
Mlbs
500
400
300
200
100
0
2021
2022
2023
$/lb
3.00
2.50
2.00
1.50
1.00
0.50
0
2021
2022
2023
$/lb
2.50
2.00
1.50
1.00
0.50
0
2021
2022
2023
$/lb
3.50
3.00
2.50
2.00
1.50
1.00
0.50
0
2021
2022
2023
Safety Frequency
Rate Statistics
Environmental
Incidents
Net Cash Provided by
Operating Activities
Free Cash Flowi
$ million
5
4
3
2
1
0
5
0
4
0
2
0
1.47
1.30
1.14
0.38
0.29
0.23
2021
2022
2023
2021
2022
2023
Lost Time Injury
Frequency Rate (LTIFR)i
Total Recordable Injury
Frequency Rate (TRIFR)i
Class 1i
Class 2iv
5,000
4,000
3,000
2,000
1,000
0
2021
2022
2023
$ million
2,000
1,500
1,000
500
0
2021
2022
2023
2.00
1.50
1.00
0.50
0
4
Annual Report 2023 | Barrick Gold Corporation KEY PERFORMANCE INDICATORS (CONTINUED)
2023 Revenue
795
$ million
252
10,350
Gold
Copper
Other
2023 Geographic Distribution of
Gold Production
13%
50%
Net EPSi
Adjusted Net EPSi
$
1.50
1.00
0.50
0
2021
2022
2023
$
1.50
1.00
0.50
0
2021
2022
2023
Debt, Net of Cash
Returns to
Shareholders
$ million
$ million
1,800
1,500
1,200
900
600
300
0
600
400
200
0
-200
-400
2021
2022
2023
Project Capital
Expenditures1,i
$ million
1,000
800
600
400
200
0
2021
2022
2023
37%
Dividend
Return of capital
Share buybacks
North America
Africa and Middle East
Latin America and Asia Pacific
Gold and Copper Price
$/oz
2,100
1,950
1,800
1,650
1,500
2023 Geographic Distribution of
Copper Production
21%
5.00
4.50
4.00
3.50
3.00
2021
2022
2023
2021
2022
2023
1 Amounts presented on a
consolidated cash basis
Market gold price
Market copper price
Africa and Middle East
Latin America and Asia Pacific
79%
5
Barrick Gold Corporation | Annual Report 2023 KEY GROWTH PROJECTS
GOLDRUSH PROJECT, NEVADA, USA
■ A long-life, underground mine – included in the Nevada Gold Mines’
Cortez operation
■ Record of Decision issued in December 2023 and now forecast to
produce 130,000 ounces of gold in 2024 with commercial production
scheduled for 2026
■ Anticipated production of +400,000oz p.a. (100%) by 2028i
FOURMILE, NEVADA, USA
■ 100% Barrick-owned project
■ Promising results from exploration drilling support
potential to significantly increase modeled extents
of declared mineral resource
■ Prefeasibility study scheduled to start at the end
of 2024
■ Could be included in Nevada Gold Mines JV, at fair
market value, if certain criteria are met
PUEBLO VIEJO EXPANSION, DOMINICAN REPUBLIC
■ Plant expansion and mine life extension designed to increase
throughput to 14Mtpa and to sustain gold production at
>800,000oz p.a. (100%)i beyond 2040
■ Construction and commissioning substantially completed in
2023
■ Continued stability and optimization of flotation circuit the focus
in first half of 2024
■ Feasibility study for additional tailings storage capacity due for
completion in 2024
REKO DIQ PROJECT, PAKISTAN
■ Targeting production of 250,000oz p.a. gold and 300kt p.a.
copper (Phase 1) and 400,000oz p.a. gold and 500kt p.a. copper
(Phase 2)v
■ Personnel continue to be mobilized for the project, majority from
Balochistan
■ Feasibility study expected to be completed by end 2024
■ Construction scheduled to start in 2025 and first production from
Phase 1 targeted for 2028
6
Annual Report 2023 | Barrick Gold Corporation KEY PROJECTS (CONTINUED)
LUMWANA SUPER PIT EXPANSION, ZAMBIA
■ ~$2 billion project positioned to transform Lumwana
into one of the world’s major copper mines
■ Projected to produce 240kt p.a. of copper from a
50Mt p.a. process plant with a mine life of more
than 30 yearsi
■ Feasibility study scheduled for completion end of
2024, construction expected to start in 2025
■ First copper production from new plant targeted in
2028
JABAL SAYID LODE 1, SAUDI ARABIA
■ New orebody located less than 1km from existing lode at Jabal Sayid
■ Project design includes process plant upgrade, underground capital
development, ventilation, paste plant and underground mining
infrastructure upgrades
VELADERO PHASE 7 LEACH PAD, ARGENTINA
■ Construction of Phase 7A and 7B combined
with upcoming leach pad expansion in Phases
8 and 9 will allow the extension of the life of
mine to 10 years at an average production
rate of approximately 400,000oz p.a.
7
Barrick Gold Corporation | Annual Report 2023 WE ARE BARRICK
We are committed to partnering
with our host countries and
communities to transform
their natural resources into
tangible benefits for mutual
prosperity.
local hiring
We prioritize
and our highly diversified
workforce is drawn almost
entirely from our host nations
and equipped with world-
class skills.
OUR BUSINESS
Barrick is a sector-leading gold and copper producer. Our
portfolio spans the world’s most prolific gold and copper
districts and is focused on high-margin, long-life assets.
OUR PURPOSE
We are building the world’s most valued gold and copper
company by owning the best assets, managed by the best
people to deliver the best returns and benefits to all our
stakeholders.
OUR STRATEGY
We plan for the long term and continuously invest in
sustainable growth, with worldwide exploration programs
designed to deliver a steady stream of new business
opportunities.
8
Annual Report 2023 | Barrick Gold Corporation THE CASE FOR INVESTING
IN BARRICK
Best Asset Base
One of the largest portfolios of Tier One and
world-class gold and copper assets that is
unmatched in the industry, with more waiting in
the wings.
Growth from Robust Pipeline and
Continued Reserve Replacement
Our growth projects support and enhance current
production levels and we continue to add to our
reserve base organically through exploration.
Growing Copper Exposure
Disciplined Shareholder Returns
An industry-leading performance dividend
policy.
Leader in Sustainability
Sustainability is at the core of how we conduct
our business. Our approach to ESG is driven by
tangible on-the-ground action and measurable
results that benefit all stakeholders.
Well positioned
to capitalize on global
decarbonization trends driving the long-term
fundamental strength of copper.
Clear Runway
All our Tier One mines have 10-year business
plans — in some cases being rolled out to 15 and
20 years — firmly anchored in demonstrable
geological understanding, engineering and
commercial feasibility.
Exploration is the Foundation
Strong track record of exploration success —
new targets and projects extend mine lives
while we seek new world-class discoveries.
9
Barrick Gold Corporation | Annual Report 2023 LETTER FROM
THE CHAIRMAN
Five years have passed since we merged Barrick and Randgold to create a business with
a single focus: the delivery of real value to its stakeholders. We set out our mission in
clear terms – to build a business which will lead the mining industry on every front, with
a constantly replenished, global asset base of peerless quality; managed by a team with
an unparalleled record of recognizing and realizing opportunities while managing the
many difficulties inherent in mining and presented by an increasingly complex operating
environment.
Of course, these five years have not been without their
Mark Bristow and I have worked closely together to build
challenges, internal as well as external. Guided by the Board,
this new Barrick, to achieve its foundational goals and to
however, Barrick’s highly skilled and motivated management
create a clear roadmap for its future growth. I have therefore
overcame these with characteristic tenacity. The Merger’s
concluded that this is an appropriate time for me to transition
foundational creed was that the best assets run by the best
from my position as Executive Chairman to that of Chairman,
people would deliver the best returns. Barrick’s focus on
which became effective February 13, 2024. As Chairman,
Tier One assets and the results they are producing show
I will continue to provide leadership to the Board and together
unquestionably that its management ranks in the forefront of
we will be the custodians of the strategy of the Company.
the industry’s leadership. Through continuing investment in
Mark Bristow
remains President and Chief Executive
human capital, Barrick is recruiting and developing its next
and he will continue to develop the strategy and drive its
generation of high achievers.
implementation.
Looking back to the Merger, it is clear to me that we have
achieved all the initial objectives we set for ourselves. Barrick
has been restructured and repurposed as a modern mining
business. The renewed emphasis on exploration has placed
it in the unique position of more than replenishing the reserves
depleted by mining year after year. Major organic growth
projects will secure Barrick’s production profile well into the
future. Expanding the copper portfolio was one of Barrick’s
key strategic aims and when the new Lumwana and Reko
Diq mines are commissioned in 2028, Barrick will become
a major-league producer. In the meantime, we continue to
pursue opportunities for growing our copper portfolio.
Barrick’s balance sheet, once burdened by heavy debt, is now
one of the industry’s most robust and our strong operational
cash flows ensure that we have the capacity to fund existing
and new organic growth projects, as well as to take advantage
of any fresh opportunities that meet our stringent investment
criteria. We scan a wide horizon for such: Barrick’s footprint is
being expanded and currently comprises mines, projects and
exploration programs in 18 countries across four continents,
covering the main prospective regions for gold and copper.
10
Annual Report 2023 | Barrick Gold Corporation LETTER FROM THE CHAIRMAN (CONTINUED)
I wish to take this opportunity to pay tribute to Gustavo
On behalf of the Board and management team, I would
Cisneros, who passed away on December 29, 2023. Gustavo
like to extend our deepest gratitude and appreciation to
became a valued member of our Board in 2003, bringing
J Michael Evans, who will be retiring from the Barrick Board
with him a wealth of global business experience, which was
effective April 30, 2024. Michael’s invaluable contributions
both broad and deep. He was a towering figure in both the
and dedicated service have been an integral part of our
business and cultural landscapes of Latin America. Gustavo
company's journey since he joined the Board in 2014. His
was an exceptional businessman as well as a visionary who
leadership and expertise have played a significant role in
left an indelible mark on our Board and our Company. His
shaping our company's trajectory. We wish him all the best
wisdom, grace, and generosity inspired all those fortunate
in his future endeavors and express our heartfelt thanks for
enough to work alongside him. We deeply feel his absence
his exceptional service.
and we extend our heartfelt sympathies, thoughts, and
prayers to his beloved wife Patty and their three children
Guillermo, Carolina and Adriana.
In conclusion, I thank the members of the Board for their close
engagement in every aspect of the business and the strategic
direction we gain from their broad and deep experience.
The Board has also noted with great sadness the passing
We look forward to another year in which together with the
of the Chairman of Barrick’s International Advisory Board,
executive we continue to advance Barrick towards its goal
the Right Honourable Brian Mulroney, on February 29, 2024.
of being the world’s most valued gold and copper company.
One of the greatest statesmen of his generation, he was a
leader with a purpose who accomplished many vital goals
and did so with decency and skill. His insightful contribution
to geopolitical and other strategic issues will be sorely missed
and our deepest sympathies, thoughts and prayers are with
his wife Mila and their four children Caroline, Benedict, Mark
and Nicolas.
John L Thornton
Chairman
Gold, Copper and S&P 500 Performance – Indexed since 2000
e
c
n
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f
r
e
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e
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i
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t
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0
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1
=
e
s
a
B
(
800
700
600
500
400
300
200
100
0
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0
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2
1
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2
0
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Gold Price
Copper Price
S&P 500 Total Return Index
Source: Bloomberg
11
Barrick Gold Corporation | Annual Report 2023
BOARD OF DIRECTORS
John L Thornton
NON-INDEPENDENT,
CHAIRMAN
Director since February 2012
Nationality: American
John Thornton is the Chairman of the Barrick Board of Directors,
transitioning from Executive Chairman in February 2024.
He has decades of experience in global business, finance and
public affairs and has served as a director of numerous public
companies, including China Unicom, Ford, HSBC, Industrial and
Commercial Bank of China, Intel and News Corporation.
Mark Bristow
NON-INDEPENDENT, PRESIDENT AND
CHIEF EXECUTIVE OFFICER
Director since January 2019
Nationality: South African
Mark Bristow was formerly the chief executive of Randgold
Resources, the company he built from a small Africa-focused
exploration business into one of the industry’s most profitable
and best managed gold miners. He joined Barrick in his current
position with the Merger in January 2019. Mark restructured and
restrategised Barrick, and within months was the prime mover in
the combination of the Nevada assets of Barrick and Newmont,
creating the world’s single largest gold mining complex, Nevada
Gold Mines, majority-owned and operated by Barrick.
J Brett Harvey
INDEPENDENT AND LEAD DIRECTOR
Director since December 2005
Nationality: American
Chair of the Audit & Risk Committee
Audit Committee Financial Expert
Acting Chair of the ESG and
Nominating Committee
Member of the Compensation
Committee
Brett Harvey is chairman of the board of Warrior Met Coal Inc. He
was CONSOL Energy Inc’s chairman emeritus from May 2016 to
May 2017, chairman from January 2015 to May 2016, executive
chairman from May 2014 to January 2015, chairman and CEO
from June 2010 to May 2014, and CEO from January 1998 to
June 2010.
12
Helen Cai
INDEPENDENT DIRECTOR
Director since November 2021
Nationality: Chinese
Member of the Audit & Risk
Committee
Audit Committee Financial Expert
Member of the Compensation
Committee
Helen Cai has two decades of experience in finance and
investment. She was an equity research analyst with Goldman
Sachs covering the American mining and technology sectors.
Then, at China International Capital Corporation, she was a lead
analyst covering the greater China region, and later as a senior
investment banker headed various IPO, restructuring, and M&A
transactions.
Christopher L Coleman
INDEPENDENT DIRECTOR
Director since January 2019
Nationality: British
Chair of the Compensation
Committee
Member of the ESG &
Nominating Committee
Christopher Coleman is the chair of the board of Papa John’s
International Inc. He is also the group head of banking and a
global partner at Rothschild & Co and has more than 25 years’
experience in the financial services sector, including corporate
and private client banking and project finance. He has had a
long-standing involvement in the mining sector in Africa and
globally.
Annual Report 2023 | Barrick Gold Corporation BOARD OF DIRECTORS (CONTINUED)
Anne Kabagambe
INDEPENDENT DIRECTOR
Director since November 2020
Nationality: Ugandan
Member of the Audit & Risk
Committee
Member of the ESG &
Nominating Committee
Anne Kabagambe has 35 years’ experience spanning a diverse
range of senior leadership positions in international institutions.
She formerly served on the board of the World Bank Group
and, prior to the World Bank, spent 27 years at the African
Development Bank. She has also served on the boards of the
Africa American Institute and Junior Achievement Africa.
Andrew J Quinn
INDEPENDENT DIRECTOR
Director since January 2019
Nationality: British
Member of the Audit & Risk
Committee
For 15 years, prior to his retirement in 2011, Andy Quinn was
head of mining investment banking for Europe and Africa at
CIBC. He has more than 45 years’ experience in the mining
industry and, since 2016, has served as a non-executive director
of the London Bullion Market Association.
Loreto Silva
INDEPENDENT DIRECTOR
Director since August 2019
Nationality: Chilean
Member of the ESG & Nominating
Committee
Loreto Silva is a partner at the Chilean law firm Bofill Escobar
Silva Abogados. She is also a director of ICAFAL Ingeniería y
Construcción SA, a privately held infrastructure company in
Chile. In 2010, she was appointed Vice Minister of Public Works
and became the Minister of Public Works at the end of 2012, a
position she held until March 2014. She has been named one of
Chile’s 100 top woman leaders on four occasions.
13
Isela Costantini
INDEPENDENT DIRECTOR
Director since November 2022
Nationality: Brazilian,
Argentinian and American
Member of the Compensation
Committee
Isela Costantini has over 25 years of experience in international
business and is currently the chief executive of Grupo Financiero
GST, a privately held asset management company. Prior to
that, she was president and CEO of Argentina’s national airline,
Aerolíneas Argentina, as well as president and general director,
Argentina, Paraguay and Uruguay, for General Motors. Isela is
a member of Barrick’s International Advisory Board.
J Michael Evans
INDEPENDENT DIRECTOR
Director since July 2014
Nationality: Canadian
Member of the Audit & Risk
Committee
Audit Committee Financial Expert
Michael Evans is the president of Alibaba Group Holding Ltd,
a position he has held since August 2015. Prior to becoming
president, he was an independent director and member of the
audit committee of Alibaba Group Holding Ltd.
Brian L Greenspun
INDEPENDENT DIRECTOR
Director since July 2014
Nationality: American
Member of the ESG & Nominating
Committee
Member of the Compensation
Committee
Brian Greenspun is the publisher and editor of the Las Vegas
Sun. He is also chairman and CEO of Greenspun Media Group
and has been appointed to two US Presidential Commissions.
Barrick Gold Corporation | Annual Report 2023 MESSAGE FROM THE
PRESIDENT AND CEO
By the start of 2019, we had a clear strategy for building the new Barrick into the world’s
most valued mining company. As this Report shows, we have come a long way towards
achieving this objective. We now have a global platform with a peerless gold portfolio
and rapidly growing copper portfolio. Significantly, it also hosts a number of major
growth projects and a wealth of opportunities for further organic expansion.
Our foundational belief that combining the best assets with
There were no significant environmental incidents during the
the best people would yield the best results has produced an
year. Our continuing drive to improve our water management
industry-leading production profile, backed by a strong balance
has increased the group’s overall re-use and recovery rate to
sheet, as well as exceptional returns to shareholders, a pioneering
84%. Our Scope 1 and Scope 2 greenhouse gas reduction
partnership business model and a sustainability strategy that
drive delivered a 5% decrease year-on-year and a 15%
delivers tangible benefits. Under every heading – asset quality,
decrease against our roadmap’s 2018 baseline. In November
operational excellence and sustainable profitability – we have
we published our Scope 3 targets for indirect emissions in
now ticked virtually every box on our five-year report card.
our value chain. Major solar power expansion projects at
Nevada Gold Mines, Loulo-Gounkoto and Kibali are on track
for commissioning this year.
A leader in sustainability
Barrick was the first mining
company
to publish a
comprehensive Sustainability
Report with an objective
performance
scorecard.
The 2023 Report will be
published in April 2024.
P I C T B C
The principal differentiator between Barrick and its peers is
its unique record of asset base replenishment. Last year we
maintained this, increasing our gold reserves to 77 million
ounces and replacing 112% of our annual gold equivalent
productioni.
Since 2019, we have organically added
29 million ounces of attributable reserves, which, on a 100%
basis, represents 44 million ounces of reserve addition
across all Barrick-managed minesii. We are also poised to
add more gold and copper reserves and substantially expand
our copper production profile as the Reko Diq and Lumwana
Expansion projects complete their respective
feasibility
studies by the end of 2024 before moving to construction.
Our key growth projects are profiled elsewhere in this Report.
Protecting our people, caring for the
environment
The health and safety of our workforce remain a priority and
last year we again made progress on what we call our Journey
to Zero, posting the best results since the Merger. While both
the Lost Time Injury Frequency Rate (LTIFR)i and the Total
Recordable Injury Rate (TRIFR)i continued to come down, this
record was sadly tarnished by a number of fatalities. Clearly
there is no room for complacency and our focus remains on
that Zero goal. The enormous progress made in this regard
by our Latin America and Asia Pacific region shows that this
is well within our global reach.
Our concern for our people extends to the communities
that host our mines. Malaria is by a wide margin Africa’s
greatest health scourge. Since 2019 the preventative
measures Barrick instituted have decreased the incidence
of this disease around our operations by 33%, by gradually
eliminating its mosquito-borne transmission.
14
Annual Report 2023 | Barrick Gold Corporation MESSAGE FROM THE PRESIDENT AND CEO (CONTINUED)
Our commitment to real sustainability has long been the
Strong finish to the year
bedrock of our business and it is based on a holistic
approach which integrates all aspects of our environmental
and community responsibilities, as distinct from the siloed
ESG model. Its aim is not only to secure Barrick’s sustainable
profitability, but to make sustainability the core of all its
activities.
Barrick had a slow start to the year with operational issues
at Nevada Gold Mines and Kibali and commissioning
setbacks with Pueblo Viejo’s plant expansion impacting on
production. In true Barrick fashion, we kept our focus, dealt
with the challenges, progressed our long-term strategic plans
and delivered on some of our key objectives. We achieved
This strategy is based on sharing the benefits of our operations
a steady quarter-on-quarter improvement but despite a
with our stakeholders and is fundamental to our social
particularly good Q4, we fell fractionally short of our gold
licence to operate. It includes employing local people (97%
production guidance. Copper met its guidance.
of our employees are host country nationals), procuring from
local businesses and investing in the social and economic
development of local communities. It also encompasses our
biodiversity initiatives, such as the reintroduction of white
rhinos to the Garamba National Park in the Democratic
Republic of Congo and the reclamation and rehabilitation of
land.
Barrick’s pioneering partnership philosophy is a key
component of its commitment to sustainability. It has already
transformed the once-derelict Tanzanian gold mines into a
complex with Tier One potential; reconstituted the Reko Diq
project in Pakistan and is now developing it into one of the
world’s largest copper and gold producers; and after more
than three years of negotiation achieved an agreement for the
re-opening of the Porgera gold mine in Papua New Guinea.
Highlights of the year were the gold and copper reserve
replacement I mentioned earlier and the usual strong
performance from our Africa and Middle East region.
Our financial results were more than satisfactory, again
demonstrating the ability of our asset portfolio to create value,
admittedly with the wind of a record gold price at our backs.
The year-on-year operating cash flow increased by 7%, the
free cash flow grew by 50% and the adjusted net earnings
per share rose by 12%. The performance of the business
and the continued strength of our balance sheet, reflected
in our investment-grade credit rating, allowed us to maintain
a robust dividend to our shareholders in 2023. Subsequent
to the year-end, Barrick announced a new $1 billion share
buyback program.
2024 to 2028 Cumulative Attributable Operating Cash Flow from Operating Mines1,iii
Operating cash flow, $ billion
For every $100/oz change in gold price, attributable operating
cash flow generated by our operations increases by ~$1.6bn
For every $0.5/lb change in copper price, attributable operating
cash flow generated by our operations increases by ~$0.9bn
O u r p r i c e l e v e r a g e i s m a g n i f i e d b y o w n i n g s i x T i e r O n e g o l d a s s e t s
30
20
10
0
$1,500/oz
$3.00/lb
$1,600/oz
$3.20/lb
$1,700/oz
$3.40/lb
$1,800/oz
$3.60/lb
$1,900/oz
$3.80/lb
$2,000/oz
$4.00/lb
$2,100/oz
$4.20/lb
$2,200/oz
$4.40/lb
Gold and copper price assumptions
Tier One gold assets2
Other gold assets2
Copper assets2
1
2
On an attributable basis, excluding corporate-level costs such as interest, exploration, evaluation and project costs, G&A as well as closure
costs (in aggregate approximately $0.8bn per year). Also does not include capital expenditures which are forecast to be ~$15bn (on
attributable basis) over the 2024-2028 period. The ~$15bn in capital requirements is inclusive of construction capital for the Lumwana
Super Pit and Reko Diq projects, albeit the benefit from these projects will only be received from 2028 and beyond.
Does not include capital requirements.
15
Barrick Gold Corporation | Annual Report 2023 MESSAGE FROM THE PRESIDENT AND CEO (CONTINUED)
Cumulative Distribution to Shareholders since the Merger
$ million
5,000
4,000
3,000
2,000
1,000
0
2019
2020
2021
2022
2023
Dividends
Return of capital
Share buybacks
10-Year Gold and Copper Production Outlook (GEO koz)iii
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0
2024
2025
2026
2027
2028
2029
2030
2031
2032
2033
Gold
Copper
Lumwana Super Pit
Reko Diq
On an attributable basis. Gold Equivalent oz from copper assets are calculated using a gold price of $1,900/oz for
2024 and $1,300/oz 2025+; and copper price of $3.50/lb for 2024 and $3.00/lb 2025+. Includes gold and copper
production profile for Reko Diq and copper production profile for the Lumwana Super Pit expansion, both of which
are conceptual in nature.
Mark Bristow shaking hands with the head of
the Prevention and Combating of Corruption
Bureau, Tarime, Protas Sambagi at a Community
Development Committee event near North Mara.
16
Annual Report 2023 | Barrick Gold Corporation
MESSAGE FROM THE PRESIDENT AND CEO (CONTINUED)
The year ahead
There will be some exciting developments in 2024 as we
advance our organic growth strategy. In Nevada, which
hosts three of our Tier One gold mines, Cortez received the
long-awaited Record of Decision for Goldrush just before the
end of last year, allowing it to accelerate the development of
this project, which is forecast to produce 130,000 ounces
of gold in 2024, rising to 400,000 ounces per year by 2028i.
Far from being a mature destination, this vast area is rich
in potential for further world-class discoveries as well as
opportunities for reserve replacement and expansion, which
we are aggressively pursuing. We are ramping up the drilling
and evaluation of the Barrick-owned Fourmile project,
adjacent to Goldrush, with a view to starting a prefeasibility
study at year-end. Elsewhere Robertson is a particularly
significant target, where step-out drilling has confirmed an
upside potential which comes with the additional advantage
of mostly oxide ore.
We also continue to have a 30% increase in gold equivalent
production by the end of this decade in our sights. Importantly,
we have the balance sheet strength and operating cash
flows to fund this growth while maintaining our industry-
leading credit rating. I have no doubt that our strategies and
partnerships, together with the quality of our assets and our
people, will create real and sustainable long-term value for
our shareholders and our stakeholders.
The best people
Our nil premium transactions five years ago equipped the
new Barrick with most of the best assets it needed. Our
first challenge was to assemble the best people to run them
and to provide these teams with the structure and support
in which they could flourish. We sought not only technical
excellence but shared values: accountability, tenacity, an
entrepreneurial spirit and a sense of ownership. As our
progress and performance show, we found them. I thank
everyone at Barrick for the personal contribution they made
In the Dominican Republic, our flagship growth project, the
to last year’s operating and financial performance.
expansion of Pueblo Viejo, is addressing its teething problems
and is forecast to get back on track this quarter: to sustain an
average annual production in excess of 800,000 ounces over
a Life of Mine that will extend beyond 2040.
We continue to identify and groom Barrick’s next generation
of leaders, who will be equipped to manage the challenges
of a continually changing operating environment. Our local
employment policy has given us one of the world’s most
Our strategic decision to invest in the expansion of our
diverse workforces in terms of nationality, gender, race and
copper portfolio led to the $2 billion Super Pit expansion
religion. We continue to enhance our employee profile
project at Lumwana in Zambia. This will transform Lumwana
through targeted recruitment and training programs. Led
into one of the world’s major copper mines, with a projected
by our Latin American operations, which are having an
extraordinary success in this regard, we are attracting more
women to our traditionally male-dominated industry.
In conclusion I would like to thank the Board for their wise
guidance and scrupulous corporate governance. A particular
word of appreciation for John Thornton who has transitioned
from his role as Executive Chairman to Chairman. John and
I shared the vision that gave birth to the new Barrick and we
have worked together productively to make that vision a
reality. I look forward to continuing our partnership.
Mark Bristow
President and Chief Executive
annual production of 240,000 tonnes over a more than
30-year lifei. It is scheduled to go into production in 2028,
at the same time as the even larger copper-gold Reko Diq
project in Pakistan. Together they will promote Barrick into
the premier league of copper producers.
The voyage continues
To be world-class you have to be global and Barrick’s
presence now extends across all the world’s major gold
and copper districts outside Russia and China. This is a
solid foundation on which we can grow our production and
our value, directed by a proven strategy and supported by
the broad spectrum of skills we have developed to build a
modern mining business. Discovery and development are
the true drivers of value and our strong focus on exploration is
evident in our widespread hunt for new discoveries with Tier
One potential as well as reserve replenishment opportunities.
The bar chart which appears on page 16 shows Barrick’s
10-year gold and production outlook, expressed
in
gold equivalent ounces. Our proven ability to replace
the ounces of gold and pounds of copper we mine,
and the organic growth opportunities embedded in our
business give us the confidence to believe that we can
deliver on this forecast without dilutionary acquisitions.
17
Barrick Gold Corporation | Annual Report 2023 EXECUTIVE COMMITTEE
Mark Bristow
PRESIDENT AND CHIEF EXECUTIVE
Mark Bristow was formerly the chief
executive of Randgold Resources, the
company he built from a small Africa-
focused exploration business into one
of the industry’s most profitable and
best managed gold miners. He joined Barrick in his current
position with the Merger in January 2019. Mark restructured
and restrategised Barrick, and within months he was the prime
mover in the combination of the Nevada assets of Barrick
and Newmont, creating the world’s single largest gold mining
complex, Nevada Gold Mines, majority-owned and operated by
Barrick. His goal is to make Barrick the world’s most valued gold
and copper producer, owning the best assets, managed by the
best people, and delivering industry leading returns.
Graham Shuttleworth
SENIOR EXECUTIVE VICE-PRESIDENT,
CHIEF FINANCIAL OFFICER
Graham Shuttleworth is a Chartered
Accountant with over 29 years’ mining
industry experience. Previously, he
was the Financial Director and Chief
Financial Officer of Randgold from July 2007, and prior to that
was the managing director and head of metals and mining for
the Americas in the global investment banking division of HSBC.
He became the Senior Executive Vice-President and CFO of
Barrick at the time of the Merger with Randgold in January 2019.
Kevin Thomson
SENIOR EXECUTIVE VICE-PRESIDENT,
STRATEGIC MATTERS
Kevin Thomson joined Barrick in 2014.
He was previously a senior partner
at one of Canada’s leading law firms,
specializing in mergers and acquisitions.
He is responsible for all matters of strategic significance to
Barrick, including the management of legal issues related to
complex negotiations, corporate strategy and governance.
Sebastiaan Bock
CHIEF OPERATING OFFICER,
AFRICA AND MIDDLE EAST
joined Randgold
Sebastiaan Bock
in 2008 and assumed the position
of Senior Vice-President and Chief
Financial Officer for the Africa and
Middle East region at the time of the Merger. He became the
executive responsible for the Africa and Middle East region in
July 2022. His broad experience includes operations, finance
and legal across multiple jurisdictions. He is a Chartered
Accountant and a graduate of the executive program at
Harvard Business School.
Christine Keener
CHIEF OPERATING OFFICER,
NORTH AMERICA
is
Christine Keener
the executive
responsible for the North America region
and was appointed in February 2022.
She has a diversified background
having worked in finance, strategy, a number of commercial
roles and more recently in operations. Christine formerly served
as vice president of operations, Europe and North America, as
well as vice president commercial and strategy, aluminum for
Alcoa. She holds an MBA from Carnegie Mellon University and
a Bachelor of Accounting from Grove City College.
Peter Richardson
EXECUTIVE MANAGING DIRECTOR,
NEVADA GOLD MINES
Peter Richardson was appointed
Executive Managing Director of Nevada
Gold Mines in October 2022. He was
formerly senior vice president and chief
operating officer for Lundin Mining Corp and before that worked
in increasing leadership roles at Boliden AB. Peter holds an MSc
in Metallurgical Engineering and has over 29 years’ experience in
the mining industry.
Mark Hill
CHIEF OPERATING OFFICER,
LATIN AMERICA AND ASIA PACIFIC
Lois Wark
GROUP CORPORATE
COMMUNICATIONS AND INVESTOR
RELATIONS EXECUTIVE
Mark Hill is the executive responsible
for the Latin America and Asia Pacific
region, a role he assumed in January
2019. He was formerly Chief Investment
Officer of Barrick, chairing its investment committee and has
more than 29 years’ experience in the mining industry.
Lois Wark joined Randgold when the
company was established in 1995 and
headed its corporate communications
function for 20 years. In January 2019, following the Merger, she
assumed responsibility as executive in charge of Barrick’s global
corporate communications and investor relations programs.
18
Annual Report 2023 | Barrick Gold Corporation EXECUTIVE COMMITTEE (CONTINUED)
Riaan Grobler
COMMERCIAL AND SUPPLY
CHAIN EXECUTIVE
John Steele
METALLURGY, ENGINEERING AND
CAPITAL PROJECTS EXECUTIVE
Riaan Grobler holds an Honours
degree in Finance and has 25 years’
experience in the gold mining industry.
He was appointed Group Commercial
and Supply Chain General Manager for Randgold in 2014 and
Senior Vice President Commercial and Supply Chain for Barrick
following the Merger in January 2019. In 2021, Riaan was
appointed Commercial and Supply Chain Executive.
the
executive
is
John Steele
responsible for capital projects and
provides operational and engineering
oversight to the group, a role he
assumed following the Merger in January 2019. He joined
Randgold in 1996 and was responsible for the successful
construction and commissioning of Randgold’s Morila, Loulo,
Tongon, Gounkoto and Kibali mines.
Grant Beringer
GROUP SUSTAINABILITY EXECUTIVE
Poupak Bahamin
GENERAL COUNSEL
Beringer
oversees
all
Grant
sustainability related aspects for the
company and is a member of the
Environmental & Social Oversight
Committee. He holds an MSc in
Environmental Management and has over 20 years’ experience
in the environmental and social consulting industry.
Glenn Heard
MINING EXECUTIVE
Poupak Bahamin joined Barrick in 2020
as Deputy General Counsel and was
appointed General Counsel in April 2022.
Previously, she served as a partner and
co-head of mining US at Norton Rose
Fulbright. Poupak has over 30 years’ legal experience having
practiced in Canada, France and the United States. She has been
listed in Who’s Who Legal Directory for Mining and recognized by
Chambers Global as a DRC Foreign Expert for general business
law as well as corporate and M&A work.
Glenn Heard is a mining engineer
with a Bachelor of Engineering
(Mining) Honours and over 31 years’
mining experience. In 2017, he was
appointed Randgold’s Group General
Manager – Mining and then Senior Vice President Mining for
Barrick following the Merger in January 2019. In 2021, Glenn
was appointed Mining Executive responsible for technical and
operational oversight.
Darian Rich
HUMAN RESOURCES EXECUTIVE
Darian Rich, who has more than 29
years’ experience in human resource
management,
appointed
Executive Vice-President, Talent
Management, in July 2014, when
he was tasked with attracting, retaining and developing
exceptional people.
was
Joel Holliday
EXECUTIVE VICE-PRESIDENT,
EXPLORATION
Joel has an Honours degree
in
Geology and 25 years’ experience in
exploration. Joel assumed leadership
of Barrick’s global exploration team in
November 2021. Since the merger with Randgold Resources
in 2019, he served as Barrick’s Senior Vice-President for Global
Exploration with a focus on new exploration initiatives across
the group. Prior to that, Joel worked in various exploration
roles in Randgold over 15 years, managing exploration teams
which made multiple discoveries including the world-class
Gounkoto deposit in Mali.
Simon Bottoms
MINERAL RESOURCE MANAGEMENT
AND EVALUATION EXECUTIVE
Simon Bottoms joined Randgold in
2013 and following the Merger in
2019, served as the Mineral Resource
for Barrick’s Africa and
Manager
Middle East region, responsible for leading geology, mine
planning and associated operational execution within the
region. In October 2022, he was appointed Mineral Resource
Management and Evaluation Executive. He is a Chartered
Geologist and has a Master’s degree in Geology from the
University of Southampton.
19
Barrick Gold Corporation | Annual Report 2023 FINANCIAL REVIEW
Five years post the transformational merger, the Barrick of today represents the delivery
of what was envisaged in September 2018 with one of the strongest balance sheets in
the industry, as evidenced by its industry leading credit ratings.
This means Barrick is well positioned to fund its next
Turning
to shareholder
returns, Barrick’s performance
phase of growth. The year was not without its challenges,
dividend policy is designed to provide investors with exposure
notably at Pueblo Viejo and Nevada Gold Mines, with lower
to the upside that comes from higher gold and copper prices
production increasing costs per ounce production for the
as well as the certainty of the base dividend through the
year. Notwithstanding these challenges, Barrick was still able
cycle. The company has also renewed the $1 billion share
buyback program for another 12 months providing it with
another tool to manage its capital structure and enhance
shareholder returns. As part of the focus on free cash flowi,
Barrick continues to identify opportunities to drive cost
efficiencies in the business while maintaining a simplified
operating model. Barrick’s industry leading low corporate
costs are a function of both the portfolio rationalization it has
undertaken in line with its clearly articulated strategy as well
as the investment in management systems over the past few
years, which allows Barrick to do more with fewer resources.
to deliver a strong set of financial results generating more
than $11 billion in revenue, attributable EBITDAi margins in
excess of 40%, higher year on year operating cash flow,
a 50% increase in free cash flowi and a 200% increase in
earnings per share.
Escalating input costs have been a challenge in the prior
two years, including higher energy costs, but the company
has seen a moderation in these pressures in 2023. Across
the portfolio, operating costs per tonne mined were 4%
higher relative to 2022, with some benefit from moderating
energy prices offset by higher labour costs, particularly in
North America. Looking forward, Barrick is expecting this
to stabilize and as such the guidance for 2024 has costs in
line with 2023. In addition, changes in mix of production with
a higher contribution from Pueblo Viejo and grade changes
should continue to drive costs per ounce lower over the next
five years.
Barrick’s investment in a common system platform across the
group over the last few years has allowed it to manage the
business with real time data analytics to mitigate the cost
pressures and ensure timely interventions. To ensure it can
continue to deliver value into the 2030s and beyond, Barrick
is embarking on a major investment phase with the organic
growth projects at Lumwana and Reko Diq, both of which
are now included in Barrick’s capital expenditure forecasts.
Importantly, on the back of a strong balance sheet and Tier
One assets, Barrick is able to fund these projects from free
cash flow and existing sources of liquidity.
20
Annual Report 2023 | Barrick Gold Corporation FINANCIAL REVIEW (CONTINUED)
Identifying and effectively dealing with risk is also key to a
safe and sustainable business and is an integral part of how
Barrick protects and creates value and this framework will
be applied to manage the next growth phase. With Barrick’s
world class asset portfolio and exciting growth opportunities,
the company continues to be excited by the additional value
these projects will deliver to achieve the goal of becoming the
world’s most valued gold and copper mining company.
Graham Shuttleworth
Senior Executive Vice-President, Chief Financial Officer
Barrick 5-Year Gold Outlookiii
Gold production (attributable) Moz
Total gold capital expendituresi (attributable) $ billion
Cost of Salesi, Total Cash Costsi
and AISC $/ozi
6.0
5.0
4.0
3.0
2.0
1.0
0
1,500
1,250
1,000
750
500
250
0
2023
2024
2025
2026
2027
2028
North America
Cost of sales
Latin America and Asia Pacific
Total cash costs
AISC
Africa and Middle East
Total gold capital
Per ounce cost metrics are presented in real terms.
Royalty expenses included in the per ounce cost metrics are based on a gold price assumption of $1,900/oz for 2024 onwards.
Production in 2028 includes production from Reko Diq.
Our realized gold price in 2023 was $1,948/oz.
Gold equivalent ounces (GEO) are calculated using reserve prices – $1,300/oz for gold and $3.00/lb for copper.
Barrick 5-Year Copper Outlookiii
Copper production (attributable), Mlbs
Cost of Salesi, C1 Cash Costsi and AISCi, $/lb
Total copper capital expenditures (attributable) $ billion
700
600
500
400
300
200
100
0
3.50
3.00
2.50
2.00
1.50
1.00
0.50
0
2023
2024
2025
2026
2027
2028
Lumwana
Cost of sales
Zaldivar
C1 cash costs
Jabal Sayid
AISC
Reko Diq
Total copper capital
Per pound cost metrics are presented in real terms.
Royalty expenses included in the per pound cost metrics are based on a copper price assumption of $3.50/lb for 2024 onwards.
Production in 2028 includes copper production from Reko Diq and Lumwana Super Pit.
Our realized copper price in 2023 was $3.85/lb.
21
Barrick Gold Corporation | Annual Report 2023 GOLD MARKET OVERVIEW
The average price of gold in 2023 was $1,941/oz, an 8% increase over the $1,800/oz
average in 2022. $1,941/oz was the highest annual average price on record, exceeding
the previous high reached in 2022. It was the eighth straight year of annual average gold
price increases.
2023 marked another year of global economic challenges,
led by continued high levels of inflation and rising interest
rates. Through these difficult periods, gold has continued
to underscore its value as a safe haven investment and store
of value. The gold price at the end of 2023 was $2,078/oz,
above the annual average for the year, and has continued to
be strong in the early months of 2024.
After 2020’s historically low global nominal interest rates,
including a benchmark rate range of 0% to 0.25% in the
United States to help counteract the negative economic
impact of the Covid-19 pandemic, benchmark interest rates
were raised substantially during 2022 and 2023 to manage
inflation. Rising benchmark interest rates in early 2023
ultimately led to a reduction in inflation from long-term highs.
As expectations for a peak in benchmark rates for 2023
took hold and expectations for benchmark rate cuts in 2024
grew, the value of the trade-weighted US dollar continued
to moderate. When combined with geopolitical tensions,
including the conflict in the Middle East and the continued
invasion of Ukraine by Russia, the gold price traded at an all-
time high of $2,135/oz in December 2023.
Strong demand
Demand for gold remained strong in 2023 with the World
Gold Council reporting total demand of 4,899 tonnes, up 3%
from the prior year, reflecting continued elevated levels of net
purchases from global central banks tempered by outflows in
global gold ETFs.
The World Gold Council reported
that collective ETF
gold holdings decreased by 244 tonnes during the year,
representing the largest level of annual outflows since 2013.
Demand in gold-backed ETFs, bar and coin declined by a
combined 15% in 2023 but this was more than offset by other
investment demand, including over-the-counter transactions.
Central bank purchases continued at an impressive pace
during 2023, exceeding 1,000 tonnes for the second
consecutive year. 2022 and 2023 represented the two
highest levels of net purchases in over 50 years. The World
Gold Council estimates that global central banks added 1,037
tonnes to their reserves during 2023, the 14th consecutive
year of net purchases. The People’s Bank of China was the
largest single buyer of gold during the year, with reported
purchases of 225 tonnes representing the country’s highest
annual purchases since at least 1977.
During the worst impacts of the Covid-19 pandemic, some
central banks looked to their holdings of gold as a source
of liquidity in difficult economic times. Their ability to do so
provides a strong statement as to why gold is a valuable
reserve asset and a key source of reserve diversification. The
strong level of purchases in the following years shows that
central banks view gold positively and as a long-term store
of value.
Global jewellery consumption increased modestly in 2023,
with the increase being led by 10% growth in Chinese
consumption after the removal of Covid-19 restrictions in
the country. This was partially offset by a reduction in Indian
consumption that was impacted by a weakening of the
local currency. As a result of these divergent trends, China
regained the mantle as the country with the highest level of
gold jewellery consumption. On a combined basis, India and
China represented approximately 57% of global gold jewellery
demand in 2023, up slightly from 56% in the prior year.
Gold demand for technology, electronics and other industrial
uses fell by 3% in 2023 due in part to a challenging economic
environment.
Recycled gold increase
The overall supply of gold in 2023 increased by 3% due
mainly to an increase in recycled gold.
The supply of recycled gold increased by 9% but was still
approximately 30% lower than the all-time high reached in
2009, despite record high gold prices.
Global mine production rose modestly for the third year in a
row but still remained slightly below the peak reached in 2018.
This highlights the mining industry’s difficulty in increasing
production despite the fourth straight year of record high
annual average prices. As gold prices have increased and
capital has become more readily available in recent years,
there is continued evidence of increased spending on
exploration. However, the costs of mine construction and
the time required for environmental studies and permitting
activities before reaching the production stage means that
a return to sustained global production growth remains a
challenge.
22
Annual Report 2023 | Barrick Gold Corporation Annual Demand – Gold ETFs and Similar Products
Tonnes, net
1,000
COPPER MARKET
OVERVIEW
800
600
400
200
0
-200
-400
-600
-800
-1,000
Year
10 11 12 13 14 15 16 17 18 19
20 21 22 23
Global Annual Gold Mine Production
Tonnes
4,000
3,500
3,000
2,500
2,000
1,500
1,000
500
0
Year
In 2023, the price of copper remained
strong with an average annual price of
$3.85/lb, modestly down from 2022’s
annual average of $3.99/lb.
After experiencing volatility in the previous year, copper
prices traded in a relatively narrow range of $3.56/lb
to $4.33/lb in 2023. High interest rates and economic
concerns kept near-term prices rangebound despite
rising demand and supply limitations.
Chinese demand
China’s GDP grew by 5.2% in 2023 after the country
ended Covid-19 lockdown measures. China is by far the
world’s largest consumer of copper and overall demand
for the metal is significantly impacted by economic
activity in the country. With the International Monetary
Fund projecting China’s GDP to grow by an additional
4.6% in 2024, combined with low levels of global copper
stockpiles and constrained mine supply due in part to
production disruptions, there should be a corresponding
positive impact on copper prices.
In the longer run, due to the critical role that copper will
play in the energy transition, though the manufacture of
electric vehicles, EV batteries, solar panels, wind turbines,
and power grids, the outlook for copper demand in the
coming years remains very positive.
10 11 12 13 14 15 16 17 18 19
20 21 22 23
Price volatility
Official Sector Net Purchases and Gold Prices
gold and copper have increased impacted by challenges
Since the turn of the century, the market prices of both
Tonnes
1,200
1,000
800
600
400
200
0
Year 10 11 12 13 14 15 16 17 18 19 20 21 22 23
Central banks and other institutions
London Bullion Market Association gold price
Source: World Gold Council
facing
the global economy.
Copper prices have
experienced greater volatility while gold prices showed
more consistent strength. Over this period, increases
in gold prices have exceeded the S&P 500 Total Return
Index with copper prices keeping pace, demonstrating the
long-term benefits of holding hard assets in an investment
portfolio.
$/oz
2,000
1,800
1,600
1,400
1,200
1,000
800
23
Barrick Gold Corporation | Annual Report 2023 OUR REGIONS AND OPERATIONS:
NORTH AMERICA1
Barrick is the largest gold producer in the United States. Nevada Gold Mines (NGM) is the
single largest gold mining complex in the world and anchors the group’s production from
this region. Barrick is the operator and owns 61.5% of this joint venture, which includes
three of the company’s Tier One Gold assets1 – Carlin, Cortez and Turquoise Ridge.
Nevada Gold Mines (61.5%)
100% production: 3,032koz
Attributable production: 1,865koz
Donlin (50%)
M&I Resources2,i: 20Moz
Inferred Resources2,i: 3.0Moz
Carlin Complex
100% production: 1,411koz
Attributable production: 868koz
P&P Reservesi: 9.7Moz
M&I Resources2,i: 16Moz
Inferred Resources2,i: 6.2Moz
Cortez Complex3
100% production: 892koz
Attributable production: 549koz
P&P Reservesi: 9.0Moz
M&I Resources2,i: 12Moz
Inferred Resources2,i: 4.0Moz
Turquoise Ridge
100% production: 514koz
Attributable production: 316koz
P&P Reservesi: 8.6Moz
M&I Resources2,i: 12Moz
Inferred Resources2,i: 0.97Moz
Phoenix
100% production: 200koz
Attributable production: 123koz
P&P Reservesi: 1.9Moz
M&I Resources2,i: 3.9Moz
Inferred Resources2,i: 0.31Moz
Long Canyon
100% production: 15koz
Attributable production: 9koz
M&I Resources2,i: 0.82Moz
Inferred Resources2,i: 0.18Moz
24
CANADA
Golden Sunlight (100%)
USA
Fourmile (100%)
M&I Resources2,i: 0.48Moz
Inferred Resources2,i: 2.7Moz
1
2
3
Hemlo (100%)
100% production: 141koz
P&P Reservesi: 1.7Moz
M&I Resources2,i: 3.2Moz
Inferred Resources2,i: 0.62Moz
Corporate Office, Toronto
Tier One gold mines
Other gold mines
Pipeline projects
In closure
All figures as at December 31, 2023.
Figures for mineral reserves and mineral
resources are attributable to Barrick.
Mineral resources are reported inclusive
of mineral reserves.
Mineral reserves and resources at Cortez
are reported inclusive of Goldrush.
Annual Report 2023 | Barrick Gold Corporation OUR REGIONS AND OPERATIONS: NORTH AMERICA (CONTINUED)
REGIONAL HIGHLIGHTS
Attributable
Gold Production
2,006koz
LTIFRi
0.86
AISC Costsi
P&P Reservesi
$1,388/oz
30.9Moz
Total Cash Costsi
$1,017/oz
Attributable Gold Production
Gold Cost of Salesi, Total Cash Costsi and AISCi
1,995
2,006
1,750
to
1,950
koz
2,500
2,000
1,500
1,000
500
0
$/oz
1,400
1,200
1,000
800
600
400
200
0
1,238
1,252
912
1,368
1,388
1,017
1,350
to
1,450
1,370
to
1,470
1,000
to
1,080
2022
2023
2024
(est)1
1
Based on the midpoint of the guidance range.
2022
2023
2024 (est)1
Cost of sales
Total cash costs
AISC
1
Based on the midpoint of the guidance range.
Attributable Gold Mineral Reserves
and Resources1,i
North America 5-year Gold Outlookiii
Moz
80
70
60
50
40
30
20
10
0
68
31
18
Inferred
resources
Proven
and
probable
reserves
Measured
and
indicated
resources
3.00
2.50
2.00
1.50
1.00
0.50
0
1
Mineral resources are reported inclusive of
mineral reserves.
Gold production (attributable) Moz
Total gold capital expendituresi (attributable) $ billion
Cost of salesi
Total cash costsi
AISCi
$/oz
1,500
1,250
1,000
750
500
250
0
2023
Carlin
Phoenix
2024
2025
2026
2027
2028
Cortez
Hemlo
Turquoise Ridge
Cost of sales
Total cash costs
AISC
Total capital
Costs are presented in real terms and incorporate impact of royalties
assuming gold price of $1,900/oz.
25
Barrick Gold Corporation | Annual Report 2023 OUR REGIONS AND OPERATIONS: NORTH AMERICA (CONTINUED)
The creation of the NGM joint venture (JV) was driven by
the opportunity to unlock value through the combination of
The Turquoise Ridge complex consists of multiple open
pit and underground mines as well as an autoclave, oxide
Barrick’s and Newmont’s assets in Nevada. This is shown by
mill and heap leach pads. The high-grade Turquoise Ridge
the extension of process facility lives, optimized ore routing
underground mine is the value driver of the complex. The Third
to improve recovery and reduce costs, and the removal of toll
Shaft was commissioned in Q4 2022 and is now providing
treatment charges to lower costs and improve the cut-off grade
additional ventilation for underground mining operations, as
at Turquoise Ridge. In addition, the improvement of orebody
well as shorter haulage distances. At the Sage autoclave,
knowledge and expertise following the establishment of the
significant investment in infrastructure is being made together
JV continues to deliver additional resources and exploration
with improvements in maintenance practices, to enhance
opportunities along the fence lines of the properties previously
performance and reliability at higher throughput volumes.
unexplored. In 2023, attributable gold production from NGM
Reserve growth for Turquoise Ridge continues to be driven
was approximately 1.9 million ounces.
by the open pit with the addition of Cut 40 and improved
The Carlin complex consists of multiple open pit and
underground mines and several processing facilities. These
include two roasters, an autoclave, heap leach pads and an
oxide mill that was decommissioned at the end of the first
quarter of 2023. Pouring its 100 millionth ounce of gold in
stockpile economics. Additional resources were also added
this year in the open pit at Cut 55 and at Turquoise Ridge
Underground.
Completing the NGM portfolio is Phoenix. The copper by-
product generated by the mine provides diversification and
2022, Carlin rivals any gold complex in the world. Additions
further cash flow growth from this strategic metal. At Long
to reserves at Leeville, Miramar (formerly North Leeville),
Canyon, following the completion of further studies, we
Rita K and Pete Bajo as well as increases in resources at
have decided not to pursue the permitting associated with
Leeville, Fallon (formerly North Leeville) and Rita K will
Phase 2 mining at this time and have removed those ounces
ensure continued production well into the future. In 2023,
from our life of mine plan.
the Goldstrike autoclave was converted to a carbon-in-leach
(CIL) operation allowing for the earlier treatment of long-term
stockpiles at higher recovery. Phase One of the Gold Quarry
Roaster expansion was also completed with the second
and final stage to take place in the latter half of 2024, and is
expected to deliver an additional 20% in throughput.
The Cortez complex consists of multiple open pit and
underground mines and multiple processing facilities. These
include an oxide mill and heap leach pads with refractory
material transported to and processed at the Carlin complex.
Pouring its first gold over 150 years ago, as in the case of
Carlin, Cortez is expected to continue producing long into
the future through the addition of projects such as Goldrush,
Robertson and Fourmile. The Record of Decision (ROD) for
Goldrush was issued on December 8, 2023 and work has
Elsewhere in North America, the tailings reprocessing project
at Golden Sunlight continues to ramp-up and we expect the
project to reach full production towards the end of 2024. The
reprocessing of high-sulphide tailings eliminates the need for
perpetual water treatment, providing a valuable fuel source
for the Carlin roasters, and facilitating proper closure.
At Hemlo, most underground physicals continued to steadily
improve in 2023, and further productivity enhancements
remain the key focus for the near term. We advanced studies
for the potential restart of an open pit, which would greatly
improve Hemlo’s life of mine, and first production could be
achieved as early as 2026.
At Donlin, during
geotechnical data was gathered for baseline engineering
field season, additional
the 2023
since started on surface infrastructure accesses. The mine
to support permitting water retention dams and the tailings
can now complete the construction of the first ventilation
storage facility. Trade-off studies and analysis on project
raise, alleviating the ventilation constraints and allowing for
assumptions, inputs, design components for optimization
the continued ramp up of the Goldrush operation. Goldrush
(mine engineering, metallurgy, hydrology, power, and
is a long-life underground mine with projected annual
infrastructure) were also conducted and will continue in 2024.
production of more than 400,000 ounces per annum (100%
basis) by 2028i. Reserves at Robertson and resources at
Hanson continued to grow, with additional exploration upside
being further tested in 2024 at both Distal and Hanson. This
growth contributes meaningfully to Cortez’s production profile
extending it beyond the 10-year outlook.
26
Annual Report 2023 | Barrick Gold Corporation OUR REGIONS AND OPERATIONS: NORTH AMERICA (CONTINUED)
27
Barrick Gold Corporation | Annual Report 2023 OUR REGIONS AND OPERATIONS:
LATIN AMERICA AND ASIA PACIFIC1
Barrick’s Latin America and
Asia Pacific portfolio includes
operations and projects in
South America, Dominican
Republic, Pakistan
and
Papua New Guinea. This
region continues to be a
value driver for Barrick with
the Pueblo Viejo expansion
project gaining momentum,
the restart of Porgera and
the massive Reko Diq project
expected to produce its first
gold and copper in 2028.
Balochistan,
PAKISTAN
Pueblo Viejo (60%)
100% production: 559koz
Attributable production: 335koz
P&P Reservesi: 12Moz
M&I Resources2,i: 15Moz
Inferred Resources2,i: 0.24Moz
Reko Diq (50%)
M&I Copper Resources2,i: 8.3Mt
Inferred Copper Resources2,i: 2.2Mt
M&I Gold Resources2,i: 14Moz
Inferred Gold Resources2,i: 3.8Moz
JAPAN
PAPUA NEW
GUINEA
DOMINICAN
REPUBLIC
ECUADOR
Porgera (24.5%)
P&P Reservesi: 1.2Moz
M&I Resources2,i: 2.5Moz
Inferred Resources2,i: 0.82Moz
Pierina (100%)
PERU
CHILE
Alturas (100%)
ARGENTINA
Zaldívar (50%)
100% production: 178Mlbs
Attributable production: 89Mlbs
P&P Reservesi: 0.74Mt
M&I Resources2,i: 2.1Mt
Inferred Resources2,i: 0.070Mt
Veladero (50%)
100% production: 414koz
Attributable production: 207koz
P&P Reservesi: 2.0Moz
M&I Resources2,i: 2.7Moz
Inferred Resources2,i: 0.32Moz
Pascua-Lama (100%)
M&I Resources2,i: 21Moz
Inferred Resources2,i: 0.86Moz
1
2
All figures as at December 31, 2023. Figures for mineral
reserves and mineral resources are attributable to Barrick.
Mineral resources are reported inclusive of mineral reserves.
Norte Abierto (50%)
P&P Copper Reservesi: 1.3Mt
M&I Copper Resources2,i: 2.5Mt
Inferred Copper Resources2,i: 0.66Mt
P&P Gold Reservesi: 12Moz
M&I Gold Resources2,i: 22Moz
Inferred Gold Resources2,i: 4.4Moz
Tier One gold mines
Other gold mines
Copper mines
Development projects
Pipeline projects
In closure
28
Annual Report 2023 | Barrick Gold Corporation OUR REGIONS AND OPERATIONS: LATIN AMERICA AND ASIA PACIFIC (CONTINUED)
REGIONAL HIGHLIGHTS
Attributable
Gold Production
Attributable
Copper Production
LTIFRi
542koz
89Mlbs
0.03
Total Cash Costsi
$931/oz
AISC Costsi
P&P Gold Reservesi
P&P Copper Reservesi
$1,358/oz
26.8Moz
2.04Mt
Attributable Gold Production
Gold Cost of Salesi, Total Cash Costsi and AISCi
700
to
800
623
542
koz
800
600
400
200
0
2022
2023
2024
(est)1
1
Based on the midpoint of the guidance range.
Attributable Gold Mineral Reserves
and Resources1,i
$/oz
1,400
1,200
1,000
800
600
400
200
0
1,306
1,189
777
1,441
1,358
1,370
to
1,470
931
1,290
to
1,390
920
to
1,000
2022
2023
2024 (est)1
Cost of sales
Total cash costs
AISC
1
Based on the midpoint of the guidance range.
Latin America and Asia Pacific 5-year Production Outlookiii
Moz
80
70
60
50
40
30
20
10
0
Gold cost of salesi
Gold total cash costsi
Gold AISCi
$/oz
1,500
81
Total GEO production (attributable) Moz
Total capital expenditures (attributable) $ billion
1.50
1.25
1.00
0.75
0.50
0.25
0
27
14
Inferred
resources
Proven
and
probable
reserves
Measured
and
indicated
resources
1,250
1,000
750
500
250
0
2023
2024
2025
2026
2027
2028
1
Mineral resources are reported inclusive of
mineral reserves.
Pueblo Viejo
Reko Diq
Veladero
Copper production, GEO*
Porgera
Cost of sales
Total cash costs
AISC
Total capital
Gold equivalent ounces (GEO) from copper assets are calculated using gold price of
$1,948/oz for 2023 and $1,300 for 2024 to 2028; and copper price of $3.85/lb for
2023 and $3.00/lb for 2024 to 2028. Gold produced at Reko Diq is included as part
of LATAM and AP gold production bar. Copper produced at Reko Diq is included in
GEOs. Costs are presented in real terms and incorporate impact of royalties assuming
gold price of $1,900/oz and copper price of $3.50/lb from 2024 onwards.
29
Barrick Gold Corporation | Annual Report 2023 OUR REGIONS AND OPERATIONS: LATIN AMERICA AND ASIA PACIFIC (CONTINUED)
Pueblo Viejo consists of two open pits, Moore and Monte
Negro, with material processed through autoclaves. The
Formal completion of the Commencement Agreement was
achieved on December 22, 2023. Recommissioning of the
commissioning of the expansion project is on track to be
Porgera mine commenced on that date and first gold is
ramped up during the second quarter of 2024, following the
expected during the first quarter of 2024.
At Reko Diq in Pakistan, one of the largest undeveloped
copper gold porphyry projects in the world, Barrick is
updating the project’s 2010 feasibility study, with engineering
consultants engaged to advance key areas and to start
basic engineering. This is expected to be completed by
the end of 2024, with 2028 targeted for first production.
reconstruction of the feed conveyor. The technical and social
studies for additional tailings storage capacity (El Naranjo)
continues to advance as planned. Geotechnical drilling and
site investigations are ongoing and continue to support the
feasibility study, which is due for completion in the third quarter
of 2024. The project is designed to increase throughput to
approximately 14 million tonnes per annum and transform
Pueblo Viejo into a mine capable of sustaining average annual
gold production of more than 800,000 ounces beyond 2040i.
New high potential areas of interest have been consolidated
in the Dominican Republic and field work will be conducted
in 2024 to define their geological framework and mineral
potential. In the Pueblo Viejo District, the exploration team
continues to return strong results at new satellite systems,
with follow-up drilling planned for 2024.
At Veladero in Argentina, the mine exceeded the top end of
its production guidance for 2023. Construction of Phase 7A
of the leach pad expansion was successfully completed while
construction of Phase 7B started during the third quarter
of 2023 and is scheduled for completion in 2024. Several
target areas have been confirmed as areas of interest for high
sulfidation mineralization in the Veladero district, with drilling
expected after the Andean Winter.
In Peru, a portfolio of exciting targets was progressed
and are permitted for drilling in 2024. New areas have
been consolidated, with positive early results from regional
reconnaissance work.
Generative work is ongoing in Chile, with the aim of securing
a strong portfolio of district-scale projects that provide
exploration optionality. During the year a detailed desktop
prospectivity review was completed, and the team progressed
to field-validation of the highest ranked areas.
In Papua New Guinea (PNG), Barrick successfully engaged
with the PNG government and other stakeholders to reopen
Porgera, which had been in care and maintenance since
April 2020. The Independent State of PNG granted a new
Special Mining Lease, following the execution of the Mining
Development Contract and other key agreements.
30
Annual Report 2023 | Barrick Gold Corporation OUR REGIONS AND OPERATIONS: LATIN AMERICA AND ASIA PACIFIC (CONTINUED)
Reko Diq is ramping up its headcount, with most of the
new recruits from its host province of Balochistan, while
working with schools and hospitals as part of its community
development commitments.
The exploration team is also focused on identifying untested
upside around the known porphyries as well as upgrading
the geological understanding of the deposits as part of the
feasibility study update.
31
Barrick Gold Corporation | Annual Report 2023 OUR REGIONS AND OPERATIONS:
AFRICA AND MIDDLE EAST1
Barrick is the largest gold producer in Africa. Loulo-
Gounkoto in Mali and Kibali in the DRC are both Tier
One Gold assets. Additionally, the company’s two gold
mines in Tanzania, North Mara and Bulyanhulu, have the
potential as a combined complex of Tier One production
status in the group’s asset portfolio.
Loulo-Gounkoto Complex (80%)
100% production: 683koz
Attributable production: 547koz
P&P Reservesi: 7.2Moz
M&I Resources2,i: 10Moz
Inferred Resources2,i: 1.2Moz
Tier One gold mines
Other gold mines
Copper mines
In closure
SENEGAL
MALI
EGYPT
SAUDI
ARABIA
Jabal Sayid (50%)
100% production: 142Mlbs
Attributable production: 71Mlbs
P&P Reservesi: 0.30Mt
M&I Resources2,i: 0.38Mt
Inferred Resources2,i: 0.0092Mt
CÔTE
D’IVOIRE
DRC
Buzwagi (84%)
TANZANIA
Kibali (45%)
ZAMBIA
100% production: 763koz
Attributable production: 343koz
P&P Reservesi: 4.7Moz
M&I Resources2,i: 6.8Moz
Inferred Resources2,i: 0.79Moz
Tongon (89.7%)
100% production: 204koz
Attributable production: 183koz
P&P Reservesi: 0.35Moz
M&I Resources2,i: 0.88Moz
Inferred Resources2,i: 0.18Moz
Lumwana (100%)
100% production: 260Mlbs
P&P Reservesi: 3.0Mt
M&I Resources2,i: 7.1Mt
Inferred Resources2,i: 4.0Mt
Bulyanhulu (84%)
100% production: 214koz
Attributable production: 180koz
P&P Reservesi: 3.4Moz
M&I Resources2,i: 6.2Moz
Inferred Resources2,i: 4.1Moz
32
North Mara (84%)
100% production: 302koz
Attributable production: 253koz
P&P Reservesi: 2.9Moz
M&I Resources2,i: 5.1Moz
Inferred Resources2,i: 0.54Moz
1
2
All figures as at December 31, 2023.
Figures for mineral reserves and mineral
resources are attributable to Barrick.
Mineral resources are reported inclusive
of mineral reserves.
Annual Report 2023 | Barrick Gold Corporation OUR REGIONS AND OPERATIONS: AFRICA AND MIDDLE EAST (CONTINUED)
REGIONAL HIGHLIGHTS
Attributable
Gold Production
Attributable
Copper Production
LTIFRi
1,506koz
331Mlbs
0.17
Total Cash
Costsi
$903/oz
AISC Costsi
P&P Gold Reservesi
P&P Copper Reservesi
$1,176/oz
18.8Moz
3.3Mt
Attributable Gold Production
Gold Cost of Salesi, Total Cash Costsi and AISCi
1,523
1,506
1,400
to
1,550
koz
1,600
1,200
800
400
0
2022
2023
2024
(est)1
1
Based on the midpoint of the guidance range.
Attributable Gold Mineral Reserves
and Resources1,i
$/oz
1,400
1,200
1,000
800
800
600
600
400
400
200
200
0
0
1,219
1,251
1,111
839
1,176
903
1,250
to
1,350
1,180
to
1,280
880
to
960
2022
2023
2024 (est)1
Cost of sales
Total cash costs
AISC
1
Based on the midpoint of the guidance range.
Africa and Middle East 5-year Production Outlookiii
Total GEO production (attributable) Moz
Total capital expenditures (attributable) $ billion
Gold cost of salesi
Gold total cash costsi
Gold AISCi
$/oz
Moz
40
35
30
25
20
15
10
5
0
30
19
6.8
Inferred
resources
Proven
and
probable
reserves
Measured
and
indicated
resources
2.50
2.00
1.50
1.00
0.50
0
1,500
1,200
900
600
300
0
2023
2024
2025
2026
2027
2028
1
Mineral resources are reported inclusive of
mineral reserves.
Loulo-Gounkoto
Tongon
Copper production, GEO*
Kibali
North Mara
Bulyanhulu
Cost of sales
Total cash costs
AISC
Total capital
Gold equivalent ounces (GEO) from copper assets are calculated using gold price of
$1,948/oz for 2023 and $1,300 for 2024 to 2028; and copper price of $3.85/lb for
2023 and $3.00/lb for 2024 to 2028. Copper produced at the Lumwana Super Pit
expansion is included in GEOs. Costs are presented in real terms and incorporate
impact of royalties assuming gold price of $1,900/oz and copper price of $3.50/lb
from 2024 onwards.
33
Barrick Gold Corporation | Annual Report 2023 OUR REGIONS AND OPERATIONS: AFRICA AND MIDDLE EAST (CONTINUED)
The Loulo-Gounkoto complex in Mali produced in the top-
half of guidance for 2023 and replaced mined reserves for
the fifth successive year. At Gounkoto, the complex’s third
underground mine started ore production from stoping ahead
of schedule in the first quarter of 2023. The expansion of the
solar plant to a total of 60MW has been completed 12 months
ahead of plan, in line with Barrick’s global commitment to
increase its use of renewable energy.
At Kibali in the DRC, Barrick continues to extend the
mine’s life beyond 10 years. Mineral reserves increased,
net of depletion, for the fifth successive year. During the
year, Barrick completed a feasibility study for a 17MW solar
power station, to supplement the current energy mix which is
predominantly hydropower, with construction starting in early
2024.
Conversion drilling at North Mara and Bulyanhulu in Tanzania
has again replenished reserves after depletion and both mines
are now planning to deliver a combined production of greater
than 500koz for the next 10 years. There is significant further
exploration potential surrounding the mines which has been
unlocked through the consolidation efforts of new permits
during 2023. At the 2023 Association of Tanzania Employers
Awards, the mines were awarded Top Employer of the Year,
among several other accolades. Additionally, the Ministry of
Minerals recognized the mines as the largest contributor to
the economy, demonstrating the successful turnaround of the
Tanzanian operations.
Completing the Africa and Middle East gold portfolio, the
Tongon gold mine in Côte d’Ivoire delivered within guidance.
The mine continues to extend its life with intensive exploration
efforts.
The Lumwana copper mine in Zambia delivered on its
Successful drilling
for the year.
production guidance
programs at the mine drove the majority of Barrick’s copper
reserve additions for the year, growing the reserve base by
6% year on year, net of depletion. The Lumwana Super Pit
expansion project has been accelerated with first production
now scheduled for 2028. The project will transform Lumwana
into one of the world’s major copper mines, with projected
annual production of around 240,000 tonnes per year over
a +30-year lifei.
In Saudi Arabia, at Jabal Sayid, the top-half of production
guidance was achieved. Work is progressing well at Umm
Ad Damar and Jabal Sayid South in an effort to deliver further
value from nearby opportunities by leveraging the existing
infrastructure at Jabal Sayid.
34
Annual Report 2023 | Barrick Gold Corporation OUR REGIONS AND OPERATIONS: AFRICA AND MIDDLE EAST (CONTINUED)
35
Barrick Gold Corporation | Annual Report 2023 RESERVES AND RESOURCES
During 2023, Barrick’s attributable proven and probable gold mineral reserves grew
by 5.0 million ounces before annual depletion of 4.6 million ounces, delivering a third
consecutive year of organic gold reserve growth over and above depletion, while
continuing to maintain the quality of the mineral reserve base.
This resulted in proven and probable gold reserves of 77 million
ouncesi at an average grade of 1.65g/t for 2023, increasing
from 76 million ouncesi at an average grade of 1.67g/t in
2022. For 2023, this breaks out into proven gold mineral
reserves of 250 million tonnesi grading 1.85g/t, representing
15 million ounces of gold and probable gold reserves of
1,200 million tonnesi grading 1.61g/t, representing 61 million
ounces of gold.
Barrick’s 2023 gold mineral reserves are estimated using
In North America, ongoing growth programs at Turquoise Ridge,
Leeville Underground in Carlin and Robertson in Cortez added
1.9 million ouncesi of gold on an attributable basis before annual
depletion, effectively replacing more than 80% of annual depletion,
resulting in sustained attributable proven and probable mineral
reserves for the region of 31 million ouncesi at 2.45g/t.
Attributable proven and probable copper reserves grew
by 330,000 tonnesi of copper year on year before annual
depletion of 270,000 tonnes of copper. This has resulted
a gold price assumption of $1,300/oz which is consistent
in 124% of annual global copper depletion, with attributable
with 2022, except at Tongon, where mineral reserves were
estimated using a gold price assumption of $1,500/oz and
Hemlo where mineral reserves were estimated using a gold
price assumption of $1,400/oz. Both are reported to a
rounding standard of two significant digits for tonnes and
metal content, with grades reported to two decimal places.
Since year-end 2019, Barrick has organically replaced over
140% of the Company’s gold reserve depletion, adding
almost 29 million ounces of attributable proven and probable
reserves or 44 million ounces of proven and probable
proven and probable copper mineral reserves of 5.6 million
tonnesi at 0.39% as of end of year 2023 supporting the
consistent replacement track record. 2023’s proven copper
mineral reserves of 320 million tonnesi grading 0.41%,
represents 1.3 million tonnes of copper and probable gold
reserves of 1,100 million tonnesi grading 0.38%, representing
4.3 million tonnes of copper. The 2023 copper mineral reserve
growth was driven by Lumwana, where the mineral reserves
grew by 6% year on year, net of depletion, as a result of ongoing
conversion drilling in the Malundwe Pit.
reserves on a 100% basis, excluding both acquisitions and
divestmentsii.
As of December 31, 2023, Barrick’s copper reserves are
reported in tonnes, whereas previously they were reported
The Africa and Middle East region, replaced 165% of the
regional 2023 gold reserve depletion, led by Loulo-Gounkoto,
with extensions of the high grade Yalea orebody, delivering
a 1.1 million ouncei increase in attributable proven and
probable reserves before depletion. Bulyanhulu also added
0.9 million ouncesi to attributable proven and probable
reserves, through the extension of Reef 1 and Reef 2 near
surface mineralization, with updated
feasibility studies
supporting an additional surface decline access portal for
in pounds. For Barrick-operated assets, copper mineral
reserves for 2023 are estimated using a copper price of
$3.00 per pound, consistent with 2022. Tonnes and metal
content are reported to a rounding standard of two significant
digits, with grades reported to two decimal places.
Barrick’s attributable measured and indicated gold resources
for 2023 stand at 180 million ouncesi at 1.06g/t, with a further
39 million ouncesi at 0.8g/t of inferred resources. Mineral
resources are estimated using a gold price of $1,700 per
each Reef. At Kibali, the ongoing conversion drilling in the 11000
ounce. All mineral resources are reported inclusive of mineral
lode in KCD underground combined with the conversion of some
satellite pit resources delivered a 0.47 million ouncei increase in
attributable proven and probable reserves before depletion.
reserves and both tonnes and metal content are reported to
a rounding standard of two significant digits for tonnes and
metal content. Measured and indicated mineral resource
Within the Latin America and Asia Pacific region, a pre-
feasibility study was completed on the expansion of the leach
pad supporting an additional pushback in the open pit at
Veladero, resulting in 2023 attributable proven and probable
gold reserves for the region of 27 million ounces at 0.96g/ti.
grades are reported to two decimal places, while inferred
mineral resource grades are reported to one decimal place.
Continued growth of the gold mineral resource base is expected
to be realised through comprehensive evaluation programs of the
Fourmile deposit, which target an update to mineral resources at
the end of 2024 in addition to supporting the commencement of
a pre-feasibility study on the southernmost portion of the Fourmile
deposit immediately adjacent to Goldrush.
36
Annual Report 2023 | Barrick Gold Corporation RESERVES AND RESOURCES (CONTINUED)
indicated copper
Barrick’s attributable measured and
resources for 2023 stand at 21 million tonnesi of copper at
0.39%, with a further 7.1 million tonnesi of copper at 0.4% of
inferred resources. Mineral resources are reported inclusive
of mineral reserves and both tonnes and metal content are
reported to a rounding standard of two significant digits for
tonnes and metal content. Measured and indicated mineral
resource grades are reported to two decimal places, while
inferred mineral resource grades are reported to one decimal
place. Copper mineral resources for 2023 are estimated using
an updated price of $4.00 per pound. As of December 31, 2023,
Barrick’s copper mineral resources are reported in tonnes,
whereas previously they were reported in pounds.
Looking forward to 2024, the Barrick mineral resource base is
expected to provide the foundation of future growth with two
potential Tier One assetsi. As part of this, the 2023 Reko Diq
mineral resource updates reflect the ongoing feasibility study
updates, resulting in attributable measured and indicated
mineral resource of 8.3 million tonnesi of copper at 0.43%
with 14 million ouncesi of gold at 0.25g/t, and an attributable
inferred mineral resource of 2.2 million tonnesi of copper at
0.3% with 3.8 million ouncesi of gold at 0.2g/t. Additionally,
the Lumwana updated 2023 measured and indicated copper
resources stand at 7.1 million tonnesi of copper at 0.52%,
providing the basis for 2024 feasibility study updates, with
a further 4 million tonnesi of copper at 0.4% of inferred
resources.
2023 mineral reserves and mineral resources are estimated
using the combined value of gold, copper and silver.
Accordingly, mineral reserves and mineral resources are
reported for all assets where copper or silver is produced and
sold as a primary product or a by-product.
Attributable Gold Reservesi
Moz
90
80
70
60
50
40
30
20
10
0
-4.6
5.0
76
77
2022
Depletion
Net change
2023
Attributable Copper Reservesi
Mt
7.0
6.0
5.0
4.0
3.0
2.0
1.0
0
-0.27
0.33
5.6
5.6
2022
Depletion
Net change
2023
37
Barrick Gold Corporation | Annual Report 2023 EXPLORATION
The foundation of Barrick’s exploration strategy is a deep organizational understanding
that discovery through exploration is a long-term investment and the main value driver
for the business – not a process. Barrick’s exploration strategy has multiple elements
that all need to be in balance to deliver on its business plan for growth and long-term
sustainability.
First, Barrick seeks to deliver projects of a short- to medium-term nature that will drive improvements in
mine plans. Second, it seeks to make new discoveries that have the potential to add to Barrick's Tier
One Gold Asset portfolio. Third, Barrick works to optimize the value of its major undeveloped projects
and finally, it seeks to identify emerging opportunities early in their value chain and secure them by an
earn-in or outright acquisition, where appropriate.
During 2023, exploration work expanded in all regions with the addition of new projects, while ongoing
work continues to return encouraging results at all stages of the target pipeline.
Creating Value Through Exploration and Optimization
Construction &
Development Projects
2
2
1
Feasibility
Prefeasibility
1
1
Potential Resource to
Reserve Conversions
6
Potential Inferred
Resource Conversions
Potential Brownfield
Additions
Brownfield
Exploration Targets
Greenfields
Exploration Targets
8
3
35
10
1
2
7
5
6
18
2
1
1
4
4
4
10
8
North
America
Latin America
and Asia Pacific
Africa and
Middle East
38
EXPLORATION (CONTINUED)
In Canada, a solid portfolio of projects is being built with
In the Africa and Middle East region, the team confirmed high-
encouraging early results. In the United States, Barrick
grade mineralization on key structures around deposits in Mali,
secured several exciting prospects outside the Carlin district,
DRC, and Côte d’Ivoire and in Tanzania Barrick expanded its
and the Nevada exploration team continues to identify new
ground holding significantly and identified multiple alteration
opportunities.
In Latin America, a portfolio of exciting targets in Peru were
progressed and are permitted for drilling in 2024. Barrick
entered Ecuador, completing initial mapping and geochemical
programs while around Pueblo Viejo in the Dominican
Republic and Veladero in Argentina, exploration continues to
return strong drill results, identifying new satellite potential at
both operations.
systems beneath cover around North Mara. In Saudi Arabia,
early drilling at the Umm Ad Damar project has identified
VMS-style mineralization and alteration at all targets. Barrick
also continues to evaluate opportunities across the Asia-
Pacific region as it progresses targets around Reko Diq in
Pakistan and across Japan. Through 2024, Barrick plans to
maintain a healthy balance in its exploration focus between
early-stage and advanced exploration projects to deliver on
Barrick’s growth and long-term business plan.
NORTH AMERICA
Exploration work in North America continues to grow in
Canada and outside Nevada on early-stage projects, while
At Turquoise Ridge, drilling extended high-grade
mineralization in multiple directions around the Turquoise
maintaining a strong focus on discovering the next Carlin
Ridge deposit while exploration work focused on the untested
deposit in Nevada.
On the Carlin trend, exploration drilling continues to extend
high-grade mineralization on fertile structures around the
Leeville, Horsham, Ren, Miramar, Rita K and Fallon deposits,
confirming the long-term potential to add resources around
feeder potential beneath the Mega Pit, intersecting alteration
and mineralization which is interpreted to be an indicator of
proximity to significant mineralization.
Our copper exploration strategy in North America progressed
through the year, leading to the securing of multiple early-
the Little Bounder Basin. Surface geochemistry results this
stage opportunities outside Nevada which will be progressed
year, to the north of the area along the important Eastern
through 2024.
Bounding Fault, identified multiple, structurally-controlled
anomalies providing targets for testing in future seasons.
Geochemical drilling programs are in progress in multiple
untested areas within and around the trend.
At Cortez, strong results from ongoing drilling at Fourmile
confirmed its potential as the next Tier One deposit in the
district and a dedicated study team is now progressing the
target towards a prefeasibility study. Drilling continued to
extend mineralization around the Robertson deposit and
drilling at the Swift target confirmed the presence of a large
Carlin hydrothermal system which is open and requires
further drilling to understand its potential.
In Canada, till geochemistry results from a belt-scale
opportunity in Sturgeon Lake identified multiple large,
anomalies to be further evaluated in 2024. Early work at the
Patris project in the Southern Abitibi district confirmed gold
mineralization around intrusive rocks along a major structural
corridor which we will evaluate further in 2024 through drilling.
39
Barrick Gold Corporation | Annual Report 2023 EXPLORATION (CONTINUED)
LATIN AMERICA AND ASIA PACIFIC
This region has a strong early stage and new frontier
exploration
focus, balanced with Barrick’s ongoing
In Peru, the team is exploring across four regions, with
the most advanced target, Pataquena, in the south of the
brownfields work to support the operations at Veladero and
country, permitted for drilling in 2024. Libelula, close to
Pueblo Viejo and identify new ore sources to replace depleted
Pierina, will also be drill tested, subject to permitting, in 2024.
resources.
At Pueblo Viejo in the Dominican Republic, exploration
work on multiple satellite targets around the deposit identified
two new areas of interest close to the mine: at the Pueblo
Additionally, Barrick extended its ground holding in the centre
of the country where there is significant opportunity.
In Argentina, exploration is focused on the brownfields
targets around Veladero. As the metallurgical work on the
Grande target, drilling has confirmed the existence of Pueblo
Morro Escondido inventory continues, geophysical surveys
Viejo-type lithologies and alteration in a previously untested
and drilling programs are evaluating other targets in the
area, while at Zambrana, drilling has intersected mineralized
Ortiga and Veladero trends.
breccias and shallow oxide mineralization which is interpreted
to be a separate system to Pueblo Viejo. As drilling continues
on these and other targets around the mine the exploration
team is progressing additional opportunities across the
Dominican Republic.
As part of Barrick’s global expansion into world class districts,
the company entered Ecuador during 2023, conducting early
regional reconnaissance prospecting work on various districts
in the southern Jurassic Belt, which hosts the Mirador and
Fruta del Norte deposits. Early results are positive, confirming
both the epithermal and/or porphyry potential of the districts.
Generative teams are active across the region and advancing
targeting concepts in Chile as well as continuing research
and improving our understanding of the prospectivity in
multiple priority areas in the Andes and the Guiana Shield.
Across to the Asia Pacific region, the exploration team
continues to evaluate the most prospective regions for
opportunities. At the Reko Diq Copper Porphyry project
in Pakistan, the exploration team is focused on identifying
untested upside around the known porphyries as well as
upgrading the geological understanding of the deposits as
part of the feasibility study update. In Japan, Barrick is
progressing four priority projects with drilling at the Mizobe
target in Kyushu intersecting wide intervals of breccia hosted
mineralization.
40
Annual Report 2023 | Barrick Gold Corporation EXPLORATION (CONTINUED)
AFRICA AND MIDDLE EAST
With seven operations, the AME region is Barrick’s busiest
in terms of brownfields exploration. However, there is also
extensive greenfields exploration work in progress.
On the Bambadji joint venture in Senegal, the team
interpreted a highly anomalous, 26km long corridor of
increased strain and alteration which contains significant
mineralization along its length. Work in the past year has
focused on a set of deeper framework holes which have
tested the corridor around its most prospective segments.
Results from this work have been encouraging, identifying
continuity of mineralization in very wide-spaced drilling
and significantly upgrading Barrick’s interpretation and the
corridor remains the principal target on the project. Also
in Senegal, the Dalema and Bambadji South projects saw
significant work through shallow geochemical drilling and
geophysical surveys, which identified multiple anomalous
areas for follow up work.
At Loulo-Gounkoto in Mali, the team has started testing
the extensions to open, high-grade mineralization beneath
In Tanzania, Barrick continued to consolidate ground in the
most prospective parts of the country, including establishing
a new large scale exploration footprint on a highly endowed
and under explored belt away from our current operations. To
rapidly progress this portfolio we have carried out geochemical
and geophysical surveys this year, while the teams have also
identified multiple near mine targets at both Bulyanhulu and
North Mara. Along the Gokona Corridor at North Mara,
exploration beneath 100m of cover has confirmed multiple
areas with elevated Gokona-type geochemistry and alteration
which need to be further drill-tested. Around Bulyanhulu,
the team confirmed the continuity of mineralization along
the main structures beyond the deposit and further work is
required to better define the opportunity.
Generative work continues across the Copper Belt of DRC
and Zambia where we are evaluating multiple opportunities.
At Lumwana, our team continues to support the ongoing
Superpit feasibility study through the successful extension of
mineralized horizons.
the Yalea, Gounkoto and Baboto deposits. At Baboto there
is significant untested space at relatively shallow depths
beneath historical drilling and early results have confirmed
In the Arabian Nubian shield, Barrick is progressing projects
with exciting results in Saudi Arabia and in Egypt. Initial
results from the Hamash Sukari project were received and the
high grade mineralization, while at Yalea, drilling is testing for
plan is to complete an airborne EM survey in 2024. Barrick’s
a repetition of the high-grade ‘purple-patch’ mineralization.
partnership with Ma’aden was extended beyond Jabal Sayid
Exploration also continues along significant structures away
this year to include the Jabal Sayid South and Umm ad
from the deposits such as the domain boundary, where
Damaar projects. At Umm ad Damar, following mapping and
results this year identified additional zones of mineralization.
geophysical surveys, results from a first phase of drilling across
four different targets have been highly encouraging with VMS
alteration and mineralization intersected at all targets.
In Côte d’Ivoire, the Boundiali permit was reissued with a
significant conversion drilling program being completed at
the Fonondara target as part of the program to evaluate its
potential as a Tongon satellite ore source. On the Tongon
permit the aim is to identify another large mineralized Skarn
system, like Tongon, and shallow drilling along prospective
structures around Tongon and onto the new Korokaha North
permit is in progress.
At Kibali in the DRC, strong drilling results through the year
on multiple targets continue to confirm the prospectivity of
the principal structures around the KCD deposit. High-grade
mineralization was intersected beneath the Oere target,
confirming its open nature and highlighting the deep potential
along an untested, multi-kilometre part of that structure. At
Agbarabo and Rhino, drilling confirmed the down-plunge
continuity of multiple mineralized shoots with the potential to
be mined from underground, while drilling at KCD identified a
new plunging mineralized lode on the sparsely tested western
side of the deposit. Drilling at the Zambula target in the south
of the Kibali project also confirmed open mineralization near
surface.
41
Barrick Gold Corporation | Annual Report 2023 MINING SUSTAINABLY
FOR A BETTER FUTURE
“Our Board-led governance of sustainability is about having clear lines of accountability and
oversight, with the right policies, people and processes in place to manage genuine partnerships
with our stakeholders.”
John L Thornton
Barrick Chairman
CLEAR, ROBUST AND ACCOUNTABLE GOVERNANCE
OF SUSTAINABILITY
The prime mission of our business is to create long-term value for all our stakeholders,
and that puts our approach to sustainability at the heart of our business.
We know, and feel every day, that to achieve our mission
It’s why we manage our sustainability impacts with the same
our operations must have the trust and support of their host
diligence we might apply to understanding our ore bodies
countries and communities, and must protect the natural
or our accounts. And we consider our contributions to
capital they rely on.
achieving the UN Sustainable Development Goals (SDGs) –
the 17 global goals which most closely align with our values
and the ambitions of our host communities – as an important
measure of our success as a company.
Figure 1: Our approach to sustainability management
Climate
resilience
Barrick’s
approach
Nature
Poverty
alleviation
42
Annual Report 2023 | Barrick Gold Corporation As shown in in Figure 1, our holistic and integrated approach
We also tie incentive compensation for our President, CEO,
to sustainability management is based on three interlinked
members of the Executive Committee and employees to the
MINING SUSTAINABLY FOR A BETTER FUTURE (CONTINUED)
achievement of company-wide sustainability targets such as
safety, community relations and environmental performance,
human rights and anti-corruption. Performance against our
sustainability scorecard (see below) accounts for 20% of the
long-term incentive awards for senior leaders as part of the
Barrick partnership plan.
We believe in transparently measuring and reporting our
performance and the main tool we use to define good practice
and benchmark ourselves against peers is our Sustainability
Scorecard – published below.
This tracks key performance indicators based on the pillars
of our sustainability strategy and scores our performance as
a ranking for each metric in quintiles, to produce a score of
1 (top) – 5 (bottom). The score for each indicator is then
summed to produce a total score against which we have
graded ourselves using an A-E banding. For 2023 the
fatalities metric was given a double-weighting, further added
to by the Board, to underline the seriousness with which we
hold our goal of zero fatalities. The results show that Barrick
received an A grade in 2023. This is an improvement on our
B grade in 2022.
areas that align with the SDGs.
As part of this approach, we understand and regularly assess
both the risks that material sustainability issues pose to our
business, and the potential and perceived impacts from our
business on society and the environment.
Our transparent governance aims to ensure we carefully
measure and manage those risks and impacts. This
approach is codified in our Sustainable Development Policy
and a full suite of sustainability policies, which are available
on our website.
The following pages seek to demonstrate how we have been
putting these policies and this approach into action in 2023
with full details in our stand-alone Sustainability Report.
On-the-ground leadership
In keeping with a focus on local impacts and delivery, we
have a bottom-up structure that sees sustainability activity
driven at mine level, with each mine having its own teams to
implement sustainability initiatives. We fuse this bottom-up
approach with oversight and expert guidance at group-level.
Our Board has ultimate responsibility for our sustainability
activities with support from several committees including the
Environmental & Social Oversight Committee – one of our
most senior management-level bodies – which connects site-
level ownership of sustainability with our Board. There is also
regular interaction between all our operations and the Group
Sustainability Executive and specialist regional leads.
43
Barrick Gold Corporation | Annual Report 2023 MINING SUSTAINABLY FOR A BETTER FUTURE (CONTINUED)
Sustainability Scorecard
For 2023, the grading key was updated to reflect a total of 28 measures assessed by the Sustainability Scorecard resulting in a
maximum of 140 quintiles, compared to a total of 26 measures in 2022 resulting in a maximum of 130 quintiles. The total scores
and corresponding grades are therefore not directly comparable year-over-year.
Sustainability Scorecard Grading Key
Assessment Framework for the Long-Term Company Scorecard
Grade
2022 Score
(sum of quintiles)
2023 Score
(sum of quintiles)
No Award (0%)
Maximum award (100%)
A
B
C
D
E
26 – 46
47 – 67
68 – 88
89 – 109
110 – 130
28 – 49
50 – 72
73 – 95
96 – 118
119 – 140
to
If the score is a Grade C or lower
If the score is a Grade A
Abridged 2023 Sustainability Scorecard
Aspect
Key Performance Indicator
Safety
Social and
economic
development
Human
rights
Environment
(including
Climate
Change)
Total Recordable Injury Frequency Rate (TRIFR)
Zero Fatalities
Progress against our Journey to Zero Roadmap (New)1
Percentage of safety leadership interactions completed
Percentage of annual Community Development Committees commitments met2
Percentage of workforce who are host country nationals
Percentage of senior management who are host country nationals
Percentage of economic value that stays in host country
Increase in national procurement year-on-year (New)1
Proportion of grievances resolved within 30 days2
Percentage of security personnel receiving training on human rights
Corporate human rights benchmark score3
Independent human rights impact assessments with zero significant findings at high risk sites2,3
Percentage of recommendations completed from Independent Human Rights Assessments (New)1
N/A
Upgrade controversy listed by one of the ESG Rating Agencies3
Number of significant environmental incidents
Tonne CO2-e per tonne of ore processed
Progress against absolute emissions target as per Reduction Roadmap2
Water use efficiency (recycled & reused)
Percentage of completion against Biodiversity Action Plan Commitments2
Percentage of Independent tailings reviews conducted2
Global Industry Standard on Tailings Management (GISTM) progress2
Proportion of operational sites achieving annual concurrent reclamation targets2
Progress against RGMP+ implementation2,4
Percentage of employees receiving Code of Conduct training2
2022
Quintile
2
2023
Quintile
1
Trend
5
N/A
2
3
1
2
2
N/A
4
1
4
1
1
1
3
1
1
1
1
2
3
1
1
1
N/A
1
5
3
2
3
1
2
2
1
4
1
2
1
2
1
1
3
1
1
1
1
1
1
1
1
1
1
1
N/A
N/A
N/A
N/A
Governance
Percentage of supply partners trained on Code of Conduct at time of on-boarding2
Increase female representation across the organization (New)1
30% female Board composition
Overall Score5
47 (B)
46 (A)
1
2
3
4
5
N/A due to changes in the metrics that are not comparable year-on-year.
Internal metrics.
In comparison to the 55 extractive companies assessed against the Corporate Human Rights Benchmark’s methodology, Barrick is ranked in
the top 25% in the extractives industry.
The ICMM and the WGC introduced new frameworks in 2019 – the Mining Principles and the Responsible Gold Mining Principles (RGMP),
respectively. Barrick’s approach to conformance with these two frameworks has been to use the equivalency tables to evaluate whichever
requirement is more stringent for each aspect to dovetail the two frameworks into a single framework which we refer to as RGMP+.
For 2023, the grading key was updated to reflect a total of 28 measures assessed by the Sustainability Scorecard resulting in a maximum of
140 quintiles, compared to a total of 26 measures in 2022 resulting in a maximum of 130 quintiles. The total scores and corresponding grades
are therefore not directly comparable year-over-year.
Our management and disclosure of sustainability activity is informed by the ever-growing number of ESG frameworks and standards.
Our full Sustainability Report conforms with the member requirements of the World Gold Council (WGC) and International Council on
Mining and Metals (ICMM), including the implementation of the WGC Responsible Gold Mining Principles (RGMPs) and the ICMM Mining
Principles Performance Expectations. It is prepared with reference to the requirements of the GRI Universal Standards and its recently
released Mining and Metals Standards and aims to align with the requirements of the International Sustainability Standards Board.
44
Annual Report 2023 | Barrick Gold Corporation CREATING SOCIAL AND ECONOMIC VALUE
MINING SUSTAINABLY FOR A BETTER FUTURE (CONTINUED)
“Creating value goes beyond our
shareholders to all our stakeholders, most
notably by emphasizing and prioritising
our localisation efforts: through our
employment, our procurement and our
community investment.”
Graham Shuttleworth
Chief Financial Officer
All our mines rely on making and maintaining mutually
The bedrock of our approach is to put host communities at
beneficial partnerships with our host countries and
the center of the local decision-making process through the
communities. Together with our communities we establish
creation of Community Development Committees (CDCs).
operations that nurture local talent and catalyze thriving local
We have established CDCs at all our operations, enabling
economies.
Our commitment to create social value in this way, including
upskilling the national sector and supporting initiatives
in education, healthcare and
local entrepreneurship,
is formalized in our Sustainable Development and Social
Performance Policies.
local stakeholders to drive their own development in line with
the UN SDGs (Figure 2). Each CDC is an elected group made
up of local leaders as well as representatives from women’s,
youth, disadvantaged groups in the community and a Barrick
official.
Figure 2: Community development committee process
Community
Submit
potential
projects
The Community
Development
Committee
Debate, discuss and
select projects for
funding and oversee
implementation.
Community companies
involved where possible.
Allocate
funds
Local economic
development
Water
Food
Health
Education
45
Community feed in funds
Barrick Gold Corporation | Annual Report 2023 MINING SUSTAINABLY FOR A BETTER FUTURE (CONTINUED)
In 2023 Barrick distributed around $15.1bn in total economic
We also support
local entrepreneurs with mentorship
value (Figure 3) and invested more than $43.2 million in
programs, skills training, or by providing loans to cover the
community development projects around our mines.
cost of start-up materials.
This included support for educational projects such as
Being a long-term partner also means paying our fair share
Early Learning Centers in the US (see box) and university
of tax and in 2023, our total tax and royalty contributions and
scholarships
in Dominican Republic; support
to
local
dividends to states was $2.8bn.
entrepreneurs in Africa and Saudi Arabia, provision of sports
to science equipment and backing for projects from health
care to heritage conservation.
We recognize that our responsibility does not stop when
operations cease. We aim to leave a thriving economic and
environmental legacy after our mines close and in 2023 the
We also encourage all economic development to consider
Special Economic Zone (SEZ) around the former Buzwagi
the environmental impacts. For example, the Lumwana team
mine in Tanzania showed what can be achieved. The former
in Zambia support community beekeeping businesses not
mine now houses agricultural resource centers, a range of
only by funding the construction of a new honey production
apiary and poultry projects, welcomed new investors with
facility, but also by backing initiatives to protect local forests
plans to produce conveyor belt rollers and grinding media
from pesticides and deforestation, as the health of local
and, perhaps most significantly last year, saw the conclusion
forests is key to creating productive bee hives.
of an eight-month partnership to open a new airport terminal.
Local hiring and buying
Located on the former mine’s Kahama Airstrip the new
terminal will serve more than 200 passengers at a time and
We see the large pool of workers and goods and services that
connect the SEZ to wider trade partners.
our mines require as an opportunity to share and create value
by implementing hiring and buying policies that help inject
money and world-class skills into local communities and host
countries. By the end of 2023, 77% of senior management
were host country nationals, and we spent nearly $7 billion
on goods and services from local and host country suppliers.
Figure 3: Our contribution to society in 2023
46
Annual Report 2023 | Barrick Gold Corporation MINING SUSTAINABLY FOR A BETTER FUTURE (CONTINUED)
A HELPING HAND, TO STAND ON HER OWN TWO FEET
In 2012, Violet Kahaji was illiterate and relied on
Since starting her business, Violet has been able to invest
subsistence farming to support herself and her five
funds back into herself and her family. She’s bought a
children. However, the Women’s Empowerment Program
home, has seen a first child graduate from college, and
developed by Lumwana copper mine (Zambia) offered a
is supporting two of her other kids with college tuition.
helping hand to change her situation – and Violet grasped
When asked about how her life has changed, Violet said
it. After a few years in the program, Violet learned to
she was very grateful to Barrick, saying: “For me, what
read and write, and by 2015, with the opportunities
I wanted was just to stand on my own as a woman, not
that literacy opened up she decided to start a business:
to depend on any other person.”
Kuwunda Supplies.
The start-up was supported
by
the Lumwana Business
Accelerator Program,
and
the
training Violet
received
helped build her skills and hit
the ground running. Kuwunda
Supplies won several contracts
including selling maize, beans,
and roots for brewing the local
fermented drink munkoyo.
In a little over a decade, Violet
has grown her business to
reach approximately 40 workers
in the start of 2024.
EARLY LEARNING CHILDCARE, FOR EARLY HOURS WORKERS
In Elko, Nevada, home of our Nevada Gold Mines (NGM)
To date, we’ve invested $4.5 million into the Early
complex, we aim to support programs that directly
Learning Centers, with classrooms caring for children
address the communities’ needs. This includes backing
ages 9 months to 5 years old, and care starting as early
the much loved Elko Boys and Girls Club – a hub of the
as 4am, and continuing as late as 8pm. Through the
partnership with Early Learning Centers, we’ve helped
NGM employees and community members gain peace
of mind that their children are in good hands.
town.
The club already provides facilities such as after-school
programs, sports equipment and a computer
lab
dedicated to encouraging STEM (Science, technology,
engineering, and mathematics) learning. It also provides
emergency support to those facing welfare issues
including a weekend family meal program and mental
health support.
Last year, however, the local community highlighted
an additional facility needed from the Club. A lack of
affordable and accessible childcare in the mornings
meant some parents, especially women, could not
access the job market. To help remove this barrier for
women and others to build viable careers we partnered
with the Elko and Spring Creek Boys and Girls clubs to
form Early Learning Centers.
47
Barrick Gold Corporation | Annual Report 2023 MINING SUSTAINABLY FOR A BETTER FUTURE (CONTINUED)
HEALTH AND SAFETY
“Safety is about doing the right thing
even if no-one is looking. Each individual
in our workforce from labourers to
leadership must take responsibility
for the safety of themselves and those
around them.”
Detlev van der Veen
Head of Health and Safety
Ensuring our people go home from work safe and healthy
each day is one of our foundational values, and a top priority
at every site through every phase of the mine life cycle.
Zambrana in Dominican Republic, who received safety
training provided by Barrick, and now provide their own
training services to a local energy company.
All of our workforce is covered by occupational health and
safety programs which include regular medical checks,
job specific risk assessments, PPE and the control and
monitoring of occupational health hazards and exposure as
set out in our Occupational Health & Safety Policy. We also
focus on personal wellbeing and all our sites have fit-for-work
programs that consider the importance of mental health,
adequate sleep, diet and exercise.
MILITARY-GRADE
SAFETY TRAINING
Having
formally worked
in
the military Tommy
Brockman at our NGM complex knows the vital
All our operational sites are certified to the internationally-
importance of effective preparation and protocols. He
recognized ISO 45001 standard and our safety-first mindset
recently completed our underground training process
is codified in a set of standards, policy guidelines, operating
which includes study of underground maps and
procedures and controls,
including site-specific safety
navigation in a classroom setting, use of driving haul-
management plans at each mine, that we aim to continually
truck simulators and riding with trained operators. It
improve.
Yet it is people, not documentation, at the heart of our safety
culture. We conducted continuous safety training in 2023
takes in a full review of all aspects of our safety policy
including responsibility to speak up and stop unsafe
work.
and our workers and contractors discuss safety every day
In his first day at work following graduation, his safety
and know to take responsibility for the safety of themselves,
training came into play.
their colleagues and their wider communities. This includes
giving all our people the responsibility to stop or refuse unsafe
work (see box).
While assisting a haul truck driver in backwards
navigation, Tommy spotted a bolt sticking out of the
ground – creating a safety hazard for the truck and
Safety is a standing agenda item at our weekly Executive
surrounding workers. While initially hesitant to speak
Committee meetings, and quarterly board meetings and
up, he remembered a key lesson from his mine safety
to drive safety culture and behaviors, our leadership teams
training program: it’s everyone’s responsibility to stop
spend time in the field every day engaging with people on
unsafe work. He notified the driver and stopped to
safely executing their work, correcting unsafe practices and
remove the bolt before continuing work. The near
behavior, working to identify nearby risks and hazard, and
miss saved Tommy and his colleagues from both
striving for operational excellence.
potential injury and costly delays.
In 2023, however, the progress on our ‘Journey to Zero’ has
been too slow. Despite steady improvements in LTIFRi from
0.50 in 2019 to 0.23 in 2023, and TRIFRi (reducing from
2.24 to 1.14 over the same period) we recorded five fatalities
Tommy says he couldn’t imagine being thrown into
these situations without this level of training. The
course and the instructors made him feel like family,
and ensured no student was put into a situation
across the group in 2023, which were felt across all levels of
before they were ready.
the company. Full investigations were carried out for each
incident to understand all causes and corrective actions were
both implemented and shared across the group to prevent
recurrence. We also recognize that each fatality has a human
impact and provide relevant support to each victim’s families,
co-workers and extended teams.
Our commitment to a safety culture does not end at the mine
gates. We also work with communities and suppliers, for
example on improving road safety through speed awareness
campaigns or encouraging suppliers to spread strong safety
practices. Just one example is community supplier Construc
48
Annual Report 2023 | Barrick Gold Corporation MINING SUSTAINABLY FOR A BETTER FUTURE (CONTINUED)
RESPECTING HUMAN RIGHTS
At Barrick we have zero tolerance for violations of human
In 2023 97% of our workforce were host country nationals
rights committed by employees, affiliates, or any third parties
and 23% of management positions were filled by women as
acting on behalf or related to any of our operations.
of the end of 2023.
We understand and accept our responsibility to respect
At Board level independent directors make up 82% of our
human rights with our commitment codified in our standalone
Board and 36% of our Board is comprised of directors who
Human Rights Policy and informed by the expectations of
self-identify as racially and/or ethnically diverse.
the UN Guiding Principles on Business and Human Rights
(UNGPs), the Voluntary Principles on Security and Human
Rights (VPs), and the OECD Guidelines for Multinational
Enterprises. This is further embedded across the business
through our Code of Conduct, which all staff are trained in and
our Ethics, Anti-Bribery and Corruption Policy. Our Human
Rights Policy also sets out our commitment to recognizing
the unique rights and social, economic and cultural heritage
of Indigenous Peoples.
In line with the target we set for women to represent at least
30% of directors by the end of 2022, women make up 36% of
our Board and 44% of independent directors.
Respecting indigenous rights
Where indigenous populations live close to our mine we
believe that consideration of their values, needs and concerns
is fundamental to the way we do business. Our commitment
is detailed in our Human Rights Policy and informed by the
All employees and relevant suppliers receive training on our
ICMM position statement to work to obtain free, prior and
human rights expectations and additional specialist human
informed consent of Indigenous Peoples.
rights training is provided to highly-exposed workers such as
security personnel.
Just one example of this policy in action is our strong
relationship with the Western Shoshone, Northern Paiute, and
We engage in constant dialogue with local communities
Goshute peoples around our Nevada Gold Mines complex.
to identify any salient human rights issues through formal
This has seen Barrick invest over $700,000 in scholarships
channels such as our grievance mechanisms, hotline reports
to support students from native tribes and in 2023 saw us
and internal monitoring and evaluation processes. We also
provide a $400,000 donation to a Summer Youth Employment
work with global multi-stakeholder initiatives to broaden
Program helping Native American youth find the right careers
our understanding of where risks for negative human rights
and employment for them.
impacts are most significant for mining companies.
More details on our policies, approach and performance in
Our human rights program has us conduct an independent
this area is available in our Sustainability Report.
human rights assessment at all our mines on, at most, a
three-year cycle, with those mines most exposed to human
rights risks on a two-year cycle. In 2023 we undertook
independent human rights assessments at Loulo-Gounkoto
(Mali), North Mara (Tanzania), Bulyanhulu (Tanzania) and Jabal
Sayid (Saudi Arabia).
During 2023 we also continued with resettlements of the
Kalimva-Ikanva area near our Kibali mine in DRC and began
the land acquisition process at Komarera in Tanzania. Our
approach to resettlement is guided by our Social Performance
Policy and conducted in compliance with applicable laws,
regulations and international best practices such as that set
out by the IFC’s Performance Standard 5.
Supporting diversity and inclusion
As part of our fundamental belief in human rights we are also
an equal opportunity employer with an aim to build diverse
and locally-representative workforces. This diversity is a
critical part of our mission to transform natural resources into
sustainable benefits and mutual prosperity for our employees,
local communities and host country governments.
49
Barrick Gold Corporation | Annual Report 2023 MINING SUSTAINABLY FOR A BETTER FUTURE (CONTINUED)
ENVIRONMENTAL STEWARDSHIP
In 2023 we generated direct emissions (scope 1 and 2)
of 6,357kt of CO2-e1, which represents a 5% reduction
compared to 2022, and a 15% reduction against our 2018
baseline. We continue to progress our emission reduction
capex and operational efficiency projects as part of our target
to reduce emissions by 30% by 2030 against this baseline
while maintaining a steady production profile. In 2023 we
also published a detailed target for reduction of our scope 3
emissions which is available on our website.
We continue to develop alternative sources of electricity, as
set out in our roadmap to Net Zero including expansion of
the Loulo-Gounkoto solar farm in Mali from 20MW to 60MW,
breaking ground on the new solar plant in Nevada and
introducing electric vehicles into the light vehicle fleet in the
same complex. We are also seeing the benefits of our major
project to connect our Veladero mine to the Chilean national
grid, which has a higher proportion of clean energy than the
national grid of Argentina where Veladero is located.
As part of managing our long-term climate risks we completed
a TCFD (Taskforce for Climate-related Financial Disclosures)
aligned scenario analysis for Nevada Gold Mines, as the
US is our biggest source of emissions by country. We also
conducted climate change risk and vulnerability assessments
as part of our ESIA processes for proposed expansions at our
Tongon, Loulo, Kibali and Lumwana mines.
Full details of our governance and risk management
approach, as set out using the requirements of Taskforce for
Climate-related Financial Disclosure is available online.
1 Market-based.
to protecting
the
it comes
“When
natural environment, hope
is not a
strategy. That’s why our work to reduce
emissions, manage water and waste,
and conserve biodiversity is not framed
by aspirations far into the future, but
grounded
improvements,
constant measurement and transparent
reporting.”
in everyday
Grant Beringer
Group Sustainability Executive
We recognize
that mining
for gold and copper has
consequences
for
the natural environment and as a
responsible mining company we act to minimize and mitigate
the negative impacts, and amplify the positive ones. Here we
report on our most material environmental focus areas: climate
resilience, water stewardship, biodiversity conservation and
waste management.
Our careful stewardship of the natural environment is
governed by our Environmental Policy, responsibility for which
lies with the Group Sustainability Executive with oversight by
our Board. In 2023 all our operational mines were certified
against the globally-respected ISO 14001:2015 standard for
their environmental management system, and for the fifth
consecutive year since the Merger that we recorded zero
major environmental incidents.
Climate resilience
We are committed to managing our climate risks and
leveraging the opportunities of the low carbon transition,
including investing in clean energy to power the needs of
our mines and host communities. The increasing use of
renewable energy is a key driver of growth for our business,
with copper a critical input in renewable energy sources such
as solar PVs and wind turbines and gold used in solar and
fuel cells to improve efficiency.
We have a multi-faced approach to addressing, avoiding,
managing and adapting to climate change. This includes
detailed emissions disclosure by each site against short,
medium and long term reduction targets and a detailed and
continually updated emissions reduction roadmap. Since
2021 this has included disclosure in the complex area of
‘scope 3’ ie the indirect emissions caused by suppliers and
other entities not owned or controlled by our company, but an
area of our business where we believe we can have influence
driving global action.
50
Annual Report 2023 | Barrick Gold Corporation LIGHTING THE WAY
MINING SUSTAINABLY FOR A BETTER FUTURE (CONTINUED)
Our Loulo-Gountoko complex on the western edge of
Mali was the first Barrick mine to introduce solar power
in the Africa and Middle East region, helping the plant cut
emissions by around 57kt/year. In 2023 we progressed a
project to triple this capacity including drawing up plans
for battery storage facilities, working in partnership with
local Malian-based companies, helping them become
solar experts in the West African region.
The increase in the solar plant’s capacity to 60MW
reduces fuel use by around 10 million liters of diesel and
Heavy Fuel Oil fuel per year.
Much of the model is now being applied in completion of
a new solar plant in Nevada, USA.
Water stewardship
Responsible water management is critical to our business
and we seek to protect and where possible enhance access
to clean water for other stakeholders, particularly local
communities.
As with all elements of sustainability our approach is holistic
and access to water is one of the key investment themes
for Community Development Committees. In 2023 this saw,
for example, local communities deliver a new water tower
in North Mara giving 30,000 Tanzanians better access to
water and the establishment of several community drinking
Each mine has its own site-specific water management plan
fountains near Kibali in the DRC.
with a strategy based on four pillars:
■ To conserve and protect high quality water resources
wherever we operate. In 2023 we reused or recycled
84% of all water used to help achieve this.
■ To consider other users through using basin-wide water
balances. These studies consider impacts from climate
change as well as the current and future demands of
other users and the key biodiversity features that rely on
shared water sources.
■ To track and ensure we don’t exceed our permitted
thresholds for abstraction or discharge quality, which
we do through site-wide balances, monitoring and
management plans. For example at our Jabal Sayid
mine in Saudi Arabia, which is considered a water scarce
area, the operations use water sent from a wastewater
facility, so as not to impact local catchment water stress.
In areas of water abundance such as Kibali (DRC) and
Pueblo Vieojo (Dominican Republic) management plans
focus on how to avoid stress from heavy rainfall and
flooding.
■ To provide honest and open disclosure,
including
reporting against
the market-leading
ICMM Water
Reporting Framework. We also conduct participatory
monitoring programs for community members across
many sites, especially where water is a key community
concern.
Our commitment to responsible water use is set out in
our Environmental policy and further details of our water
management can be found in our Sustainability Report.
Nurturing nature
“It’s vital for any mine to understand
the unique habitats and ecosystems
it depends on. But from rewilding to
reseeding, eco-tourism
to elephant
collars, we aim to go beyond awareness
and work with partners on the ground to
protect, conserve and enhance nature in
our host countries, doing this in lockstep
with plans for economic and social
development.”
Duncan Pettit
Sustainability Manager
We aim to play a positive role in the management of the
biodiversity both inside and outside the mine gates, and
strive to use biodiversity as a tool to help drive community
development. Our commitments are enshrined in our
Environmental Policy, and as a standalone Biodiversity Policy.
51
Barrick Gold Corporation | Annual Report 2023 MINING SUSTAINABLY FOR A BETTER FUTURE (CONTINUED)
Our approach is to have no net loss on any Key Biodiversity
The wetland provides a habitat for a range of local fauna and
Features (KBFs) identified at our sites, and to contribute
flora and acts as a carbon sink by converting carbon dioxide
positively to the conservation of high value biodiversity in the
regions in which we operate.
into plant material potentially storing close to 80 tonnes
CO2-e.
Examples of these contributions can be found in each mine’s
Many stakeholders, particularly in the investment community,
Biodiversity Action Plan (BAP). These include the protection
are now aware of the risks posed by poor biodiversity
of sage-grouse habitat in Nevada, our extensive support to
management but we have found few tools on the market that
the Garamba National Park (DRC) and Aniana Vargas National
help us measure the complexity and nuance of biodiversity
Park in Dominican Republic. Many of these projects also
and impacts to the extent that is necessary to make informed
support local jobs based on conservation and eco-tourism.
decision. That’s why throughout 2023 we have been
Our work to protect biodiversity is also about long-term
value creation.
For example
the most cost-effective
solution for active and sustained water treatment is the
creation of wetlands. At Loulo we developed the largest
constructed wetland in West Africa, which removes and
reduces nitrates and sediment from the mine’s underground
pumped water down to acceptable levels prior to discharge.
working with third party experts to develop and pilot a new
biodiversity measurement tool. We hope that in time this will
be a useful contribution to help the sector effectively measure
biodiversity impacts, identify projects to support, set metrics
for good management and drive good practice.
BANKING ON
BIODIVERSITY IN NORTHERN NEVADA
The greater sage-grouse is the largest grouse in North
Since 2012 we have focused on managing our IL
America, but the species is in decline from a range of
ranch with environment-first best practices and
risks including wildfires, habitat loss and invasive species.
entered significant portions of the ranch into Nevada’s
To help protect the greater sage-grouse population
Conservation Credit System to protect and improve
in Nevada we work closely with partners including
sage-grouse habitat.
participation in the state authority’s Conservation Credit
System to help protect and restore the strutting grounds
the bird relies on.
Through our efforts to replant, reforest and rewild the
habitats of our ranches and wider properties in Nevada
we receive credits that offset against any potential future
Our operations in Northern Nevada cover significant
impacts. This program is a long-term investment, which
tracts of ranchland and these include one of the largest
helps our Nevada team to uplift local ecosystems and
tracks of greater sage-grouse habitat in the state.
help protect a species under threat.
Biodiversity Credit Generation
YEAR 1
YEAR X
YEAR XX
YEAR XX
d
e
l
l
o
r
n
e
s
t
i
d
e
r
c
l
a
t
o
T
Future
credits
available
for use
Credits
allocated
to projects
Impacted land
Fires
Invasive species
Climate change
Seeding phase
(environment
restoration)
Growth phase
(credits generating)
Mature habitat
developed &
credits recognised
Credits realised
Capital investment
$$$
$$
$
52
Annual Report 2023 | Barrick Gold Corporation
MINING SUSTAINABLY FOR A BETTER FUTURE (CONTINUED)
Responsible waste and tailings management
operate and close our heap leach facilities in compliance
Dealing responsibly with the waste our operations produce –
including tailings, waste rock, and non-processing waste – is
with all applicable laws and regulations and in alignment with
accepted international practice.
vital to the health of people, the environment and our business
Our standard sets out the key roles required for the
as a whole.
At Barrick, we endeavor to reduce the waste and pollution
that stems from our operations, reuse or recycle those
products that can be, and to deal with remaining waste in
a responsible manner that protects the natural environment.
management of all active and closed tailings facilities (TSFs)
and our six levels of inspection and surety for the safe
management and operation of TSFs and heap leach pads. All
our TSFs meet regulatory requirements and continually work
towards best practice.
All our operations have waste sorting areas for the separation
In line with the requirements of the recently created Global
of metals, wood and equipment, and for waste oil collection.
Industry Standard on Tailings Management (GISTM) all our
We are always looking for innovative ways to reuse or recycle,
including working with local companies or artisans to collect,
recycle or dispose of our waste safely and hope to replicate
the good work being done on circular initiatives at our
Veladero mine in 2023 (see box).
We follow a rigorous risk-based approach to the management
of hazardous waste. We are aligned with the ICMM position
statement on Mercury Risk Management, are a signatory to the
International Cyanide Management Code (ICMC) and member
of the International Cyanide Management Institute (ICMI).
Safety-first approach
The most significant of our waste streams is tailings, ie the
crushed rock, unrecoverable materials and chemicals left
from the processing of mined ore, and as set out in our group-
wide Tailings Management Standard, safety is at the center
of our approach. However, our safety focus is not only on
tailings. For example, our group Heap Leach Management
Standard is designed to ensure we locate, design, construct,
priority facilities (those with extreme or very high consequence
classifications) conform to GISTM requirements. We are now
working to ensure our other facilities also conform by the
August 2025 deadline.
In 2023, in line with our standard and GISTM requirements,
of the 59 tailings storage facilities that Barrick owns or
operates, only 14 are classified as ‘Extreme’ (five facilities) or
‘Very High’ (nine facilities) under the GISTM. All 14 of these
facilities conform with the requirements of the GISTM. Two
facilities (Giant Nickel’s Upper and Lower TSFs) are classified
as being in ‘Safe Closure’ and are therefore not subject to
the disclosure requirements of the GISTM, while one facility
(Zaldivar TSF) is operated by a joint venture partner and is
therefore not included in Barrick’s GISTM disclosures.
Full details of our approach to waste management and
an inventory of our tailings facilities are available in the
Sustainability Report and on our website.
CIRCULAR LOGIC IN A REMOTE REGION
The isolated location of our Veladero mine, high in the
The mine is working on wide range of other circular
Andes Mountain range of Argentina, brings the need
economy initiatives including partnering with TECK
to repair and reuse materials into sharp focus, and the
Argentina to rehabilitate drilling tools and accessories,
mine is leading the way on circular economy initiatives
and working with local organizations to create backpacks
for elements from chemicals to clothes and compost.
and bags from our used clothing, to turn our worn-out
Manganese is a good example. It may be a common
element in the Earth’s crust but Argentina is facing
tyres into playgrounds, and to turn on-site plastic waste
into patio furniture.
national shortages of the chemical element. That’s
The impacts of these initiatives go beyond avoiding
why the Veladero team is working with a leading steel
landfill. Many of our recycling partnerships, like our scrap
mill to begin recycling the many million tons of scrap
material recycler ACINDAR, employ local community
manganese used in the crushing process at the mine. In
members and support community economies. Even
the first 10 trips since the project’s initiation in November
our food waste at Veladero is collected and transported
2023, we have sent 230 tons of manganese to be
to the nearby Municipality of Iglesia, where processed
recycled, resulting in an additional $65,500 in recovered
compost can be donated to community members or
credits for new equipment.
sold for a profit to boost the local economy. Currently in
pilot phase the plan is to adapt and replicate Veladero’s
program across our other operations in the future.
53
Barrick Gold Corporation | Annual Report 2023 ENDNOTES
i. Please see pages 141 - 148 of this annual report for corresponding
endnotes.
ii. Gold equivalent ounces (GEO) from our copper assets are calculated
using long-term mineral reserve commodity prices of $1,300/oz gold
and $3.00/lb copper.
Proven and probable reserve gains calculated from cumulative net
change in reserves from year end 2019 to 2023.
GEO Reserve replacement percentage
from the
cumulative net change in reserves from 2020 to 2023 divided by the
cumulative depletion in reserves from year end 2019 to 2023 as shown
in the table below:
is calculated
l
e
b
a
t
u
b
i
r
t
t
A
O
E
G
P
&
P
102
97
98
104
105
N/A
Year
2019a
2020b
2021c
2022d
2023e
2019 – 2023 Total
l
l
d
o
G
e
b
a
t
u
b
i
r
t
t
A
l
l
d
o
G
e
b
a
t
u
b
i
r
t
t
A
)
z
o
M
(
n
o
i
t
e
p
e
D
l
-
(7.4)
(6.9)
(6.3)
(6.0)
(26)
e
g
n
a
h
C
t
e
N
d
o
G
l
l
e
b
a
t
u
b
n
i
r
t
t
A
)
z
o
M
(
-
4.2
8.5
13
6.7
32
&
n
o
i
t
i
s
u
q
c
A
i
s
t
n
e
m
t
s
e
v
D
i
)
z
o
M
(
-
(2.2)
(0.91)
-
-
(3.1)
Totals may not appear to sum correctly due to rounding.
Attributable acquisitions and divestments includes the following:
a decrease of 2.2 Moz in proven and probable gold reserves from
December 31, 2019 to December 31, 2020, as a result of the divestiture of
Barrick’s Massawa gold project effective March 4, 2020; and a decrease
of 0.91 Moz in proven and probable gold reserves from December 31,
2020 to December 31, 2021, as a result of the change in Barrick’s equity
interest in Porgera from 47.5% to 24.5% and the net impact of the asset
exchange of Lone Tree to i-80 Gold for the remaining 50% of South
Arturo that Nevada Gold Mines did not already own.
All estimates are estimated in accordance with National Instrument
43-101 - Standards of Disclosure for Mineral Projects as required by
Canadian securities regulatory authorities.
a Estimates as of December 31, 2019, unless otherwise noted. Proven
reserves of 280 million tonnes grading 2.42g/t, representing 22 million
ounces of gold and 420 million tonnes grading 0.4%, representing
3,700 million pounds of copper (which is equal to 1.7 million tonnes
of copper). Probable reserves of 1,000 million tonnes grading 1.48g/t,
representing 49 million ounces of gold and 1,200 million tonnes
grading 0.38%, representing 9,800 million pounds of copper (which
is equal to 4.4 million tonnes of copper). Conversions may not
recalculate due to rounding.
b Estimates as of December 31, 2020, unless otherwise noted. Proven
reserves of 280 million tonnes grading 2.37g/t, representing 21 million
ounces of gold, and 350 million tonnes grading 0.39%, representing
3,000 million pounds of copper (which is equal to 1.4 million tonnes
of copper). Probable reserves of 990 million tonnes grading 1.46g/t,
representing 47 million ounces of gold, and 1,100 million tonnes
grading 0.39%, representing 9,700 million pounds of copper (which
is equal to 4.4 million tonnes of copper). Conversions may not
recalculate due to rounding.
c Estimates as of December 31, 2021, unless otherwise noted. Proven
mineral reserves of 240 million tonnes grading 2.20g/t, representing
17 million ounces of gold and 380 million tonnes grading 0.41%,
representing 3,400 million pounds of copper (which is equal to
1.6 million tonnes of copper), and probable reserves of 1,000 million
tonnes grading 1.60g/t, representing 53 million ounces of gold and
1,100 million tonnes grading 0.37%, representing 8,800 million
pounds of copper (which is equal to 4.0 million tonnes of copper).
Conversions may not recalculate due to rounding.
d Estimates as of December 31, 2022, unless otherwise noted. Proven
mineral reserves of 260 million tonnes grading 2.26g/t, representing
19 million ounces of gold and 390 million tonnes grading 0.40%,
representing 3,500 million pounds of copper (which is equal to
1.6 million tonnes of copper), and probable reserves of 1,200 million
tonnes grading 1.53g/t, representing 57 million ounces of gold and
1,100 million tonnes grading 0.37%, representing 8,800 million
pounds of copper (which is equal to 4.0 million tonnes of copper).
Conversions may not recalculate due to rounding.
54
e Estimates are as of December 31, 2023, unless otherwise noted.
Proven mineral reserves of 250 million tonnes grading 1.85g/t,
representing 15 million ounces of gold, and 320 million tonnes grading
0.41%, representing 1.3 million tonnes of copper. Probable reserves
of 1,200 million tonnes grading 1.61g/t, representing 61 million
ounces of gold, and 1,100 million tonnes grading 0.38%, representing
4.3 million tonnes of copper.
iii. Key assumptions
Key Outlook Assumptions
Gold Price ($/oz)
Copper Price ($/lb)
Oil Price (WTI) ($/barrel)
AUD Exchange Rate (AUD:USD)
ARS Exchange Rate (USD:ARS)
CAD Exchange Rate (USD:CAD)
CLP Exchange Rate (USD:CLP)
EUR Exchange Rate (EUR:USD)
2023
1,948
2024
1,900
2025+
1,300
3.85
85
0.75
800
1.30
900
1.10
3.50
75
0.75
800
1.30
900
1.20
3.00
75
0.75
800
1.30
900
1.20
Gold equivalent ounces calculated from our copper assets are calculated
using a gold price of $1,300/oz and copper price of $3.00/lb. Barrick’s
ten-year indicative production profile for gold equivalent ounces is
based on the following assumptions:
This five-year indicative outlook is based on our current operating asset
portfolio, sustaining projects in progress and exploration/mineral resource
management initiatives in execution. This outlook is based on our current
reserves and resources as disclosed in our annual report and assumes
that we will continue to be able to convert resources into reserves. Our
gold and copper reserve price assumptions for 2023 are based on
$1,300/oz and $3.00/lb, respectively, except at Tongon, where gold mineral
reserves for 2023 are based upon a price assumption of $1,500/oz, at
Hemlo, where gold mineral reserves are based on a price assumption of
$1,400/oz and at Zaldivar, where mineral reserves and resources are
based on Antofagasta’s price assumptions. For mineral reserves, the
copper price assumption used by Antofagasta is $3.50/lb for 2023.
Additional asset optimization, further exploration growth, new project
initiatives and divestitures are not included. For the group gold and copper
segments, and where applicable for a specific region, this indicative
outlook is subject to change and assumes the following:
• New open pit production permitted and commencing at Hemlo in the
second half of 2025, allowing three years for permitting and two years
for pre-stripping prior to first ore production in 2027.
• Tongon will enter care and maintenance by 2026.
• Production from the Zaldivar CupoChlor® Chloride Leach Project
(Antofagasta is the operator of Zaldivar).
This five-year indicative outlook excludes:
• Production from Fourmile.
• Production from Pierina and Golden Sunlight, both of which are
currently in care and maintenance.
• Production from long-term greenfield optionality from Donlin, Pascua-
Lama, Norte Abierto and Alturas.
Barrick’s ten-year production profile is subject to change and is based
on the same assumptions as the current five-year outlook detailed
above, except that the subsequent five years of the ten-year outlook
assumes attributable production from Fourmile as well as exploration
and mineral resource management projects in execution at NGM and
Hemlo.
Barrick’s five and ten-year production profile in this annual report
also assumes the re-start of Porgera, as well as an indicative gold
and copper production profile for Reko Diq and an indicative copper
production profile for the Lumwana Super Pit expansion, both of which
are conceptual in nature.
iv. Class 2 - Medium Significance is defined as an incident that has
the potential to cause negative impact on human health or the
environment but is reasonably anticipated to result in only localized
and short-term environmental or community impact requiring minor
remediation.
v. Indicative copper production profile from Reko Diq is conceptual in
nature and is subject to change following completion of the updated
feasibility study.
Annual Report 2023 | Barrick Gold Corporation
Financial Report
for 2023
CONTENTS
Management’s Discussion and Analysis
Mineral Reserves and Resources
Financial Statements
Notes to Financial Statements
Shareholder Information
56
150
162
167
208
Barrick Gold Corporation | Annual Report 2023
55
MANAGEMENT’S DISCUSSION
AND ANALYSIS (“MD&A”)
Management’s Discussion and Analysis (“MD&A”) is intended to
help the reader understand Barrick Gold Corporation (“Barrick”,
“we”, “our”, the “Company” or the “Group”), our operations, financial
performance and the present and future business environment. This
MD&A, which has been prepared as of February 13, 2024, should be
read in conjunction with our audited consolidated financial statements
(“Financial Statements”) for the year ended December 31, 2023.
Unless otherwise indicated, all amounts are presented in U.S. dollars.
For the purposes of preparing our MD&A, we consider the
materiality of information. Information is considered material if: (i) such
information results in, or would reasonably be expected to result
in, a significant change in the market price or value of our shares;
(ii) there is a substantial likelihood that a reasonable investor would
consider it important in making an investment decision; or (iii) it would
significantly alter the total mix of information available to investors.
We evaluate materiality with reference to all relevant circumstances,
including potential market sensitivity.
Continuous disclosure materials, including our most recent Form
40-F/Annual Information Form, annual MD&A, audited consolidated
financial statements, and Notice of Annual Meeting of Shareholders
and Proxy Circular will be available on our website at www.barrick.
com, on SEDAR+ at www.sedarplus.ca and on EDGAR at www.sec.
gov. For an explanation of terminology unique to the mining industry,
readers should refer to the glossary on page 149.
Environmental and Social Impact Assessment
Randgold
Randgold Resources Limited
ABBREVIATIONS
BAP
BNL
CDCs
CHUG
CIL
Biodiversity Action Plans
Barrick Niugini Limited
Community Development Committees
Cortez Hills Underground
Carbon-in-leach
Commencement
Agreement
Detailed Porgera Project Commencement
Agreement between PNG and BNL
DRC
Democratic Republic of Congo
E&S Committee
Environmental and Social
Oversight Committee
ESG
Environmental, Social and Governance
ESG &
Nominating
Committee
Environmental, Social, Governance &
Nominating Committee
Environmental Impact Assessment
EIA
ESIA
FEIS
GHG
GISTM
GoT
IASB
ICMM
IFRS
IP
IRC
IRR
ISSB
KCD
Final Environmental Impact Statement
Greenhouse Gas
Global Industry Standard for Tailings
Management
Government of Tanzania
International Accounting Standards Board
International Council on Mining and Metals
IFRS Accounting Standards as issued by the
International Accounting Standards Board
Induced Polarization
Internal Revenue Commission
Internal Rate of Return
International Sustainability Standards Board
Karagba, Chauffeur and Durba
Kumul Minerals
Kumul Minerals Holdings Limited
56
LTI
LTIFR
LOM
MAA
MRE
Mtpa
MVA
MW
NGM
NSR
OECD
PFS
PNG
Lost Time Injury
Lost Time Injury Frequency Rate
Life of Mine
Multiple Accounts Analysis
Mineral Resources Enga Limited
Million tonnes per annum
Megavolt-amperes
Megawatt
Nevada Gold Mines
Net Smelter Return
Organisation for Economic Co-operation
and Development
Pre-feasibility Study
Papua New Guinea
RAP
RC
RIB
RIL
ROD
SAG
SDG
SML
TCFD
TRIFR
TSF
TW
WGC
WTI
Resettlement Action Plan
Reverse Circulation
Rapid Infiltration Basin
Resin-in-leach
Record of Decision
Semi-autogenous grinding
Sustainable Development Goals
Special Mining Lease
Task Force for Climate-related Financial
Disclosures
Total Recordable Injury Frequency Rate
Tailings Storage Facilities
True Width
World Gold Council
West Texas Intermediate
Annual Report 2023 | Barrick Gold Corporation CAUTIONARY STATEMENT ON FORWARD-
LOOKING INFORMATION
Certain information contained or incorporated by reference in this
MD&A, including any information as to our strategy, projects, plans
or future financial or operating performance, constitutes “forward-
looking statements”. All statements, other than statements of
historical fact, are forward-looking statements. The words “believe”,
“expect”, “anticipated”, “vision”, “aim”, “strategy”, “target”, “plan”,
“opportunities”, “guidance”, “forecast”, “outlook”, “objective”, “intend”,
“project”, “pursue”, “develop”, “progress”, “continue”, “committed”,
“budget”, “estimate”, “potential”, “prospective”, “future”, “focus”,
“ongoing”, “following”, “subject to”, “scheduled”, “may”, “will”, “can”,
“could”, “would”, “should” and similar expressions identify forward-
looking statements. In particular, this MD&A contains forward-looking
statements including, without limitation, with respect to: Barrick’s
forward-looking production guidance; estimates of future cost of sales
per ounce for gold and per pound for copper, total cash costs per
ounce and C1 cash costs per pound, and all-in-sustaining costs per
ounce/pound; cash flow forecasts; projected capital, operating and
exploration expenditures; the share buyback program and performance
dividend policy, including the criteria for dividend payments; mine life
and production rates; projected capital estimates and anticipated
development timelines related to the Goldrush Project; the planned
updating of the historical Reko Diq feasibility study and targeted first
production; our plans and expected completion and benefits of our
growth projects, including the Goldrush Project, Fourmile, Pueblo
Viejo plant expansion and mine life extension project, Lumwana
Super Pit expansion, Veladero Phase 7 leach pad project, solar power
projects at NGM and Loulo-Gounkoto, Donlin Gold, and the Jabal
Sayid Lode 1 project; the transition of the Chilean side of the Pascua-
Lama project into closure; the potential for Lumwana to extend its life
of mine through the development of a Super Pit and expected timing of
the feasibility study and targeted first production; the new mining code
in Mali and the status of the establishment conventions for the Loulo-
Gounkoto complex; capital expenditures related to upgrades and
ongoing management initiatives; Barrick’s global exploration strategy
and planned exploration activities; the resumption of operations at
the Porgera mine and expected restart of mining and processing in
the first quarter of 2024; our pipeline of high confidence projects at or
near existing operations; potential mineralization and metal or mineral
recoveries; our ability to convert resources into reserves and future
reserve replacement; asset sales, joint ventures and partnerships;
Barrick’s strategy, plans, targets and goals in respect of environmental
and social governance issues, including climate change, greenhouse
gas emissions reduction targets (including with respect to our Scope 3
emissions and our reliance on our value chain to help us achieve
these targets within the specified time frames), safety performance,
TSF management, including Barrick’s conformance with the GISTM,
community development, responsible water use, biodiversity and
human rights initiatives; Barrick’s engagement with local communities;
and expectations regarding future price assumptions, financial
performance and other outlook or guidance.
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 MD&A in light of
management’s experience and perception of current conditions and
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); risks associated with projects
in the early stages of evaluation and for which additional engineering
and other analysis is required; risks related to the possibility that
future exploration results will not be consistent with the Company’s
expectations, that quantities or grades of reserves will be diminished,
and that resources may not be converted to reserves; risks associated
with the fact that certain of the initiatives described in this MD&A are
still in the early stages and may not materialize; changes in mineral
production performance, exploitation and exploration successes; 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; the speculative nature of mineral exploration and
development; lack of certainty with respect to foreign legal systems,
corruption and other factors that are inconsistent with the rule of
law; changes in national and local government legislation, taxation,
controls or regulations and/or changes in the administration of laws,
policies and practices; the potential impact of proposed changes to
Chilean law on the status of value added tax refunds received in Chile
in connection with the development of the Pascua-Lama project;
expropriation or nationalization of property and political or economic
developments in Canada, the United States or other countries in which
Barrick does or may carry on business in the future; risks relating
to political instability in certain of the jurisdictions in which Barrick
operates; timing of receipt of, or failure to comply with, necessary
permits and approvals; non-renewal of key licenses by governmental
authorities; failure to comply with environmental and health and safety
laws and regulations; increased costs and physical and transition
risks related to climate change, including extreme weather events,
resource shortages, emerging policies and increased regulations
relating to related to greenhouse gas emission levels, energy
efficiency and reporting of risks; contests over title to properties,
particularly title to undeveloped properties, or over access to water,
power and other required infrastructure; the liability associated with
risks and hazards in the mining industry, and the ability to maintain
insurance to cover such losses; 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; risks related to operations near communities that may
regard Barrick’s operations as being detrimental to them; litigation
and legal and administrative proceedings; operating or technical
difficulties in connection with mining or development activities,
including geotechnical challenges, tailings dam and storage facilities
failures, and disruptions in the maintenance or provision of required
infrastructure and information technology systems; increased costs,
delays, suspensions and technical challenges associated with the
construction of capital projects; risks associated with working with
partners in jointly controlled assets; risks related to disruption of supply
routes which may cause delays in construction and mining activities,
including disruptions in the supply of key mining inputs due to the
invasion of Ukraine by Russia and conflicts in the Middle East; risk of
loss due to acts of war, terrorism, sabotage and civil disturbances;
risks associated with artisanal and illegal mining; risks associated
with Barrick’s infrastructure, information technology systems and the
implementation of Barrick’s technological initiatives, including risks
related to cyber-attacks, cybersecurity breaches, or similar network or
system disruptions; 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 ongoing global supply chain
disruptions, global energy cost increases following the invasion of
Ukraine by Russia and country-specific political and economic factors
in Argentina; adverse changes in our credit ratings; fluctuations in the
currency markets; changes in U.S. dollar interest rates; risks arising
from holding derivative instruments (such as credit risk, market
liquidity risk and mark-to-market risk); risks related to the demands
placed on the Company’s management, the ability of management to
implement its business strategy and enhanced political risk in certain
jurisdictions; uncertainty whether some or all of Barrick’s targeted
investments and projects will meet the Company’s capital allocation
objectives and internal hurdle rate; whether benefits expected from
recent transactions are realized; business opportunities that may be
presented to, or pursued by, the Company; our ability to successfully
integrate acquisitions or complete divestitures; risks related to
competition in the mining industry; employee relations including loss
of key employees; availability and increased costs associated with
mining inputs and labor; risks associated with diseases, epidemics
and pandemics, including the effects and potential effects of the global
Covid-19 pandemic; risks related to the failure of internal controls; and
risks related to the impairment of the Company’s goodwill and assets.
57
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS 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 MD&A 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 MD&A. We disclaim 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.
USE OF NON-GAAP FINANCIAL MEASURES
We use the following non-GAAP financial measures in our MD&A:
•
•
•
•
•
•
•
•
•
•
•
•
“adjusted net earnings”
“free cash flow”
“EBITDA”
“adjusted EBITDA”
“attributable EBITDA”
“minesite sustaining capital expenditures”
“project capital expenditures”
“total cash costs per ounce”
“C1 cash costs per pound”
“all-in sustaining costs per ounce/pound”
“all-in costs per ounce” and
“realized price”
For a detailed description of each of the non-GAAP measures used
in this MD&A and a detailed reconciliation to the most directly
comparable measure under IFRS, please refer to the Non-GAAP
Financial Measures section of this MD&A on pages 115 to 141. Each
non-GAAP financial measure has been annotated with a reference to
an endnote on page 142. The non-GAAP financial measures set out in
this MD&A are intended to provide additional information to investors
and do not have any standardized meaning under IFRS, and therefore
may not be comparable to other issuers, and should not be considered
in isolation or as a substitute for measures of performance prepared in
accordance with IFRS.
Changes in Presentation of Non-GAAP Financial
Performance Measures
Attributable EBITDA
In addition to adjusted EBITDA, we are also providing attributable
EBITDA, which we introduced in the third quarter of 2023 and removes
the non-controlling interest portion from our adjusted EBITDA
measure. Prior periods have been presented to allow for comparability.
We believe this additional information will assist analysts, investors
and other stakeholders of Barrick in better understanding our ability
to generate liquidity from our attributable business, including equity
method investments, by excluding these amounts from the calculation
as they are not indicative of the performance of our core mining
business and do not necessarily reflect the underlying operating
results for the periods presented. Additionally, it is aligned with how
we present our forward-looking guidance on gold ounces and copper
pounds produced.
INDEX
59 Overview
59 Our Vision
59 Our Business
59 Our Strategy
60 Financial and Operating Highlights
63 Key Business Developments
64 Outlook for 2024
67 Environmental, Social and Governance
69 Market Overview
71 Reserves and Resources
72 Risks and Risk Management
74 Production and Cost Summary
76 Operating Performance
77 Nevada Gold Mines
78 Carlin
80 Cortez
82 Turquoise Ridge
84 Other Mines – Nevada Gold Mines
85 Pueblo Viejo
87 Loulo-Gounkoto
89 Kibali
91 North Mara
93 Bulyanhulu
95 Other Mines – Gold
96 Lumwana
98 Other Mines – Copper
98 Growth Project Updates
101 Exploration and Mineral Resource Management
105 Review of Financial Results
105 Revenue
106 Production Costs
107 Capital Expenditures
107 General and Administrative Expenses
108 Exploration, Evaluation and Project Costs
108 Finance Costs, Net
108 Additional Significant Statement of Income Items
110 Income Tax Expense
111 Financial Condition Review
111 Balance Sheet Review
111 Shareholders’ Equity
111 Financial Position and Liquidity
112 Summary of Cash Inflow (Outflow)
113 Summary of Financial Instruments
114 Commitments and Contingencies
114 Review of Quarterly Results
115
Internal Control Over Financial Reporting and
Disclosure Controls and Procedures
115
IFRS Critical Accounting Policies and
Accounting Estimates
115 Non-GAAP Financial Measures
141 Technical Information
142 Endnotes
149 Glossary of Technical Terms
150 Mineral Reserves and Mineral Resources Tables
159 Management’s Responsibility
159
Management’s Report on Internal Control
Over Financial Reporting
160
Independent Auditor’s Report
162 Financial Statements
167 Notes to Consolidated Financial Statements
58
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS
OVERVIEW
Our Vision
We strive to be the world’s most valued gold and copper company by
owning the best assets, managed by the best people, to deliver the
best returns and benefits for all our stakeholders.
Our Business
Barrick is a sector-leading gold and copper producer with annual
gold production and gold reserves that are among the largest in the
industry. We are principally engaged in the production and sale of gold
and copper, as well as related activities such as exploration and mine
development. We hold ownership interests in thirteen producing gold
mines, including six Tier One Gold Assets1 and a diversified exploration
portfolio positioned for growth in many of the world’s most prolific
gold districts. These gold mines are geographically diversified and are
located in Argentina, Canada, Côte d’Ivoire, the Democratic Republic
of Congo, the Dominican Republic, Mali, Papua New Guinea, Tanzania
and the United States. Our three copper mines are located in Zambia,
Chile and Saudi Arabia. Our exploration and development projects are
located throughout the world, including the Americas, Asia and Africa.
We sell our production in the world market through the following
distribution channels: gold bullion is sold in the gold spot market or
to independent refineries; gold and copper concentrate is sold to
independent smelting or trading companies; and copper cathode is
sold to third-party purchasers or on an exchange. Barrick shares trade
on the New York Stock Exchange under the symbol GOLD and the
Toronto Stock Exchange under the symbol ABX.
Our Strategy
Our strategy is to operate as business owners by attracting and
developing world-class people who understand and are involved in the
value chain of the business, act with integrity and are tireless in their
pursuit of excellence. We are focused on returns to our stakeholders
by optimizing free cash flow, managing risk to create long-term value
for our shareholders and partnering with host governments and our
local communities to transform their country’s natural resources into
sustainable benefits and mutual prosperity. We aim to achieve this
through the following:
Asset Quality
• Grow and invest in a portfolio of Tier One Gold Assets1, Tier Two
Gold Assets2, Tier One Copper Assets3 and Strategic Assets4 with
an emphasis on organic growth to leverage our existing footprint
located in world class geological districts. We will focus our efforts
on identifying, investing in and developing assets that meet our
investment criteria. The required return on Tier One1,3 capital
investments is 15%, adjusting to 10% return on long-life (20+ year)
investments with exposure to multiple commodity cycles. The
required return on investment for Tier Two Gold Assets2 is 20%.
Invest in exploration across extensive land positions in many of the
world’s most prolific gold and copper districts.
•
• Maximize the long-term value of our strategic Copper Business5.
• Sell non-core assets over time in a disciplined manner.
Operational Excellence
• Strive for zero harm workplaces.
• Operate a flat management structure with a strong ownership
culture.
• Streamline management and operations, and hold management
accountable for the businesses they manage.
• Leverage innovation and technology to drive industry-leading
efficiencies.
• Build trust-based partnerships with our host governments,
business partners, and local communities to drive shared long-
term value.
Sustainable Profitability
• Follow a disciplined approach to growth and proactively manage
our impacts on the wider environment, emphasizing long-term
value for all stakeholders.
Increase returns to shareholders, driven by a focus on return on
capital, IRR and free cash flow6.
•
Numerical annotations throughout the text of this document refer to the endnotes found on page 142.
59
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Financial and Operating Highlights
Financial Results ($ millions)
Revenues
Cost of sales
Net earningsa
Adjusted net earningsb
Attributable EBITDAb
Attributable EBITDA marginb
Minesite sustaining capital expendituresb,c
Project capital expendituresb,c
Total consolidated capital expendituresc,d
Net cash provided by operating activities
Net cash provided by operating
activities margine
Free cash flowb
Net earnings per share (basic and diluted)
Adjusted net earnings (basic)b per share
Weighted average diluted common shares
(millions of shares)
Operating Results
Gold production (thousands of ounces)f
Gold sold (thousands of ounces)f
Market gold price ($/oz)
Realized gold priceb,f ($/oz)
Gold cost of sales (Barrick’s share)f,g ($/oz)
Gold total cash costsb,f ($/oz)
Gold all-in sustaining costsb,f ($/oz)
Copper production (millions of pounds)f
Copper sold (millions of pounds)f
Market copper price ($/lb)
Realized copper priceb,f ($/lb)
Copper cost of sales (Barrick’s share)f,h ($/lb)
Copper C1 cash costsb,f ($/lb)
Copper all-in sustaining costsb,f ($/lb)
Financial Position ($ millions)
Debt (current and long-term)
Cash and equivalents
Debt, net of cash
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
3,059
2,139
479
466
1,068
42%
569
278
861
997
33%
136
0.27
0.27
2,862
1,915
368
418
1,071
45%
529
227
768
1,127
39%
359
0.21
0.24
1,756
1,755
1,054
1,042
1,971
1,986
1,359
982
1,364
113
117
3.70
3.78
2.92
2.17
3.12
1,039
1,027
1,928
1,928
1,277
912
1,255
112
101
3.79
3.78
2.68
2.05
3.23
7%
12%
30%
11%
0%
(7%)
8%
22%
12%
(12%)
(15%)
(62%)
29%
13%
0%
1%
1%
2%
3%
6%
8%
9%
1%
16%
(2%)
0%
9%
6%
(3%)
11,397
11,013
7,932
1,272
1,467
3,987
42%
2,076
969
3,086
3,732
33%
646
0.72
0.84
7,497
432
1,326
4,029
44%
2,071
949
3,049
3,481
32%
432
0.24
0.75
3%
6%
194%
11%
(1%)
(5%)
0%
2%
1%
7%
3%
50%
200%
12%
11,985
7,089
2,022
2,065
5,247
53%
1,673
747
2,435
4,378
37%
1,943
1.14
1.16
1,755
1,771
(1%)
1,779
4,054
4,024
1,941
1,948
1,334
960
1,335
420
408
3.85
3.85
2.90
2.28
3.21
4,141
4,141
1,800
1,795
1,241
862
1,222
440
445
3.99
3.85
2.43
1.89
3.18
(2%)
(3%)
8%
9%
7%
11%
9%
(5%)
(8%)
(4%)
0%
19%
21%
1%
4,437
4,468
1,799
1,790
1,093
725
1,026
415
423
4.23
4.32
2.32
1.72
2.62
As at
12/31/23
As at
9/30/23
Change
As at
12/31/23
As at
12/31/22
Change
As at
12/31/21
4,726
4,148
578
4,775
4,261
514
(1%)
(3%)
12%
4,726
4,148
578
4,782
4,440
342
(1%)
(7%)
69%
5,150
5,280
(130)
a. Net earnings represents net earnings attributable to the equity holders of the Company.
b. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
c. Amounts presented on a consolidated cash basis. Project capital expenditures are included in our calculation of all-in costs, but not included in our calculation of
all-in sustaining costs.
d. Total consolidated capital expenditures also includes capitalized interest of $14 million and $41 million, respectively, for the three months and year ended
December 31, 2023 (September 30, 2023: $12 million; 2022: $29 million; 2021: $15 million).
e. Represents net cash provided by operating activities divided by revenue.
f. On an attributable basis.
g. Gold cost of sales per ounce is calculated as cost of sales across our gold operations (excluding sites in closure or care and maintenance) divided by ounces sold
(both on an attributable basis using Barrick’s ownership share).
h. Copper cost of sales per pound is calculated as cost of sales across our copper operations divided by pounds sold (both on an attributable basis using Barrick’s
ownership share).
60
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Gold Productiona (thousands of ounces)
Copper Productiona,c (thousands of tonnes)
4,437
4,141
4,054
3,900
to
4,300
5,000
4,000
3,000
2,000
1,000
0
200
150
100
50
0
188
(415 lbs)
200
(440 lbs)
191
(420 lbs)
180
to
210
2021
2022
2023
2024 (est)b
2021
2022
2023
2024 (est)b
Gold Cost of Salesd, Total Cash Costse,
and All-In Sustaining Costse ($ per ounce)
Copper Cost of Salesc,d, C1 Cash Costsc,e
and All-In Sustaining Costsc,e ($ per pound)
1,093
1,026
725
1,241
1,222
862
1,334 1,335
960
1,320
to
1,420
1,320
to
1,420
940
to
1,020
1,400
1,050
700
350
0
3.00
2.00
2.32
2.62
1.72
2.43
3.18
1.89
2.90
3.21
2.28
1.00
0
3.10
to
3.40
2.65
to
2.95 2.00
to
2.30
2021
2022
2023
2024 (est)b
Cost of sales
Total cash costs
AISC
2021
2022
Cost of sales
C1 cash costs
2023
AISC
2024 (est)b
Net Earnings, Attributable EBITDAd
and Attributable EBITDA Margind
Capital Expendituresf ($ millions)
53%
5,247
2,022
2021
6,000
4,000
2,000
0
44%
42%
4,029
3,987
432
2022
1,272
2023
Net earnings ($ millions)
Attributable EBITDA ($ millions)
Attributable EBITDA Margin (%)
3,049
949
2,071
2,417
725
1,678
3,086
969
2,076
2,363
769
1,590
2,435
747
1,951
1,673
576
1,364
3,000
2,500
2,000
1,500
1,000
500
0
2021
2022
2023
Consolidated minesite sustaining
Attributable minesite sustaining
Consolidated project
Attributable project
Operating Cash Flow and Free Cash Flowd
Dividendsg (cents per share)
1,799
1,800
1,941
5,000
4,000
3,000
2,000
1,000
0
4,378
1,943
2021
3,481
3,732
432
2022
646
2023
Operating Cash Flow ($ millions)
Free Cash Flow ($ millions)
Gold Market Price ($/oz)
80
60
40
20
0
65
37
40
2021
2022
2023
a. On an attributable basis.
b. Based on the midpoint of the 2024 guidance range.
c. Beginning in 2024, we will present our copper production and sales quantities in tonnes rather than pounds (1 tonne is equivalent to 2,204.6 pounds). Our copper
cost metrics will continue to be reported on a per pound basis.
d. Gold cost of sales per ounce is calculated as cost of sales across our gold operations (excluding sites in closure or care and maintenance) divided by ounces sold
(both on an attributable basis using 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 using Barrick’s ownership share).
e. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
f. Capital expenditures also includes capitalized interest.
g. Dividend per share declared in respect of the stated period, inclusive of the performance dividend.
61
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Factors affecting net earnings and adjusted net
earnings6 – three months ended December 31, 2023
versus September 30, 2023
Net earnings for the three months ended December 31, 2023 were
$479 million compared to $368 million in the prior quarter. The increase
was primarily due to the following items:
• a gain of $352 million as the conditions for the reopening of the
Porgera mine were completed on December 22, 2023; partially
offset by
• a long-lived asset impairment of $143 million (net of tax and non-
controlling interests) at Long Canyon; and
• significant tax adjustments of $120 million related to deferred tax
recoveries as a result of net impairment charges; foreign currency
translation gains and losses on tax balances; the resolution of
uncertain tax positions; the impact of prior year adjustments;
the impact of nondeductible foreign exchange losses; and the
recognition and derecognition of deferred tax assets.
After adjusting for items that are not indicative of future operating
earnings, adjusted net earnings6 of $466 million for the three months
ended December 31, 2023 was $48 million higher than the prior
quarter mainly due to a higher realized gold price6 and higher gold and
copper sales volumes, partially offset by an increase in cost of sales
per ounce/pound7. The realized gold price6 was $1,986 per ounce for
the three months ended December 31, 2023, compared to $1,928 per
ounce in the prior quarter, while the realized copper price6 remained
consistent with the prior quarter at $3.78 per pound. Higher gold sales
volume was attributed to stronger performance at Cortez mainly due
to higher grades, at Phoenix as planned maintenance was performed
in the prior quarter, and at Pueblo Viejo reflecting higher recovery and
higher grades processed. This was partially offset by lower production
at Loulo-Gounkoto, as planned, due to lower grades processed. The
increase in gold cost of sales per ounce7 was mainly due to the impact
of lower grades processed at Loulo-Gounkoto and Carlin, combined
with higher electricity, grinding media and plant maintenance costs, as
well as the impact of a 1 in 500 year tropical storm in November 2023 at
Pueblo Viejo. Higher copper cost of sales per pound7 was primarily due
to lower mining efficiencies as the wet season commenced, combined
with lower grades processed and lower plant recovery at Lumwana.
Refer to page 115 for a full list of reconciling items between net
earnings and adjusted net earnings6 for the current and previous
periods.
Factors affecting net earnings and adjusted net earnings6 –
year ended December 31, 2023 versus December 31, 2022
Net earnings for the year ended December 31, 2023 were $1,272 million
compared to $432 million in the prior year. The increase was primarily
due to:
• a goodwill impairment of $950 million (net of non-controlling
to Loulo-Gounkoto, a non-current asset
interests) related
impairment of $318 million (net of tax) and a net realizable value
impairment of leach pad inventory of $27 million (net of tax) at
Veladero, and a non-current asset impairment of $42 million (net
of tax and non-controlling interests) at Long Canyon occurring in
the prior year;
• a gain of $352 million as the conditions for the reopening of the
Porgera mine were completed on December 22, 2023; partially
offset by
• an impairment reversal of $120 million and a gain of $300 million
following the completion of the transaction allowing for the
reconstitution of the Reko Diq project occurring in the prior year;
• significant tax adjustments of $220 million related to deferred tax
recoveries as a result of net impairment charges; foreign currency
translation gains and losses on tax balances; the resolution of
uncertain tax positions; the impact of prior year adjustments;
the impact of nondeductible foreign exchange losses; and the
recognition and derecognition of deferred tax assets; and
• a long-lived asset impairment of $143 million (net of tax and non-
controlling interests) at Long Canyon.
After adjusting for items that are not indicative of future operating
earnings, adjusted net earnings6 of $1,467 million for the year ended
December 31, 2023 was $141 million higher than the prior year. The
increase in adjusted net earnings6 was primarily due to a higher realized
gold price6, partially offset by an increase in cost of sales per ounce/
pound7 and lower gold and copper sales volumes. The realized gold
price6 was $1,948 per ounce in 2023 compared to $1,795 per ounce
in the prior year, while the realized copper price6 remained consistent
with the prior year at $3.85 per pound. The increase in gold/copper
cost of sales per ounce/pound7 was mainly attributed to lower grades
processed. Lower gold sales volumes were largely driven by Carlin
and Pueblo Viejo. At Carlin, this was mainly related to the closure of
the Gold Quarry concentrator at the beginning of the second quarter of
2023 and the conversion of the Goldstrike autoclave to a conventional
CIL process in the first quarter of 2023 and at Pueblo Viejo due to
lower grades processed in line with the mine and stockpile processing
plan, lower recovery and lower throughput following the delayed
commissioning and ramp-up of the expanded processing plant. These
impacts were partially offset by increased production at Cortez due to
higher oxide ore tonnes mined and processed from Crossroads and
CHUG (at a higher recovery rate), combined with higher heap leach
production. The decrease in copper sales volumes was mainly due
to lower grades, tonnes mined and throughput at Zaldívar, combined
with lower grades processed at Lumwana.
Refer to page 115 for a full list of reconciling items between net
earnings and adjusted net earnings6 for the current and previous
periods.
Factors affecting operating cash flow and free cash
flow6 – three months ended December 31, 2023 versus
September 30, 2023
In the three months ended December 31, 2023, we generated
$997 million in operating cash flow, compared to $1,127 million in the
prior quarter. The decrease of $130 million was primarily due to higher
interest paid as a result of the timing of semi-annual interest payments
on our bonds, which occur in the second and fourth quarters. This was
combined with an increased unfavorable movement in working capital,
mainly in accounts receivable driven by higher gold prices and higher
sales volumes, partially offset by a favorable movement in inventory.
Operating cash flow was further impacted by an increase in total/C1
cash costs per ounce/pound6, partially offset by a higher realized gold
price6 and higher gold sales volume.
Free cash flow6 for the three months ended December 31, 2023
was $136 million, compared to $359 million in the prior quarter,
reflecting higher capital expenditures, and lower operating cash flows.
In the three months ended December 31, 2023, capital expenditures
on a cash basis were $861 million compared to $768 million in the prior
quarter due to an increase in both project capital expenditures6 and
minesite sustaining capital expenditures6. Project capital expenditures6
increased primarily due to the continued development of the TS Solar
project at NGM, combined with the progress at the Yalea South
project at Loulo-Gounkoto. The increase in minesite sustaining capital
expenditures6 was primarily at Cortez which was mainly due to more of
the new truck fleet being commissioned in the fourth quarter of 2023,
partially offset by decreased capitalized waste stripping at Lumwana.
Factors affecting operating cash flow and free cash flow6 –
year ended December 31, 2023 versus December 31, 2022
For the year ended December 31, 2023, we generated $3,732 million
in operating cash flow, compared to $3,481 million in the prior year.
The increase of $251 million was primarily due to lower cash taxes
paid and higher interest received on our cash balances resulting
from an increase in market interest rates. This was partially offset
by an increased unfavorable movement in working capital, mainly
in accounts receivable and accounts payable, partially offset by a
favorable movement in inventory and other current assets. Operating
cash flow was further impacted by an increase in total/C1 cash costs
per ounce/pound6, partially offset by a higher realized gold price6 and
higher gold sales volume.
62
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Following the granting of the new SML, New Porgera Limited
commenced negotiations with the Porgera mine property’s landowners
to agree the terms of land compensation agreements applicable to the
new SML. The majority of landowners agreed to allow the Porgera mine
to reopen on the compensation terms that applied under the original
Porgera joint venture, and to defer substantive negotiation on new
compensation terms until after the mine reopens. The PNG National
Parliament passed legislation on November 29, 2023 to enable the
mine to reopen on this basis, and New Porgera Limited will make true-
up payments to landowners for any increase in compensation under
the new agreements from the date the new SML was granted.
The Commencement Agreement became unconditional on
December 8, 2023, and formal completion of the Commencement
Agreement was achieved on December 22, 2023. Work started on
the recommissioning of the Porgera mine on that date and mining
and processing are expected to restart at Porgera in the first quarter
of 2024. BNL is taking steps to withdraw the legal proceedings
that it initiated in relation to the Porgera dispute in accordance with
the Commencement Agreement, and the international arbitration
proceedings were formally terminated on January 25, 2024. The other
parties to the Commencement Agreement including the State of PNG
have a similar obligation to withdraw such proceedings.
Refer to notes 4 and 35 to the Financial Statements for more
information.
Share Buyback Program
At the February 13, 2024 meeting, the Board of Directors authorized
a new share buyback program for the purchase of up to $1 billion of
Barrick’s outstanding common shares over the next 12 months. We
did not purchase any shares in 2023 under the prior share buyback
program, which was terminated following the authorization of the new
program.
The actual number of common shares that may be purchased,
and the timing of any such purchases, will be determined by Barrick
based on a number of factors, including the Company’s financial
performance, the availability of cash flows, and the consideration of
other uses of cash, including capital investment opportunities, returns
to shareholders, and debt reduction.
The repurchase program does not obligate the Company to
acquire any particular number of common shares, and the repurchase
program may be suspended or discontinued at any time at the
Company’s discretion.
Executive Chairman Transitions to Chairman
Having achieved the foundational objectives set for the Company
following its historic merger with Randgold, Mr. John Thornton
concluded that it was the appropriate time to transition from the
Executive Chairman role to that of Chairman, as this governance
structure is best suited for the Company’s next growth phase. The
transition became effective on February 13, 2024.
In his capacity as Chairman, Mr. Thornton will continue to provide
leadership and direction to the Board and facilitate the operations and
deliberations of the Board and the satisfaction of the Board’s functions
and responsibilities under its mandate.
For 2023, we generated free cash flow6 of $646 million compared
to $432 million in the prior year. The increase primarily reflects higher
operating cash flows, partially offset by higher capital expenditures.
In 2023, capital expenditures on a cash basis were $3,086 million
compared to $3,049 million in the prior year, mainly due to an increase
in project capital expenditures6, while minesite sustaining capital
expenditures6 were relatively consistent with the prior year. Higher
project capital expenditures6 were mainly due to the TS Solar project
at NGM, as construction began in the fourth quarter of 2022, combined
with the investment in the new owner mining truck fleet at Lumwana.
This was partially offset by lower project spend incurred on the plant
expansion at Pueblo Viejo, as the construction was largely completed
in 2023. Minesite sustaining capital expenditures6 were consistent
with the prior year, as increased spend on processing facilities and
underground development at Carlin, higher capitalized waste stripping
at North Mara, and the commencement of production at the Gounkoto
underground mine were largely offset by lower capitalized waste
stripping at Lumwana.
Key Business Developments
Porgera Special Mining Lease
On April 9, 2021, BNL signed a binding Framework Agreement with the
Independent State of PNG and Kumul Minerals, a state-owned mining
company, setting out the terms and conditions for the reopening of
the Porgera mine. On February 3, 2022, the Framework Agreement
was replaced by the Commencement Agreement signed by PNG,
Kumul Minerals, BNL, Porgera (Jersey) Limited, an affiliate of BNL,
and MRE, the holder of the remaining 5% of the original Porgera joint
venture. The Commencement Agreement reflects the commercial
terms previously agreed to under the Framework Agreement, namely
that PNG stakeholders receive a 51% equity stake in the Porgera
mine, with the remaining 49% held by BNL or an affiliate. BNL is
jointly owned on a 50/50 basis by Barrick and Zijin Mining Group. The
Commencement Agreement also provides that PNG stakeholders and
BNL and its affiliates share the economic benefits derived from the
reopened Porgera mine on a 53% and 47% basis over the remaining
life of mine, respectively, and that the Government of PNG retains the
option to acquire BNL’s or its affiliate’s 49% equity participation at fair
market value after 10 years. Under the terms of the Commencement
Agreement, BNL remained in possession of the site and maintained
the mine on care and maintenance while the parties worked to satisfy
the conditions required for the reopening of the Porgera mine as
summarized below.
On April 21, 2022, the PNG National Parliament passed legislation
to provide, among other things, certain agreed tax exemptions and tax
stability for the new Porgera joint venture. This legislation was certified
on May 30, 2022. Six out of the seven pieces of legislation took effect
as of April 11 and 14, 2023, respectively, when they were published in
the National Gazette, as required under PNG law. The remaining act
awaits publication to take effect.
On September 13, 2022, the Shareholders’ Agreement for the
new Porgera joint venture company was executed by Porgera (Jersey)
Limited, the state-owned Kumul Minerals (Porgera) Limited and MRE.
New Porgera Limited, the new Porgera joint venture company, was
incorporated and subsequently became a party to the Commencement
Agreement and the Shareholders’ Agreement on October 13, 2023.
On June 20, 2023, the PNG IRC, the Commissioner General,
Barrick and BNL entered into a settlement agreement to resolve a
dispute regarding tax assessments issued by the IRC against BNL.
On October 13, 2023, the Independent State of PNG granted a
new SML, Special Mining Lease 13, to New Porgera Limited, following
the execution of the Mining Development Contract by the Independent
State of PNG and New Porgera Limited. The granting of the new SML
to New Porgera Limited reduced Barrick’s ownership interest in the
Porgera mine from 47.5% to 24.5%. Also on October 13, 2023, the
Independent State of PNG and New Porgera Limited executed the
Fiscal Stability Agreement for the Porgera mine and New Porgera
Limited and BNL executed the Project Operatorship Agreement,
pursuant to which BNL was appointed as operator of the Porgera mine.
63
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Outlook for 2024
Operating Division Guidance
Our 2023 actual gold and copper production, cost of sales, total cash costs6, all-in sustaining costs6 and 2024 forecast gold and copper
production, cost of sales, total cash costs6 and all-in sustaining costs6 ranges by operating division are as follows:
2023
attributable
production
(000s ozs)
2023
cost of
salesa
($/oz)
2023
total
cash
costsb
($/oz)
2023
all-in
sustaining
costsb
($/oz)
2024
forecast
attributable
production
(000s ozs)
2024
forecast
cost
of salesa
($/oz)
2024
forecast
total
cash costsb
($/oz)
2024
forecast
all-in
sustaining
costsb ($/oz)
Operating Division
Gold
Carlin (61.5%)c
Cortez (61.5%)d
Turquoise Ridge (61.5%)
Phoenix (61.5%)
Nevada Gold Mines (61.5%)e
Hemlo
North America
Pueblo Viejo (60%)
Veladero (50%)
Porgera (24.5%)f
Latin America & Asia Pacific
Loulo-Gounkoto (80%)
Kibali (45%)
North Mara (84%)
Bulyanhulu (84%)
Tongon (89.7%)
Africa and Middle East
Total Attributable to Barrickg,h,i
1,506
4,054
868
549
316
123
1,865
141
2,006
335
207
–
542
547
343
253
180
183
1,254
1,318
1,399
2,011
1,351
1,589
1,368
1,418
1,440
–
1,441
1,198
1,221
1,206
1,312
1,469
1,251
1,334
1,033
906
1,026
961
989
1,382
1,017
889
1,011
–
931
835
789
944
920
1,240
903
960
1,486
1,282
1,234
1,162
1,366
1,672
1,388
1,249
1,516
–
1,358
1,166
918
1,335
1,231
1,408
1,176
1,335
800 – 880 1,270 – 1,370 1,030 – 1,110 1,430 – 1,530
380 – 420 1,460 – 1,560 1,040 – 1,120 1,390 – 1,490
330 – 360 1,230 – 1,330
850 – 930 1,090 – 1,190
120 – 140 1,640 – 1,740
810 – 890 1,100 – 1,200
1,650 – 1,800 1,340 – 1,440
980 – 1,060 1,350 – 1,450
140 – 160 1,470 – 1,570 1,210 – 1,290 1,600 – 1,700
1,750 – 1,950 1,350 – 1,450 1,000 – 1,080 1,370 – 1,470
420 – 490 1,340 – 1,440
830 – 910 1,100 – 1,200
210 – 240 1,340 – 1,440 1,010 – 1,090 1,490 – 1,590
50 – 70 1,670 – 1,770 1,220 – 1,300 1,900 – 2,000
700 – 800 1,370 – 1,470
920 – 1,000 1,290 – 1,390
510 – 560 1,190 – 1,290
780 – 860 1,150 – 1,250
320 – 360 1,140 – 1,240
740 – 820
950 – 1,050
230 – 260 1,250 – 1,350
970 – 1,050 1,270 – 1,370
160 – 190 1,370 – 1,470
990 – 1,070 1,380 – 1,480
160 – 190 1,520 – 1,620 1,200 – 1,280 1,440 – 1,540
1,400 – 1,550 1,250 – 1,350
880 – 960 1,180 – 1,280
3,900 – 4,300 1,320 – 1,420
940 – 1,020 1,320 – 1,420
2023
attributable
production
(000s tonnes)j
2023
cost of
salesa,j
($/lb)
2023
C1
cash
costsb,j
($/lb)
2023
all-in
sustaining
costsb,j
($/lb)
2024
forecast
attributable
productionj
(000s tonnes)
2024
forecast
cost
of salesa
($/lb)
2024
forecast C1
cash costsb
($/lb)
2024
forecast
all-in
sustaining
costsb ($/lb)
Copper
Lumwana
Zaldívar (50%)
Jabal Sayid (50%)
Total Copperh
118
41
32
191
2.91
3.83
1.60
2.90
2.29
2.95
1.35
2.28
3.48
3.46
1.53
3.21
120 – 140
2.50 – 2.80
1.85 – 2.15
3.30 – 3.60
35 – 40
3.70 – 4.00
2.80 – 3.10
3.40 – 3.70
25 – 30
180 – 210
1.75 – 2.05
2.65 – 2.95
1.40 – 1.70
2.00 – 2.30
1.70 – 2.00
3.10 – 3.40
a. Gold cost of sales per ounce is calculated as cost of sales across our gold operations (excluding sites in closure or care and maintenance) divided by ounces sold
(both on an attributable basis using 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 using Barrick’s ownership share).
b. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
c. Included within our 61.5% interest in Carlin is NGM’s 100% interest in South Arturo.
d. Includes Goldrush.
e. 2023 results include Long Canyon, which was placed on care and maintenance at the end of 2023 and is not included in 2024 guidance.
f. Porgera was placed on temporary care and maintenance on April 25, 2020 until December 22, 2023. On December 22, 2023, the Porgera Project Commencement
Agreement was completed and recommissioning of the mine commenced. As a result, Porgera is included in our 2024 guidance at 24.5%. Refer to page 63 for
further details.
g. Total cash costs and all-in sustaining costs per ounce include costs allocated to non-operating sites.
h. Operating division guidance ranges reflect expectations at each individual operating division, and may not add up to the company-wide guidance range total.
Guidance ranges exclude Pierina, which is producing incidental ounces while in closure.
i. Includes corporate administration costs.
j. Beginning in 2024, we will present our copper production and sales quantities in tonnes rather than pounds (1 tonne is equivalent to 2,204.6 pounds). Production
amounts for 2023 have been restated in tonnes for comparative purposes. Our copper cost metrics will continue to be reported on a per pound basis.
64
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Operating Division, Consolidated Expense and Capital Guidance
Our 2023 actual gold and copper production, cost of sales, total cash costs6, all-in sustaining costs6, consolidated expenses and capital
expenditures and 2024 forecast gold and copper production, cost of sales, total cash costs6, all-in sustaining costs6, consolidated expenses and
capital expenditures are as follows:
($ millions, except per ounce/pound data)
2023 Guidancea
2023 Actual
2024 Guidancea
Gold production
Production (millions of ounces)
Gold cost metrics
Cost of sales – gold ($ per oz)
Total cash costs ($ per oz)b
Depreciation ($ per oz)
All-in sustaining costs ($ per oz)b
Copper production
Production (millions of pounds)
Production (thousands of tonnes)c
Copper cost metrics
Cost of sales – copper ($ per lb)
C1 cash costs ($ per lb)b
Depreciation ($ per lb)
All-in sustaining costs ($ per lb)b
Exploration and project expenses
Exploration and evaluation
Project expenses
General and administrative expenses
Corporate administration
Stock-based compensationd
Other expense (income)
Finance costs, net
Attributable capital expenditurese
Attributable minesite sustainingb,e
Attributable projectb,e
Total attributable capital expenditurese
4.20 – 4.60
1,170 – 1,250
820 – 880
320 – 350
1,170 – 1,250
420 – 470
N/A
2.60 – 2.90
2.05 – 2.25
0.80 – 0.90
2.95 – 3.25
400 – 440
180 – 200
220 – 240
~180
~130
~50
70 – 90
280 – 320
4,054
1,334
960
335
1,335
420
191
2.90
2.28
0.89
3.21
361
183
178
126
101
25
(195)
170
3.90 – 4.30
1,320 – 1,420
940 – 1,020
340 – 370
1,320 – 1,420
N/A
180 – 210
2.65 – 2.95
2.00 – 2.30
0.90 – 1.00
3.10 – 3.40
400 – 440
180 – 200
220 – 240
~180
~130
~50
70 – 90
260 – 300
1,450 – 1,700
750 – 900
2,200 – 2,600
1,590
769
2,363
1,550 – 1,750
950 – 1,150
2,500 – 2,900
a. Based on the communication we received from the Government of PNG that the SML will not be extended, Porgera was placed on temporary care and maintenance
on April 25, 2020. Due to the uncertainty related to the timing and scope of future developments on the mine’s operating outlook, our 2023 guidance excluded
Porgera. On December 22, 2023, the Porgera Project Commencement Agreement was completed and recommissioning of the mine commenced. As a result,
Porgera is included in our 2024 guidance. Refer to page 63 for further details. Guidance ranges also exclude Pierina and Long Canyon which are producing
incidental ounces while in closure and care and maintenance.
b. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
c. Beginning in 2024, we will present our copper production and sales quantities in tonnes rather than pounds (1 tonne is equivalent to 2,204.6 pounds).
d. 2023 actual results are based on a US$18.09 share price and 2024 guidance is based on a one-month trailing average ending December 31, 2023 of US$17.61
per share.
e. Attributable capital expenditures are presented on the same basis as guidance, which includes our 61.5% share of NGM, our 60% share of Pueblo Viejo, our 80%
share of Loulo-Gounkoto, our 89.7% share of Tongon, our 84% share of North Mara and Bulyanhulu, our 50% share of Zaldívar and Jabal Sayid and, beginning in
2024, our 24.5% share of Porgera. Total attributable capital expenditures for 2023 actual results also includes capitalized interest of $4 million.
2024 Guidance Analysis
Estimates of future production, cost of sales per ounce7, total cash
costs per ounce6 and all-in sustaining costs per ounce6 presented in
this MD&A are based on mine plans that reflect the expected method
by which we will mine reserves at each site. Actual gold and copper
production and associated costs may vary from these estimates due
to a number of operational and non-operational risk factors (see the
“Cautionary Statement on Forward-Looking Information” on page 57
of this MD&A for a description of certain risk factors that could cause
actual results to differ materially from these estimates).
Gold Production
We expect 2024 gold production to be in the range of 3.9 to 4.3 million
ounces, compared to our actual 2023 gold production of 4.05 million
ounces. We expect stronger year-over-year performances from
Pueblo Viejo and to a lesser extent Turquoise Ridge, together with
stable delivery across the remaining Tier One Gold Assets1 with the
exception of Cortez. Production at Cortez is expected to be lower in
2024 relative to 2023 due to the Crossroads resource model changes
reducing oxide mill feed partially offset by a higher contribution from
Goldrush (although the delay in the receipt of the ROD has pushed
some ounces from 2024 into 2025).
In addition, given that formal completion of the Commencement
Agreement at Porgera was achieved on December 22, 2023, our 2024
gold production guidance now includes Porgera. Refer to page 63 for
more information.
Outside of our Tier One Gold Assets1, we expect the following
changes in year-over-year production. At Veladero, we expect 2024
production to be marginally higher than 2023. As previously disclosed,
mining temporarily ceased at Long Canyon in 2022 and this asset
has now been placed on care and maintenance and will no longer be
included in our guidance metrics.
Across the four quarters of 2024, the Company’s gold production
is expected to steadily increase throughout the year as we work
towards the restart of operations at Porgera and complete rectification
work at Pueblo Viejo.
65
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Gold Cost of Sales per Ounce7
On a per ounce basis, cost of sales applicable to gold7, after removing
the portion related to non-controlling interests, is expected to be in the
range of $1,320 to $1,420 per ounce in 2024, compared to the 2023
actual result of $1,334 per ounce.
Costs are expected to be marginally higher than 2023 which
reflects higher depreciation and the impact of higher costs at certain
other operations as described further in the Gold Total Cash Costs per
Ounce6 section immediately below.
Gold Total Cash Costs per Ounce6
Total cash costs per ounce6 in 2024 are expected to be in the range
of $940 to $1,020 per ounce, compared to the 2023 actual result of
$960 per ounce.
This range is based on our expectation that energy prices will
on average be similar in 2024 compared to 2023, albeit with
potentially higher volatility. Until we see lower energy prices, we are
not expecting the inflationary impact from the 2022 and 2023 years to
materially unwind.
In North America, our 2024 guidance for total cash costs per
ounce6 for NGM of $980 to $1,060 per ounce compares to the 2023
actual result of $989 per ounce. Higher unit costs at Cortez driven
by the lower production volumes are expected to largely offset lower
costs at both Turquoise Ridge and Phoenix, producing a consistent
result year on year.
In Latin America & Asia Pacific, total cash costs per ounce6 at
Pueblo Viejo are expected to be lower compared to 2023, driven by
higher throughput from the plant expansion partially offset by the
impact of slightly lower grades (in line with the mine and stockpile
processing plan).
For Africa and Middle East, total cash costs per ounce6 are
expected to be consistent with 2023 as lower costs from Loulo-
Gounkoto and Kibali are partially offset by higher costs expected at
North Mara and Bulyanhulu.
Gold All-In Sustaining Costs per Ounce6
All-in sustaining costs per ounce6 in 2024 are expected to be in the
range of $1,320 to $1,420 per ounce, compared to the 2023 actual
result of $1,335 per ounce. This is based on the expectation that
minesite sustaining capital expenditures6 on a per ounce basis will be
higher than 2023 (refer to Capital Expenditures commentary below for
further detail).
Copper Production and Costs
We expect 2024 copper production to be in the range of 180 to 210
thousand tonnes, compared to actual production of 191 thousand
tonnes (equivalent to 420 million pounds) in 2023. Production in the
second half of 2024 is expected to be materially stronger than the first
half, mainly due to steadily increasing throughput at Lumwana as the
new owner mining fleet is anticipated to be fully ramped up by the end
of the second quarter of 2024.
In 2024, cost of sales applicable to copper7 is expected to be
in the range of $2.65 to $2.95 per pound, which compares to the
actual result of $2.90 per pound for 2023. C1 cash costs per pound6
guidance of $2.00 to $2.30 per pound for 2024 compares to the 2023
actual result of $2.28 per pound, mainly driven by lower costs at
Lumwana resulting from higher production and operating efficiencies
partially offset by higher costs at Jabal Sayid. Copper all-in sustaining
costs per pound6 guidance of $3.10 to $3.40 for 2024 compares to
the actual result of $3.21 in 2023. Higher minesite sustaining capital
expenditures6 on a per pound basis at Lumwana (refer to Capital
Expenditures commentary below for further detail) are expected to
largely offset lower C1 cash costs per pound6.
Exploration and Project Expenses
We expect to incur approximately $400 to $440 million of exploration
and project expenses in 2024. This is unchanged compared to our
2023 guidance range, although it is higher than the 2023 actual result
of $361 million.
Within this range, we expect our exploration and evaluation
expenditures in 2024 to be approximately $180 to $200 million. This is
consistent with the 2023 actual result of $183 million and is unchanged
from the guidance range for 2023. This expenditure will continue to
support our resource and reserve conversion over the coming years
including approximately $40 million in relation to Barrick’s Fourmile
project.
We also expect to incur approximately $220 to $240 million of
project expenses in 2024, compared to $178 million in 2023. The
key driver of this increase is the ongoing feasibility study update for
the Reko Diq project in Pakistan. The remainder of the expected
expenditure relates to Pascua-Lama as well as project evaluation
costs across the rest of the portfolio, particularly in the Latin America
& Asia Pacific region.
General and Administrative Expenses
In 2024, we expect corporate administration costs to be approximately
$130 million, which represents the fifth consecutive year we have
kept this guidance range unchanged, notwithstanding inflationary
pressures over the course of 2022 and 2023 in particular.
Separately, stock-based compensation expense in 2024 is
expected to be approximately $50 million based on a share price
assumption of $17.61 but will be impacted by the share price.
Finance Costs, Net
In 2024, our guidance range for net finance costs of $260 to $300 million
primarily represents interest expense on long-term debt, non-cash
interest expense relating to the gold and silver streaming agreements
at Pueblo Viejo, and accretion, net of finance income. This guidance
for 2024 is higher than the actual result for 2023 of $170 million, and
reflects lower capitalized interest and our expectation that market
interest rates will decrease relative to 2023, translating to lower interest
income. Interest expense incurred on our bonds is at a fixed rate and
consequently does not change with market interest rates.
Capital Expenditures
Total attributable gold and copper capital expenditure for 2024 is
expected to be in the range of $2,500 to $2,900 million. This is higher
than the actual spend for the 2023 year of $2,363 million. We continue
to focus on the delivery of our project pipeline and expect attributable
project capital expenditures6 to be in the range of $950 to $1,150 million
in 2024, which is higher than our actual expenditures of $769 million in
2023. This higher level of spend is primarily related to early works and
long lead time items at our two major growth projects, Reko Diq and
the Lumwana Super Pit, which collectively are expected to increase by
around $150 million year on year. Across the Company’s gold assets,
the material changes relate to expenditures on the new Naranjo TSF at
Pueblo Viejo (around $100 million) and the restart of Porgera (around
$50 million).
Attributable minesite sustaining capital expenditure6 for 2024 is
expected to be in the range of $1,550 to $1,750 million, which compares
to the actual spend for 2023 of $1,590 million. The guidance range
for 2024 is split between our gold assets ($1,200 to $1,400 million)
and copper assets ($335 to $385 million). Compared to the prior year,
minesite sustaining capital expenditures6 in 2024 are expected to
be approximately $100 million higher at Lumwana, up to $75 million
higher at our Latin America & Asia Pacific sites (in particular Veladero
and Porgera) and up to $50 million higher across the Africa and
Middle East sites. Offsetting this impact, minesite sustaining capital
expenditures6 at NGM are expected to be approximately $50 million
lower compared to 2023.
Effective Income Tax Rate
Based on a gold price assumption of $1,900/oz, our expected
effective tax rate range for 2024 is 26% to 30%. The rate is sensitive
to the relative proportion of sales in high versus low tax jurisdictions,
realized gold and copper prices, the proportion of income from our
equity accounted investments and the level of non-tax affected costs
in countries where we generate net losses.
66
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Outlook Assumptions and Economic Sensitivity Analysis
Gold price sensitivity
Copper price sensitivity
2024 Guidance
Assumption
Hypothetical
Change
Impact on
EBITDAa
(millions)
Impact on TCC
and AISCa
$ 1,900/oz
$ 3.50/lb
+/- $ 100/oz
+/- $ 0.25/lb
+/- $ 550
+/- $ 110
+/- $ 5/oz
+/- $ 0.01/lb
a. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
Environmental, Social and Governance
ESG or sustainability as we like to refer to it, including our license to
operate, is entrenched in our DNA: our sustainability strategy is our
business plan.
Barrick’s vision for sustainability is underpinned by the knowledge
that sustainability aspects are interconnected and must be tackled in
conjunction with, and reference to, each other. We call this approach
Holistic and Integrated Sustainability Management. We must tackle all
sustainability aspects holistically and concurrently to make meaningful
progress in any single aspect. Although we integrate our sustainability
management, we discuss our sustainability strategy within four
overarching pillars: (1) respecting human rights; (2) protecting the
health and safety of our people and local communities; (3) sharing
the benefits of our operations; and (4) managing our impacts on the
environment.
We implement this strategy by blending top-down accountability
with bottom-up responsibility. This means we place the day-to-day
ownership of sustainability, and the associated risks and opportunities,
in the hands of individual sites. In the same way that each site must
manage its geological, operational and technical capabilities to meet
business objectives, it must also manage and identify programs,
metrics, and targets that measure progress and deliver real value for
the business and our stakeholders, including our host countries and
local communities. The Group Sustainability Executive, supported by
regional sustainability leads, provides oversight and direction over this
site-level ownership, to ensure alignment with the strategic priorities
of the overall business.
Governance
The bedrock of our sustainability strategy is strong governance.
Our most senior management-level body dedicated to sustainability
is the E&S Committee, which connects site-level ownership of our
sustainability strategy with the leadership of the Group. It is chaired
by the President and Chief Executive Officer and includes: (1) regional
Chief Operating Officers; (2) minesite General Managers; (3) Health,
Safety, Environment and Closure Leads; (4) the Group Sustainability
Executive; (5) in-house legal counsel; and (6) an independent
sustainability consultant in an advisory role. The E&S Committee
meets on a quarterly basis to review our performance across a range
of key performance indicators, and to provide independent oversight
and review of sustainability management.
The President and Chief Executive Officer reviews the reports of
the E&S Committee at every quarterly meeting of the Board’s ESG
& Nominating Committee. The reports are reviewed to ensure the
implementation of our sustainability policies and to drive performance
of our environmental, health and safety, community relations and
development, and human rights programs.
This is supplemented by weekly meetings, at a minimum, between
the Regional Sustainability Leads and the Group Sustainability
Executive. These meetings examine the sustainability-related risks
and opportunities facing the business in real time, as well as the
progress and issues integrated into weekly Executive Committee
review meetings.
30% of incentive payments for senior leaders under Barrick’s
Partnership Plan are now tied to ESG performance, including a new
10% weighting under the annual incentive program linked to our
annual safety and environment performance and a 20% weighting
under our Long-Term Company Scorecard linked to the assessment
of our industry-first Sustainability Scorecard. As we strive for ongoing
strong performance, the Sustainability Scorecard targets and metrics
are updated annually. The results of the 2023 Sustainability Scorecard,
and updated metrics and targets for 2024, will be disclosed in our
2023 Annual Report and Sustainability Report, published in March
and April 2024 respectively. The E&S Committee tracks our progress
against all metrics.
Human rights
Our commitment to respect human rights is codified in our standalone
Human Rights Policy and informed by the expectations of the United
Nations Guiding Principles on Business and Human Rights, the
Voluntary Principles on Security and Human Rights and the OECD
Guidelines for Multinational Enterprises. This commitment is fulfilled on
the ground via our Human Rights Program, the fundamental principles
of which include: monitoring and reporting, due diligence, training, as
well as disciplinary action and remedy.
We continue to assess and manage security and human rights
risks at all our operations and provide security and human rights
training to private and public security forces across our sites. During
2023, independent human rights assessments were undertaken at the
following sites: North Mara and Bulyanhulu in Tanzania; Jabal Sayid in
Saudi Arabia; Loulo-Gounkoto in Mali; and Kibali in the DRC.
Safety
We are committed to the safety, health and well-being of our people,
their families and the communities in which we operate. Our safety
vision is “Everyone to go home safe and healthy every day.”
Following a number of severe safety incidents in 2022 and early
in 2023, we established a Management-Level Safety Committee,
and developed our “Journey to Zero” initiative at the end of the first
quarter of 2023, which was disclosed in our 2022 Sustainability Report
(published in April 2023).
Our focus and priority throughout the remainder of 2023 and
beyond continues to be on the roll out of our “Journey to Zero”
initiative. The journey was kicked off with the responsibility to STOP
unsafe work, since we are all safety leaders within our organization.
We recognize our responsibility to identify hazards and ensure that all
the controls are in place to do the job/or task safely.
We report our safety performance quarterly as part of both our
E&S Committee meetings and our reports to the ESG & Nominating
Committee. Our safety performance is a regular standing agenda item
on our weekly Executive Committee review meeting.
Reflecting on 2023, our frequency rates are at an all-time low.
As an organization, we had 9% fewer injuries compared to 2022, a
significant reduction in injury severity, an 18% decrease in LTIs, and
a 25% decrease in Restricted Duty Injuries. Statistics for 2023 show
a 12% improvement in the TRIFR8 (1.14) compared to 2022. The
LTIFR8 was 0.23 and dropped by 21% compared to 2022, an overall
improvement of 36% over a three-year period, based on a 12-month
rolling average. We also had four operating sites that worked without
a LTI for the year.
Regrettably, the safety improvements were offset by five fatalities
that took place during 2023, and two additional fatalities that occurred
in early 2024 at North Mara and Kibali.
The leading causes of the fatal incidents were related to energy
isolation and mobile equipment accidents. These incidents underscore
the focus on effective training, particularly task training, and the link
it to our Fatal Risk Management Program. As part of our Journey to
Zero, we have identified four key elements in developing a culture
that fosters a strong and effective focus on safety: (1) Leadership and
Culture, (2) Zero Fatalities, (3) Risk Management, and (4) Prevention
of Injuries.
In terms of key performance indicators, for the fourth quarter of
2023, our LTIFR8 was 0.14, a 52% decrease quarter on quarter, and
our TRIFR8 was 0.69, a decrease of 46% from the third quarter of 2023.
67
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS
Social
We regard our host communities and countries as important partners
in our business. Our sustainability policies commit us to transparency
in our relationships with host communities, government authorities,
the public and other key stakeholders. Through these policies, we
commit to conducting our business with integrity and with absolute
opposition to corruption. We require our suppliers to operate ethically
and responsibly as a condition of doing business with us.
Community and economic development
Our commitment to social and economic development is set out in
our overarching Sustainable Development and Social Performance
policies. Mining has been identified as vital for the achievement of the
United Nations SDGs, not only for its role in providing the minerals
needed to enable the transition to a lower carbon intensive economy,
but more importantly because of its ability to drive socio-economic
development and build resilience. Creating long-term value and sharing
economic benefits is at the heart of our approach to sustainability, as
well as community development. This approach is encapsulated in
three concepts:
The primacy of partnership: this means that we invest in real
partnerships with mutual responsibility. Partnerships include local
communities, suppliers, government, and organizations, and this
approach is epitomized through our CDCs with development initiatives
and investments.
Sharing the benefits: We hire and buy local wherever possible as
this injects money into and keeps it in our local communities and host
countries. By doing this, we build capacity, community resilience and
create opportunity. We also invest in community development through
our CDCs. Sharing the benefits also means paying our fair share of
taxes, royalties and dividends and doing so transparently, primarily
through the reporting mechanism of the Canadian Extractive Sector
Transparency Measures Act. Our annual Tax Contribution Report sets
out, in detail, our economic contributions to host governments.
Engaging and listening to stakeholders: We develop tailored
stakeholder engagement plans for every operation and the business
as a whole. These plans guide and document how often we engage
with various stakeholder groups and allow us to proactively deal with
issues before they escalate into significant risks.
Our community development spend during the fourth quarter was
$15.4 million, and $43.2 million for 2023.
Environment
We know the environment in which we work and our host communities
are inextricably linked, and we apply a holistic and integrated
approach to sustainability management. Being responsible stewards
of the environment by applying the highest standards of environmental
management, using natural resources and energy efficiently, recycling
and reducing waste as well as working to protect biodiversity, we can
deliver significant cost savings to our business, reduce future liabilities
and help build stronger stakeholder relationships. Environmental
matters such as how we use water, prevent incidents, manage tailings,
respond to changing climate, and protect biodiversity are key areas
of focus.
We maintained our strong track record of stewardship and did not
record any Class 19 environmental incidents in 2023.
Climate Change
The ESG & Nominating Committee is responsible for overseeing
Barrick’s policies, programs and performance relating to sustainability
and the environment, including climate change. The Audit & Risk
Committee assists the Board in overseeing the Group’s management
of enterprise risks as well as the implementation of policies and
standards for monitoring and mitigating such risks. Climate change is
built into our formal risk management process, outputs of which are
regularly reviewed by the Audit & Risk Committee.
Barrick’s climate change strategy has three pillars: (1) identify,
understand and mitigate the risks associated with climate change; (2)
measure and reduce our GHG emissions across our operations and
value chain; and (3) improve our disclosure on climate change. The
three pillars of our climate change strategy do not focus solely on the
development of emissions reduction targets, rather, we integrate and
consider aspects of biodiversity protection, water management and
community resilience in our approach.
We are acutely aware of the impacts that climate change and
extreme weather events have on our host communities and countries,
particularly developing nations which are often the most vulnerable. As
the world economy transitions to renewable power, it is imperative that
developing nations are not left behind. As a responsible business, we
have focused our efforts on building resilience in our host communities
and countries, just as we do for our business. Our climate disclosure is
based on the recommendations of the TCFD.
Identify, understand and mitigate the risks associated with
climate change
We identify and manage risks, build resilience to a changing climate
and extreme weather events, as well as position ourselves for new
opportunities. These factors continue to be incorporated into our
formal risk assessment process. We have identified several risks and
opportunities for our business including: physical impacts of extreme
weather events; an increase in regulations that seek to address climate
change; and an increase in global investment in innovation and low-
carbon technologies.
The risk assessment process includes scenario analysis, which is
being rolled out to all sites with an initial focus on our Tier One Gold
Assets1, to assess site-specific climate related risks and opportunities.
The key findings and a summary of this asset-level physical and
transitional risk assessment at Loulo-Gounkoto and Kibali were
disclosed as part of our CDP (formerly known as the Carbon Disclosure
Project) Climate Change and Water Security questionnaires, submitted
to CDP in July 2023.
In addition, climate scenario analysis and risk assessments were
completed in 2023 for Carlin (physical risks) and NGM (transitional
risks). These disclosures will be included in the 2023 Sustainability
Report to be published in April 2024.
Measure and reduce the Group’s impact on climate change
Mining is an energy-intensive business, and we understand the
important link between energy use and GHG emissions. By measuring
and effectively managing our energy use, we can reduce our GHG
emissions, achieve more efficient production, and reduce our costs.
We have climate champions at each site who are tasked with
identifying roadmaps and assessing feasibility for our GHG emissions
reductions and carbon offsets for hard-to-abate emissions. Any
carbon offsets that we pursue must have appropriate socio-economic
and/or biodiversity benefits. We have published an achievable
emissions reduction roadmap and continue to assess further
reduction opportunities across our operations. The detailed roadmap
was first published in our 2021 Sustainability Report and includes
committed-capital projects and projects under investigation that rely
on technological advances, with a progress summary contained in the
2022 Sustainability Report.
We continue to progress our extensive work across our value chain
in understanding our Scope 3 (indirect emissions associated with the
value chain) emissions and implementing our engagement roadmap to
enable our key suppliers to set meaningful and measurable reduction
targets, in line with the commitments made through the ICMM Climate
Position Paper.
In November 2023, Barrick announced its Scope 3 emissions
targets which it developed to promote awareness and action in
its value chain and empower those actors to set their own net zero
commitments, with short- and medium-term targets. These targets are
both quantitative and qualitative and are focused on high emission
areas in our value chain as outlined below:
68
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Goods and Suppliers (Category 110):
• Quantitative Target: 30% emissions reduction of “Tier 1” suppliers
(those suppliers that collectively account for 5% of Barrick’s total
spend in this category) by 2030 against a 2022 Scope 3 base year;
• Qualitative Target: Incorporate 130 of our largest suppliers by
spend into our annual outreach (this includes our Tier 1 suppliers as
well as chemical and metal fabricator suppliers) and engagement;
and
• 2025 Target: Collect high-quality data for 50% of Tier 1 and
chemical and metal fabricator suppliers through engagement, and
refine emissions reduction targets by 2025.
Fuels and Energy (Category 310):
• Quantitative Target: 20% reduction against a 2022 Scope 3 base
year by 2030; and
• Qualitative Targets:
• Collaborate towards new technologies to reduce fleet
emissions; and
• Engage with host governments where we consume power from
national grids for continued renewable energy incorporation.
Downstream Copper Processing (Category 1010):
• Qualitative Target: Outreach and engagement of all downstream
customers and smelters; and
• 2025 Target: Set emissions reduction target, covering 75% of
copper processing, by 2025.
Improve our disclosure on climate change
Our disclosure on climate change, including in our Sustainability
Report and on our website, is developed in line with the TCFD
recommendations. Barrick continues to monitor the various regulatory
climate disclosure standards being developed around the world,
including the ISSB’s recently issued S2 Climate-related Disclosures.
In addition, we complete the annual CDP Climate Change and Water
Security questionnaires. This ensures our investor-relevant water use,
emissions and climate data is widely available.
Emissions
Barrick’s interim GHG emissions reduction target is for a minimum
30% reduction by 2030 against our 2018 baseline, while maintaining a
steady production profile. The basis of this reduction is against a 2018
baseline of 7,541 kt CO2-e.
Our GHG emissions reduction target is grounded in science and
has a detailed pathway for achievement. Our target is not static and
will be updated as we continue to identify and implement new GHG
reduction opportunities.
Ultimately, our vision is net zero GHG emissions by 2050, achieved
primarily through GHG reductions, with some offsets for hard-to-abate
emissions. Site-level plans to improve energy efficiency, integrate
clean and renewable energy sources and reduce GHG emissions will
also be strengthened. We plan to supplement our corporate emissions
reduction target with context-based site-specific emissions reduction
targets.
During the fourth quarter of 2023, the Group’s total Scope 1
and 2 (location-based) GHG emissions were 1,726 kt CO2-e11. The
preliminary 2023 emissions are approximately 6% less than the GHG
emissions for the same period year period in 2022 (Scope 1 and 2
(location-based)). The full year data assurance process is currently
underway and final 2023 data will be included in Barrick’s 2023
Sustainability Report.
Water
Water is a vital and increasingly scarce global resource. Managing
and using water responsibly is one of the most critical parts of our
sustainability strategy. Our commitment to responsible water use is
codified in our Environmental Policy and standalone Water Policy.
Steady, reliable access to water is critical to the effective operation of
our mines. Access to water is also a fundamental human right.
Understanding the water stress in the regions in which we
operate enables us to better understand the risks and manage our
water resources through site-specific water balances, based on the
ICMM Water Accounting Framework, aimed at minimizing our water
withdrawal and maximizing water reuse and recycling within our
operations.
We include each mine’s water risks in its operational risk register.
These risks are then aggregated and incorporated into the corporate
risk register. Our identified water-related risks include: (1) managing
excess water in regions with high rainfall; (2) maintaining access
to water in arid areas and regions prone to water scarcity; and (3)
regulatory risks related to permitting limits as well as municipal and
national regulations for water use.
We set an annual water recycling and reuse target of 80%. Our
water recycling and reuse rate for the fourth quarter of 2023 was
approximately 84%. The increase was due to refinement of the Pueblo
Viejo water balance accounting and thus the performance against
2022 is not directly comparable.
Tailings
We are committed to having our TSFs meet global best practices for
safety. Our TSFs are carefully engineered and regularly inspected,
particularly those in regions with high rainfall and seismic events.
We disclosed our conformance to the GISTM for all Extreme
and Very High consequence facilities on the Barrick website on
August 4, 2023, within the committed disclosure timeframe. All of our
sites that are classified as Very High or Extreme consequence are
in conformance with the GISTM. We continue to progress with our
conformance for lower consequence facilities in accordance with the
GISTM. Disclosures for lower consequence facilities will be completed
by August 2025, also in accordance with the GISTM.
Biodiversity
Biodiversity underpins many of the ecosystem services on which
our mines and their surrounding communities depend. If improperly
managed, mining and exploration activities have the potential to
negatively affect biodiversity and ecosystem services. Protecting
biodiversity and preventing nature loss is also critical and inextricably
linked to the fight against climate change. We work to proactively
manage our impact on biodiversity and strive to protect the
ecosystems in which we operate. Wherever possible, we aim to
achieve a net neutral biodiversity impact, particularly for ecologically
sensitive environments.
We continue to work to implement our BAPs. The BAPs outline
our strategy to achieve no-net loss for all key biodiversity features and
their associated management plans.
Market Overview
The market prices of gold and, to a lesser extent, copper are the
primary drivers of our profitability and our ability to generate free cash
flow6 for our shareholders.
Gold
The price of gold is subject to volatile price movements over
short periods of time and is affected by numerous industry and
macroeconomic factors. During 2023, the gold price ranged from
$1,805 per ounce to an all-time high of $2,135 per ounce. The average
market price for the year of $1,941 per ounce represented an all-time
annual high, and an 8% increase from the 2022 average of $1,800
per ounce.
During the year, the gold price remained strong as a result of
geopolitical tensions, including the conflicts in the Middle East, global
economic uncertainty, the expectation of benchmark interest rate cuts
as inflation pressures ease, and central bank purchases, tempered by
a reduction in global gold exchange-traded fund holdings.
69
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Average Monthly Spot Gold Prices
(dollars per ounce)
2,000
1,750
1,500
1,250
1,000
2019
2020
2021
2022
2023
Copper
During 2023, London Metal Exchange copper prices traded in a
range of $3.56 per pound to $4.33 per pound, averaged $3.85 per
pound, and closed the year at $3.84 per pound. Copper prices are
heavily influenced by physical demand from emerging markets,
especially China.
Copper prices in 2023 were impacted by low global economic
growth, especially in China, which is the world’s largest consumer of
copper, tempered by supply disruptions.
Average Monthly Spot Copper Prices
(dollars per pound)
5.00
4.50
4.00
3.50
3.00
2.50
2.00
2019
2020
2021
2022
2023
We have provisionally priced copper sales for which final price
determination versus the relevant copper index is outstanding at the
balance sheet date. As at December 31, 2023, we recorded 61 million
pounds of copper sales still subject to final price settlement at an
average provisional price of $3.81 per pound. The impact to net
income before taxation of a 10% movement in the market price of
copper would be approximately $23 million, holding all other variables
constant.
Currency Exchange Rates
The results of our mining operations outside of the United States are
affected by fluctuations in exchange rates. We have exposure to the
Argentine peso through operating costs at our Veladero mine, and
peso denominated VAT receivable balances. We also have exposure
to the Canadian and Australian dollars, Chilean peso, Papua New
Guinea kina, Zambian kwacha, Tanzanian shilling, Dominican peso,
West African CFA franc, Euro, South African rand, and British pound
through mine operating and capital costs. In addition, we also have
exposure to the Pakistani rupee through project costs on Reko Diq.
70
Fluctuations in these exchange rates increase the volatility of our
costs reported in US dollars. In 2023, the Australian dollar traded in
a range of $0.63 to $0.72 against the US dollar, while the US dollar
against the Canadian dollar and West African CFA franc ranged
from $1.31 to $1.39 and XOF 582 to XOF 628, respectively. Due to
inflationary pressures in Argentina and the actions of the government,
there was a continued weakening of the Argentine peso during the
year and it ranged from ARS 177 to ARS 809. During 2023, we did
not have any currency hedge positions, and are unhedged against
foreign exchange exposures as at December 31, 2023 beyond spot
requirements.
Fuel
For 2023, the price of WTI crude oil traded in a range between $64
and $95 per barrel, with the market price averaging $78 per barrel,
and closing the year at $72 per barrel. Oil prices were impacted by
constrained supply, expectations for a decline in economic activity
as a result of increased interest rates, and geopolitical concerns,
including the ongoing invasion of Ukraine by Russia and the conflicts
in the Middle East.
Average Monthly Spot Crude Oil Price (WTI)
(dollars per barrel)
120
100
80
60
40
20
0
2019
2020
2021
2022
2023
During 2023, we did not have any fuel hedge positions, and are
unhedged against fuel exposures as at December 31, 2023.
US Dollar Interest Rates
In response to inflationary pressure, the US Federal Reserve raised
benchmark interest rates during 2022 and 2023 to a range of 5.25%
to 5.50% by the end of 2023. Cuts in benchmark interest rates are
currently expected during 2024 as those inflationary pressures are
forecast to continue to ease, but any changes to monetary policy will
be dependent on economic data to be observed during the year.
At present, our interest rate exposure mainly relates to interest
income received on our cash balances ($4.1 billion at December 31,
2023); the mark-to-market value of derivative instruments; the carrying
value of certain non-current assets and liabilities; and the interest
payments on our variable-rate debt ($0.1 billion at December 31,
2023). Currently, the amount of interest expense recorded in our
consolidated statement of income is not materially impacted by
changes in interest rates, because the majority of our debt was issued
at fixed interest rates. The relative amounts of variable-rate financial
assets and liabilities may change in the future, depending on the
amount of operating cash flow we generate, as well as the level of
capital expenditures and our ability to borrow on favorable terms
using fixed rate debt instruments. Changes in interest rates affect
the accretion expense recorded on our provision for environmental
rehabilitation and therefore would affect our net earnings.
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Reserves and Resources12
For full details of our mineral reserves and mineral resources, refer to
page 150 of the Fourth Quarter 2023 Report.
Gold Reserves and Resources
Barrick’s 2023 gold mineral reserves and resources are estimated using
a gold price assumption of $1,300 and $1,700 per ounce, respectively,
which are both consistent with 2022, except at Tongon, where mineral
reserves were estimated using a gold price assumption of $1,500 per
ounce and Hemlo where mineral reserves were estimated using a gold
price assumption of $1,400 per ounce. Both are reported to a rounding
standard of two significant digits for tonnes and metal content, with
grades reported to two decimal places.
As of December 31, 2023, Barrick’s proven and probable gold
reserves were 77 million ounces13 at an average grade of 1.65 g/t,
increasing from 76 million ounces14 at an average grade of 1.67 g/t
in 2022. Year-over-year, attributable reserves have increased by
5 million ounces before 2023 depletion of 4.6 million, delivering a third
consecutive year of organic gold reserve growth over and above annual
depletion. Since year-end 2019, Barrick has successfully delivered
replacement of over 140%15 of the Company’s gold reserve depletion,
adding almost 29 million ounces15 of attributable proven and probable
reserves or 44 million ounces15 of proven and probable reserves on a
100% basis (excluding both acquisitions and divestments).
Attributable Contained Gold Reserves13,14,a
(Moz)
76
-4.6
5.0
77
100
50
0
2022
Depletion
Net conversion
2023
a. Figures rounded to two significant digits.
Barrick attributable measured and indicated gold resources for 2023
stand at 180 million ounces13 at 1.06 g/t, with a further 39 million
ounces13 at 0.8 g/t of inferred resources. Mineral resources are reported
inclusive of mineral reserves and both tonnes and metal content are
reported to a rounding standard of two significant digits for tonnes
and metal content. Measured and indicated mineral resource grades
are reported to two decimal places, whilst inferred mineral resource
grades are reported to one decimal place.
The Africa & Middle East region, replaced 165% of the regional
2023 gold reserve depletion, led by Loulo-Gounkoto, with extensions
of the high grade Yalea orebody, delivering a 1.1 million ounce13
increase in attributable proven and probable reserves before depletion.
Bulyanhulu also delivered strong results through the extension of
Reef 1 and Reef 2 near surface mineralization, with updated feasibility
studies supporting an additional surface decline access portal for each
Reef, adding 0.9 million ounces13 to attributable proven and probable
reserves. At Kibali, the ongoing conversion drilling in the 11000 lode in
KCD underground combined with the conversion of some satellite pit
resources delivered a 0.47 million ounce13 increase in 2023 attributable
proven and probable reserves before depletion.
Within the Latin America & Asia Pacific region, a pre-feasibility
study was completed on the expansion of the leach pad supporting
an additional pushback in the open pit at Veladero, resulting in
2023 attributable proven and probable gold reserves for the region
of 27 million ounces13 at 0.96 g/t. Updates to the Reko Diq mineral
resources reflect ongoing feasibility study updates, resulting in an
attributable measured and indicated mineral resource of 8.3 million
tonnes13 of copper at 0.43% with 14 million ounces13 of gold at
0.25 g/t, and an attributable inferred mineral resource of 2.2 million
tonnes13 of copper at 0.3% with 3.8 million ounces13 of gold at 0.2 g/t.
In North America, ongoing growth programs at Turquoise Ridge,
Leeville Underground in Carlin and Robertson in Cortez added
1.9 million ounces13 of gold on an attributable basis before annual
depletion, effectively replacing more than 80% of annual depletion.
This resulted in sustaining attributable proven and probable mineral
reserves for the region at 31 million ounces13 at 2.45 g/t for 2023.
At the same time, attributable gold measured and indicated mineral
resources for the region stand at 68 million ounces13 at 2.10 g/t, whilst
2023 updated inferred attributable gold resources grew to 18 million
ounces13 at 2.1 g/t. Looking forward to 2024, the regional mineral
resource base is forecast to be a key driver of future growth. As part of
this, a comprehensive evaluation program and dedicated study team
will evaluate the strike length of the 100% Barrick-owned Fourmile
deposit16, targeting an update to mineral resources at the end of 2024,
which will inform Barrick’s decision on commencement of a pre-
feasibility study.
Copper Reserves and Resources
For Barrick-operated assets, copper mineral reserves for 2023 are
estimated using a copper price of $3.00 per pound, consistent with
2022. Copper mineral resources for 2023 are estimated using an
updated price of $4.00 per pound. Both are reported to a rounding
standard of two significant digits, for tonnes and metal content, with
grades reported to two decimal places. Starting at December 31,
2023, our copper reserves and resources are being reported in tonnes,
whereas previously they were reported in pounds.
Attributable proven and probable copper reserves grew by 330
thousand tonnes13 of copper year-over-year before annual depletion
of 270 thousand tonnes of copper. This has resulted in 124% of annual
global copper depletion at a consistent quality, with attributable proven
and probable copper mineral reserves of 5.6 million tonnes13 at 0.39%
as of end of year 2023. This was primarily driven by the successful
drilling programs at Lumwana, which converted additional pushbacks
on the Malundwe pit, and grew the Lumwana copper mineral reserve
base by 6% year on year, net of depletion.
Attributable Contained Copper Reserves13,14,a
(M tonnes)
0.33
5.0
5.6
-0.27
5.6
0.0
2022
Depletion
Net conversion
2023
a. Figures rounded to two significant digits.
Barrick’s attributable measured and indicated copper resources for
2023 stand at 21 million tonnes of copper13 at 0.39%, with a further
7.1 million tonnes of copper13 at 0.4% of inferred resources. Mineral
resources are reported inclusive of mineral reserves and both tonnes
and metal content are reported to a rounding standard of two significant
digits for tonnes and metal content. Measured and indicated mineral
resource grades are reported to two decimal places, whilst inferred
mineral resource grades are reported to one decimal place.
The Lumwana updated 2023 measured and indicated copper
resources stand at 7.1 million tonnes13 of copper at 0.52%, with a
further 4 million tonnes13 of copper at 0.4% of inferred resources
expected to provide the foundation for a Tier One Copper Asset3
following the completion of the Super Pit Expansion feasibility study
in 2024.
2023 mineral reserves and mineral resources are estimated using
the combined value of gold, copper and silver. Accordingly, mineral
reserves and mineral resources are reported for all assets where copper
or silver is produced and sold as a primary product or a by-product.
71
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Risks and Risk Management
Overview
The ability to deliver on our vision, strategic objectives and operating
guidance depends on our ability to understand and appropriately
respond to the uncertainties or “risks” we face that may prevent us
from achieving our objectives. To achieve this, we:
• maintain a framework that permits us to manage risk effectively
•
and in a manner that creates the greatest value;
integrate a process for managing risk into all our important
decision-making processes so that we reduce the effect of
uncertainty on achieving our objectives;
• actively monitor key controls we rely on to achieve the Company’s
objectives so they remain in place and are effective at all times; and
• provide assurance to senior management and relevant committees
of the Board on the effectiveness of key control activities.
Board and Committee Oversight
We maintain strong risk oversight practices, with responsibilities
outlined in the mandates of the Board and related committees. The
Board’s mandate is clear on its responsibility for reviewing and
discussing with management the processes used to assess and
manage risk, including the identification by management of the
principal risks of the business, and the implementation of appropriate
systems to deal with such risks.
The Audit & Risk Committee assists the Board in overseeing the
Company’s management of principal risks and the implementation of
policies and standards for monitoring and modifying such risks, as
well as monitoring and reviewing the Company’s financial position
and financial risk management programs. The ESG & Nominating
Committee assists the Board in overseeing the Company’s policies
and performance for its environmental, health and safety, corporate
social responsibility and human rights programs. The Compensation
Committee assists the Board in ensuring that executive compensation
is appropriately linked to our sustainability performance, including with
respect to climate change and water.
Management Oversight
Our weekly Executive Committee Review is the main forum for senior
management to raise and discuss risks facing the operations and
organization more broadly. Additionally, our most senior management-
level body dedicated to sustainability is the E&S Committee which
meets on a quarterly basis to review sustainability performance and
key performance indicators across our operations. At every quarterly
meeting, the ESG & Nominating Committee and the Audit & Risk
Committee are provided with updates on the key issues identified by
management at these regular sessions.
Principal Risks
The following subsections describe some of our key sources of
uncertainty and critical risk mitigation activities. The risks described
below are not the only ones facing Barrick. Our business is subject to
inherent risks in financial, regulatory, strategic and operational areas.
For a more comprehensive discussion of those inherent risks, see
“Risk Factors” in our most recent Form 40-F/Annual Information Form
on file with the SEC and Canadian provincial securities regulatory
authorities. Also see the “Cautionary Statement on Forward-Looking
Information” on page 57 of this MD&A.
Risk Factor
Free cash flow6 and costs
Risk Mitigation Strategy
Our ability to improve productivity, drive down operating costs and
optimize working capital remains a focus in 2024 and is subject to
several sources of uncertainty. This includes our ability to achieve and
maintain industry-leading margins by improving the productivity and
efficiency of our operations.
• Maximizing the benefit of higher gold prices through agile
management and operational execution;
• Weekly Executive Committee Review to identify, assess and
respond to risks in a timely manner;
• Enabling simplification and agile decision making through
optimization of business systems;
• Supply Chain is decentralized to the operations with a centralized
Strategic Sourcing Group and is focused on mitigating the risks of
rising costs and supply chain disruption;
• Disciplined capital allocation criteria for all investments, to ensure
a high degree of consistency and rigor is applied to all capital
allocation decisions based on a comprehensive understanding of
risk and reward;
• Continued enhancement of controls to prevent, detect and
respond to potential cyber-attacks; and
• A flat, operationally focused, agile management structure with a
tenet in ownership culture.
72
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Risk Factor
Social license to operate
At Barrick, we are committed to building, operating, and closing
our mines in a safe and responsible manner. To do this, we seek
to build trust-based partnerships with host governments and local
communities to drive shared long-term value while working to minimize
the social and environmental impacts of our activities. Geopolitical
risks such as resource nationalism and incidents of corruption
are inherent in the business of a company operating globally. Past
environmental incidents in the extractive industry highlight the
hazards (e.g., water management, tailings storage facilities, etc.) and
the potential consequences to the environment, community health
and safety. Our ability to maintain compliance with regulatory and
community obligations in order to protect the environment and our
host communities alike remains one of our top priorities. Barrick also
recognizes climate change as an area of risk requiring specific focus
and that reducing GHG emissions to counter the causes of climate
change requires strong collective action by the mining industry.
Resources and reserves and production outlook
Like any mining company, we face the risk that we are unable to
discover or acquire new resources or that we do not convert resources
into production. As we move into 2024 and beyond, our overriding
objective of growing free cash flow6 continues to be underpinned
by a strong pipeline of organic projects and minesite expansion
opportunities in our core regions. Uncertainty related to these and
other opportunities exists (potentially both favorable and unfavorable)
due to the speculative nature of mineral exploration and development
as well as the potential for increased costs, delays, suspensions
and technical challenges associated with the construction of capital
projects.
Financial position and liquidity
Our liquidity profile, level of indebtedness and credit ratings are all
factors in our ability to meet short- and long-term financial demands.
Barrick’s outstanding debt balances impact liquidity through scheduled
interest and principal repayments and the results of leverage ratio
calculations, which could influence our investment grade credit ratings
and ability to access capital markets. In addition, our ability to draw
on our credit facility is subject to meeting its covenants. Our primary
source of liquidity is our operating cash flow, which is dependent on
the ability of our operations to deliver projected future cash flows. The
ability of our operations to deliver projected future cash flows, as well
as future changes in gold and copper market prices, either favorable
or unfavorable, will continue to have a material impact on our cash
flow and liquidity.
Risk Mitigation Strategy
• Our commitment to responsible mining is supported by a robust
governance framework, including an overarching Sustainable
Development Policy and related policies in the areas of Biodiversity,
Conflict-Free Gold, Social Performance, Occupational Health and
Safety, Environment and Human Rights;
• Use of our Sustainability Scorecard to track sustainability
performance using key performance indicators aligned to priority
areas set out in our strategy;
• Mandatory training on our Code of Business Conduct and Ethics
as well as supporting policies which set out the ethical behavior
expected of everyone working at, or with, Barrick;
• We take a partnership approach with our host governments. This
means we work to balance our own interests and priorities with
those of our government partners, working to ensure that everyone
derives real value from our operations;
• Established CDCs at all our operating mines to identify community
needs and priorities and to allocate funds to those initiatives most
needed and desired by local stakeholders;
• We open our social and environmental performance to third-party
scrutiny, including through the ISO 14001 re-certification process,
International Cyanide Management Code audits, and annual
human rights impact assessments;
• We published site-level TSF disclosures, in accordance with
Principle 15 of the GISTM, for all of the Company’s facilities
classified as
in
‘Very High’ and
conformance with the requirements of the GISTM.
‘Extreme’ consequence,
• Our climate change strategy has three pillars: identify, understand
and mitigate the risks associated with climate change; measure
and reduce our impacts on climate change; and improve our
disclosure on climate change;
• We continuously monitor developments around the world and
work closely with our local communities on managing the impacts
of health issues, such as Covid-19 or Ebola outbreaks, on our
people and business; and
• We continuously review and update our closure plans and cost
estimates to plan for environmentally responsible closure and
monitoring of operations.
• Focus on responsible mineral resource management, continuously
improve ore body knowledge, and add to reserves and resources;
• Consolidate and secure dominant land positions in favored
operating districts and emerging new prospective geological
domains;
• Focus on economically feasible discoveries with potential Tier
One1,3 status;
• Optimize the value of underdeveloped projects;
• Establish and develop motivated and highly agile discovery-driven
•
teams; and
Identify emerging opportunities and secure them through earn-in
agreements or acquisition.
• Continued focus on generating positive free cash flow6 by
improving the underlying cost structures of our operations in a
sustainable manner;
• Preparation of budgets and forecasts to understand the impact
of different price scenarios on liquidity, including our capacity to
provide cash returns to shareholders, repurchase outstanding
debt and shares, and formulate appropriate strategies;
• Review of debt and net debt levels to ensure appropriate leverage
and monitor the market for liability management opportunities; and
• Other options available to the Company to enhance liquidity
include drawing on our $3.0 billion undrawn Credit Facility, asset
sales, joint ventures, or the issuance of debt or equity securities.
73
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Production and Cost Summary – Gold
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
513
1,331
968
1,366
224
1,219
1,006
1,506
162
1,353
909
1,309
84
1,419
1,046
1,257
41
1,576
787
981
2
2,193
990
1,074
90
1,588
1,070
1,428
127
1,296
924
1,168
93
1,141
737
819
55
1,378
1,021
1,403
478
1,273
921
1,286
230
1,166
953
1,409
137
1,246
840
1,156
83
1,300
938
1,106
26
2,235
1,003
1,264
2
1,832
778
831
79
1,501
935
1,280
142
1,087
773
1,068
99
1,152
694
801
55
1,376
988
1,314
7%
5%
5%
6%
(3%)
5%
6%
7%
18%
9%
8%
13%
1%
9%
12%
14%
58%
(29%)
(22%)
(22%)
0%
20%
27%
29%
14%
6%
14%
12%
(11%)
19%
20%
9%
(6%)
(1%)
6%
2%
0%
0%
3%
7%
1,865
1,351
989
1,366
868
1,254
1,033
1,486
549
1,318
906
1,282
316
1,399
1,026
1,234
123
2,011
961
1,162
9
1,789
724
779
335
1,418
889
1,249
547
1,198
835
1,166
343
1,221
789
918
207
1,440
1,011
1,516
1,862
1,210
876
1,214
966
1,069
877
1,212
450
1,164
815
1,258
282
1,434
1,035
1,296
109
2,039
914
1,074
55
1,282
435
454
428
1,132
725
1,026
547
1,153
778
1,076
337
1,243
703
948
195
1,628
890
1,528
0%
12%
13%
13%
(10%)
17%
18%
23%
22%
13%
11%
2%
12%
(2%)
(1%)
(5%)
13%
(1%)
5%
8%
(84%)
40%
66%
72%
(22%)
25%
23%
22%
0%
4%
7%
8%
2%
(2%)
12%
(3%)
6%
(12%)
14%
(1%)
2,036
1,072
705
949
923
968
782
1,087
509
1,122
763
1,013
334
1,122
749
892
109
1,922
398
533
161
739
188
238
488
896
541
745
560
1,049
650
970
366
1,016
627
818
172
1,256
816
1,493
Nevada Gold Mines LLC (61.5%)a
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Carlin (61.5%)c
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Cortez (61.5%)
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Turquoise Ridge (61.5%)
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Phoenix (61.5%)c
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Long Canyon (61.5%)
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Pueblo Viejo (60%)
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Loulo-Gounkoto (80%)
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Kibali (45%)
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Veladero (50%)
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
74
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Production and Cost Summary – Gold (continued)
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
Porgera (47.5%)d
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Tongon (89.7%)
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Hemlo (100%)
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
North Mara (84%)
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Buzwagi (84%)e
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Bulyanhulu (84%)
Gold produced (000s oz)
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
Total Attributable to Barrickf
Gold produced (000s oz)
Cost of sales ($/oz)g
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
–
–
–
–
42
1,489
1,184
1,586
34
1,618
1,407
1,671
59
1,420
1,103
1,449
41
1,413
1,002
1,376
1,054
1,359
982
1,364
–
–
–
–
47
1,423
1,217
1,331
31
1,721
1,502
1,799
62
1,244
999
1,429
46
1,261
859
1,132
1,039
1,277
912
1,255
–
–
–
–
(11%)
5%
(3%)
19%
10%
(6%)
(6%)
(7%)
(5%)
14%
10%
1%
(11%)
12%
17%
22%
1%
6%
8%
9%
–
–
–
–
183
1,469
1,240
1,408
141
1,589
1,382
1,672
253
1,206
944
1,335
180
1,312
920
1,231
4,054
1,334
960
1,335
–
–
–
–
180
1,748
1,396
1,592
133
1,628
1,409
1,788
263
979
741
1,028
196
1,211
868
1,156
4,141
1,241
862
1,222
–
–
–
–
2%
(16%)
(11%)
(12%)
6%
(2%)
(2%)
(6%)
(4%)
23%
27%
30%
(8%)
8%
6%
6%
(2%)
7%
11%
9%
–
–
–
–
187
1,504
1,093
1,208
150
1,693
1,388
1,970
260
966
777
1,001
40
1,334
1,284
1,291
178
1,079
709
891
4,437
1,093
725
1,026
a. These results represent our 61.5% interest in Carlin (including NGM’s 60% interest in South Arturo up until May 30, 2021 and 100% interest thereafter, reflecting
the terms of the Exchange Agreement with i-80 Gold to acquire the 40% interest in South Arturo that NGM did not already own in exchange for the Lone Tree and
Buffalo Mountain properties and infrastructure, which closed on October 14, 2021), Cortez, Turquoise Ridge, Phoenix and Long Canyon.
b. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
c. On September 7, 2021, NGM announced it had entered into an Exchange Agreement with i-80 Gold to acquire the 40% interest in South Arturo that NGM did not
already own in exchange for the Lone Tree and Buffalo Mountain properties and infrastructure. Operating results within our 61.5% interest in Carlin includes NGM’s
60% interest in South Arturo up until May 30, 2021, and 100% interest thereafter, and operating results within our 61.5% interest in Phoenix includes Lone Tree up
until May 30, 2021, reflecting the terms of the Exchange Agreement which closed on October 14, 2021.
d. As Porgera was placed on care and maintenance from April 25, 2020 until December 22, 2023, no operating data or per ounce data has been provided starting
in the third quarter of 2020. On December 22, 2023, we completed the Commencement Agreement, pursuant to which the PNG government and BNL, the 95%
owner and operator of the Porgera joint venture, agreed on a partnership for the future ownership and operation of the mine. Ownership of Porgera is now held
in a new joint venture owned 51% by PNG stakeholders and 49% by a Barrick affiliate, Porgera (Jersey) Limited (“PJL”). PJL is jointly owned on a 50/50 basis
by Barrick and Zijin Mining Group and therefore Barrick now holds a 24.5% ownership interest in the Porgera joint venture. Barrick holds a 23.5% interest in the
economic benefits of the mine under the economic benefit sharing arrangement agreed with the PNG government whereby Barrick and Zijin Mining Group together
share 47% of the overall economic benefits derived from the mine accumulated over time, and the PNG stakeholders share the remaining 53%. Refer to page 63
for further information.
e. With the end of mining at Buzwagi in the third quarter of 2021, as previously reported, we have ceased to include production or non-GAAP cost metrics for Buzwagi
from October 1, 2021 onwards.
f. Excludes Pierina, Lagunas Norte up until its divestiture in June 1, 2021 and Buzwagi starting in the fourth quarter of 2021. Some of these assets are producing
incidental ounces while in closure or care and maintenance.
g. Gold cost of sales per ounce is calculated as cost of sales across our gold operations (excluding sites in closure or care and maintenance) divided by ounces sold
(both on an attributable basis using Barrick’s ownership share).
75
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Production and Cost Summary – Copper
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
Lumwana (100%)
Copper production (millions lbs)
Cost of sales ($/lb)
C1 cash costs ($/lb)a
All-in sustaining costs ($/lb)a
Zaldívar (50%)
Copper production (millions lbs)
Cost of sales ($/lb)
C1 cash costs ($/lb)a
All-in sustaining costs ($/lb)a
Jabal Sayid (50%)
Copper production (millions lbs)
Cost of sales ($/lb)
C1 cash costs ($/lb)a
All-in sustaining costs ($/lb)a
Total Attributable to Barrick
Copper production (millions lbs)
Cost of sales ($/lb)b
C1 cash costs ($/lb)a
All-in sustaining costs ($/lb)a
73
2.95
2.14
3.38
23
3.85
2.93
3.51
17
1.59
1.32
1.50
113
2.92
2.17
3.12
72
2.48
1.86
3.41
22
3.86
2.99
3.39
18
1.72
1.45
1.64
112
2.68
2.05
3.23
1%
19%
15%
(1%)
5%
0%
(2%)
4%
(6%)
(8%)
(9%)
(9%)
1%
9%
6%
(3%)
260
2.91
2.29
3.48
89
3.83
2.95
3.46
71
1.60
1.35
1.53
420
2.90
2.28
3.21
267
2.42
1.89
3.63
98
3.12
2.36
2.95
75
1.52
1.26
1.36
440
2.43
1.89
3.18
(3%)
20%
21%
(4%)
(9%)
23%
25%
17%
(5%)
5%
7%
13%
(5%)
19%
21%
1%
242
2.25
1.62
2.80
97
3.19
2.38
2.94
76
1.38
1.18
1.33
415
2.32
1.72
2.62
a. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
b. 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 using Barrick’s
ownership share).
OPERATING PERFORMANCE
Review of Operating Performance
In the first quarter of 2023, we re-evaluated our reportable operating
segments and started detailed reporting on our interest in Lumwana
and no longer provide detailed reporting on our interest in Veladero. As
a result, our presentation of reportable operating segments consists
of eight gold mines (Carlin, Cortez, Turquoise Ridge, Pueblo Viejo,
Loulo-Gounkoto, Kibali, North Mara and Bulyanhulu) and one copper
mine (Lumwana). The remaining operating segments, including our
remaining gold and copper mines, have been grouped into an “Other
Mines” category and will not be reported on individually. Segment
performance is evaluated based on a number of measures including
operating income before tax, production levels and unit production
costs. Certain costs are managed on a consolidated basis and are
therefore not reflected in segment income.
76
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Nevada Gold Mines (61.5% basis)a, Nevada USA
Summary of Operating and Financial Data
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
Total tonnes mined (000s)
Open pit ore
Open pit waste
Underground
Average grade (grams/tonne)
Open pit mined
Underground mined
Processed
Ore tonnes processed (000s)
Oxide mill
Roaster
Autoclave
Heap leach
Recovery rateb
Oxide Millb
Roaster
Autoclave
Gold produced (000s oz)
Oxide mill
Roaster
Autoclave
Heap leach
Gold sold (000s oz)
Revenue ($ millions)
Cost of sales ($ millions)
Income ($ millions)
EBITDA ($ millions)c
EBITDA margind
Capital expenditurese ($ millions)
Minesite sustainingc
Projectc,f
Cost of sales ($/oz)
Total cash costs ($/oz)c
All-in sustaining costs ($/oz)c
All-in costs ($/oz)c
42,801
7,430
33,839
1,532
0.98
9.24
2.08
9,155
2,215
1,425
1,153
4,362
83%
82%
85%
81%
513
126
234
108
45
511
1,047
684
355
522
50%
274
193
77
1,331
968
1,366
1,518
42,953
8,374
33,171
1,408
0.80
9.28
1.99
10,014
2,299
1,364
959
5,392
85%
82%
86%
84%
478
96
228
106
48
480
945
614
314
460
49%
213
162
51
1,273
921
1,286
1,389
0%
(11%)
2%
9%
23%
0%
5%
(9%)
(4%)
4%
20%
(19%)
(2%)
0%
(1%)
(4%)
7%
31%
3%
2%
(6%)
6%
11%
11%
13%
13%
2%
29%
19%
51%
5%
5%
6%
9%
167,641
29,797
132,323
5,521
170,302
24,540
140,245
5,517
1.03
8.99
1.98
35,590
9,624
4,993
3,636
17,337
83%
79%
86%
82%
1,865
411
891
386
177
1,860
3,721
2,528
1,145
1,736
47%
864
654
206
1,351
989
1,366
1,477
1.27
8.96
2.50
34,873
11,964
5,506
4,341
13,062
78%
73%
86%
67%
1,862
350
972
357
183
1,856
3,428
2,275
1,144
1,695
49%
707
584
123
1,210
876
1,214
1,280
(2%)
21%
(6%)
0%
(19%)
0%
(21%)
2%
(20%)
(9%)
(16%)
33%
6%
8%
0%
22%
0%
17%
(8%)
8%
(3%)
0%
9%
11%
0%
2%
(4%)
22%
12%
67%
12%
13%
13%
15%
198,725
37,670
155,724
5,331
0.84
9.32
1.78
49,232
12,334
4,866
4,683
27,349
79%
77%
86%
69%
2,036
364
960
410
302
2,039
3,773
2,186
1,675
2,305
61%
555
458
97
1,072
705
949
997
a. Barrick is the operator of Nevada Gold Mines and owns 61.5%, with Newmont Corporation owning the remaining 38.5%. NGM is accounted for as a subsidiary
with a 38.5% non-controlling interest. These results represent our 61.5% interest in Carlin (including NGM’s 60% interest in South Arturo up until May 30, 2021
and 100% interest thereafter, reflecting the terms of the Exchange Agreement with i-80 Gold to acquire the 40% interest in South Arturo that NGM did not already
own in exchange for the Lone Tree and Buffalo Mountain properties and infrastructure, which closed on October 14, 2021), Cortez, Turquoise Ridge, Phoenix and
Long Canyon.
b. Excludes the Gold Quarry (Mill 5) concentrator until its decommissioning at the end of Q1 2023.
c. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
d. Represents EBITDA divided by revenue.
e. Includes capitalized interest.
f. Includes amounts spent on the NGM TS Solar project.
Nevada Gold Mines includes Carlin, Cortez, Turquoise Ridge, Phoenix and Long Canyon. Barrick is the operator of the joint venture and owns
61.5%, with Newmont Corporation owning the remaining 38.5%. Refer to the following pages for a detailed discussion of each minesite’s results.
77
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Carlin (61.5% basis)a, Nevada USA
Summary of Operating and Financial Data
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
Total tonnes mined (000s)
Open pit ore
Open pit waste
Underground
Average grade (grams/tonne)
Open pit mined
Underground mined
Processed
Ore tonnes processed (000s)
Oxide mill
Roaster
Autoclave
Heap leach
Recovery rateb
Roaster
Autoclave
Gold produced (000s oz)
Oxide mill
Roaster
Autoclave
Heap leach
Gold sold (000s oz)
Revenue ($ millions)
Cost of sales ($ millions)
Income ($ millions)
EBITDA ($ millions)c
EBITDA margind
Capital expenditures ($ millions)
Minesite sustainingc
Projectc
Cost of sales ($/oz)
Total cash costs ($/oz)c
All-in sustaining costs ($/oz)c
All-in costs ($/oz)c
18,338
739
16,721
878
19,674
600
18,271
803
2.05
8.32
4.60
1,840
0
1,232
564
44
81%
84%
67%
224
0
187
29
8
220
443
272
168
215
49%
110
108
2
1,219
1,006
1,506
1,513
1.50
7.98
4.74
1,707
0
1,219
349
139
85%
86%
80%
230
0
194
27
9
238
461
282
174
225
49%
103
103
0
1,166
953
1,409
1,409
(7%)
23%
(8%)
9%
37%
4%
(3%)
8%
0%
1%
62%
(68%)
(5%)
(2%)
(16%)
(3%)
0%
(4%)
7%
(11%)
(8%)
(4%)
(4%)
(3%)
(4%)
0%
7%
5%
0%
5%
6%
7%
7%
71,059
4,067
63,836
3,156
2.38
7.97
4.51
7,256
377
4,350
1,385
1,144
83%
85%
72%
868
4
745
87
32
865
1,697
1,100
577
770
45%
375
373
2
1,254
1,033
1,486
1,488
67,971
6,424
58,267
3,280
2.09
8.03
3.60
11,485
2,448
4,528
2,175
2,334
78%
85%
44%
966
48
780
91
47
968
1,752
1,063
685
877
50%
306
306
0
1,069
877
1,212
1,212
5%
(37%)
10%
(4%)
14%
(1%)
25%
(37%)
(85%)
(4%)
(36%)
(51%)
6%
0%
64%
(10%)
(92%)
(4%)
(4%)
(32%)
(11%)
(3%)
3%
(16%)
(12%)
(10%)
23%
22%
0%
17%
18%
23%
23%
75,207
6,472
65,507
3,228
0.78
8.85
2.97
14,282
2,735
3,616
2,221
5,710
77%
85%
46%
923
51
728
102
42
922
1,653
893
733
903
55%
260
260
0
968
782
1,087
1,087
a. On September 7, 2021, NGM announced it had entered into an Exchange Agreement with i-80 Gold to acquire the 40% interest in South Arturo that NGM did not
already own in exchange for the Lone Tree and Buffalo Mountain properties and infrastructure. Operating results within our 61.5% interest in Carlin includes NGM’s
60% interest in South Arturo up until May 30, 2021, and 100% interest thereafter, reflecting the terms of the Exchange Agreement which closed on October 14, 2021.
b. Excludes the Gold Quarry (Mill 5) concentrator until its decommissioning at the end of Q1 2023.
c. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
d. Represents EBITDA divided by revenue.
Safety and Environment
For the three months ended
For the years ended
12/31/23
9/30/23
12/31/23
12/31/22
0
0.00
2.09
2
1.02
2.47
7
0.77
2.09
6
0.69
2.63
0
0
0
0
LTI
LTIFR8
TRIFR8
Class 19
environmental
incidents
Financial Results
Q4 2023 compared to Q3 2023
Carlin’s income for the fourth quarter of 2023 was 3% lower than the
prior quarter mainly due to the lower sales volume and a higher cost
of sales per ounce7, partially offset by a higher realized gold price6.
Gold production in the fourth quarter of 2023 was 3% lower
compared to the prior quarter primarily due to processing higher
grade ore transported from Cortez, which displaced ore from Carlin.
To optimize roaster recovery, this also necessitated processing a
higher proportion of open pit stockpiled ore. Additionally, fewer leach
ounces were produced in the fourth quarter due to the timing of
leach placement. This was partially offset by additional ounces
produced at the Goldstrike autoclave due to unplanned downtime in
the prior quarter.
78
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Total tonnes mined in the fourth quarter of 2023 were 7% lower
compared to the prior quarter, primarily driven by open pit sequencing
per the mine plan. Open pit ore tonnes mined increased by 23% as
Gold Quarry phase 7 was primarily in ore in the fourth quarter of 2023,
driving a decrease in waste mined compared to the prior quarter. The
average open pit mined grade increased by 37% compared to the
prior quarter driven by Gold Quarry phase 7. Underground mined
tonnes and grade were 9% and 4% higher, respectively, compared to
the prior quarter, as a result of both productivity improvements at the
underground mines and access to higher grade stopes.
Cost of sales per ounce7 and total cash costs per ounce6 in the
fourth quarter of 2023 were 5% and 6% higher, respectively, than
the prior quarter, mainly due to lower grades processed. In the
fourth quarter of 2023, all-in sustaining costs per ounce6 was 7%
higher compared to the prior quarter, mainly due to higher total cash
costs per ounce6, combined with higher minesite sustaining capital
expenditures6.
Capital expenditures in the fourth quarter of 2023 were 7% higher
than the prior quarter, driven by the timing of mobile equipment
deliveries, partially offset by lower capitalized stripping in the Gold
Quarry and South Arturo open pits as per the mine plan.
2023 compared to 2022
Carlin’s income for 2023 was 16% lower than the prior year, mainly
due to the lower sales volume and an increase in cost of sales per
ounce7. This was partially offset by a higher realized gold price6.
Income and EBITDA6,a
Production
(thousands of ounces)
1,000
500
0
966
868
800
to
880
2022
2023
2024 (est)a
a. Based on the midpoint of the guidance range.
Cost of sales per ounce7 and total cash costs per ounce6 for 2023
were 17% and 18% higher, respectively, than the prior year due to
higher maintenance costs driven by the planned shutdowns at both
roasters in 2023 and the unplanned maintenance at the Goldstrike
autoclave in the second half of 2023. This was combined with higher
maintenance costs related to the open pit trucks that are scheduled to
be replaced in 2024 and H1 2025. Costs were also further impacted
by lower tonnes processed although this was partially offset by higher
grades. For 2023, all-in sustaining costs per ounce6 were 23% higher
than the prior year, due to the impact of higher total cash costs per
ounce6 and higher minesite sustaining capital expenditures6.
Cost of Sales7, Total Cash Costs6
and All-In Sustaining Costs6 ($ per ounce)
1,799
1,800
903
733
877
685
1,000
800
600
400
200
0
1,941
770
577
1,500
1,200
900
600
300
0
1,069
1,212
877
1,254
1,486
1,033
1,270
to
1,370
1,430
to
1,530
1,030
to
1,110
2022
2023
2024 (est)a
2021
2022
2023
Cost of Sales
Total Cash Costs
AISC
Income ($ millions)
Gold Market Price ($/oz)
a. Based on the midpoint of the guidance range.
EBITDA ($ millions)
a. The results include NGM’s 60% interest in South Arturo up until May 30, 2021
and 100% interest thereafter.
Gold production in 2023 was 10% lower compared to the prior year,
mainly due to the closure and decommissioning of the Gold Quarry
concentrator at the end of the first quarter of 2023. In addition,
production was impacted by the extended shutdown to undertake the
autoclave conversion from RIL to CIL in the first quarter of 2023 and
the planned maintenance shutdowns at both roasters that occurred
earlier in 2023, whereas the previous shutdown at the Goldstrike
roaster was in 2021.
Total tonnes mined in 2023 increased by 5% compared to the
prior year, mainly due to higher waste tonnes mined at the open pit
operations, as waste stripping ramped up at the next phase of South
Arturo, whereas there was no mining at South Arturo in the prior
year. Open pit ore tonnes mined decreased 37% from the prior year
as mining of phase 4 at Goldstar was substantially completed at the
beginning of the third quarter of 2023 and we completed mining of
the Goldstrike 5th NW pit in the fourth quarter of 2022. The average
open pit grade mined increased by 14% compared to the prior year,
primarily due to the progression of mining in the Gold Quarry and
Goldstar open pits. Underground tonnes mined and the average grade
mined were 4% higher and 1% lower, respectively, compared to the
prior year, driven by a change in the mix of ore sources across the
different underground operations as per the mine plan.
Capital expenditures in 2023 increased by 23% from the prior year
primarily due to the continuing advancement of projects related to
processing facilities and underground development, along with the
timing of open pit and underground mobile equipment deliveries
across Carlin’s mining operations.
2023 compared to Guidance
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
868
1,254
1,033
1,486
910 – 1,000
1,030 – 1,110
820 – 880
1,250 – 1,330
Gold production for 2023 was below the guidance range, impacted
primarily by unplanned downtime at the Goldstrike autoclave in the
second half of the year. This was also a key driver of cost of sales
per ounce7 and total cash costs per ounce6 being above the guidance
range through both lower production and higher maintenance costs.
In addition, costs were higher due to lower availabilities and higher
maintenance costs mainly related to the open pit trucks that are
scheduled to be replaced in 2024 and the first half of 2025. All-in
sustaining costs per ounce6 was higher than guidance, mainly driven
by higher total cash costs per ounce6.
79
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Cortez (61.5% basis), Nevada USA
Summary of Operating and Financial Data
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
Total tonnes mined (000s)
Open pit ore
Open pit waste
Underground
Average grade (grams/tonne)
Open pit mined
Underground mined
Processed
Ore tonnes processed (000s)
Oxide mill
Roaster
Autoclave
Heap leach
Recovery rate
Oxide mill
Roaster
Autoclave
Gold produced (000s oz)
Oxide mill
Roaster
Autoclave
Heap leach
Gold sold (000s oz)
Revenue ($ millions)
Cost of sales ($ millions)
Income ($ millions)
EBITDA ($ millions)a
EBITDA marginb
Capital expenditures ($ millions)
Minesite sustaininga
Projecta
Cost of sales ($/oz)
Total cash costs ($/oz)a
All-in sustaining costs ($/oz)a
All-in costs ($/oz)a
18,488
3,547
14,533
408
0.77
9.85
1.54
3,965
683
193
n/a
16,613
5,168
11,062
383
0.76
9.65
1.17
5,266
627
145
n/a
3,089
4,494
84%
80%
90%
n/a
162
82
46
n/a
34
164
327
222
102
175
86%
85%
88%
n/a
137
67
33
n/a
37
135
259
168
87
141
54%
54%
80
62
18
1,353
909
1,309
1,416
56
38
18
1,246
840
1,156
1,290
11%
(31%)
31%
7%
1%
2%
32%
(25%)
9%
33%
n/a
(31%)
(2%)
(6%)
2%
n/a
18%
22%
39%
n/a
(8%)
21%
26%
32%
17%
24%
0%
43%
63%
0%
9%
8%
13%
10%
70,570
14,991
54,133
1,446
0.78
9.54
1.37
15,741
2,504
643
n/a
12,594
84%
82%
88%
n/a
549
273
143
n/a
133
548
1,068
722
333
557
52%
260
191
69
1,318
906
1,282
1,407
72,551
7,096
64,136
1,319
1.11
9.76
2.06
8,706
2,510
978
n/a
5,218
80%
74%
87%
n/a
450
183
192
n/a
75
449
809
522
277
432
53%
251
187
64
1,164
815
1,258
1,400
(3%)
111%
(16%)
10%
(30%)
(2%)
(33%)
81%
0%
(34%)
n/a
141%
5%
11%
1%
n/a
22%
49%
(26%)
n/a
77%
22%
32%
38%
20%
29%
(2%)
4%
2%
8%
13%
11%
2%
1%
74,960
15,456
58,235
1,269
0.71
9.45
1.22
18,333
2,548
1,250
10
14,525
83%
78%
88%
81%
509
192
232
1
84
508
913
570
337
518
57%
177
118
59
1,122
763
1,013
1,129
a. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
b. Represents EBITDA divided by revenue.
Safety and Environment
For the three months ended
For the years ended
12/31/23
9/30/23
12/31/23
12/31/22
1
0.92
1.85
0
0.00
0.93
3
0.70
1.64
6
1.45
4.35
0
0
0
0
LTI
LTIFR8
TRIFR8
Class 19
environmental
incidents
Financial Results
Q4 2023 compared to Q3 2023
Cortez’s income for the fourth quarter of 2023 was 17% higher than
the prior quarter due to higher sales volume and a higher realized gold
price6, partially offset by a higher cost of sales per ounce7.
Gold production in the fourth quarter of 2023 was 18% higher
compared to the prior quarter. This was mainly driven by higher
grades from both Crossroads and CHUG ore processed at the Cortez
oxide mill, higher ore tonnes from both CHUG and the Goldrush
development project transported and processed at the Carlin roasters,
partially offset by lower leach ore tonnes placed resulting in lower
leach production.
80
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Cost of sales per ounce7 and total cash costs per ounce6 in 2023 were
13% and 11% higher, respectively, than the prior year mainly due
to lower grades processed, reflecting a higher proportion of ounces
sourced from the open pit operations, combined with lower capitalized
waste stripping. For 2023, all-in sustaining costs per ounce6 increased
by 2% compared to the prior year, driven by higher total cash costs
per ounce6, partially offset by lower minesite sustaining capital
expenditures6 on a per ounce basis.
Cost of Sales7, Total Cash Costs6
and All-In Sustaining Costs6 ($ per ounce)
1,258
1,164
815
1,318 1,282
906
1,460
to
1,560
1,390
to
1,490
1,040
to
1,120
1,500
1,200
900
600
300
0
2022
2023
2024 (est)a
Cost of Sales
Total Cash Costs
AISC
a. Based on the midpoint of the guidance range.
Capital expenditures in 2023 increased by 4% from the same
prior year period, due to both higher minesite sustaining capital
expenditures6 and project capital expenditures6. Minesite sustaining
capital expenditures6 were 2% higher compared to the same prior
year period, primarily due to the Komatsu fleet purchase for Cortez,
which was largely offset by a decrease in capitalized waste stripping
at Crossroads. Project capital expenditures6 were 8% higher due to
increased development and exploration activities at Goldrush.
2023 compared to Guidance
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
549
1,318
906
1,282
580 – 650
1,080 – 1,160
680 – 740
930 – 1,010
Gold production for 2023 was below the guidance range, primarily
due to lower than forecasted oxide grades out of Crossroads and the
slower than expected ramp-up at Goldrush which was partly due to
the delay in receiving the ROD (the ROD was received late in the fourth
quarter). Cost of sales per ounce7 and total cash costs per ounce6
were above the guidance range primarily due to lower grades from
Crossroads, lower capitalized tonnes due to less capitalized stripping
at Crossroads and fewer tonnes allocated to the Cortez Hills open
pit buttress, higher maintenance costs earlier in the year and higher
royalties from the higher realized gold price6 (royalty impact was
$22/oz for Cortez). All-in sustaining costs per ounce6 were also higher
than guidance, mainly driven by higher total cash costs per ounce6.
Total tonnes mined in the fourth quarter of 2023 were 11% higher
than the prior quarter. Open pit ore tonnes mined were 31% lower,
while the average grade mined was largely in line with the prior quarter,
primarily driven by the transition to stripping at Crossroads (Phase 6),
resulting in 31% higher waste tonnes mined. Underground tonnes and
grade mined were 7% and 2% higher, respectively, compared to the
prior quarter due to mine sequencing as per the mine plan.
Cost of sales per ounce7 and total cash costs per ounce6 in the
fourth quarter of 2023 were 9% and 8% higher, respectively, than the
prior quarter, driven by the change in the sales mix to higher-cost open
pit stockpile and refractory ounces produced at the Carlin roasters,
partially offset by higher grades processed. In the fourth quarter of
2023, all-in sustaining costs per ounce6 was 13% higher than the prior
quarter, mainly due to higher total cash costs per ounce6, combined
with higher minesite sustaining capital expenditures6.
Capital expenditures in the fourth quarter of 2023 were 43%
higher compared to the prior quarter, mainly due to higher minesite
sustaining capital expenditures6, which was driven by more of the
new Komatsu truck fleet being commissioned in the fourth quarter
of 2023, combined with an increase in capitalized waste stripping at
Crossroads (Phase 6).
2023 compared to 2022
Cortez’s income in 2023 was 20% higher than the prior year, primarily
due to the higher sales volume and a higher realized gold price6,
partially offset by higher cost of sales per ounce7.
Income and EBITDA6
1,799
1,800
518
337
432
277
1,941
557
333
600
400
200
0
2021
2022
2023
Income ($ millions)
Gold Market Price ($/oz)
EBITDA ($ millions)
Gold production in 2023 was 22% higher than the prior year, primarily
driven by higher oxide ore tonnes mined and processed from
Crossroads and CHUG (at a higher recovery rate), combined with
higher heap leach production. This was partially offset by a decrease
in refractory ore transported and processed at the Carlin roasters.
Total tonnes mined in 2023 were 3% lower, primarily due to lower
open pit waste mined. Open pit ore tonnes mined were 111% higher
compared to the prior year, primarily driven by the transition from the
Pipeline pit, which ceased mining operations in the first quarter of
2022, to the next phases at Crossroads and Cortez Pits which have
predominantly been mining in ore this year. Underground tonnes mined
increased by 10% over the same prior year period driven by higher
tonnes from CHUG and increased development activity at Goldrush.
Production
(thousands of ounces)
800
400
0
450
549
380
to
420
2022
2023
2024 (est)a
a. Based on the midpoint of the guidance range.
81
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Turquoise Ridge (61.5%), Nevada USA
Summary of Operating and Financial Data
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
Total tonnes mined (000s)
Open pit ore
Open pit waste
Underground
Average grade (grams/tonne)
Open pit mined
Underground mined
Processed
Ore tonnes processed (000s)
Oxide mill
Autoclave
Heap leach
Recovery Rate
Oxide mill
Autoclave
Gold produced (000s oz)
Oxide mill
Autoclave
Heap leach
Gold sold (000s oz)
Revenue ($ millions)
Cost of sales ($ millions)
Income ($ millions)
EBITDA ($ millions)a
EBITDA marginb
Capital expenditures ($ millions)
Minesite sustaininga
Projecta
Cost of sales ($/oz)
Total cash costs ($/oz)a
All-in sustaining costs ($/oz)a
All-in costs ($/oz)a
246
0
0
246
n/a
11.08
4.48
671
82
589
0
87%
83%
87%
84
4
79
1
86
171
121
48
79
46%
18
17
1
1,419
1,046
1,257
1,275
222
0
0
222
n/a
12.73
4.37
704
94
610
0
86%
87%
86%
83
4
79
0
78
150
101
49
77
51%
13
12
1
1,300
938
1,106
1,114
11%
0%
0%
11%
n/a
(13%)
3%
(5%)
(13%)
(3%)
0%
1%
(5%)
1%
1%
0%
0%
0%
10%
14%
20%
(2%)
3%
(10%)
38%
42%
0%
9%
12%
14%
14%
919
1,053
0
0
919
n/a
11.28
4.34
2,608
357
2,251
0
86%
85%
86%
316
14
299
3
318
620
444
172
288
131
4
918
1.13
11.08
4.26
2,541
329
2,166
46
81%
84%
81%
282
10
266
6
278
501
398
98
208
46%
42%
67
61
6
1,399
1,026
1,234
1,251
97
67
30
1,434
1,035
1,296
1,405
(13%)
(100%)
(100%)
0%
n/a
2%
2%
3%
9%
4%
(100%)
6%
1%
6%
12%
40%
12%
(50%)
14%
24%
12%
76%
38%
10%
(31%)
(9%)
(80%)
(2%)
(1%)
(5%)
(11%)
8,510
3,020
4,656
834
1.69
10.69
3.31
3,793
434
2,452
907
82%
83%
82%
334
16
307
11
337
607
378
229
352
58%
81
47
34
1,122
749
892
993
a. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
b. Represents EBITDA divided by revenue.
Safety and Environment
For the three months ended
For the years ended
12/31/23
9/30/23
12/31/23
12/31/22
1
1.54
1.54
2
3.23
8.09
5
1.99
3.98
8
2.74
6.84
0
0
0
0
LTI
LTIFR8
TRIFR8
Class 19
environmental
incidents
Financial Results
Q4 2023 compared to Q3 2023
Turquoise Ridge’s income for the fourth quarter of 2023 was 2% lower
than the prior quarter, mainly due to higher cost of sales per ounce7,
partially offset by the higher sales volume and a higher realized gold
price6.
Gold production in the fourth quarter of 2023 was 1% higher
than the prior quarter, mainly due to higher underground tonnes
mined, combined with higher recoveries at the Sage autoclave, which
continues to be positively impacted by improved carbon management.
This was partially offset by lower autoclave throughput, which was
impacted by unplanned maintenance in the fourth quarter.
Total tonnes mined increased in the fourth quarter of 2023 by
11% compared to the prior quarter, due to higher underground tonnes
mined from Turquoise Ridge Underground. Grades mined decreased
by 13% compared to the prior quarter, as per the mine sequence at
both underground mines.
82
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Cost of sales per ounce7 and total cash costs per ounce6 in the
fourth quarter of 2023 were 9% and 12% higher, respectively, than
the prior quarter, primarily due to higher maintenance spend at both
Turquoise Ridge Underground and at the autoclave. All-in sustaining
costs per ounce6 was 14% higher than the prior quarter, mainly
reflecting higher total cash costs per ounce6, combined with higher
minesite sustaining capital expenditures6.
Capital expenditures in the fourth quarter of 2023 were 38% higher
than the prior quarter, mainly due to increased minesite sustaining
capital expenditures6 related to underground mobile equipment
purchases.
2023 compared to 2022
Turquoise Ridge’s income in 2023 was 76% higher than the prior year
due to the higher sales volume, a lower cost of sales per ounce7, and
a higher realized gold price6.
Income and EBITDA6
1,799
1,800
400
300
352
200
229
100
0
1,941
288
208
172
98
2021
2022
2023
Income ($ millions)
Gold Market Price ($/oz)
EBITDA ($ millions)
Gold production in 2023 was 12% higher compared to the prior year,
primarily due to higher average grades processed, combined with
higher recoveries at the Sage autoclave, which was positively impacted
by improved carbon management. In addition, improvements in
maintenance practices led to significantly higher plant availability,
which in turn allowed for higher tonnes processed.
Total tonnes mined in 2023 decreased by 13% compared to the
prior year, as there was some remaining open pit mining completed
in the first quarter of 2022. Underground tonnes mined were in line
compared to the prior year, primarily due to lower tonnes from the
Vista underground mine, as per the mine plan, partially offset by
improved production rates at Turquoise Ridge Underground as the
benefits of the commissioning of the Third Shaft started to be realized.
Production
(thousands of ounces)
500
250
0
282
316
330
to
360
2022
2023
2024 (est)a
a. Based on the midpoint of the guidance range.
Cost of sales per ounce7 and total cash costs per ounce6 in 2023 were
2% and 1% lower, respectively, than the prior year primarily driven
by improvements in both grade and recovery. All-in sustaining costs
per ounce6 decreased by 5% compared to the prior year due to lower
total cash costs per ounce6, combined with lower minesite sustaining
capital expenditures6.
Cost of Sales7, Total Cash Costs6
and All-In Sustaining Costs6 ($ per ounce)
1,434
1,296
1,035
1,399
1,234
1,026
1,230
to
1,330
1,090
to
1,190
850
to
930
1,600
1,200
800
400
0
2022
2023
2024 (est)a
Cost of Sales
Total Cash Costs
AISC
a. Based on the midpoint of the guidance range.
Capital expenditures in 2023 decreased by 31% compared to the
prior year, mainly due to a decrease in project capital expenditures6
as the Third Shaft was largely completed by the end of 2022. This was
combined with lower minesite sustaining capital expenditures6 due to
lower underground development.
2023 compared to Guidance
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
316
1,399
1,026
1,234
300 – 340
1,290 – 1,370
900 – 960
1,170 – 1,250
Gold production in 2023 was within the guidance range. Cost of sales
per ounce7 and total cash costs per ounce6 were slightly above the
guidance range driven by higher than planned maintenance costs
both on underground infrastructure and at the Sage autoclave. All-in
sustaining costs per ounce6 was within the guidance range as higher
total cash costs per ounce6 were more than offset by lower than
planned minesite sustaining capital expenditures6.
83
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Other Mines – Nevada Gold Mines
Summary of Operating and Financial Data
For the three months ended
Gold
produced
(000s oz)
Phoenix (61.5%)
Long Canyon (61.5%)
41
2
12/31/23
Total
cash
costs
($/oz)a
All-in
sustaining
costs
($/oz)a
Capital
Expend-
ituresb
Gold
produced
(000s oz)
787
990
981
1,074
5
0
26
2
9/30/23
Total
cash
costs
($/oz)a
1,003
778
Cost of
sales
($/oz)
2,235
1,832
All-in
sustaining
costs
($/oz)a
Capital
Expend-
ituresb
1,264
831
6
0
Cost of
sales
($/oz)
1,576
2,193
a. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
b. Includes both minesite sustaining and project capital expenditures6.
Phoenix (61.5%)
Gold production for Phoenix in the fourth quarter of 2023 was 58%
higher than the prior quarter owing to planned maintenance performed
in the prior quarter, combined with improved grades and recoveries.
Cost of sales per ounce7 and total cash costs per ounce6 in the
fourth quarter of 2023 were 29% and 22% lower, respectively, than the
prior quarter, mainly due to the impact of higher grades and recoveries,
combined with lower maintenance spend. In the fourth quarter of 2023,
all-in sustaining costs per ounce6 decreased by 22% compared to the
prior quarter, due to lower total cash costs per ounce6, combined with
lower minesite sustaining capital expenditures6.
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
123
2,011
961
1,162
100 – 120
1,860 – 1,940
880 – 940
1,110 – 1,190
Compared to our 2023 outlook, gold production was slightly higher
than the guidance range. Total cash costs per ounce6 and cost of sales
per ounce7 were both marginally above the guidance range, driven
mainly by higher leach inventory drawdown. All-in sustaining costs per
ounce6 was within the guidance range with lower minesite sustaining
capital expenditures6 offsetting the higher total cash costs per ounce6.
Long Canyon (61.5%)
Mining of Phase 1 was completed in May 2022, with residual leach
production over the remainder of 2022 and 2023. Following the
completion of further studies, we have decided at this time not
to pursue the permitting associated with Phase 2 mining and have
removed those ounces from our LOM plan and the mine has been
placed in care and maintenance.
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
9
0 – 10
1,789
2,120 – 2,200
724
779
730 – 790
1,080 – 1,160
Compared to our 2023 outlook, gold production was at the top end
of the guidance range. All cost metrics were within or below their
respective guidance ranges.
84
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS
Pueblo Viejo (60% basis)a, Dominican Republic
Summary of Operating and Financial Data
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
Open pit tonnes mined (000s)
Open pit ore
Open pit waste
Average grade (grams/tonne)
Open pit mined
Processed
Autoclave ore tonnes processed (000s)
Recovery rate
Gold produced (000s oz)
Gold sold (000s oz)
Revenue ($ millions)
Cost of sales ($ millions)
Income ($ millions)
EBITDA ($ millions)b
EBITDA marginc
Capital expenditures ($ millions)
Minesite sustainingb
Projectb
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
All-in costs ($/oz)b
2,819
1,902
917
2.19
2.64
1,345
79%
90
89
190
141
49
89
4,489
2,037
2,452
2.25
2.40
1,404
70%
79
77
152
117
31
70
47%
46%
40
31
9
1,588
1,070
1,428
1,532
54
26
28
1,501
935
1,280
1,640
(37%)
(7%)
(63%)
(3%)
10%
(4%)
13%
14%
16%
25%
21%
58%
27%
2%
(26%)
19%
(68%)
6%
14%
12%
(7%)
18,074
7,794
10,280
19,754
6,820
12,934
2.05
2.39
5,332
81%
335
335
670
475
187
341
51%
236
117
119
1,418
889
1,249
1,604
2.23
2.68
5,669
87%
428
426
776
482
265
411
53%
351
124
227
1,132
725
1,026
1,558
(9%)
14%
(21%)
(8%)
(11%)
(6%)
(7%)
(22%)
(21%)
(14%)
(1%)
(29%)
(17%)
(4%)
(33%)
(6%)
(48%)
25%
23%
22%
3%
24,687
7,969
16,718
2.41
3.18
5,466
88%
488
497
898
445
445
587
65%
311
96
215
896
541
745
1,178
a. Barrick is the operator of Pueblo Viejo and owns 60% with Newmont Corporation owning the remaining 40%. Pueblo Viejo is accounted for as a subsidiary with a
40% non-controlling interest. The results in the table and the discussion that follows are based on our 60% share only.
b. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
c. Represents EBITDA divided by revenue.
Safety and Environment
For the three months ended
For the years ended
12/31/23
9/30/23
12/31/23
12/31/22
0
0.00
0.73
0
0.00
0.50
0
0.00
0.82
2
0.10
0.72
0
0
0
0
LTI
LTIFR8
TRIFR8
Class 19
environmental
incidents
Financial Results
Q4 2023 compared to Q3 2023
Pueblo Viejo’s income for the fourth quarter of 2023 was 58% higher
than the prior quarter due to the higher realized gold price6 and higher
sales volume, partially offset by a higher cost of sales per ounce7.
Gold production for the fourth quarter of 2023 was 14% higher
than the prior quarter due to higher recovery and higher grades
processed. This was partially offset by lower throughput, mainly
caused by the structural failure of the crusher conveyor at the start
of October 2023, as previously disclosed, which connects the new
crusher and the new SAG mill feed stockpile. In addition, productivity
at the mine was negatively impacted by a 1 in 500 year tropical storm
in November 2023.
Cost of sales per ounce7 and total cash costs per ounce6 for the
fourth quarter of 2023 were 6% and 14% higher, respectively, than
the prior quarter primarily due to higher electricity costs and grinding
media consumption related to the commissioning of the expansion
plant. This was combined with higher plant maintenance costs, partially
offset by higher grades and recovery. In addition, cost of sales per
ounce7 was positively impacted by lower depreciation on a per ounce
basis. For the fourth quarter of 2023, all-in sustaining costs per ounce6
were 12% higher than the prior quarter, reflecting higher total cash
costs per ounce6 and higher minesite sustaining capital expenditures6
on a per ounce basis.
Capital expenditures for the fourth quarter of 2023 decreased by
26% compared to the prior quarter, mainly due to lower project capital
expenditures6 incurred on the plant expansion as the construction was
substantially completed in 2023, partially offset by higher minesite
sustaining capital expenditures6 following the purchase of new mining
equipment and higher Llagal TSF works execution costs.
2023 compared to 2022
Pueblo Viejo’s income for 2023 was 29% lower than the prior year due
to lower sales volume and a higher cost of sales per ounce7, partially
offset by the higher realized gold price6.
85
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS 1,941
Cost of Sales7, Total Cash Costs6
and All-In Sustaining Costs6 ($ per ounce)
1,132
1,026
725
1,418
1,249
889
1,340
to
1,440
1,100
to
1,200
830
to
910
1,400
1,200
1,000
800
600
400
200
0
2022
2023
2024 (est)a
Cost of Sales
Total Cash Costs
AISC
a. Based on the midpoint of the guidance range.
Capital expenditures for 2023 decreased by 33% compared to the
prior year, mainly due to lower project capital expenditures6 incurred on
the plant expansion as the construction was substantially completed
in 2023. Minesite sustaining capital expenditures6 decreased due to
lower capitalized waste stripping and a reduction in the purchase of
new mining equipment in 2023.
2023 compared to Guidance
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
335
1,418
889
1,249
470 – 520
1,130 – 1,210
710 – 770
960 – 1,040
Gold production in 2023 was lower than the guidance range mainly due
to lower throughput associated with the delayed commissioning and
ramp-up of the expanded processing plant. Cost of sales per ounce7
and total cash costs per ounce6 were higher than the guidance ranges,
mainly due to the lower production. All-in sustaining costs per ounce6
was also higher than the guidance range mainly driven by higher total
cash costs6 and higher minesite sustaining capital expenditures6 on a
per ounce basis.
Income and EBITDA6
1,799
1,800
587
445
600
500
400
300
200
100
0
411
265
341
187
2021
2022
2023
Income ($ millions)
Gold Market Price ($/oz)
EBITDA ($ millions)
Gold production for 2023 was 22% lower than the prior year, mainly
due to lower grades processed in line with the mine and stockpile
processing plan, lower recovery and lower tonnes processed.
Throughput and recovery during 2023 were impacted by the
commissioning of the new plant, with throughput additionally affected
by the structural failure of the crusher conveyor in the fourth quarter,
delaying the ramp-up.
Production
(thousands of ounces)
600
300
0
428
335
420
to
490
2022
2023
2024 (est)a
a. Based on the midpoint of the guidance range.
Cost of sales per ounce7 and total cash costs per ounce6 for 2023
increased by 25% and 23%, respectively, compared to the prior year,
primarily reflecting the impact of lower grades, as described above,
and higher consumables and energy consumption. For 2023, all-in
sustaining costs per ounce6 increased by 22% compared to the prior
year, mainly reflecting higher total cash costs per ounce6.
86
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Loulo-Gounkoto (80% basis)a, Mali
Summary of Operating and Financial Data
Total tonnes mined (000s)
Open pit ore
Open pit waste
Underground
Average grade (grams/tonne)
Open pit mined
Underground mined
Processed
Ore tonnes processed (000s)
Recovery rate
Gold produced (000s oz)
Gold sold (000s oz)
Revenue ($ millions)
Cost of sales ($ millions)
Income ($ millions)
EBITDA ($ millions)b
EBITDA marginc
Capital expenditures ($ millions)
Minesite sustainingb
Projectb
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
All-in costs ($/oz)b
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
5,846
28
4,872
946
2.80
4.54
4.31
1,013
91%
127
127
256
164
82
129
6,370
575
4,893
902
3.40
5.05
4.76
1,012
91%
142
145
280
158
111
156
50%
56%
75
30
45
1,296
924
1,168
1,521
69
43
26
1,087
773
1,068
1,249
(8%)
(95%)
0%
5%
(18%)
(10%)
(9%)
0%
0%
(11%)
(12%)
(9%)
4%
(26%)
(17%)
(11%)
9%
(30%)
73%
19%
20%
9%
22%
28,200
1,240
23,353
3,607
30,845
2,989
24,560
3,296
2.98
5.04
4.61
4,049
91%
547
546
1,068
653
388
585
55%
300
177
123
1,198
835
1,166
1,392
2.29
4.58
4.59
4,069
91%
547
548
989
631
342
547
55%
258
152
106
1,153
778
1,076
1,270
(9%)
(59%)
(5%)
9%
30%
10%
0%
0%
0%
0%
0%
8%
3%
13%
7%
0%
16%
16%
16%
4%
7%
8%
10%
33,073
1,808
29,050
2,215
3.22
4.68
4.79
4,015
91%
560
558
999
585
380
602
60%
238
159
79
1,049
650
970
1,111
a. Barrick owns 80% of Société des Mines de Loulo SA and Société des Mines de Gounkoto with the Republic of Mali owning 20%. Loulo-Gounkoto is accounted for
as a subsidiary with a 20% non-controlling interest on the basis that Barrick controls the asset. The results in the table and the discussion that follows are based
on our 80% share, inclusive of the impact of the purchase price allocation resulting from the merger with Randgold.
b. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
c. Represents EBITDA divided by revenue.
Safety and Environment
For the three months ended
For the years ended
12/31/23
9/30/23
12/31/23
12/31/22
0
0.00
0.00
1
0.21
0.64
1
0.06
0.45
2
0.11
0.45
0
0
0
0
LTI
LTIFR8
TRIFR8
Class 19
environmental
incidents
Financial Results
Q4 2023 compared to Q3 2023
Loulo-Gounkoto’s income for the fourth quarter of 2023 was 26%
lower than the prior quarter, mainly due to lower sales volume and a
higher cost of sales per ounce7, partially offset by the higher realized
gold price6.
Gold production for the fourth quarter of 2023 was 11% lower than
the prior quarter, mainly due to lower grades processed, in line with
the mine plan.
Cost of sales per ounce7 and total cash costs per ounce6 for the
fourth quarter of 2023 were 19% and 20% higher, respectively, than
the prior quarter, primarily due to the impact of lower grades processed
and a higher proportion of stockpile feed (both related to a pit wall
failure at the Gounkoto open pit at the end of Q3) combined with
higher processing costs driven by higher power plant costs. For the
fourth quarter of 2023, all-in sustaining costs per ounce6 increased by
9% compared to the prior quarter, primarily reflecting the higher total
cash costs per ounce6, partially offset by lower minesite sustaining
capital expenditures6.
Capital expenditures for the fourth quarter of 2023 increased by
9% compared to the prior quarter, mainly due to higher project capital
expenditures6 relating to the progress at the Yalea South project,
partially offset by lower minesite sustaining capital expenditures6.
2023 compared to 2022
Loulo-Gounkoto’s income for 2023 was 13% higher than the prior
year, mainly due to the higher realized gold price6, partially offset by
higher cost of sales per ounce7, while sales volume was in line with
the prior year.
87
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS 1,941
Cost of Sales7, Total Cash Costs6
and All-In Sustaining Costs6 ($ per ounce)
Income and EBITDA6
1,799
1,800
602
547
585
380
342
388
700
600
500
400
300
200
100
0
2021
2022
2023
Income ($ millions)
Gold Market Price ($/oz)
EBITDA ($ millions)
Gold production in 2023 was in line with the prior year based on
consistent grades processed, recoveries and plant throughput across
both years.
Production
(thousands of ounces)
600
300
0
547
547
510
to
560
2022
2023
2024 (est)a
a. Based on the midpoint of the guidance range.
Cost of sales per ounce7 and total cash costs per ounce6 in 2023 were
4% and 7% higher, respectively, compared to the prior year, mainly
due to higher underground costs from higher operating development
meters in the current year, the impact of a pit wall failure at Gounkoto,
the corresponding higher stockpile drawdown, and higher royalties
driven by the higher realized gold price6. For 2023, all-in sustaining
costs6 were 8% higher compared to the prior year reflecting higher
total cash costs per ounce6 and higher minesite sustaining capital
expenditures6.
88
1,153
1,076
778
1,198 1,166
835
1,190
to
1,290
1,150
to
1,250
780
to
860
1,200
1,000
800
600
400
200
0
2022
2023
2024 (est)a
Cost of Sales
Total Cash Costs
AISC
a. Based on the midpoint of the guidance range.
Capital expenditures in 2023 were 16% higher compared to the prior
year, mainly due to both higher project capital expenditures6 and
increased minesite sustaining capital expenditures6. The increase in
project capital expenditures6 is related to the solar plant expansion
project and the commencement of the Yalea South project, while
minesite sustaining capital expenditures6 were higher than the prior
year reflecting the commencement of production at the Gounkoto
underground mine.
2023 compared to Guidance
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
547
1,198
835
1,166
510 – 560
1,100 – 1,180
750 – 810
1,070 – 1,150
Gold production in 2023 was in the upper half of the guidance range.
All cost metrics were higher than the guidance ranges as a result of
higher royalties from the higher realized gold price6 (royalty impact
was $18/oz for Loulo-Gounkoto), the impact of the pit wall failure at
Gounkoto, and the corresponding stockpile drawdown and higher
underground unit cost rates.
Regulatory Matters
In August 2022, the Government of Mali announced that it would
conduct an audit of the Malian gold mining industry, including the
Loulo-Gounkoto complex. Barrick engaged with the government-
appointed auditors and hosted the auditors at Loulo-Gounkoto for
a site visit in November 2022. In April 2023, Barrick received a draft
report containing the auditors’ preliminary findings. During the second
quarter, Barrick responded to the draft report to challenge the auditors’
findings, which Barrick believes are legally and factually flawed and
without merit.
In addition, in June 2023, the Government of Mali announced
a plan to reform the Malian mining legislation. A new mining code
and a law requiring local content in the mining sector were adopted
in August 2023 but are not currently being enforced, pending the
adoption of implementing decrees. Under the new mining code, pre-
existing mining titles remain subject to the legal and contractual regime
under which they were issued for the remainder of their current term.
Refer to note 35 of the Financial Statements for information
regarding the establishment conventions for the Loulo-Gounkoto
complex and related matters.
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Kibali (45% basis)a, Democratic Republic of Congo
Summary of Operating and Financial Data
Total tonnes mined (000s)
Open pit ore
Open pit waste
Underground
Average grade (grams/tonne)
Open pit mined
Underground mined
Processed
Ore tonnes processed (000s)
Recovery rate
Gold produced (000s oz)
Gold sold (000s oz)
Revenue ($ millions)
Cost of sales ($ millions)
Income ($ millions)
EBITDA ($ millions)b
EBITDA marginc
Capital expenditures ($ millions)
Minesite sustainingb
Projectb
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
All-in costs ($/oz)b
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
3,993
619
2,901
473
1.63
5.28
3.50
911
90%
93
92
184
105
78
115
4,467
764
3,188
515
1.92
5.28
3.58
960
90%
99
97
187
112
72
116
63%
62%
20
5
15
16
8
8
1,141
1,152
737
819
988
694
801
881
(11%)
(19%)
(9%)
(8%)
(15%)
0%
(2%)
(5%)
0%
(6%)
(5%)
(2%)
(6%)
8%
(1%)
2%
25%
(38%)
88%
(1%)
6%
2%
12%
17,837
2,721
13,288
1,828
1.60
5.11
3.21
3,700
90%
343
343
670
419
243
390
16,649
2,551
12,428
1,670
1.62
5.62
3.39
3,495
88%
337
332
598
413
142
320
58%
54%
73
35
38
1,221
789
918
1,030
92
70
22
1,243
703
948
1,013
7%
7%
7%
9%
(1%)
(9%)
(5%)
6%
2%
2%
3%
12%
1%
71%
22%
7%
(21%)
(50%)
73%
(2%)
12%
(3%)
2%
14,657
1,278
11,610
1,769
2.71
5.63
3.62
3,503
90%
366
367
661
373
278
419
63%
70
54
16
1,016
627
818
861
a. Barrick owns 45% of Kibali Goldmines SA with the DRC and our joint venture partner, AngloGold Ashanti, owning 10% and 45%, respectively. The figures
presented in this table and the discussion that follows are based on our 45% effective interest in Kibali Goldmines SA held through our 50% interest in Kibali (Jersey)
Limited and its other subsidiaries (collectively “Kibali”), inclusive of the impact of the purchase price allocation resulting from the merger with Randgold. Kibali is
accounted for as an equity method investment on the basis that the joint venture partners that have joint control have rights to the net assets of the joint venture.
b. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
c. Represents EBITDA divided by revenue.
Safety and Environment
For the three months ended
For the years ended
12/31/23
9/30/23
12/31/23
12/31/22
0
0
0.47
2
0.46
1.62
3
0.17
1.39
2
0.12
0.98
0
0
0
0
LTI
LTIFR8
TRIFR8
Class 19
environmental
incidents
Unfortunately, on January 31, 2024, an incident occurred at Kibali
which resulted in the tragic fatality of an employee. Fatality incident
investigations are underway. Please refer to page 67 for further details.
Financial Results
Q4 2023 compared to Q3 2023
Kibali’s income for the fourth quarter of 2023 was 8% higher than the
prior quarter as a result of the higher realized gold price6 and a lower
cost of sales per ounce7, partially offset by lower sales volume.
Gold production for the fourth quarter of 2023 was 6% lower than
the prior quarter, due to lower throughput and lower grades processed.
Cost of sales per ounce7 for the fourth quarter of 2023 was 1%
lower than the prior quarter due to lower depreciation expense,
partially offset by higher total cash costs per ounce6. Total cash costs
per ounce6 were 6% higher than the prior quarter mainly due to the
lower grades processed as per the plan as mining in the Gorumbwa
open pit came to an end during the fourth quarter. All-in sustaining
costs per ounce6 for the fourth quarter of 2023 were 2% higher than
the prior quarter, mainly due to higher total cash costs per ounce6,
partially offset by lower minesite sustaining capital expenditures6.
Capital expenditures for the fourth quarter of 2023 were 25% higher
than the prior quarter, driven by higher project capital expenditures6
relating to the progress of the solar project, completion of the reagent
recovery plant and progress on the Kalimva/Ikamva and Pamao open
pit projects. This was partially offset by lower minesite sustaining
capital expenditures6.
2023 compared to 2022
Kibali’s income for 2023 was 71% higher than the prior year due to
higher sales volume, the higher realized gold price6 and a lower cost
of sales per ounce7.
89
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Income and EBITDA6
1,799
1,800
450
300
150
0
419
278
320
142
1,941
390
243
2021
2022
2023
Income ($ millions)
Gold Market Price ($/oz)
EBITDA ($ millions)
Gold production in 2023 was 2% higher compared to the prior
year, mainly due to higher tonnes processed and higher recovery
partially offset by lower grades processed. This represents a record
year for throughput sustained by improved open pit and underground
tonnes mined.
Production
(thousands of ounces)
400
200
0
337
343
320
to
360
2022
2023
2024 (est)a
a. Based on the midpoint of the guidance range.
Cost of sales per ounce7 in 2023 decreased by 2% compared to the
prior year due to lower depreciation expense, partially offset by higher
total cash costs per ounce6. Total cash costs per ounce6 were 12%
higher, mainly due to higher royalties driven by the higher realized gold
price6 and lower grades processed, as mining in the Gorumbwa open
pit came to an end during the fourth quarter. For 2023, all-in sustaining
costs per ounce6 were 3% lower compared to the prior year, reflecting
lower minesite sustaining capital expenditures6, partially offset by
higher total cash costs per ounce6.
Cost of Sales7, Total Cash Costs6
and All-In Sustaining Costs6 ($ per ounce)
1,243
1,221
948
703
918
789
1,140
to
1,240
950
to
1,050
740
to
820
1,200
1,000
800
600
400
200
0
2022
2023
2024 (est)a
Cost of Sales
Total Cash Costs
AISC
a. Based on the midpoint of the guidance range.
Capital expenditures in 2023 were 21% lower compared to the prior
year, due to lower minesite sustaining capital expenditures6 driven
by lower capitalized waste stripping and underground development,
whereas the mine plan for 2022 required higher capital investment.
This was partially offset by increased project capital expenditures6
relating to the start of the solar project and our investment in the
Kalimva/Ikamva open pit projects that are expected to underpin the
GHG emission reduction plan and future production in our life of mine
plan, respectively.
2023 compared to Guidance
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
343
1,221
789
918
320 – 360
1,080 – 1,160
710 – 770
880 – 960
Gold production in 2023 was above the midpoint of the guidance
range. Cost of sales per ounce7 and total cash costs per ounce6
were above the guidance ranges as a result of higher royalties from
the higher realized gold price6 (royalty impact was $16/oz for Kibali)
combined with lower processed grades and lower strip ratio. Cost of
sales per ounce7 was further impacted by higher depreciation driven
by the stockpile drawdown. All-in sustaining costs per ounce6 ended
at the midpoint of the guidance range due to lower minesite capital
expenditures6, resulting from lower capitalized waste stripping and
underground development, notwithstanding total cash costs per
ounce6 were above the guidance range.
90
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS North Mara (84% basis)a, Tanzania
Summary of Operating and Financial Data
Total tonnes mined (000s)
Open pit ore
Open pit waste
Underground
Average grade (grams/tonne)
Open pit mined
Underground mined
Processed
Ore tonnes processed (000s)
Recovery rate
Gold produced (000s oz)
Gold sold (000s oz)
Revenue ($ millions)
Cost of sales ($ millions)
Income ($ millions)
EBITDA ($ millions)b
EBITDA marginc
Capital expenditures ($ millions)
Minesite sustainingb
Projectb
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
All-in costs ($/oz)b
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
4,241
406
3,407
428
1.84
3.17
2.85
719
91%
59
61
124
86
12
30
4,529
439
3,686
404
1.62
3.32
2.91
715
92%
62
59
115
74
37
51
24%
44%
53
20
33
1,420
1,103
1,449
1,985
47
25
22
1,244
999
1,429
1,802
(6%)
(8%)
(8%)
6%
14%
(5%)
(2%)
1%
(1%)
(5%)
3%
8%
16%
(68%)
(41%)
(45%)
13%
(20%)
50%
14%
10%
1%
10%
16,547
1,400
13,610
1,537
1.83
3.22
3.02
2,848
92%
253
254
497
306
139
203
41%
176
95
81
1,206
944
1,335
1,653
8,882
4,379
3,035
1,468
1.94
4.07
3.31
2,730
91%
263
265
479
259
177
238
50%
130
68
62
979
741
1,028
1,265
86%
(68%)
348%
5%
(6%)
(21%)
(9%)
4%
1%
(4%)
(4%)
4%
18%
(21%)
(15%)
(18%)
35%
40%
31%
23%
27%
30%
31%
1,603
116
160
1,327
1.63
5.58
3.30
2,703
90%
260
257
463
248
214
261
56%
79
52
27
966
777
1,001
1,105
a. Barrick owns 84% of North Mara, with the GoT owning 16%. North Mara is accounted for as a subsidiary with a 16% non-controlling interest on the basis that
Barrick controls the asset. The results in the table and the discussion that follows are based on our 84% share.
b. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
c. Represents EBITDA divided by revenue.
Safety and Environment
For the three months ended
For the years ended
12/31/23
9/30/23
12/31/23
12/31/22
0
0.00
0.36
1
0.38
1.52
3
0.29
0.97
2
0.24
0.95
0
0
0
0
LTI
LTIFR8
TRIFR8
Class 19
environmental
incidents
Unfortunately, on January 9, 2024, an incident occurred at North Mara
which resulted in the tragic fatality of an employee. Fatality incident
investigations are underway. Please refer to page 67 for further details.
Financial Results
Q4 2023 compared to Q3 2023
North Mara’s income for the fourth quarter of 2023 was 68%
lower than the prior quarter mainly due to the transfer of a $15 million
expense previously recognized in Bulyanhulu related to the expansion
of education infrastructure in Tanzania, per our community investment
obligations under the Twiga partnership. This was further impacted by
a higher cost of sales per ounce7, partially offset by the higher realized
gold price6 and marginally higher sales volume.
In the fourth quarter of 2023, gold production was slightly lower
than the prior quarter as lower grades processed and lower recoveries
largely offset by higher throughput.
Cost of sales per ounce7 and total cash costs per ounce6 in the
fourth quarter of 2023 were 14% and 10% higher, respectively, than
the prior quarter, resulting from increased royalties from the higher
realized gold price6, and higher power generation costs following
temporary grid instability challenges faced in the fourth quarter of
2023. This was combined with higher cost underground stockpiles fed
to the mill, partially offset by lower underground mining unit costs in the
fourth quarter of 2023. Cost of sales per ounce7 was further impacted
by higher depreciation expense, from the increased proportion of
underground material fed. All-in sustaining costs per ounce6 in the
fourth quarter of 2023 were 1% higher than the prior quarter, reflecting
the higher total cash costs per ounce6, largely offset by lower minesite
sustaining capital expenditures6.
Capital expenditures in the fourth quarter of 2023 increased by
13% compared to the third quarter of 2023, driven by higher project
capital expenditures6 mainly related to the underground paste
plant. This was partially offset by lower minesite sustaining capital
expenditures6, mainly due to higher spend in the prior quarter linked
to the procurement of key underground equipment in line with our
automation and optimization plans.
2023 compared to 2022
North Mara’s income for 2023 was 21% lower than the prior year,
mainly due to the $30 million commitment we made towards the
expansion of education infrastructure in Tanzania, per our community
investment obligations under the Twiga partnership. This was further
impacted by higher cost of sales per ounce7 and lower gold sales
volumes, partially offset by the higher realized gold price6.
91
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Income and EBITDA6
1,941
Cost of Sales7, Total Cash Costs6
and All-In Sustaining Costs6 ($ per ounce)
1,799
1,800
261
214
238
177
203
139
300
200
100
0
2021
2022
2023
Income ($ millions)
Gold Market Price ($/oz)
EBITDA ($ millions)
In 2023, gold production was 4% lower than the prior year as we
transitioned into mining Gena at the start of 2023 with a focus on
stripping and opening up the new open pit, resulting in the additional
waste tonnes mined this year. This also marks the third consecutive
year when we have delivered improved mill throughput driven by our
investment in the underground operations and the successful ramp-up
of our open pit mining.
1,206
1,355
944
1,250
to
1,350
1,270
to
1,370
970
to
1,050
1,028
979
741
1,400
1,200
1,000
800
600
400
200
0
2022
2023
2024 (est)a
Cost of Sales
Total Cash Costs
AISC
a. Based on the midpoint of the guidance range.
In 2023, capital expenditures increased by 35% compared to the
prior year mainly due to higher project capital expenditures6 relating
to the installation of the paste plant, the second crushing line and fleet
investment in the ramp-up of open pit operations. This was combined
with higher minesite sustaining capital expenditures6, which reflects
the higher capitalized stripping, ongoing investment in the new mining
fleet and the commencement of TSF lift 9 in 2023.
2023 compared to Guidance
230
to
260
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
253
1,206
944
1,335
230 – 260
1,120 – 1,200
900 – 960
1,240 – 1,320
Gold production in 2023 ended near the upper end of the guidance
range. All cost metrics were slightly above the guidance ranges or
towards the high end of the guidance range, reflecting higher royalties
from the higher gold realized prices6, and increased input costs driven
by consumable and energy prices.
Production
(thousands of ounces)
263
253
300
150
0
2022
2023
2024 (est)a
a. Based on the midpoint of the guidance range.
Cost of sales per ounce7 and total cash costs per ounce6 in 2023
were 23% and 27% higher, respectively, than the prior year, mainly
reflecting higher royalties from the higher realized gold price6, higher
power generation costs following the grid instability challenges faced
in the fourth quarter of 2023 and higher levels of underground and
open pit ore fed to the mill as we transitioned into mining Gena at the
start of 2023. These impacts were partially offset by the improved open
pit unit rates, lower general and administrative unit rates, improved
mill throughput and higher recovery. All-in sustaining costs per ounce6
were 30% higher than the prior year, primarily due to higher total cash
costs per ounce6 and higher minesite sustaining capital expenditures6.
92
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Bulyanhulu (84% basis)a, Tanzania
Summary of Operating and Financial Data
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
Underground tonnes mined (000s)
Average grade (grams/tonne)
Underground mined
Processed
Ore tonnes processed (000s)
Recovery rate
Gold produced (000s oz)
Gold sold (000s oz)
Revenue ($ millions)
Cost of sales ($ millions)
Income ($ millions)
EBITDA ($ millions)b
EBITDA marginc
Capital expenditures ($ millions)
Minesite sustainingb
Projectb
Cost of sales ($/oz)
Total cash costs ($/oz)b
All-in sustaining costs ($/oz)b
All-in costs ($/oz)b
300
318
5.88
5.88
222
96%
41
41
87
59
32
45
52%
28
15
13
1,413
1,002
1,376
1,692
6.25
6.33
241
95%
46
45
91
57
33
46
51%
21
12
9
1,261
859
1,132
1,335
(6%)
(6%)
(7%)
(8%)
1%
(11%)
(9%)
(4%)
4%
(3%)
(2%)
2%
33%
25%
44%
12%
17%
22%
27%
1,217
1,029
18%
6.56
6.64
880
96%
180
180
371
237
123
175
47%
89
55
34
1,312
920
1,231
1,422
7.89
7.78
837
94%
196
205
389
248
118
168
43%
81
56
25
1,211
868
1,156
1,278
(17%)
(15%)
5%
2%
(8%)
(12%)
(5%)
(4%)
4%
4%
9%
10%
(2%)
36%
8%
6%
6%
11%
730
9.23
8.95
661
93%
178
166
303
179
122
170
56%
70
29
41
1,079
709
891
1,138
a. Barrick owns 84% of Bulyanhulu, with the GoT owning 16%. Bulyanhulu is accounted for as a subsidiary with a 16% non-controlling interest on the basis that
Barrick controls the asset. The results in the table and the discussion that follows are based on our 84% share.
b. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
c. Represents EBITDA divided by revenue.
Safety and Environment
For the three months ended
For the years ended
12/31/23
9/30/23
12/31/23
12/31/22
0
0.00
1.10
1
0.57
1.72
3
0.44
2.40
4
0.60
1.64
0
0
0
0
LTI
LTIFR8
TRIFR8
Class 19
environmental
incidents
Financial Results
Q4 2023 compared to Q3 2023
Bulyanhulu’s income for the fourth quarter of 2023 was 3% lower than
the prior quarter, mainly due to lower sales volume and a higher cost
of sales per ounce7, partially offset by the higher realized gold price6.
This was partially offset by the transfer to North Mara of a $15 million
expense previously recognized in Bulyanhulu in Q1, related to the
expansion of education infrastructure in Tanzania, per our community
investment obligations under the Twiga partnership.
In the fourth quarter of 2023, gold production was 11% lower
than the prior quarter, primarily reflecting lower throughput and the
transition into lower grade stopes as per the plan, partially offset by a
slight improvement in recovery.
Cost of sales per ounce7 and total cash costs per ounce6 in the
fourth quarter of 2023 increased by 12% and 17%, respectively,
due to the lower grades processed, lower underground capital
development in line with our plan, and higher power generation costs.
All-in sustaining costs per ounce6 in the fourth quarter of 2023 were
22% higher than the prior quarter, mainly as a result of higher total
cash costs6 and increased minesite sustaining capital expenditures6.
Capital expenditures in the fourth quarter of 2023 were 33% higher
than the prior quarter, mainly due to increased minesite sustaining
capital expenditures6 related to electrical substation upgrades,
additional underground mobile equipment, as well as deposits on
equipment orders for 2024 as we continue to expand the underground
operations. This was partially offset by lower underground development
and waste mining in the fourth quarter.
2023 compared to 2022
Bulyanhulu’s income for 2023 was 4% higher than the prior year,
mainly due to a non-recurring supplies obsolescence charge incurred
in the prior year. This was further impacted by the higher realized gold
price6, partially offset by lower gold sales volume and a higher cost of
sales per ounce7.
93
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS 1,941
Cost of Sales7, Total Cash Costs6
and All-In Sustaining Costs6 ($ per ounce)
Income and EBITDA6
1,799
1,800
170
168
175
122
118
123
200
150
100
50
0
2021
2022
2023
Income ($ millions)
Gold Market Price ($/oz)
EBITDA ($ millions)
In 2023, gold production was 8% lower than the prior year as
we transitioned into lower grade areas of the mine in order to
prioritize underground development in line with the mine plan. This
tracked ahead of plan on the back of the investment made in the
underground fleet. This was a key driver of the higher tonnes mined
and processed in 2023 as we continue to scale operations. Looking
ahead, 2024 commences with the box-cut in Upper West as we unlock
additional underground headings which are expected to increase our
plant throughput.
Production
(thousands of ounces)
1,211
1,156
868
1,312
1,231
920
1,370
to
1,470
1,380
to
1,480
990
to
1,070
1,400
1,200
1,000
800
600
400
200
0
2022
2023
2024 (est)a
Cost of Sales
Total Cash Costs
AISC
a. Based on the midpoint of the guidance range.
In 2023, capital expenditures increased by 10% compared to the prior
year, reflecting higher project capital expenditures6 from the resource
addition drilling projects, the commissioning of an additional ore
tipping point and ventilation expansion at Bulyanhulu.
2023 compared to Guidance
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
180
1,312
920
1,231
160 – 190
1,230 – 1,310
880 – 940
1,160 – 1,240
196
180
200
100
0
160
to
190
Gold production in 2023 ended in the upper half of the guidance
range. Cost of sales per ounce7 was slightly above the guidance range,
mainly due to higher input costs driven by higher royalties, increased
consumables and energy prices, combined with an update to the mine
plan based on a new geological block model. Total cash costs6 and
all-in sustaining costs6 were within their respective guidance ranges.
2022
2023
2024 (est)a
a. Based on the midpoint of the guidance range.
Cost of sales per ounce7 and total cash costs per ounce6 in 2023 were
8% and 6% higher, respectively, than the prior year, reflecting the
lower grades in 2023, higher input costs driven by consumables and
energy prices. All-in sustaining costs per ounce6 was 6% higher than
the prior year due to increased total cash costs per ounce6 and higher
minesite sustaining capital expenditures6 on a per ounce basis.
94
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Other Mines – Gold
Summary of Operating and Financial Data
For the three months ended
12/31/23
9/30/23
Gold
produced
(000s oz)
Cost of
sales
($/oz)
Total
cash
costs
($/oz)a
All-in
sustaining
costs
($/oz)a
Capital
Expend-
ituresb
Gold
produced
(000s oz)
Cost of
sales
($/oz)
Total
cash
costs
($/oz)a
All-in
sustaining
costs
($/oz)a
Capital
Expend-
ituresb
Veladero (50%)
Tongon (89.7%)
Hemlo
Porgerac (47.5%)
55
42
34
–
1,378
1,489
1,618
–
1,021
1,184
1,407
–
1,403
1,586
1,671
–
22
13
8
–
55
47
31
–
1,376
1,423
1,721
–
988
1,217
1,502
–
1,314
1,331
1,799
–
15
6
12
–
a. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
b. Includes both minesite sustaining and project capital expenditures. Further information on these non-GAAP financial measures, including detailed reconciliations,
is included on pages 115 to 141 of this MD&A.
c. As Porgera has been on care and maintenance on April 25, 2020 until December 22, 2023, no operating data or per ounce data is provided. On December 22, 2023,
we completed the Commencement Agreement, pursuant to which the PNG government and BNL, the 95% owner and operator of the Porgera joint venture, agreed
on a partnership for the future ownership and operation of the mine. Ownership of Porgera is now held in a new joint venture owned 51% by PNG stakeholders and
49% by a Barrick affiliate, Porgera (Jersey) Limited (“PJL”). PJL is jointly owned on a 50/50 basis by Barrick and Zijin Mining Group and therefore Barrick now holds
a 24.5% ownership interest in the Porgera joint venture. Barrick holds a 23.5% interest in the economic benefits of the mine under the economic benefit sharing
arrangement agreed with the PNG government whereby Barrick and Zijin Mining Group together share 47% of the overall economic benefits derived from the mine
accumulated over time, and the PNG stakeholders share the remaining 53%. Refer to page 63 for further information.
Veladero (50%), Argentina
Gold production for Veladero in the fourth quarter of 2023 was
consistent with the prior quarter. Cost of sales per ounce7 in the fourth
quarter of 2023 was also in line with the prior quarter, while total cash
costs per ounce6 and all-in sustaining costs per ounce6 increased in the
fourth quarter of 2023 by 3% and 7%, respectively, compared to the
prior quarter, primarily driven by lower throughput resulting in higher
processing unit rates, and a higher achieved gold price, resulting in
higher export duties and royalties per ounce.
Hemlo, Ontario, Canada
Hemlo’s gold production in the fourth quarter of 2023 was 10%
higher than the prior quarter, primarily due to higher ore tonnes mined
due to improved underground performance. Cost of sales per
ounce7 and total cash costs per ounce6 in the fourth quarter of 2023
were both 6% lower than the prior quarter due to the impact of the
improved production performance. All-in sustaining costs per ounce6
decreased by 7% compared to the prior quarter, primarily due to
lower minesite sustaining capital expenditures6 and lower total cash
costs per ounce6.
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
141
1,589
1,382
1,672
150 – 170
1,400 – 1,480
1,210 – 1,270
1,590 – 1,670
Gold production in 2023 was below the guidance range, which
was primarily due to interruptions to the underground operations in
the fourth quarter, including a fire which damaged some ventilation
infrastructure, leading to delays in ramping back up, coupled with
underground interruptions earlier in the year. All cost metrics were
higher than guidance mainly due to the impact of lower than expected
sales volumes which reflected the disruptions referred to above and
higher royalties from the higher realized gold price6 (royalty impact was
$30/oz for Hemlo).
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
207
1,440
1,011
1,516
160 – 180
1,630 – 1,710
1,060 – 1,120
1,550 – 1,630
Gold production for the full year 2023 was above the guidance range
driven by higher recoveries. All cost metrics were below the guidance
ranges as a result of the higher production.
Tongon (89.7% basis), Côte d’Ivoire
Gold production for Tongon in the fourth quarter of 2023 was 11%
lower than the prior quarter, reflecting lower grades and recoveries,
offset slightly by higher throughput. Cost of sales per ounce7 in the
fourth quarter of 2023 was 5% higher than the prior quarter due to
higher depreciation expense, partially offset by lower total cash costs
per ounce6. Total cash costs per ounce6 were 3% lower than the prior
quarter, primarily due to a lower strip ratio in the current quarter. All-
in sustaining costs per ounce6 in the fourth quarter of 2023 was 19%
higher than the prior quarter, due to higher minesite sustaining capital
expenditures6 primarily driven by increased capitalized drilling in the
final quarter, partially offset by lower total cash costs per ounce6.
Gold produced (000s oz)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
183
1,469
1,240
1,408
180 – 210
1,260 – 1,340
1,070 – 1,130
1,240 – 1,320
Gold production for the full year 2023 was within the guidance range.
All cost metrics were above the guidance ranges driven by lower than
expected grades and recoveries.
95
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS
Lumwana (100%), Zambia
Summary of Operating and Financial Data
For the three months ended
For the years ended
12/31/23
9/30/23
Change
12/31/23
12/31/22
Change
12/31/21
Open pit tonnes mined (000s)
Open pit ore
Open pit waste
Average grade (grams/tonne)
Open pit mined
Processed
Tonnes processed (000s)
Recovery rate
Copper produced (millions of pounds)
Copper sold (millions of pounds)
Revenue ($ millions)
Cost of sales ($ millions)
Income (loss) ($ millions)
EBITDA ($ millions)a
EBITDA marginb
Capital expenditures ($ millions)
Minesite sustaininga
Projecta
Cost of sales ($/lb)
C1 cash costs ($/lb)a
All-in sustaining costs ($/lb)a
All-in costs ($/lb)a
32,081
7,011
25,070
0.60%
0.54%
7,090
87%
73
70
226
207
17
102
45%
81
68
13
2.95
2.14
3.38
3.55
37,455
6,617
30,838
0.56%
0.55%
6,606
91%
72
67
209
166
32
101
48%
102
85
17
2.48
1.86
3.41
3.66
(14%)
6%
(19%)
7%
(2%)
7%
(4%)
1%
4%
8%
25%
(47%)
1%
(6%)
(21%)
(20%)
(24%)
19%
15%
(1%)
(3%)
113,633
26,030
87,603
0.51%
0.49%
26,797
89%
260
249
795
723
37
294
37%
306
223
83
2.91
2.29
3.48
3.81
98,340
20,277
78,063
0.61%
0.52%
25,166
93%
267
275
868
666
180
403
46%
405
360
45
2.42
1.89
3.63
3.79
16%
28%
12%
(16%)
(6%)
6%
(4%)
(3%)
(9%)
(8%)
9%
(79%)
(27%)
(20%)
(24%)
(38%)
84%
20%
21%
(4%)
0%
99,009
33,510
65,499
0.45%
0.46%
25,711
93%
242
253
962
570
391
588
61%
189
189
0
2.25
1.62
2.80
2.80
a. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
b. Represents EBITDA divided by revenue.
Capital expenditures were 21% lower compared to the prior
quarter due to a decrease in both minesite sustaining capital
expenditures6, and project capital expenditures6. Minesite sustaining
capital expenditures6 were 20% lower mainly due to decreased
capitalized waste stripping. Project capital expenditures6 decreased
by 24% reflecting reduced spend on the new owner mining fleet to
replace the contract mining, which is coming to an end.
2023 compared to 2022
Lumwana’s income for 2023 was 79% lower than the prior year,
primarily due to lower sales volume and a higher cost of sales per
pound7. The realized copper price6 was consistent with the same prior
year period.
Safety and Environment
For the three months ended
For the years ended
12/31/23
9/30/23
12/31/23
12/31/22
2
0.53
0.53
1
0.30
0.30
3
0.23
0.31
1
0.08
0.50
0
0
0
0
LTI
LTIFR8
TRIFR8
Class 19
environmental
incidents
Financial Results
Q4 2023 compared to Q3 2023
Lumwana’s income for the fourth quarter 2023 was 47% lower
compared to the prior quarter as a result of a higher cost of sales
per pound7, partially offset by higher sales volumes, while the realized
copper price6 was consistent with the prior quarter.
Copper production in the fourth quarter of 2023 was 1% higher
than the prior quarter as improved throughput offset lower grades and
recovery.
Cost of sales per pound7 and C1 cash costs per pound6 were
19% and 15% higher, respectively, than the prior quarter due to lower
mining efficiencies as the wet season commenced, combined with
lower grades processed and lower plant recovery. Cost of sales per
pound7 was further impacted by higher depreciation expense. In the
fourth quarter of 2023, all-in sustaining costs per pound6 decreased
by 1% compared to the prior quarter, primarily driven by a decrease in
minesite sustaining capital expenditures6, partially offset by higher C1
cash costs per pound6.
96
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Income and EBITDA6
Cost of Sales7, Total Cash Costs6
and All-In Sustaining Costs6 ($ per pound)
4.23
588
3.99
3.85
391
403
180
294
37
4.00
3.50
3.00
2.50
2.00
1.50
1.00
0.50
0.00
3.63
1.89
2.42
2.91
3.48
2.29
3.30
to
3.60
2.50
to
2.80 1.85
to
2.15
600
400
200
0
2021
2022
2023
Income ($ millions)
Copper Market Price ($/lb)
EBITDA ($ millions)
In 2023, copper production decreased by 3% compared to the prior
year, primarily due to lower grades processed, in line with the mine
plan. This was further impacted by lower recoveries, partially offset by
higher throughput. Copper sales were 9% lower than the prior year as
2022 had significant finished goods built up from 2021. The increase
in mined tonnes and tonnes processed is reflective of the investment
in the new owner mining fleet and the plant improvement projects,
respectively, which are expected to continue to ramp up in 2024.
Production
(thousands of tonnes)
150
100
50
0
121
(267M lbs)
118
(260M lbs)
120
to
140
2022
2023
2024 (est)a
a. Based on the midpoint of the guidance range.
In 2023, cost of sales per pound7 and total C1 cash costs per pound6
increased by 20% and 21%, respectively, compared to the prior year,
mainly due to lower grades processed, lower recoveries and to a lesser
extent lower capitalized waste stripping. All-in sustaining costs per
pound6 in 2023 decreased by 4% compared to the prior year, mainly
due to lower minesite sustaining capital expenditures6, partially offset
by higher C1 cash costs per pound6.
2022
2023
2024 (est)a
Cost of Sales
Total Cash Costs
AISC
a. Based on the midpoint of the guidance range.
In 2023, capital expenditures decreased by 24% compared to the prior
year, primarily related to lower capitalized waste stripping, reflecting
the improvement in mining unit costs despite the higher tonnes mined.
This was partially offset by higher project capital expenditures6 related
to the investment in the new owner mining fleet.
2023 compared to Guidance
Copper produced (M lbs)
Cost of sales7 ($/oz)
Total cash costs6 ($/oz)
All-in sustaining costs6 ($/oz)
2023 Actual
2023 Guidance
260
2.91
2.29
3.48
260 – 290
2.45 – 2.75
2.00 – 2.20
3.20 – 3.50
Copper production in 2023 was at the bottom of the guidance range
due to lower recoveries from the historic stockpiles and bringing
the 2024 trunnion change-out forward into 2023 to reduce the risk
of unplanned stoppages at the plant. Cost of sales per pound7 and
total C1 cash costs per pound6 were above the guidance ranges,
mainly due to the impact of lower than expected sales volumes. All-in
sustaining costs per pound6 were within the guidance range resulting
from lower capitalized waste stripping due to the focus on ore delivery,
and lower unit costs in waste mining as we continue to ramp up tonnes
and improve mining efficiencies.
97
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Other Mines – Copper
Summary of Operating and Financial Data
12/31/23
9/30/23
For the three months ended
Copper
production
(millions of
pounds)
Cost of
sales
($/lb)
C1 cash
costs
($/lb)a
All-in
sustaining
costs
($/lb)a
Capital
Expend-
ituresb
Copper
production
(millions of
pounds)
Cost of
sales
($/lb)
C1 cash
costs
($/lb)a
All-in
sustaining
costs
($/lb)a
Capital
Expend-
ituresb
Zaldívar (50%)
Jabal Sayid (50%)
23
17
3.85
1.59
2.93
1.32
3.51
1.50
16
8
22
18
3.86
1.72
2.99
1.45
3.39
1.64
8
6
a. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
b. Includes both minesite sustaining and project capital expenditures. Further information on these non-GAAP financial measures, including detailed reconciliations,
is included on pages 115 to 141 of this MD&A.
Zaldívar (50% basis), Chile
Copper production for Zaldívar in the fourth quarter of 2023 was in
line with the prior quarter. Cost of sales per pound7 was in line with
the prior quarter with lower C1 cash costs per pound6 largely offset
by higher depreciation. C1 cash costs per pound6 in the fourth quarter
of 2023 was 2% lower than the prior quarter, with the prior quarter
including costs associated with the conclusion of the labor agreement.
All-in sustaining costs per pound6 increased by 4% compared to
the prior quarter, primarily due to higher minesite sustaining capital
expenditures6 driven by increased spend on components and asset
replacements as part of an asset integrity program, partially offset by
lower C1 cash costs per pound6. This investment, of which we are not
the operator, continues to be a non-core part of our portfolio.
Copper produced (M lbs)
Cost of sales7 ($/lb)
C1 cash costs6 ($/lb)
All-in sustaining costs6 ($/lb)
2023 Actual
2023 Guidance
89
3.83
2.95
3.46
100 – 110
3.40 – 3.70
2.60 – 2.80
2.90 – 3.20
Copper production in 2023 was below the guidance range, mainly due
to limited heap leach stacking availability and lower than expected
leach recoveries. All cost metrics were above the guidance ranges
mainly due to lower production and sales volumes, higher consumables
prices, as well as higher maintenance costs.
Jabal Sayid (50% basis), Saudi Arabia
Jabal Sayid’s copper production in the fourth quarter of 2023 was
slightly below the prior quarter driven by lower throughput, as per
the plan. Cost of sales per pound7 and C1 cash costs per pound6
in the fourth quarter of 2023 were 8% and 9% lower, respectively,
mainly due to the impact of increased gold by-product credits.
All-in sustaining costs per pound6 was 9% lower than the prior
quarter, mainly due to lower C1 cash costs per pound6, while minesite
sustaining capital expenditures6 remained in line with the prior quarter
on a per pound basis.
Copper produced (M lbs)
Cost of sales7 ($/lb)
C1 cash costs6 ($/lb)
All-in sustaining costs6 ($/lb)
2023 Actual
2023 Guidance
71
1.60
1.35
1.53
65 – 75
1.80 – 2.10
1.50 – 1.70
1.60 – 1.90
Copper production in 2023 was at the upper end of the guidance
range. All cost metrics were below the guidance ranges due to higher
than expected by-product credits as well as lower shipping rates
achieved.
GROWTH PROJECT UPDATES
Goldrush Project, Nevada, USA17
Goldrush, which is included within Cortez, is expected to be a long-
life underground mine with anticipated annual production in excess
of 400,000 ounces per annum (100% basis) by 2028 and reach
commercial production in 2026.
The ROD was issued on December 8, 2023 and work subsequently
commenced on surface infrastructure accesses. The mine is now in
a position to complete the construction of the first ventilation raise,
alleviating the ventilation constraints on the mine and allowing for
expanded mining and development areas.
In the fourth quarter, geotechnical drilling was completed for
installation of ventilation raise 1. Underground exploration and
development of the future Goldrush mine and the construction
schedule is on track to start at the end of the first quarter 2024. Surface
access in Horse Canyon will continue along with water management
infrastructure work in the Pine Valley district. Recruitment of
experienced miners continues to ramp up albeit slower than planned.
Delivery of production equipment was on track with more equipment
delivered in the fourth quarter.
As at December 31, 2023, project spend was $382 million on a
100% basis (including $11 million in the fourth quarter of 2023) inclusive
of the exploration declines. This capital spent to date, together with
the remaining expected pre-production capital, is still anticipated to be
near the approximate $1 billion initial capital estimate for the Goldrush
project (100% basis).
Fourmile, Nevada, USA
Fourmile is the wholly-owned Barrick asset in Nevada and has the
potential to form a core component of Cortez in the future, one of
Barrick’s Tier One Gold Assets1. The current focus is on exploration
drilling with promising results to date, highlighted in the Exploration
section, which support the potential to significantly increase the
modeled extents of the declared mineral resource within the two
kilometers of prospective Wenban stratigraphy, as well as uplift the
grade. A dedicated Barrick project development team and budget
are targeting the extension of the existing mineral resources through
the Sophia and Dorothy targets, while also assessing options for an
independent exploration decline access. One such option that is
being assessed is a surface portal from Rangefront North / Bullion
Hill, which would decouple the development of the project from
the existing Goldrush development but ultimately complement the
current Goldrush multi-purpose development. Footwall development
along the strike of the Fourmile orebodies would initially be used for
the pre-feasibility drilling and then later be re-used for mine haulage.
Barrick anticipates Fourmile will be contributed to the NGM joint
venture if certain criteria are met following the completion of drilling
and the requisite feasibility work. In 2024, we are planning to spend
approximately $40 million on drilling, evaluation and modelling with a
view to commence a pre-feasibility study at the end of 2024.
98
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS
NGM TS Solar Project, Nevada, USA
The TS Solar project is a 200 MW photovoltaic solar farm located
adjacent to NGM’s TS Power Plant and interconnected with the
existing plant transmission infrastructure. Upon completion, the project
will supply renewable energy to NGM’s operations and is expected to
deliver a reduction of 254kt of CO2 equivalent emissions per annum,
equating to an 8% decrease from NGM’s 2018 baseline.
Array construction advanced ahead of schedule in the fourth
quarter of 2023. Mechanical installation was substantially completed
for piles and trackers. All modules were received on site and module
installation exceeded plan, attributed to increased contractor resources
driving higher than planned construction. Module installation is now
95% complete with remaining modules withheld to allow adequate
room for cable termination at the power conversion skids. Installation
crews have largely demobilized and remaining modules will be installed
as cable termination work is completed.
Commissioning for the solar substation and half the array (100 MW)
was completed in the fourth quarter of 2023. All pre-commissioning
checks were completed, the substation was interconnected to the
power utility transmission line, and the array was energized to produce
power to the grid in December 2023.
As at December 31, 2023, project spend was $283 million
(including $34 million in the fourth quarter of 2023) out of an estimated
capital cost of $290-$310 million (100% basis).
Donlin Gold, Alaska, USA
Over the past three years the Donlin Gold team’s focus has centered
on building ore body knowledge around the controls on mineralization
through detailed mapping and infill grid drilling. The tightly spaced
drill grids focused on the deposit’s three main structural domains
(ACMA, Lewis and Divide) and supported the classification of inferred
and indicated resources in the current Donlin resource estimate, but
have not yet defined a spacing that would support the declaration of
measured resources, as per Barrick end of year 2023 updated Mineral
Reserves and Resources disclosure. Trade-off studies and analysis
on project assumptions, inputs, design components for optimization
(mine engineering, metallurgy, hydrology, power, and infrastructure)
were also conducted and will continue into 2024.
Donlin Gold, in collaboration with Calista Corporation (“Calista”)
and The Kuskokwim Corporation (“TKC”), supported important
initiatives in the Yukon- Kuskokwim (Y-K), including education, health,
safety, cultural traditions, and environmental programs. Further, Donlin
Gold collaborated with Calista and the village of Crooked Creek and
engaged state officials, the U.S. Army Corps of Engineers, members
of the U.S. congressional delegation, and with senior leadership from
the U.S. Department of the Interior as part of ongoing outreach to
emphasize the thoroughness of the project’s environmental review and
permitting procedures, as well as on the strong partnership between
Donlin Gold and the Native Alaskans who own the mineral resource
and land. The Donlin Gold team also restored the stream and riparian
habitat for aquatic life on a nearby historic placer site that is unrelated
to the Donlin property.
Looking forward to 2024, the board of Donlin Gold approved a
$28.5 million budget (100% basis) with workstreams focused on
continuing to move the Donlin Gold project up the value curve. Focus
will continue to be on: optimizing the infrastructure, mine design,
and flow sheet; mitigating the technical challenges; advancing the
remaining project permitting; defending challenges to the existing
permits; and exploring further partnership opportunities to unlock
value for our Alaskan partners and communities.
Pueblo Viejo Expansion, Dominican Republic18
The Pueblo Viejo plant expansion and mine life extension project is
designed to increase throughput to 14 million tonnes per annum and
sustain gold production above 800,000 ounces per year (100% basis)
going forward.
The construction and commissioning activities for the plant
expansion were substantially completed by the end of 2023, with
both of the new oxygen plants as well as the Vertimil now operational.
Premature equipment failures encountered early in commissioning were
resolved in collaboration with the original equipment manufacturers,
including a new agitator gearbox design installed on all the flotation cells.
As previously disclosed, at the start of the fourth quarter we
experienced the structural failure of the crushed ore stockpile feed
conveyor. While the reconstruction work is underway, the new SAG
mill is being fed through smaller mobile crushers and a temporary
conveyor system running from the gyratory crusher, albeit at a reduced
rate. This reconstruction is expected to be completed in the second
quarter of 2024, which will allow the plant to reach full throughput.
During the first quarter of 2024, the focus will be on the continued
stability and optimization of the flotation circuit.
The technical and social studies for additional tailings storage
capacity (El Naranjo) continued to advance as planned. Geotechnical
drilling and site investigations are ongoing and continue to support the
feasibility study, due for completion in the third quarter of 2024.
The development of a new town and housing complex to resettle
the displaced families is progressing well, with road conditioning done
on the east side of the property and house construction in progress.
As at December 31, 2023, total project spend was $1,027 million
(including $16 million in the fourth quarter of 2023) on a 100% basis.
The estimated capital cost of the plant expansion and mine life
extension project is approximately $2.1 billion (100% basis).
Veladero Phase 7 Leach Pad, Argentina
In November 2021, Minera Andina del Sol approved the Phase 7A
leach pad construction project with Phase 7B subsequently approved
in the third quarter of 2022. Construction on both phases includes
sub-drainage and monitoring, leak collection and recirculation,
impermeabilization, as well as pregnant leaching solution collection.
Additionally, the north channel will be extended along the leach
pad facility.
Construction of Phase 7A was completed on budget at a cost of
$81 million (100% basis). Construction of Phase 7B began during the
third quarter of 2023 and is scheduled for completion in 2024.
Overall for Phase 7, as at December 31, 2023, project spend was
$112 million (including $10 million in the fourth quarter of 2023) out of
an estimated capital cost of $160 million (100% basis).
Reko Diq Project, Pakistan
On December 15, 2022, Barrick completed the reconstitution of the
Reko Diq project in Pakistan’s Balochistan province. The completion
of this transaction involved, among other things, the execution of all of
the definitive agreements including the mineral agreement stabilizing
the fiscal regime applicable to the project, as well as the grant of mining
leases, an exploration license, and surface rights. This completed
the process that began earlier in 2022 following the conclusion of
a framework agreement among the Governments of Pakistan and
Balochistan province, Barrick and Antofagasta plc, which provided a
path for the development of the project under a reconstituted structure.
The project, which was suspended in 2011 due to a dispute over
the legality of its licensing process, hosts one of the world’s largest
undeveloped open pit copper-gold porphyry deposits.
The reconstituted project is held 50% by Barrick and 50%
by Pakistani stakeholders, comprising a 10% free-carried, non-
contributing share held by the Provincial Government of Balochistan,
an additional 15% held by a special purpose company owned by the
Provincial Government of Balochistan and 25% owned by other federal
state-owned enterprises. Barrick is the operator of the project. The
key fiscal terms for Reko Diq are a 5% NSR payable to the Provincial
Government of Balochistan, a 1% NSR final tax regime payable
to the Government of Pakistan (subject to a 15-year exemption
following commercial production), and a 0.5% NSR export processing
zone surcharge.
Barrick has started a full update of the project’s 2010 feasibility
and 2011 expansion PFS. The Reko Diq feasibility study update is
expected to be completed by the end of 2024, with 2028 targeted for
first production.
99
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS During 2023, the project team continued to advance the feasibility
study, with engineering consultants engaged to advance key areas
and commence basic engineering. Personnel continued to be
recruited and mobilized for the project with the majority of new hires
from Balochistan. The site works were advanced with a focus on early
works infrastructure. The last school was established at one of the four
closest communities during the fourth quarter, which completes the
initial education program with each of the four closest communities
now having schools and teachers in place in line with our community
development commitments. The regional Nok Khundi hospital
commenced construction during the fourth quarter.
As at December 31, 2023, year-to-date project spend was
$60 million (including $25 million in the fourth quarter of 2023) (100%
basis). This amount is recorded in exploration, evaluation and project
expense and excludes amounts relating to fixed asset purchases
that were capitalized. For 2024, we expect to incur approximately
$280 million (100% terms) in capital expenditure and approximately
$100 million in project expenses (100% terms).
Pascua, Chile
An updated Pascua preliminary economic assessment is planned for
2024 to outline project potential scope options, and a closure EIA for
the existing site was submitted during January 2024. The updated
EIA corresponds to the modification of the closure phase of the
Pascua mining project requested by the Chilean Environmental Court,
specifically regarding water management. It intends to return the water
flows and quality to natural conditions. This will entail the removal of
certain infrastructure as per the directive received. The EIA process
will include participatory monitoring, working groups and Indigenous
consultation in line with our ongoing commitments and standards.
Loulo-Gounkoto Solar Project, Mali
This project entails design, supply and install of a 40 MW (48 MW peak)
photovoltaic solar farm with a 36 MVA battery energy storage system
to complement the existing 20 MW plant. We project a reduction of
23 million liters of fuel in the power plant as a result of this project,
which translates to savings of approximately 63kt of CO2 equivalent
emissions per annum. The project was staged in two phases of solar
and battery storage and has been completed 12 months ahead of time.
The final battery energy storage system is scheduled for commissioning
on the grid in the first quarter of 2024. The project schedule status is
99% complete (up from 98% as at September 30, 2023). The ongoing
activities include the optimization of the photovoltaic penetration.
As at December 31, 2023, project spend was $73 million (including
$1 million in the fourth quarter of 2023) and the project is expected
to finish below the original capital cost of approximately $90 million
(100% basis).
Jabal Sayid Lode 1, Saudi Arabia
The scope of this project is to develop and mine a new orebody,
located less than a kilometer from the existing lode at Jabal Sayid.
The project design includes underground capital development as
well as ventilation, paste plant and underground mining infrastructure
upgrades where stoping commenced during the third quarter of
2023. The up-cast ventilation raise bore shaft is fully equipped and
the reaming of the fresh air ventilation shaft has been completed. The
reagent plant and direct flow reactor has been commissioned with
optimization ongoing. Civil, mechanical and electrical construction for
the new paste plant is progressing well. The project is 95% complete
(up from 88% as at September 30, 2023)
As at December 31, 2023, project spend was $42 million (including
$4 million in the fourth quarter of 2023) out of a revised estimated
capital cost of approximately $43 million (100% basis).
Lumwana Super Pit Expansion, Zambia19
The Lumwana Super Pit Expansion is projected to deliver 240,000
tonnes of copper production per year, from a 50mtpa process plant
expansion, with a mine life of more than 30 years. During the fourth
quarter of 2022, we began a transition to an owner-miner fleet for
waste stripping at Lumwana following a study which concluded that
this option could result in a 20% cost reduction within the first five
years versus contracted services. Separately, this strategy positions
the operation well for the Super Pit expansion.
The second phase of resource conversion drilling
in the
Chimiwungo super-pit footprint commenced during the fourth quarter,
with completion due in the first quarter of 2024. Resource conversion
drilling was completed at Kababisa during the quarter. Geometallurgical
samples from the down-dip extension of the Chimiwungo deposit
were processed. These samples showed results that were similar in
hardness to the original sampling campaign completed for the original
Lumwana process design. Flotation work is in progress concurrently
with comminution testing, which will provide inputs into the plant
Feasibility Study design. Geotechnical site investigation drilling of the
PFS project layout continued during the quarter, focusing on the TSF
expansion areas.
Financial models for the project were updated during the fourth
quarter with a new mine plan, fleet and capital schedule. The project
is now closing in on the completion of the PFS, expected by the end
of the first quarter of 2024, with increased confidence in mine planning
and capital spending. Plant ramp-up is planned to occur from 2027-
2028 with a full 50 million tpa run rate expected to be achieved in 2029.
Mining ramp-up would start from 2026 under this timeline, increasing
to 250 million tpa capacity.
A plant feasibility study was commenced during the quarter with
the completion of a competitive tender process which awarded the
contract to Lycopodium. Value engineering studies are in progress
around elements of the comminution circuit, with design work started
on the plant and preliminary scoping completed for the construction
camp. The accelerated feasibility study is scheduled for completion
towards the end of 2024, with pre-construction expected to start in
2025 and 2028 targeted for first production. The plant expansion PFS
completed in the third quarter of 2023 concluded that the 50Mtpa
plant expansion, effectively doubling the existing circuit capable of
delivering 240 thousand tpa, provided the best economic returns.
The TSF MAA was concluded in the fourth quarter, and led straight
into PFS design for the TSF, which was also completed during the
quarter and capital estimates were incorporated into the updated
financial models. The work on the ESIA continued with water well
drilling and aquifer testing in Kababisa, as well as RAP surveys which
were also completed during the fourth quarter.
The owner-miner transition of the waste stripping fleet is being
executed concurrently with the Super Pit PFS, which commenced in
the fourth quarter of 2022. The first deliveries of the owner stripping
fleet were received at the beginning of 2023 with 45 rigid body dump
trucks and twelve excavators now in production. Although the delivery
schedule has experienced delays, the efficiency of the new fleet has
exceeded that of the previous contractor fleet, partially offsetting the
shortfall in waste stripping tonnes experienced at the start of the 2023
year. The remaining and final 10 articulated dump trucks are expected
to be commissioned during the first quarter of 2024.
As at December 31, 2023, project spend on the new fleet was
$115 million (including $13 million in the fourth quarter of 2023, which
includes the 10 trucks highlighted above) out of an estimated capital
cost of approximately $115 million. For 2024, we expect to incur
approximately $110 million in growth capital expenditure related to
early works.
100
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS EXPLORATION AND MINERAL
RESOURCE MANAGEMENT
The foundation of our exploration strategy is a deep organizational
understanding that discovery through exploration is a long-term
investment and the main value driver for the business – not a process.
Our exploration strategy has multiple elements that all need to be in
balance to deliver on Barrick’s business plan for growth and long-term
sustainability.
First, we seek to deliver projects of a short- to medium-term nature
that will drive improvements in mine plans. Second, we seek to make
new discoveries that add to Barrick’s Tier One Gold Asset1 portfolio.
Third, we work to optimize the value of our major undeveloped
projects and finally, we seek to identify emerging opportunities early in
their value chain and secure them by an earn-in or outright acquisition,
where appropriate.
During 2023, our exploration work has expanded in all regions with
the addition of new projects, while ongoing work continues to return
encouraging results at all stages of the target pipeline. In Canada,
we are building a solid portfolio of projects with encouraging early
results which will be drill tested in 2024. In the United States, we have
secured several exciting prospects outside the Carlin district, and
the Nevada exploration team continues to identify new opportunities
around our Carlin operations, most notably this year with high-grade
drill intersections from the northern extensions of Fourmile, confirming
the potential to deliver another Tier One1 deposit in the district. In Latin
America, a portfolio of exciting targets in Peru were progressed and
are permitted for drilling in 2024. We entered Ecuador, completing
initial mapping and geochemical programs across a very prospective
ground position. Around Pueblo Viejo and Veladero, our team continues
to return strong results, identifying new satellite potential at both
operations. In the Africa and Middle East region, we have confirmed
high-grade mineralization on key structures around our deposits in
Mali, DRC, and Côte D’Ivoire and in Tanzania we expanded our ground
holding significantly and have identified multiple alteration systems
beneath cover around North Mara. In Saudi Arabia, early drilling at
the Umm Ad Damar project has identified VMS-style mineralization
and alteration at all targets. We also continue to evaluate opportunities
across the Asia-Pacific region as we progress targets around Reko
Diq in Pakistan and across Japan. Through 2024, we plan to maintain
a healthy balance in our exploration focus between early-stage and
advanced exploration projects to deliver on Barrick’s growth and long-
term business plan.
The following section summarizes the exploration results from the
fourth quarter of 2023.
North America
Carlin, Nevada, USA20, 21, 22, 23
Conversion drilling from the underground continued in the fourth
quarter across the entire Greater Leeville area. Step-out drilling
from surface at the Horsham target intercepted a narrow zone of
mineralization immediately footwall to the camp-scale controlling
Leeville Fault, some 100 meters from underground drilling. Hole HSX-
23002 returned 8.4 meters at 5.85 g/t Au, showing that the system
remains open to the east and north of the existing underground drilling
completed earlier this year (HSC-23001 32.6 meters at 32.88 g/t Au).
South of Leeville, at Rita K, underground step-out drilling targeting
mineralization to the west in Upper Rita K, successfully intersected
high-grade mineralization near the Rodeo Creek and Popovich
contacts (a significant mineral host across the Greater Leeville area).
RKU-23014 returned a total intercept of 18.6 meters at 9.33 g/t Au
(including 6.4 meters TW at 17.69 g/t Au), confirming the presence
of mineralization over 120 meters away from previous underground
drilling at Rita K Lower. Surface follow-up drilling in 2024 aims to
shore-up continuity at Upper Rita K ahead of an exploration decline
being developed here, from which underground conversion drilling
can begin.
At the Ren deposit, step-out surface drilling successfully
intercepted a narrow, high-grade zone of mineralization within a
200 meter gap between historic surface drilling in the northwest and
underground drilling to the southeast of hole REN-23001B. The hole
intersected the targeted Corona dike at a depth of approximately 900
meters downhole and returned 4.7 meters at 24.90 g/t Au, confirming
the continuity of high-grade mineralization and paving the way for
underground platform development in the future to convert more
material to the west.
Three kilometers to the northeast of Leeville, at the Black Pearl
target, framework drilling has intersected potential carbonate host
rocks shallower than anticipated, albeit unaltered. Surface target
delineation work in the area has identified several corridors of
anomalous geochemistry along mapped structures which will be
targeted in 2024.
To the west of Leeville, framework drilling in the sparsely drilled
Little Boulder Basin returned multiple thin high-grade intercepts
including 2.6 meters at 6.35 g/t Au (LBB-23010) within a broader,
27 meter zone of alteration. Consistent with previous results hundreds
of meters to the south, mineralization occurs in sulfidized breccia at
the top of a 200 meter thick package of thrust faulted carbonate rocks.
The altered thrust sequence remains open to the north and will be
evaluated for additional drilling in 2024.
Cortez, Nevada, USA24, 25
Underground drilling focused around the CHUG Hanson target, with
three major step-out holes completed in the fourth quarter to assess
upside potential, outside of the well-defined zone of mineralization
within the Heart of Hanson. Two drill holes returned high-grade, with
CMX-23018 returning the highest gram-meter result at the Hanson
target to date: 33.2 meters at 18.42 g/t Au. This result pushes known
mineralization out some 290 meters from previous drilling and shows
the system remains open to the west. Hole CMX-23017, drilled some
200 meters to the north, returned a narrow intercept of 2.1 meters at
23.15 g/t Au, showing the system also remains open up-plunge. Drilling
in 2024 will continue stepping out from these high-grade intercepts.
At the Robertson open-pit project, step-out drilling to the north
and west around the Distal target continued to support the exploration
upside potential at this target, outside of existing resource pit designs.
Best results include DTL-23012 (8.7 meters TW at 1.06 g/t Au),
and DTL-23013 (7.6 meters TW at 1.77 g/t Au; 9.3 meters TW at
1.78 g/t Au; and, 6.6 meters TW at 1.74 g/t Au), with follow-up drilling
planned in 2024.
Fourmile, Nevada, USA26
At Fourmile, additional drill holes were completed in the fourth quarter
along the prospective corridor between Sophia and Dorothy following
up on FM23-181D (previously reported in the second quarter of 2023;
28.7 meters at 51.10 g/t Au) with two holes intersecting thin, high-
grade mineralization along the Sadler Fault. Hole FM23-188D returned
3.8 meters at 16.26 g/t Au and 1.4 meters at 9.91 g/t Au and drillhole
FM23-187D returned two thin, high-grade intervals of 1.8 meters at
57.23 g/t Au and 2.6 meters at 40.22 g/t Au.
The 2023 drill program at Fourmile has established continuity at
100-200 meter spacing along the Sadler Fault between the Sophia
Zone, currently the north end of the Fourmile resource, and the Dorothy
Zone, a further 750 meters to the north. Additionally, results from
FM23-181D highlight the potential for thick, breccia-hosted bodies
along the prospective corridor. Further infill drilling targeting upside at
Fourmile is planned with an expanded drilling program in 2024.
Turquoise Ridge, Nevada, USA27
Step-out drilling in the southern end of the Turquoise Ridge
Underground intersected a narrow zone of high-grade mineralization
in one of the last drill fans of the year. TUM-23307 returned 4.8 meters
at 95.18 g/t Au (including 2.0 meters at 212.00 g/t Au) within a strongly
sheared package of Lower Comus, proximal to the projection of the
Bullion Fault. Mineralization remains open both down-dip to the east
and along strike to the south, where little to no previous drilling has
tested these depths.
101
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Surface step-out drilling at the southern end of the Mega pit at
Twin Creeks intercepted significant mineralization along the Lopear
Thrust, a known mineral controlling structure within the main portion
of the Mega pit. TSG-23003A returned a thick intercept of 63.3 meters
TW at 4.42 g/t Au, at the base of the projected resource pit design.
At the Mega Feeder target, drilling is in progress on a framework
hole to the north, proximal to the 20K Fault, a Getchell Fault-parallel
structure on the Twin Creeks side of the district. This hole will also
intersect the Nexus Anticline in the favorable middle Comus host
rocks. The hole is currently drilling above target and will be completed
in the first quarter of 2024, but to date, multiple zones of elevated
Carlin chemistry and alteration have been observed in the silicalistic
stratigraphy above the carbonate host rocks at depth. As previously
discussed, the potential for a high-grade, feeder-type target beneath
the Twin Creeks deposit remains high, and continues to be one of the
highest priority target concepts for exploration in the district.
Pearl String, Nevada, USA
A four hole follow-up phase of RC drilling was completed on the Pearl
String property during the fourth quarter. Drilling was designed as 300
to 500 meter step-out holes to the strongest volcanic-hosted high
sulfidation geochemistry and alteration encountered in Phase 1 drilling
earlier in the year, and was focused in the southeast pediment target
area of the property. Assay results are pending, however alteration and
pXRF geochemistry are similar to the previous holes drilled.
Hemlo, Canada28
Reserve conversion drilling from surface targeted E-Zone and Horizon
west of the C-Zone. Drilling confirmed the modeled continuity of
mineralization, while also increasing our understanding of lithological
controls on mineralization in the Horizon zone. Results from Horizon
include 38.4 meters TW at 0.95 g/t Au in drillhole W2381. Results from
E-Zone include 67.9 meters TW at 1.25 g/t Au in drillhole W2368;
10.0 meters TW at 3.98 g/t Au in drillhole W2370; and 22.0 meters
TW at 2.64 g/t Au in drillhole W2371.
Pic, Ontario, Canada
A nine hole drill program was completed in the fourth quarter, testing
targets generated over the last two field seasons by diamond drilling –
Porphyry Lake (two holes), Moses-Beggs Lake (five holes) and Roccian
Lake (two holes). Although localized mineralization was intersected in
each target area, overall grades were low, narrow, and discontinuous
at each target. No further follow-up work is planned at these targets
as mineralization encountered is generally consistent with that
at surface and is interpreted to explain the anomalism that drove
target generation.
Sturgeon, Ontario, Canada
Comprehensive belt scale exploration, including a till survey and
geological prospecting and mapping, identified two priority targets
to be drilled on Sturgeon Lake. Follow-up programs in 2024 include
drilling the Rainbow Trend, a 1.9 kilometer long deformation zone along
the contact between intrusive and mafic volcanic rocks identified on
sparse island outcrops near the south shore of Sturgeon North Arm.
Grab samples in the deformation zone have returned high-grade gold
values up to 141 g/t Au. The East Bay target is a 6 by 4 kilometer gold-
in-till anomaly associated with increased sulfidation and alteration
of intrusive rocks, as well as quartz veins with multiple orientations
cutting the mafic to intermediate host rocks.
to
Patris, Quebec, Canada
Geophysical surveys were completed along the La Pause fault, a major
break separating volcanic rocks to the northeast and sedimentary
rocks
the southwest. A significant chargeability anomaly
corresponds with recently identified altered and folded intrusive rock
within the sedimentary basin (as reported in the third quarter). This
emerging target will be drilled in 2024. A comprehensive drill-for-till
program is also planned to further assess the prospectivity of the
sedimentary basin.
Latin America & Asia-Pacific
Pueblo Viejo, Dominican Republic
At Pueblo Grande Norte, a total of four framework drillholes were
completed. Drill holes identified permeable rocks affected by high-
sulfidation mineralization with strong dissemination of several events of
sulfides. This drilling is opening a new search space several kilometers
to the west of the Montenegro pit. Follow-up drilling will take place
starting in the first quarter of 2024.
At Zambrana, to the southeast of the Moore pit, two drillholes
were completed. Both holes intercepted shallow oxide mineralization
with expected gold mineralization from surface up to approximately
30 to 40 meters (pending laboratory results). At depth, coincident with
the high chargeability IP anomaly, the holes intercepted permeable
rocks affected by PV-type alteration with several events of sulfide
mineralization (assays pending). Follow-up drilling is planned in the
first quarter of 2024.
At Pueblo Grande Sur, located several kilometers to the southeast
of the Moore pit, two targets with coincident soil anomalies and
geophysical anomalies (chargeability) had been identified. Fieldwork
is in progress to define drill targets, with drilling planned in the second
half of 2024.
Regional Exploration, Dominican Republic
A full integration and reinterpretation of legacy data on a consolidated
Barrick property portfolio located in the western Dominican Republic
has been completed. Several areas of interest had been identified with
field work to define the geological framework, mineral potential and
target areas to be conducted during 2024.
Veladero District, Argentina
Following on from the definition of a mineral inventory after the
first diamond drilling campaign at the Morro Escondido target, the
metallurgical sampling program continues as part of the study to
optimize the project economics. The exploration team is evaluating
the geological extensions to mineralization along the La Ortiga
Trend with a large ground Controlled Source Audio Magneto Telluric
(CSAMT) geophysical survey planned during the first half of 2024 from
Cerro Lila in the north of the trend, to the Julieta target area south of
Morro Escondido.
In the fourth quarter of 2023, within the wider La Ortiga Trend,
five targets were tested in the Cerro Lila area, which intersected
weak high sulfidation alteration and structurally controlled gold
mineralization, however, positive porphyry-type evidence was seen,
vectoring towards the Domo Negro target, opening a search space for
gold copper porphyry mineralization. Fieldwork to follow up on these
results is in progress.
The exploration team is conducting field work on the other high
priority targets defined in the Veladero district. During the fourth
quarter, two targets located along the Pascua-Lama trend, Azul and
Domo Fabiana East, were confirmed as high potential areas of interest
for high sulfidation mineralization. Field work is ongoing, aiming to
define drill-ready targets by the second quarter of 2024. Subject to
results, drilling is expected after the Andean winter.
As reported previously, the drilling results at the Antenas-Chispas
target had reduced the search zone to a 1 kilometer by 2 kilometer
area of interest with favorable hydrothermal alteration present. Plans
to return in the fourth quarter of 2023 were pushed to the first quarter
of 2024 due to prioritization of drilling in the Veladero orebody for end
of 2023. This program will test the final zone of interest with two or
three more holes.
Drilling of the Lama targets remains suspended. Geological
reviews of results are ongoing to determine if a follow-up program is
warranted. As previously reported, those targets with a low potential to
pass investment filters have been removed from the portfolio.
Northern Chile
Generative work is ongoing, aiming to secure a strong portfolio of
district-scale projects that provides exploration optionality. During the
fourth quarter, a desktop prospectivity review was completed, and the
team progressed to field-validation of the highest ranked areas.
102
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS El Indio Camp, Chile
In the El Indio district, limited field work resumed after the end of
the winter season, with the team outcrop mapping and conducting
traverses over the areas of interest. Work progressed with selection of
drill contractors and drill collar locating for an additional small drilling
campaign, targeting the potential for a structurally controlled, high-
grade feeder zone in the Sancarron target, which is a follow-up to
drilling completed in 2023.
At the Mizobe project, four holes were completed during the fourth
quarter, for a total of 1,271 meters. Two holes extend the hydrothermal
system intercepted by MZDD23-03 previously reported, 500 meters
to the southeast. This second drilling campaign confirmed a complex
hydrothermal system intersecting evidence of multiple alteration
and mineralization events. A complete set of assay results for the four
drill holes are expected in February. Data integration and interpretation
will follow.
Peru
Field work continues to focus on building a high-quality portfolio of
district-scale projects across the country. Four areas of interest are
advancing in parallel, with projects at different stages, from target
delineation to generative.
Following the consolidation of the Pataqueña District, further
mapping, sampling, and ground geophysical surveys defined four
large targets with favorable geology (alteration and host rocks) in a
promising structural setting. Pataqueña is an intermediate sulfidation
epithermal system. All permits to complete the drilling campaign have
been secured and drill platforms and accesses defined. Drilling is
planned for after the wet season, in the second quarter of 2024.
Following the positive results from early work at the Libelula District,
in the fourth quarter the team completed regional-scale traversing,
confirming new areas of interest between Pierina and Libelula. These
areas were secured with two newly consolidated ground positions for
a total of 140 km2. Detailed geological mapping and sampling will be
conducted during 2024. At Libelula itself, field mapping and sampling
is ongoing, with ground geophysical surveys planned in early 2024,
aiming to have drill-ready targets by the third quarter of 2024.
Reconnaissance field work is planned in two other areas of interest
where Barrick has consolidated a district-scale position.
Ecuador
Following Barrick’s successful participation in a public tender process
(which was conducted by ENAMI EP, the state-owned mining company
of Ecuador) and the signing of a commercial framework agreement
with ENAMI EP, Barrick’s exploration team conducted early regional
reconnaissance prospecting work on various districts found in the
southern Jurassic Belt, which hosts the Mirador and Fruta del Norte
deposits. Early results from such work are positive, confirming the
epithermal and/or porphyry potential of the districts.
Barrick continues to work with ENAMI EP on implementing the
framework agreement.
Porgera, Papua New Guinea
Drilling of the Wangima target resumed in late December 2023, upon
approval of the restart, with two core underground rigs. Additional rigs
will be added to the program in the first quarter of 2024, as operations
ramp back up to full scale. No significant meters were drilled prior to
the end of the year.
Japan Gold Strategic Alliance, Japan
In Japan, four priority projects are advancing, two in the northern
Hokkaido Island (Aibetsu and Hakuryu), one in the central Honshu
Island (Togi) and one in the southern Kyushu Island (Mizobe).
At Aibetsu, a CSAMT survey (4 lines, 16.3 line-kilometers) was
completed, confirming northeast trending structures potentially
associated with low sulfidation mineralization.
At Hakuryu, detailed field mapping and sampling was completed,
identifying an outcropping preserved low sulfidation system. Follow-
up work is planned after winter.
At the Togi project, four lines of CSAMT ground survey were
completed, for a total of eight line kilometers. The survey confirmed
the high potential for a preserved, buried low sulfidation system with
multiple events of alteration and mineralization identified. Drilling is
expected to start in the second half of 2024.
Asia Pacific
The exploration team continues its focus on reviewing and evaluating
new exploration opportunities at different stages across the Asia
Pacific region.
Africa and Middle East
Senegal, Exploration
On the Bambadji joint venture, framework drilling continued on the
26-kilometer prospective corridor of the Bambadji Main Shear Zone.
In the fourth quarter, drilling was carried out at the Gefa target, the
third priority target located in one of the most interesting geological
settings where the first two holes drilled have potentially showed
the first evidence of a contact shear zone and brecciation between
the Faleme and the Kofi Domains. Although all results are pending,
significant alteration intervals and strong sulfide mineralization have
been intersected, confirming the extension of the Gefa mineralized
system down to 375 meters vertical depth. In addition to these targets,
kilometer-scale gaps still exist along the corridor and numerous
programs are being designed to investigate these underexplored
settings with preserved potential for discovery. On the early stage
exploration permits of Bambadji South and Dalema, target generation
will continue while RC drilling will aim to advance priority targets
recently defined by results from auger drilling programs.
Loulo-Gounkoto, Mali29
At Yalea, phase-1 deep framework drilling has commenced and
is ongoing to test the potential for large scale extensions and/or
repetitions of the main high-grade Yalea system at depth beneath
the deposit. Additional near mine targets have been identified along
strike based on field mapping and encouraging rock-chips sampling,
including high-grade values over a 1.5 kilometer strike. Follow-up work
is planned in the first quarter of 2024 to progress the deep and near
surface opportunities around Yalea.
At Baboto, following the encouraging drill results reported last
quarter, a second phase of drilling to assess the deep potential was
completed. The mineralized system is still open and has been extended
to 200 meters vertical depth with the most significant intersection being
open to the north along strike: BNRCDH335: 6.20 meters at 4.41 g/t Au
and 17.5 meters at 2.41 g/t Au, including 4.20 meters at 4.48 g/t Au.
A shallow drill program is also in progress to assess the potential
for additional open cast resources and additional drilling is planned
early in 2024 to assess the potential of the wider system at depth.
At Gounkoto, a geological model review of the Gounkoto deposit
and the primary controlling “Domain Boundary” structure has
highlighted multiple targets. Drilling is in progress to test for a system
replication at depth beneath Main Zone 1 and initial results from an
ongoing framework drilling program along the southern extension of
the Domain Boundary returned strong mineralization in the first hole
(DB1RC055: 24 meters at 2.45 g/t Au) highlighting the potential along
the structure. These key programs will progress through the first
quarter of 2024 with the aim of defining opportunities with significant
impact on the Loulo-Gounkoto life of mine.
103
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS North Mara and Bulyanhulu, Tanzania
At North Mara, framework drilling through post-mineralization cover
and ground geophysics continued along the Gokona corridor this
quarter. RC drilling at Shakta, eight kilometers northwest of Gokona,
has extended the gold-bearing hydrothermal system identified last
quarter to over 500 meters width and one kilometer along strike. Several
holes have returned anomalous halos within Gokona-style altered host
rocks, indicating the potential for a large-scale system. The system
remains open along strike, and further drilling will be completed
early in 2024 to assess the potential of the target to deliver a new
discovery. Framework RC drilling at Tagota commenced this quarter,
located 20 km northwest of Gokona, initial drill holes have delineated
two one-plus kilometer alteration trends with mineralized veining and
disseminated sulfides associated with wide anomalous intersections,
indicative of a hydrothermal system that has the potential to generate
a significant deposit.
At Bulyanhulu, geochemical framework drilling continued within
the northwest tenement holdings, successfully confirming continuity
to Bulyanhulu-type geology and potentially mineralized host structures
beneath the expansive post-mineral lake sediment cover. Assay results
are expected in early 2024 and pending success, further drilling will be
completed, aiming to deliver flexibility to the Bulyanhulu plant.
Lumwana, Zambia
Resource conversion drilling in Kababisa and Kamisengo was
completed during the quarter, with approximately 26,000 meters
drilled on the two deposits. Resource conversion drilling is also taking
place within the Chimiwungo Super Pit footprint and is expected to be
complete by the end of the first quarter of 2024 with 13,000 meters
drilled during the fourth quarter of 2023.
The Lumwana Expansion PFS is expected to be completed by the
end of the first quarter of 2024, and will transition into a Feasibility
Study, due to be completed by the end of 2024.
Jabal Sayid, Kingdom of Saudi Arabia
Exploration within the Jabal Sayid mining license in the fourth quarter
focused on building the geological model at Janob through integration
of drill data with detailed surface mapping along the continuation of
the paleosurface one kilometer southwest of Lode 1. Drilling to fully
assess the depth, strike extent and orientation of the Janob feeder
style mineralization will commence in the first quarter of 2024 in
parallel with a license scale geological review to generate additional
near mine targets.
At the Jabal Sayid South Exploration License, located immediately
south of Jabal Sayid, regional and prospect scale mapping has been
progressing targets along the extension of the prospective stratigraphy.
Framework drilling commenced during the fourth quarter focusing on
the extension of the paleosurface from Jabal Sayid. Targets are being
ranked and prioritized for further drill testing in the first quarter of 2024.
At Umm ad Damar, diamond drilling commenced with a framework
program designed to inform updated geological models for the highest
priority historical prospects. VMS style mineralization has been
intersected at all targets drilled this quarter with assays pending; results
will be integrated into the geological models to identify and prioritize
the highest impact opportunities to progress with further drilling in the
first quarter of 2024. Additionally, the airborne geophysical survey is
also planned to commence in the first quarter alongside a geochemical
drill program to support the generation of additional targets.
Tongon, Côte D’Ivoire
Within the Nielle permit, a new pit optimization on the Koro A2 target
was completed, confirming its potential to become a satellite pit.
Meanwhile, a reconnaissance air core drilling program has extended
the strike of the mineralized system beyond one kilometer within the
neighboring Korokaha North license, where infill and follow-up drilling
will be executed in early 2024. Additionally, target generation programs
including auger drilling and ground geophysical surveys are planned
for the first quarter 2024 to generate new high-impact targets with the
potential to further extend the Tongon life of mine.
At Fonondara, the drill program designed to assess the viability of
the deposit as a satellite for Tongon has been completed, full assay
results and metallurgical test work are pending.
Kibali, DRC30
At KCD, the remaining assay results from the framework drilling
program NW of KCD were received, confirming the presence of a
mineralized system over 500 meters along plunge on the interpreted
CS Domain Boundary, upgrading the potential of the western closure
of the CS Domain Boundary, a mirror setting to the 5000 Lode.
Significant intersections include DDD613: 5.30 meters at 6.68 g/t Au
from 173.1 meters; and DDD611: 5.00 meters at 7.53 g/t Au from
9 meters and 13.55 meters at 2.02 g/t Au from 103 meters. A follow-up
drilling program of eight holes on four fences, designed to define the
geometry of the CS Domain Boundary mineralization near surface, is
in progress.
At Oere, the remaining two drill holes of the framework drilling
program were completed in the fourth quarter, confirming the down dip
extension of the mineralization 200 meters below the existing resource
to 450 meters vertical depth. These results support the continuity of the
system down dip and highlight that high-grade mineralization remains
open at depth. Building on results reported in the third quarter of 2023,
assays received this quarter were highly encouraging, with ORDD0113
returning 9.0 meters at 2.28 g/t Au, ORDD0114 with 22.41 meters at
5.43 g/t Au from 333.24 meters and ORDD0116 with 20.00 meters at
2.44 g/t Au from 359.4 meters. These additional intersections support
the potential of the deposit to deliver a viable underground satellite
approximately 12 kilometers from the plant. Follow-up drill programs
at Oere will be a key exploration focus in 2024. These encouraging
results reinforce the prospectivity of the entire KZ North trend for the
discovery of additional blind high-grade shoots.
At Agbarabo-Rhino, the drilling program targeting the down plunge
extension of the Rhino, Agbarabo and ancillary lodes was completed
this quarter. Results highlight the potential for additional lodes and
the continuity of the main lodes, demonstrated by ADD031 which
intersected 26.71 meters at 6.63 g/t Au from 75.35 meters, related to a
shallow mineralized system representing an opportunity for expanded
open pit potential, and 25.47 meters at 3.64 g/t Au from 216.15
meters, representing the down plunge of the Rhino main mineralization
reinforcing the underground satellite opportunity. The program has
been successful in confirming the 250 meters down plunge extension
of the Rhino Main high-grade mineralization, extending over 130
meters laterally. A follow-up drill program is planned in the first quarter
of 2024 to test the potential of the target to deliver open pit resources
and a significant underground satellite for the Kibali operation.
At Zambula, a follow-up drilling program of 24 RC holes started
this quarter to test the open pit potential of the approximately two
kilometers strike length of the Zambula-Maban shear corridor
located within 15 kilometers of the plant. Drilling is in progress with
encouraging results received to date indicating higher-grade zones
within the multi-kilometer strike of the structure. Key results are
headlined by ZBRC0025, which returned a 100 meter wide zone of
nearly continuous mineralization containing two high-grade intervals of
19.00 meters at 5.24 g/t Au and 19.00 meters at 5.44 g/t Au, in addition
to other significant results including: ZBRC0027 26.00 meters at
1.74 g/t Au (including 3.00 meters at 3.81 g/t Au); ZBRC0032
8.00 meters at 7.80 g/t Au (including 4.00 meters at 13.24 g/t Au);
ZBRC0033 16.00 meters at 2.0 g/t Au (including 6.00 meters at
3.94 g/t Au). Drilling will be completed early in 2024.
104
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS REVIEW OF FINANCIAL RESULTS
Revenue
Attributable Gold Production Variance (000s oz)
Q4 2023 compared to Q3 2023
($ millions, except
per ounce/pound
data in dollars)
Gold
000s oz solda
000s oz
produceda
Market price ($/oz)
Realized price
($/oz)b
Revenue
Copper
millions lbs solda
millions lbs
produceda
Market price ($/lb)
Realized price
($/lb)b
Revenue
Other sales
For the
three months ended
For the years ended
12/31/23
9/30/23 12/31/23 12/31/22 12/31/21
1,042
1,027
4,024
4,141
4,468
1,054
1,971
1,986
2,767
1,039
1,928
1,928
2,588
4,054
1,941
4,141
1,800
4,437
1,799
1,948
1,795
1,790
10,350
9,920
10,738
117
101
408
445
423
113
3.70
3.78
226
66
112
3.79
3.78
209
65
420
3.85
3.85
795
252
440
3.99
3.85
868
225
415
4.23
4.32
962
285
Total revenue
3,059
2,862
11,397
11,013
11,985
a. On an attributable basis.
b. Further information on these non-GAAP financial measures, including detailed
reconciliations, is included on pages 115 to 141 of this MD&A.
Our 2023 gold production of 4.05 million ounces was slightly below the
guidance range of 4.2 to 4.6 million ounces. As previously disclosed,
this was mainly due to lower than planned production at Pueblo Viejo
due to lower throughput associated with the delayed commissioning
and ramp-up of the expanded processing plant. This was combined
with lower than planned production at NGM, mainly at Carlin as
production was impacted primarily by unplanned downtime at the
Goldstrike autoclave in the second half of the year, and at Cortez
due to lower than forecasted oxide grades out of Crossroads and the
slower than expected ramp-up at Goldrush which was partly due to
the delay in receiving the ROD (the ROD was received late in the fourth
quarter). As expected and previously disclosed, copper production of
420 million pounds for 2023 was within the guidance range of 420 to
470 million pounds.
Q4 2023 compared to Q3 2023
In the fourth quarter of 2023, gold revenues increased by 7% compared
to the prior quarter primarily due to a higher realized gold price6,
combined with higher sales volume. The average realized price for the
three month period ended December 31, 2023 was $1,986 per ounce
versus $1,928 per ounce for the prior quarter. During the fourth quarter
of 2023, the gold price ranged from $1,811 per ounce to an all-time
nominal high of $2,135 per ounce and closed the quarter at $2,078
per ounce. Gold prices in the fourth quarter of 2023 continued to be
volatile as a result of expectations for benchmark interest rate cuts,
a weakening trade-weighted US dollar, and geopolitical concerns,
including the conflicts in the Middle East and the ongoing conflict in
Ukraine.
Q3 2023
Cortez (61.5%)
Other
Pueblo Viejo (60%)
Turquoise Ridge (61.5%)
North Mara (84%)
Bulyanhulu (84%)
Carlin (61.5%)
Kibali (45%)
Loulo-Gounkoto (80%)
Q4 2023
25
13
11
1
1,039
(3)
(5)
(6)
(6)
(15)
1,054
In the fourth quarter of 2023, attributable gold production was
15 thousand ounces higher than the prior quarter, primarily driven
by stronger performance at Cortez mainly due to higher grades,
at Phoenix (included in the “Other” category above) as planned
maintenance was performed in the prior quarter, and at Pueblo Viejo
reflecting higher recovery and higher grades processed. This was
partially offset by lower production at Loulo-Gounkoto, as planned,
due to lower grades processed.
Copper revenues in the fourth quarter of 2023 increased by 8%
compared to the prior quarter, primarily due to higher copper sales
volume, while the realized copper price6 was in line with the prior
quarter. The average market price in the fourth quarter of 2023 was
$3.70 per pound versus $3.79 per pound in the prior quarter. In the
fourth quarter of 2023, the realized copper price6 was higher than the
market copper price due to the impact of positive provisional pricing
adjustments, whereas a small negative provisional pricing adjustment
was recorded in the prior quarter. During the fourth quarter of 2023,
the copper price ranged from $3.56 per pound to $3.95 per pound
and closed the quarter at $3.84 per pound. Copper prices in the fourth
quarter of 2023 were influenced by concerns about slowing economic
growth, especially in China, supply disruptions, and a weakening
trade-weighted US dollar.
Attributable copper production in the fourth quarter of 2023 was
in line with the prior quarter, with consistent production across all
three sites.
2023 compared to 2022
In 2023, gold revenues increased by 4% compared to the prior year,
primarily due to a higher realized gold price6, partially offset by a
decrease in sales volumes. The average market gold price for 2023
was $1,941 per ounce compared to $1,800 per ounce in the prior year.
In 2023, attributable gold production was 4,054 thousand ounces,
or 87 thousand ounces lower than the prior year largely driven by
Carlin and Pueblo Viejo. At Carlin, this was mainly related to the
closure of the Gold Quarry concentrator at the beginning of the second
quarter of 2023 and the conversion of the Goldstrike autoclave to a
conventional CIL process in the first quarter of 2023, and at Pueblo
Viejo due to lower grades processed in line with the mine and stockpile
processing plan, lower recovery and lower throughput following the
delayed commissioning and ramp-up of the expanded processing
plant. These impacts were partially offset by increased production
at Cortez due to higher oxide ore tonnes mined and processed from
Crossroads and CHUG (at a higher recovery rate), combined with
higher heap leach production.
105
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Q4 2023 compared to Q3 2023
In the fourth quarter of 2023, cost of sales applicable to gold was
11% higher compared to the prior quarter, primarily as a result of
higher sales volume and higher unit costs at Loulo-Gounkoto, Carlin
and Pueblo Viejo as detailed below. Our 45% interest in Kibali is
equity accounted and we therefore do not include its cost of sales
in our consolidated gold cost of sales. On a per ounce basis, cost
of sales applicable to gold7 and total cash costs per ounce6, after
including our proportionate share of cost of sales at our equity method
investees, were 6% and 8% higher than the prior quarter primarily
due to the impact of lower grades processed at Loulo-Gounkoto and
Carlin, combined with higher electricity, grinding media and plant
maintenance costs, as well as the impact of a 1 in 500 year tropical
storm in November 2023 at Pueblo Viejo.
In the fourth quarter of 2023, gold all-in sustaining costs6 increased
by 9% on a per ounce basis compared to the prior quarter, primarily
due to higher total cash costs per ounce6 as described above,
combined with higher minesite sustaining capital expenditures6.
In the fourth quarter of 2023, cost of sales applicable to copper
was 25% higher than the prior quarter, primarily due to the impact
of higher sales volumes. Our 50% interests in Zaldívar and Jabal
Sayid are equity accounted and therefore we do not include their cost
of sales in our consolidated copper cost of sales. On a per pound
basis, cost of sales applicable to copper7 and C1 cash costs6, after
including our proportionate share of cost of sales at our equity method
investees, increased by 9% and 6%, respectively, compared to the
prior quarter primarily due to lower mining efficiencies as the wet
season commenced, combined with lower grades processed and
lower plant recovery at Lumwana. Cost of sales per pound6 was further
impacted by higher depreciation expense, mainly at Lumwana.
In the fourth quarter of 2023, copper all-in sustaining costs6,
which have been adjusted to include our proportionate share of equity
method investees, were 3% lower per pound than the prior quarter,
primarily reflecting lower minesite sustaining capital expenditures6 at
Lumwana mainly related to decreased capitalized waste stripping,
partially offset by higher C1 cash costs per pound6.
2023 compared to 2022
In 2023, cost of sales applicable to gold was 5% higher than the
prior year primarily due to higher throughput to compensate for lower
grades processed, mainly at Cortez and Pueblo Viejo, combined with
higher contractor and maintenance costs, specifically at NGM. This
was partially offset by lower volumes sold. On a per ounce basis, cost
of sales applicable to gold7, after including our proportionate share of
cost of sales at our equity method investees, and total cash costs per
ounce6 were 7% and 11% higher, respectively, than the prior year,
primarily due to lower grades processed and higher contractor and
maintenance costs, as described above.
In 2023, gold all-in sustaining costs per ounce6 increased by
9% compared to the prior year primarily due to higher total cash
costs per ounce6, combined with higher minesite sustaining capital
expenditures6 on a per ounce basis.
In 2023, cost of sales applicable to copper was 9% higher than
the prior year, primarily due to higher site operating costs combined
with higher depreciation, partially offset by lower royalty expenses and
lower volumes sold. Our 50% interests in Zaldívar and Jabal Sayid
are equity accounted and therefore we do not include their cost
of sales in our consolidated copper cost of sales. On a per pound
basis, cost of sales applicable to copper7 and C1 cash costs6, after
including our proportionate share of cost of sales at our equity method
investees, increased by 19% and 21%, respectively, compared to
the prior year, primarily due to lower grades processed and lower
recoveries at Lumwana.
Copper all-in sustaining costs per pound6 were 1% higher than
the prior year, which was a function of the increase in total C1 cash
costs per pound6, largely offset by lower minesite sustaining capital
expenditures6.
Attributable Gold Production Variance (000s oz)
Year ended December 31, 2023
2022
Carlin (61.5%)
Pueblo Viejo (60%)
Bulyanhulu (84%)
North Mara (84%)
Other
Loulo-Gounkoto (80%)
Kibali (45%)
Turquoise Ridge (61.5%)
Cortez (61.5%)
2023
4,141
(98)
(93)
(16)
(10)
(9)
0
6
34
99
4,054
Copper revenues for 2023 were 8% lower compared to the prior year
due to lower copper sales volume, while the realized copper price6 was
in line with the prior year. In 2023, the realized copper price6 was also
in line with the market copper price, whereas a negative provisional
pricing adjustment was recorded in 2022.
Attributable copper production for 2023 was 20 million pounds
lower than the prior year, mainly due to lower grades, tonnes mined
and throughput at Zaldívar, combined with lower grades processed
at Lumwana.
Production Costs
($ millions, except
per ounce/pound
data in dollars)
Gold
Site operating
costs
Depreciation
Royalty expense
Community
relations
Cost of sales
Cost of sales ($/oz)a
Total cash costs
($/oz)b
All-in sustaining
costs ($/oz)b
Copper
Site operating
costs
Depreciation
Royalty expense
Community
relations
Cost of sales
Cost of sales ($/lb)a
C1 cash costs
($/lb)b
All-in sustaining
costs ($/lb)b
For the
three months ended
For the years ended
12/31/23
9/30/23 12/31/23 12/31/22 12/31/21
1,355
1,208
471
92
10
1,928
1,359
427
90
11
1,736
1,277
5,015
1,756
371
36
7,178
1,334
4,678
1,756
342
37
6,813
1,241
4,218
1,889
371
26
6,504
1,093
982
912
960
862
725
1,364
1,255
1,335
1,222
1,026
105
86
16
2
209
2.92
81
70
15
1
167
2.68
401
259
62
4
726
2.90
336
223
103
4
666
2.43
266
197
103
3
569
2.32
2.17
2.05
2.28
1.89
1.72
3.12
3.23
3.21
3.18
2.62
a. Gold cost of sales per ounce is calculated as cost of sales across our gold
operations (excluding sites in closure or care and maintenance) divided by
ounces sold (both on an attributable basis using 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
using Barrick’s ownership share).
b. Further information on these non-GAAP financial measures, including detailed
reconciliations, is included on pages 115 to 141 of this MD&A.
106
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS 2023 compared to Guidance
2023 cost of sales applicable to gold7 and gold total cash costs6 were
$1,334 and $960 per ounce, respectively, which were both higher
than our guidance ranges of $1,170 to $1,250 per ounce and $820
to $880 per ounce, respectively. Gold all-in sustaining costs6 for
2023 of $1,335 per ounce was also higher than the guidance range
of $1,170 to $1,250 per ounce. All gold cost metrics were higher than
the guidance ranges, as previously disclosed, mainly due to lower
production and sales volumes combined with unplanned costs and
changes in the sales mix across the different mine sites. In addition,
the higher realized gold prices led to approximately $15 per ounce
increase in royalties at the group level.
2023 cost of sales applicable to copper7 and copper all-in
sustaining costs6 were $2.90 per pound and $3.21 per pound,
respectively, which were both within our guidance ranges of $2.60 to
$2.90 per pound and $2.95 to $3.25 per pound, respectively. 2023 C1
cash costs6 of $2.28 per pound was slightly higher than our guidance
range of $2.05 to $2.25 per pound.
Capital Expendituresa
($ millions)
For the
three months ended
For the years ended
12/31/23
9/30/23 12/31/23 12/31/22 12/31/21
2023 compared to 2022
In 2023, total consolidated capital expenditures on a cash basis
increased by 1% compared to the prior year due to an increase in
project capital expenditures6, while minesite sustaining capital
expenditures6 were relatively consistent with the prior year. Higher
project capital expenditures6 of 2% were mainly due to the TS Solar
project at NGM, as construction began in the fourth quarter of 2022,
combined with the investment in the new owner mining truck fleet at
Lumwana. This was partially offset by lower project spend incurred on
the plant expansion at Pueblo Viejo, as the construction was largely
completed in 2023. Minesite sustaining capital expenditures6 were
consistent with the prior year, as increased spend on processing
facilities and underground development at Carlin, higher capitalized
waste stripping at North Mara, and the commencement of production
at the Gounkoto underground mine were largely offset by lower
capitalized waste stripping at Lumwana.
2023 compared to Guidance
Attributable capital expenditures for 2023 of $2,363 million was
slightly below the midpoint of the guidance range of $2,200 to
$2,600 million. Attributable minesite sustaining capital expenditures6
and attributable project capital expenditures6 of $1,590 million and
$769 million, respectively, were within the guidance ranges of $1,450
to $1,700 million and $750 to $900 million, respectively.
529
2,076
2,071
1,673
General and Administrative Expenses
227
12
969
41
949
29
747
15
($ millions)
569
278
14
861
660
Minesite sustainingb
Project capital
expendituresb,c
Capitalized interest
Total consolidated
capital
expenditures
Attributable capital
expendituresd
2023 Attributable
capital
expenditures
guidanced
768
3,086
3,049
2,435
589
2,363
2,417
1,951
$2,200
to
$2,600
a. These amounts are presented on a cash basis.
b. Further information on these non-GAAP financial measures, including detailed
reconciliations, is included on pages 115 to 141 of this MD&A.
c. Project capital expenditures are included in our calculation of all-in costs, but
not included in our calculation of all-in sustaining costs.
d. These amounts are presented on the same basis as our guidance on page 65.
Q4 2023 compared to Q3 2023
In the fourth quarter of 2023, total consolidated capital expenditures
on a cash basis were 12% higher than the prior quarter due to an
increase in both project capital expenditures6 and minesite sustaining
capital expenditures6. Project capital expenditures6 increased by 22%,
primarily due to the continued development of the TS Solar project
at NGM, combined with the progress at the Yalea South project at
Loulo-Gounkoto. Minesite sustaining capital expenditures6 increased
by 8% compared to the prior quarter, primarily at Cortez which was
mainly due to more of the new truck fleet being commissioned in the
fourth quarter of 2023, partially offset by decreased capitalized waste
stripping at Lumwana.
For the
three months ended
For the years ended
12/31/23
9/30/23 12/31/23 12/31/22 12/31/21
27
2
29
23
7
101
125
118
25
34
33
30
126
159
151
~$180
Corporate
administration
Share-based
compensationa
General &
administrative
expenses
2023 General &
administrative
expenses
guidance
a. Based on US$18.09 share price as at December 31, 2023 (September 30,
2023: US$15.79; 2022: US$17.21; 2021: US$19.00).
Q4 2023 compared to Q3 2023
In the fourth quarter of 2023, general and administrative expenses
were in line with the third quarter of 2023, as lower share-based
compensation was largely offset by higher corporate administrative
expenses.
2023 compared to 2022
General and administrative expenses in 2023 decreased by $33 million
compared to the prior year due to lower corporate administration
expenses attributed to reductions in IT and consulting costs. This was
combined with lower share-based compensation expense as a result
of a lower volume of shares vested during the current year, partially
offset by an increase in our share price.
2023 compared to Guidance
General and administrative expenses in 2023 of $126 million were
lower than guidance of ~$180 million. Corporate administration
expenses of $101 million was below our guidance of ~$130 million,
highlighting the continued benefit of our cost discipline, while share-
based compensation expenses of $25 million was lower than our
guidance of ~$50 million due to a lower volume of shares vested
during the current year.
107
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Exploration, Evaluation and Project Costs
Finance Costs, Net
($ millions)
For the
three months ended
For the years ended
($ millions)
12/31/23
9/30/23 12/31/23 12/31/22 12/31/21
For the
three months ended
For the years ended
12/31/23
9/30/23 12/31/23 12/31/22 12/31/21
143
123
122
60
37
26
4
41
10
14
0
52
24
47
15
10
0
46
3
26
16
Interest expensea
Interest capitalized
Accretion
(Gain)/loss on debt
extinguishment
Other finance costs
Finance income
Finance costs, net
2023 finance costs,
net guidance
88
(15)
23
0
3
(83)
16
100
(12)
22
0
2
(60)
52
387
(42)
87
0
7
(269)
170
$280
to
$320
366
(29)
66
(14)
6
(94)
301
357
(16)
48
0
8
(42)
355
321
275
223
40
75
64
a. For the three months and year ended December 31, 2023, interest expense
includes approximately $7 million and $32 million, respectively, of non-cash
interest expense relating to the gold and silver streaming agreement with
Royal Gold, Inc. (September 30, 2023: $8 million; 2022: $33 million; 2021:
$35 million).
350
287
Q4 2023 compared to Q3 2023
In the fourth quarter of 2023, finance costs, net decreased by 69%
compared to the prior quarter, mainly due to higher finance income.
44
25
11
6
1
8
4
99
4
103
35
16
9
5
1
8
1
75
11
86
Global exploration
and evaluation
Project costs:
Reko Diq
Lumwana
Pascua-Lama
Pueblo Viejo
Other
Corporate
development
Global exploration
and evaluation
and project
expense
Minesite exploration
and evaluation
Total exploration,
evaluation and
project expenses
2023 E&E guidance
2023 project
expense
guidance
2023 total E&E
and project
expenses
guidance
361
$180
to
$200
$220
to
$240
$400
to
$440
Q4 2023 compared to Q3 2023
Exploration, evaluation and project expenses for the fourth quarter of
2023 increased by $17 million compared to the prior quarter. This was
primarily due to higher project costs at Reko Diq due to the ramp-up
of activities at the reconstituted project, combined with higher global
exploration and evaluation costs mainly in the Latin America and Asia-
Pacific region due to increased drilling activity with the end of winter in
the southern hemisphere.
2023 compared to 2022
Exploration, evaluation and project costs for 2023 increased by
$11 million compared to the prior year, primarily due to higher project
costs. This was mainly due to higher project costs at Reko Diq due to
the ramp-up of activities at the reconstituted project and PFS work
for the Lumwana Super Pit. This was partially offset by lower project
costs at Pascua-Lama and at Pueblo Viejo as the technical and social
studies for additional TSF capacity were completed at the end of 2022,
as well as lower minesite exploration and evaluation costs, mainly in
the Africa and Middle East region.
2023 compared to Guidance
Exploration, evaluation and project expenses for 2023 of $361 million
were lower than the guidance range of $400 to $440 million.
Exploration and evaluation costs of $183 million were at the low end of
the guidance range of $180 to $200 million, while project expenses of
$178 million were below the guidance range of $220 to $240 million,
mainly due to timing of Reko Diq expenditures.
108
2023 compared to 2022
In 2023, finance costs, net were 44% lower than the prior year,
primarily due to higher finance income earned on our cash balance,
partially offset by higher accretion, both resulting from an increase in
market interest rates. In addition to this, interest expense and finance
income were higher versus the prior year period due to the restricted
cash and associated financial liability owed to Antofagasta plc
following the reconstitution of the Reko Diq project, which occurred on
December 15, 2022. The restricted cash of $962 million was remitted
to Antofagasta plc to extinguish the financial liability during the second
quarter of 2023. Finance costs, net were further impacted by a gain on
debt extinguishment mainly related to the repurchase of $319 million
(notional value) of our 5.250% Notes due in 2042, which occurred in
the prior year.
2023 compared to Guidance
Finance costs, net for 2023 of $170 million were lower than the
guidance range of $280 to $320 million, mainly due to higher finance
income earned on our cash balance resulting from an increase in
market interest rates.
Additional Significant Statement of Income Items
($ millions)
For the
three months ended
For the years ended
12/31/23
9/30/23 12/31/23 12/31/22 12/31/21
Impairment charges
(reversals)
Loss on currency
translation
Closed mine
rehabilitation
Other (income)
expense
289
37
51
0
30
(44)
312
1,671
(63)
93
16
16
(136)
29
18
(323)
58
(195)
(268)
(67)
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Impairment Charges (Reversals)
($ millions)
For the
three months ended
For the years ended
12/31/23
9/30/23 12/31/23 12/31/22 12/31/21
Post-tax
(our
share)
Post-tax
(our
share)
Post-tax
(our
share)
Post-tax
(our
share)
Post-tax
(our
share)
Asset impairments
(reversals)
Long Canyon
143
Tanzania
Carlin
Veladero
Lumwana
Reko Diq
Lagunas Norte
Pueblo Viejo
Golden Sunlight
Hemlo
Pascua-Lama
Other
Total asset
impairment
charges
(reversals)
Goodwill
Loulo-Gounkoto
Total goodwill
impairment
charges
Tax effects and NCI
Total impairment
charges
(reversals)
3
2
0
0
0
0
0
0
0
0
0
148
0
0
141
289
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
143
13
2
0
0
0
0
0
0
0
0
5
43
0
0
318
16
(120)
0
0
0
0
0
4
0
3
0
0
0
0
(86)
(2)
12
4
1
4
163
261
(64)
0
0
149
950
950
460
0
0
1
312
1,671
(63)
Q4 2023 compared to Q3 2023
In the fourth quarter of 2023, we recognized $148 million (net of tax
and non-controlling interests) of net impairment charges, mainly due
to a long-lived asset impairment of $143 million (net of tax and non-
controlling interests) at Long Canyon as we have decided at this time
not to pursue the permitting associated with Phase 2 mining, have
removed those ounces from our LOM plan and the mine has been
placed on care and maintenance following the completion of further
studies. In the third quarter of 2023, there were no impairment charges.
2023 compared to 2022
In 2023, we recognized $163 million (net of tax and non-controlling
interests) of net asset impairment charges, mainly due to a long-
lived asset impairment of $143 million (net of tax and non-controlling
interests) at Long Canyon, as described above. This compares to net
impairment charges of $261 million (net of tax and non-controlling
interests) in 2022, mainly due to non-current asset impairments of
$318 million (net of tax) at Veladero and $43 million (net of tax and
non-controlling interests) at Long Canyon, partially offset by an
impairment reversal of $120 million (no tax or non-controlling interest
impact) on our previously held 37.5% interest in Reko Diq. In addition,
we recognized a goodwill impairment of $950 million in 2022 related
to Loulo-Gounkoto.
Refer to note 21 to the Financial Statements for a full description
of impairment charges, including pre-tax amounts and sensitivity
analysis.
Loss on Currency Translation
Q4 2023 compared to Q3 2023
Loss on currency translation in the fourth quarter of 2023 was
$37 million compared to $30 million in the prior quarter. The losses
in the current quarter mainly related to unrealized foreign currency
translation losses from the depreciation of the Argentine peso, while
the losses in the prior quarter mainly related to the devaluation of the
Chilean peso, the Argentine peso and the West African CFA franc.
These currency fluctuations resulted in a revaluation of our local
currency denominated value-added tax receivable and local currency
denominated payable balances.
2023 compared to 2022
Loss on currency translation for 2023 was $93 million compared to
$16 million in the prior year. The losses in both years mainly related
to unrealized foreign currency losses from the Argentine peso and
to a lesser extent, the Zambian kwacha. 2023 was further impacted
by the depreciation of the West African CFA franc, while 2022 was
partially offset by the appreciation of the West African CFA franc.
These currency fluctuations resulted in a revaluation of our local
currency denominated value-added tax receivable and local currency
denominated payable balances.
Closed mine rehabilitation
Q4 2023 compared to Q3 2023
Closed mine rehabilitation in the fourth quarter of 2023 was an
expense of $51 million compared to a gain of $44 million in the prior
quarter, mainly due to a decrease in the market real risk-free rate used
to discount the closure provision during the current period, whereas
the market real risk-free rate increased in the prior quarter. The current
quarter was further impacted by higher closure cost estimates at
various closure sites.
2023 compared to 2022
Closed mine rehabilitation for 2023 was an expense of $16 million
compared to a gain of $136 million in the prior year. The expense
mainly related to a decrease in the market real risk-free rate used to
discount the closure provision in the current period, while the market
real risk-free rate increased in the prior year.
Other (Income) Expense
Q4 2023 compared to Q3 2023
In the fourth quarter of 2023, other income was $323 million compared
to other expense of $58 million in the prior quarter. Other income in the
fourth quarter of 2023 mainly related to a gain of $352 million as the
conditions for the reopening of the Porgera mine were completed on
December 22, 2023. This was partially offset by care and maintenance
expenses incurred at Porgera during the quarter. In the prior quarter,
other expense primarily related to care and maintenance expenses at
Porgera, as well as litigation accruals and settlements.
2023 compared to 2022
Other expense was $195 million in 2023 compared to other
income of $268 million in the prior year. In 2023, other expense
mainly related to care and maintenance expenses at Porgera, the
$30 million commitment we made towards the expansion of education
infrastructure in Tanzania per our community investment obligations
under the Twiga partnership, combined with litigation accruals and
settlements. This was partially offset by a gain of $352 million as the
conditions for the reopening of the Porgera mine were completed on
December 22, 2023. In 2022, other income mainly related to a fair value
gain of $300 million on the additional interest in the Reko Diq project
and the combined $63 million gain on the sale of two royalty portfolios,
partially offset by care and maintenance expenses at Porgera and
supplies obsolescence at Bulyanhulu and North Mara.
For a further breakdown of other expense (income), refer to note 9
to the Financial Statements.
109
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Income Tax Expense
Income tax expense was $861 million in 2023. The unadjusted effective
income tax rate for 2023 was 31% of the income before income taxes.
The underlying effective income tax rate on ordinary income
for 2023 was 24% after adjusting for the impact of net impairment
charges; the impact of the sale of non-current assets, including the
reorganization of Porgera; the resolution of uncertain tax positions; the
impact of foreign currency translation losses on current and deferred
tax balances; the impact of the recognition and derecognition of
deferred tax assets; the impact of prior year adjustments; the impact
of updates to the rehabilitation provision for our non-operating mines;
the impact of non-deductible foreign exchange losses; the impact of
the Porgera mine being on care and maintenance until December 22,
2023; and the impact of other expense adjustments.
We record deferred tax charges or credits if changes in facts
or circumstances affect the estimated tax basis of assets and
therefore, the expectations in our ability to realize deferred tax assets.
The interpretation of tax regulations and legislation as well as their
application to our business is complex and subject to change. We
have significant amounts of deferred tax assets, including tax loss
carryforwards, and also deferred tax liabilities. We also have significant
amounts of unrecognized deferred tax assets (e.g. for tax losses in
Canada). Potential changes in any of these amounts, as well as our
ability to realize deferred tax assets, could significantly affect net
income or cash flow in future periods. For further details on income tax
expense, refer to note 12 to the Financial Statements.
Reconciliation to Canadian Statutory Rate
For the years ended
At 26.5% statutory rate
12/31/23
12/31/22
746
446
Increase (decrease) due to:
Allowances and special tax deductionsa
Impact of foreign tax ratesb
Non-deductible expenses /
(non-taxable income)
Goodwill impairment charges not
tax deductible
Taxable gains on sales of
non-current assets
Net currency translation losses on
current and deferred tax balances
Tax impact from pass-through entities
and equity accounted investments
Current year tax results sheltered
by previously unrecognized deferred
tax assets
Recognition and derecognition
of deferred tax assets
Adjustments in respect of prior years
Increase to income tax related
contingent liabilities
Impact of tax rate changes
Withholding taxes
Mining taxes
Tax impact of amounts recognized
within accumulated OCI
Other items
Income tax expense
(184)
(79)
72
0
6
289
(146)
(146)
(38)
325
1
59
(183)
(196)
(22)
(142)
23
54
(2)
61
224
(2)
–
861
33
15
17
13
0
82
201
(7)
5
664
a. We are able to claim certain allowances, incentives and tax deductions unique
to extractive industries that result in a lower effective tax rate.
b. We operate in multiple foreign tax jurisdictions that have tax rates different
than the Canadian statutory rate.
The more significant items impacting income tax expense in 2023 and
2022 include the following:
Currency Translation
Current and deferred tax balances are subject to remeasurement
for changes in foreign currency exchange rates each period. This
is required in countries where tax is paid in local currency and the
subsidiary has a different functional currency (typically US dollars). The
most significant relate to Argentine and Malian tax balances.
In 2023 a tax expense of $289 million arose from translation losses
on tax balances, mainly due to the weakening of the Argentine peso
and strengthening of the West African CFA franc against the US dollar.
In 2022, a tax expense of $59 million arose from translation losses on
tax balances, mainly due to the weakening of the Argentine peso and
the West African CFA franc against the US dollar. These net translation
losses are included within income tax expense.
Withholding Taxes
In 2023, we have recorded $5 million (2021: $66 million) of dividend
withholding taxes related to the undistributed earnings of our
subsidiaries in Saudi Arabia. We have also recorded $26 million (2022:
$36 million, related to Tanzania and the United States) of dividend
withholding taxes related to the distributed earnings of our subsidiaries
in Saudi Arabia, Tanzania and the United States.
Accounting for Joint Ventures and Associates
NGM is a limited liability company treated as a flow through partnership
for US tax purposes. The partnership is not subject to federal income
tax directly, but each of its partners is liable for tax on its share of the
profits of the partnership. As such, Barrick accounts for its current
and deferred income tax associated with the investment (61.5% share)
following the principles in IAS 12.
Mining Taxes
NGM is subject to a Net Proceeds of Minerals tax in Nevada at a
rate of 5% and the tax expense recorded in 2023 was $105 million
(2022: $88 million). The other significant mining tax is the Dominican
Republic’s Net Profits Interest tax, which is determined based on cash
flows as defined by the Pueblo Viejo Special Lease Agreement. A tax
expense of $nil (2022: $110 million) was recorded for this in 2023.
Both taxes are included on a consolidated basis in the Company’s
consolidated statements of income.
United States Tax Reform
In August 2022, President Joe Biden signed the Inflation Reduction
Act (“the Act”) into law. The Act includes a 15% corporate alternative
minimum tax (“CAMT”) that is imposed on applicable financial
statement income and therefore would be considered in scope for
IAS 12 given it is a tax on profits. The CAMT is effective for tax years
beginning after December 31, 2022 and CAMT credit carryforwards
have an indefinite life. Barrick is subject to CAMT because the
Company meets the applicable income thresholds for a foreign-
parented multi-national group.
We are awaiting the final US Treasury Regulations detailing the
application of CAMT.
For 2023, the deferred tax asset arising from the CAMT credit
carryforwards has been recognized on the basis we expect that it will
be recovered against US Federal Income Tax in the future.
Impairments
A deferred tax recovery of $55 million (2022: deferred tax recovery
of $193 million related to impairments at Veladero, Long Canyon
and Lumwana) was recorded primarily related to the impairment at
Long Canyon.
110
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS FINANCIAL CONDITION REVIEW
Summary Balance Sheet and Key Financial Ratios
($ millions, except ratios and share amounts)
As at December 31
Total cash and equivalents
Current assets
Non-current assets
Total Assets
Current liabilities excluding short-term debt
Non-current liabilities excluding long-term debta
Debt (current and long-term)
Total Liabilities
Total shareholders’ equity
Non-controlling interests
Total Equity
Total common shares outstanding (millions of shares)
Key Financial Ratios:
Current ratiob
Debt-to-equityc
2023
4,148
3,290
38,373
45,811
2,345
6,738
4,726
13,809
23,341
8,661
32,002
1,756
3.16:1
0.15:1
2022
4,440
4,025
37,500
45,965
3,107
6,787
4,782
14,676
22,771
8,518
31,289
1,755
2.71:1
0.15:1
2021
5,280
2,969
38,641
46,890
2,071
7,362
5,150
14,583
23,857
8,450
32,307
1,779
3.95:1
0.16:1
a. Non-current financial liabilities as at December 31, 2023 were $5,221 million (2022: $5,314 million; 2021: $5,578 million).
b. Represents current assets (excluding assets held-for-sale) divided by current liabilities (including short-term debt and excluding liabilities held-for-sale) as at
December 31, 2023, December 31, 2022 and December 31, 2021.
c. Represents debt divided by total shareholders’ equity (including minority interest) as at December 31, 2023, December 31, 2022, and December 31, 2021.
Balance Sheet Review
Total assets were $45.8 billion at December 31, 2023, slightly lower
than total assets at December 31, 2022.
Our asset base is primarily comprised of non-current assets such
as property, plant and equipment and goodwill, reflecting the capital-
intensive nature of the mining business and our history of growth
through acquisitions. Other significant assets include production
inventories, indirect taxes recoverable and receivable, concentrate
sales receivables, other government transaction and joint venture
related receivables, and cash and equivalents.
Total liabilities at December 31, 2023 were $13.8 billion, lower
than total liabilities at December 31, 2022. Our liabilities are primarily
comprised of debt, other non-current liabilities (such as provisions
and deferred income tax liabilities), and accounts payable. Both total
assets and total liabilities were lower than total assets and liabilities at
December 31, 2022 primarily due to the restricted cash and associated
financial liability owed to Antofagasta plc following the reconstitution
of the Reko Diq project, which occurred on December 15, 2022. The
restricted cash of $962 million was remitted to Antofagasta plc to
extinguish the financial liability during the second quarter of 2023.
Shareholders’ Equity
February 6, 2024
Common shares
Stock options
Number of shares
1,755,569,554
–
Financial Position and Liquidity
We believe we have sufficient financial resources to meet our business
requirements for the foreseeable future, including capital expenditures,
interest payments, environmental
working capital requirements,
rehabilitation, securities buybacks and dividends.
Total cash and cash equivalents as at December 31, 2023 were
$4.1 billion. Our capital structure comprises a mix of debt, non-
controlling interest (primarily at NGM) and shareholders’ equity. As at
December 31, 2023, our total debt was $4.7 billion (debt, net of cash
and equivalents was $578 million) and our debt-to-equity ratio was
0.15:1. This compares to debt as at December 31, 2022 of $4.8 billion
(debt, net of cash and cash equivalents was $342 million), and a debt-
to-equity ratio of 0.15:1.
In 2024, we have capital commitments of $258 million and expect
to incur attributable sustaining and project capital expenditures6 of
approximately $2,500 to $2,900 million based on our guidance range
on page 65. In 2024, we have contractual obligations and commitments
of $895 million in purchase obligations for supplies and consumables.
In addition, we have $285 million in interest payments and other
amounts as detailed in the table on page 114. We expect to fund
these commitments through operating cash flow, which is our primary
source of liquidity, as well as existing cash balances as necessary. As
discussed on page 63, at the February 13, 2024 meeting, the Board of
Directors authorized a new share buyback program for the purchase
of up to $1 billion of Barrick’s outstanding common shares over the
next 12 months. We did not purchase any shares in 2023 under the
prior share buyback program, which was terminated following the
authorization of the new program.
111
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS We also have a performance dividend policy that will enhance
the return to shareholders when the Company has excess liquidity. In
addition to our base dividend, the amount of the performance dividend
on a quarterly basis will be based on the amount of cash, net of debt,
on our consolidated balance sheet at the end of each quarter as per
the schedule below.
Performance
Dividend
Level
Level I
Level II
Level III
Level IV
Threshold
Level
Net cash
<$0
Net cash
>$0 and
<$0.5B
Net cash
>$0.5B and
<$1B
Net cash
>$1B
Quarterly
Base
Dividend
Quarterly
Performance
Dividend
Quarterly
Total
Dividend
$0.10
per share
$0.10
per share
$0.00
per share
$0.05
per share
$0.10
per share
$0.15
per share
$0.10
per share
$0.10
per share
$0.20
per share
$0.10
per share
$0.15
per share
$0.25
per share
The declaration and payment of dividends is at the discretion of the
Board of Directors, and will depend on the Company’s financial results,
cash requirements, future prospects, the number of outstanding
common shares, and other factors deemed relevant by the Board.
We also repurchased approximately $43 million notional of debt
securities at a discount to par in the fourth quarter of 2023. We may
pursue additional selective repurchases in the future.
Our operating cash flow is dependent on the ability of our operations
to deliver projected future cash flows. The market prices of gold, and
to a lesser extent, copper, are the primary drivers of our operating
cash flow. Other options to enhance liquidity include further portfolio
optimization and the creation of new joint ventures and partnerships;
issuance of equity securities in the public markets or to private
investors, which could be undertaken for liquidity enhancement and/
or in connection with establishing a strategic partnership; issuance of
long-term debt securities in the public markets or to private investors
(Moody’s and S&P currently rate Barrick’s outstanding long-term debt
as investment grade, with ratings of A3 and BBB+, respectively); and
drawing on the $3.0 billion available under our undrawn Credit Facility
(subject to compliance with covenants and the making of certain
representations and warranties, this facility is available for drawdown
as a source of financing). In May 2023, we completed an amendment
of our undrawn $3.0 billion revolving Credit Facility, including an
extension of the termination date by one year to May 2028. The
revolving Credit Facility incorporates sustainability-linked metrics that
are made up of annual environmental and social performance targets
directly influenced by Barrick’s actions, rather than based on external
ratings. The performance targets include Scope 1 and Scope 2 GHG
emissions intensity, water use efficiency (reuse and recycling rates),
and TRIFR8. Barrick may incur positive or negative pricing adjustments
on drawn credit spreads and standby fees based on its sustainability
performance versus the targets that have been set. The Credit Facility
was undrawn as at December 31, 2023. The key financial covenant in
our undrawn credit facility requires Barrick to maintain a net debt to
total capitalization ratio of less than 0.60:1. Barrick’s net debt to total
capitalization ratio was 0.02:1 as at December 31, 2023 (0.01:1 as at
December 31, 2022).
Summary of Cash Inflow (Outflow)
($ millions)
For the
three months ended
For the years ended
12/31/23
9/30/23 12/31/23 12/31/22 12/31/21
Net cash provided
by operating
activities
Investing activities
Capital expenditures
Investment
(purchases)
sales
Dividends
received from
equity method
investments
Divestitures
Other
Total investing
outflows
Financing activities
Net change in debta
Dividendsb
Net disbursements
to non-controlling
interests
Share buyback
program
Return of Capital
Other
Total financing
outflows
Effect of
exchange rate
Increase (decrease)
in cash and
equivalents
997
1,127
3,732
3,481
4,378
(861)
(768)
(3,086)
(3,049)
(2,435)
(26)
3
(23)
381
(46)
114
0
7
74
0
2
273
0
20
869
0
88
520
27
37
(766)
(689)
(2,816)
(1,711)
(1,897)
(45)
(176)
(3)
(56)
(395)
(175)
(700)
(1,143)
(27)
(634)
(138)
(162)
(514)
(833)
(1,092)
0
0
17
0
0
7
0
0
65
(424)
0
191
0
(750)
115
(342)
(333)
(1,205)
(2,604)
(2,388)
(2)
(1)
(3)
(6)
(1)
(113)
104
(292)
(840)
92
a. The difference between the net change in debt on a cash basis and the
net change on the balance sheet is due to changes in non-cash charges,
specifically the unwinding of discounts and amortization of debt issue costs.
b. For the three months and year ended December 31, 2023, we declared and
paid dividends per share in US dollars totaling $0.10 and $0.40, respectively
(September 30, 2023: declared and paid $0.10; 2022: declared and paid
$0.65; 2021: declared and paid $0.36).
Q4 2023 compared to Q3 2023
In the fourth quarter of 2023, we generated $997 million in operating
cash flow, compared to $1,127 million in the prior quarter. The
decrease of $130 million was primarily due to higher interest paid as
a result of the timing of semi-annual interest payments on our bonds,
which occur in the second and fourth quarters. This was combined
with an increased unfavorable movement in working capital, mainly
in accounts receivable driven by higher gold prices and higher sales
volumes, partially offset by a favorable movement in inventory.
Operating cash flow was further impacted by an increase in total/C1
cash costs per ounce/pound6, partially offset by a higher realized gold
price6 and higher gold sales volume.
Cash outflows from investing activities in the fourth quarter of
2023 were $766 million, compared to $689 million in the prior quarter.
The increased outflow of $77 million was primarily due to an increase
in capital expenditures primarily due to the continued development
of the TS Solar project at NGM, combined with the progress at the
Yalea South project at Loulo-Gounkoto. This was combined with our
additional investment in Hercules Silver Corp., partially offset by an
increase in dividends received from equity method investments, in
particular Kibali.
112
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Net financing cash outflows for the fourth quarter of 2023
amounted to $342 million, compared to $333 million in the prior
quarter. The increase of $9 million was primarily due to the repurchase
of approximately $43 million notional of debt securities at a discount
to par in the fourth quarter of 2023, partially offset by lower net
disbursements to non-controlling interests, primarily to Newmont in
relation to their interest in NGM.
2023 compared to 2022
In 2023, we generated $3,732 million in operating cash flow, compared
to $3,481 million in the prior year. The increase of $251 million was
primarily due to lower cash taxes paid and higher interest received on
our cash balances resulting from an increase in market interest rates.
This was partially offset by an increased unfavorable movement in
working capital, mainly in accounts receivable and accounts payable,
partially offset by a favorable movement in inventory and other current
assets. Operating cash flow was further impacted by an increase in
total/C1 cash costs per ounce/pound6, partially offset by a higher
realized gold price6 and higher gold sales volume.
Summary of Financial Instrumentsa
As at December 31, 2023
Cash outflows from investing activities for 2023 were $2,816 million
compared to $1,711 million in the prior year. The increased outflow
of $1,105 million was primarily due to lower cash dividends received
from equity method investments, in particular Kibali, combined with
proceeds received from investment sales in the prior year (which
included the sale of our interests in Endeavour Mining, Skeena
Resources Ltd., i-80 Gold Corp. and Perpetua Resources Corp), and
higher capital expenditures.
Net financing cash outflows for 2023 amounted to $1,205 million,
compared to $2,604 million in the prior year. The lower outflow of
$1,399 million is primarily due to lower dividends paid in the current
year and the repurchase of shares under the share buyback program in
the prior year. This was combined with the repurchase of $375 million
(notional value) of our 5.250% Notes due in 2042 in the prior year and
a decrease in net disbursements paid to non-controlling interests,
primarily to Newmont in relation to their interest in NGM.
Financial Instrument
Principal/Notional Amount
Associated Risks
Cash and equivalents
Accounts receivable
Notes receivable
Kibali joint venture receivable
Norte Abierto joint venture partner receivable
Restricted cash
Other investments
Accounts payable
Debt
Other liabilities
Restricted share units
Deferred share units
$4,148 million
Interest rate
•
• Credit
$693 million
• Credit
• Market
$187 million
$505 million
$81 million
$101 million
Interest rate
•
• Credit
Interest rate
•
• Credit
Interest rate
•
• Credit
Interest rate
•
• Credit
$131 million
• Liquidity
$1,503 million
• Liquidity
$4,747 million
•
Interest rate
$574 million
• Liquidity
$34 million
• Market
$18 million
• Market
a. Refer to notes 25, 26 and 28 to the Financial Statements for more information regarding financial instruments, fair value measurements and financial risk
management, respectively.
113
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS COMMITMENTS AND CONTINGENCIES
Litigation and Claims
We are currently subject to various litigation proceedings as disclosed
in note 35 to the Financial Statements, and we may be involved in
disputes with other parties in the future that may result in litigation.
If we are unable to resolve these disputes favorably, it may have a
material adverse impact on our financial condition, cash flow and
results of operations.
Contractual Obligations and Commitments
In the normal course of business, we enter into contracts that give
rise to commitments for future minimum payments. The following
table summarizes the remaining contractual maturities of our financial
liabilities and operating and capital commitments shown on an
undiscounted basis:
($ millions)
Debta
Repayment of principal
Capital leases
Interest
Provisions for environmental rehabilitationb
Restricted share units
Pension benefits and other
post-retirement benefits
Purchase obligations for supplies
and consumablesc
Capital commitmentsd
Social development costse
Other obligationsf
Total
Payments due as at December 31, 2023
2024
2025
2026
2027
2028
2029 and
thereafter
0
11
285
279
25
5
895
258
26
37
1,821
12
10
285
169
9
5
240
0
15
46
791
47
9
282
116
0
5
179
0
11
53
702
0
9
279
91
0
5
173
0
3
51
611
0
3
278
172
0
4
148
0
4
49
658
4,632
14
2,938
1,775
0
51
192
0
55
505
Total
4,691
56
4,347
2,602
34
75
1,827
258
114
741
10,162
14,745
a. Debt and Interest: Our debt obligations do not include any subjective acceleration clauses or other clauses that enable the holder of the debt to call for early
repayment, except in the event that we breach any of the terms and conditions of the debt or for other customary events of default. We are not required to post
any collateral under any debt obligations. Projected interest payments on variable rate debt were based on interest rates in effect at December 31, 2023. Interest
is calculated on our long-term debt obligations using both fixed and variable rates.
b. Provisions for environmental rehabilitation: Amounts presented in the table represent the undiscounted uninflated future payments for the expected cost of
provisions for environmental rehabilitation.
c. Purchase obligations for supplies and consumables: Includes commitments related to new purchase obligations to secure a supply of consumables such as acid,
tires and cyanide for our production process.
d. Capital commitments: Purchase obligations for capital expenditures include only those items where binding commitments have been entered into.
e. Social development costs: Includes a commitment of $14 million in 2029 and thereafter related to the funding of a power transmission line in Argentina.
f. Other obligations includes the Pueblo Viejo joint venture partner shareholder loan, the deposit on the Pascua-Lama silver sale agreement with Wheaton Precious
Metals Corp., and minimum royalty payments.
REVIEW OF QUARTERLY RESULTS
Quarterly Informationa
($ millions, except where indicated)
Revenues
Realized price per ounce – goldb
Realized price per pound – copperb
Cost of sales
Net earnings (loss)
Per share (dollars)c
Adjusted net earningsb
Per share (dollars)b,c
Operating cash flow
Cash consolidated capital expendituresd
Free cash flowb
2023
2022
Q4
3,059
1,986
3.78
2,139
479
0.27
466
0.27
997
861
136
Q3
2,862
1,928
3.78
1,915
368
0.21
418
0.24
1,127
768
359
Q2
2,833
1,972
3.70
1,937
305
0.17
336
0.19
832
769
63
Q1
2,643
1,902
4.20
1,941
120
0.07
247
0.14
776
688
88
Q4
2,774
1,728
3.81
2,093
(735)
(0.42)
220
0.13
795
891
(96)
Q3
2,527
1,722
3.24
1,815
241
0.14
224
0.13
758
792
(34)
Q2
2,859
1,861
3.72
1,850
488
0.27
419
0.24
924
755
169
Q1
2,853
1,876
4.68
1,739
438
0.25
463
0.26
1,004
611
393
a. Sum of all the quarters may not add up to the annual total due to rounding.
b. Further information on these non-GAAP financial measures, including detailed reconciliations, is included on pages 115 to 141 of this MD&A.
c. Calculated using weighted average number of shares outstanding under the basic method of earnings per share.
d. Amounts presented on a consolidated cash basis.
114
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Our recent financial results reflect our emphasis on cost discipline, an
agile management structure that empowers our site based leadership
teams and a portfolio of Tier One Gold Assets1. This, combined
with a trend of historically elevated gold and copper prices, has
resulted in strong operating cash flows over several quarters. The
positive free cash flow6 generated, together with the proceeds from
various divestitures, have allowed us to continue to reinvest in our
business, strengthen our balance sheet and to return surplus funds
to shareholders.
Net earnings has also been impacted by the following items in
each quarter, which have been excluded from adjusted net earnings6.
In the fourth quarter of 2023, we recorded a gain of $352 million as
the conditions for the reopening of the Porgera mine were completed
on December 22, 2023. In addition, we recorded a long-lived asset
impairment of $143 million (net of tax and non-controlling interests)
at Long Canyon. In the first quarter of 2023, we recorded a loss on
currency translation of $38 million, mainly related to the devaluation
of the Zambian kwacha, and a $30 million commitment towards the
expansion of education infrastructure in Tanzania per our community
investment obligations under the Twiga partnership. In the fourth
quarter of 2022, we recorded a goodwill impairment of $950 million
(net of non-controlling interests) related to Loulo-Gounkoto, a
non-current asset impairment of $318 million (net of tax) and a net
realizable value impairment of leach pad inventory of $27 million (net
of tax) at Veladero, and a non-current asset impairment of $42 million
(net of tax and non-controlling interests) at Long Canyon. In addition,
we recorded an impairment reversal of $120 million and a gain of
$300 million following the completion of the transaction allowing for
the reconstitution of the Reko Diq project.
INTERNAL CONTROL OVER FINANCIAL
REPORTING AND DISCLOSURE CONTROLS
AND PROCEDURES
Management is responsible for establishing and maintaining adequate
internal control over financial reporting and disclosure controls and
procedures. Internal control over financial reporting is a framework
designed to provide reasonable assurance regarding the reliability
of financial reporting and the preparation of financial statements for
external purposes in accordance with IFRS. The Company’s internal
control over financial reporting framework includes those policies
and procedures that: (i) pertain to the maintenance of records that,
in reasonable detail, accurately and fairly reflect the transactions and
dispositions of the assets of the Company; (ii) provide reasonable
assurance that transactions are recorded as necessary to permit
preparation of financial statements in accordance with IFRS, and that
receipts and expenditures of the Company are being made only in
accordance with authorizations of management and directors of the
Company; and (iii) provide reasonable assurance regarding prevention
or timely detection of unauthorized acquisition, use or disposition
of the Company’s assets that could have a material effect on the
Company’s consolidated financial statements.
Disclosure controls and procedures form a broader framework
designed to provide reasonable assurance that other financial
information disclosed publicly fairly presents in all material respects
the financial condition, results of operations and cash flows of the
Company for the periods presented in this MD&A and Barrick’s Annual
Report. The Company’s disclosure controls and procedures framework
includes processes designed to ensure that material information
relating to the Company, including its consolidated subsidiaries, is
made known to management by others within those entities to allow
timely decisions regarding required disclosure.
Together, the
internal control over financial reporting and
disclosure controls and procedures frameworks provide internal
control over financial reporting and disclosure. Due to its inherent
limitations, internal control over financial reporting and disclosure may
not prevent or detect all misstatements. Further, the effectiveness
of internal control is subject to the risk that controls may become
inadequate because of changes in conditions, or that the degree of
compliance with policies or procedures may change.
There were no changes in the Company’s internal control over
financial reporting during the year ended December 31, 2023 that
have materially affected, or are reasonably likely to materially affect,
the Company’s internal control over financial reporting.
The management of Barrick, at the direction of our President
and Chief Executive Officer and Senior Executive Vice-President,
Chief Financial Officer, evaluated the effectiveness of the design and
operation of internal control over financial reporting as of the end of
the period covered by this report based on the framework and criteria
established in Internal Control – Integrated Framework (2013) as
issued by the Committee of Sponsoring Organizations of the Treadway
Commission. Based on that evaluation, management concluded that
the Company’s internal control over financial reporting was effective
as at December 31, 2023.
Barrick’s annual management report on internal control over
financial reporting and the integrated audit report of Barrick’s auditors
for the year ended December 31, 2023 will be included in Barrick’s
2023 Annual Report and its 2023 Form 40-F/Annual Information Form
to be filed with the US Securities and Exchange Commission and
Canadian provincial securities regulatory authorities.
IFRS CRITICAL ACCOUNTING POLICIES
AND ACCOUNTING ESTIMATES
Management has discussed the development and selection of our
critical accounting estimates with the Audit & Risk Committee of the
Board of Directors, and the Audit & Risk Committee has reviewed the
disclosure relating to such estimates in conjunction with its review of
this MD&A. The accounting policies and methods we utilize determine
how we report our financial condition and results of operations, and they
may require Management to make estimates or rely on assumptions
about matters that are inherently uncertain. The consolidated financial
statements have been prepared in accordance with IFRS Accounting
Standards as issued by the IASB under the historical cost convention,
as modified by revaluation of certain financial assets, derivative
contracts and post-retirement assets. Our significant accounting
policies are disclosed in note 2 to the Financial Statements, including
a summary of current and future changes in accounting policies.
Critical Accounting Estimates and Judgments
Certain accounting estimates have been identified as being “critical”
to the presentation of our financial condition and results of operations
because they require us to make subjective and/or complex judgments
about matters that are inherently uncertain; or there is a reasonable
likelihood that materially different amounts could be reported under
different conditions or using different assumptions and estimates. Our
significant accounting judgments, estimates and assumptions are
disclosed in note 3 to the accompanying Financial Statements.
NON-GAAP FINANCIAL MEASURES
Adjusted Net Earnings and Adjusted Net Earnings
per Share
Adjusted net earnings is a non-GAAP financial measure which excludes
the following from net earnings:
•
Impairment charges (reversals) related to intangibles, goodwill,
property, plant and equipment, and investments;
• Acquisition/disposition gains/losses;
• Foreign currency translation gains/losses;
• Significant tax adjustments;
• Other items that are not indicative of the underlying operating
performance of our core mining business; and
• Tax effect and non-controlling interest of the above items.
115
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Management uses this measure internally to evaluate our underlying
operating performance for the reporting periods presented and to
assist with the planning and forecasting of future operating results.
Management believes that adjusted net earnings is a useful measure
of our performance because
impairment charges, acquisition/
disposition gains/losses and significant tax adjustments do not reflect
the underlying operating performance of our core mining business and
are not necessarily indicative of future operating results. Furthermore,
foreign currency translation gains/losses are not necessarily reflective
of the underlying operating results for the reporting periods presented.
The tax effect and non-controlling interest of the adjusting items are
also excluded to reconcile the amounts to Barrick’s share on a post-
tax basis, consistent with net earnings.
As noted, we use
internal purposes.
this measure
Management’s internal budgets and forecasts and public guidance
do not reflect the types of items we adjust for. Consequently, the
for
presentation of adjusted net earnings enables investors and analysts
to better understand the underlying operating performance of our
core mining business through the eyes of management. Management
periodically evaluates the components of adjusted net earnings based
on an internal assessment of performance measures that are useful for
evaluating the operating performance of our business segments and
a review of the non-GAAP financial measures used by mining industry
analysts and other mining companies.
Adjusted net earnings is intended to provide additional information
only and does not have any standardized definition under IFRS and
should not be considered in isolation or as a substitute for measures of
performance prepared in accordance with IFRS. The measures are not
necessarily indicative of operating profit or cash flow from operations
as determined under IFRS. Other companies may calculate these
measures differently. The following table reconciles these non-GAAP
financial measures to the most directly comparable IFRS measure.
Reconciliation of Net Earnings to Net Earnings per Share, Adjusted Net Earnings
and Adjusted Net Earnings per Share
($ millions, except per share amounts in dollars)
12/31/23
9/30/23
12/31/23
12/31/22
12/31/21
For the three months ended
For the years ended
Net earnings attributable to equity holders of the Company
Impairment charges (reversals) related to non-current assetsa
Acquisition/disposition gainsb
Loss on currency translation
Significant tax adjustmentsc
Other expense (income) adjustmentsd
Non-controlling intereste
Tax effecte
Adjusted net earnings
Net earnings per sharef
Adjusted net earnings per sharef
479
289
(354)
37
120
41
(89)
(57)
466
0.27
0.27
368
0
(4)
30
19
(5)
4
6
418
0.21
0.24
1,272
312
(364)
93
220
96
(98)
(64)
1,467
0.72
0.84
432
1,671
(405)
16
95
17
(274)
(226)
1,326
0.24
0.75
2,022
(63)
(213)
29
125
73
64
28
2,065
1.14
1.16
a. Net impairment charges for the three months and year ended December 31, 2023 mainly relate to a long-lived asset impairment at Long Canyon. For the year ended
December 31, 2022, net impairment charges primarily relate to a goodwill impairment at Loulo-Gounkoto, and non-current asset impairments at Veladero and Long
Canyon, partially offset by an impairment reversal at Reko Diq.
b. Acquisition/disposition gains for the three months and year ended December 31, 2023 primarily relate to a gain on the reopening of the Porgera mine as the
conditions for the reopening were completed on December 22, 2023. For the year ended December 31, 2022, acquisition/disposition gains primarily relate to a gain
as Barrick’s interest in the Reko Diq project increased from 37.5% to 50% and the sale of two royalty portfolios.
c. Significant tax adjustments in 2023 primarily relate to deferred tax recoveries as a result of net impairment charges; foreign currency translation gains and losses
on tax balances; the resolution of uncertain tax positions; the impact of prior year adjustments; the impact of nondeductible foreign exchange losses; and the
recognition and derecognition of deferred tax assets. In 2022, significant tax adjustments primarily relate to deferred tax recoveries as a result of net impairment
charges; foreign currency translation gains and losses on tax balances; the Porgera mine continuing to be on care and maintenance; updates to the rehabilitation
provision for our non-operating mines; and the recognition and derecognition of deferred tax assets.
d. Other expense (income) adjustments for the three months and year ended December 31, 2023 mainly relate to changes in the discount rate assumptions on our
closed mine rehabilitation provision and care and maintenance expenses at Porgera. The year ended December 31, 2023 was further impacted by the $30 million
commitment we made towards the expansion of education infrastructure in Tanzania, per our community investment obligations under the Twiga partnership. For
the year ended December 31, 2022, other expense (income) adjustments mainly relate to a net realizable value impairment of leach pad inventory at Veladero, care
and maintenance expenses at Porgera and supplies obsolescence write-off at Bulyanhulu and North Mara.
e. Non-controlling interest and tax effect for the current year primarily relates to impairment charges (reversals) related to non-current assets.
f. Calculated using weighted average number of shares outstanding under the basic method of earnings per share.
Free Cash Flow
Free cash flow is a non-GAAP financial measure that deducts
capital expenditures from net cash provided by operating activities.
Management believes this to be a useful indicator of our ability to operate
without reliance on additional borrowing or usage of existing cash.
Free cash flow is intended to provide additional information only
and does not have any standardized definition under IFRS, and should
not be considered in isolation or as a substitute for measures of
performance prepared in accordance with IFRS. The measure is not
necessarily indicative of operating profit or cash flow from operations
as determined under IFRS. Other companies may calculate this
measure differently. The following table reconciles this non-GAAP
financial measure to the most directly comparable IFRS measure.
116
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow
($ millions)
Net cash provided by operating activities
Capital expenditures
Free cash flow
Capital Expenditures
Capital expenditures are classified into minesite sustaining capital
expenditures or project capital expenditures depending on the
nature of the expenditure. Minesite sustaining capital expenditures
is the capital spending required to support current production levels.
Project capital expenditures represent the capital spending at new
projects and major, discrete projects at existing operations intended
to increase net present value through higher production or longer mine
life. Management believes this to be a useful indicator of the purpose of
capital expenditures and this distinction is an input into the calculation
of all-in sustaining costs per ounce and all-in costs per ounce.
For the three months ended
For the years ended
12/31/23
9/30/23
12/31/23
12/31/22
12/31/21
997
(861)
136
1,127
(768)
359
3,732
(3,086)
646
3,481
(3,049)
432
4,378
(2,435)
1,943
Classifying capital expenditures is intended to provide additional
information only and does not have any standardized definition under
IFRS, and should not be considered in isolation or as a substitute for
measures of performance prepared in accordance with IFRS. Other
companies may calculate these measures differently. The following
table reconciles these non-GAAP financial measures to the most
directly comparable IFRS measure.
Reconciliation of the Classification of Capital Expenditures
($ millions)
Minesite sustaining capital expenditures
Project capital expenditures
Capitalized interest
Total consolidated capital expenditures
Total cash costs per ounce, All-in sustaining costs per
ounce, All-in costs per ounce, C1 cash costs per pound
and All-in sustaining costs per pound
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 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 includes sustaining capital expenditures,
leases, general and administrative costs, minesite
sustaining
exploration and evaluation costs and reclamation cost accretion and
amortization. These additional costs reflect the expenditures made to
maintain current production levels.
All-in costs starts with all-in sustaining costs and adds additional
costs that reflect the varying costs of producing gold over the life-cycle
of a mine, including: project capital expenditures (capital spending
at new projects and major, discrete projects at existing operations
intended to increase net present value through higher production
or longer mine life) and other non-sustaining costs (primarily non-
sustaining leases, exploration and evaluation costs, community
relations costs and general and administrative costs that are not
associated with current operations). These definitions recognize that
there are different costs associated with the life-cycle of a mine, and
that it is therefore appropriate to distinguish between sustaining and
non-sustaining costs.
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
For the three months ended
For the years ended
12/31/23
9/30/23
12/31/23
12/31/22
12/31/21
569
278
14
861
529
227
12
768
2,076
969
41
3,086
2,071
949
29
3,049
1,673
747
15
2,435
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 measures 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.
In addition to presenting these metrics on a by-product basis, we
have calculated these metrics on a co-product basis. Our co-product
metrics remove the impact of other metal sales that are produced as
a by-product of our gold production from cost per ounce calculations
but does not reflect a reduction in costs for costs associated with
other metal sales.
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 better
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 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 administrative costs,
minesite exploration and evaluation costs, royalties, reclamation cost
accretion and amortization and write-downs taken on inventory to net
realizable value.
117
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Reconciliation of Gold Cost of Sales to Total cash costs, All-in sustaining costs and All-in costs,
including on a per ounce basis
($ millions, except per ounce information in dollars)
Footnote
12/31/23
9/30/23
12/31/23
12/31/22
12/31/21
For the three months ended
For the years ended
Cost of sales applicable to gold production
Depreciation
Cash cost of sales applicable to equity method investments
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and evaluation costs
Minesite sustaining capital expenditures
Sustaining leases
Rehabilitation – accretion and amortization (operating sites)
Non-controlling interest, copper operations and other
All-in sustaining costs
Global exploration and evaluation and project expense
Community relations costs not related to current operations
Project capital expenditures
Non-sustaining leases
Rehabilitation – accretion and amortization
(non-operating sites)
Non-controlling interest and copper operations and other
All-in costs
Ounces sold – attributable basis (000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce (on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce (on a co-product basis)
All-in costs per ounce
All-in costs per ounce (on a co-product basis)
a
b
c
d
e
f
g
d
e
f
g
h
i,j
j
j,k
j
j,k
j
j,k
1,928
(471)
65
(66)
0
6
(432)
1,030
29
4
569
7
20
1,736
(427)
65
(65)
0
7
(380)
936
30
11
529
7
14
(230)
1,429
(238)
1,289
99
1
278
0
7
(112)
1,702
1,042
1,359
982
1,026
1,364
1,408
1,627
1,671
75
0
227
0
6
(101)
1,496
1,027
1,277
912
954
1,255
1,297
1,457
1,499
7,178
(1,756)
260
(252)
0
18
(1,578)
3,870
126
40
2,076
30
63
(824)
5,381
321
2
969
0
25
(423)
6,275
4,024
1,334
960
1,002
1,335
1,377
1,557
1,599
6,813
(1,756)
222
(225)
(23)
(23)
(1,442)
3,566
159
75
2,071
38
50
(900)
5,059
275
0
949
0
19
(327)
5,975
4,141
1,241
862
897
1,222
1,257
1,443
1,478
6,504
(1,889)
217
(285)
0
(48)
(1,261)
3,238
151
64
1,673
41
50
(636)
4,581
223
0
747
0
13
(240)
5,324
4,468
1,093
725
765
1,026
1,066
1,192
1,232
a.
b.
c.
d.
e.
Non-recurring items
These costs are not indicative of our cost of production and have been excluded from the calculation of total cash costs. Non-recurring items
for the three months ended and year ended December 31, 2022 relate to a net realizable value impairment of leach pad inventory at Veladero.
Other
Other adjustments for the three months and year ended December 31, 2023 include the removal of total cash costs and by-product credits
associated with assets which are producing incidental ounces, of $nil and $3 million, respectively (September 30, 2023: $nil; 2022: $24 million;
2021: $51 million). This includes Pierina, Golden Sunlight, Lagunas Norte up until its divestiture in June 2021 and Buzwagi starting in the fourth
quarter of 2021.
Non-controlling interests
Non-controlling interests include non-controlling interests related to gold production of $594 million and $2,192 million, respectively,
for the three months and year ended December 31, 2023 (September 30, 2023: $536 million; 2022: $2,032 million; 2021: $1,923 million).
Non-controlling interests include NGM, Pueblo Viejo, Loulo-Gounkoto, Tongon, North Mara, Bulyanhulu and Buzwagi up until the third quarter
of 2021. Refer to note 5 to the Financial Statements for further information.
Exploration and evaluation costs
Exploration, evaluation and project expenses are presented as minesite if it supports current mine operations and project if it relates to future
projects. Refer to page 108 of this MD&A.
Capital expenditures
Capital expenditures are related to our gold sites only and are split between minesite sustaining and project capital expenditures. Project
capital expenditures are capital spending at new projects and major, discrete projects at existing operations intended to increase net present
value through higher production or longer mine life. Significant projects in 2023 were the plant expansion project at Pueblo Viejo and the solar
projects at NGM and Loulo-Gounkoto. Refer to page 107 of this MD&A.
118
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS
f.
g.
h.
i.
j.
k.
Rehabilitation – accretion and amortization
Includes depreciation on the assets related to rehabilitation provisions of our gold operations and accretion on the rehabilitation provisions of
our gold operations, split between operating and non-operating sites.
Non-controlling interest and copper operations
Removes general & administrative costs related to non-controlling interests and copper based on a percentage allocation of revenue. Also
removes exploration, evaluation and project expenses, rehabilitation costs and capital expenditures incurred by our copper sites and the non-
controlling interests of NGM, Pueblo Viejo, Loulo-Gounkoto, Tongon, North Mara, Bulyanhulu and Buzwagi (up until the third quarter of 2021)
operating segments. It also includes capital expenditures applicable to our equity method investment in Kibali. Figures remove the impact of
Pierina, Golden Sunlight, Lagunas Norte up until its divestiture in June 2021 and Buzwagi starting in the fourth quarter of 2021. The impact is
summarized as the following:
($ millions)
For the three months ended
For the years ended
Non-controlling interest, copper operations and other
12/31/23
9/30/23
12/31/23
12/31/22
12/31/21
General & administrative costs
Minesite exploration and evaluation costs
Rehabilitation – accretion and amortization (operating sites)
Minesite sustaining capital expenditures
All-in sustaining costs total
Global exploration and evaluation and project costs
Project capital expenditures
All-in costs total
7
(2)
(6)
(229)
(230)
(40)
(72)
(112)
(5)
(4)
(5)
(224)
(238)
(29)
(72)
(101)
(9)
(14)
(21)
(780)
(824)
(118)
(305)
(423)
(31)
(27)
(16)
(826)
(900)
(32)
(295)
(327)
(21)
(19)
(14)
(582)
(636)
(19)
(221)
(240)
Ounces sold – equity basis
Figures remove the impact of Pierina, Golden Sunlight, Lagunas Norte up until its divestiture in June 2021, and Buzwagi starting in the fourth
quarter of 2021. Some of these assets are producing incidental ounces while in closure or care and maintenance.
Cost of sales per ounce
Figures remove the cost of sales impact of Pierina of $nil and $3 million, respectively, for the three months and year ended December 31,
2023 (September 30, 2023: $nil; 2022: $24 million; 2021: $20 million); Golden Sunlight of $nil and $nil, respectively, for the three months and
year ended December 31, 2023 (September 30, 2023: $nil; 2022: $nil; 2021: $nil); up until its divestiture in June 2021, Lagunas Norte of $nil
and $nil, respectively, for the three months and year ended December 31, 2023 (September 30, 2023: $nil; 2022: $nil; 2021: $37 million);
and starting in the fourth quarter of 2021, Buzwagi of $nil and $nil, respectively, for the three months and year ended December 31, 2023
(September 30, 2023: $nil; 2022: $nil; 2021: $nil), which are producing incidental ounces. Gold cost of sales per ounce is calculated as cost
of sales across our gold operations (excluding sites in closure or care and maintenance) divided by ounces sold (both on an attributable basis
using Barrick’s ownership share).
Per ounce figures
Cost of sales per ounce, cash costs per ounce, all-in sustaining costs per ounce and all-in costs per ounce may not calculate based on
amounts presented in this table due to rounding.
Co-product costs per ounce
Cash costs per ounce, all-in sustaining costs per ounce and all-in costs per ounce presented on a co-product basis remove the impact of
by-product credits of our gold production (net of non-controlling interest) calculated as:
($ millions)
For the three months ended
For the years ended
By-product credits
Non-controlling interest
By-product credits (net of non-controlling interest)
12/31/23
9/30/23
12/31/23
12/31/22
12/31/21
66
(20)
46
65
(22)
43
252
(81)
171
225
(78)
147
285
(108)
177
119
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS
Reconciliation of Gold Cost of Sales to Total cash costs, All-in sustaining costs and All-in costs, including
on a per ounce basis, by operating segment
($ millions, except per ounce information in dollars)
Footnote
Carlina
Cortez
Turquoise
Ridge
Long
Canyon
Phoenixa
443
(77)
0
0
(6)
(139)
221
0
2
361
(118)
(1)
0
0
(93)
149
0
1
174
100
0
3
(70)
330
0
3
(1)
332
220
1,219
1,006
1,008
1,506
1,508
1,513
0
5
(40)
215
0
29
(11)
233
164
1,353
909
911
1,309
1,311
1,416
197
(51)
(1)
0
0
(55)
90
0
1
28
0
0
(11)
108
0
2
(1)
109
86
1,419
1,046
1,053
1,257
1,264
1,275
6
(4)
0
0
0
0
2
0
0
0
0
0
0
2
0
0
0
2
2
102
(21)
(38)
0
8
(19)
32
0
0
9
1
2
(5)
39
0
0
0
39
39
2,193
990
992
1,074
1,076
1,074
1,576
787
1,258
981
1,452
981
For the three months ended 12/31/23
Nevada
Gold
Minesb
Hemlo
North
America
1,114
(273)
(40)
0
1
(307)
495
0
5
314
1
10
(128)
697
0
126
(49)
774
511
1,331
968
1,007
1,366
1,405
1,518
53
(7)
0
0
0
0
46
0
0
8
0
0
0
54
0
0
0
54
33
1,618
1,407
1,413
1,671
1,677
1,700
1,167
(280)
(40)
0
1
(307)
541
0
5
322
1
10
(128)
751
0
126
(49)
828
544
1,348
995
1,032
1,385
1,422
1,529
1,515
1,418
1,282
1,076
1,452
1,557
1,706
1,566
Cost of sales applicable to
gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and
evaluation costs
Minesite sustaining capital
expenditures
Sustaining capital leases
Rehabilitation – accretion and
amortization (operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation
and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis
(000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce
(on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce
(on a co-product basis)
All-in costs per ounce
All-in costs per ounce
(on a co-product basis)
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
120
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS ($ millions, except per ounce information in dollars)
For the three months ended 12/31/23
Footnote
Pueblo Viejo
Veladero
Latin America &
Asia Pacific
Cost of sales applicable to gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and evaluation costs
Minesite sustaining capital expenditures
Sustaining capital leases
Rehabilitation – accretion and amortization (operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis (000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce (on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce (on a co-product basis)
All-in costs per ounce
All-in costs per ounce (on a co-product basis)
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
235
(66)
(11)
0
0
(63)
95
0
0
51
0
2
(21)
127
2
15
(8)
136
89
1,588
1,070
1,141
1,428
1,499
1,532
1,603
64
(14)
(2)
0
0
0
48
0
1
17
0
0
0
66
0
5
0
71
46
1,378
1,021
1,070
1,403
1,452
1,508
1,557
299
(80)
(13)
0
0
(63)
143
0
1
68
0
2
(21)
193
2
20
(8)
207
135
1,524
1,049
1,110
1,428
1,489
1,558
1,619
121
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Footnote
Loulo-
Gounkoto
Kibali
105
(37)
0
0
0
0
68
0
0
5
2
0
0
75
0
15
0
90
92
205
(59)
0
0
0
(29)
117
0
0
37
0
1
(8)
147
0
56
(11)
192
127
1,296
1,141
924
925
1,168
1,169
1,521
1,522
737
742
819
824
988
993
For the three months ended 12/31/23
North
Mara
Tongon
Bulyanhulu
Africa &
Middle East
103
(22)
(1)
0
0
(12)
68
0
0
24
0
1
(4)
89
0
39
(6)
122
61
1,420
1,103
1,119
1,449
1,465
1,985
2,001
70
(14)
0
0
0
(7)
49
0
0
15
0
4
(2)
66
0
0
0
66
42
1,489
1,184
1,190
1,586
1,592
1,586
1,592
69
(15)
(6)
0
0
(7)
41
0
0
18
0
0
(2)
57
0
16
(3)
70
41
1,413
1,002
1,112
1,376
1,486
1,692
1,802
552
(147)
(7)
0
0
(55)
343
0
0
99
2
6
(16)
434
0
126
(20)
540
363
1,313
945
962
1,198
1,215
1,491
1,508
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
($ millions, except per ounce information in dollars)
Cost of sales applicable to gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and evaluation costs
Minesite sustaining capital expenditures
Sustaining capital leases
Rehabilitation – accretion and amortization
(operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis (000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce (on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce
(on a co-product basis)
All-in costs per ounce
All-in costs per ounce (on a co-product basis)
122
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS ($ millions, except per ounce information in dollars)
Footnote
Carlina
Cortez
Turquoise
Ridge
Long
Canyon Phoenixa
For the three months ended 9/30/23
Nevada
Gold
Minesb
Hemlo
North
America
Cost of sales applicable to
gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and
evaluation costs
Minesite sustaining capital
expenditures
Sustaining capital leases
Rehabilitation – accretion and
amortization (operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation
and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis
(000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce
(on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce
(on a co-product basis)
All-in costs per ounce
All-in costs per ounce
(on a co-product basis)
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
458
(83)
(1)
0
(5)
(142)
227
0
6
169
0
3
(69)
336
0
0
0
336
238
1,166
953
954
1,409
1,410
1,409
273
(88)
0
0
0
(72)
113
0
2
62
0
5
(27)
155
0
29
(11)
173
135
1,246
840
844
1,156
1,160
1,290
164
(45)
(1)
0
0
(45)
73
0
1
19
0
1
(8)
86
0
2
(1)
87
78
1,300
938
944
1,106
1,112
1,114
1,410
1,294
1,120
6
(3)
0
0
0
(1)
2
0
0
0
0
0
0
2
0
0
0
2
2
1,832
778
779
831
832
831
832
96
(18)
(41)
0
6
(17)
26
0
1
10
0
1
(4)
34
0
0
0
34
27
2,235
1,003
1,812
1,264
2,073
1,264
997
(237)
(43)
0
2
(277)
442
0
10
264
1
10
(110)
617
0
82
(31)
668
480
1,273
921
968
1,286
1,333
1,389
53
(6)
(1)
0
0
0
46
0
0
9
1
0
0
56
0
3
0
59
31
1,721
1,502
1,508
1,799
1,805
1,912
1,050
(243)
(44)
0
2
(277)
488
0
10
273
2
10
(110)
673
0
85
(31)
727
511
1,300
956
1,001
1,317
1,362
1,421
2,073
1,436
1,918
1,466
123
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS ($ millions, except per ounce information in dollars)
For the three months ended 9/30/23
Footnote
Pueblo Viejo
Veladero
Latin America &
Asia Pacific
Cost of sales applicable to gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and evaluation costs
Minesite sustaining capital expenditures
Sustaining capital leases
Rehabilitation – accretion and amortization (operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis (000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce (on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce (on a co-product basis)
All-in costs per ounce
All-in costs per ounce (on a co-product basis)
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
195
(65)
(8)
0
0
(49)
73
0
0
44
0
1
(19)
99
0
46
(18)
127
77
1,501
935
995
1,280
1,340
1,640
1,700
64
(15)
(3)
0
0
0
46
0
1
13
0
0
0
60
0
2
0
62
47
1,376
988
1,050
1,314
1,376
1,349
1,411
259
(80)
(11)
0
0
(49)
119
0
1
57
0
1
(19)
159
0
48
(18)
189
124
1,468
953
1,014
1,304
1,365
1,584
1,645
124
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS ($ millions, except per ounce information in dollars)
For the three months ended 9/30/23
Footnote
Loulo-
Gounkoto
Kibali
North
Mara
Tongon
Bulyanhulu
Africa &
Middle East
Cost of sales applicable to gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and evaluation costs
Minesite sustaining capital expenditures
Sustaining capital leases
Rehabilitation – accretion and amortization
(operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis (000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce (on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce
(on a co-product basis)
All-in costs per ounce
All-in costs per ounce (on a co-product basis)
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
198
(57)
0
0
0
(28)
113
0
0
53
(1)
1
(10)
156
0
33
(7)
182
145
112
(44)
(1)
0
0
0
67
0
0
8
2
2
0
79
0
8
0
87
97
1,087
1,152
773
774
1,068
1,069
1,249
1,250
694
698
801
805
881
885
88
(17)
(1)
0
0
(11)
59
0
0
29
0
1
(5)
84
0
26
(4)
106
59
1,244
999
1,007
1,429
1,437
1,802
1,810
74
(10)
(1)
0
0
(6)
57
0
0
6
0
(1)
(1)
61
0
0
0
61
46
1,423
1,217
1,222
1,331
1,336
1,331
1,336
68
(16)
(6)
0
0
(7)
39
0
0
14
0
0
(2)
51
0
11
(2)
60
45
1,261
859
973
1,132
1,246
1,335
1,449
540
(144)
(9)
0
0
(52)
335
0
0
110
1
3
(18)
431
0
78
(13)
496
392
1,186
850
866
1,095
1,111
1,261
1,277
125
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS For the year ended 12/31/2023
Nevada
Gold
Minesb
Hemlo
North
America
4,109
(961)
(166)
0
9
(1,151)
1,840
0
36
221
(28)
(1)
0
0
0
192
0
0
4,330
(989)
(167)
0
9
(1,151)
2,032
0
36
1,063
37
1,100
3
38
(440)
2,540
0
335
(129)
2
1
0
232
0
4
0
5
39
(440)
2,772
0
339
(129)
393
(76)
(157)
0
28
(72)
116
0
1
31
2
5
(15)
140
0
0
0
140
2,746
236
2,982
120
2,011
961
1,623
1,162
1,824
1,162
1,860
1,351
989
1,035
1,366
1,412
1,477
139
1,589
1,382
1,387
1,672
1,677
1,712
1,999
1,368
1,017
1,060
1,388
1,431
1,493
1,824
1,523
1,717
1,536
($ millions, except per ounce information in dollars)
Footnote
Carlina
Cortez
Turquoise
Ridge
Long
Canyon
Phoenixa
Cost of sales applicable to
gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and
evaluation costs
Minesite sustaining capital
expenditures
Sustaining capital leases
Rehabilitation – accretion and
amortization (operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation
and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis
(000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce
(on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce
(on a co-product basis)
All-in costs per ounce
All-in costs per ounce
(on a co-product basis)
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
1,789
(314)
(2)
0
(19)
(561)
893
0
23
605
0
12
(248)
1,285
0
3
(1)
1,287
865
1,254
1,033
1,035
1,486
1,488
1,488
1,174
(364)
(3)
0
0
(311)
496
0
5
310
0
19
(128)
702
0
112
(43)
771
548
1,318
906
909
1,282
1,285
1,407
722
(189)
(4)
0
0
(203)
326
0
5
100
0
2
(41)
392
0
10
(4)
398
318
1,399
1,026
1,033
1,234
1,241
1,251
1,490
1,410
1,258
26
(16)
0
0
0
(3)
7
0
0
0
0
0
0
7
0
0
0
7
9
1,789
724
726
779
781
779
781
126
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS ($ millions, except per ounce information in dollars)
For the year ended 12/31/2023
Footnote
Pueblo Viejo
Veladero
Latin America &
Asia Pacific
Cost of sales applicable to gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and evaluation costs
Minesite sustaining capital expenditures
Sustaining capital leases
Rehabilitation – accretion and amortization (operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis (000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce (on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce (on a co-product basis)
All-in costs per ounce
All-in costs per ounce (on a co-product basis)
c
d
e
f
g
f
g
h,i
i
i,j
i
i,j
i
j,k
791
(255)
(37)
0
0
(201)
298
0
0
195
0
6
(80)
419
2
197
(80)
538
335
1,418
889
958
1,249
1,318
1,604
1,673
263
(69)
(9)
0
0
0
185
0
5
85
1
1
0
277
0
14
0
291
182
1,440
1,011
1,061
1,516
1,566
1,591
1,641
1,054
(324)
(46)
0
0
(201)
483
0
5
280
1
7
(80)
696
2
211
(80)
829
517
1,441
931
993
1,358
1,420
1,653
1,715
127
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Footnote
Loulo-
Gounkoto
For the year ended 12/31/2023
North
Mara
Tongon
Bulyanhulu
Africa &
Middle East
Kibali
419
(147)
(2)
0
0
0
270
0
0
35
7
2
0
314
0
38
0
352
343
817
(247)
0
0
0
(114)
456
0
0
221
1
3
(45)
636
0
154
(31)
759
546
365
(77)
(3)
0
0
(45)
240
0
0
113
0
5
(19)
339
0
96
(15)
420
254
1,198
1,221
1,206
835
836
1,166
1,167
1,392
1,393
789
794
918
923
1,030
1,035
944
953
1,335
1,344
1,653
1,662
303
(46)
(1)
0
0
(27)
229
0
0
30
1
4
(4)
260
0
0
0
260
185
1,469
1,240
1,244
1,408
1,412
1,408
1,412
282
(62)
(23)
0
0
(31)
166
0
0
65
0
1
(10)
222
0
41
(7)
256
180
1,312
920
1,025
1,231
1,336
1,422
1,527
2,186
(579)
(29)
0
0
(217)
1,361
0
0
464
9
15
(78)
1,771
0
329
(53)
2,047
1,508
1,251
903
919
1,176
1,192
1,359
1,375
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
($ millions, except per ounce information in dollars)
Cost of sales applicable to gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and evaluation costs
Minesite sustaining capital expenditures
Sustaining capital leases
Rehabilitation – accretion and amortization
(operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis (000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce (on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce
(on a co-product basis)
All-in costs per ounce
All-in costs per ounce (on a co-product basis)
128
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS ($ millions, except per ounce information in dollars)
Footnote
Carlina
Cortez
Turquoise
Ridge
Long
Canyon
Phoenixa
For the year ended 12/31/2022
Nevada
Gold
Minesb
Hemlo
North
America
Cost of sales applicable to
gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and
evaluation costs
Minesite sustaining capital
expenditures
Sustaining capital leases
Rehabilitation – accretion and
amortization (operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation
and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis
(000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce
(on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce
(on a co-product basis)
All-in costs per ounce
All-in costs per ounce
(on a co-product basis)
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
1,728
(312)
(2)
0
(34)
(531)
849
0
20
497
1
10
(204)
1,173
0
0
0
1,173
968
1,069
877
878
1,212
1,213
1,212
850
(253)
(2)
0
0
(229)
366
0
8
305
0
11
(125)
565
0
104
(40)
629
449
1,164
815
818
1,258
1,261
1,400
647
(178)
(2)
0
0
(180)
287
0
7
109
0
2
(45)
360
0
50
(20)
390
278
1,434
1,035
1,039
1,296
1,300
1,405
1,213
1,403
1,409
115
(76)
0
0
0
(15)
24
0
1
0
0
1
(1)
25
0
0
0
25
55
1,282
435
436
454
455
454
455
353
(75)
(139)
0
20
(61)
98
0
0
22
2
3
(11)
114
0
0
0
3,699
(895)
(145)
0
(14)
(1,018)
1,627
0
37
949
5
27
(394)
2,251
0
201
(78)
215
(28)
(1)
0
0
0
186
0
4
42
2
2
0
3,914
(923)
(146)
0
(14)
(1,018)
1,813
0
41
991
7
29
(394)
236
2,487
0
0
0
0
201
(78)
114
2,374
236
2,610
106
2,039
914
1,603
1,074
1,763
1,074
1,856
1,210
876
917
1,214
1,255
1,280
132
1,628
1,409
1,415
1,788
1,794
1,789
1,988
1,238
912
951
1,252
1,291
1,314
1,763
1,321
1,795
1,353
129
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS ($ millions, except per ounce information in dollars)
For the year ended 12/31/2022
Footnote
Pueblo Viejo
Veladero
Latin America &
Asia Pacific
Cost of sales applicable to gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and evaluation costs
Minesite sustaining capital expenditures
Sustaining capital leases
Rehabilitation – accretion and amortization (operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis (000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce (on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce (on a co-product basis)
All-in costs per ounce
All-in costs per ounce (on a co-product basis)
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
801
(242)
(45)
0
0
(205)
309
0
1
207
0
5
(85)
437
2
377
(152)
664
426
1,132
725
788
1,026
1,089
1,558
1,621
325
(120)
(4)
(23)
0
0
178
0
2
120
3
2
0
305
0
33
0
338
199
1,628
890
913
1,528
1,551
1,695
1,718
1,126
(362)
(49)
(23)
0
(205)
487
0
3
327
3
7
(85)
742
2
410
(152)
1,002
625
1,306
777
827
1,189
1,239
1,636
1,686
130
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Footnote
Loulo-
Gounkoto
($ millions, except per ounce information in dollars)
Cost of sales applicable to gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and evaluation costs
Minesite sustaining capital expenditures
Sustaining capital leases
Rehabilitation – accretion and amortization
(operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis (000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce (on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce
(on a co-product basis)
All-in costs per ounce
All-in costs per ounce (on a co-product basis)
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
Kibali
413
(178)
(1)
0
0
0
234
0
3
70
6
1
0
314
0
22
0
336
332
790
(257)
0
0
0
(107)
426
0
9
190
2
3
(40)
590
0
133
(27)
696
548
1,153
1,243
778
778
1,076
1,076
1,270
1,270
703
707
948
952
1,013
1,017
For the year ended 12/31/2022
North
Mara
Tongon
Bulyanhulu
Africa &
Middle East
309
(73)
(2)
0
0
(38)
196
0
4
81
0
6
(14)
273
0
74
(12)
335
265
979
741
747
1,028
1,034
1,265
1,271
347
(69)
(1)
0
0
(28)
249
0
4
31
2
1
(4)
283
0
1
0
284
178
1,748
1,396
1,399
1,592
1,595
1,595
1,598
295
(60)
(24)
0
0
(34)
177
0
3
66
0
1
(11)
236
0
30
(5)
261
205
1,211
868
966
1,156
1,254
1,278
1,376
2,154
(637)
(28)
0
0
(207)
1,282
0
23
438
10
12
(69)
1,696
0
260
(44)
1,912
1,528
1,219
839
854
1,111
1,126
1,252
1,267
131
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS ($ millions, except per ounce information in dollars)
Footnote
Carlina
Cortez
Turquoise
Ridge
Long
Canyon
Phoenixa
For the year ended 12/31/2021
Nevada
Gold
Minesb
Hemlo
North
America
Cost of sales applicable to
gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and
evaluation costs
Minesite sustaining capital
expenditures
Sustaining capital leases
Rehabilitation – accretion and
amortization (operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation
and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis
(000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce
(on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce
(on a co-product basis)
All-in costs per ounce
All-in costs per ounce
(on a co-product basis)
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
1,451
(276)
(2)
0
0
(451)
722
0
22
424
2
10
(177)
1,003
0
0
0
1,003
922
968
782
784
1,087
1,089
1,087
927
(294)
(3)
0
0
(243)
387
0
10
192
0
11
(86)
514
0
96
(37)
573
508
1,122
763
767
1,013
1,017
1,129
615
(200)
(5)
0
0
(158)
252
0
1
77
0
1
(30)
301
0
56
(22)
335
337
1,122
749
757
892
900
993
1,089
1,133
1,001
193
(144)
0
0
0
(19)
30
0
4
8
0
1
(5)
38
0
0
0
38
161
739
188
188
238
238
238
238
346
(89)
(194)
0
9
(28)
44
0
1
20
1
2
(9)
59
0
0
0
3,532
(1,003)
(204)
0
9
(899)
1,435
0
41
746
5
25
(318)
1,934
0
158
(61)
257
(45)
(1)
0
0
0
211
0
2
82
2
2
0
3,789
(1,048)
(205)
0
9
(899)
1,646
0
43
828
7
27
(318)
299
2,233
0
0
0
0
158
(61)
59
2,031
299
2,330
111
1,922
398
1,428
533
1,563
533
2,039
1,072
705
764
949
1,008
997
152
1,693
1,388
1,394
1,970
1,976
1,970
2,191
1,115
752
807
1,020
1,075
1,064
1,563
1,056
1,976
1,119
132
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS ($ millions, except per ounce information in dollars)
For the year ended 12/31/2021
Footnote
Pueblo Viejo
Veladero
Latin America &
Asia Pacific
Cost of sales applicable to gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and evaluation costs
Minesite sustaining capital expenditures
Sustaining capital leases
Rehabilitation – accretion and amortization (operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis (000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce (on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce (on a co-product basis)
All-in costs per ounce
All-in costs per ounce (on a co-product basis)
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
739
(234)
(58)
0
0
(178)
269
0
4
160
0
8
(71)
370
1
358
(144)
585
497
896
541
610
745
814
1,178
1,247
262
(85)
(7)
0
0
0
170
0
1
136
1
2
0
310
0
6
0
316
206
1,256
816
850
1,493
1,527
1,520
1,554
1,001
(319)
(65)
0
0
(178)
439
0
5
296
1
10
(71)
680
1
364
(144)
901
703
1,028
622
680
969
1,027
1,282
1,340
133
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS ($ millions, except per ounce information in dollars)
For the year ended 12/31/2021
Footnote
Loulo-
Gounkoto
Kibali
North
Mara
Tongon
Bulyanhulu
Buzwagik
Africa &
Middle East
Cost of sales applicable to
gold production
Depreciation
By-product credits
Non-recurring items
Other
Non-controlling interests
Total cash costs
General & administrative costs
Minesite exploration and
evaluation costs
Minesite sustaining capital
expenditures
Sustaining capital leases
Rehabilitation – accretion and
amortization (operating sites)
Non-controlling interests
All-in sustaining costs
Project exploration and evaluation
and project costs
Project capital expenditures
Non-controlling interests
All-in costs
Ounces sold – attributable basis
(000s ounces)
Cost of sales per ounce
Total cash costs per ounce
Total cash costs per ounce
(on a co-product basis)
All-in sustaining costs per ounce
All-in sustaining costs per ounce
(on a co-product basis)
All-in costs per ounce
All-in costs per ounce
(on a co-product basis)
c
d
e
f
g
e
f
h,i
i
i,j
i
i,j
i
i,j
732
(278)
0
0
0
(91)
363
0
18
199
2
4
(44)
542
0
98
(19)
621
558
1,049
650
650
970
970
1,111
1,111
373
(141)
(2)
0
0
0
230
0
5
54
10
1
0
300
0
16
0
316
367
1,016
627
631
818
822
861
865
296
(56)
(2)
0
0
(38)
200
0
0
62
0
6
(11)
257
0
32
(5)
284
257
966
777
784
1,001
1,008
1,105
310
(84)
(1)
0
0
(23)
202
0
3
18
2
1
(3)
223
0
0
0
223
185
1,504
1,093
1,096
1,208
1,211
1,206
212
(57)
(15)
0
0
(22)
118
0
0
34
0
1
(5)
148
0
49
(8)
189
166
1,079
709
787
891
969
1,138
65
(2)
0
0
0
(10)
53
0
0
0
0
0
0
53
0
0
0
53
41
1,334
1,284
1,277
1,291
1,284
1,291
1,112
1,209
1,216
1,284
1,988
(618)
(20)
0
0
(184)
1,166
0
26
367
14
13
(63)
1,523
0
195
(32)
1,686
1,574
1,092
740
751
968
979
1,070
1,081
a.
b.
c.
d.
e.
On September 7, 2021, NGM announced it had entered into an Exchange Agreement with i-80 Gold to acquire the 40% interest in South
Arturo that NGM did not already own in exchange for the Lone Tree and Buffalo Mountain properties and infrastructure. Operating results
within our 61.5% interest in Carlin includes NGM’s 60% interest in South Arturo up until May 30, 2021, and 100% interest thereafter, and
operating results within our 61.5% interest in Phoenix includes Lone Tree up until May 30, 2021, reflecting the terms of the Exchange
Agreement which closed on October 14, 2021.
These results represent our 61.5% interest in Carlin (including NGM’s 60% interest in South Arturo up until May 30, 2021 and 100% interest
thereafter, reflecting the terms of the Exchange Agreement with i-80 Gold to acquire the 40% interest in South Arturo that NGM did not
already own in exchange for the Lone Tree and Buffalo Mountain properties and infrastructure, which closed on October 14, 2021), Cortez,
Turquoise Ridge, Phoenix and Long Canyon.
Non-recurring items
These costs are not indicative of our cost of production and have been excluded from the calculation of total cash costs. Non-recurring items
at Veladero for the three months ended and year ended December 31, 2022 relate to a net realizable value impairment of leach pad inventory.
Other
Other adjustments at Carlin include the removal of total cash costs and by-product credits associated with Emigrant starting the second
quarter of 2022, which is producing incidental ounces.
Exploration and evaluation costs
Exploration, evaluation and project expenses are presented as minesite sustaining if it supports current mine operations and project if it
relates to future projects. Refer to page 108 of this MD&A.
134
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS
f.
g.
h.
i.
j.
Capital expenditures
Capital expenditures are related to our gold sites only and are split between minesite sustaining and project capital expenditures. Project
capital expenditures are capital spending at new projects and major, discrete projects at existing operations intended to increase net present
value through higher production or longer mine life. Significant projects in 2023 were the plant expansion project at Pueblo Viejo and the solar
projects at NGM and Loulo-Gounkoto. Refer to page 107 of this MD&A.
Rehabilitation – accretion and amortization
Includes depreciation on the assets related to rehabilitation provisions of our gold operations and accretion on the rehabilitation provision of
our gold operations, split between operating and non-operating sites.
Cost of sales per ounce
Gold cost of sales per ounce is calculated as cost of sales across our gold operations (excluding sites in closure or care and maintenance)
divided by ounces sold (both on an attributable basis using Barrick’s ownership share).
Per ounce figures
Cost of sales per ounce, total cash costs per ounce, all-in sustaining costs per ounce and all-in costs per ounce may not calculate based on
amounts presented in this table due to rounding.
Co-product costs per ounce
Total cash costs per ounce, all-in sustaining costs per ounce and all-in costs per ounce presented on a co-product basis removes the impact
of by-product credits of our gold production (net of non-controlling interest) calculated as:
($ millions)
For the three months ended 12/31/23
By-product credits
Non-controlling interest
By-product credits (net of
non-controlling interest)
($ millions)
By-product credits
Non-controlling interest
By-product credits (net of
non-controlling interest)
($ millions)
By-product credits
Non-controlling interest
By-product credits (net of
non-controlling interest)
($ millions)
By-product credits
Non-controlling interest
By-product credits (net of
non-controlling interest)
Carlina
Cortez
Turquoise
Ridge
Long
Canyon
Phoenixa
0
0
0
1
0
1
1
(1)
0
0
0
0
38
(14)
24
Nevada
Gold
Minesb
40
(15)
25
Hemlo
0
0
0
For the three months ended 12/31/23
Pueblo
Viejo
Veladero
Loulo-
Gounkoto
Kibali
North
Mara
Tongon
Bulyanhulu
11
(5)
6
2
0
2
0
0
0
0
0
0
1
0
1
0
0
0
6
(1)
5
For the three months ended 9/30/23
Carlina
Cortez
Turquoise
Ridge
Long
Canyon
Phoenixa
1
(1)
0
0
0
0
1
0
1
0
0
0
41
(16)
25
Nevada
Gold
Minesb
43
(17)
26
Hemlo
1
0
1
For the three months ended 9/30/23
Pueblo
Viejo
Veladero
Loulo-
Gounkoto
Kibali
North
Mara
Tongon
Bulyanhulu
8
(4)
4
3
0
3
0
0
0
1
0
1
1
0
1
1
0
1
6
(1)
5
135
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS
By-product credits
Non-controlling interest
By-product credits (net of
non-controlling interest)
Carlina
Cortez
Turquoise
Ridge
Long
Canyon
Phoenixa
2
(1)
1
3
(1)
2
4
(2)
2
0
0
0
157
(60)
97
For the year ended 12/31/23
Nevada
Gold
Minesb
166
(64)
102
Hemlo
1
0
1
For the year ended 12/31/23
Pueblo
Viejo
Veladero
Loulo-
Gounkoto
Kibali
North
Mara
Tongon
Bulyanhulu
By-product credits
Non-controlling interest
By-product credits (net of
non-controlling interest)
37
(15)
22
9
0
9
0
0
0
2
0
2
3
0
3
1
0
1
23
(4)
19
For the year ended 12/31/22
By-product credits
Non-controlling interest
By-product credits (net of
non-controlling interest)
By-product credits
Non-controlling interest
By-product credits (net of
non-controlling interest)
By-product credits
Non-controlling interest
By-product credits (net of
non-controlling interest)
Carlina
Cortez
Turquoise
Ridge
Long
Canyon
Phoenixa
2
(1)
1
2
(1)
1
2
(1)
1
0
0
0
139
(54)
85
Nevada
Gold
Minesb
145
(57)
88
Hemlo
1
0
1
For the year ended 12/31/22
Pueblo
Viejo
Veladero
Loulo-
Gounkoto
Kibali
North
Mara
Tongon
Bulyanhulu
45
(18)
27
4
0
4
0
0
0
1
0
1
2
0
2
1
0
1
24
(4)
20
Carlina
Cortez
Turquoise
Ridge
Long
Canyon
Phoenixa
2
(1)
1
3
(1)
2
5
(2)
3
0
0
0
194
(75)
119
For the year ended 12/31/21
Nevada
Gold
Minesb
204
(79)
125
Hemlo
1
0
1
For the year ended 12/31/21
Pueblo
Viejo
Veladero
Loulo-
Gounkoto
Kibali
North
Mara
Tongon Bulyanhulu
Buzwagik
By-product credits
Non-controlling interest
By-product credits (net of
non-controlling interest)
58
(23)
35
7
0
7
0
0
0
2
0
2
2
0
2
1
0
1
15
(2)
13
0
0
0
k.
With the end of mining at Buzwagi in the third quarter of 2021, as previously reported, we have ceased to include production or non-GAAP
cost metrics for Buzwagi from October 1, 2021 onwards.
136
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Reconciliation of Copper Cost of Sales to C1 cash costs and All-in sustaining costs,
including on a per pound basis
($ millions, except per pound information in dollars)
12/31/23
9/30/23
12/31/23
12/31/22
12/31/21
For the three months ended
For the years ended
Cost of sales
Depreciation/amortization
Treatment and refinement charges
Cash cost of sales applicable to equity method investments
Less: royalties
By-product credits
C1 cash cost of sales
General & administrative costs
Rehabilitation – accretion and amortization
Royalties
Minesite exploration and evaluation costs
Minesite sustaining capital expenditures
Sustaining leases
All-in sustaining costs
Pounds sold – attributable basis (millions pounds)
Cost of sales per pounda,b
C1 cash costs per pounda
All-in sustaining costs per pounda
209
(86)
51
103
(16)
(5)
256
6
2
16
0
84
3
367
117
2.92
2.17
3.12
167
(70)
47
82
(15)
(4)
207
6
3
15
3
91
2
327
101
2.68
2.05
3.23
726
(259)
191
356
(62)
(19)
933
22
9
62
7
266
12
1,311
408
2.90
2.28
3.21
666
(223)
199
317
(103)
(14)
842
30
4
103
22
410
6
1,417
445
2.43
1.89
3.18
569
(197)
161
313
(103)
(15)
728
17
6
103
14
234
9
1,111
423
2.32
1.72
2.62
a. Cost of sales per pound, C1 cash costs per pound and all-in sustaining costs per pound may not calculate based on amounts presented in this table due to
rounding.
b. 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 using Barrick’s
ownership share).
137
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Reconciliation of Copper Cost of Sales to C1 cash costs and All-in sustaining costs,
including on a per pound basis, by operating site
($ millions, except per pound information in dollars)
For the three months ended
Cost of sales
Depreciation/amortization
Treatment and refinement charges
Less: royalties
By-product credits
C1 cash cost of sales
Rehabilitation – accretion and amortization
Royalties
Minesite exploration and evaluation costs
Minesite sustaining capital expenditures
Sustaining leases
All-in sustaining costs
Pounds sold – attributable basis (millions pounds)
Cost of sales per pounda,b
C1 cash costs per pounda
All-in sustaining costs per pounda
12/31/23
9/30/23
Zaldívar
Lumwana
Jabal
Sayid
Zaldívar
Lumwana
Jabal
Sayid
101
(24)
0
0
0
77
0
0
0
13
2
92
26
3.85
2.93
3.51
206
(84)
44
(16)
0
150
2
16
0
68
0
236
70
2.95
2.14
3.38
34
(8)
7
0
(5)
28
0
0
0
3
1
32
21
1.59
1.32
1.50
83
(18)
0
0
(1)
64
0
0
3
4
1
72
21
3.86
2.99
3.39
167
(70)
42
(15)
0
124
3
15
0
85
1
228
67
2.48
1.86
3.41
22
(5)
5
0
(3)
19
0
0
0
2
0
21
13
1.72
1.45
1.64
($ millions, except per pound
information in dollars)
Cost of sales
Depreciation/amortization
Treatment and refinement charges
Less: royalties
By-product credits
C1 cash cost of sales
Rehabilitation – accretion
and amortization
Royalties
Minesite exploration and
evaluation costs
Minesite sustaining capital
expenditures
Sustaining leases
All-in sustaining costs
Pounds sold – attributable basis
(millions pounds)
Cost of sales per pounda,b
C1 cash costs per pounda
All-in sustaining costs per pounda
12/31/23
12/31/22
12/31/21
Zaldívar Lumwana
Jabal
Sayid
Zaldívar Lumwana
Jabal
Sayid
Zaldívar Lumwana
Jabal
Sayid
For the years ended
354
(81)
0
0
(1)
272
0
0
7
34
6
319
92
3.83
2.95
3.46
723
(257)
166
(62)
0
570
9
62
0
223
2
866
249
2.91
2.29
3.48
107
(24)
25
0
(18)
90
0
0
0
9
4
103
67
1.60
1.35
1.53
305
(74)
0
0
0
231
0
0
11
44
3
289
98
3.12
2.36
2.95
666
(223)
179
(103)
0
519
3
103
11
360
3
999
275
2.42
1.89
3.63
110
(24)
20
0
(14)
92
1
0
0
6
0
99
72
1.52
1.26
1.36
314
(79)
0
0
0
235
1
0
13
37
4
290
98
3.19
2.38
2.94
569
(197)
140
(103)
0
409
5
103
0
189
3
709
253
2.25
1.62
2.80
99
(21)
21
0
(15)
84
0
0
1
8
2
95
72
1.38
1.18
1.33
a. Cost of sales per pound, C1 cash costs per pound and all-in sustaining costs per pound may not calculate based on amounts presented in this table due to
rounding.
b. 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 using Barrick’s
ownership share).
138
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS EBITDA, Adjusted EBITDA and Attributable EBITDA
EBITDA is a non-GAAP financial measure, which excludes the following
from net earnings:
Income tax expense;
•
• Finance costs;
• Finance income; and
• Depreciation.
Management believes that EBITDA is a valuable indicator of our
ability to generate liquidity by producing operating cash flow to fund
working capital needs, service debt obligations, and fund capital
expenditures. Management uses EBITDA for this purpose. EBITDA is
also frequently used by investors and analysts for valuation purposes
whereby EBITDA is multiplied by a factor or “EBITDA multiple” that is
based on an observed or inferred relationship between EBITDA and
market values to determine the approximate total enterprise value of
a company.
In addition to adjusted EBITDA, we are also providing attributable
EBITDA, which we introduced in the third quarter of 2023 and removes
the non-controlling interest portion from our adjusted EBITDA measure.
Prior periods have been presented to allow for comparability. Adjusted
EBITDA removes the effect of impairment charges; acquisition/
disposition gains/losses; foreign currency translation gains/losses;
other expense adjustments; and non-controlling interests. We also
remove the impact of the income tax expense, finance costs, finance
income and depreciation incurred in our equity method accounted
investments. Attributable EBITDA further removes the non-controlling
interest portion. We believe these items provide a greater level of
consistency with the adjusting items included in our adjusted net
earnings reconciliation, with the exception that these amounts are
adjusted to remove any impact on finance costs/income, income
tax expense and/or depreciation as they do not affect EBITDA. We
believe this additional information will assist analysts, investors and
other stakeholders of Barrick in better understanding our ability to
generate liquidity from our attributable business, including equity
method investments, by excluding these amounts from the calculation
as they are not indicative of the performance of our core mining
business and do not necessarily reflect the underlying operating
results for the periods presented. Additionally, it is aligned with how
we present our forward-looking guidance on gold ounces and copper
pounds produced.
EBITDA, adjusted EBITDA and attributable EBITDA are intended
to provide additional information to investors and analysts and do
not have any standardized definition under IFRS, and should not be
considered in isolation or as a substitute for measures of performance
prepared in accordance with IFRS. EBITDA, adjusted EBITDA and
attributable EBITDA exclude the impact of cash costs of financing
activities and taxes, and the effects of changes in operating working
capital balances, and therefore are not necessarily indicative of
operating profit or cash flow from operations as determined under
IFRS. Other companies may calculate EBITDA, adjusted EBITDA and
attributable EBITDA differently.
Reconciliation of Net Earnings to EBITDA, Adjusted EBITDA and Attributable EBITDA
($ millions)
Net earnings
Income tax expense
Finance costs, neta
Depreciation
EBITDA
Impairment charges (reversals) of non-current assetsb
Acquisition/disposition gainsc
Loss on currency translation
Other expense (income) adjustmentsd
Income tax expense, net finance costsa, and depreciation
from equity investees
Adjusted EBITDA
Non-controlling Interests
Attributable EBITDA
Revenues – as adjustede
Attributable EBITDA marginf
For the three months ended
For the years ended
12/31/23
9/30/23
12/31/23
12/31/22
12/31/21
597
174
(7)
564
1,328
289
(354)
37
41
118
1,459
(391)
1,068
2,514
42%
585
218
30
504
1,337
0
(4)
30
(5)
106
1,464
(393)
1,071
2,363
45%
1,953
861
83
2,043
4,940
312
(364)
93
96
397
5,474
(1,487)
3,987
9,411
42%
1,017
664
235
1,997
3,913
1,671
(405)
16
17
401
5,613
(1,584)
4,029
9,147
44%
3,288
1,344
307
2,102
7,041
(63)
(213)
29
73
391
7,258
(2,011)
5,247
9,829
53%
a. Finance costs exclude accretion.
b. Net impairment charges for the three months and year ended December 31, 2023 mainly relate to a long-lived asset impairment at Long Canyon. For the year ended
December 31, 2022, net impairment charges primarily relate to a goodwill impairment at Loulo-Gounkoto, and non-current asset impairments at Veladero and Long
Canyon, partially offset by an impairment reversal at Reko Diq.
c. Acquisition/disposition gains for the three months and year ended December 31, 2023 primarily relate to a gain on the reopening of the Porgera mine as the
conditions for the reopening were completed on December 22, 2023. For the year ended December 31, 2022, acquisition/disposition gains primarily relate to a gain
as Barrick’s interest in the Reko Diq project increased from 37.5% to 50% and the sale of two royalty portfolios.
d. Other expense (income) adjustments for the three months and year ended December 31, 2023 mainly relate to changes in the discount rate assumptions on our
closed mine rehabilitation provision and care and maintenance expenses at Porgera. The year ended December 31, 2023 was further impacted by the $30 million
commitment we made towards the expansion of education infrastructure in Tanzania, per our community investment obligations under the Twiga partnership. For
the year ended December 31, 2022, other expense (income) adjustments mainly relate to a net realizable value impairment of leach pad inventory at Veladero, care
and maintenance expenses at Porgera and supplies obsolescence write-off at Bulyanhulu and North Mara.
e. Refer to Reconciliation of Sales to Realized Price per pound/ounce on page 141 of this MD&A.
f. Represents Attributable EBITDA divided by revenues – as adjusted.
139
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS Reconciliation of Segment Income to Segment EBITDA
($ millions)
Income
Depreciation
EBITDA
Income
Depreciation
EBITDA
Income
Depreciation
EBITDA
Income
Depreciation
EBITDA
Income
Depreciation
EBITDA
Carlina
(61.5%)
Cortez
(61.5%)
168
47
215
102
73
175
Turquoise
Ridge
(61.5%)
Nevada
Gold
Minesb
(61.5%)
Pueblo
Viejo
(60%)
Loulo-
Gounkoto
(80%)
48
31
79
355
167
522
49
40
89
82
47
129
Carlina
(61.5%)
Cortez
(61.5%)
174
51
225
87
54
141
Turquoise
Ridge
(61.5%)
Nevada
Gold
Minesb
(61.5%)
Pueblo
Viejo
(60%)
Loulo-
Gounkoto
(80%)
49
28
77
314
146
460
31
39
70
111
45
156
Carlina
(61.5%)
Cortez
(61.5%)
577
193
770
333
224
557
Turquoise
Ridge
(61.5%)
Nevada
Gold
Minesb
(61.5%)
Pueblo
Viejo
(60%)
Loulo-
Gounkoto
(80%)
172
116
288
1,145
591
1,736
187
154
341
388
197
585
Carlina
(61.5%)
Cortez
(61.5%)
685
192
877
277
155
432
Turquoise
Ridge
(61.5%)
Nevada
Gold
Minesb
(61.5%)
Pueblo
Viejo
(60%)
Loulo-
Gounkoto
(80%)
98
110
208
1,144
551
1,695
265
146
411
342
205
547
Carlina
(61.5%)
Cortez
(61.5%)
733
170
903
337
181
518
Turquoise
Ridge
(61.5%)
Nevada
Gold
Minesb
(61.5%)
Pueblo
Viejo
(60%)
Loulo-
Gounkoto
(80%)
229
123
352
1,675
630
2,305
445
142
587
380
222
602
Kibali
(45%)
78
37
115
Kibali
(45%)
72
44
116
Kibali
(45%)
243
147
390
Kibali
(45%)
142
178
320
Kibali
(45%)
278
141
419
For the three months ended 12/31/23
North
Mara
(84%)
12
18
30
Bulyanhulu
(84%)
Lumwana
(100%)
32
13
45
17
85
102
For the three months ended 9/30/23
North
Mara
(84%)
37
14
51
North
Mara
(84%)
139
64
203
North
Mara
(84%)
177
61
238
North
Mara
(84%)
214
47
261
Bulyanhulu
(84%)
Lumwana
(100%)
33
13
46
32
69
101
For the year ended 12/31/23
Bulyanhulu
(84%)
Lumwana
(100%)
123
52
175
37
257
294
For the year ended 12/31/22
Bulyanhulu
(84%)
Lumwana
(100%)
118
50
168
180
223
403
For the year ended 12/31/21
Bulyanhulu
(84%)
Lumwana
(100%)
122
48
170
391
197
588
a. On September 7, 2021, NGM announced it had entered into an Exchange Agreement with i-80 Gold to acquire the 40% interest in South Arturo that NGM did not
already own in exchange for the Lone Tree and Buffalo Mountain properties and infrastructure. Operating results within our 61.5% interest in Carlin includes NGM’s
60% interest in South Arturo up until May 30, 2021, and 100% interest thereafter, and operating results within our 61.5% interest in Phoenix includes Lone Tree up
until May 30, 2021, reflecting the terms of the Exchange Agreement which closed on October 14, 2021.
b. These results represent our 61.5% interest in Carlin (including NGM’s 60% interest in South Arturo up until May 30, 2021 and 100% interest thereafter, reflecting
the terms of the Exchange Agreement with i-80 Gold to acquire the 40% interest in South Arturo that NGM did not already own in exchange for the Lone Tree and
Buffalo Mountain properties and infrastructure, which closed on October 14, 2021), Cortez, Turquoise Ridge, Phoenix and Long Canyon.
Realized Price
Realized price is a non-GAAP financial measure which excludes from
sales:
• Treatment and refining charges; and
• Cumulative catch-up adjustment to revenue relating to our
streaming arrangements.
We believe this provides investors and analysts with a more accurate
measure with which to compare to market gold and copper prices and
to assess our gold and copper sales performance. For those reasons,
management believes that this measure provides a more accurate
reflection of our Company’s past performance and is a better indicator
of its expected performance in future periods.
140
The realized price measure is intended to provide additional
information, and does not have any standardized definition under
IFRS and should not be considered in isolation or as a substitute
for measures of performance prepared in accordance with IFRS.
The measure is not necessarily indicative of sales as determined
under IFRS. Other companies may calculate this measure differently.
The following table reconciles realized prices to the most directly
comparable IFRS measure.
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS Reconciliation of Sales to Realized Price per ounce/pound
($ millions, except
per ounce/pound
information in dollars)
Sales
Sales applicable to
non-controlling interests
Sales applicable to equity
method investmentsa,b
Sales applicable to sites
in closure or care and
maintenancec
Treatment and
refining charges
Otherd
Revenues – as adjusted
Ounces/pounds sold
(000s ounces/millions pounds)c
Realized gold/copper price
per ounce/pounde
For the three months ended
For the years ended
Gold
Copper
Gold
Copper
12/31/23
9/30/23 12/31/23
9/30/23 12/31/23 12/31/22 12/31/21 12/31/23 12/31/22 12/31/21
2,767
2,588
226
209
10,350
9,920
10,738
795
868
962
(872)
(797)
0
0
(3,179)
(3,051)
(3,323)
0
0
0
183
187
168
126
667
597
660
587
646
707
(2)
8
(15)
(4)
7
0
2,069
1,981
1,042
1,027
0
51
0
445
117
0
47
0
382
101
(15)
30
(15)
(55)
(88)
23
0
10
2
0
191
0
0
199
0
0
161
0
7,838
7,434
7,999
1,573
1,713
1,830
4,024
4,141
4,468
408
445
423
1,986
1,928
3.78
3.78
1,948
1,795
1,790
3.85
3.85
4.32
a. Represents sales of $183 million and $667 million, respectively, for the three months and year ended December 31, 2023 (September 30, 2023: $187 million; 2022:
$597 million; 2021: $661 million) applicable to our 45% equity method investment in Kibali. Represents sales of $98 million and $359 million, respectively, for the
three months and year ended December 31, 2023 (September 30, 2023: $82 million; 2022: $390 million; 2021: $423 million) applicable to our 50% equity method
investment in Zaldívar and $77 million and $253 million, respectively (September 30, 2023: $49 million; 2022: $275 million; 2021: $305 million) applicable to our
50% equity method investment in Jabal Sayid for copper.
b. Sales applicable to equity method investments are net of treatment and refinement charges.
c. Excludes Pierina, Lagunas Norte up until its divestiture in June 2021, and Buzwagi starting in the fourth quarter of 2021. Some of these assets are producing
incidental ounces while in closure or care and maintenance.
d. Represents cumulative catch-up adjustment to revenue relating to our streaming arrangements. Refer to note 2f to the Financial Statements for more information.
e. Realized price per ounce/pound may not calculate based on amounts presented in this table.
TECHNICAL INFORMATION
The scientific and technical information contained in this MD&A
has been reviewed and approved by Craig Fiddes, SME-RM, Lead,
Resource Modeling, Nevada Gold Mines; Chad Yuhasz, P.Geo,
Mineral Resource Manager, Latin America & Asia Pacific; Richard
Peattie, MPhil, FAusIMM, Mineral Resources Manager: Africa and
Middle East; Simon Bottoms, CGeol, MGeol, FGS, FAusIMM, Mineral
Resource Management and Evaluation Executive; John Steele, CIM,
Metallurgy, Engineering and Capital Projects Executive; and Joel
Holliday, FAusIMM, Executive Vice-President, Exploration – each
a “Qualified Person” as defined in National Instrument 43-101 –
Standards of Disclosure for Mineral Projects.
All mineral reserve and mineral resource estimates are estimated in
accordance with National Instrument 43-101 – Standards of Disclosure
for Mineral Projects. Unless otherwise noted, such mineral reserve and
mineral resource estimates are as of December 31, 2023.
141
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS ENDNOTES
1
A Tier One Gold Asset is an asset with a $1,300/oz reserve with
potential for 5 million ounces to support a minimum 10-year life,
annual production of at least 500,000 ounces of gold and with
all-in sustaining costs per ounce in the lower half of the industry
cost curve.
A Tier Two Gold Asset is an asset with a reserve with potential
to deliver a minimum 10-year life, annual production of at least
250,000 ounces of gold and total cash costs per ounce over the
mine life that are in the lower half of the industry cost curve.
A Tier One Copper Asset is an asset with a $3.00/lb reserve
with potential for 5 million tonnes or more of contained copper
to support a minimum 20-year life, annual production of at least
200ktpa, with all-in sustaining costs per pound in the lower half of
the industry cost curve.
A Strategic Asset is an asset, which in the opinion of Barrick, has
the potential to deliver significant unrealized value in the future.
Currently consists of Barrick’s Lumwana mine and Zaldívar, Jabal
Sayid and Reko Diq joint ventures.
Further information on these non-GAAP financial measures,
including detailed reconciliations, is included on pages 115 to 141
of this MD&A.
Gold cost of sales per ounce is calculated as cost of sales
across our gold operations (excluding sites in closure or care and
maintenance) divided by ounces sold (both on an attributable
basis using 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 using
Barrick’s ownership share).
TRIFR is a ratio calculated as follows: number of reportable
injuries x 1,000,000 hours divided by the total number of hours
worked. Reportable injuries include fatalities, lost time injuries,
restricted duty injuries, and medically treated injuries. LTIFR is a
ratio calculated as follows: number of lost time injuries x 1,000,000
hours divided by the total number of hours worked.
Class 1 – High Significance is defined as an incident that causes
significant negative impacts on human health or the environment
or an incident that extends onto publicly accessible land and has
the potential to cause significant adverse impact to surrounding
communities, livestock or wildlife.
2
3
4
5
6
7
8
9
10 Categories as defined in the Greenhouse Gas Protocol’s Technical
Guidance for Calculating Scope 3 Emissions. Achievement of
Barrick’s Scope 3 targets will require collaboration with suppliers
and customers in our value chain, which are outside of Barrick’s
direct control.
11 Preliminary figures and subject to external assurance.
12 All mineral resource and mineral reserve estimates of tonnes, Au
oz, Ag oz and Cu Mt are reported to the second significant digit.
All measured and indicated mineral resource estimates of grade
and all proven and probable mineral reserve estimates of grade for
Au g/t, Ag g/t and Cu % are reported to two decimal places. All
inferred mineral resource estimates of grade for Au g/t, Ag g/t and
Cu % are reported to one decimal place. 2023 polymetallic mineral
resources and mineral reserves are estimated using the combined
value of gold, copper & silver and accordingly are reported as
gold, copper & silver mineral resources and mineral reserves.
13 Estimated in accordance with National Instrument 43-101 –
Standards of Disclosure for Mineral Projects as required by
Canadian securities regulatory authorities. Estimates are as of
December 31, 2023, unless otherwise noted. Proven reserves of
250 million tonnes grading 1.85 g/t, representing 15 million ounces
of gold, and 320 million tonnes grading 0.41%, representing
1.3 million tonnes of copper. Probable reserves of 1,200 million
tonnes grading 1.61 g/t, representing 61 million ounces of gold,
and 1,100 million tonnes grading 0.38%, representing 4.3 million
tonnes of copper. Measured resources of 430 million tonnes grading
1.76 g/t, representing 24 million ounces of gold, and 580 million
tonnes grading 0.39%, representing 2.2 million tonnes of copper.
Indicated resources of 4,800 million tonnes grading 1.00 g/t,
representing 150 million ounces of gold, and 4,900 million tonnes
grading 0.39%, representing 19 million tonnes of copper. Inferred
resources of 1,500 million tonnes grading 0.8 g/t, representing
142
39 million ounces of gold, and 2,000 million tonnes grading 0.4%,
representing 7.1 million tonnes of copper. Totals may not appear
to sum correctly due to rounding. Complete mineral reserve and
mineral resource data for all mines and projects referenced in this
MD&A, including tonnes, grades, and ounces, can be found on
pages 150 to 158 of Barrick’s Annual Report 2023.
14 Estimated in accordance with National Instrument 43-101 –
Standards of Disclosure for Mineral Projects as required by
Canadian securities regulatory authorities. Estimates as of
December 31, 2022, unless otherwise noted. Proven mineral
reserves of 260 million tonnes grading 2.26 g/t, representing
19 million ounces of gold, and 390 million tonnes grading
0.40%, representing 3,500 million pounds of copper. Probable
reserves of 1,200 million tonnes grading 1.53 g/t, representing
57 million ounces of gold, and 1,100 million tonnes grading
0.37%, representing 8,800 million pounds of copper. Measured
resources of 480 million tonnes grading 2.13 g/t, representing
33 million ounces of gold, and 700 million tonnes grading
0.39%, representing 6,000 million pounds of copper. Indicated
resources of 4,700 million tonnes grading 0.96 g/t, representing
150 million ounces of gold, and 4,500 million tonnes grading
0.39%, representing 38,000 million pounds of copper. Inferred
resources of 1,500 million tonnes grading 0.8 g/t, representing
42 million ounces of gold, and 1,800 million tonnes grading 0.4%,
representing 15,000 million pounds of copper. Totals may not
appear to sum correctly due to rounding. Complete 2022 mineral
reserve and mineral resource data for all mines and projects
referenced in this MD&A, including tonnes, grades, and ounces,
can be found on pages 33 to 46 of Barrick’s Annual Information
Form/Form 40-F for the year ended December 31, 2022 on file with
Canadian provincial securities regulatory authorities and the U.S.
Securities and Exchange Commission.
15 Proven and probable reserve gains from cumulative net change in
reserves from year end 2019 to 2023.
Reserve replacement percentage is calculated from the cumulative
net change in reserves from 2020 to 2023 divided by the cumulative
depletion in reserves from year end 2019 to 2023 as shown in the
table below:
Attributable
Gold
Acquisition &
Divestments
(Moz)
Attributable
P&P Gold
(Moz)
Attributable
Gold
Depletion
(Moz)
Attributable
Gold Net
Change
(Moz)
71
68
69
76
77
–
(2.2)
(0.91)
–
–
–
(5.5)
(5.4)
(4.8)
(4.6)
N/A
(3.1)
(20)
–
4.2
8.1
12
5
29
Year
2019a
2020b
2021c
2022d
2023e
2019 –
2023
Total
Totals may not appear to sum correctly due to rounding.
Attributable acquisitions and divestments includes the following:
a decrease of 2.2 Moz in proven and probable gold reserves from
December 31, 2019 to December 31, 2020, as a result of the
divestiture of Barrick’s Massawa gold project effective March 4,
2020; and a decrease of 0.91 Moz in proven and probable gold
reserves from December 31, 2020 to December 31, 2021, as a
result of the change in Barrick’s ownership interest in Porgera
from 47.5% to 24.5% and the net impact of the asset exchange of
Lone Tree to i-80 Gold for the remaining 50% of South Arturo that
Nevada Gold Mines did not already own.
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS
All estimates are estimated in accordance with National Instrument
43-101 – Standards of Disclosure for Mineral Projects as required
by Canadian securities regulatory authorities.
a. Estimates as of December 31, 2019, unless otherwise noted. Proven
reserves of 280 million tonnes grading 2.42 g/t, representing 22 million
ounces of gold and Probable reserves of 1,000 million tonnes grading
1.48 g/t, representing 49 million ounces of gold.
b. Estimates as of December 31, 2020, unless otherwise noted. Proven
reserves of 280 million tonnes grading 2.37 g/t, representing 21 million
ounces of gold and Probable reserves of 990 million tonnes grading
1.46 g/t, representing 47 million ounces of gold.
c. Estimates as of December 31, 2021, unless otherwise noted. Proven
reserves of 240 million tonnes grading 2.20 g/t, representing 17 million
ounces of gold and Probable reserves of 1,000 million tonnes grading
1.60 g/t, representing 53 million ounces of gold.
d. Estimates as of December 31, 2022, unless otherwise noted. Proven
reserves of 260 million tonnes grading 2.26 g/t, representing 19 million
ounces of gold and Probable reserves of 1,200 million tonnes grading
1.53 g/t, representing 57 million ounces of gold.
e. Estimates as of December 31, 2023, unless otherwise noted. Proven
reserves of 250 million tonnes grading 1.85 g/t, representing 15 million
ounces of gold and Probable reserves of 1,200 million tonnes grading
1.61 g/t, representing 61 million ounces of gold.
16 Fourmile is currently 100% owned by Barrick. As previously
disclosed, Barrick anticipates Fourmile being contributed to
the NGM joint venture if certain criteria are met following the
completion of drilling and the requisite feasibility work.
17 See the Technical Report on the Cortez Complex, Lander and
Eureka Counties, State of Nevada, USA, dated December 31,
2021, and filed on SEDAR+ at www.sedarplus.ca and EDGAR at
www.sec.gov on March 18, 2022.
18 See the Technical Report on the Pueblo Viejo mine, Dominican
Republic, dated March 17, 2023, and filed on SEDAR+ at www.
sedarplus.ca and EDGAR at www.sec.gov on March 17, 2023.
19 Lumwana financial metrics and production metrics are based upon
a preliminary economic assessment which is preliminary in nature
because it includes inferred mineral resources that are considered
too speculative geologically to have the economic considerations
applied to them that would enable them to be categorized as
mineral reserves, and there is no certainty that the preliminary
economic assessment will be realized. The preliminary economic
assessment for Lumwana Super Pit is based upon a $3.00/lb
whittle pit shell. The assumptions outlined within the preliminary
economic assessment have formed the basis for the ongoing pre-
feasibility study and are made by the qualified person.
20 Greater Leeville Significant Interceptsa
Drill Holeb
HSC-23001
HSX-23002
Azimuth
129
183
Dip
(26)
(28)
Interval (m)
250.5 – 283.2
848.9 – 857.3
Width (m)c
32.6
8.4
Au (g/t)
32.88
5.85
Drill Results from Q4 2023
a. All intercepts calculated using a 3.4 g/t Au cutoff and are uncapped; minimum downhole intercept width is 3.0 meters; internal dilution is less than 20%
total width.
b. Carlin Trend drill hole nomenclature: Project area (HSC – Horsham Underground Core, HSX – Horsham Exploration) followed by the year (23 for 2023) then
hole number.
c. True width of the intercepts are uncertain at this stage.
The drilling results for Leeville contained in this MD&A have been prepared in accordance with National Instrument 43-101 – Standards
of Disclosure for Mineral Projects. All drill hole assay information has been manually reviewed and approved by staff geologists and
re-checked by the project manager. Sample preparation and analyses are conducted by an independent laboratory, ALS Minerals. Procedures
are employed to ensure security of samples during their delivery from the drill rig to the laboratory. The quality assurance procedures, data
verification and assay protocols used in connection with drilling and sampling on the Carlin Trend conform to industry accepted quality
control methods.
21 Upper Rita K Inventory Significant Interceptsa
Drill Results from Q4 2023
Drill Holeb
Azimuth
RKU-23014
257
Dip
6
Interval (m) Width (m)c
Au (g/t)
Interval (m)
Including
Width (m)
244.4 – 263
18.6
9.33
256.6 – 263.0
6.4
Au (g/t)
17.69
a. All intercepts calculated using a 3.4 g/t Au cutoff and are uncapped; minimum downhole intercept width is 3.0 meters; internal dilution is less than 20% total width.
b. Carlin Trend drill hole nomenclature: Project area (RKU – Rita K Core) followed by hole number. As of 2022, the first two numbers following “RKU” will denote
the year drilled; i.e. RKU-23XXX is a core hole drilled in Rita K in 2023.
c. True width of the intercepts for RKU drillholes is uncertain at this stage.
The drilling results for Rita K contained in this MD&A have been prepared in accordance with National Instrument 43-101 – Standards of
Disclosure for Mineral Projects. All drill hole assay information has been manually reviewed and approved by staff geologists and re-checked
by the project manager. Sample preparation and analyses are conducted by independent laboratories, ALS Minerals and American Assay
Laboratories. Procedures are employed to ensure security of samples during their delivery from the drill rig to the laboratory. The quality
assurance procedures, data verification and assay protocols used in connection with drilling and sampling on the Carlin Trend conform to
industry accepted quality control methods.
143
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS
22 Ren Resource Significant Interceptsa
Drill Results from Q4 2023
Drill Holeb
REN-23001B
Azimuth
328
Dip
83
Interval (m)
903.8 – 908.5
Width (m)c
4.7
Au (g/t)
24.90
a. All intercepts calculated using a 3.4 g/t Au cutoff and are uncapped; minimum intercept width is 3 meters; internal dilution is less than 20% total width.
b. Carlin Trend drill hole nomenclature: Project area (REN – Ren) followed by the year (i.e. “23” for 2023) then hole number.
c. True width of intercepts are uncertain at this stage.
The drilling results for Ren contained in this MD&A have been prepared in accordance with National Instrument 43-101 – Standards of
Disclosure for Mineral Projects. All drill hole assay information has been manually reviewed and approved by staff geologists and re-checked
by the project manager. Sample preparation and analyses are conducted by an independent laboratory, ALS Minerals. Procedures are
employed to ensure security of samples during their delivery from the drill rig to the laboratory. The quality assurance procedures, data
verification and assay protocols used in connection with drilling and sampling on Ren conform to industry accepted quality control methods.
23 Carlin Trend Significant Interceptsa
Drill Holeb
LBB-23010
Azimuth
0
WSF-23007
WSF-23008
315
0
Drill Results from Q4 2023
Dip
(90)
(80)
(90)
Interval (m)
651.4 – 654.0
65*9.7 – 660.6
673.9 – 675.7
Width (m)c
Au (g/t)
2.6
0.9
1.8
6.35
3.91
3.70
No significant intercept
No significant intercept
a. All intercepts calculated using a 3.4 g/t Au cutoff and are uncapped; minimum intercept width is 0.8 meters; internal dilution is less than 20% total width.
b. Carlin Trend drill hole nomenclature: Project area (LBB – Little Boulder Basin, WSF – Western Spur) followed by the year (23 for 2023) then hole number.
c. True widths of intercepts are uncertain at this stage.
The drilling results for Carlin Trend contained in this MD&A have been prepared in accordance with National Instrument 43-101 – Standards
of Disclosure for Mineral Projects. All drill hole assay information has been manually reviewed and approved by staff geologists and
re-checked by the project manager. Sample preparation and analyses are conducted by ALS Minerals, an independent laboratory. Procedures
are employed to ensure security of samples during their delivery from the drill rig to the laboratory. The quality assurance procedures,
data verification and assay protocols used in connection with drilling and sampling on Carlin Trend conform to industry accepted quality
control methods.
24 Cortez Hanson Significant Interceptsa
Drill Holeb
CMX-23017
CMX-23018
Azimuth
300
260
Dip
(50)
(62)
Interval (m)
445 – 447.1
444.4 – 477.6
Width (m)c
2.1
33.2
Au (g/t)
23.15
18.42
Drill Results from Q4 2023
a. All intercepts calculated using a 3.42 g/t Au cutoff and are uncapped; minimum intercept width is 1.4 meters; internal dilution is less than 20% total width.
b. Carlin Trend drill hole nomenclature: Project (CMX – CHUG Minex) followed by the year (23 for 2023) then hole number.
c. True width of intercepts are uncertain at this stage.
The drilling results for Cortez contained in this MD&A have been prepared in accordance with National Instrument 43-101 – Standards of
Disclosure for Mineral Projects. All drill hole assay information has been manually reviewed and approved by staff geologists and re-checked
by the project manager. Sample preparation and analyses are conducted by an independent laboratory, ALS Minerals. Procedures are
employed to ensure security of samples during their delivery from the drill rig to the laboratory. The quality assurance procedures, data
verification and assay protocols used in connection with drilling and sampling at Cortez conform to industry accepted quality control methods.
144
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS 25 Robertson Significant Interceptsa
Drill Holeb
DTL-23012
Azimuth
287
Dip
67
DTL-23013
261
60
Drill Results from Q4 2023
Interval (m)
Width (m)c
True Width (m)c
Au (g/t)
71.9 – 77.1
80.5 – 83.7
171.9 – 180.7
183.8 – 192.9
104.6 – 113.7
119.8 – 127.4
134.6 – 143.9
146.9 – 151.5
190.9 – 197.5
5.2
3.2
8.8
9.1
9.1
7.6
9.3
4.6
6.6
5.2
3.2
8.7
9.0
9.1
7.6
9.3
4.6
6.6
0.50
0.18
1.06
0.45
0.56
1.77
1.78
1.59
1.74
a. All intercepts calculated using a 0.17 g/t Au cutoff and are uncapped; minimum downhole intercept width is 3.0 meters (consecutive) or less of unmineralized
between intercepts; internal dilution is less than 20%.
b. Robertson drill hole nomenclature: Project area: DTL: Distal, followed by “23” which indicates drill year of 2023.
c. True width of intercepts have been estimated based on the current geological model.
The drilling results for Robertson property contained in this MD&A have been prepared in accordance with National Instrument 43-101 –
Standards of Disclosure for Mineral Projects. All drill hole assay information has been manually reviewed and approved by staff geologists
and re-checked by the project manager. Sample preparation and analyses are conducted by ALS Minerals and SGS S.A., independent
laboratories. Industry accepted best practices for preparation and fire assaying procedures are utilized to determine gold content. Procedures
are employed to ensure security of samples during their delivery from the drill rig to the laboratory. The quality assurance procedures, data
verification and assay protocols used in connection with drilling and sampling on Robertson property conform to industry accepted quality
control methods.
26 Fourmile Significant Interceptsa
Drill Holeb
Azimuth
FM18-43D (ext)d
FM18-43D (ext)d
FM21-174D (ext)d
FM23-181Dd
FM23-182Dd
FM23-182DW1
FM23-183D
FM23-183D
FM23-183D
FM23-184D
FM23-185D
FM23-186D
FM23-186D
FM23-186D
FM23-187D
FM23-187D
FM23-187D
FM23-188D
FM23-188D
FM23-189D
155
155
181
194
337
337
326
326
326
17
10
239
239
239
232
232
232
99
99
40
Drill Results from Q4 2023
Dip
(84)
(84)
(69)
(80)
(80)
(80)
(80)
(80)
(80)
(74)
(84)
(84)
(84)
(84)
(80)
(80)
(80)
(79)
(79)
(76)
Interval (m)
Width (m)c
Au (g/t)
1544.9 – 1546.3
1558.4 – 1560.0
1680.8 – 1682.0
1270.9 – 1299.6
1016.1 – 1018.8
1039.4 – 1070.7
1245.9 – 1246.9
1248.0 – 1249.8
1352.6 – 1354.1
494.1 – 497.1
1.4
1.5
1.2
28.7
2.7
1.4
1.1
1.8
1.5
3.0
31.10
15.40
3.53
51.10
8.80
3.83
4.08
21.65
9.07
5.94
No significant intercept – Hole lost above target
1025 – 1025.8
1114.0 – 1115.7
1121.4 – 1122.7
1296.8 – 1298.6
1302.1 – 1304.7
1551.0 – 1551.7
1228.6 – 1232.5
1234.6 – 1236.0
0.8
1.5
1.4
1.8
2.6
0.8
3.8
1.4
In progress above target
43.00
6.01
110.00
57.23
40.22
6.61
16.26
9.91
a. All intercepts calculated using a 3.4 g/t Au cutoff and are uncapped; minimum intercept width is 0.8 meters; internal dilution less than 20% total width.
b. Fourmile drill hole nomenclature: Project area FM: Fourmile, followed by the year (23 for 2023) then hole number, additionally (ext) notes holes that were re-
entered and extended in 2023.
c. True widths of intercepts are uncertain at this stage.
d. Previously reported with minimum 3.0 meters width.
The drilling results for Fourmile contained in this MD&A have been prepared in accordance with National Instrument 43-101 – Standards
of Disclosure for Mineral Projects. All drill hole assay information has been manually reviewed and approved by staff geologists and
re-checked by the project manager. Sample preparation and analyses are conducted by ALS Minerals, an independent laboratory. Procedures
are employed to ensure security of samples during their delivery from the drill rig to the laboratory. The quality assurance procedures,
data verification and assay protocols used in connection with drilling and sampling at Fourmile conform to industry accepted quality
control methods.
145
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS 27 Turquoise Ridge Significant Interceptsa
Drill Results from Q4 2023
Drill Holeb
Azimuth
TUM-23307
TSG-23003A
134
357
Dip
(42)
(68)
Interval (m) Width (m)c
83.7 – 88.5
342.6 – 406.7
4.8
64.1
True Width
(m)c
Au (g/t)
Interval (m)
Including
Width (m)
63.3
95.18
4.42
85.6 – 87.6
2.0
Au (g/t)
212.00
a. All intercepts calculated using a 3.4 g/t Au cutoff and are uncapped; minimum downhole intercept width is 1 meter; internal dilution is less than 20% total width.
b. Turquoise Ridge drill hole nomenclature: Project area: TUM: Turquoise Underground Minex, TSG: Twin Surface Growth. First two numbers indicate year drilled.
c. True width of intercepts have been estimated based on the current geological model, where possible.
The drilling results for Turquoise Ridge contained in this MD&A have been prepared in accordance with National Instrument 43-101 –
Standards of Disclosure for Mineral Projects. All drill hole assay information has been manually reviewed and approved by staff geologists
and re-checked by the project manager. Sample preparation and analyses are conducted by ALS Minerals, an independent laboratory.
Procedures are employed to ensure security of samples during their delivery from the drill rig to the laboratory. The quality assurance
procedures, data verification and assay protocols used in connection with drilling and sampling on Turquoise Ridge conform to industry
accepted quality control methods.
28 Hemlo Significant Interceptsa
Drill Holeb
Azimuth
W2368
W2369
W2370
W2371
W2381
113
120.2
119.1
135
195.4
Drill Results from Q4 2023
Dip
(48.7)
(52.9)
(60.6)
(62.3)
(61.7)
Interval (m)
193 – 289
205 – 268.6
195 – 206.6
178.7 – 209.8
209 – 259.1
Width (m)c
True Width (m)c
Au (g/t)
96.0
63.6
11.6
31.1
50.1
67.9
48.7
10.0
22.0
38.4
1.25
0.91
3.98
2.64
0.95
a. All intercepts calculated using a 0.3 g/t Au cutoff: W23 holes are capped to 80 g/t Au; minimum intercept width is 5.0 meters; interal dilution is less than 42%
total width.
b. Hemlo drill hole nomenclature: Surface hole nomenclature is defined by “W” then year (e.g. 23 for 2023) then hole number.
c. True widths of intercepts are estimated using the angle to core axis.
The drilling results for Hemlo contained in this MD&A have been prepared in accordance with National Instrument 43-101 – Standards of
Disclosure for Mineral Projects. All drill hole assay information has been manually reviewed and approved by staff geologists and re-checked
by the project manager. Sample preparation and analyses are conducted by ALS Minerals, an independent laboratory. Procedures are
employed to ensure security of samples during their delivery from the drill rig to the laboratory. The quality assurance procedures, data
verification and assay protocols used in connection with drilling and sampling at Hemlo conform to industry accepted quality control methods.
146
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS 29 Loulo-Gounkoto Significant Interceptsa
Drill Holeb
Azimuth
BNRCDH335
BNRCDH335
BNRC336
BNRC336
BNRC336
BNRC336
BNRCDH337
BNRCDH337
BNRCDH337
BNRCDH337
BNRCDH337
BNRCDH337
BNRCDH337
BNRC341
DB1RC055
DB1RC055
DB1RC055
DBDH025
90
90
270
270
270
270
270
270
270
270
270
270
270
90
270
270
270
270
Dip
(50)
(50)
(50.54)
(50.54)
(50.54)
(50.54)
(50)
(50)
(50)
(50)
(50)
(50)
(50)
(50)
(55)
(55)
(55)
(55)
Drill Results from Q4 2023
Interval (m)
Width (m)c
Au (g/t)
Interval (m)
Includingd
Width (m)
Au (g/t)
205 – 211.2
221 – 238.5
1 – 3
157 – 164
167 – 172
175 – 179
15 – 22
32 – 35
38 – 44
56 – 61
195.8 – 199.8
6.2
17.5
2
7
5
4
7
3
6
5
4
240.25 – 244.3
4.05
260.8 – 265.4
206 – 208
32.00 – 56.00
58.00 – 66.00
150.00 – 153.00
4.6
2
24
8
3
249.90 – 255.80
5.9
4.41
2.41
0.81
1.19
1.69
0.88
1.04
0.82
0.75
0.59
1.73
0.83
0.92
2.26
2.45
1.60
0.80
0.73
222.80 – 227
4.20
4.48
43 – 48
50 – 54
60 – 62
5
4
2
3.88
3.53
4.28
a. All intercepts calculated using a 0.5 g/t Au cutoff and are uncapped; minimum intercept width is 2 meters; internal dilution is equal to or less than 2 meters
total width.
b. Loulo-Gounkoto drill hole nomenclature: prospect initial B (Baboto), DB and DB1 (Domaine Boundary 1) followed by type of drilling RC (Reverse Circulation),
DH (Diamond Drilling), RCDH (Reverse Circulation with Diamond tail).
c. True widths uncertain at this stage.
d. All intercepts calculated using a 3.0 g/t Au cutoff and are uncapped; minimum intercept width is 2 meters; internal dilution is equal to or less than 2 meters
total width.
The drilling results for the Loulo-Gounkoto property contained in this MD&A have been prepared in accordance with National Instrument
43-101 – Standards of Disclosure for Mineral Projects. All drill hole assay information has been manually reviewed and approved by staff
geologists and re-checked by the project manager. Sample preparation and analyses are conducted by SGS, an independent laboratory.
Industry accepted best practices for preparation and fire assaying procedures are utilized to determine gold content. Procedures are employed
to ensure security of samples during their delivery from the drill rig to the laboratory. The quality assurance procedures, data verification and
assay protocols used in connection with drilling and sampling on the Loulo property conform to industry accepted quality control methods.
30 Kibali Significant Interceptsa
Drill Holeb
Azimuth
ADD031
135
Dip
(75)
ADD032
DDD611
135
315
(75)
(80)
DDD613
155
(84)
53.3 – 59.85
ORDD0113
307
(93)
173.1 – 178.4
199.9 – 202.3
514.3 – 523.3
Drill Results from Q4 2023
Interval (m)
Width (m)c
Au (g/t)
Interval (m)
Includingd,e
Width (m)
Au (g/t)
45.5 – 50.3
75.35 – 102.06
4.80
26.71
207.2 – 209.6
216.15 – 241.62
298 – 300
9 – 14
21.2 – 23.2
27 – 29
36 – 49.1
103 – 116.55
2.40
25.47
2.00
5.00
2.00
2.00
13.10
13.55
6.55
5.30
2.40
9.00
76.6 – 81.35
86.15 – 93
96.3 – 98.46
4.75
6.85
2.16
19.56
7.93
8.92
232.62 – 239.42
6.80
10.59
45,578
3.00
12.19
104 – 105
112 – 116
54.1 – 55
1.00
4.00
0.90
4.04
3.19
3.47
1.20
6.63
0.62
3.64
0.76
7.53
1.49
22.30
1.09
2.02
1.66
6.68
2.26
2.28
147
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS 30 Kibali Significant Interceptsa (continued)
Drill Holeb
Azimuth
ORDD0114
ORDD0115
ORDD0116
302
306
301
Dip
(63)
(62)
(64)
ZBRC0025
270
(50)
ZBRC0026
ZBRC0027
ZBRC0028
ZBRC0029
270
270
270
270
(50)
(50)
(50)
(50)
ZBRC0030
270
(50)
ZBRC0031
ZBRC0032
ZBRC0033
ZBRC0034
270
270
270
270
(50)
(50)
(50)
(50)
Drill Results from Q4 2023
Interval (m)
Width (m)c
Au (g/t)
Interval (m)
333.24 – 355.65
22.41
5.43
334.19 – 344.2
347.8 – 353.7
10.01
5.90
Includingd,e
Width (m)
Au (g/t)
458 – 462
466 – 476.5
338.7 – 352.7
359.4 – 379.4
0 – 19
23 – 34
40 – 61
66 – 85
88 – 101
106 – 108
6 – 11
22 – 48
65 – 69
0 – 6
15 – 24
87 – 89
102 – 104
112 – 114
134 – 137
83 – 89
124 – 128
172 – 174
0 – 12
124 – 132
177 – 185
48 – 64
4.00
10.50
14.00
20.00
19.00
11.00
21.00
19.00
13.00
2.00
5.00
26.00
4.00
6.00
9.00
2.00
2.00
2.00
3.00
6.00
4.00
2.00
12.00
8.00
8.00
16.00
0.94
1.42
0.85
2.44
5.24
1.37
1.19
5.44
1.35
2.12
1.52
1.74
0.53
1.31
3.66
2.82
0.59
0.83
1.20
1.29
2.51
2.50
1.08
7.80
1.05
2.70
471 – 474
3.00
365.8 – 368.9
370.5 – 377.8
1 – 9
28 – 30
73 – 79
92 – 97
22 – 25
28 – 33
3.10
7.30
8.00
2.00
6.00
5.00
3.00
5.00
7.33
7.01
3.01
4.03
3.66
9.24
4.76
12.03
2.23
3.81
3.13
15 – 17
2.00
9.20
8 – 9
126 – 130
183 – 185
48 – 50
55 – 61
1.00
4.00
2.00
2.00
6.00
1.00
3.07
13.24
2.29
7.15
3.94
2.86
176 – 182
6.00
1.26
178 – 179
a. All intercepts calculated using a 0.5 g/t Au cutoff and are uncapped; minimum intercept width is 2 meters; internal dilution is equal to or less than 25% total width.
b. Kibali drill hole nomenclature: prospect initial (A=Agabarabo; D=Durba; O=Oere; ZB=Zambula) followed by type of drilling (RC=Reverse Circulation,
DD=Diamond, GC=Grade control) with no designation of the year. KCDU=KCD Underground.
c. True width of intercepts are uncertain at this stage.
d. Weighted average is calculated by fence using significant intercepts, over the strike length.
e. All including intercepts, calculated using a 0.5 g/t Au cutoff and are uncapped, minimum intercept width is 1 meter, no internal dilution, with grade significantly
above (>40%) the overall intercept grade.
The drilling results for the Kibali property contained in this MD&A have been prepared in accordance with National Instrument 43-101 –
Standards of Disclosure for Mineral Projects. All drill hole assay information has been manually reviewed and approved by staff geologists
and re-checked by the project manager. Sample preparation and analyses are conducted by SGS, an independent laboratory. Procedures
are employed to ensure security of samples during their delivery from the drill rig to the laboratory. The quality assurance procedures, data
verification and assay protocols used in connection with drilling and sampling on the Kibali property conform to industry accepted quality
control methods.
148
Annual Report 2023 | Barrick Gold CorporationMANAGEMENT’S DISCUSSION AND ANALYSIS GLOSSARY OF TECHNICAL TERMS
ALL-IN SUSTAINING COSTS: A non-GAAP measure of cost per
ounce/pound for gold/copper. Refer to page 117 of this MD&A for
further information and a reconciliation of the measure.
AUTOCLAVE: Oxidation process in which high temperatures and
pressures are applied to convert refractory sulfide mineralization into
amenable oxide ore.
BY-PRODUCT: A secondary metal or mineral product recovered in the
milling process such as silver.
C1 CASH COSTS: A non-GAAP measure of cost per pound for
copper. Refer to page 117 of this MD&A for further information and a
reconciliation of the measure.
CONCENTRATE: A very fine, powder-like product containing the
valuable ore mineral from which most of the waste mineral has been
eliminated.
CONTAINED OUNCES: Represents ounces in the ground before loss
of ounces not able to be recovered by the applicable metallurgical
processing process.
DEVELOPMENT: Work carried out for the purpose of gaining access
to an ore body. In an underground mine, this includes shaft sinking,
crosscutting, drifting and raising. In an open-pit mine, development
includes the removal of overburden (more commonly referred to as
stripping in an open pit).
DILUTION: The effect of waste or low-grade ore which is unavoidably
extracted and comingled with the ore mined thereby lowering the
recovered grade from what was planned to be mined.
DORÉ: Unrefined gold and silver bullion bars usually consisting of
approximately 90 percent precious metals that will be further refined
to almost pure metal.
DRILLING:
Core: drilling with a hollow bit with a diamond cutting rim to produce a
cylindrical core that is used for geological study and assays.
Reverse circulation: drilling that uses a rotating cutting bit within a
double-walled drill pipe and produces rock chips rather than core. Air
or water is circulated down to the bit between the inner and outer wall
of the drill pipe. The chips are forced to the surface through the center
of the drill pipe and are collected, examined and assayed.
In-fill: drilling closer spaced holes in between existing holes, used
to provide greater geological detail and to help upgrade resource
estimates to reserve estimates.
Step-out: drilling to intersect a mineralized horizon or structure along
strike or down-dip.
EXPLORATION: Prospecting, sampling, mapping, drilling and other
work involved in searching for minerals.
FREE CASH FLOW: A non-GAAP measure that reflects our ability to
generate cash flow. Refer to page 116 of this MD&A for a definition.
GRADE: The amount of metal in each tonne of ore, expressed as
grams per tonne (g/t) for precious metals and as a percentage for most
other metals.
Cut-off grade: the minimum metal grade at which an ore body can be
economically mined (used in the calculation of ore reserves).
Mill-head grade: metal content per tonne of ore going into a mill for
processing.
Reserve grade: estimated metal content of an ore body, based on
reserve calculations.
HEAP LEACHING: A process whereby gold/copper is extracted by
“heaping” broken ore on sloping impermeable pads and continually
applying to the heaps a weak cyanide solution/sulfuric acid which
dissolves the contained gold/copper. The gold/copper-laden solution
is then collected for gold/copper recovery.
HEAP LEACH PAD: A large impermeable foundation or pad used as a
base for stacking ore for the purpose of heap leaching.
MILL: A processing facility where ore is finely ground and thereafter
undergoes physical or chemical treatment to extract the valuable
metals.
MINERAL RESERVE: See pages 150 to 158 – Summary Gold/Copper
Mineral Reserves and Mineral Resources.
MINERAL RESOURCE: See pages 150 to 158 – Summary Gold/
Copper Mineral Reserves and Mineral Resources.
OPEN PIT: A mine where the minerals are mined entirely from the surface.
ORE: Rock, generally containing metallic or non-metallic minerals,
which can be mined and processed at a profit.
ORE BODY: A sufficiently large amount of ore that can be mined
economically.
OUNCES: Troy ounce is a unit of measure used for weighing gold at
999.9 parts per thousand purity and is equivalent to 31.1035g.
RECLAMATION: The process by which lands disturbed as a result
of mining activity are modified to support future beneficial land
use. Reclamation activity may include the removal of buildings,
equipment, machinery and other physical remnants of mining, closure
of tailings storage facilities, leach pads and other mine features,
and contouring, covering and re-vegetation of waste rock dumps and
other disturbed areas.
RECOVERY RATE: A term used in process metallurgy to indicate the
proportion of valuable material physically recovered in the processing
of ore. It is generally stated as a percentage of the valuable material
recovered compared to the total material originally contained in the ore.
REFINING: The final stage of metal production in which impurities are
removed through heating to extract the pure metal.
ROASTING: The treatment of sulfide ore by heat and air, or oxygen
enriched air, in order to oxidize sulfides and remove other elements
(carbon, antimony or arsenic).
STRIPPING: Removal of overburden or waste rock overlying an ore
body in preparation for mining by open-pit methods.
TAILINGS: The material that remains after all economically and
technically recoverable precious metals have been removed from the
ore during processing.
TOTAL CASH COSTS: A non-GAAP measure of cost per ounce for
gold. Refer to page 117 of this MD&A for further information and a
reconciliation of the measure.
149
Barrick Gold Corporation | Annual Report 2023MANAGEMENT’S DISCUSSION AND ANALYSIS MINERAL RESERVES
AND MINERAL RESOURCES
The tables on the next seven pages set forth Barrick’s interest in the total proven and probable gold, silver and copper reserves and in the total
measured, indicated and inferred gold, silver and copper resources and certain related information at each property. For further details of proven
and probable mineral reserves and measured, indicated and inferred mineral resources by category, metal and property, see pages 150 to 158.
The Company has carefully prepared and verified the mineral reserve and mineral resource figures and believes that its method of estimating
mineral reserves has been verified by mining experience. These figures are estimates, however, and no assurance can be given that the indicated
quantities of metal will be produced. Metal price fluctuations may render mineral reserves containing relatively lower grades of mineralization
uneconomic. Moreover, short-term operating factors relating to the mineral reserves, such as the need for orderly development of ore bodies or
the processing of new or different ore grades, could affect the Company’s profitability in any particular accounting period.
DEFINITIONS
A mineral resource is a concentration or occurrence of diamonds,
natural solid inorganic material, or natural solid fossilized organic
material including base and precious metals, coal, and industrial
minerals in or on the Earth’s crust in such form and quantity and of
such a grade or quality that it has reasonable prospects for economic
extraction. The location, quantity, grade, geological characteristics and
continuity of a mineral resource are known, estimated or interpreted
from specific geological evidence and knowledge. Mineral resources
are sub-divided, in order of increasing geological confidence, into
inferred, indicated and measured categories.
An inferred mineral resource is that part of a mineral resource for
which quantity and grade or quality can be estimated on the basis of
geological evidence and limited sampling and reasonably assumed,
but not verified, geological and grade continuity. The estimate is based
on limited information and sampling gathered through appropriate
techniques from locations such as outcrops, trenches, pits, workings
and drill holes.
An indicated mineral resource is that part of a mineral resource
for which quantity, grade or quality, densities, shape and physical
characteristics can be estimated with a level of confidence sufficient
to allow the appropriate application of technical and economic
parameters, to support mine planning and evaluation of the economic
viability of the deposit. The estimate is based on detailed and reliable
exploration and testing information gathered through appropriate
techniques from locations such as outcrops, trenches, pits, workings
and drill holes that are spaced closely enough for geological and grade
continuity to be reasonably assumed.
A measured mineral resource is that part of a mineral resource
for which quantity, grade or quality, densities, shape and physical
characteristics are so well established that they can be estimated
with confidence sufficient to allow the appropriate application of
technical and economic parameters, to support production planning
and evaluation of the economic viability of the deposit. The estimate
is based on detailed and reliable exploration, sampling and testing
information gathered through appropriate techniques from locations
such as outcrops, trenches, pits, workings and drill holes that are
spaced closely enough to confirm both geological and grade continuity.
Mineral resources, which are not mineral reserves, do not have
demonstrated economic viability.
A mineral reserve is the economically mineable part of a measured
or indicated mineral resource demonstrated by at least a preliminary
feasibility study. This study must include adequate information on
mining, processing, metallurgical, economic and other relevant factors
that demonstrate, at the time of reporting, that economic extraction
can be justified.
A mineral reserve includes diluting materials and allowances for
losses that may occur when the material is mined. Mineral reserves
are sub-divided in order of increasing confidence into probable
mineral reserves and proven mineral reserves. A probable mineral
reserve is the economically mineable part of an indicated and, in some
circumstances, a measured mineral resource demonstrated by at
least a preliminary feasibility study. This study must include adequate
information on mining, processing, metallurgical, economic and
other relevant factors that demonstrate, at the time of reporting, that
economic extraction can be justified.
A proven mineral reserve is the economically mineable part of a
measured mineral resource demonstrated by at least a preliminary
feasibility study. This study must include adequate information on
mining, processing, metallurgical, economic and other relevant factors
that demonstrate, at the time of reporting, that economic extraction
is justified.
150
Annual Report 2023 | Barrick Gold Corporation Gold Mineral Reserves1,2,3,6
As at December 31, 2023
PROVEN
PROBABLE
TOTAL
Tonnes
(Mt)
Grade
(g/t)
Contained
ozs
(Moz)
Tonnes
(Mt)
Grade
(g/t)
Contained
ozs
(Moz)
Tonnes
(Mt)
Grade
(g/t)
Contained
ozs
(Moz)
0.0017
0.32
0.32
0.00078
0.065
0.066
0.36
1.2
1.5
0.82
1.5
2.3
0.0080
0.26
0.27
0.20
4.7
2.4
–
0.14
0.14
2.8
0.38
5.8
0.22
–
0.22
0.064
–
Based on attributable ounces
AFRICA AND MIDDLE EAST
Bulyanhulu surface
Bulyanhulu underground
Bulyanhulu (84.00%) total
Jabal Sayid surface
Jabal Sayid underground
Jabal Sayid (50.00%) total
Kibali surface
Kibali underground
Kibali (45.00%) total
Loulo-Gounkoto surface
Loulo-Gounkoto underground
Loulo-Gounkoto (80.00%) total
North Mara surface
North Mara underground
North Mara (84.00%) total
Tongon surface (89.70%)
AFRICA AND MIDDLE EAST TOTAL
LATIN AMERICA AND ASIA PACIFIC
0.0088
1.5
1.5
0.064
6.7
6.7
5.5
8.3
14
11
9.0
20
0.10
2.7
2.8
3.1
48
5.89
6.79
6.78
0.38
0.31
0.31
2.02
4.38
3.44
2.31
5.08
3.56
2.46
3.01
2.99
2.02
3.04
Norte Abierto surface (50.00%)
110
0.65
–
6.69
6.69
2.28
0.60
1.03
1.80
–
1.80
1.86
–
Porgera surface4
Porgera underground4
Porgera (24.50%) total4
Pueblo Viejo surface (60.00%)
Veladero surface (50.00%)
LATIN AMERICA AND ASIA PACIFIC TOTAL
NORTH AMERICA
Carlin surface
Carlin underground
Carlin (61.50%) total
Cortez surface
Cortez underground
Cortez (61.50%) total
Hemlo surface
Hemlo underground
Hemlo (100%) total
Phoenix surface (61.50%)
Turquoise Ridge surface
Turquoise Ridge underground
Turquoise Ridge (61.50%) total
NORTH AMERICA TOTAL
TOTAL
See “Mineral Reserves and Resources Endnotes”.
–
0.66
0.66
39
20
170
3.7
–
3.7
1.1
–
1.1
–
0.76
0.76
3.8
16
8.1
24
33
250
1.86
0.064
–
4.49
4.49
0.81
2.36
11.58
5.53
4.42
1.85
–
0.11
0.11
0.100
1.2
3.0
4.2
4.7
15
–
16
16
–
6.9
6.9
18
15
33
13
24
36
30
6.5
36
2.5
130
480
5.0
2.2
7.2
140
69
700
61
17
79
100
27
130
27
6.0
33
97
6.9
12
19
360
1,200
–
5.98
5.98
–
0.37
0.37
2.06
3.94
2.92
3.30
4.70
4.22
1.90
3.84
2.25
1.94
3.32
0.59
3.55
7.05
4.64
2.10
0.72
0.94
2.43
8.34
3.73
0.81
7.27
2.13
0.97
4.07
1.53
0.57
2.37
10.04
7.24
2.27
1.61
–
3.1
3.1
–
0.083
0.083
1.2
1.9
3.1
1.3
3.6
4.9
1.8
0.81
2.6
0.15
14
9.2
0.57
0.51
1.1
9.1
1.6
21
4.8
4.6
9.4
2.7
6.3
9.0
0.84
0.79
1.6
1.8
0.52
3.9
4.4
26
61
0.0088
18
18
0.064
14
14
24
24
47
24
33
57
30
9.3
39
5.5
180
600
5.0
2.9
7.9
170
89
870
65
17
82
110
27
130
27
6.8
34
100
22
20
43
390
1,400
5.89
6.05
6.05
0.38
0.34
0.34
2.05
4.10
3.07
2.84
4.81
3.99
1.90
3.60
2.30
1.98
3.24
0.60
3.55
6.96
4.81
2.14
0.70
0.96
2.39
8.34
3.64
0.82
7.27
2.13
0.97
4.12
1.60
0.58
2.36
10.66
6.29
2.45
1.65
0.0017
3.4
3.4
0.00078
0.15
0.15
1.6
3.1
4.7
2.1
5.1
7.2
1.8
1.1
2.9
0.35
19
12
0.57
0.65
1.2
12
2.0
27
5.0
4.6
9.7
2.8
6.3
9.0
0.84
0.90
1.7
1.9
1.7
6.9
8.6
31
77
151
Barrick Gold Corporation | Annual Report 2023MINERAL RESERVES AND MINERAL RESOURCES Copper Mineral Reserves1,2,3,6
As at December 31, 2023
PROVEN
PROBABLE
TOTAL
Based on attributable pounds
AFRICA AND MIDDLE EAST
Bulyanhulu surface
Bulyanhulu underground
Bulyanhulu (84.00%) total
Jabal Sayid surface
Jabal Sayid underground
Jabal Sayid (50.00%) total
Lumwana surface (100%)
AFRICA AND MIDDLE EAST TOTAL
LATIN AMERICA AND ASIA PACIFIC
Norte Abierto surface (50.00%)
Zaldívar surface (50.00%)
LATIN AMERICA AND ASIA PACIFIC TOTAL
NORTH AMERICA
Phoenix surface (61.50%)
NORTH AMERICA TOTAL
TOTAL
See “Mineral Reserves and Resources Endnotes”.
Silver Mineral Reserves1,2,3,6
Tonnes
(Mt)
Cu
Grade
(%)
Contained
Cu
(Mt)
Tonnes
(Mt)
Cu
Grade
(%)
Contained
Cu
(Mt)
Tonnes
(Mt)
Cu
Grade
(%)
Contained
Cu
(Mt)
0.0088
0.29 0.000026
1.5
1.5
0.064
6.7
6.7
88
97
110
100
210
5.9
5.9
320
0.36
0.36
2.63
2.34
2.34
0.54
0.66
0.19
0.45
0.31
0.16
0.16
0.41
0.0052
0.0052
0.0017
0.16
0.16
0.48
0.64
0.22
0.45
0.66
0.0092
0.0092
1.3
–
16
16
–
6.9
6.9
420
450
480
77
560
130
130
1,100
–
0.36
0.36
–
2.12
2.12
0.59
0.61
0.23
0.38
0.25
0.17
0.17
0.38
–
0.058
0.058
–
0.15
0.15
2.5
2.7
1.1
0.29
1.4
0.22
0.22
4.3
0.0088
0.29 0.000026
18
18
0.064
14
14
510
540
600
180
780
140
140
1,500
0.36
0.36
2.63
2.22
2.23
0.58
0.62
0.22
0.42
0.26
0.17
0.17
0.39
0.063
0.063
0.0017
0.30
0.30
3.0
3.3
1.3
0.74
2.0
0.23
0.23
5.6
As at December 31, 2023
PROVEN
PROBABLE
TOTAL
Based on attributable ounces
AFRICA AND MIDDLE EAST
Bulyanhulu surface
Bulyanhulu underground
Bulyanhulu (84.00%) total
AFRICA AND MIDDLE EAST TOTAL
LATIN AMERICA AND ASIA PACIFIC
Norte Abierto surface (50.00%)
Pueblo Viejo surface (60.00%)
Veladero surface (50.00%)
LATIN AMERICA AND ASIA PACIFIC TOTAL
NORTH AMERICA
Phoenix surface (61.50%)
NORTH AMERICA TOTAL
TOTAL
See “Mineral Reserves and Resources Endnotes”.
Tonnes
(Mt)
Ag
Grade
(g/t)
Contained
Ag
(Moz)
Tonnes
(Mt)
Ag
Grade
(g/t)
Contained
Ag
(Moz)
Tonnes
(Mt)
Ag
Grade
(g/t)
Contained
Ag
(Moz)
0.0088
1.5
1.5
1.5
6.11
6.85
6.84
6.84
0.0017
0.32
0.32
0.32
110
1.91
39
20
13.15
13.43
170
5.73
3.8
3.8
180
7.97
7.97
5.79
7.0
16
8.5
32
0.98
0.98
33
–
16
16
16
–
6.08
6.08
6.08
480
140
1.43
13.26
69
13.83
690
5.01
97
97
800
6.93
6.93
5.27
–
3.2
3.2
3.2
22
58
31
110
22
22
140
0.0088
18
18
18
6.11
6.14
6.14
6.14
600
170
1.52
13.24
89
13.74
860
5.16
100
100
980
6.97
6.97
5.36
0.0017
3.5
3.5
3.5
29
74
39
140
23
23
170
152
Annual Report 2023 | Barrick Gold CorporationMINERAL RESERVES AND MINERAL RESOURCES Gold Mineral Resources1,3,6,7,8,9
As at December 31, 2023
MEASURED (M)10
INDICATED (I)10
Tonnes
(Mt)
Grade
(g/t)
Contained
ozs
(Moz)
Tonnes
(Mt)
Grade
(g/t)
Contained
ozs
(Moz)
(M) + (I)10
Contained
ozs
(Moz)
INFERRED11
Tonnes
(Mt)
Grade
(g/t)
Contained
ozs
(Moz)
Based on attributable ounces
AFRICA AND MIDDLE EAST
Bulyanhulu surface
Bulyanhulu underground
Bulyanhulu (84.00%) total
Jabal Sayid surface
Jabal Sayid underground
Jabal Sayid (50.00%) total
Kibali surface
Kibali underground
Kibali (45.00%) total
Loulo-Gounkoto surface
Loulo-Gounkoto underground
Loulo-Gounkoto (80.00%) total
North Mara surface
North Mara underground
North Mara (84.00%) total
Tongon surface (89.70%)
AFRICA AND MIDDLE EAST TOTAL
LATIN AMERICA AND ASIA PACIFIC
Alturas surface (100%)
Norte Abierto surface (50.00%)
Pascua Lama surface (100%)
Porgera surface4
Porgera underground4
Porgera (24.50%) total4
Pueblo Viejo surface (60.00%)
Reko Diq surface (50.00%)5
Veladero surface (50.00%)
LATIN AMERICA AND
ASIA PACIFIC TOTAL
0.0088
3.5
3.5
0.064
8.8
8.8
9.0
10
19
12
19
31
7.7
6.4
14
4.9
82
–
190
43
0.39
0.99
1.4
50
–
22
5.89
7.80
7.80
0.38
0.35
0.35
2.07
5.00
3.63
2.37
4.33
3.59
3.36
2.20
2.83
2.22
3.21
–
0.63
1.86
3.98
6.16
5.55
2.10
–
0.60
0.0017
0.88
0.88
0.00078
0.098
0.099
0.60
1.6
2.2
0.90
2.7
3.6
0.83
0.45
1.3
0.35
8.4
–
3.9
2.6
0.049
0.20
0.25
3.4
–
0.42
–
25
25
–
6.8
6.8
26
21
47
18
35
53
34
28
62
7.5
200
58
1,100
390
14
5.0
19
190
1,800
110
–
6.50
6.50
–
0.46
0.46
2.03
4.19
3.00
3.37
4.38
4.03
1.63
2.23
1.91
2.21
3.26
1.16
0.53
1.49
2.78
6.04
3.62
1.92
0.25
0.68
310
1.06
10
3,600
0.60
–
5.3
5.3
–
0.10
0.10
1.7
2.9
4.6
2.0
4.9
6.9
1.8
2.0
3.8
0.53
21
2.2
19
19
1.3
0.97
2.3
12
14
2.3
70
0.0017
6.2
6.2
0.00078
0.20
0.20
2.3
4.5
6.8
2.9
7.6
10
2.6
2.5
5.1
0.88
30
2.2
22
21
1.3
1.2
2.5
15
14
2.7
81
–
17
17
–
1.3
1.3
4.2
4.7
8.8
3.0
13
16
3.0
6.9
9.9
2.3
55
130
370
15
6.1
1.8
8.0
4.8
600
18
–
7.6
7.6
–
0.6
0.6
2.0
3.5
2.8
2.7
2.3
2.4
1.6
1.7
1.7
2.4
3.9
0.8
0.4
1.7
2.2
6.6
3.2
1.6
0.2
0.5
1,100
0.4
–
4.1
4.1
–
0.026
0.026
0.26
0.53
0.79
0.26
0.95
1.2
0.16
0.38
0.54
0.18
6.8
3.6
4.4
0.86
0.43
0.39
0.82
0.24
3.8
0.32
14
See “Mineral Reserves and Resources Endnotes”.
153
Barrick Gold Corporation | Annual Report 2023MINERAL RESERVES AND MINERAL RESOURCES Gold Mineral Resources1,3,6,7,8,9
As at December 31, 2023
MEASURED (M)10
INDICATED (I)10
Based on attributable ounces
NORTH AMERICA
Carlin surface
Carlin underground
Carlin (61.50%) total
Cortez surface
Cortez underground
Cortez (61.50%) total
Donlin surface (50.00%)
Fourmile underground (100%)
Hemlo surface
Hemlo underground
Hemlo (100%) total
Long Canyon surface
Long Canyon underground
Long Canyon (61.50%) total
Phoenix surface (61.50%)
Turquoise Ridge surface
Turquoise Ridge underground
Turquoise Ridge (61.50%) total
NORTH AMERICA TOTAL
TOTAL
Tonnes
(Mt)
Grade
(g/t)
Contained
ozs
(Moz)
Tonnes
(Mt)
Grade
(g/t)
Contained
ozs
(Moz)
8.3
1.37
–
8.3
1.1
–
–
1.37
1.86
–
0.37
–
0.37
0.064
–
1.1
1.86
0.064
–
–
–
–
–
–
0.98
0.98
4.40
4.40
–
–
–
–
–
–
3.8
17
0.81
2.22
10 10.72
28
42
430
5.40
4.06
1.76
–
–
–
0.14
0.14
–
–
–
0.100
1.2
3.6
4.8
5.5
24
130
31
160
150
39
190
270
2.14
7.45
3.18
0.83
6.39
1.97
2.24
8.7
7.3
16
4.0
7.9
12
20
1.5 10.04
0.48
50
11
61
5.2
1.00
4.32
1.58
2.62
1.1 10.68
6.4
250
23
19
42
970
4,800
4.03
0.48
2.52
8.96
5.43
2.01
1.00
1.6
1.5
3.1
0.44
0.38
0.82
3.8
1.9
5.5
7.4
63
150
See “Mineral Reserves and Resources Endnotes”.
(M) + (I)10
Contained
ozs
(Moz)
INFERRED11
Tonnes
(Mt)
Grade
(g/t)
Contained
ozs
(Moz)
9.0
7.3
16
4.0
7.9
12
20
0.48
1.6
1.6
3.2
0.44
0.38
0.82
3.9
3.1
9.1
12
68
180
42
19
61
81
16
97
46
8.2
5.0
2.6
7.7
1.1
0.53
1.6
29
8.1
1.5
9.6
260
1,500
1.3
7.3
3.2
0.5
5.4
1.3
2.0
10.1
0.7
5.9
2.5
0.9
9.1
3.6
0.3
2.3
7.7
3.2
2.1
0.8
1.7
4.4
6.2
1.3
2.8
4.0
3.0
2.7
0.12
0.50
0.62
0.029
0.16
0.18
0.31
0.60
0.37
0.97
18
39
154
Annual Report 2023 | Barrick Gold CorporationMINERAL RESERVES AND MINERAL RESOURCES Copper Mineral Resources1,3,6,7,8,9
As at December 31, 2023
MEASURED (M)10
INDICATED (I)10
Tonnes
(Mt)
Grade
(%)
Contained
Cu
(Mt)
Tonnes
(Mt)
Grade
(%)
Contained
Cu
(Mt)
(M) + (I)10
Contained
Cu
(Mt)
INFERRED11
Tonnes
(Mt)
Grade
(%)
Contained
Cu
(Mt)
Based on attributable pounds
AFRICA AND MIDDLE EAST
Bulyanhulu surface
Bulyanhulu underground
Bulyanhulu (84.00%) total
Jabal Sayid surface
Jabal Sayid underground
Jabal Sayid (50.00%) total
Lumwana surface (100%)
AFRICA AND MIDDLE EAST TOTAL
LATIN AMERICA AND ASIA PACIFIC
Norte Abierto surface (50.00%)
Reko Diq surface (50.00%)5
Zaldívar surface (50.00%)
LATIN AMERICA AND
ASIA PACIFIC TOTAL
NORTH AMERICA
Phoenix surface (61.50%)
NORTH AMERICA TOTAL
TOTAL
0.0088
0.29 0.000026
3.5
3.5
0.064
8.8
8.8
160
170
0.37
0.37
2.63
2.58
2.58
0.47
0.57
170
0.21
–
–
220
0.40
0.013
0.013
0.0017
0.23
0.23
0.75
0.99
0.36
–
0.90
–
25
25
–
6.8
6.8
1,200
1,200
1,000
1,900
330
–
0.37
0.37
–
2.25
2.25
0.53
0.54
0.21
0.43
0.36
400
0.32
1.3
3,300
0.35
5.9
5.9
580
0.16
0.16
0.39
0.0092
0.0092
2.2
350
350
4,900
0.16
0.16
0.39
–
0.000026
0.095
0.095
–
0.15
0.15
6.3
6.6
2.2
8.3
1.2
12
0.55
0.55
19
0.11
0.11
0.0017
0.38
0.38
7.1
7.6
2.5
8.3
2.1
13
0.56
0.56
21
–
17
17
–
1.3
1.3
910
930
360
640
21
–
0.5
0.5
–
0.7
0.7
0.4
0.4
0.2
0.3
0.3
–
0.078
0.078
–
0.0092
0.0092
4.0
4.1
0.66
2.2
0.070
1,000
0.3
2.9
31
31
2,000
0.2
0.2
0.4
0.050
0.050
7.1
See “Mineral Reserves and Resources Endnotes”.
155
Barrick Gold Corporation | Annual Report 2023MINERAL RESERVES AND MINERAL RESOURCES (M) + (I)10
Contained
Ag
(Moz)
0.0017
6.0
6.0
6.0
53
740
92
57
940
49
49
990
INFERRED11
Tonnes
(Mt)
Ag
Grade
(g/t)
Contained
Ag
(Moz)
–
17
17
17
370
15
4.8
18
–
7.4
7.4
7.4
1.0
17.8
8.1
15
410
2.3
29
29
450
5.4
5.4
2.7
–
4.0
4.0
4.0
11
8.8
1.2
8.7
30
5.1
5.1
39
–
5.2
5.2
5.2
43
660
72
47
820
48
48
870
Silver Mineral Resources1,3,6,7,8,9
As at December 31, 2023
MEASURED (M)10
INDICATED (I)10
Based on attributable ounces
AFRICA AND MIDDLE EAST
Bulyanhulu surface
Bulyanhulu underground
Bulyanhulu (84.00%) total
AFRICA AND MIDDLE EAST TOTAL
LATIN AMERICA AND ASIA PACIFIC
Tonnes
(Mt)
Ag
Grade
(g/t)
Contained
Ag
(Moz)
Tonnes
(Mt)
Ag
Grade
(g/t)
Contained
Ag
(Moz)
0.0088
3.5
3.5
3.5
6.11
6.91
6.90
6.90
0.0017
0.78
0.78
0.78
–
25
25
25
–
6.36
6.36
6.36
Norte Abierto surface (50.00%)
190
1.62
Pascua-Lama surface (100%)
Pueblo Viejo surface (60.00%)
Veladero surface (50.00%)
43 57.21
50 12.01
22 13.90
10
79
19
9.7
1,100
1.23
390 52.22
190 11.74
110 13.95
LATIN AMERICA AND
ASIA PACIFIC TOTAL
NORTH AMERICA
Phoenix surface (61.50%)
NORTH AMERICA TOTAL
TOTAL
310 11.95
120
1,800 14.41
3.8
3.8
7.97
7.97
310 11.84
0.98
0.98
120
250
250
6.12
6.12
2,000 13.32
See “Mineral Reserves and Resources Endnotes”.
156
Annual Report 2023 | Barrick Gold CorporationMINERAL RESERVES AND MINERAL RESOURCES Summary Gold Mineral Reserves1,2,3
For the years ended December 31
2023
2022
Based on attributable ounces
AFRICA AND MIDDLE EAST
Bulyanhulu surface
Bulyanhulu underground
Bulyanhulu Total
Jabal Sayid surface
Jabal Sayid underground
Jabal Sayid Total
Kibali surface
Kibali underground
Kibali Total
Loulo-Gounkoto surface
Loulo-Gounkoto underground
Loulo-Gounkoto Total
North Mara surface
North Mara underground
North Mara Total
Tongon surface
AFRICA AND MIDDLE EAST TOTAL
LATIN AMERICA AND ASIA PACIFIC
Norte Abierto surface
Porgera surface4
Porgera underground4
Porgera Total4
Pueblo Viejo surface
Veladero surface
LATIN AMERICA AND
ASIA PACIFIC TOTAL
NORTH AMERICA
Carlin surface
Carlin underground
Carlin Total
Cortez surface
Cortez underground
Cortez Total
Hemlo surface
Hemlo underground
Hemlo Total
Phoenix surface
Turquoise Ridge surface
Turquoise Ridge underground
Turquoise Ridge Total
NORTH AMERICA TOTAL
TOTAL
See “Mineral Reserves and Resources Endnotes”.
Ownership
%
Tonnes
(Mt)
Grade
(g/t)
Ounces
(Moz)
Ownership
%
Tonnes
(Mt)
Grade
(g/t)
Ounces
(Moz)
84.00%
84.00%
84.00%
50.00%
50.00%
50.00%
45.00%
45.00%
45.00%
80.00%
80.00%
80.00%
84.00%
84.00%
84.00%
89.70%
50.00%
24.50%
24.50%
24.50%
60.00%
50.00%
61.50%
61.50%
61.50%
61.50%
61.50%
61.50%
100%
100%
100%
61.50%
61.50%
61.50%
61.50%
0.0088
18
18
0.064
14
14
24
24
47
24
33
57
30
9.3
39
5.5
180
600
5.0
2.9
7.9
170
89
870
65
17
82
110
27
130
27
6.8
34
100
22
20
43
390
1,400
5.89
6.05
6.05
0.38
0.34
0.34
2.05
4.10
3.07
2.84
4.81
3.99
1.90
3.60
2.30
1.98
3.24
0.60
3.55
6.96
4.81
2.14
0.70
0.96
2.39
8.34
3.64
0.82
7.27
2.13
0.97
4.12
1.60
0.58
2.36
10.66
6.29
2.45
1.65
0.0017
3.4
3.4
0.00078
0.15
0.15
1.6
3.1
4.7
2.1
5.1
7.2
1.8
1.1
2.9
0.35
19
12
0.57
0.65
1.2
12
2.0
27
5.0
4.6
9.7
2.8
6.3
9.0
0.84
0.90
1.7
1.9
1.7
6.9
8.6
31
77
84.00%
84.00%
84.00%
50.00%
50.00%
50.00%
45.00%
45.00%
45.00%
80.00%
80.00%
80.00%
84.00%
84.00%
84.00%
89.70%
50.00%
24.50%
24.50%
24.50%
60.00%
50.00%
61.50%
61.50%
61.50%
61.50%
61.50%
61.50%
100%
100%
100%
61.50%
61.50%
61.50%
61.50%
–
13
13
0.069
13
13
20
23
44
25
28
54
29
9.5
39
7.8
170
600
5.0
2.9
7.9
170
85
870
73
17
90
110
26
130
18
5.1
23
100
11
23
33
380
1,400
–
6.34
6.34
0.34
0.31
0.31
2.16
4.21
3.26
2.65
4.98
3.87
2.06
3.43
2.40
2.25
3.22
0.60
3.55
6.96
4.81
2.19
0.71
0.97
2.27
8.79
3.50
0.90
7.78
2.26
1.49
4.88
2.25
0.59
2.27
9.82
7.43
2.54
1.67
–
2.7
2.7
0.00076
0.13
0.13
1.4
3.2
4.6
2.2
4.5
6.7
2.0
1.0
3.0
0.56
18
12
0.57
0.65
1.2
12
1.9
27
5.4
4.8
10
3.1
6.5
9.6
0.86
0.81
1.7
2.0
0.77
7.2
8.0
31
76
157
Barrick Gold Corporation | Annual Report 2023MINERAL RESERVES AND MINERAL RESOURCES MINERAL RESERVES AND RESOURCES ENDNOTES
1. Mineral reserves (“reserves”) and mineral resources (“resources”)
have been estimated as at December 31, 2023 (unless otherwise
noted) in accordance with National Instrument 43-101 - Standards
of Disclosure for Mineral Projects (“NI 43-101”) as required by
Canadian securities regulatory authorities. For United States
reporting purposes, the SEC has adopted amendments to its
disclosure rules to modernize the mineral property disclosure
requirements for issuers whose securities are registered with the
SEC under the Securities and Exchange Act of 1934, as amended
(the “Exchange Act”). These amendments became effective
February 25, 2019 (the “SEC Modernization Rules”) with compliance
required for the first fiscal year beginning on or after January 1,
2021. The SEC Modernization Rules replace the historical property
disclosure requirements for mining registrants that were included
in SEC Industry Guide 7, which was rescinded from and after the
required compliance date of the SEC Modernization Rules. As a
result of the adoption of the SEC Modernization Rules, the SEC
now recognizes estimates of “measured”, “indicated” and “inferred”
mineral resources. In addition, the SEC has amended its definitions
of “proven mineral reserves” and “probable mineral reserves” to
be substantially similar to the corresponding Canadian Institute
of Mining, Metallurgy and Petroleum definitions, as required by NI
43-101. U.S. investors should understand that “inferred” mineral
resources have a great amount of uncertainty as to their existence
and great uncertainty as to their economic and legal feasibility. In
addition, U.S. investors are cautioned not to assume that any part
or all of Barrick’s mineral resources constitute or will be converted
into reserves. Mineral resource and mineral reserve estimations have
been prepared by employees of Barrick, its joint venture partners
or its joint venture operating companies, as applicable, under the
supervision of Richard Peattie, Africa and Middle East Mineral
Resource Manager, Chad Yuhasz, Latin America & Asia Pacific
Mineral Resource Manager and Craig Fiddes, Lead – Resource
Modeling, Nevada Gold Mines and reviewed by Simon Bottoms,
Barrick’s Mineral Resource Management and Evaluation Executive.
For 2023, reserves have been estimated based on an assumed gold
price of US$1,300 per ounce, an assumed silver price of US$18.00
per ounce, and an assumed copper price of US$3.00 per pound
and long-term average exchange rates of 1.30 CAD/US$, except
at Tongon, where mineral reserves for 2023 were calculated using
$1,500/oz; Hemlo, where mineral reserves for 2023 were calculated
using $1,400/oz and at Zaldívar, where mineral reserves for 2023
were calculated using Antofagasta guidance and an updated
assumed copper price of US$3.50 per pound. For 2022, reserves
were estimated based on an assumed gold price of US$1,300 per
ounce, an assumed silver price of US$18.00 per ounce, and an
assumed copper price of US$3.00 per pound and long-term average
exchange rates of 1.30 CAD/US$, except at Zaldívar, where mineral
reserves for 2022 were calculating using Antofagasta guidance and
an assumed copper price of US$3.30 per pound. Reserve estimates
incorporate current and/or expected mine plans and cost levels at
each property. Varying cut-off grades have been used depending on
the mine and type of ore contained in the reserves. Barrick’s normal
data verification procedures have been employed in connection with
the calculations. Verification procedures include industry-standard
quality control practices. Resources as at December 31, 2023 have
been estimated using varying cut-off grades, depending on both the
type of mine or project, its maturity and ore types at each property.
2. In confirming our annual reserves for each of our mineral
properties, projects, and operations, we conduct a reserve test on
December 31 of each year to verify that the future undiscounted
cash flow from reserves is positive. The cash flow ignores all sunk
costs and only considers future operating and closure expenses as
well as any future capital costs.
3. All mineral resource and mineral reserve estimates of tonnes, Au oz,
Ag oz and Cu tonnes are reported to the second significant digit.
4. Porgera mineral reserves and mineral resources are reported on
a 24.5% interest basis, reflecting Barrick’s ownership interest in
accordance with the Porgera Project Commencement Agreement
(the “Commencement Agreement”) completed on December 10,
2023. The Commencement Agreement provided, among other
things, for ownership of Porgera to be held in a new joint venture
called New Porgera Limited, which is owned 51% by Papua New
Guinea stakeholders and 49% by a Barrick affiliate, Porgera
(Jersey) Limited (“PJL”). PJL is jointly owned on a 50/50 basis by
Barrick and Zijin Mining Group and accordingly Barrick has a 24.5%
ownership interest in the Porgera mine. Barrick Niugini Limited has
retained operatorship of the mine. For additional information, see
page 63 of Barrick’s Annual Report 2023.
5. Reko Diq mineral resources are reported on a 50% interest basis,
reflecting Barrick’s ownership interest following the completion
of the transaction allowing for the reconstitution of the project on
December 15, 2022. This completed the process that began earlier
in 2022 following the conclusion of a framework agreement among
the Governments of Pakistan and Balochistan province, Barrick
and Antofagasta plc, which provided a path for the development
of the project under a reconstituted structure. The reconstituted
project is held 50% by Barrick and 50% by Pakistani stakeholders.
Barrick is the operator of the project. For additional information,
see pages 41-42 of Barrick’s Third Quarter Report 2023.
6. 2023 polymetallic mineral resources and mineral reserves are
estimated using the combined value of gold, copper & silver
and accordingly are reported as gold, copper and silver mineral
resources and mineral reserves.
7. For 2023, mineral resources have been estimated based on an
assumed gold price of US$1,700 per ounce, an assumed silver
price of US$21.00 per ounce, and an assumed copper price of
US$4.00 per pound and long-term average exchange rates of 1.30
CAD/US$, except Zaldívar, where mineral resources for 2023 were
calculated using Antofagasta guidance and an assumed copper
price of US$4.20 per pound. For 2022, mineral resources were
estimated based on an assumed gold price of US$1,700 per ounce,
an assumed silver price of US$21.00 per ounce, and an assumed
copper price of US$3.75 per pound and long-term average
exchange rates of 1.30 CAD/US$, except at Zaldívar, where mineral
resources for 2022 were calculated using Antofagasta guidance
and an assumed copper price of US$3.75.
8. Mineral resources which are not mineral reserves do not have
demonstrated economic viability.
9. Mineral resources are reported inclusive of mineral reserves.
10. All measured and indicated mineral resource estimates of grade
and all proven and probable mineral reserve estimates of grade for
Au g/t, Ag g/t and Cu % are reported to two decimal places.
11. All inferred mineral resource estimates of grade for Au g/t, Ag g/t
and Cu % are reported to one decimal place.
158
Annual Report 2023 | Barrick Gold CorporationMINERAL RESERVES AND MINERAL RESOURCES MANAGEMENT’S RESPONSIBILITY
FOR FINANCIAL STATEMENTS
The accompanying consolidated financial statements have been
prepared by and are the responsibility of the Board of Directors and
Management of the Company.
The consolidated financial statements have been prepared in
accordance with International Financial Reporting Standards as
issued by the International Accounting Standards Board and reflect
Management’s best estimates and judgments based on currently
available information. The Company has developed and maintains a
system of internal controls in order to ensure, on a reasonable and
cost effective basis, the reliability of its financial information.
The consolidated financial statements have been audited by
PricewaterhouseCoopers LLP, Chartered Professional Accountants.
Their report outlines the scope of their examination and opinion on the
consolidated financial statements.
Graham Shuttleworth
Senior Executive Vice President
and Chief Financial Officer
February 13, 2024
MANAGEMENT’S REPORT ON
INTERNAL CONTROL OVER
FINANCIAL REPORTING
Barrick’s management is responsible for establishing and maintaining
adequate internal control over financial reporting.
Based on management’s assessment, Barrick’s internal control over
financial reporting is effective as at December 31, 2023.
Barrick’s management assessed
the
Company’s internal control over financial reporting as at December 31,
2023. Barrick’s Management used the Internal Control – Integrated
Framework (2013) as issued by the Committee of Sponsoring
Organizations of the Treadway Commission (COSO) to evaluate the
effectiveness of Barrick’s internal control over financial reporting.
the effectiveness of
The effectiveness of the Company’s
internal control over
financial reporting as at December 31, 2023 has been audited by
PricewaterhouseCoopers LLP, Chartered Professional Accountants,
as stated in their report which is located on pages 160-161 of Barrick’s
2023 Annual Financial Statements.
159
Barrick Gold Corporation | Annual Report 2023 REPORT OF INDEPENDENT REGISTERED
PUBLIC ACCOUNTING FIRM
To the Board of Directors and Shareholders of Barrick Gold Corporation
Opinions on the Financial Statements and Internal
Control over Financial Reporting
We have audited the accompanying consolidated balance sheets of
Barrick Gold Corporation and its subsidiaries (together, the Company)
as of December 31, 2023 and 2022, and the related consolidated
statements of income, comprehensive income, changes in equity
and cash flow for the years then ended, including the related notes
(collectively referred to as the consolidated financial statements).
We also have audited the Company’s internal control over financial
reporting as of December 31, 2023, based on criteria established in
Internal Control – Integrated Framework (2013) issued by the Committee
of Sponsoring Organizations of the Treadway Commission (COSO).
In our opinion, the consolidated financial statements referred to
above present fairly, in all material respects, the financial position of
the Company as of December 31, 2023 and 2022, and its financial
performance and its cash flows for the years then ended in conformity
with IFRS Accounting Standards as issued by the International
Accounting Standards Board. Also in our opinion, the Company
maintained, in all material respects, effective internal control over
financial reporting as of December 31, 2023, based on criteria
established in Internal Control – Integrated Framework (2013) issued
by the COSO.
Basis for Opinions
The Company’s management is responsible for these consolidated
financial statements, for maintaining effective internal control over
financial reporting, and for its assessment of the effectiveness of
internal control over financial reporting, included in the accompanying
Management’s Report on Internal Control over Financial Reporting. Our
responsibility is to express opinions on the Company’s consolidated
financial statements and on the Company’s internal control over
financial reporting based on our audits. We are a public accounting
firm registered with the Public Company Accounting Oversight Board
(United States) (PCAOB) and are required to be independent with
respect to the Company in accordance with the U.S. federal securities
laws and the applicable rules and regulations of the Securities and
Exchange Commission and the PCAOB.
We conducted our audits in accordance with the standards of
the PCAOB. Those standards require that we plan and perform the
audits to obtain reasonable assurance about whether the consolidated
financial statements are free of material misstatement, whether due
to error or fraud, and whether effective internal control over financial
reporting was maintained in all material respects.
Our audits of the consolidated financial statements included
performing procedures to assess the risks of material misstatement
of the consolidated financial statements, whether due to error or
fraud, and performing procedures that respond to those risks. Such
procedures included examining, on a test basis, evidence regarding
the amounts and disclosures in the consolidated financial statements.
Our audits also included evaluating the accounting principles used
and significant estimates made by management, as well as evaluating
the overall presentation of the consolidated financial statements. Our
audit of internal control over financial reporting included obtaining an
understanding of internal control over financial reporting, assessing
the risk that a material weakness exists, and testing and evaluating
the design and operating effectiveness of internal control based on
the assessed risk. Our audits also included performing such other
procedures as we considered necessary in the circumstances. We
believe that our audits provide a reasonable basis for our opinions.
Definition and Limitations of Internal Control over
Financial Reporting
A company’s internal control over financial reporting is a process
designed to provide reasonable assurance regarding the reliability
of financial reporting and the preparation of financial statements
for external purposes
in accordance with generally accepted
accounting principles. A company’s internal control over financial
reporting includes those policies and procedures that (i) pertain to
the maintenance of records that, in reasonable detail, accurately
and fairly reflect the transactions and dispositions of the assets of
the company; (ii) provide reasonable assurance that transactions are
recorded as necessary to permit preparation of financial statements in
accordance with generally accepted accounting principles, and that
receipts and expenditures of the company are being made only in
accordance with authorizations of management and directors of the
company; and (iii) provide reasonable assurance regarding prevention
or timely detection of unauthorized acquisition, use, or disposition of
the company’s assets that could have a material effect on the financial
statements.
Because of its inherent limitations, internal control over financial
reporting may not prevent or detect misstatements. Also, projections
of any evaluation of effectiveness to future periods are subject to
the risk that controls may become inadequate because of changes
in conditions, or that the degree of compliance with the policies or
procedures may deteriorate.
160
Annual Report 2023 | Barrick Gold Corporation Critical Audit Matters
The critical audit matter communicated below is a matter arising from
the current period audit of the consolidated financial statements that
was communicated or required to be communicated to the Audit &
Risk Committee and that (i) relates to accounts or disclosures that
are material to the consolidated financial statements and (ii) involved
our especially challenging, subjective, or complex judgments. The
communication of critical audit matters does not alter in any way our
opinion on the consolidated financial statements, taken as a whole,
and we are not, by communicating the critical audit matter below,
providing a separate opinion on the critical audit matter or on the
accounts or disclosures to which it relates.
Impairment assessments for goodwill and other
non-current assets
As described in Notes 2, 3, 10, 20 and 21 to the consolidated
financial statements, the Company’s goodwill and other non-current
assets are tested for impairment if there is an indicator of impairment,
and in the case of goodwill annually, during the fourth quarter.
Impairment assessments are conducted at the level of the cash
generating unit (CGU), which is the lowest level for which identifiable
cash flows are largely independent of the cash flows of other assets
and includes liabilities specific to the CGU. For operating mines and
projects, the individual mine/project represents a CGU for impairment
assessments. The Company’s goodwill and other non-current assets
balances as of December 31, 2023 were $3.6 billion and $33.8 billion,
respectively. Management estimated the recoverable amounts of
the CGUs as the Fair Value Less Costs of Disposal (FVLCD) using
discounted estimates of future cash flows derived from the life of mine
(LOM) plans, estimated fair values of mineral resources outside LOM
plans and the application of a specific Net Asset Value (NAV) multiple
for each CGU, where applicable. Management’s estimates of the
FVLCD of the CGUs included assumptions with respect to future metal
prices, operating and capital costs, weighted average costs of capital,
NAV multiples, future production levels, including mineral reserves and
mineral resources, and the fair value of mineral resources outside LOM
plans, where applicable. Management’s estimates of future production
levels, including mineral reserves and mineral resources, and the
fair value of mineral resources outside LOM plans, are based on
information compiled by qualified persons (management’s specialists).
The principal considerations for our determination that performing
procedures relating to the impairment assessments for goodwill and
other non-current assets is a critical audit matter are (i) the significant
judgment by management, including the use of management’s
specialists, in estimating the FVLCD of the CGUs; (ii) a high degree of
auditor judgment, subjectivity and effort in performing procedures and
evaluating management’s assumptions, where assessed as significant,
with respect to future metal prices, operating and capital costs,
weighted average costs of capital, NAV multiples, future production
levels, including mineral reserves and mineral resources, and the fair
value of mineral resources outside LOM plans, where applicable; and
(iii) the audit effort involved the use of professionals with specialized
skill and knowledge.
Addressing
the matter
involved performing procedures
and evaluating audit evidence in connection with forming our
overall opinion on the consolidated financial statements. These
procedures included testing the effectiveness of controls relating to
management’s impairment assessments for goodwill and other non-
current assets, including controls over the significant assumptions
used in management’s estimates of the FVLCD of the CGUs. These
procedures also included, among others, testing management’s
process for estimating the FVLCD of the CGUs with goodwill and for
each CGU where there is an indicator of impairment; evaluating the
appropriateness of the methods and discounted cash flow models
used; testing the completeness and accuracy of underlying data used
in the models and evaluating the reasonableness of the significant
assumptions used by management in the estimates of FVLCD.
Evaluating the reasonableness of the significant assumptions used
by management in the estimates of FVLCD with respect to future
metal prices, operating and capital costs and NAV multiples involved
(i) comparing future metal prices to external industry data; (ii) comparing
operating and capital costs to recent actual operating and capital costs
incurred and assessing whether these assumptions were consistent
with evidence obtained in other areas of the audit, where appropriate;
and (iii) comparing NAV multiples to evidence of value from comparable
market information. The work of management’s specialists was used
in performing the procedures to evaluate the reasonableness of future
production levels, including mineral reserves and mineral resources,
and the fair value of mineral resources outside LOM plans for certain
CGUs. As a basis for using this work, management’s specialists’
qualifications were understood and the Company’s relationship with
management’s specialists was assessed. The procedures performed
also included evaluation of the methods and assumptions used
by management’s specialists, tests of data used by management’s
specialists and an evaluation of management’s specialists’ findings.
Professionals with specialized skill and knowledge were used to assist
in evaluating the appropriateness of the methods and discounted cash
flow models and the reasonableness of the weighted average costs of
capital and NAV multiple assumptions.
Chartered Professional Accountants, Licensed Public Accountants
Toronto, Canada
February 13, 2024
We have served as the Company’s auditor since at least 1982. We have
not been able to determine the specific year we began serving as auditor
of the Company.
161
Barrick Gold Corporation | Annual Report 2023INDEPENDENT AUDITOR’S REPORT Consolidated Statements of Income
Barrick Gold Corporation
For the years ended December 31 (in millions of United States dollars, except per share data)
Revenue (notes 5 and 6)
Costs and expenses (income)
Cost of sales (notes 5 and 7)
General and administrative expenses (note 11)
Exploration, evaluation and project expenses (notes 5 and 8)
Impairment charges (notes 10 and 21)
Loss on currency translation
Closed mine rehabilitation (note 27b)
Income from equity investees (note 16)
Other (income) expense (note 9)
Income before finance items and income taxes
Finance costs, net (note 14)
Income before income taxes
Income tax expense (note 12)
Net income
Attributable to:
Equity holders of Barrick Gold Corporation
Non-controlling interests (note 32)
Earnings (loss) per share data attributable to the equity holders of Barrick Gold Corporation (note 13)
Net income
Basic
Diluted
The accompanying notes are an integral part of these consolidated financial statements.
2023
$ 11,397
2022
$ 11,013
7,932
126
361
312
93
16
(232)
(195)
2,984
(170)
2,814
(861)
7,497
159
350
1,671
16
(136)
(258)
(268)
1,982
(301)
1,681
(664)
$ 1,953
$ 1,017
$ 1,272
$
681
$
$
0.72
0.72
$
$
$
$
432
585
0.24
0.24
162
Annual Report 2023 | Barrick Gold CorporationFINANCIAL STATEMENTS
Consolidated Statements
of Comprehensive Income
Barrick Gold Corporation
For the years ended December 31 (in millions of United States dollars)
Net income
Other comprehensive income (loss), net of taxes
Items that may be reclassified subsequently to profit or loss:
Realized losses on derivatives designated as cash flow hedges, net of tax $nil and $nil
Currency translation adjustments, net of tax $nil and $nil
Items that will not be reclassified to profit or loss:
Actuarial gain on post-employment benefit obligations, net of tax $nil and $nil
Net change in value of equity investments, net of tax $(2) and $(7)
Total other comprehensive (loss) income
Total comprehensive income
Attributable to:
Equity holders of Barrick Gold Corporation
Non-controlling interests
The accompanying notes are an integral part of these consolidated financial statements.
2023
$ 1,953
2022
$ 1,017
–
(3)
–
1
(2)
1
1
8
39
49
$ 1,951
$ 1,066
$ 1,270
$
681
$
$
481
585
163
Barrick Gold Corporation | Annual Report 2023FINANCIAL STATEMENTS
Consolidated Statements of Cash Flow
Barrick Gold Corporation
For the years ended December 31 (in millions of United States dollars)
OPERATING ACTIVITIES
Net income
Adjustments for the following items:
Depreciation
Finance costs (note 14)
Net impairment charges (notes 10 and 21)
Income tax expense (note 12)
Income from investment in equity investees (note 16)
Loss on currency translation
Gain on sale of non-current assets (note 9)
Change in working capital (note 15)
Other operating activities (note 15)
Operating cash flows before interest and income taxes
Interest paid
Interest received
Income taxes paid1
Net cash provided by operating activities
INVESTING ACTIVITIES
Property, plant and equipment
Capital expenditures (note 5)
Sales proceeds
Investment (purchases) sales
Dividends received from equity method investments (note 16)
Shareholder loan repayments from equity method investments (note 16)
Net cash used in investing activities
FINANCING ACTIVITIES
Lease repayments
Debt repayments
Dividends (note 31)
Share buyback program (note 31)
Funding from non-controlling interests (note 32)
Disbursements to non-controlling interests (note 32)
Other financing activities (note 15)
Net cash used in financing activities
Effect of exchange rate changes on cash and equivalents
Net increase (decrease) in cash and equivalents
Cash and equivalents at beginning of year (note 25a)
Cash and equivalents at the end of year
2023
2022
$ 1,953
$ 1,017
2,043
170
312
861
(232)
93
(364)
(452)
(65)
4,319
(300)
237
(524)
3,732
1,997
301
1,671
664
(258)
16
(405)
(322)
(217)
4,464
(305)
89
(767)
3,481
(3,086)
(3,049)
13
(23)
273
7
(2,816)
(13)
(43)
(700)
–
40
(554)
65
(1,205)
(3)
(292)
4,440
88
381
869
–
(1,711)
(20)
(375)
(1,143)
(424)
–
(833)
191
(2,604)
(6)
(840)
5,280
$ 4,148
$ 4,440
1 Income taxes paid excludes $137 million (2022: $126 million) of income taxes payable that were settled against offsetting value added tax (“VAT”) receivables.
The accompanying notes are an integral part of these consolidated financial statements.
164
Annual Report 2023 | Barrick Gold CorporationFINANCIAL STATEMENTS
Consolidated Balance Sheets
Barrick Gold Corporation
(in millions of United States dollars)
ASSETS
Current assets
Cash and equivalents (note 25a)
Accounts receivable (note 18)
Inventories (note 17)
Other current assets (note 18)
Total current assets
Non-current assets
Non-current portion of inventory (note 17)
Equity in investees (note 16)
Property, plant and equipment (note 19)
Intangible assets (note 20a)
Goodwill (note 20b)
Deferred income tax assets (note 30)
Other assets (note 22)
Total assets
LIABILITIES AND EQUITY
Current liabilities
Accounts payable (note 23)
Debt (note 25b)
Current income tax liabilities
Other current liabilities (note 24)
Total current liabilities
Non-current liabilities
Debt (note 25b)
Provisions (note 27)
Deferred income tax liabilities (note 30)
Other liabilities (note 29)
Total liabilities
Equity
Capital stock (note 31)
Deficit
Accumulated other comprehensive income
Other
Total equity attributable to Barrick Gold Corporation shareholders
Non-controlling interests (note 32)
Total equity
Contingencies and commitments (notes 2, 17, 19 and 36)
Total liabilities and equity
The accompanying notes are an integral part of these consolidated financial statements.
Signed on behalf of the Board,
Mark Bristow, Director
J. Brett Harvey, Director
December 31, 2023
December 31, 2022
As at
As at
$ 4,148
$ 4,440
693
1,782
815
7,438
2,738
4,133
26,416
149
3,581
–
1,356
554
1,781
1,690
8,465
2,819
3,983
25,821
149
3,581
19
1,128
$ 45,811
$ 45,965
$ 1,503
$ 1,556
11
303
539
2,356
4,715
2,058
3,439
1,241
13,809
28,117
(6,713)
24
1,913
23,341
8,661
32,002
13
163
1,388
3,120
4,769
2,211
3,247
1,329
14,676
28,114
(7,282)
26
1,913
22,771
8,518
31,289
$ 45,811
$ 45,965
165
Barrick Gold Corporation | Annual Report 2023FINANCIAL STATEMENTS
Consolidated Statements
of Changes in Equity
Barrick Gold Corporation
(in millions of United States dollars)
At January 1, 2023
Net income
Total other comprehensive loss
Attributable to equity holders of the Company
Common
Shares
(in thousands)
Capital
stock
Deficit
Accumulated
other
comprehensive
(loss) income1
Total equity
attributable to
shareholders
Non-
controlling
interests
Other2
Total
equity
1,755,350 $ 28,114 $ (7,282)
$ 26 $ 1,913
$ 22,771 $ 8,518 $ 31,289
–
–
–
–
1,272
–
–
(2)
–
–
1,272
(2)
681
–
1,953
(2)
Total comprehensive income (loss)
– $
– $ 1,272
$
(2) $
–
$ 1,270 $
681 $ 1,951
Transactions with owners
Dividends (note 31)
Funding from non-controlling
interests (note 32)
Disbursements to non-controlling
interests (note 32)
–
–
–
Dividend reinvestment plan (note 31)
220
–
–
–
3
(700)
–
–
(3)
–
–
–
–
–
–
–
–
(700)
–
–
–
–
40
(578)
–
(700)
40
(578)
–
Total transactions with owners
220 $
3 $
(703)
$
– $
–
$
(700) $
(538) $ (1,238)
At December 31, 2023
1,755,570 $ 28,117 $ (6,713)
$ 24 $ 1,913
$ 23,341 $ 8,661 $ 32,002
At January 1, 2022
Net income
Total other comprehensive income
Total comprehensive income
Transactions with owners
Dividends (note 31)
Reko Diq reconstitution (note 4)
Disbursements to non-controlling
interests (note 32)
1,779,331 $ 28,497 $ (6,566)
$ (23) $ 1,949
–
–
–
–
432
–
–
49
–
–
$ 23,857 $ 8,450 $ 32,307
1,017
585
432
49
–
49
– $
– $
432
$ 49 $
–
$
481 $
585 $ 1,066
Dividend reinvestment plan (note 31)
269
Share buyback program
(24,250)
(388)
–
–
–
–
–
–
5
(1,143)
–
–
(5)
–
–
–
–
–
–
–
–
–
–
(1,143)
–
–
–
(36)
(424)
–
329
(846)
–
–
(1,143)
329
(846)
–
(424)
Total transactions with owners
(23,981) $
(383) $ (1,148)
$
– $
(36)
$
(1,567) $
(517) $ (2,084)
At December 31, 2022
1,755,350 $ 28,114 $ (7,282)
$ 26 $ 1,913
$ 22,771 $ 8,518 $ 31,289
1 Includes cumulative translation adjustments as at December 31, 2023: $95 million loss (December 31, 2022: $93 million loss).
2 Includes additional paid-in capital as at December 31, 2023: $1,875 million (December 31, 2022: $1,875 million).
The accompanying notes are an integral part of these consolidated financial statements.
166
Annual Report 2023 | Barrick Gold CorporationFINANCIAL STATEMENTS
NOTES TO CONSOLIDATED
FINANCIAL STATEMENTS
Barrick Gold Corporation. Tabular dollar amounts in millions of United States dollars, unless otherwise shown. References to A$, ARS, C$,
CLP, DOP, EUR, GBP, PGK, PKR, SAR, TZS, XOF, ZAR, and ZMW are to Australian dollars, Argentine pesos, Canadian dollars, Chilean pesos,
Dominican pesos, Euros, British pound sterling, Papua New Guinea kina, Pakistani rupee, Saudi riyal, Tanzanian shilling, West African CFA franc,
South African rand, and Zambian kwacha, respectively.
1. CORPORATE INFORMATION
Barrick Gold Corporation (“Barrick”, “we” or the “Company”) is a
corporation governed by the Business Corporations Act (British
Columbia). The Company’s corporate office is located at Brookfield
Place, TD Canada Trust Tower, 161 Bay Street, Suite 3700, Toronto,
Ontario, M5J 2S1. The Company’s registered office is 925 West
Georgia Street, Suite 1600, Vancouver, British Columbia, V6C 3L2.
Barrick shares trade on the New York Stock Exchange under the
symbol GOLD and the Toronto Stock Exchange under the symbol
ABX. We are principally engaged in the production and sale of gold
and copper, as well as related activities such as exploration and mine
development. We sell our gold and copper into the world market.
We have ownership interests in producing gold mines that are
located in Argentina, Canada, Côte d’Ivoire, the Democratic Republic
of Congo, the Dominican Republic, Mali, Papua New Guinea, Tanzania
and the United States. We have ownership interests in producing
copper mines in Chile, Saudi Arabia and Zambia. We also have various
projects located throughout the Americas, Asia and Africa.
2. MATERIAL ACCOUNTING POLICY
INFORMATION
a) Statement of Compliance
These consolidated financial statements have been prepared in
accordance with IFRS Accounting Standards as issued by the
International Accounting Standards Board
(“IFRS”). Accounting
policies are consistently applied to all years presented, unless
otherwise stated. These consolidated financial statements were
approved for issuance by the Board of Directors on February 13, 2024.
b) Basis of Preparation
These consolidated financial statements include the accounts of
Barrick, its subsidiaries, its share of joint operations (“JO”) and its
equity share of joint ventures (“JV”). When applying the equity method
of accounting, specifically for Porgera, whereby the economic interest
differs from the shareholding, the equity accounting is based on the
economic share contractually agreed amongst the shareholders
rather than the equity participation. For non wholly-owned, controlled
subsidiaries, profit or loss for the period that is attributable to non-
controlling interests is typically calculated based on the ownership of
the minority shareholders in the subsidiary.
167
Barrick Gold Corporation | Annual Report 2023 Outlined below is information related to our joint arrangements and entities other than 100% owned Barrick subsidiaries at December 31, 2023:
Nevada Gold Mines3
North Mara3,4
Bulyanhulu3,4
Loulo-Gounkoto3
Tongon3
Pueblo Viejo3
Reko Diq Project3,5
Norte Abierto Project
Donlin Gold Project
Veladero
Kibali6
Jabal Sayid6
Zaldívar6
Porgera Mine7
Place of business
United States
Tanzania
Tanzania
Mali
Côte d’Ivoire
Dominican Republic
Pakistan
Chile
United States
Argentina
Democratic Republic of Congo
Saudi Arabia
Chile
Papua New Guinea
Entity type
Subsidiary
Subsidiary
Subsidiary
Subsidiary
Subsidiary
Subsidiary
Subsidiary
JO
JO
JO
JV
JV
JV
JV
Interest1
61.5%
84%
84%
80%
89.7%
60%
50%
50%
50%
50%
45%
50%
50%
24.5%
Method2
Consolidation
Consolidation
Consolidation
Consolidation
Consolidation
Consolidation
Consolidation
Our share
Our share
Our share
Equity Method
Equity Method
Equity Method
Equity Method
1 Unless otherwise noted, all of our JOs are funded by contributions made by the parties sharing joint control in proportion to their economic interest.
2 For our JOs, we recognize our share of any assets, liabilities, revenues and expenses of the JO.
3 We consolidate our interests in Carlin, Cortez, Turquoise Ridge, Phoenix, Long Canyon, North Mara, Bulyanhulu, Loulo-Gounkoto, Tongon, Pueblo Viejo and the
Reko Diq project and record a non-controlling interest for the interest that we do not own.
4 The Government of Tanzania receives half of the economic benefits from the Tanzanian operations (Bulyanhulu and North Mara) from taxes, royalties, clearing fees
and participation in all cash distributions made by the mines, after the recoupment of capital investments. Earnings are recorded proportionally based on our equity
interests each period in accordance with the terms of the agreement with the Government of Tanzania.
5 On December 15, 2022, we completed the reconstitution of the Reko Diq project, bringing Barrick’s interest in the joint operation from 37.5% (equity method) to
50% (consolidated subsidiary). Refer to note 4 for further details.
6 Barrick has commitments of $665 million relating to its interest in the joint ventures, including purchase obligations disclosed in note 17 and capital commitments
disclosed in note 19.
7 On December 22, 2023, we completed the Porgera Project Commencement Agreement, pursuant to which the Papua New Guinea (“PNG”) government and Barrick
Niugini Limited (“BNL”), the 95% owner and operator of the Porgera joint venture, agreed on a partnership for the future ownership and operation of the mine.
Ownership of Porgera is now held in a new joint venture owned 51% by PNG stakeholders and 49% by a Barrick affiliate, Porgera (Jersey) Limited (“PJL”). PJL is
jointly owned on a 50/50 basis by Barrick and Zijin Mining Group and therefore Barrick now holds a 24.5% ownership interest in the Porgera joint venture. Barrick
holds a 23.5% interest in the economic benefits of the mine under the economic benefit sharing arrangement agreed with the PNG government whereby Barrick
and Zijin Mining Group together share 47% of the overall economic benefits derived from the mine accumulated over time, and the PNG stakeholders share the
remaining 53%. Refer to notes 4 and 35 for further details.
c) Business Combinations
On the acquisition of a business, the acquisition method of accounting
is used.
d) Foreign Currency Translation
The functional currency of all of our operations is the US dollar. We
translate non-US dollar balances for these operations into US dollars
as follows:
• Property, plant and equipment
intangible assets
and equity method investments using the rates at the time of
acquisition;
(“PP&E”),
• Fair value through other comprehensive income (“FVOCI”) equity
investments using the closing exchange rate as at the balance
sheet date with translation gains and losses permanently recorded
in Other Comprehensive Income (“OCI”);
• Deferred tax assets and liabilities using the closing exchange rate
as at the balance sheet date with translation gains and losses
recorded in income tax expense;
•
• Other assets and liabilities using the closing exchange rate as at
the balance sheet date with translation gains and losses recorded
in other income/expense; and
Income and expenses using the average exchange rate for the
period, except for expenses that relate to non-monetary assets
and liabilities measured at historical rates, which are translated
using the same historical rate as the associated non-monetary
assets and liabilities.
168
e) Revenue Recognition
We sell our production in the world market through the following
distribution channels: gold bullion is sold in the gold spot market,
to independent refineries or to our non-controlling interest holders;
and gold and copper concentrate is sold to independent smelting or
trading companies.
Gold Bullion Sales
Gold bullion is sold primarily in the London spot market. The sale price
is fixed on the date of sale based on the gold spot price. Generally, we
record revenue from gold bullion sales at the time of physical delivery,
which is also the date that title to the gold passes.
Concentrate Sales
Under the terms of concentrate sales contracts with independent
smelting companies, gold and copper sales prices are provisionally
set on a specified future date after shipment based on market prices.
We record revenues under these contracts at the time of shipment,
which is also when the risks and rewards of ownership pass to the
smelting companies, using forward market gold and copper prices on
the expected date that final sales prices will be determined. Variations
between the price recorded at the shipment date and the actual final
price set under the smelting contracts are caused by changes in market
gold and copper prices, which result in the existence of an embedded
derivative in accounts receivable. The embedded derivative is recorded
at fair value each period until final settlement occurs, with changes
in fair value classified as provisional price adjustments and included
in revenue in the consolidated statement of income and presented
separately in note 6 of these consolidated financial statements.
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS Streaming Arrangements
As the deferred revenue on streaming arrangements is considered
variable consideration, an adjustment is made to the transaction price
per unit each time there is a change in the underlying production
profile of a mine (typically in the fourth quarter of each year). The
change in the transaction price per unit results in a cumulative catch-
up adjustment to revenue in the period in which the change is made,
reflecting the new production profile expected to be delivered under
the streaming agreement. A corresponding cumulative catch-up
adjustment is made to accretion expense, reflecting the impact of the
change in the deferred revenue balance.
f) Exploration and Evaluation
Exploration expenditures are the costs incurred in the initial search for
mineral deposits with economic potential or in the process of obtaining
more
information about existing mineral deposits. Exploration
expenditures typically include costs associated with prospecting,
sampling, mapping, diamond drilling and other work involved in
searching for ore.
Evaluation expenditures are the costs incurred to establish the
technical and commercial viability of developing mineral deposits
identified through exploration activities or by acquisition. Evaluation
expenditures include the cost of: (i) establishing the volume and grade
of deposits through drilling of core samples, trenching and sampling
activities in an ore body that is classified as either a mineral resource
or a proven and probable reserve; (ii) determining the optimal methods
of extraction and metallurgical and treatment processes; (iii) studies
related to surveying, transportation and infrastructure requirements;
(iv) permitting activities; and (v) economic evaluations to determine
whether development of the mineralized material is commercially
justified, including scoping, pre-feasibility and final feasibility studies.
Exploration and evaluation expenditures are expensed as incurred
unless management determines that probable future economic
benefits will be generated as a result of the expenditures. Once the
technical feasibility and commercial viability of a program or project
has been demonstrated with a pre-feasibility study, and we have
recognized reserves in accordance with the Canadian Securities
Administrators’ National Instrument 43-101 – Standards of Disclosure
for Mineral Projects, we account for future expenditures incurred in the
development of that program or project in accordance with our policy
for Property, Plant and Equipment, as described in note 2l.
g) Production Stage
A mine that is under construction is determined to enter the production
stage when the project is in the location and condition necessary for it
to be capable of operating in the manner intended by management. We
use the following factors to assess whether these criteria have been
met: (1) the level of capital expenditures compared to construction cost
estimates; (2) the completion of a reasonable period of commissioning
and testing of mine plant and equipment; (3) the ability to produce
minerals in saleable form (within specifications); and (4) the ability to
sustain ongoing production of minerals.
When a mine construction project moves into the production
stage, the capitalization of certain mine construction costs ceases
and costs are either capitalized to inventory or expensed, except for
capitalizable costs related to property, plant and equipment additions
or improvements, open pit stripping activities that provide a future
benefit, underground mine development or expenditures that meet
the criteria for capitalization in accordance with IAS 16 Property, Plant
and Equipment.
h) Taxation
Current tax for each taxable entity is based on the local taxable income
at the local statutory tax rate enacted or substantively enacted at
the balance sheet date and includes adjustments to tax payable or
recoverable in respect of previous periods.
Deferred tax is recognized using the balance sheet method in
respect of all temporary differences between the tax bases of assets
and liabilities, and their carrying amounts for financial reporting
purposes, except as indicated below.
Deferred income tax liabilities are recognized for all taxable
temporary differences, except:
• Where the deferred income tax liability arises from the initial
recognition of goodwill, or the initial recognition of an asset or
liability in an acquisition that is not a business combination and, at
the time of the acquisition, affects neither the accounting profit nor
taxable profit or loss; and
In respect of taxable temporary differences associated with
investments in subsidiaries and interests in joint arrangements,
where the timing of the reversal of the temporary differences can
be controlled and it is probable that the temporary differences will
not reverse in the foreseeable future.
•
Deferred income tax assets are recognized for all deductible temporary
differences and the carryforward of unused tax assets and unused
tax losses, to the extent that it is probable that taxable profit will be
available against which the deductible temporary differences and
the carryforward of unused tax assets and unused tax losses can be
utilized, except:
• Where the deferred income tax asset relating to the deductible
temporary difference arises from the initial recognition of an asset
or liability in an acquisition that is not a business combination and,
at the time of the acquisition, affects neither the accounting profit
nor taxable profit or loss; and
In respect of deductible temporary differences associated with
investments in subsidiaries and interests in joint arrangements,
deferred tax assets are recognized only to the extent that it
is probable that the temporary differences will reverse in the
foreseeable future and taxable profit will be available against
which the temporary differences can be utilized.
•
The carrying amount of deferred income tax assets is reviewed at
each balance sheet date and reduced to the extent that it is no longer
probable that sufficient taxable profit will be available to allow all or
part of the deferred income tax asset to be utilized. To the extent that
an asset not previously recognized fulfills the criteria for recognition, a
deferred income tax asset is recorded.
Deferred tax is measured on an undiscounted basis at the tax rates
that are expected to apply in the periods in which the asset is realized
or the liability is settled, based on tax rates and tax laws enacted or
substantively enacted at the balance sheet date.
Current and deferred tax relating to items recognized directly in
equity are recognized in equity and not in the income statement.
The Company is subject to assessments by various taxation
authorities, who may interpret tax legislation differently than the
Company. Tax liabilities for uncertain tax positions are adjusted by
the Company to reflect its best estimate of the probable outcome of
assessments and in light of changing facts and circumstances, such
as the completion of a tax audit, expiration of a statute of limitations,
the refinement of an estimate, and interest accruals associated with
the uncertain tax positions until they are resolved. Some of these
adjustments require significant judgment in estimating the timing and
amount of any additional tax expense.
Royalties and Special Mining Taxes
Income tax expense includes the cost of royalties and special
mining taxes payable to governments that are calculated based on
a percentage of taxable profit whereby taxable profit represents net
income adjusted for certain items defined in the applicable legislation.
Indirect Taxes
Indirect tax recoverable is recorded at its undiscounted amount, and is
disclosed as non-current if not expected to be recovered within twelve
months.
169
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS i) Other Investments
Investments in publicly quoted equity securities that are neither
subsidiaries nor associates are categorized as FVOCI pursuant to the
irrevocable election available in IFRS 9 for these instruments. FVOCI
equity investments are recorded at fair value with all realized and
unrealized gains and losses recorded permanently in OCI. Warrant
investments are classified as fair value through profit or loss (“FVPL”).
j) Inventory
Material extracted from our mines is classified as either ore or waste. Ore
represents material that, at the time of extraction, we expect to process
into a saleable form and sell at a profit. Raw materials are comprised of
both ore in stockpiles and ore on leach pads as processing is required
to extract benefit from the ore. Ore is accumulated in stockpiles that
are subsequently processed into gold/copper in a saleable form.
The recovery of gold and copper from certain oxide ores is achieved
through the heap leaching process. Work in process represents gold/
copper in the processing circuit that has not completed the production
process, and is not yet in a saleable form. Finished goods inventory
represents gold/copper in saleable form.
Metal inventories are valued at the lower of cost and net realizable
value. Cost is determined on a weighted average basis and includes
all costs incurred, based on a normal production capacity, in bringing
each product to its present location and condition. Cost of inventories
comprises: direct labor, materials and contractor expenses, including
non-capitalized stripping costs; depreciation on PP&E including
capitalized stripping costs; and an allocation of general and
administrative costs. As ore is removed for processing, costs are
removed based on the average cost per ounce/pound in the stockpile.
Net realizable value is determined with reference to relevant market
prices less applicable variable selling and downstream processing
costs. Inventory provisions are reversed to reflect subsequent improve-
ments in net realizable value where the inventory is still on hand.
Mine operating supplies represent commodity consumables and
other raw materials used in the production process, as well as spare
parts and other maintenance supplies that are not classified as capital
items. Provisions are recorded to reduce mine operating supplies
to net realizable value, which is generally calculated by reference to
its salvage or scrap value, when it is determined that the supplies
are obsolete.
k) Royalties
Certain of our properties are subject to royalty arrangements based
on mineral production at the properties. The primary type of royalty is
a net smelter return (“NSR”) royalty. Under this type of royalty we pay
the holder an amount calculated as the royalty percentage multiplied
by the value of gold production at market gold prices less third-
party smelting, refining and transportation costs. Royalty expense is
recorded on completion of the production or sales process in cost of
sales. Other types of royalties include:
• Net profits interest royalty to a party other than a government,
• Modified NSR royalty,
• Net smelter return sliding scale royalty,
• Gross proceeds sliding scale royalty,
• Gross smelter return royalty,
• Net value royalty,
• Land tenement royalty, and a
• Gold revenue royalty.
l) Property, Plant and Equipment
Estimated useful lives of Major Asset Categories
Buildings, plant and equipment
Underground mobile equipment
Light vehicles and other mobile equipment
Furniture, computer and office equipment
1 – 38 years
3 – 7 years
1 – 7 years
1 – 7 years
Buildings, Plant and Equipment
At acquisition, we record buildings, plant and equipment at cost,
including all expenditures incurred to prepare an asset for its intended
use. These expenditures consist of: the purchase price; brokers’
commissions; and installation costs including architectural, design
and engineering fees, legal fees, survey costs, site preparation costs,
freight charges, transportation insurance costs, duties, testing and
preparation charges.
Buildings, plant and equipment are depreciated on a straight-line
basis over their expected useful life, which commences when the
assets are considered available for use. Once buildings, plant and
equipment are considered available for use, they are measured at cost
less accumulated depreciation and applicable impairment losses.
Depreciation on equipment utilized in the development of assets,
including open pit and underground mine development, is recapitalized
as development costs attributable to the related asset.
Mineral Properties
Mineral properties consist of: the fair value attributable to mineral
reserves and resources acquired in a business combination or asset
acquisition; underground mine development costs; open pit mine
development costs; capitalized exploration and evaluation costs;
and capitalized interest. In addition, we incur project costs which are
generally capitalized when the expenditures result in a future benefit.
i) Acquired Mining Properties
On acquisition of a mining property, we prepare an estimate of the
fair value attributable to the proven and probable mineral reserves,
mineral resources and exploration potential attributable to the
property. The estimated fair value attributable to the mineral reserves
and the portion of mineral resources considered to be probable of
economic extraction at the time of the acquisition is depreciated on
a units of production (“UOP”) basis whereby the denominator is the
proven and probable reserves and the portion of mineral resources
considered to be probable of economic extraction based on the
current life of mine (“LOM”) plan that benefit from the development
and are considered probable of economic extraction. The estimated
fair value attributable to mineral resources that are not considered to
be probable of economic extraction at the time of the acquisition is
not subject to depreciation until the resources become probable of
economic extraction in the future. The estimated fair value attributable
to exploration licenses is recorded as an intangible asset and is not
subject to depreciation until the property enters production.
ii) Underground Mine Development Costs
At our underground mines, we incur development costs to build new
shafts, drifts and ramps that will enable us to physically access ore
underground. The time over which we will continue to incur these costs
depends on the mine life. These underground development costs are
capitalized as incurred.
Capitalized underground development costs are depreciated on a
UOP basis, whereby the denominator is the estimated ounces/pounds
of gold/copper in proven and probable reserves and the portion of
resources considered probable of economic extraction based on
the current LOM plan that benefit from the development and are
considered probable of economic extraction.
170
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS iii) Open Pit Mine Development Costs
In open pit mining operations, it is necessary to remove overburden
and other waste materials to access ore from which minerals can be
extracted economically. The process of mining overburden and waste
materials is referred to as stripping. Stripping costs incurred in order
to provide initial access to the ore body (referred to as pre-production
stripping) are capitalized as open pit mine development costs.
Pre-production stripping costs are capitalized until an “other than
de minimis” level of mineral is extracted, after which time such costs are
either capitalized to inventory or, if it qualifies as an open pit stripping
activity that provides a future benefit, to PP&E. We consider various
relevant criteria to assess when an “other than de minimis” level of
mineral is produced. Some of the criteria considered would include,
but are not limited to, the following: (1) the amount of minerals mined
versus total ounces in ore expected over the LOM; (2) the amount of
ore tonnes mined versus total LOM expected ore tonnes mined; (3) the
current stripping ratio versus the strip ratio expected over the LOM;
and (4) the ore grade mined versus the grade expected over the LOM.
Stripping costs incurred during the production stage of an open pit
are accounted for as costs of the inventory produced during the period
that the stripping costs are incurred, unless these costs are expected
to provide a future economic benefit to an identifiable component of
the ore body. Components of the ore body are based on the distinct
development phases identified by the mine planning engineers when
determining the optimal development plan for the open pit. Production
phase stripping costs generate a future economic benefit when the
related stripping activity: (1) improves access to a component of
the ore body to be mined in the future; (2) increases the fair value of
the mine (or open pit) as access to future mineral reserves becomes
less costly; and (3) increases the productive capacity or extends the
productive life of the mine (or open pit). Production phase stripping
costs that are expected to generate a future economic benefit are
capitalized as open pit mine development costs.
Capitalized open pit mine development costs are depreciated on a
UOP basis whereby the denominator is the estimated ounces/pounds
of gold/copper in proven and probable reserves and the portion of
resources considered probable of economic extraction based on
the current LOM plan that benefit from the development and are
considered probable of economic extraction.
Construction-in-Progress
Assets under construction are capitalized as construction-in-progress
until the asset is available for use. The cost of construction-in-progress
comprises its purchase price and any costs directly attributable
to bringing it into working condition for its intended use. Construction-
in-progress amounts related to development projects are included
in the carrying amount of the development project. Construction-
in-progress amounts incurred at operating mines are presented
as a separate asset within PP&E. Construction-in-progress also
includes deposits on long lead items. Construction-in-progress is not
depreciated. Depreciation commences once the asset is complete,
commissioned and available for use.
Capitalized Interest
We capitalize interest costs for qualifying assets. Qualifying assets
are assets that require a significant amount of time to prepare for
their intended use, including projects that are in the exploration
and evaluation, development or construction stages. Qualifying
assets also include significant expansion projects at our operating
mines. Capitalized interest costs are considered an element of the
cost of the qualifying asset which is determined based on gross
expenditures incurred on an asset. Capitalization ceases when the
asset is substantially complete or if active development is suspended
or ceases. Where the funds used to finance a qualifying asset form
part of general borrowings, the amount capitalized is calculated using
a weighted average of rates applicable to the relevant borrowings
during the period. Where funds borrowed are directly attributable to
a qualifying asset, the amount capitalized represents the borrowing
costs specific to those borrowings. Where surplus funds available out
of money borrowed specifically to finance a project are temporarily
invested, the total capitalized interest is reduced by income generated
from short-term investments of such funds.
m) Impairment (and Reversals of Impairment)
of Non-Current Assets
We review and test the carrying amounts of PP&E and intangible
assets with finite lives when an indicator of impairment is considered
to exist. Impairment assessments on PP&E and intangible assets are
conducted at the level of the cash generating unit (“CGU”), which is the
lowest level for which identifiable cash flows are largely independent
of the cash flows of other assets and includes liabilities specific to the
CGU. For operating mines and projects, the individual mine/project
represents a CGU for impairment testing.
The recoverable amount of a CGU is the higher of Value in Use
(“VIU”) and Fair Value Less Costs of Disposal (“FVLCD”). We have
determined that the FVLCD is greater than the VIU amounts and is
therefore used as the recoverable amount for impairment testing
purposes. An impairment loss is recognized for any excess of the
carrying amount of a CGU over its recoverable amount where both the
recoverable amount and carrying value include the associated other
assets and liabilities, including taxes where applicable, of the CGU.
Where it is not appropriate to allocate the loss to a separate asset, an
impairment loss related to a CGU is allocated to the carrying amount
of the assets of the CGU on a pro rata basis based on the carrying
amount of its non-monetary assets.
Impairment Reversal
An assessment is made at each reporting date to determine whether
there is an indication that previously recognized impairment losses
may no longer exist or may have decreased. A previously recognized
impairment loss is reversed only if there has been a change in the
assumptions used to determine the CGU’s recoverable amount
since the last impairment loss was recognized. This reversal is
recognized in the consolidated statements of income and is limited
to the carrying value that would have been determined, net of any
depreciation where applicable, had no impairment charge been
recognized in prior years. When an impairment reversal is undertaken,
the recoverable amount is assessed by reference to the higher of VIU
and FVLCD. We have determined that the FVLCD is greater than the
VIU amounts and is therefore used as the recoverable amount for
impairment testing purposes.
n) Intangible Assets
On acquisition of a mineral property in the exploration stage, we prepare
an estimate of the fair value attributable to the exploration licenses
acquired, including the fair value attributable to mineral resources,
if any, of that property. The fair value of the exploration license is
recorded as an intangible asset (acquired exploration potential) as at
the date of acquisition. When an exploration stage property moves
into development, the acquired exploration potential attributable to
that property is transferred to mining interests within PP&E.
We also have water rights associated with our mineral properties.
Upon acquisition, they are measured at initial cost and are depreciated
when they are being used. They are also subject to impairment testing
when an indicator of impairment is considered to exist.
o) Goodwill
Goodwill is tested for impairment in the fourth quarter and also when
there is an indicator of impairment. At the date of acquisition, goodwill
is assigned to the CGU or group of CGUs that is expected to benefit
from the synergies of the business combination. For the purposes of
impairment testing, goodwill is allocated to the Company’s operating
segments, which are our individual minesites, and corresponds to
the level at which goodwill is internally monitored by the Chief
Operating Decision Maker (“CODM”). Goodwill impairment charges
are not reversible.
p) Debt
Debt is recognized initially at fair value, net of financing costs incurred,
and subsequently measured at amortized cost. Any difference between
the amounts originally received and the redemption value of the debt is
recognized in the consolidated statements of income over the period
to maturity using the effective interest method.
171
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS q) Environmental Rehabilitation Provision
Mining, extraction and processing activities normally give rise to
for environmental rehabilitation. Rehabilitation work
obligations
can include facility decommissioning and dismantling; removal or
treatment of waste materials; site and land rehabilitation, including
compliance with and monitoring of environmental regulations; security
and other site-related costs required to perform the rehabilitation
work; and operation of equipment designed to reduce or eliminate
environmental effects. The extent of work required and the associated
costs are dependent on the requirements of relevant authorities and
our environmental policies. Routine operating costs that may impact
the ultimate closure and rehabilitation activities, such as waste material
handling conducted as an integral part of a mining or production
process, are not included in the provision. Abnormal costs arising
from unforeseen circumstances, such as the contamination caused
by unplanned discharges, are recognized as an expense and liability
when the event that gives rise to an obligation occurs and reliable
estimates of the required rehabilitation costs can be made.
Provisions for the cost of each rehabilitation program are normally
recognized at the time that an environmental disturbance occurs or a
new legal or constructive obligation is determined. When the extent
of disturbance increases over the life of an operation, the provision
is increased accordingly. The major parts of the carrying amount of
provisions relate to closure/rehabilitation of tailings facilities, heap
leach pads and waste dumps; demolition of buildings/mine facilities;
ongoing water treatment; and ongoing care and maintenance and
security of closed mines. Costs included in the provision encompass
all closure and rehabilitation activity expected to occur progressively
over the life of the operation at the time of closure and post-closure
in connection with disturbances as at the reporting date. Estimated
costs included in the determination of the provision reflect the risks
and probabilities of alternative estimates of cash flows required
to settle the obligation at each particular operation. The expected
rehabilitation costs are estimated based on the cost of external
contractors performing the work or the cost of performing the work
internally depending on management’s intention.
The timing of the actual rehabilitation expenditure is dependent
upon a number of factors such as the life and nature of the asset, the
operating license conditions and the environment in which the mine
operates. Expenditures may occur before and after closure and can
continue for an extended period of time depending on rehabilitation
requirements. Rehabilitation provisions are measured at the expected
value of future cash flows, which exclude the effect of inflation,
discounted to their present value using a current US dollar real risk-
free pre-tax discount rate. The unwinding of the discount, referred to
as accretion expense, is included in finance costs and results in an
increase in the amount of the provision. Provisions are updated each
reporting period for changes to expected cash flows and for the effect
of changes in the discount rate, and the change in estimate is added
or deducted from the related asset and depreciated over the expected
economic life of the operation to which it relates.
Significant judgments and estimates are involved in forming
expectations of future activities, the amount and timing of the
associated cash flows and the period over which we estimate
those cash flows. Those expectations are formed based on existing
environmental and regulatory requirements or, if more stringent, our
environmental policies which give rise to a constructive obligation.
When provisions for closure and rehabilitation are
initially
recognized, the corresponding cost is capitalized as an asset,
representing part of the cost of acquiring the future economic benefits
of the operation. The capitalized cost of closure and rehabilitation
activities is recognized in PP&E and depreciated over the expected
economic life of the operation to which it relates.
Adjustments to the estimated amount and timing of future closure
and rehabilitation cash flows are a normal occurrence in light of the
significant judgments and estimates involved. The principal factors
that can cause expected cash flows to change are: the construction
of new processing facilities; changes in the quantities of material in
reserves and resources with a corresponding change in the life of mine
plan; changing ore characteristics that impact required environmental
protection measures and related costs; changes in water quality or
volumes that impact the extent of water treatment required; changes
in discount rates; changes in foreign exchange rates; changes in
Barrick’s closure policies; and changes in laws and regulations
governing the protection of the environment.
Rehabilitation provisions are adjusted as a result of changes in
estimates and assumptions. Those adjustments are accounted for as
a change in the corresponding cost of the related assets, including
the related mineral property, except where a reduction in the provision
is greater than the remaining net book value of the related assets, in
which case the value is reduced to nil and the remaining adjustment
is recognized in the consolidated statements of income. In the case of
closed sites, changes in estimates and assumptions are recognized
immediately in the consolidated statements of income. For an
operating mine, the adjusted carrying amount of the related asset
is depreciated prospectively. Adjustments also result in changes to
future finance costs. Provisions are discounted to their present value
using a current US dollar real risk-free pre-tax discount rate and the
accretion expense is included in finance costs.
r) Stock-Based Compensation
We recognize the expense related to these plans over the vesting
period, beginning once the grant has been approved and announced
to the beneficiaries.
Barrick offers cash-settled (Restricted Share Units (“RSU”),
Deferred Share Units (“DSU”) and Performance Granted Share Units
(“PGSU”)) awards to certain employees, officers and directors of the
Company.
Restricted Share Units
Under our Long-Term Incentive Plan, selected employees are granted
RSUs where each RSU has a value equal to one Barrick common
share. RSUs generally vest within three years in cash and the after-tax
value of the award may be used to purchase common shares on the
open market, depending on the terms of the grant. Additional RSUs
are credited to reflect dividends paid on Barrick common shares over
the vesting period.
A liability for RSUs is measured at fair value on the grant date
and is subsequently adjusted for changes in fair value. The liability
is recognized on a straight-line basis over the vesting period, with a
corresponding charge to compensation expense, as a component of
general and administrative expenses and cost of sales. Compensation
expenses for RSUs incorporate an estimate for expected forfeiture
rates based on which the fair value is adjusted.
Deferred Share Units
Under our DSU plan, Directors must receive at least 63.6% of their
basic annual retainer in the form of DSUs or cash to purchase common
shares that cannot be sold, transferred or otherwise disposed of until
the Director leaves the Board. Each DSU has the same value as one
Barrick common share. DSUs must be retained until the Director
leaves the Board, at which time the cash value of the DSUs is paid
out. Additional DSUs are credited to reflect dividends paid on Barrick
common shares. The initial fair value of the liability is calculated as of
the grant date and is recognized immediately. Subsequently, at each
reporting date and on settlement, the liability is remeasured, with any
change in fair value recorded as compensation expense in the period.
172
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS Performance Granted Share Units
Under our PGSU plan, selected employees are granted PGSUs,
where each PGSU has a value equal to one Barrick common share.
Annual PGSU awards are determined based on a multiple ranging
from three to six times base salary (depending on position and level of
responsibility) multiplied by a performance factor. For PGSU awards
granted prior to October 31, 2023, the number of PGSUs granted to a
plan participant is determined by dividing the dollar value of the award
by the closing price of Barrick common shares on the day prior to
the grant, or if the grant date occurs during a blackout period, by the
greater of (i) the closing price of Barrick common shares on the day
prior to the grant date and (ii) the closing price of Barrick common
shares on the first day following the expiration of the blackout. For
PGSU awards granted after October 31, 2023, the number of PGSUs
granted to a plan participant is determined by dividing the dollar value
of the award by the volume-weighted average share price of Barrick
common shares for the five trading days preceding the grant date or,
if the grant date occurs during a blackout period or during the five
trading days immediately following a blackout period, by the volume-
weighted average share price of Barrick common shares for the five
trading days following the expiration of the blackout period.
PGSUs vest within three years in cash, and the after-tax value of
the award is used to purchase common shares on the open market.
Generally, these shares cannot be sold until the employee meets their
share ownership requirement (in which case only those Barrick shares
in excess of the requirement can be sold), or until they retire or leave
the company.
The initial fair value of the liability is calculated as of the grant date
and is recognized within compensation expense using the straight-line
method over the vesting period. Subsequently, at each reporting date
and on settlement, the liability is remeasured, with any changes in fair
value recorded as compensation expense.
s) New Accounting Standards Issued
But Not Yet Effective
Certain new accounting standards and interpretations have been
published that are either applicable in the current year or not
mandatory for the current period. We have assessed these standards,
including Amendments to IAS 1 – Classification of Liabilities as Current
or Non Current and Amendments to IAS 1 – Non-current Liabilities
with Covenants, and they do not or are not expected to have a
material impact on Barrick in the current or future reporting periods.
No standards have been early adopted in the current period.
3. CRITICAL JUDGMENTS, ESTIMATES,
ASSUMPTIONS AND RISKS
Many of the amounts included in the consolidated balance sheet
require management to make judgments and/or estimates. These
judgments and estimates are continuously evaluated and are based
on management’s experience and knowledge of the relevant facts
and circumstances. Actual results may differ from the estimates.
Information about such judgments and estimates is contained in
the description of our accounting policies and/or other notes to the
financial statements. The key areas where judgments, estimates and
assumptions have been made are summarized below.
Life of Mine Plans and Reserves and Resources
Estimates of the quantities of proven and probable mineral reserves
and mineral resources form the basis for our LOM plans, which are
used for a number of important business and accounting purposes,
including: the calculation of depreciation expense; the capitalization
of production phase stripping costs;
the current/non-current
classification of inventory; the recognition of deferred revenue related
to streaming arrangements and forecasting the timing of the payments
related to the environmental rehabilitation provision. In addition, the
underlying LOM plans are generally used in the impairment tests for
goodwill and non-current assets. In certain cases, these LOM plans
have made assumptions about our ability to obtain the necessary
permits required to complete the planned activities. We estimate
our mineral reserves and resources based on information compiled
by qualified persons as defined in accordance with the Canadian
Securities Administrators’ National Instrument 43-101 – Standards of
Disclosure for Mineral Projects requirements. To calculate our gold
and copper mineral reserves, as well as measured, indicated, and
inferred mineral resources, we have used the following assumptions.
Refer to notes 19 and 21.
Gold ($/oz)
Mineral reserves
Measured, indicated and inferred
Copper ($/lb)
Mineral reserves
Measured, indicated and inferred
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$ 1,300
1,700
$ 1,300
1,700
3.00
4.00
3.00
3.75
Inventory
The measurement of inventory including the determination of its
net realizable value, especially as it relates to ore in stockpiles and
recoverable from leach pads, involves the use of estimates. Net
realizable value is determined with reference to relevant market prices
less applicable variable selling expenses. Estimation is also required
in determining the tonnage, recoverable gold and copper contained
therein, and in determining the remaining costs of completion to bring
inventory into its saleable form. Judgment also exists in determining
whether to recognize a provision for obsolescence on mine operating
supplies, and estimates are required to determine salvage or scrap
value of mine operating supplies.
Estimates of recoverable gold or copper on the leach pads
are calculated from the quantities of ore placed on the leach pads
(measured tonnes added to the leach pads), the grade of ore placed
on the leach pads (based on assay data) and a recovery percentage
(based on ore type).
Impairment and Reversal of Impairment for Non-Current
Assets and Impairment of Goodwill
Goodwill and non-current assets are tested for impairment if there
is an indicator of impairment or reversal of impairment, and in the
case of goodwill annually during the fourth quarter, for all of our
operating segments. We consider both external and internal sources
of information for indications that non-current assets and/or goodwill
are impaired. External sources of information we consider include
changes in the market, economic, legal and permitting environment
in which the CGU operates that are not within its control and affect
the recoverable amount of mining interests and goodwill. Internal
sources of information we consider include the manner in which
mining properties and plant and equipment are being used or are
expected to be used and indications of economic performance of the
assets. Calculating the FVLCD of CGUs for non-current asset and
goodwill impairment tests requires management to make estimates
and assumptions with respect to future production levels, operating,
capital and closure costs in our LOM plans, future metal prices,
foreign exchange rates, Net Asset Value (“NAV”) multiples, fair value
of mineral resources outside LOM plans, the market values per ounce
and per pound and weighted average costs of capital. Changes in any
of the assumptions or estimates used in determining the fair values
could impact the impairment analysis. Refer to notes 2m, 2o and 21
for further information.
173
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Pascua-Lama Value Added Tax
The Pascua-Lama project received $472 million as at December 31,
2023 ($457 million as at December 31, 2022) in VAT refunds in Chile
relating to the development of the Chilean side of the project. Under
the current arrangement, this amount must be repaid if the project
does not evidence exports for an amount of $3,538 million within a
term that expires on December 31, 2026, unless extended.
In addition, we have recorded $9 million in VAT recoverable in
Argentina as at December 31, 2023 ($31 million as at December 31,
2022) relating to the development of the Argentinean side of the
project. These amounts may not be fully recoverable if the project
does not enter into production and are subject to foreign currency risk
as the amounts are recoverable in Argentine pesos.
Streaming Transactions
The upfront cash deposit received from Royal Gold on the gold and
silver streaming transaction for production linked to Barrick’s 60%
interest in the Pueblo Viejo mine has been accounted for as deferred
revenue since we have determined that it is not a derivative as it will
be satisfied through the delivery of non-financial items (i.e., gold and
silver) rather than cash or financial assets. It is our intention to settle
the obligations under the streaming arrangement through our own
production and if we were to fail to settle the obligations with Royal
Gold through our own production, this would lead to the streaming
arrangement becoming a derivative. This would cause a change to
the accounting treatment, resulting in the revaluation of the fair value
of the agreement through profit and loss on a recurring basis. Refer to
note 29 for further details.
The deferred revenue component of our streaming agreements is
considered variable and is subject to retroactive adjustment when there
is a change in the timing of the delivery of ounces or in the underlying
production profile of the relevant mine. The impact of such a change
in the timing or quantity of ounces to be delivered under a streaming
agreement will result in retroactive adjustments to both the deferred
revenue recognized and the accretion recorded prior to the date of the
change. Refer to note 2e. For further details on streaming transactions,
including our silver sale agreement with Wheaton Precious Metals
Corp. (“Wheaton”), refer to note 29.
Consolidation of Reko Diq
The Reko Diq project is 50% held by Barrick and 50% by Pakistani
stakeholders, comprising a 10% free-carried, non-contributing share
held by the Provincial Government of Balochistan, an additional
15% held by a special purpose company owned by the Provincial
Government of Balochistan and 25% owned by other federal state-
owned enterprises. Pursuant to the joint venture agreement, Barrick
has power over the relevant activities of the project, including
operatorship of the project, the decision to proceed with development
of the project, subject to a sufficient expected rate of return, as well
as development and approval of LOM plans. Therefore Barrick has
concluded that it controls Reko Diq and it is consolidated in Barrick’s
consolidated financial statements with a 50% non-controlling interest.
Provisions for Environmental Rehabilitation
Management assesses its provision for environmental rehabilitation
on an annual basis or when new information becomes available. This
assessment includes the estimation of the future rehabilitation costs
(including water treatment), the timing of these expenditures, and
the impact of changes in discount rates and foreign exchange rates.
The actual future expenditures may differ from the amounts currently
provided if the estimates made are significantly different than actual
results or if there are significant changes in environmental and/or
regulatory requirements in the future. Refer to notes 2q and 27 for
further information.
Taxes
Management is required to assess uncertainties and make judgments
and estimations regarding the tax basis of assets and liabilities and
related deferred income tax assets and liabilities, amounts recorded
for uncertain tax positions, the measurement of income tax expense
and indirect taxes such as royalties and export duties, and estimates
of the timing of repatriation of earnings, which would impact the
recognition of withholding taxes and taxes related to the outside
basis on subsidiaries/associates. While these amounts represent
management’s best estimate based on the laws and regulations that
exist at the time of preparation, we operate in certain jurisdictions that
have increased degrees of political and sovereign risk and while host
governments have historically supported the development of natural
resources by foreign companies, tax legislation in these jurisdictions is
developing and there is a risk that fiscal reform changes with respect
to existing investments could unexpectedly impact application of this
tax legislation. Such changes could impact the Company’s judgments
about the amounts recorded for uncertain tax positions, tax basis
of assets and liabilities, and related deferred income tax assets and
liabilities, and estimates of the timing of repatriation of earnings. This
could necessitate future adjustments to tax income and expense
already recorded. A number of these estimates require management
to make estimates of future taxable profit, as well as the recoverability
of indirect taxes, and if actual results are significantly different than our
estimates, the ability to realize the deferred tax assets and indirect tax
receivables recorded on our balance sheet could be impacted. Refer
to notes 2h, 12, 30 and 35 for further information.
Contingencies
Contingencies can be either possible assets or possible liabilities
arising from past events which, by their nature, will only be resolved
when one or more future events not wholly within our control occur or
fail to occur. The assessment of such contingencies inherently involves
the exercise of significant judgment and estimates of the outcome
of future events. In assessing loss contingencies related to legal
proceedings that are pending against us or unasserted claims that
may result in such proceedings or regulatory or government actions
that may negatively impact our business or operations, the Company
with assistance from its legal counsel evaluates the perceived merits
of any legal proceedings or unasserted claims or actions as well as the
perceived merits of the nature and amount of relief sought or expected
to be sought, when determining the amount, if any, to recognize as
a contingent liability or assessing the impact on the carrying value
of assets. If the assessment of a contingency suggests that a loss
is probable, and the amount can be reliably estimated, then a loss is
recorded. When a contingent loss is not probable but is reasonably
possible, or is probable but the amount of loss cannot be reliably
estimated, then details of the contingent loss are disclosed. Loss
contingencies considered remote are generally not disclosed unless
they involve guarantees, in which case we disclose the nature of the
guarantee. Contingent assets are not recognized in the consolidated
financial statements. Refer to note 35 for more information.
174
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS Other Notes to the Financial Statements
Note Page
Acquisitions and Divestitures
Segment Information
Revenue
Cost of Sales
Exploration, Evaluation and Project Expenses
Other Expense (Income)
Impairment Charges (Reversals)
General and Administrative Expenses
Income Tax Expense
Earnings (Loss) Per Share
Finance Costs, Net
Cash Flow – Other Items
Investments
Inventories
Accounts Receivable and Other Current Assets
Property, Plant and Equipment
Goodwill and other Intangible Assets
Impairment and Reversal of Non-Current Assets
Other Assets
Accounts Payable
Other Current Liabilities
Financial Instruments
Fair Value Measurements
Provisions
Financial Risk Management
Other Non-Current Liabilities
Deferred Income Taxes
Capital Stock
Non-Controlling Interests
Related Party Transactions
Stock-Based Compensation
Contingencies
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4. ACQUISITIONS AND DIVESTITURES
a) Porgera
On April 25, 2020, the Porgera mine was put on care and maintenance
after the PNG government indicated that the SML would not be
extended. On April 9, 2021, the PNG government and BNL, the 95%
owner and operator of the Porgera joint venture, agreed on a partnership
for the future ownership and operation of the mine under a binding
Framework Agreement. The Framework Agreement was replaced
by the more detailed Porgera Project Commencement Agreement
(“PPCA”), which reached formal completion on December 22, 2023.
Under the terms of the PPCA, ownership of Porgera is held in a new
joint venture owned 51% by PNG stakeholders and 49% by a new
company, Porgera (Jersey) Limited, that is jointly owned on a 50/50
basis by Barrick and Zijin Mining Group and therefore Barrick now
holds a 24.5% equity accounted for interest in the Porgera mine.
BNL is the operator of the mine. Porgera was previously accounted
for as a joint operation, but under the new shareholder agreements,
we have concluded that Barrick will account for its interest in Porgera
as a joint venture.
As the conditions for the reopening of the mine were completed
on December 22, 2023, in the fourth quarter of 2023, we recorded
the following: (a) derecognition of Barrick’s 47.5% share of the assets
and liabilities of the joint operation that were transferred to the new
Porgera joint venture; (b) an equity method investment for Barrick’s
interest in the new Porgera joint venture, measured at fair value based
on Barrick’s share of the cash flows expected to be generated from
the mine; and (c) a gain of $352 million in other income as the net result
of the derecognition of the joint operation and recognition of the new
Porgera joint venture. For further details refer to note 35.
b) Reko Diq
On December 15, 2022, Barrick completed the reconstitution of the
Reko Diq project in Pakistan’s Balochistan province. The completion
of this transaction involved, among other things, the execution of all of
the definitive agreements including the mineral agreement stabilizing
the fiscal regime applicable to the project, as well as the grant of the
mining leases, an exploration license, and surface rights.
The reconstituted project is held 50% by Barrick and 50%
by Pakistani stakeholders, comprising a 10% free-carried, non-
contributing share held by the Provincial Government of Balochistan,
an additional 15% held by a special purpose company owned by
the Provincial Government of Balochistan and 25% owned by other
federal state-owned enterprises. Barrick is the operator of the project.
Barrick began consolidating Reko Diq as at December 31, 2022.
In the fourth quarter of 2022, upon the reconstitution of the project,
we recorded an impairment reversal of $120 million relating to the
carrying value of our equity method investment in the Reko Diq project
that we fully impaired in 2012 and had a 37.5% interest in. We also
recognized a gain of $300 million in other income as Barrick’s interest
in the Reko Diq project increased from 37.5% to 50%. In addition,
we recognized a non-controlling interest of $329 million, based on the
historical cost attributed to the project company. A total of $744 million
was recorded as mining property costs not subject to depreciation.
Furthermore, the payments made by the Provincial Government
of Balochistan and other federal state-owned enterprises for the in
aggregate 40% interest, and to fund Antofagasta plc’s exit from the
reconstituted project, remained in an entity that was consolidated by
Barrick as at December 31, 2022. As at December 31, 2022, those
funds were held in a restricted bank account as an other current asset
and the liability to Antofagasta plc was recorded as an other current
liability. The funds were distributed to Antofagasta plc in the second
quarter of 2023.
The reconstitution resolves the damages originally awarded by
the International Centre for the Settlement of Investment Disputes
and disputed in the International Chamber of Commerce. For further
details refer to notes 21 and 35.
c) Lagunas Norte
On June 1, 2021, Barrick closed an agreement to sell its 100% interest
in the Lagunas Norte gold mine in Peru to Boroo Pte Ltd. (“Boroo”).
As part of the terms of the transaction, Boroo assumed 50% of the
$173 million reclamation bond obligations for Lagunas Norte upon
closing. Boroo was to assume the other 50% within one year of
closing; however, this was extended until June 1, 2023. During the
second quarter of 2023, Boroo fully assumed this obligation and
Barrick has no further obligation related to the closure and reclamation
of Lagunas Norte.
175
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 5. SEGMENT INFORMATION
Barrick’s business is organized into sixteen minesites. Barrick’s
CODM (Mark Bristow, President and Chief Executive Officer) reviews
the operating results, assesses performance and makes capital
allocation decisions at the minesite level. In the first quarter of 2023,
we re-evaluated our reportable operating segments. Lumwana has
been presented as a reportable segment for the current and prior
periods. Veladero is no longer a reportable segment. As a result,
our presentation of our reportable operating segments consists of
eight gold mines (Carlin, Cortez, Turquoise Ridge, Pueblo Viejo,
Consolidated Statements of Income Information
Loulo-Gounkoto, Kibali, North Mara and Bulyanhulu) and one copper
mine (Lumwana). The remaining operating segments, including our
remaining gold mines, have been grouped into an “Other Mines”
category and will not be reported on individually. Prior period figures
have been restated to reflect this change. Segment performance is
evaluated based on a number of measures including operating income
before tax, production levels and unit production costs. Certain costs
are managed on a consolidated basis and are therefore not reflected
in segment income.
For the year ended December 31, 2023
Revenue
relations Depreciation
Cost of Sales
Site operating
costs,
royalties and
community
Exploration,
evaluation
and project
expenses
Other
expenses
(income)1
Segment
income
(loss)
Carlin2
Cortez2
Turquoise Ridge2
Pueblo Viejo2
Loulo-Gounkoto2
Kibali
Lumwana
North Mara2
Bulyanhulu2
Other Mines2
Reportable segment total
Share of equity investee
Segment total
$ 2,760
$ 1,475
$
314
$
1,737
1,008
1,118
1,335
670
795
591
442
1,591
810
533
536
570
272
466
288
220
975
364
189
255
247
147
257
77
62
246
23
14
5
4
–
–
37
–
–
6
$
10
$
7
1
7
34
8
(2)
61
13
78
938
542
280
316
484
243
37
165
147
286
$ 12,047
$ 6,145
$ 2,158
(670)
(272)
(147)
$ 11,377
$ 5,873
$ 2,011
$
$
89
–
89
$
$
217
$ 3,438
(8)
(243)
209
$ 3,195
Consolidated Statements of Income Information
For the year ended December 31, 2022
Revenue
relations Depreciation
Cost of Sales
Site operating
costs,
royalties and
community
Exploration,
evaluation
and project
expenses
Other
expenses
(income)1
Segment
income
(loss)
Carlin2
Cortez2
Turquoise Ridge2
Pueblo Viejo2
Loulo-Gounkoto2
Kibali
Lumwana
North Mara2
Bulyanhulu2
Other Mines2
Reportable segment total
Share of equity investee
Segment total
$ 2,848
$ 1,416
$
312
$
21
$
(15)
$ 1,114
1,316
814
1,303
1,236
598
868
570
463
1,553
597
469
559
533
235
443
236
235
985
253
178
242
257
178
223
73
60
379
12
7
24
9
2
11
4
3
10
4
–
17
11
41
11
48
25
70
450
160
461
426
142
180
209
140
109
$ 11,569
$ 5,708
$ 2,155
(598)
(235)
(178)
$ 10,971
$ 5,473
$ 1,977
$
$
103
(2)
101
$
$
212
(41)
171
$ 3,391
(142)
$ 3,249
1 Includes accretion expense, which is included with finance costs in the consolidated statements of income. For the year ended December 31, 2023, accretion
expense was $49 million (2022: $36 million).
2 Includes non-controlling interest portion of revenues, cost of sales and segment income (loss) for the year ended December 31, 2023, for Pueblo Viejo, $448 million,
$315 million, $130 million (2022: $528 million, $319 million, $195 million), Nevada Gold Mines, $2,329 million, $1,580 million, $724 million (2022: $2,146 million,
$1,422 million, $711 million), North Mara and Bulyanhulu $165 million, $103 million, $50 million (2022: $165 million, $97 million, $55 million), Loulo-Gounkoto,
$267 million, $163 million, $99 million (2022: $247 million, $158 million, $88 million) and Tongon, $41 million, $31 million, $10 million (2022: $37 million, $36 million, $nil).
176
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Reconciliation of Segment Income to Income Before Income Taxes
For the years ended December 31
Segment income
Other revenue
Other cost of sales/amortization
Exploration, evaluation and project expenses not attributable to segments
General and administrative expenses
Other income not attributable to segments
Impairment charges
Loss on currency translation
Closed mine rehabilitation
Income from equity investees
Finance costs, net (includes non-segment accretion)1
Gain on non-hedge derivatives
Income before income taxes
1 Includes debt extinguishment gains of $nil (2022: $14 million).
Geographic Information
2023
2022
$ 3,195
$ 3,249
20
(48)
(272)
(126)
354
(312)
(93)
(16)
232
(121)
1
42
(47)
(249)
(159)
396
(1,671)
(16)
136
258
(265)
7
$ 2,814
$ 1,681
Non-current assets
Revenue1
As at
Dec. 31,
2023
As at
Dec. 31,
2022
2023
2022
United States
Dominican Republic
Mali
Democratic Republic of Congo
Tanzania
Zambia
Chile
Argentina
Pakistan
Papua New Guinea
Canada
Saudi Arabia
Côte d’Ivoire
Peru
Unallocated
Total
$ 16,782 $ 16,518 $ 6,051 $ 5,573
1,303
4,874
5,156
1,118
3,743
2,118
2,003
1,949
1,930
1,209
754
704
503
391
224
71
3,599
2,659
1,914
1,930
1,957
1,247
749
327
507
382
164
73
1,335
–
1,033
795
8
368
–
9
277
–
398
5
1,236
–
1,033
868
–
365
–
–
231
–
356
48
836
–
$ 38,373 $ 37,500 $ 11,397 $ 11,013
600
–
1 Geographic location is presented based on the location of the mine from which the product originated.
177
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Capital Expenditures Information
Carlin
Cortez
Turquoise Ridge
Pueblo Viejo
Loulo-Gounkoto
Kibali
Lumwana
North Mara
Bulyanhulu
Other Mines
Reportable segment total
Other items not allocated to segments
Total
Share of equity investee
Total
Segment Capital
Expenditures1
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$
615
427
$
102
441
375
83
320
206
107
231
506
419
176
629
322
99
380
156
90
287
$ 2,907
$ 3,064
298
133
$ 3,205
$ 3,197
(83)
(99)
$ 3,122
$ 3,098
1 Segment capital expenditures are presented for internal management reporting purposes on an accrual basis. Capital expenditures in the consolidated statements
of cash flow are presented on a cash basis. In 2023, cash expenditures were $3,086 million (2022: $3,049 million) and the increase in accrued expenditures was
$36 million (2022: $49 million increase).
Provisional Copper and Gold Sales
We have provisionally priced sales for which price finalization,
referenced to the relevant copper and gold index, is outstanding at the
balance sheet date. Our exposure at December 31, 2023 to the impact
of future movements in market commodity prices for provisionally
priced sales is set out in the following table:
Volumes subject to
final pricing
Copper (millions)
Gold (000s)
Impact on net
income before
taxation of 10%
movement in
market price
2023
2022
2023
2022
61
50
60
42
$ 23 $ 23
8
10
As at December 31
Copper pounds
Gold ounces
At December 31, 2023, our provisionally priced copper sales subject
to final settlement were recorded at an average price of $3.81/lb
(2022: $3.80/lb). At December 31, 2023, our provisionally priced gold
sales subject to final settlement were recorded at an average price of
$2,079/oz (2022: $1,824/oz). The sensitivities in the above tables have
been determined as the impact of a 10% change in commodity prices
at each reporting date, while holding all other variables, including
foreign currency exchange rates, constant.
6. REVENUE
For the years ended December 31
2023
2022
Gold sales
Spot market sales
Concentrate sales
Provisional pricing adjustments
$ 9,973 $ 9,597
326
367
10
(3)
$ 10,350 $ 9,920
Copper sales
Copper concentrate sales
$
786 $
Provisional pricing adjustments
9
906
(38)
Other sales1
Total
$
795 $
252 $
225
$
$ 11,397 $ 11,013
868
1 Revenues from the sale of by-products from our gold and copper mines.
For the year ended December 31, 2023, the Company has three
customers that individually account for more than 10% of the
Company’s total revenue. These customers represent approximately
23%, 16%, and 10% of total revenue. However, because gold can
be sold through numerous gold market traders worldwide (including a
large number of financial institutions), the Company is not economically
dependent on a limited number of customers for the sale of its product.
Principal Products
All of our gold mining operations produce gold in doré form, except
Phoenix, Bulyanhulu and Porgera, which produce both gold doré and
gold concentrate. Gold doré is unrefined gold bullion bars usually
consisting of 90% gold that is refined to pure gold bullion prior to sale
to our customers. Concentrate is a semi-processed product containing
the valuable metal minerals from which most of the waste mineral has
been eliminated. Our Lumwana mine produces a concentrate that
primarily contains copper. Our Phoenix mine produces a concentrate
that contains both gold and copper. Incidental revenues from the sale
of by-products, primarily copper, silver and energy at our gold mines,
are classified within other sales.
178
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
7. COST OF SALES
Gold
Copper
Other4
Total
For the years ended December 31
2023
2022
2023
2022
2023
2022
2023
2022
Site operating cost1,2,3
Depreciation1
Royalty expense
Community relations
Total
$
$ 5,015
1,756
371
36
$ 4,678
1,756
342
37
$ 7,178
$ 6,813
$
401
259
62
4
726
$
$
336
223
103
4
666
$
–
$
28
–
–
28
$
$
–
18
–
–
18
$ 5,416
2,043
433
40
$ 7,932
$ 5,014
1,997
445
41
$ 7,497
1 Site operating costs and depreciation include charges to reduce the cost of inventory to net realizable value of $68 million (2022: $104 million). Refer to note 17.
2 Site operating costs includes the costs of extracting by-products.
3 Includes employee costs of $1,579 million (2022: $1,448 million).
4 Other includes corporate amortization.
8. EXPLORATION, EVALUATION
AND PROJECT EXPENSES
10. IMPAIRMENT CHARGES (REVERSALS)
For the years ended December 31
2023
2022
For the years ended December 31
Global exploration and evaluation1
Project costs:
Reko Diq
Lumwana
Pascua-Lama
Pueblo Viejo
Other
Corporate development
Minesite exploration and evaluation1
Total exploration, evaluation
and project expenses
2023
2022
$
143
$
123
60
37
26
4
41
10
40
14
–
52
24
47
15
75
$
361
$
350
Impairment charges of
non-current assets1
Impairment of goodwill1
Total
1 Refer to note 21 for further details.
$
$
312
–
312
$
483
1,188
$ 1,671
11. GENERAL AND ADMINISTRATIVE EXPENSES
For the years ended December 31
Corporate administration
Share-based compensation
Total1
2023
2022
$
$
101
25
126
$
125
34
$
159
1 Approximates the impact on operating cash flow.
1 Includes employee costs of $82 million (2022: $93 million).
9. OTHER EXPENSE (INCOME)
12. INCOME TAX EXPENSE
For the years ended December 31
2023
2022
For the years ended December 31
2023
2022
Other Expense:
Litigation costs
Write-offs (reversals)
Bank charges
Porgera care and maintenance costs
Tanzania education program
Supplies obsolescence
Litigation accruals and settlements
Other
Total other expense
Other Income:
Gain on acquisition/sale of
non-current assets1
Insurance proceeds related to NGM
Loss (gain) on warrant investments
at FVPL
Gain on non-hedge derivatives
Interest income on other assets
Other
Total other income
Total
$
$
$
$
$
21
(2)
3
65
30
–
15
55
187
(364)
–
4
(1)
(21)
–
(382)
(195)
$
$
$
$
$
22
15
5
53
–
48
19
28
190
(405)
(22)
(4)
(7)
(17)
(3)
(458)
(268)
1 2023 includes a gain of $352 million upon completion of the Porgera Project
Commencement Agreement which resulted in the derecognition of the joint
operation and recognition of the joint venture for the Porgera mine (refer
to note 4 for further details). 2022 includes a gain of $300 million on the
increased ownership of the Reko Diq project (refer to note 4 for further details)
and $63 million from the sale of the royalty portfolios to Maverix Metals Inc.
and Gold Royalty Corp.
Tax on profit
Current tax
Charge for the year
Adjustment in respect of prior years1
Deferred tax
Origination and reversal of temporary
differences in the current year
Adjustment in respect of prior years1
Income tax expense
Tax expense related to
continuing operations
Current
Canada
International
Deferred
Canada
International
Income tax expense
$
$
$
$
$
$
$
$
$
$
694
(14)
680
$
699
6
$
705
144
37
181
861
$
$
$
(52)
11
(41)
664
(3)
$
(8)
683
680
713
705
$
–
$
181
181
861
$
$
3
(44)
(41)
664
1 Includes adjustments to equalize the difference between prior year’s tax
return and the year-end provision.
179
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Reconciliation to Canadian Statutory Rate
For the years ended December 31
At 26.5% statutory rate
Increase (decrease) due to:
Allowances and special tax deductions1
Impact of foreign tax rates2
Non-deductible expenses /
(non-taxable income)
Goodwill impairment charges
not tax deductible
Taxable gains on sales of
non-current assets
Net currency translation losses on
current and deferred tax balances
Tax impact from pass-through entities
and equity accounted investments
Current year tax results sheltered by
previously unrecognized deferred
tax assets
Recognition and derecognition of
deferred tax assets
Adjustments in respect of prior years
Increase to income tax related
contingent liabilities
Impact of tax rate changes
Withholding taxes
Mining taxes
Tax impact of amounts recognized
within accumulated OCI
Other items
Income tax expense
2023
2022
$
746
$
446
(184)
(79)
72
–
6
289
(146)
(146)
(38)
325
1
59
(183)
(196)
(22)
(142)
23
54
(2)
61
224
(2)
–
861
$
33
15
17
13
–
82
201
(7)
5
$
664
1 We are able to claim certain allowances, incentives and tax deductions unique
to extractive industries that result in a lower effective tax rate.
2 We operate in multiple foreign tax jurisdictions that have tax rates different to
the Canadian statutory rate.
Currency Translation
Current and deferred tax balances are subject to remeasurement
for changes in foreign currency exchange rates each period. This
is required in countries where tax is paid in local currency and the
subsidiary has a different functional currency (typically US dollars). The
most significant relate to Argentine and Malian tax balances.
In 2023, a tax expense of $289 million arose from translation losses
on tax balances, mainly due to the weakening of the Argentine peso
and strengthening of the West African CFA franc against the US dollar.
In 2022, a tax expense of $59 million arose from translation losses on
tax balances, mainly due to the weakening of the Argentine peso and
the West African CFA franc against the US dollar. These net translation
losses are included within income tax expense.
Withholding Taxes
In 2023, we have recorded $5 million (2022: $29 million related to
Argentina and the United States) of dividend withholding taxes related
to the undistributed earnings of our subsidiaries in Saudi Arabia. We
have also recorded $26 million (2022: $36 million related to Tanzania
and the United States) of dividend withholding taxes related to the
distributed earnings of our subsidiaries in Saudi Arabia, Tanzania and
the United States.
United States Tax Reform
In August 2022, President Joe Biden signed the Inflation Reduction
Act (“the Act”) into law. The Act includes a 15% corporate alternative
minimum tax (“CAMT”) that is imposed on applicable financial
statement income and therefore would be considered in scope for
IAS 12 given it is a tax on profits. The CAMT is effective for tax years
beginning after December 31, 2022 and CAMT credit carryforwards
have an indefinite life. Barrick is subject to CAMT because the
Company meets the applicable income thresholds for a foreign-
parented multi-national group.
We are awaiting the final US Treasury Regulations detailing the
application of CAMT.
For 2023, the deferred tax asset arising from the CAMT credit
carryforwards has been recognized on the basis we expect that it will
be recovered against US Federal Income Tax in the future.
Nevada Gold Mines (“NGM”)
NGM is a limited liability company treated as a flow through partnership
for US tax purposes. The partnership is not subject to federal income
tax directly, but each of its partners is liable for tax on its share of the
profits of the partnership. As such, Barrick accounts for its current
and deferred income tax associated with the investment (61.5% share)
following the principles in IAS 12.
Organisation for Economic Co-operation and
Development (“OECD”) Pillar Two model rules
In October 2021, more than 135 jurisdictions agreed to the OECD/G20
Inclusive Framework on Base Erosion and Profit Shifting Statement on
a Two-Pillar Solution to Address the Tax Challenges Arising from the
Digitalisation of the Economy. Since then, the OECD has published
model rules and other documents related to the second pillar of
this solution (the Pillar Two model rules). The Pillar Two model rules
provide a template that jurisdictions can translate into domestic tax
law and implement as part of an agreed common approach.
Pillar Two legislation in Canada has been published in draft
but it is not substantively enacted. Other jurisdictions where the
group operates have either enacted legislation or are in the process
of doing so.
In terms of the potential implications for income tax accounting,
we have applied the exception available under the amendments to
IAS 12 published by the International Accounting Standards Board
in May 2023 and are not recognizing or disclosing information about
deferred tax assets and liabilities related to Pillar Two income taxes.
We continue working on assessing our exposure to Pillar Two income
taxes and based on the analysis performed to date, we do not expect
the impact of Pillar Two provisions to be material to the company.
Mining Taxes
In addition to corporate income tax, we pay mining taxes in the United
States (Nevada), the Dominican Republic, and Canada (Ontario).
NGM is subject to a Net Proceeds of Minerals tax in Nevada at a
rate of 5% and the tax expense recorded in 2023 was $105 million
(2022: $88 million). The other significant mining tax is the Dominican
Republic’s Net Profits Interest tax, which is determined based on cash
flows as defined by the Pueblo Viejo Special Lease Agreement. A tax
expense of $nil (2022: $110 million) was recorded for this in 2023.
Both taxes are included on a consolidated basis in the Company’s
consolidated statements of income.
Impairments
In 2023, we recorded net impairment charges of $312 million (2022:
net impairment charges of $483 million) for non-current assets and
$nil (2022: $1,188 million) for goodwill. Refer to note 21 for further
information.
A deferred tax recovery of $55 million (2022: deferred tax recovery
of $193 million related to impairments at Veladero, Long Canyon
and Lumwana) was recorded primarily related to the impairment at
Long Canyon.
180
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
13. EARNINGS (LOSS) PER SHARE
For the years ended December 31
($ millions, except shares in millions and per share amounts in dollars)
Net income
Net income attributable to non-controlling interests
Net income attributable to the equity holders of Barrick Gold Corporation
Weighted average shares outstanding
Basic and diluted earnings per share data attributable to the equity holders
of Barrick Gold Corporation
2023
2022
Basic
$ 1,953
(681)
$ 1,272
1,755
Diluted
$ 1,953
(681)
$ 1,272
1,755
Basic
$ 1,017
(585)
$
432
1,771
Diluted
$ 1,017
(585)
$
432
1,771
$ 0.72
$ 0.72
$ 0.24
$ 0.24
14. FINANCE COSTS, NET
For the years ended December 31
Interest expense1
Amortization of debt issue costs
Interest on lease liabilities
Loss on interest rate hedges
Interest capitalized2
Accretion
Gain on debt extinguishment
Finance income
Total
2023
2022
$
387
1
5
1
(42)
87
–
(269)
170
$
$
366
1
4
1
(29)
66
(14)
(94)
$
301
1 Interest in the consolidated statements of cash flow is presented on a cash basis. In 2023, cash interest paid was $300 million (2022: $305 million).
2 For the year ended December 31, 2023, the general capitalization rate was 6.60% (2022: 6.20%).
15. CASH FLOW – OTHER ITEMS
Operating Cash Flows – Other Items
For the years ended December 31
Adjustments for non-cash income statement items:
Gain on non-hedge derivatives
Stock-based compensation expense
Loss (gain) on warrant investments at FVPL
Tanzania education program
Change in estimate of rehabilitation costs at closed mines
Inventory impairment charges (note 17)
Supplies obsolescence
Change in other assets and liabilities
Settlement of stock-based compensation
Settlement of rehabilitation obligations
Other operating activities
Cash flow arising from changes in:
Accounts receivable
Inventory
Other current assets
Accounts payable
Other current liabilities
Change in working capital
Financing Cash Flows – Other Items
For the years ended December 31
Pueblo Viejo JV partner shareholder loan
Gain on debt extinguishment
Other financing activities
2023
2022
$
$
(1)
66
4
22
16
40
–
12
(57)
(167)
(7)
55
(4)
–
(136)
66
48
(28)
(66)
(145)
$
(65)
$
(217)
$
$
$
$
(155)
(97)
(146)
(37)
(17)
(452)
$
89
(219)
(261)
93
(24)
$
(322)
2023
2022
65
–
65
$
177
14
$
191
181
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
16. INVESTMENTS
Equity Accounting Method Investment Continuity
At January 1, 2022
Equity pick-up from equity investees
Dividends received from equity investees
At December 31, 2022
Investment in equity accounting
method investment1
Equity pick-up (loss) from equity investees
Dividends received from equity investees
Non-cash dividends received from
equity investees2
Shareholder loan repayment
At December 31, 2023
Kibali
Jabal Sayid
Zaldívar
Porgera
Other
Total
$ 3,267
$
382
$
893
$
–
$
52
$ 4,594
86
(694)
124
(124)
47
(50)
–
–
1
(1)
258
(869)
$ 2,659
$
382
$
890
$
–
$
52
$ 3,983
–
145
(180)
(505)
–
–
102
(93)
–
–
–
(16)
–
–
–
703
–
–
–
–
$ 2,119
$
391
$
874
$
703
$
–
1
–
–
(7)
46
703
232
(273)
(505)
(7)
$ 4,133
1 Refer to note 4.
2 Non-cash dividend distributed as JV receivable. Refer to note 18 and note 22.
Summarized Equity Investee Financial Information
For the years ended December 31
Revenue
Cost of sales (excluding depreciation)
Depreciation
Finance expense (income)
Other expense (income)
Income before income taxes
Income tax expense
Net income
Total comprehensive income
Net income (net of non-controlling interests)
Summarized Balance Sheet
Kibali
Jabal Sayid
Zaldívar
2023
2022
2023
2022
2023
2022
$ 1,488
$ 1,328
$
593
322
14
90
469
(154)
315
315
290
$
$
$
$
528
390
–
104
306
(121)
185
185
172
$
$
$
$
492
167
$
539
170
$
48
1
1
275
(71)
204
204
204
$
$
$
$
49
–
4
316
(67)
249
249
249
$
$
$
$
$
$
$
$
720
545
162
11
6
(4)
(29)
(33)
(33)
(33)
$
781
463
147
1
32
$
138
(44)
94
94
94
$
$
$
For the years ended December 31
2023
2022
2023
2022
2023
2022
2023
Kibali
Jabal Sayid
Zaldívar
Porgera2
Cash and equivalents
Other current assets1
Total current assets
Non-current assets
Total assets
Current financial liabilities (excluding trade,
other payables & provisions)
Other current liabilities
Total current liabilities
Non-current financial liabilities (excluding trade,
other payables & provisions)
Other non-current liabilities
Total non-current liabilities
Total liabilities
Net assets
Net assets (net of non-controlling interests)
92
$
97
$
77
$
38
$
72
$
$
$
123
225
348
$
$
194
286
3,896
$ 4,244
3,905
$ 4,191
$
$
307
149
456
$
$
771
820
$ 1,591
$ 2,047
$ 2,197
$ 2,015
13
126
139
51
$
785
836
$
975
$ 3,216
$ 3,095
143
240
402
642
2
90
92
4
9
13
105
537
537
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
151
228
405
633
571
609
$
559
631
$
$
2,014
$ 2,623
2,013
$ 2,644
2,837
$ 3,020
9
$
86
$
90
$
95
104
4
6
10
114
519
519
121
207
$
125
215
$
50
87
$
599
649
856
$
$ 1,767
$ 1,767
$
542
629
$
844
$ 1,800
$ 1,800
$
$
$
$ 2,237
$ 2,237
1
182
183
14
29
43
7
733
740
783
1 Zaldívar other current assets include inventory of $448 million (2022: $443 million).
2 Refer to note 4.
The information above reflects the amounts presented in the financial information of the joint venture adjusted for differences between IFRS and
local GAAP and fair value adjustments on acquisition of equity in investees.
182
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Reconciliation of Summarized Financial Information to Carrying Value
Opening net assets (net of non-controlling interests)
Investment in equity accounting method investment
Income for the period (net of non-controlling interests)
Dividends received from equity investees
Non-cash dividends received from equity investees
Kibali
Jabal Sayid
Zaldívar
Porgera1
$ 3,095
$
519
$ 1,800
$
–
–
290
(360)
(1,010)
–
204
(186)
–
–
(33)
–
–
2,237
–
–
–
Closing net assets (net of non-controlling interests), December 31
$ 2,015
$
537
$ 1,767
$ 2,237
Barrick’s share of net assets
Equity earnings adjustment
Goodwill recognition
Carrying value
1 Refer to note 4.
17. INVENTORIES
Raw materials
Ore in stockpiles
Ore on leach pads
Mine operating supplies
Work in process
Finished products
Non-current ore in stockpiles and on leach pads1
1,008
–
1,111
268
–
123
884
(10)
–
703
–
–
$ 2,119
$
391
$
874
$
703
Gold
Copper
As at
Dec. 31,
2023
As at
Dec. 31,
2022
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$ 2,780
$ 2,809
$
575
668
148
119
641
704
138
89
$ 4,290
(2,616)
$ 1,674
$ 4,381
(2,669)
$ 1,712
$
$
176
–
43
–
11
230
(122)
108
$
150
–
59
–
10
$
219
(150)
$
69
1 Ore that we do not expect to process in the next 12 months is classified within other long-term assets.
Inventory Impairment Charges
Ore in Stockpiles
For the years ended December 31
2023
2022
Cortez
Carlin
Tongon
Phoenix
Long Canyon
Veladero
Lumwana
Inventory impairment charges
$
$
53
11
2
1
1
–
–
68
$
10
33
–
–
–
42
19
$
104
Gold
Carlin
Pueblo Viejo
Turquoise Ridge
Loulo-Gounkoto
North Mara
Cortez
Phoenix
Veladero
Tongon
Bulyanhulu
Porgera
Copper
Lumwana
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$ 1,073
$ 1,129
785
330
153
137
123
87
50
41
1
–
712
354
175
165
104
78
40
20
2
30
176
150
$ 2,956
$ 2,959
183
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Purchase Commitments
At December 31, 2023, we had purchase obligations for supplies and
consumables of approximately $1,827 million (2022: $1,753 million).
Ore on Leach pads
Gold
Veladero
Carlin
Cortez
Turquoise Ridge
Long Canyon
Phoenix
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$
193
191
130
35
17
9
575
$
$
238
196
112
37
32
26
$
641
18. ACCOUNTS RECEIVABLE AND OTHER CURRENT ASSETS
As at
Dec. 31,
2023
As at
Dec. 31,
2022
Accounts receivable
Amounts due from concentrate sales
Other receivables
Other current assets
Restricted cash1
Value added taxes recoverable2
Prepaid expenses
Kibali JV Receivable3
Derivative assets4
Other5
$
$
246
447
693
$
$
–
337
203
148
–
127
815
$
188
366
554
945
352
243
–
59
91
$ 1,690
1 Relates to restricted cash balance for Antofagasta plc, which funded their exit from the Reko Diq project, following its reconstitution as described in note 4. This
was settled in the second quarter of 2023.
2 Primarily includes VAT and fuel tax recoverables of $106 million in Zambia, $84 million in Mali, $51 million in Tanzania, $18 million in Argentina, and $11 million in
the Dominican Republic (Dec. 31, 2022: $172 million, $49 million, $66 million, $32 million, and $12 million, respectively).
3 Refer to note 16 for further details.
4 Primarily consists of contingent consideration received as part of the sale of Massawa in 2020 and Lagunas Norte in 2021. During the first quarter of 2023, the final
settlement of $46.25 million was received relating to the Massawa contingent consideration. During the fourth quarter of 2023, $15 million was received relating to
the Lagunas Norte contingent consideration.
5 2023 and 2022 balance includes $50 million asset reflecting the final settlement of Zambian tax matters.
184
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
19. PROPERTY, PLANT, AND EQUIPMENT
At January 1, 2023
Net of accumulated depreciation
Additions5
Capitalized interest
Disposals6
Depreciation
Impairment charges
Transfers8
At December 31, 2023
At December 31, 2023
Cost
Accumulated depreciation and impairments
Net carrying amount – December 31, 2023
At January 1, 2022
Cost
Accumulated depreciation and impairments
Net carrying amount – January 1, 2022
Additions5
Capitalized interest
Acquisitions7
Disposals
Depreciation
Impairment charges
Transfers8
At December 31, 2022
At December 31, 2022
Cost
Accumulated depreciation and impairments
Net carrying amount – December 31, 2022
Buildings, plant
and equipment1
Mining property
costs subject
to depreciation2,4
Mining property
costs not subject
to depreciation2,3
$ 6,749
$ 14,000
81
–
(180)
(902)
(44)
1,211
550
–
(108)
(1,143)
(268)
1,312
$ 6,915
$ 14,343
$ 19,121
(12,206)
$ 6,915
$ 34,622
(20,279)
$ 14,343
$ 5,072
2,606
42
(39)
–
–
(2,523)
$ 5,158
$ 17,113
(11,955)
$ 5,158
Buildings, plant
and equipment1
Mining property
costs subject
to depreciation2,4
Mining property
costs not subject
to depreciation2,3
$ 17,237
(10,701)
$ 6,536
30
–
–
(4)
(966)
(120)
1,273
$ 31,824
(17,339)
$ 14,485
(139)
–
–
(1)
(1,229)
(442)
1,326
$ 15,876
(11,943)
$ 3,933
2,977
29
744
–
–
(12)
(2,599)
Total
$ 25,821
3,237
42
(327)
(2,045)
(312)
–
$ 26,416
$ 70,856
(44,440)
$ 26,416
Total
$ 64,937
(39,983)
$ 24,954
2,868
29
744
(5)
(2,195)
(574)
–
$ 6,749
$ 14,000
$ 5,072
$ 25,821
$ 18,469
(11,720)
$ 6,749
$ 33,046
(19,046)
$ 14,000
$ 17,027
(11,955)
$ 5,072
$ 68,542
(42,721)
$ 25,821
1 Additions include $9 million of right-of-use assets for lease arrangements entered into during the year ended December 31, 2023 (2022: $30 million). Depreciation
includes depreciation for leased right-of-use assets of $17 million for the year ended December 31, 2023 (2022: $20 million). The net carrying amount of leased
right-of-use assets was $53 million as at December 31, 2023 (2022: $61 million).
2 Includes capitalized reserve acquisition costs, capitalized development costs and capitalized exploration and evaluation costs other than exploration license costs
included in intangible assets.
3 Assets not subject to depreciation include construction-in-progress, projects and acquired mineral resources and exploration potential at operating minesites and
development projects.
4 Assets subject to depreciation include the following items for production stage properties: acquired mineral reserves and resources, capitalized mine development
costs, capitalized stripping and capitalized exploration and evaluation costs.
5 Additions include revisions to the capitalized cost of closure and rehabilitation activities.
6 Includes the transfer of Porgera to equity accounting method investment. Refer to note 4 for further information.
7 Relates to the Reko Diq reconstitution. Refer to note 4 for further information.
8 Primarily relates to non-current assets that are transferred between categories within PP&E once they are placed into service.
185
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
a) Mining Property Costs Not Subject to Depreciation
Construction-in-progress1
Acquired mineral resources and
exploration potential
Projects
Pascua-Lama
Norte Abierto
Reko Diq
Donlin Gold
Carrying
amount at
Dec. 31,
2023
Carrying
amount at
Dec. 31,
2022
$ 2,694
$ 2,553
62
726
678
746
252
139
727
670
744
239
$ 5,158
$ 5,072
1 Represents assets under construction at our operating minesites.
b) Changes in Gold and Copper Mineral Life of Mine Plan
As part of our annual business cycle, we prepare updated estimates
of proven and probable gold and copper mineral reserves and the
portion of resources considered probable of economic extraction for
each mineral property. This forms the basis for our LOM plans. We
prospectively revise calculations of amortization expense for property,
plant and equipment amortized using the UOP method, where the
denominator is our LOM ounces. The effect of changes in our LOM
on amortization expense for 2023 was an $31 million decrease (2022:
$80 million decrease).
c) Capital Commitments
In addition to entering into various operational commitments in the
normal course of business, we had commitments of approximately
$258 million at December 31, 2023 (2022: $399 million) for construction
activities at our sites and projects.
d) Other Lease Disclosure
The Company leases various buildings, plant and equipment as part
of the normal course of operations. Lease terms are negotiated on
an individual basis and contain a wide range of different terms and
conditions. Refer to note 25 for a lease maturity analysis. Included in net
income for 2023 are short-term payments and variable lease payments
not included in the measurement of lease liabilities of $12 million
(2022: $6 million) and $94 million (2022: $88 million), respectively.
20. GOODWILL AND OTHER INTANGIBLE ASSETS
a) Intangible Assets
Opening balance January 1, 2022
Amortization and impairment losses
Closing balance December 31, 2022
Amortization and impairment losses
Closing balance December 31, 2023
Cost
Accumulated amortization and impairment losses
Net carrying amount December 31, 2023
Water rights1
Technology2
Supply
contracts3
Exploration
potential4
$ 61
$
6
$
1
$ 82
–
–
$ 61
$
6
–
$ 61
$ 61
–
$ 61
–
$
6
$ 17
(11)
$
6
(1)
–
–
–
$
$
$ 39
(39)
$
–
–
$ 82
–
$ 82
$ 252
(170)
$ 82
Total
$ 150
(1)
$ 149
–
$ 149
$ 369
(220)
$ 149
1 Relates to water rights in South America, and will be amortized through cost of sales when we begin using these in the future.
2 The amount is amortized through cost of sales using the UOP method over LOM ounces of the Pueblo Viejo mine, with no assumed residual value.
3 Related to a supply agreement with Michelin North America Inc. to secure a supply of tires and was fully amortized over the effective term of the contract through
cost of sales.
4 Exploration potential consists of the estimated fair value attributable to exploration licenses acquired as a result of a business combination or asset acquisition.
The carrying value of the licenses will be transferred to PP&E when the development of attributable mineral resources commences.
b) Goodwill
Carlin
Cortez
Turquoise Ridge
Phoenix
Hemlo
Loulo-Gounkoto
Total
Closing balance
December 31, 2022
Additions
Disposals
$ 1,294
$
–
$
899
722
119
63
484
–
–
–
–
–
$ 3,581
$
–
$
–
–
–
–
–
–
–
On a total basis, the gross amount and accumulated impairment losses are as follows:
Cost
Accumulated impairment losses December 31, 2023
Net carrying amount December 31, 2023
186
Closing balance
December 31, 2023
$ 1,294
899
722
119
63
484
$ 3,581
$ 12,211
(8,630)
$ 3,581
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
21. IMPAIRMENT AND REVERSAL OF
NON-CURRENT ASSETS
Summary of impairments (reversals)
For the year ended December 31, 2023, we recorded net impairment
charges of $312 million (2022: net impairment charges of $483 million)
for non-current assets and $nil (2022: $1,188 million) for goodwill, as
summarized in the following table:
For the years ended December 31
2023
2022
Long Canyon
Bulyanhulu
North Mara
Veladero
Reko Diq
Lumwana
Other
Total impairment charges of
non-current assets
Loulo-Gounkoto goodwill
Total goodwill impairment charges
Total impairment charges
$
280
17
5
–
–
–
10
$
85
–
–
490
(120)
23
5
$
$
$
312
–
–
312
$
483
1,188
$ 1,188
$ 1,671
2023 Indicators of Impairment and Reversals
In the fourth quarter of 2023, as per our policy, we performed our
annual goodwill impairment test as required by IAS 36 and identified
no impairments. Also in the fourth quarter of 2023, we reviewed the
updated LOM plans for our other operating minesites for indicators
of impairment or reversal. We noted an indicator of impairment at our
Long Canyon mine.
Long Canyon
Following the completion of further studies, we have decided at this
time not to pursue the permitting associated with Phase 2 mining and
have removed those ounces from our LOM plan and the mine has
been placed in care and maintenance. This represented an impairment
trigger in the fourth quarter of 2023 and we performed an impairment
analysis. We concluded that the carrying amount of $301 million
exceeded the FVLCD of $65 million and recorded a long-lived
asset impairment of $280 million. The key assumptions used in this
assessment were consistent with our testing of goodwill impairment in
the fourth quarter of 2023, as listed below.
Porgera
On December 22, 2023, the Porgera Project Commencement
Agreement was completed and recommissioning of the mine
commenced. No impairment was identified. Refer to notes 4 and 35
for more information.
2022 Indicators of Impairment and Reversals
In the fourth quarter of 2022, as per our policy, we performed
our annual goodwill impairment test as required by IAS 36 and
identified an impairment at our Loulo-Gounkoto mine. Also in the fourth
quarter of 2022, we reconstituted the Reko Diq project, which was an
indicator of impairment reversal, and we reviewed the updated LOM
plans for our other operating minesites for indicators of impairment
or reversal. We noted an indicator of impairment at our Veladero and
Long Canyon mines.
Loulo-Gounkoto
In the fourth quarter of 2022, we performed the annual goodwill
impairment test at Loulo-Gounkoto and determined that the carrying
value of $4,260 million exceeded the FVLCD. We observed a decrease
in the mine’s discounted cash flows reflecting higher operating and
capital costs largely due to inflationary pressures and a higher weighted
average cost of capital (“WACC”) driven by higher interest rates as
central banks have increased rates to combat inflation. Therefore we
recorded a goodwill impairment of $1,188 million, based on a FVLCD
of $3,072 million. The key assumptions used in this assessment are
consistent with our testing of goodwill impairment in the fourth quarter
of 2022, as listed below.
Veladero
In the fourth quarter of 2022, we updated the LOM plan for Veladero
and we observed a decrease in the mine’s discounted cash flows
reflecting higher operating and capital costs largely due to significant
inflationary pressures coupled with strict Argentine foreign exchange
controls, a decrease in expected recovery rates from the leach pad
and an increase in the WACC primarily due to higher country risk
and higher risk-free rates. We determined that this was an indicator
of impairment and concluded that the carrying value of $839 million
exceeded the FVLCD and we recorded a non-current asset impairment
of $490 million, based on a FVLCD of $479 million. A net realizable value
impairment of leach pad inventory of $42 million was also recorded
(refer to note 17). The key assumptions used in this assessment are
consistent with our testing of goodwill impairment in the fourth quarter
of 2022, as listed below.
Long Canyon
In the fourth quarter of 2022, we updated the LOM plan for Long
Canyon and we observed a decrease in the mine’s discounted cash
flows reflecting an update in the permitting timeline based on our
experience at Goldrush and an increase in the WACC primarily due to
higher risk-free rates as central banks have increased rates to combat
inflation. We determined that this was an indicator of impairment and
concluded that the carrying value of $391 million exceeded the FVLCD
and we recorded a non-current asset impairment of $84 million,
based on a FVLCD of $319 million. The key assumptions used in this
assessment are consistent with our testing of goodwill impairment in
the fourth quarter of 2022, as listed below.
Reko Diq
On December 15, 2022, Barrick completed the reconstitution of the
Reko Diq project in Pakistan’s Balochistan province. The project
was suspended in 2011 due to a dispute over the legality of its
licensing process, and in 2012, an impairment of $120 million was
recorded relating to our 37.5% investment in the Reko Diq project.
The reconstitution resolves the damages originally awarded by the
International Centre for the Settlement of Investment Disputes and
disputed in the International Chamber of Commerce.
The reconstituted project is held 50% by Barrick and 50%
by Pakistani stakeholders, comprising a 10% free-carried, non-
contributing share held by the Provincial Government of Balochistan,
an additional 15% held by a special purpose company owned by
the Provincial Government of Balochistan and 25% owned by other
federal state-owned enterprises. Barrick is the operator of the project.
In the fourth quarter of 2022, we recorded an impairment reversal
of $120 million relating to the carrying value of our equity method
investment in the Reko Diq project that we fully impaired in 2012.
In addition, we recognized a gain of $300 million in other income as
Barrick’s interest in the Reko Diq project increased from 37.5% to
50% as a result of the reconstitution of the project and we did not give
up any consideration for the additional interest. The measurement of
the gain was based on the sale price agreed upon by Barrick’s original
partner in the Reko Diq joint venture to exit the reconstituted project.
187
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Key Assumptions
Recoverable amount has been determined based on the estimated
FVLCD, which has been determined to be greater than the VIU amounts.
The key assumptions and estimates used in determining the FVLCD
are related to future metal prices, weighted average costs of capital,
NAV multiples for gold assets, operating costs, capital expenditures,
closure costs, future production levels, continued license to operate,
evidence of value from current year disposals and the expected start
of production for our projects. In addition, assumptions are related
to observable market evaluation metrics, including identification of
comparable entities, and associated market values per ounce and per
pound of reserves and/or resources, as well as the fair value of mineral
resources outside of LOM plans.
Gold
For the gold segments where a recoverable amount was required to
be determined, FVLCD was determined by calculating the net present
value (“NPV”) of the future cash flows expected to be generated
by the mines and projects within the CGU (Level 3 of the fair value
hierarchy). The estimates of future cash flows were derived from the
LOM plans and, where the LOM plans exclude a material portion
of total reserves and resources, we assign value to resources not
considered in these models. Based on observable market or publicly
available data, including forward prices and equity sell-side analyst
forecasts, we make an assumption of future gold, copper and silver
prices to estimate future revenues. The future cash flows for each
gold mine are discounted using a real WACC, which reflects specific
market risk factors for each mine. Some gold companies trade at a
market capitalization greater than the NPV of their expected cash
flows. Market participants describe this as a “NAV multiple”, which
represents the multiple applied to the NPV to arrive at the trading
price. The NAV multiple is generally understood to take account of
a variety of additional value factors such as the exploration potential
of the mineral property, namely the ability to find and produce more
metal than what is currently included in the LOM plan or reserve and
resource estimates, and the benefit of gold price optionality. As a
result, we applied a specific NAV multiple to the NPV of each CGU
within each gold segment based on the NAV multiples observed in
the market in recent periods and that we judged to be appropriate
to the CGU.
In the absence of a LOM plan for Long Canyon, we used the market
approach which means the FVLCD was determined by considering
observable market values for comparable assets expressed as dollar
per ounce of mineral resources (level 3 of the fair value hierarchy).
Assumptions
The short-term and long-term gold and copper price assumptions
used in our fourth quarter 2023 and 2022 impairment testing are
as follows:
Gold price per oz (short-term)
Gold price per oz (long-term)
Copper price per lb (short-term)
Copper price per lb (long-term)
2023
2022
$ 1,900
1,600
3.75
3.50
$ 1,700
1,550
3.50
3.25
188
Neither the increase in the long-term gold price nor long-term
copper price assumption from 2022 were considered an indicator
of impairment reversal as the increased price would not, in isolation,
have resulted in the identification of an impairment reversal at our
mines with reversible impairments. The other key assumptions used
in our impairment testing, based on the CGUs tested in each year, are
summarized in the following table:
2023
2022
WACC – gold (range)
WACC – gold (avg)
Value per ounce of gold
NAV multiple – gold (avg)
LOM years – gold (avg)
5%–9% 4%–13%
6%
$
6%
40
1.2
23
$
–
1.2
20
Sensitivities
Should there be a significant increase or decline in commodity prices,
we would take actions to assess the implications on our LOM plans,
including the determination of reserves and resources, and the
appropriate cost structure for the CGU. The recoverable amount of the
CGU would be affected by these changes and also be impacted by
other market factors such as changes in NAV multiples and the value
per ounce/pound of comparable market entities.
We performed a sensitivity analysis on each gold CGU that was
tested as part of the goodwill impairment test, as well as those gold
CGUs which we believe are most sensitive to changes in the key
assumptions. We flexed the gold prices, WACC and NAV multiple,
which are the most significant assumptions that impact the impairment
calculations. We first assumed a +/- $100 per ounce change in our
gold price assumptions, while holding all other assumptions constant.
We then assumed a +/-1% change in our WACC, independent
from the change in gold prices, while holding all other assumptions
constant. Finally, we assumed a +/- 0.1 change in the NAV multiple,
while holding all other assumptions constant. These sensitivities help
to determine the theoretical impairment losses or impairment reversals
that would be recorded with these changes in gold prices, WACC and
NAV multiple.
If the gold price per ounce was decreased by $100, non-current
asset impairments would have been recognized of $114 million at
Hemlo and $196 million at Bulyanhulu, and an impairment of the Kibali
equity investment of $312 million.
If the WACC was increased by 1%, a non-current asset impairment
of $107 million would have been recognized at Bulyanhulu, and an
impairment of the Kibali equity investment would have been recognized
of $213 million.
If the NAV multiple was decreased by 0.1, a non-current asset
impairment of $106 million would have been recognized at Bulyanhulu,
and an impairment of the Kibali equity investment would have been
recognized of $254 million.
The carrying value of the CGUs that are most sensitive to changes
in the key assumptions used in the FVLCD calculation are:
As at December 31, 2023
Loulo-Gounkoto
Kibali1
Lumwana
Bulyanhulu
Veladero
Hemlo
Long Canyon
Carrying
Value
$ 3,400
2,624
1,756
833
549
363
55
1 Kibali’s carrying value is comprised of the equity investment and JV receivable.
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
22. OTHER ASSETS
24. OTHER CURRENT LIABILITIES
Value added taxes receivable1
Other investments2
Notes receivable3
Norte Abierto JV Partner Receivable
Restricted cash4
Kibali JV Receivable5
Prepayments6
Other
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$
134
131
$
187
61
101
358
212
172
218
112
160
149
151
–
223
115
Payable to Antofagasta plc1
Provision for environmental
rehabilitation (note 27b)
Deposit on Pueblo Viejo gold and silver
streaming agreement
Share-based payments (note 34a)
Pueblo Viejo JV partner shareholder
loan (note 29)
Other
$ 1,356
$ 1,128
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$
–
$
945
270
58
50
32
129
539
$
191
54
50
32
116
$ 1,388
1 Includes VAT and fuel tax receivables of $7 million in Argentina, $69 million in
Tanzania and $58 million in Chile (Dec. 31, 2022: $29 million, $119 million and
$70 million, respectively).
2 Includes equity investments in other mining companies.
3 Primarily represents the interest bearing promissory note due from NovaGold.
4 Primarily represents the cash balance at Pueblo Viejo that is contractually
restricted in respect of disbursements for environmental rehabilitation that are
expected to occur near the end of Pueblo Viejo’s mine life.
5 Refer to note 16 for further details.
6 Primarily relates to prepaid royalties at Carlin.
23. ACCOUNTS PAYABLE
Accounts payable
Accruals
Payroll accruals
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$
678
567
258
$
741
556
259
$ 1,503
$ 1,556
1 Relates to a liability to Antofagasta plc, which funded their exit from the
Reko Diq project, following its reconstitution as described in note 4. This was
settled in the second quarter of 2023.
25. FINANCIAL INSTRUMENTS
Financial instruments include cash; evidence of ownership in an entity;
or a contract that imposes an obligation on one party and conveys
a right to a second entity to deliver/receive cash or another financial
instrument. Information on certain types of financial instruments is
included elsewhere in these consolidated financial statements as follows:
accounts receivable (note 18); and restricted share units (note 34a).
a) Cash and Equivalents
Cash and equivalents include cash, term deposits, treasury bills and
money market investments with original maturities of less than 90 days.
Cash deposits
Term deposits
Money market investments
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$ 2,952
1,196
$ 2,994
1,443
–
3
$ 4,148
$ 4,440
Of total cash and cash equivalents as of December 31, 2023, $nil (2022:
$nil) was held in subsidiaries which have regulatory or contractual
restrictions or operate in countries where exchange controls and other
legal restrictions apply and are therefore not available for general use
by the Company.
189
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
b) Debt and Interest1
5.7% notes3,10
5.25% notes4
5.80% notes5,10
6.35% notes6,10
Other fixed rate notes7,10
Leases8
Other debt obligations
5.75% notes9,10
Less: current portion11
5.7% notes3,10
5.25% notes4
5.80% notes5,10
6.35% notes6,10
Other fixed rate notes7,10
Leases8
Other debt obligations
5.75% notes9,10
Less: current portion11
Closing balance
December 31,
2022
Proceeds
Repayments
Amortization
and other2
Closing balance
December 31,
2023
$
844
$
–
$
–
$
–
$
372
396
595
1,083
70
578
844
$ 4,782
(13)
$ 4,769
$
$
–
–
–
–
–
–
–
–
–
–
–
–
–
(43)
(13)
–
–
(56)
–
(56)
$
$
1
–
–
2
(1)
(2)
–
–
–
–
$
$
Closing balance
December 31,
2021
Proceeds
Repayments
Amortization
and other2
Closing balance
December 31,
2022
$
843
$
–
$
–
$
1
$
744
395
594
1,082
68
581
843
$ 5,150
(15)
$ 5,135
$
$
–
–
–
–
–
–
–
–
–
–
(375)
–
–
–
(20)
–
–
$
(395)
–
$
(395)
$
$
3
1
1
1
22
(3)
1
27
–
27
844
373
396
595
1,042
56
576
844
$ 4,726
(11)
$ 4,715
844
372
396
595
1,083
70
578
844
$ 4,782
(13)
$ 4,769
1
2
3
4
5
6
7
8
The agreements that govern our long-term debt each contain various provisions which are not summarized herein. These provisions allow Barrick, at its option, to
redeem indebtedness prior to maturity at specified prices and also may permit redemption of debt by Barrick upon the occurrence of certain specified changes in
tax legislation.
Amortization of debt premium/discount and increases (decreases) in capital leases.
Consists of $850 million (2022: $850 million) of our wholly-owned subsidiary Barrick North America Finance LLC (“BNAF”) notes due 2041.
Consists of $375 million (2022: $375 million) of 5.25% notes which mature in 2042.
Consists of $400 million (2022: $400 million) of 5.80% notes which mature in 2034.
Consists of $600 million (2022: $600 million) of 6.35% notes which mature in 2036.
Consists of $1.1 billion (2022: $1.1 billion) in conjunction with our wholly-owned subsidiary BNAF and our wholly-owned subsidiary Barrick (PD) Australia Finance
Pty Ltd. (“BPDAF”). This consists of $250 million (2022: $250 million) of BNAF notes due 2038 and $807 million (2022: $850 million) of BPDAF notes due 2039.
Consists primarily of leases at Nevada Gold Mines, $13 million, Loulo-Gounkoto, $20 million, Veladero, $1 million, Lumwana, $3 million, Hemlo, $1 million, Pascua-
Lama, $1 million and Tongon, $6 million (2022: $17 million, $24 million, $9 million, $4 million, $2 million, $2 million and $2 million, respectively).
Consists of $850 million (2022: $850 million) in conjunction with our wholly-owned subsidiary BNAF.
9
10 We provide an unconditional and irrevocable guarantee on all BNAF, BPDAF, Barrick Gold Finance Company (“BGFC”), and Barrick (HMC) Mining (“BHMC”) notes
and generally provide such guarantees on all BNAF, BPDAF, BGFC, and BHMC notes issued, which rank equally with our other unsecured and unsubordinated
obligations.
11 The current portion of long-term debt consists of leases ($11 million; 2022: $13 million).
190
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
5.7% Notes
In June 2011, BNAF issued an aggregate of $4.0 billion in debt
securities including $850 million of 5.70% notes that mature in 2041
issued by BNAF (collectively, the “BNAF Notes”). Barrick provides an
unconditional and irrevocable guarantee of the BNAF Notes, which
rank equally with Barrick’s other unsecured and unsubordinated
obligations.
5.25% Notes
On April 3, 2012, we issued an aggregate of $2 billion in debt securities
including $750 million of 5.25% notes that mature in 2042. During
2022, $375 million of the 5.25% notes was repaid.
Other Fixed Rate Notes
On October 16, 2009, we issued debentures through our wholly-
owned indirect subsidiary BPDAF consisting of $850 million of 30-year
notes with a coupon rate of 5.95%. We also provide an unconditional
and irrevocable guarantee of these payments, which rank equally with
our other unsecured and unsubordinated obligations. During 2023,
$43 million of the 5.95% notes was repaid.
In September 2008, we issued an aggregate of $1.25 billion of
notes through our wholly-owned indirect subsidiaries BNAF and
BGFC including $250 million of 30-year notes with a coupon rate of
7.5%. We also provide an unconditional and irrevocable guarantee
of these payments, which rank equally with our other unsecured and
unsubordinated obligations.
5.75% Notes
On May 2, 2013, we issued an aggregate of $3 billion in notes through
Barrick and our wholly-owned indirect subsidiary BNAF including
$850 million of 5.75% notes issued by BNAF that mature in 2043.
$2 billion of the net proceeds from this offering was used to repay
amounts outstanding under our revolving Credit Facility at that
time. We provide an unconditional and irrevocable guarantee on the
$850 million of 5.75% notes issued by BNAF, which rank equally with
our other unsecured and unsubordinated obligations.
Amendment and Refinancing of the Credit Facility
In May 2023, we amended the credit and guarantee agreement (the
“Credit Facility”) with certain Lenders, which requires such Lenders
to make available to us a credit facility of $3.0 billion or the equivalent
amount in Canadian dollars. The Credit Facility, which is unsecured,
currently has an interest rate of Secured Overnight Financing Rate
(“SOFR”) plus 1.00% on drawn amounts, and a standby rate of 0.09%
on undrawn amounts. As part of the amendment, the termination date
of the Credit Facility was extended from May 2027 to May 2028. The
Credit Facility was undrawn as at December 31, 2023.
Interest
For the years ended December 31
5.7% notes
5.25% notes
5.80% notes
6.35% notes
Other fixed rate notes
Leases
Other debt obligations
5.75% notes
Deposits on Pascua-Lama silver sale agreement (note 29)
Deposits on Pueblo Viejo gold and silver streaming agreement (note 29)
Other interest
Less: interest capitalized
2023
2022
Interest
cost
Effective
rate1
Interest
cost
Effective
rate1
5.74%
5.29%
5.85%
6.41%
6.40%
7.02%
6.17%
5.79%
2.82%
5.81%
$
49
20
23
38
70
5
35
49
5
27
73
$
394
(42)
$
352
5.74%
5.47%
5.85%
6.41%
6.39%
6.56%
6.25%
5.79%
2.82%
6.07%
$
49
37
23
38
70
4
35
49
4
29
34
$
372
(29)
$
343
1 The effective rate includes the stated interest rate under the debt agreement, amortization of debt issue costs and debt discount/premium and the impact of interest
rate contracts designated in a hedging relationship with debt.
191
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Scheduled Debt Repayments1
7.73% notes2
7.70% notes2
7.37% notes2
8.05% notes2
6.38% notes2
5.80% notes
5.80% notes
6.45% notes2
6.35% notes
7.50% notes3
5.95% notes3
5.70% notes
5.25% notes
5.75% notes
Issuer
Maturity
Year
2024
2025
2026
2027
2028
2029 and
thereafter
Total
BGC
BGC
BGC
BGC
BGC
BGC
BGFC
BGC
BHMC
BNAF
BPDAF
BNAF
BGC
BNAF
2025
$
–
$
7
$
–
$
–
$
–
$
–
$
2025
2026
2026
2033
2034
2034
2035
2036
2038
2039
2041
2042
2043
–
–
–
–
–
–
–
–
–
–
–
–
–
5
–
–
–
–
–
–
–
–
–
–
–
–
–
32
15
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
200
200
200
300
600
250
807
850
375
850
7
5
32
15
200
200
200
300
600
250
807
850
375
850
Minimum annual payments
under leases
$
$
–
11
$
$
12
10
$
$
47
9
$
$
–
9
$
$
–
$ 4,632
$ 4,691
3
$
14
$
56
1 This table illustrates the contractual undiscounted cash flows, and may not agree with the amounts disclosed in the consolidated balance sheet.
2 Included in Other debt obligations in the Long-Term Debt table.
3 Included in Other fixed rate notes in the Long-Term Debt table.
c) Derivative Instruments (“Derivatives”)
In the normal course of business, our assets, liabilities and forecasted
transactions, as reported in US dollars, are impacted by various
market risks including, but not limited to:
Item
• Revenue
• Cost of sales
Impacted by
• Prices of gold, silver and
copper
• Consumption of diesel fuel,
propane, natural gas, and
electricity
• Prices of diesel fuel,
propane, natural gas, and
electricity
• Non-US dollar
expenditures
• General and administration,
exploration and evaluation
costs
• Capital expenditures
• Non-US dollar capital
expenditures
• Currency exchange rates –
US dollar versus A$, ARS,
C$, CLP, DOP, EUR, PGK,
TZS, XOF, ZAR and ZMW
• Currency exchange rates –
US dollar versus A$, ARS, C$,
CLP, DOP, GBP, PGK, PKR,
TZS, XOF, ZAR, and ZMW
• Currency exchange rates –
US dollar versus A$, ARS,
C$, CLP, DOP, EUR, GBP,
PGK, XOF, ZAR, and ZMW
• Consumption of steel
• Price of steel
• Interest earned on cash and
• US dollar interest rates
equivalents
• Interest paid on fixed-rate
• US dollar interest rates
borrowings
The time frame and manner in which we manage those risks varies
for each item based upon our assessment of the risk and available
alternatives for mitigating risk. For these particular risks, we believe
that derivatives are an appropriate way of managing the risk.
We use derivatives as part of our risk management program to
mitigate variability associated with changing market values related
to the hedged item. Many of the derivatives we use meet the hedge
effectiveness criteria and are designated in a hedge accounting
relationship.
Certain derivatives are designated as either hedges of the fair
value of recognized assets or liabilities or of firm commitments (“fair
value hedges”) or hedges of highly probable forecasted transactions
(“cash flow hedges”), collectively known as “accounting hedges”.
Hedges that are expected to be highly effective in achieving offsetting
changes in fair value or cash flows are assessed on an ongoing basis to
determine that they actually have been highly effective throughout the
financial reporting periods for which they were designated. Some of
the derivatives we use are effective in achieving our risk management
objectives, but they do not meet the strict hedge accounting criteria.
These derivatives are considered to be “non-hedge derivatives”.
During 2023 and 2022, we did not enter into any derivative
contracts for US dollar interest rates, currencies, or commodity inputs.
We had no contracts outstanding at December 31, 2023.
26. FAIR VALUE MEASUREMENTS
Fair value is the price that would be received to sell an asset or paid to
transfer a liability in an orderly transaction between market participants
at the measurement date. The fair value hierarchy establishes three
levels to classify the inputs to valuation techniques used to measure
fair value. Level 1 inputs are quoted prices (unadjusted) in active
markets for identical assets or liabilities. Level 2 inputs are quoted
prices in markets that are not active, quoted prices for similar assets
or liabilities in active markets, inputs other than quoted prices that
are observable for the asset or liability (for example, interest rate and
yield curves observable at commonly quoted intervals, forward pricing
curves used to value currency and commodity contracts and volatility
measurements used to value option contracts), or inputs that are
derived principally from or corroborated by observable market data
or other means. Level 3 inputs are unobservable (supported by little or
no market activity). The fair value hierarchy gives the highest priority to
Level 1 inputs and the lowest priority to Level 3 inputs.
192
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
a) Assets and Liabilities Measured at Fair Value on a Recurring Basis
Fair Value Measurements
At December 31, 2023
Other investments1
Receivables from provisional copper and gold sales
Quoted Prices in
Active Markets for
Identical Assets
(Level 1)
$
131
–
$
131
Significant
Other Observable
Inputs
(Level 2)
$
–
246
$
246
Significant
Unobservable
Inputs
(Level 3)
$
$
–
–
–
Aggregate
Fair Value
$
$
131
246
377
Fair Value Measurements
At December 31, 2022
Other investments1
Derivatives
Receivables from provisional copper and gold sales
Quoted Prices in
Active Markets for
Identical Assets
(Level 1)
$
112
–
–
Significant
Other Observable
Inputs
(Level 2)
$
–
59
188
Significant
Unobservable
Inputs
(Level 3)
Aggregate
Fair Value
$
–
$
112
–
–
59
188
359
1 Includes equity investments in other mining companies.
b) Fair Values of Financial Assets and Liabilities
$
112
$
247
$
–
$
Financial assets
Other assets1,5
Other investments2
Derivative assets3
Financial liabilities
Debt4
Other liabilities5
At December 31, 2023 At December 31, 2022
Carrying
amount
Estimated
fair value
Carrying
amount
Estimated
fair value
$
807
$
131
–
$
938
$
807
131
–
938
$ 1,358
$ 1,358
112
59
112
59
$ 1,529
$ 1,529
$ 4,726
$ 5,107
$ 4,782
$ 4,922
574
574
1,562
1,562
$ 5,300
$ 5,681
$ 6,344
$ 6,484
1 Includes restricted cash and amounts due from our partners and joint ventures.
2 Includes equity investments in other mining companies. Recorded at fair value. Quoted market prices are used to determine fair value.
3 2022 primarily consisted of contingent consideration received as part of the sale of Massawa and Lagunas Norte. During the first quarter of 2023, the final
settlement of $46.25 million was received relating to the Massawa contingent consideration. During the fourth quarter of 2023, $15 million was received relating to
the Lagunas Norte contingent consideration.
4 Debt is generally recorded at amortized cost. The fair value of debt is primarily determined using quoted market prices. Balance includes both current and long-term
portions of debt.
5 2022 other assets include a restricted cash balance and other liabilities include a liability to Antofagasta plc. The restricted cash funded Antofagasta plc’s exit from
the Reko Diq project, following its reconstitution as described in note 4. This was settled in the second quarter of 2023.
The fair values of the Company’s remaining financial assets and liabilities, which include cash and equivalents, accounts receivable and trade
and other payables approximate their carrying values due to their short-term nature. We do not offset financial assets with financial liabilities.
c) Assets Measured at Fair Value on a Non-Recurring Basis Valuation Techniques
At December 31, 2023
Property, plant and equipment1
Quoted prices in
active markets for
identical assets
(Level 1)
Significant
other observable
inputs
(Level 2)
Significant
unobservable
inputs
(Level 3)
–
–
54
Aggregate
fair value
54
1 Property, plant and equipment were written down by $312 million, which was included in earnings in this period.
193
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Receivables from Provisional Copper and Gold Sales
The fair value of receivables arising from copper and gold sales
contracts that contain provisional pricing mechanisms is determined
using the appropriate quoted forward price from the exchange that
is the principal active market for the particular metal. As such, these
receivables, which meet the definition of an embedded derivative, are
classified within Level 2 of the fair value hierarchy.
Other Long-Term Assets
The fair value of property, plant and equipment, goodwill, intangibles
and other assets is determined primarily using an income approach
based on unobservable cash flows and a market multiples approach
where applicable, and as a result is classified within Level 3 of the
fair value hierarchy. Refer to note 21 for disclosure of inputs used to
develop these measures.
27. PROVISIONS
a) Provisions
Environmental rehabilitation (“PER”)
$ 1,883
$ 2,013
As at
Dec. 31,
2023
As at
Dec. 31,
2022
Post-retirement benefits
Share-based payments
Other employee benefits
Other
b) Environmental Rehabilitation
At January 1
PERs divested during the year1
Closed Sites
Impact of revisions to expected
cash flows recorded in earnings
Settlements
Cash payments
Settlement gains
Accretion
Operating Sites
PER revisions in the year
Settlements
Cash payments
Settlement gains
Accretion
At December 31
Current portion (note 24)
36
20
36
83
46
14
36
102
$ 2,058
$ 2,211
2023
2022
$ 2,204
$ 2,725
(64)
–
14
(117)
(117)
(7)
29
91
(50)
(5)
58
(102)
(5)
23
(317)
(43)
(3)
43
$ 2,153
$ 2,204
(270)
(191)
$ 1,883
$ 2,013
1 Primarily relates to the transfer of our Porgera mine to equity accounting
method investment.
The eventual settlement of substantially all PERs estimated is expected
to take place between 2024 and 2063.
The total PER has increased in the fourth quarter of 2023 by
$56 million primarily due to a decrease in the discount rate, accretion
and changes in cost estimates at our U.S. closure sites, Lumwana,
Carlin, Cortez, Tongon and Loulo-Gounkoto properties, partially offset
by the transfer of our Porgera mine to equity accounting method
investment and spending incurred during the quarter. For the year
ended December 31, 2023, our PER balance decreased by $51 million
primarily due to spending incurred during the year, an increase
in the discount rate, and the transfer of our Porgera mine to equity
accounting method investment, partially offset by the changes in cost
estimates described above, as well as our Phoenix property mainly
driven by its conformance to the Global Industry Standard on Tailings
Management, combined with accretion. A 1% increase in the discount
rate would result in a decrease in the PER by $200 million and a 1%
decrease in the discount rate would result in an increase in the PER by
$243 million, while holding the other assumptions constant.
instruments are comprised of financial
28. FINANCIAL RISK MANAGEMENT
liabilities
Our financial
and financial assets. Our principal financial liabilities, other than
derivatives, comprise accounts payable and debt. The main purpose
of these financial instruments is to manage short-term cash flow and
raise funds for our capital expenditure program. Our principal financial
assets, other than derivative instruments, are cash and equivalents,
restricted cash, accounts receivable, notes receivable, JV receivable
and JV partner receivable, which arise directly from our operations.
In the normal course of business, we use derivative instruments to
mitigate exposure to various financial risks.
We manage our exposure to key financial risks in accordance with
our financial risk management policy. The objective of the policy is
to support the delivery of our financial targets while protecting future
financial security. The main risks that could adversely affect our
financial assets, liabilities or future cash flows are as follows:
a.
b.
c.
d.
Market risk, including commodity price risk, foreign currency and
interest rate risk;
Credit risk;
Liquidity risk; and
Capital risk management.
Management designs strategies for managing each of these risks,
which are summarized below. Our senior management oversees
the management of financial risks. Our senior management ensures
that our financial risk-taking activities are governed by policies and
procedures and that financial risks are identified, measured and
managed in accordance with our policies and our risk appetite. All
derivative activities for risk management purposes are carried out by
the appropriate personnel.
a) Market Risk
Market risk is the risk that changes in market factors, such as
commodity prices, foreign exchange rates or interest rates, will affect
the value of our financial instruments. We manage market risk by either
accepting it or mitigating it through the use of derivatives and other
economic hedging strategies.
Commodity Price Risk
Gold and Copper
We sell our gold and copper production in the world market. The
market prices of gold and copper are the primary drivers of our
profitability and ability to generate both operating and free cash flow.
Our corporate treasury group may implement hedging strategies on an
opportunistic basis to protect us from downside price risk on our gold
and copper production. We did not enter into any positions during
2023 or 2022 and we do not have any positions outstanding as at
December 31, 2023. Our gold and copper production is subject to
market prices.
194
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Fuel
We consume diesel fuel and natural gas to run our operations. Diesel
fuel is refined from crude oil and is therefore subject to the same
price volatility affecting crude oil prices. Therefore, volatility in crude
oil and natural gas prices have a direct and indirect impact on our
production costs.
Foreign Currency Risk
The functional and reporting currency for all of our operating segments
is the US dollar and we report our results using the US dollar. The
majority of our operating and capital expenditures are denominated
and settled in US dollars. We have exposure to the Argentine peso
through operating costs at our Veladero mine, and peso denominated
VAT receivable balances. We also have exposure to the Canadian and
Australian dollars, Chilean peso, Papua New Guinea kina, Zambian
kwacha, Tanzanian shilling, Dominican peso, West African CFA franc,
Euro, South African rand, and British pound through mine operating
and capital costs. In addition, we also have exposure to the Pakistan
rupee through project costs on Reko Diq. Consequently, fluctuations
in the US dollar exchange rate against these currencies increase the
volatility of cost of sales, general and administrative costs, project
costs and overall net earnings, when translated into US dollars.
Interest Rate Risk
Interest rate risk refers to the risk that the value of a financial instrument
or cash flows associated with the instruments will fluctuate due to
changes in market interest rates. Currently, our interest rate exposure
mainly relates to interest receipts on our cash balances ($4.1 billion at
the end of the year); the mark-to-market value of derivative instruments;
and to the interest payments on our variable-rate debt ($0.1 billion at
December 31, 2023).
The effect on net earnings and equity of a 1% change in the
interest rate of our financial assets and liabilities as at December 31,
2023 is approximately $30 million (2022: $39 million).
b) Credit Risk
Credit risk is the risk that a third party might fail to fulfill its performance
obligations under the terms of a financial instrument. Credit risk
arises from cash and equivalents, restricted cash, notes receivable,
JV receivable, JV partner receivable, accounts receivable, as well as
derivative assets. To mitigate our inherent exposure to credit risk on all
financial assets listed above (other than derivative assets) we maintain
policies to limit the concentration of credit risk, review counterparty
creditworthiness on a monthly basis, and ensure liquidity of available
funds. We also invest our excess cash and equivalents in highly rated
financial institutions, primarily within the United States and Canada.
Furthermore, we sell our gold and copper production into the world
market and to financial institutions and private customers with strong
credit ratings. Historically, customer defaults have not had a significant
impact on our operating results or financial position.
The Company’s maximum exposure to credit risk at the reporting
date is the carrying value of each of the financial assets, excluding
derivative assets, disclosed as follows:
Cash and equivalents
Accounts receivable
Derivative assets
Notes receivable
Kibali JV receivable
Norte Abierto JV partner receivable
Restricted cash
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$ 4,148
$ 4,440
693
–
187
505
81
101
554
59
160
–
172
1,096
$ 5,715
$ 6,481
c) Liquidity Risk
Liquidity risk is the risk of loss from not having access to sufficient
funds to meet both expected and unexpected cash demands. We
manage our exposure to liquidity risk by maintaining cash reserves,
access to undrawn credit facilities and access to public debt markets,
by staggering the maturities of outstanding debt instruments to mitigate
refinancing risk and by monitoring of forecasted and actual cash
flows. Details of the undrawn Credit Facility are included in note 25.
Our capital structure comprises a mix of debt, non-controlling
interest and shareholders’ equity. As at December 31, 2023, our
total debt was $4.7 billion (debt net of cash and equivalents was
$578 million) compared to total debt as at December 31, 2022 of
$4.8 billion (debt net of cash and equivalents was $342 million).
Our operating cash flow is dependent on the ability of our operations
to deliver projected future cash flows. The market prices of gold, and
to a lesser extent copper, are the primary drivers of our operating
cash flow. Other options to enhance liquidity include further portfolio
optimization and the creation of new joint ventures and partnerships;
issuance of equity securities in the public markets or to private
investors, which could be undertaken for liquidity enhancement and/
or in connection with establishing a strategic partnership; issuance of
long-term debt securities in the public markets or to private investors
(Moody’s and S&P currently rate Barrick’s outstanding long-term
debt as investment grade, with ratings of A3 and BBB+, respectively);
and drawing on the $3.0 billion available under our undrawn Credit
Facility (subject to compliance with covenants and the making of
certain representations and warranties, this facility is available for
drawdown as a source of financing). The key financial covenant in the
Credit Facility (undrawn as at December 31, 2023) requires Barrick
to maintain a net debt to total capitalization ratio, as defined in the
agreement, of 0.60:1 or lower (Barrick’s net debt to total capitalization
ratio was 0.02:1 as at December 31, 2023).
195
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
The following table outlines the expected maturity of our significant financial assets and liabilities into relevant maturity groupings based on
the remaining period from the balance sheet date to the contractual maturity date. As the amounts presented in the table are the contractual
undiscounted cash flows, these balances may not agree with the amounts disclosed in the balance sheet.
As at December 31, 2023
(in $ millions)
Cash and equivalents
Accounts receivable
Notes receivable
Kibali JV receivable
Norte Abierto JV partner receivable
Restricted cash
Trade and other payables
Debt
Other liabilities
As at December 31, 2022
(in $ millions)
Cash and equivalents
Accounts receivable
Notes receivable
Norte Abierto JV partner receivable
Restricted cash
Derivative assets
Trade and other payables
Debt
Other liabilities
Less than 1 year
1 to 3 years
3 to 5 years
Over 5 years
$ 4,148
$
–
$
–
$
693
–
148
20
–
1,503
11
69
–
46
314
10
4
–
78
243
–
3
43
–
–
–
12
89
–
–
138
–
51
97
–
4,646
173
Less than 1 year
1 to 3 years
3 to 5 years
Over 5 years
$ 4,440
$
–
$
–
$
554
–
23
945
59
1,556
13
1,017
–
11
25
15
–
–
30
210
–
3
–
–
–
–
64
76
–
–
146
124
136
–
–
4,697
259
Total
$ 4,148
693
187
505
81
101
1,503
4,747
574
Total
$ 4,440
554
160
172
1,096
59
1,556
4,804
1,562
d) Capital Risk Management
Our objective when managing capital is to provide value for shareholders
by maintaining an optimal short-term and long-term capital structure in
order to reduce the overall cost of capital while preserving our ability
to continue as a going concern. Our capital management objectives
are to safeguard our ability to support our operating requirements on
an ongoing basis, continue the development and exploration of our
mineral properties and support any expansion plans. Our objectives are
also to ensure that we maintain a strong balance sheet and optimize the
use of debt and equity to support our business and maintain financial
flexibility in order to provide meaningful returns to shareholders and
maximize shareholder value. We define capital as total debt less cash
and equivalents and it is managed by management subject to approved
policies and limits by the Board of Directors. We have no significant
financial covenants or capital requirements with our lenders or other
parties other than what is discussed under liquidity risk in note 28c.
29. OTHER NON-CURRENT LIABILITIES
Deposit on Pascua-Lama silver
sale agreement
Deposit on Pueblo Viejo gold and
silver streaming agreement1
Long-term income tax payable
GoT shareholder loan
Pueblo Viejo JV partner shareholder loan
Provision for offsite remediation
Other
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$
162
$
158
398
165
82
383
34
17
$ 1,241
415
200
118
318
32
88
$ 1,329
1 Revenues of $36 million were recognized in 2023 (2022: $40 million) through
the draw-down of our streaming liabilities relating to a contract in place at
Pueblo Viejo.
196
Government of Tanzania Shareholder Loan
On January 24, 2020, Barrick formalized the establishment of a
joint venture between Barrick and the Government of Tanzania
(“GoT”). Effective January 1, 2020, the GoT received a 16% interest
in the shareholder loans owed by Bulyanhulu and Buzwagi, of which
$167 million was payable to the GoT. During 2023 and 2022, $37 million
and $32 million, respectively, was offset against VAT.
Pueblo Viejo Shareholder Loan
In November 2020, Pueblo Viejo entered into a $1.3 billion loan facility
agreement with its shareholders (the “PV Shareholder Loan”) to
provide long-term financing to expand the mine. The shareholders
will lend funds pro rata in accordance with their shareholding in
Pueblo Viejo. The PV Shareholder Loan is broken up into two
facilities: $0.8 billion of funds that could be drawn on a pro rata basis
until June 30, 2022 (“Facility I”) and $0.5 billion of funds that can be
drawn on a pro rata basis until June 30, 2025 (“Facility II”). During
2022, Facility I was extended to December 31, 2022. Starting in
2023, amortized repayments for Facility I began twice yearly on the
scheduled repayment dates, with a final maturity date of February 28,
2032. Amortized repayments for Facility II are due to begin twice
yearly on the scheduled repayment dates after June 30, 2025, with
a final maturity date of February 28, 2035. The interest rate on drawn
amounts is SOFR plus 400 basis points.
During 2022, 2021 and 2020, $369 million, $327 million and
$104 million, respectively, were drawn on Facility I, fully drawing it
down, including $147 million, $131 million and $42 million, respectively,
from Barrick’s Pueblo Viejo JV partner. During 2023, $80 million was
repaid on Facility I, including $32 million from Barrick’s Pueblo Viejo
JV partner.
During 2023 and 2022, $242 million and $75 million, respectively,
were drawn on Facility II, including $97 million and $30 million,
respectively, from Barrick’s Pueblo Viejo JV partner.
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
30. DEFERRED INCOME TAXES
Recognition and Measurement
We record deferred income tax assets and liabilities where temporary
differences exist between the carrying amounts of assets and liabilities
in our balance sheet and their tax bases. The measurement and
recognition of deferred income tax assets and liabilities takes into
account: substantively enacted rates that will apply when temporary
differences reverse; interpretations of relevant tax legislation; estimates
of the tax bases of assets and liabilities; and the deductibility of
expenditures for income tax purposes. In addition, the measurement
and recognition of deferred tax assets takes into account tax planning
strategies. We recognize the effect of changes in our assessment of
these estimates and factors when they occur. Changes in deferred
income tax assets and liabilities are allocated between net income,
other comprehensive income, equity and goodwill based on the
source of the change.
Current income taxes of $5 million have been provided in the
year on the undistributed earnings of certain foreign subsidiaries. Our
total income tax provision for these items as at December 31, 2023
is $12 million. Deferred income taxes have not been provided on the
undistributed earnings of all other foreign subsidiaries for which we are
able to control the timing of the remittance, and it is probable that there
will be no remittance in the foreseeable future. These undistributed
earnings amounted to $12,915 million as at December 31, 2023.
Sources of Deferred Income Tax
Assets and Liabilities
Deferred tax assets
Tax loss carryforwards
Tax credits
Environmental rehabilitation
Post-retirement benefit obligations
and other employee benefits
Other working capital
Other
Deferred tax liabilities
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$
$
292
58
270
17
115
10
762
$
307
–
205
31
85
10
$
638
Property, plant and equipment
(3,748)
(3,476)
Inventory
Accrued interest payable
Classification:
Non-current assets
Non-current liabilities
(446)
(7)
(389)
(1)
$ (3,439)
$ (3,228)
$
–
$
19
(3,439)
$ (3,439)
(3,247)
$ (3,228)
Pascua-Lama Silver Sale Agreement
Our silver sale agreement with Wheaton requires us to deliver 25% of
the life of mine silver production from the Pascua-Lama project once
it is constructed and required delivery of 100% of silver production
from the Lagunas Norte, Pierina and Veladero mines until March 31,
2018. In return, we were entitled to an upfront cash payment of
$625 million payable over three years from the date of the agreement,
as well as ongoing payments in cash of the lesser of $3.90 (subject to
an annual inflation adjustment of 1 percent starting three years after
project completion at Pascua-Lama) and the prevailing market price
for each ounce of silver delivered under the agreement. An imputed
interest expense was recorded on the liability at the rate implicit in the
agreement. The liability plus imputed interest was amortized based on
the difference between the effective contract price for silver and the
amount of the ongoing cash payment per ounce of silver delivered
under the agreement. The completion date guarantee under the silver
sale agreement for Pascua-Lama was originally December 31, 2015
but was subsequently extended to June 30, 2020. Per the terms of
the amended silver purchase agreement, if the requirements of the
completion guarantee were not satisfied by June 30, 2020, then
Wheaton had the right to terminate the agreement within 90 days of
that date, in which case, they would have been entitled to the return of
the upfront consideration paid less credit for silver delivered up to the
date of that event.
Given that, as of September 28, 2020, Wheaton had not exercised
its termination right, a residual liability of $253 million remains due
on September 1, 2039 (assuming no future deliveries are made).
This residual cash liability was remeasured to $148 million as at
September 30, 2020, which was the present value of the liability due in
2039 discounted at a rate estimated for comparable liabilities, including
Barrick’s outstanding debt. The liability had a balance of $162 million
as at December 31, 2023 and is measured at amortized cost.
Pueblo Viejo Gold and Silver Streaming Agreement
On September 29, 2015, we closed a gold and silver streaming
transaction with Royal Gold, Inc. (“Royal Gold”) for production linked
to Barrick’s 60% interest in the Pueblo Viejo mine. Royal Gold made
an upfront cash payment of $610 million and will continue to make
cash payments for gold and silver delivered under the agreement. The
$610 million upfront payment is not repayable and Barrick is obligated
to deliver gold and silver based on Pueblo Viejo’s production. We
have accounted for the upfront payment as deferred revenue and will
recognize it in earnings, along with the ongoing cash payments, as the
gold and silver is delivered to Royal Gold. We will also be recording
accretion expense on the deferred revenue balance as the time value
of the upfront deposit represents a significant component of the
transaction.
Under the terms of the agreement, Barrick will sell gold and silver
to Royal Gold equivalent to:
• 7.5% of Barrick’s interest in the gold produced at Pueblo Viejo
until 990,000 ounces of gold have been delivered, and 3.75%
thereafter. As at December 31, 2023, approximately 343,000
ounces of gold have been delivered.
• 75% of Barrick’s interest in the silver produced at Pueblo Viejo
until 50 million ounces have been delivered, and 37.5% thereafter.
Silver will be delivered based on a fixed recovery rate of 70%.
Silver above this recovery rate is not subject to the stream. As
at December 31, 2023, approximately 12 million ounces of silver
have been delivered.
Barrick will receive ongoing cash payments from Royal Gold equivalent
to 30% of the prevailing spot prices for the first 550,000 ounces of gold
and 23.1 million ounces of silver delivered. Thereafter payments will
double to 60% of prevailing spot prices for each subsequent ounce
of gold and silver delivered. Ongoing cash payments to Barrick are
tied to prevailing spot prices rather than fixed in advance, maintaining
exposure to higher gold and silver prices in the future.
197
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Expiry Dates of Tax Losses
Non-capital tax losses1
Barbados
Canada
Chile
Peru
Saudi Arabia
Tanzania
United Kingdom
Others
2024
2025
2026
2027
2028+
$
212
$
218
$
2
$
119
$
10
$
–
–
–
–
–
–
1
2
–
–
–
–
–
1
1
–
–
–
–
–
1
69
2,133
–
–
–
–
–
36
–
–
–
–
–
62
No
expiry
date
–
–
1,048
100
330
1,108
165
45
Total
$
561
2,205
1,048
100
330
1,108
165
146
$
213
$
221
$
4
$
224
$ 2,205
$ 2,796
$ 5,663
1 Represents the gross amount of tax loss carryforwards translated at closing exchange rates at December 31, 2023.
The non-capital tax losses include $4,834 million of losses which
are not recognized in deferred tax assets. Of these, $213 million
expire in 2024, $221 million expire in 2025, $4 million expire in 2026,
$224 million expire in 2027, $2,143 million expire in 2028 or later, and
$2,029 million have no expiry date.
Deferred tax assets not recognized relate to: non-capital loss
carryforwards of $1,163 million (2022: $1,168 million), capital loss
carryforwards with no expiry date of $251 million (2022: $262 million),
and other deductible temporary differences with no expiry date of
$1,274 million (2022: $1,416 million).
Recognition of Deferred Tax Assets
We recognize deferred tax assets taking into account the effects
of local tax law. Deferred tax assets are fully recognized when we
conclude that sufficient positive evidence exists to demonstrate that it
is probable that a deferred tax asset will be realized. The main factors
considered are:
• Historic and expected future levels of taxable income;
• Tax plans that affect whether tax assets can be realized; and
• The nature, amount and expected timing of reversal of
taxable temporary differences.
Levels of future income are mainly affected by: market prices for gold,
copper and silver; forecasted future costs and expenses to produce
gold and copper; quantities of proven and probable gold and copper
reserves; market interest rates; and foreign currency exchange rates. If
these factors or other circumstances change, we record an adjustment
to the recognition of deferred tax assets to reflect our latest assessment
of the amount of deferred tax assets that is probable will be realized.
Deferred Tax Assets Not Recognized
As at
Dec. 31,
2023
As at
Dec. 31,
2022
$
–
$
303
31
904
154
306
53
954
1,109
1,084
8
10
67
67
110
41
26
12
6
9
65
65
109
22
15
4
$ 2,688
$ 2,846
Argentina
Australia
Barbados
Canada
Chile
Côte d’Ivoire
Mali
Peru
Saudi Arabia
Tanzania
United Kingdom
United States
Others
198
Source of Changes in Deferred Tax Balances
For the years ended December 31
2023
2022
Temporary differences
Property, plant and equipment
Environmental rehabilitation
Tax loss carryforwards
AMT and other tax credits
Inventory
Other
Intraperiod allocation to:
Income before income taxes
Derecognition of Porgera´s
joint operation
Income tax payable
Other comprehensive income
Other
$
(272)
64
$
(14)
58
(58)
11
(211)
$
$
80
(56)
(23)
(10)
27
18
36
$
(181)
$
41
(29)
2
(3)
–
(211)
$
–
(2)
(5)
2
$
36
Income Tax Related Contingent Liabilities
At January 1
Additions based on uncertain tax
positions related to prior years
Additions based on uncertain tax
positions related to the current year
Reductions for tax positions of
prior years
Reclassifications1
At December 312
2023
2022
$
60
$
257
1
5
1
7
(18)
–
48
(45)
(160)
$
60
$
1 Following the full implementation of the Framework Agreement in Tanzania,
the agreed payment obligations are shown in current and long-term income
tax payables.
2 If reversed, the total amount of $48 million would be recognized as a benefit
to income taxes on the income statement, and therefore would impact the
reported effective tax rate.
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Tax Years Still Under Examination
Argentina
Australia
Canada
Chile
Côte d’Ivoire
Democratic Republic of Congo
Dominican Republic
Mali
Papua New Guinea
Peru
Saudi Arabia
Tanzania
United States
Zambia
2010–2011, 2016–2023
2019–2023
2016–2023
2015–2023
2020–2023
2022–2023
2020–2023
2017–2023
2023
2018–2023
2019–2023
2018–2023
2023
2018–2023
31. CAPITAL
Authorized Capital Stock
Our authorized capital stock is composed of an unlimited number
of common shares (issued 1,755,569,554 common shares as at
December 31, 2023). Our common shares have no par value.
32. NON-CONTROLLING INTERESTS
a) Non-Controlling Interests (“NCI”) Continuity
Dividends
In 2023, we declared and paid dividends in US dollars totaling
$700 million (2022: $1,143 million).
The Company’s dividend reinvestment plan resulted in $3 million
(2022: $5 million) reinvested into the Company.
Share Buyback Program
At the February 14, 2023 meeting, the Board of Directors authorized a
share buyback program for the repurchase of up to $1.0 billion of the
Company’s outstanding common shares over the following 12 months.
In 2023, Barrick did not purchase any shares under this program. At
the February 13, 2024 meeting, the Board of Directors authorized a
new share buyback program for the repurchase of up to $1.0 billion of
the Company’s outstanding common shares over the next 12 months.
The actual number of common shares that may be purchased,
and the timing of any such purchases, will be determined by Barrick
based on a number of factors, including the Company’s financial
performance, the availability of cash flows, and the consideration of
other uses of cash, including capital investment opportunities, returns
to shareholders, and debt reduction.
The repurchase program does not obligate the Company to
acquire any particular number of common shares, and the repurchase
program may be suspended or discontinued at any time at the
Company’s discretion.
NCI in subsidiary at
December 31, 2023
At January 1, 2022
Acquisitions
Share of income (loss)
Disbursements
At December 31, 2022
Share of income (loss)
Cash contributed
Disbursements
Nevada
Gold Mines
Pueblo
Viejo
Tanzania
Mines1
Loulo-
Gounkoto
Tongon
Reko Diq
Other
Total
38.5%
40%
16%
20%
10.3%
50%
Various
$ 6,061
$ 1,189
$
298
$
953
$
29
$
–
$
(80)
$ 8,450
–
633
(626)
–
96
(157)
–
35
(12)
–
(179)
(35)
–
–
(16)
329
–
–
–
–
–
329
585
(846)
$ 6,068
$ 1,128
$
321
$
739
$
13
$
329
$
(80)
$ 8,518
548
–
(454)
63
–
(48)
25
–
(24)
69
–
(48)
7
–
(4)
(31)
40
–
–
–
–
681
40
(578)
At December 31, 2023
$ 6,162
$ 1,143
$
322
$
760
$
16
$
338
$
(80)
$ 8,661
1 Tanzania mines consist of the two operating mines, North Mara and Bulyanhulu.
199
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
b) Summarized Financial Information on Subsidiaries with Material Non-Controlling Interests
Summarized Balance Sheets
Nevada Gold Mines
Pueblo Viejo
Tanzania Mines1
Loulo-Gounkoto
Tongon
Reko Diq
As at
Dec. 31,
2023
As at
Dec. 31,
2022
As at
Dec. 31,
2023
As at
Dec. 31,
2022
As at
Dec. 31,
2023
As at
Dec. 31,
2022
As at
Dec. 31,
2023
As at
Dec. 31,
2022
As at
Dec. 31,
2023
As at
Dec. 31,
2022
As at
Dec. 31,
2023
Current assets
$ 2,531 $ 2,408 $
547 $
485 $
303 $
437 $
782 $
928 $
Non-current assets
14,094
13,863
5,244
5,003
2,006
1,917
3,747
3,602
Total assets
$ 16,625 $ 16,271 $ 5,791 $ 5,488 $ 2,309 $ 2,354 $ 4,529 $ 4,530 $
Current liabilities
Non-current liabilities
704
1,147
586
1,135
1,079
1,538
889
1,421
760
409
800
422
Total liabilities
$ 1,851 $ 1,721 $ 2,617 $ 2,310 $ 1,169 $ 1,222 $
171
189
539
710 $
560
749 $
118 $
225
343 $
135
158 $
165
323 $
170
68
46
203 $
216 $
21
752
773
62
–
62
Summarized Statements of Income
For the years ended
December 31
Revenue
Income (loss)
from continuing
operations after tax
Other comprehensive
income (loss)
Total comprehensive
income (loss)
Dividends paid
to NCI2
Nevada Gold Mines
Pueblo Viejo
Tanzania Mines1
Loulo-Gounkoto
Tongon
Reko Diq
2023
2022
2023
2022
2023
2022
2023
2022
2023
2022
2023
$ 6,051 $ 5,573 $ 1,118 $ 1,303 $ 1,033 $ 1,032 $ 1,335 $ 1,236 $
398 $
356 $
–
1,645
3,018
108
170
158
210
326
(912)
(8)
1
–
–
–
–
–
–
64
–
(4)
–
(62)
–
$ 1,637 $ 3,019 $
108 $
170 $
158 $
210 $
326 $
(912) $
64 $
(4) $
(62)
$
454 $
626 $
48 $
60 $
– $
3 $
48 $
35 $
4 $
13 $
–
Summarized Statements of Cash Flows
For the years ended
December 31
Net cash provided by
(used in) operating
activities
Net cash used in
investing activities
Net cash provided by
(used in) financing
activities
Net increase
(decrease) in
cash and cash
equivalents
Nevada Gold Mines
Pueblo Viejo
Tanzania Mines1
Loulo-Gounkoto
Tongon
Reko Diq
2023
2022
2023
2022
2023
2022
2023
2022
2023
2022
2023
$ 2,667 $ 2,693 $
447 $
524 $
238 $
275 $
467 $
459 $
82 $
75 $
(38)
(1,405)
(1,103)
(429)
(599)
(311)
(253)
(375)
(322)
(30)
(32)
(3)
(1,182)
(1,631)
42
67
(46)
(222)
(196)
(176)
(103)
(76)
54
$
80 $
(41) $
60 $
(8) $
(119) $
(200) $
(104) $
(39) $
(51) $
(33) $
13
1 Tanzania mines consist of the two operating mines, North Mara and Bulyanhulu.
2 Includes partner distributions.
33. RELATED PARTY TRANSACTIONS
The Company’s related parties include its subsidiaries, joint operations,
joint ventures and key management personnel. During its normal
course of operations, the Company enters into transactions with its
related parties for goods and services. Transactions between the
Company and its subsidiaries and joint operations, which are related
parties of the Company, have been eliminated on consolidation and
are not disclosed in this note. There were no other material related
party transactions reported in the year.
Remuneration of Key Management Personnel
Key management personnel include the members of the Board of
Directors and the executive leadership team. Compensation for key
management personnel (including Directors) was as follows:
For the years ended December 31
2023
2022
Salaries and short-term
employee benefits1
Post-employment benefits2
Share-based payments and other3
$
$
25
3
27
55
$
$
33
4
31
68
1 Includes annual salary and annual short-term incentives/other bonuses
earned in the year.
2 Represents Company contributions to retirement savings plans.
3 Relates to DSU, RSU, and PGSU grants and other compensation.
200
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS
34. STOCK-BASED COMPENSATION
a) Restricted Share Units (RSUs) and Deferred
Share Units (DSUs)
Compensation expense for RSUs was a $30 million charge to earnings
in 2023 (2022: $23 million) and is presented as a component of general
and administrative expenses and cost of sales, consistent with the
classification of other elements of compensation expense for those
employees who had RSUs.
Compensation expense for RSUs incorporates an expected
forfeiture rate. The expected forfeiture rate is estimated based on
historical forfeiture rates and expectations of future forfeiture rates.
We make adjustments if the actual forfeiture rate differs from the
expected rate. At December 31, 2023, the weighted average remaining
contractual life of RSUs was 0.82 years (2022: 0.80 years).
DSU and RSU Activity
(Number of Units in Thousands)
At January 1, 2022
Settled for cash
Granted
Credits for dividends
Change in value
DSUs
Fair
value
RSUs
Fair
value
678
–
159
–
–
$ 12.6
2,518
$ 31.0
–
2.9
–
(1.1)
(1,656)
1,406
69
–
(29.2)
24.2
1.3
(1.0)
At December 31, 2022
837
$ 14.4
2,337
$ 26.3
Settled for cash
Granted
Credits for dividends
Change in value
–
174
–
–
–
2.9
–
1.0
(1,383)
1,820
81
–
(23.2)
32.9
1.4
(3.4)
At December 31, 2023
1,011
$ 18.3
2,855
$ 34.0
b) Performance Granted Share Units (PGSUs)
In 2014, Barrick launched a PGSU plan. Under this plan, selected
employees are granted PGSUs, where each PGSU has a value equal
to one Barrick common share. At December 31, 2023, 3,002 thousand
units had been granted at a fair value of $36 million (2022: 3,117
thousand units at a fair value of $38 million).
35. CONTINGENCIES
Certain conditions may exist as of the date the financial statements are
issued that may result in a loss to the Company, but which will only be
resolved when one or more future events occur or fail to occur. The
impact of any resulting loss from such matters affecting these financial
statements and noted below may be material.
Litigation and Claims
In assessing loss contingencies related to legal proceedings that
are pending against us or unasserted claims that may result in such
proceedings, the Company, with assistance from its legal counsel,
evaluates the perceived merits of any legal proceedings or unasserted
claims as well as the perceived merits of the amount of relief sought or
expected to be sought.
Pascua-Lama – Proposed Canadian Securities Class Actions
Proposed securities class actions have been commenced against
the Company and four of its former senior executives (Aaron Regent,
Jamie Sokalsky, Ammar Al-Joundi and Peter Kinver) in Ontario
and Quebec. The proceedings pertain to the Company’s public
disclosures concerning the Pascua-Lama Project. In the Ontario
litigation, the Plaintiffs have alleged that Barrick made false and
misleading statements to the investing public during the period from
approximately July 2011 to October 2013 relating to capital cost and
schedule estimates for Pascua-Lama, environmental compliance
matters in Chile, as well as various accounting and financial reporting
matters. The claim for damages is stated to be more than $3 billion.
In the Quebec litigation, the Plaintiff has alleged that Barrick made
misrepresentations during the period from approximately April 2011 to
October 2013 concerning environmental compliance matters in Chile.
An unspecified amount of damages is being sought.
In both Ontario and Quebec, the Plaintiffs have asserted claims
under the secondary market liability provisions of applicable securities
legislation (as well as other claims). In order to pursue statutory claims
of that nature, “leave to proceed” must be obtained from the Court.
In addition, in order to pursue any claims on behalf of a class of
shareholders, an order certifying an action as a class proceeding must
be obtained from the Court.
In March 2020, the Superior Court of Quebec denied the Plaintiff’s
motions for leave to proceed and for class certification in their entirety.
The Plaintiff appealed to the Quebec Court of Appeal, which
rendered its decision on December 19, 2022. The Court of Appeal
allowed the appeal in part. It granted leave to proceed as against the
Company, Mr. Sokalsky and Mr. Al-Joundi in respect of a statutory
secondary market claim pertaining to a statement concerning the
water management system in Chile made by the Company in its
Management’s Discussion & Analysis for the second quarter of 2012.
The Court of Appeal also granted class certification in respect of that
claim, authorizing the Plaintiff to represent a class of shareholders
who acquired Barrick shares during the period from July 26, 2012 to
October 31, 2012. The remainder of the appeal was dismissed.
The matter was returned to the Superior Court of Quebec and a
case management judge was assigned.
On March 20, 2023, the Superior Court issued an Order suspending
certain deadlines for three months on consent of the parties. This
suspension was subsequently extended until November 15, 2023 and
has now expired.
In October 2019, the Ontario Superior Court of Justice granted the
Plaintiffs leave to proceed as against the Company, Mr. Sokalsky and
Mr. Al-Joundi in respect of a claim concerning the same statement
in Barrick’s Management’s Discussion & Analysis for the second
quarter of 2012 referred to above. The Court dismissed all of the other
statutory secondary market misrepresentation claims at issue.
The Plaintiffs filed an appeal to the Court of Appeal for Ontario.
In February 2021, the Court of Appeal allowed the Plaintiffs’ appeal
in part. The Court of Appeal set aside the Superior Court’s decision
dismissing statutory secondary market misrepresentation claims
pertaining to the Company’s capital cost and scheduling estimates
as well as to certain accounting and financial reporting issues, and
remitted to the Ontario Superior Court the issue of whether leave to
proceed should be granted in respect of those claims. The Court of
Appeal upheld the Superior Court’s decision dismissing statutory
secondary market misrepresentation claims pertaining to certain
environmental matters in Chile.
The Superior Court heard the Plaintiffs’ motion for leave to
proceed in respect of the cost, scheduling, accounting and financial
reporting claims in January 2022. The Court decided the motion in
decisions released on March 22 and July 18, 2022. The Court granted
leave to proceed as against Barrick, Mr. Regent and Mr. Sokalsky in
respect of claims pertaining to capital cost and schedule estimates
disclosed by the Company in 2012. All of the remaining cost and
scheduling claims, and all of the accounting and financial reporting
claims, were dismissed. The Plaintiffs once again filed an appeal with
the Court of Appeal for Ontario. The hearing of the appeal was held
on December 13, 2023. On February 13, 2024, the Court of Appeal
dismissed the Plaintiffs’ appeal in its entirety.
The motion for class certification in Ontario has not yet been
heard. The Ontario Superior Court has indicated that it does not intend
to hear that motion until after the Plaintiffs’ motion for leave to proceed
has been fully determined.
The Company intends to vigorously defend the proposed
Canadian securities class actions. No amounts have been recorded for
any potential liability arising from any of the proposed class actions, as
the Company cannot reasonably predict the outcome in either Ontario
or Quebec.
201
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS On July 12, 2022, the Chilean Supreme Court rejected a challenge
to the Antofagasta Environmental Court’s decision filed by a group of
local farmers who claimed more stringent sanctions were appropriate.
As a result, the SMA will determine the appropriate administrative
fine to be imposed on CMN with respect to two environmental
infringements.
No amounts have been recorded for any potential liability arising
from this matter, as the Company cannot reasonably predict the
amount of the additional administrative fine to be imposed by the SMA.
incident”) and September 2015
Veladero – Operational Incidents and
Associated Proceedings
Minera Andina del Sol SRL (formerly, Minera Argentina Gold SRL)
(“MAS”), the joint venture company that operates the Veladero
mine, is the subject of various regulatory proceedings related to
operational incidents at the Veladero Valley Leach Facility (“VLF”)
occurring in March 2017 (the “March 2017 incident”), September 2016
(the “September 2016
(the
“September 2015 incident”), and involving the San Juan Provincial
mining authority, the Argentine federal government, and certain
residents of Jachal, Argentina. Regulatory authorities were notified
following the occurrence of each of these incidents, and remediation
and/or monitoring activities were undertaken as appropriate. Although
the September 2015 incident resulted in the release of cyanide-
bearing process solution into a nearby waterway, environmental
monitoring conducted by MAS and an independent third party has
demonstrated that the incident posed no risk to human health at
downstream communities. Monitoring and inspection following the
September 2016 incident and remediation and inspection following
the March 2017 incidents confirmed that those incidents did not result
in any long-term environmental impacts.
Regulatory Proceedings and Actions
San Juan Provincial Regulatory Proceedings
On October 9, 2015, the San Juan Provincial mining authority initiated
an administrative sanction process against MAS for alleged violations
of the Mining Code relating to the September 2015 incident. MAS was
formally notified of the imposition of an administrative fine in connection
with the incident on March 15, 2016. MAS sought reconsideration
of certain aspects of the decision but paid the administrative fine of
approximately $10 million (at the then-applicable Argentine peso to
U.S. dollar exchange rate) while the request for reconsideration was
pending. After the San Juan government rejected MAS’ administrative
appeal of this decision, on September 5, 2017, the Company
commenced a legal action to continue challenging certain aspects of
the decision before the San Juan courts, which is ongoing.
MAS is also the subject of a consolidated provincial regulatory
proceeding related to the September 2016 incident and the March 2017
incident. MAS received notice of a resolution on December 27, 2017,
from the San Juan Provincial mining authority requiring payment
of an administrative fine of approximately $5.6 million (calculated
at the prevailing exchange rate on December 31, 2017) for both
the September 2016 incident and the March 2017 incident. On
January 23, 2018, in accordance with local requirements, MAS paid
the administrative fine and filed a request for reconsideration and
an appeal with the San Juan Provincial mining authority. MAS was
notified in March 2018 that the San Juan Provincial mining authority
had rejected the request for reconsideration of the administrative
fine. The pending appeal will be heard and decided by the Governor
of San Juan.
Pascua-Lama – SMA Regulatory Sanctions
In May 2013, Compañía Minera Nevada (“CMN”), Barrick’s Chilean
subsidiary that holds the Chilean portion of the Pascua-Lama project
(the “Project”), received a resolution (the “Original Resolution”) from
Chile’s environmental regulator (the Superintendencia del Medio
Ambiente, or “SMA”) that required CMN to complete the water
management system in accordance with the Project’s environmental
permit before resuming construction activities. The Original Resolution
also required CMN to pay an administrative fine of approximately
$16 million, which CMN paid in May 2013.
In June 2013, a group of local farmers and indigenous communities
challenged the Original Resolution. The challenge, which was brought
in the Environmental Court of Santiago, claimed that the fine was
inadequate and requested more severe sanctions, including the
revocation of the Project’s environmental permit. The SMA and CMN,
which was joined as a party to this proceeding, defended the Original
Resolution.
On March 3, 2014, the Santiago Environmental Court annulled
the Original Resolution and remanded the matter back to the
SMA for further consideration in accordance with its decision (the
“Environmental Court Decision”). On December 30, 2014, the
Chilean Supreme Court declined to consider CMN’s appeal of the
Environmental Court Decision.
As a result of the Supreme Court’s ruling, on April 22, 2015,
the SMA reopened the administrative proceeding against CMN in
accordance with the Environmental Court Decision.
On that same date, CMN was notified that the SMA had initiated
a new administrative proceeding for alleged deviations from certain
requirements of the Project’s environmental approval. In May 2015,
CMN submitted a compliance program to address certain allegations
and presented its defense to the remainder of the alleged deviations.
The SMA rejected CMN’s proposed compliance program on June 24,
2015 and denied CMN’s administrative appeal of that decision on
July 31, 2015. On December 30, 2016, the Environmental Court
rejected CMN’s challenge and CMN declined to appeal this decision.
On June 8, 2016, the SMA consolidated the two administrative
proceedings against CMN into a single proceeding.
On January 17, 2018, CMN received the revised resolution (the
“Revised Resolution”) from the SMA, which reduced the original
administrative fine from approximately $16 million to $11.5 million and
ordered the closure of existing surface facilities on the Chilean side
of the Project in addition to certain monitoring activities. The Revised
Resolution did not revoke the Project’s environmental approval.
CMN filed an appeal of the Revised Resolution on February 3, 2018
with the First Environmental Court of Antofagasta (the “Antofagasta
Environmental Court”).
On October 12, 2018, the Antofagasta Environmental Court issued
an administrative ruling ordering review of the SMA sanctions. The
Antofagasta Environmental Court rejected four of the five closure
orders contained in the Revised Resolution and remanded the related
environmental infringements back to the SMA for further consideration.
However, it upheld the SMA’s fifth order for the closure of the Chilean
side of the Project.
Following the issuance of the Revised Resolution, the Company
reversed the estimated amount recorded for any additional proposed
administrative fines in this matter. In addition, the Company reclassified
Pascua-Lama’s proven and probable gold reserves as measured and
indicated resources and recorded a pre-tax impairment of $429 million
in the fourth quarter of 2017.
On March 14, 2019, the Chilean Supreme Court annulled
the October 12, 2018 administrative decision of the Antofagasta
Environmental Court on procedural grounds and remanded the case
back for review by a different panel of judges. The Chilean Supreme
Court did not review the merits of the Revised Resolution.
On September 17, 2020, the Antofagasta Environmental Court
issued a ruling in which it upheld the closure order and sanctions in
the Revised Resolution. As part of its ruling, it also ordered the SMA
to reevaluate certain environmental infringements, which may result
in the imposition of additional fines against CMN. The Company did
not appeal, and the Chilean side of the Pascua-Lama project is being
transitioned to closure in accordance with that ruling.
202
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS Provincial Amparo Action
Following the March 2017 incident, an “amparo” protection action
(the “Provincial Amparo Action”) was filed against MAS in the Jachal
First Instance Court, San Juan Province (the “Jachal Court”) by
individuals who claimed to be living in Jachal, San Juan Province,
Argentina, seeking the cessation of all activities at the Veladero mine
or, alternatively, a suspension of the mine’s leaching process. On
March 30, 2017, the Jachal Court rejected the request for an injunction
to cease all activities at the Veladero mine, but ordered, among other
things, the suspension of the leaching process. The Jachal Court lifted
the leaching process suspension in June 2017. The Jachal Court tried
to join this proceeding with the Federal Amparo Action (as defined
below), triggering a jurisdictional dispute. On December 26, 2019,
the Argentine Supreme Court ruled on the jurisdictional dispute in
favor of the Federal Court in connection with the Federal Amparo
Action described below, meaning that the Jachal Court has retained
jurisdiction over the Provincial Amparo Action and the two amparo
actions were not effectively joined. The Provincial Amparo Action case
file has not yet been remitted to the Jachal Court by the Supreme
Court (see “Federal Amparo Action” below).
Federal Amparo Action
On April 4, 2017, the National Minister of Environment of Argentina
filed an amparo protection action in the Federal Court in connection
with the March 2017 incident (the “Federal Amparo Action”) seeking
an order requiring the cessation and/or suspension of activities at
the Veladero mine. MAS submitted extensive information to the
Federal Court about the incident, the then-existing administrative
and provincial judicial suspensions, the remedial actions taken by the
Company and the lifting of the suspension orders described in the
Provincial Amparo Action above, and challenged the jurisdiction of
the Federal Court as well as the standing of the National Minister of
Environment and requested that the matter be remanded to the Jachal
Court. The Province of San Juan also challenged the jurisdiction of
the Federal Court in this matter. On December 26, 2019, the Argentine
Supreme Court ruled on the jurisdictional dispute in favor of the
Federal Court. The Company was notified on October 1, 2020, that the
National Ministry of the Environment had petitioned the Federal Court
to resume the proceedings following the Supreme Court’s decision
that the Federal Court is competent to hear the case. The Federal Court
ordered the resumption of the proceedings on February 19, 2021.
On October 12, 2022, MAS received notice of the Federal Amparo
Action. MAS submitted its response on October 27, 2022. The matter
remains pending before the Federal Court.
Civil Action
On December 15, 2016, MAS was served notice of a civil action filed
before the San Juan Provincial Court by certain persons allegedly
living in Jachal, San Juan Province, claiming to be affected by the
Veladero mine and, in particular, the VLF. The plaintiffs requested a
court order that MAS cease leaching metals with cyanide solutions,
mercury and other similar substances at the mine and replace that
process with one that is free of hazardous substances, implement
a closure and remediation plan for the VLF and surrounding areas,
and create a committee to monitor this process. These claims were
supplemented by new allegations that the risk of environmental
damage had increased as a result of the March 2017 incident.
MAS replied to the lawsuit in February 2017 and it also responded
to the supplemental claim and intends to continue defending this
matter vigorously.
Criminal Matters
Federal Criminal Matters
A federal criminal investigation was initiated by a Buenos Aires federal
court (the “Federal Court”) based on the alleged failure of certain
current and former federal and provincial government officials and
individual directors of MAS to prevent the September 2015 incident
(the “Federal Investigation”). On May 5, 2016, the National Supreme
Court of Argentina limited the scope of the Federal Investigation to the
potential criminal liability of the federal officials, ruling that the Federal
Court does not have jurisdiction to investigate the solution release.
On April 11, 2018, the federal judge indicted three former federal
officials, alleging breach of duty in connection with their actions and
omissions related to the failure to maintain adequate environmental
controls during 2015 and the case was sent to trial. The proceeding
poses no risk of conviction or liability for any of the directors of MAS.
Glacier Investigation
On October 17, 2016, a separate criminal investigation was initiated
by the federal judge overseeing the Federal Investigation based on the
alleged failure of federal officials to regulate the Veladero mine under
Argentina’s glacier legislation (the “Glacier Investigation”) with regard
to the September 2015 incident. On June 16, 2017, MAS submitted a
motion to challenge the federal judge’s decision to assign the Glacier
Investigation to himself, and to request that it be admitted as a party in
order to present evidence supporting MAS. On September 14, 2017,
the Federal Court of Appeals ordered the federal judge to consolidate
the two investigations and clarified that MAS is not a party to the
case and therefore does not have standing to seek the recusal of the
federal judge, but nonetheless recognized MAS’ right to continue to
participate in the case (without clarifying the scope of those rights).
On November 27, 2017, the federal judge indicted four former
federal officials, alleging abuse of authority in connection with their
actions and omissions related to the enforcement of Argentina’s
glacier legislation. The Court of Appeals confirmed the indictments
and on August 6, 2018, the case was assigned to a federal trial judge.
In total, six former federal officials were indicted under the Federal
Investigation and the Glacier Investigation and will face trial. In 2019,
one of the former federal officials, who was indicted on separate
charges under both investigations, passed away and charges against
him were dropped.
Due to the Argentine response to Covid-19 and a procedural
challenge by one of the former federal officials, the oral arguments
originally scheduled for April and May 2020 in this matter have been
postponed and have not yet been rescheduled.
Veladero – Tax Assessment and Criminal Charges
On December 26, 2017, MAS received notice of a tax assessment
(the “Tax Assessment”) for 2010 and 2011, amounting to ARS
543 million (approximately $680,000 at the prevailing exchange rate at
December 31, 2023), plus interest and fines, for a maximum estimated
exposure of approximately $5.5 million. The Tax Assessment primarily
claims that certain deductions made by MAS were not properly
characterized, including that (i) the interest and foreign exchange
on loans borrowed between 2002 and 2006 to fund Veladero’s
construction should have been classified as equity contributions, and
(ii) fees paid for intercompany services were not for services related to
the operation of the Veladero mine.
On June 21, 2018, the Argentinean Federal Tax Authority (“AFIP”)
confirmed the Tax Assessment, which MAS appealed to the Federal
Tax Court on July 31, 2018. A hearing for the appeal has not yet been
scheduled.
The Company filed Mutual Agreement Procedure applications in
Canada on December 21, 2018, and in Argentina on March 29, 2019,
pursuant to the Canada-Argentina Income Tax Convention Act (the
“Canada-Argentina Tax Treaty”) to escalate resolution of the Tax
Assessment to the competent authority (as defined in the Canada-
Argentina Tax Treaty) in an effort to seek efficient resolution of the matter.
203
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS In November 2018, MAS received notice that AFIP filed criminal
charges against current and former employees serving on its board of
directors when the 2010 and 2011 tax returns were filed (the “Criminal
Tax Case”).
Hearings for the Criminal Tax Case were held between March 25
and March 27, 2019. The defendants filed a motion to dismiss based
on the statute of limitations, which was granted in part and appealed
by the prosecution.
On June 2, 2021, the trial court issued a decision dismissing
the Criminal Tax Case against the directors. AFIP appealed and on
September 24, 2021, the Mendoza Federal Court of Appeals partially
reversed the trial court’s decision, ruling that there was insufficient
evidence to either indict the directors or dismiss the case against
them, and ordering additional investigation by the trial court. The
Criminal Tax Case was remanded to the trial court in accordance with
the decision of the Mendoza Federal Court of Appeals, and the trial
court has ordered additional evidence to be prepared by the court-
appointed expert.
On February 4, 2022, the Argentine Minister of Economy, the
competent authority in this matter, issued a decision denying the
application of the Canada-Argentina Tax Treaty to the Tax Assessment.
MAS appealed this decision on February 18, 2022.
Separately, on April 12, 2022, the trial court issued a ruling
dismissing the criminal charges against the MAS directors in the
Criminal Tax Case. AFIP appealed this ruling to the Court of Appeals.
On November 7, 2022, the Court of Appeals affirmed the dismissal
of the charges. AFIP challenged this decision before the Court of
Cassation, Argentina’s highest federal criminal court below the National
Supreme Court, which granted leave to appeal on December 29, 2022.
The Court of Cassation’s decision, which remains pending, will be
rendered on the basis of the parties’ written submissions.
The Company believes that the Tax Assessment and the Criminal
Tax Case are without merit and intends to defend the proceedings
vigorously.
Perilla Complaint
In 2009, Barrick Gold Inc. and Placer Dome Inc. were purportedly
served in Ontario with a complaint filed in November 2008 in the
Regional Trial Court of Boac (the “Court”), on the Philippine island of
Marinduque, on behalf of two named individuals and purportedly on
behalf of the approximately 200,000 residents of Marinduque. The
complaint alleges injury to the economy and the ecology of Marinduque
as a result of the discharge of mine tailings from the Marcopper mine
into Calancan Bay, the Boac River, and the Mogpog River. Placer
Dome Inc., which was acquired by the Company in 2006, had been
a minority indirect shareholder of the Marcopper mine. The plaintiffs
are claiming for abatement of a public nuisance allegedly caused by
the tailings discharge and for nominal damages for an alleged violation
of their constitutional right to a balanced and healthful ecology. In
June 2010, Barrick Gold Inc. and Placer Dome Inc. filed a motion to
have the Court resolve their unresolved motions to dismiss before
considering the plaintiffs’ motion to admit an amended complaint and
also filed an opposition to the plaintiffs’ motion to admit on the same
basis. By Order dated November 9, 2011, the Court granted a motion
to suspend the proceedings filed by the plaintiffs. To date, neither
the plaintiffs nor the Company have advised the Court of an intention
to resume the proceedings and the matter has been inactive since
November 2011. If this matter is reactivated, the Company intends
to defend the action vigorously. No amounts have been recorded for
any potential liability arising from this matter, as the Company cannot
reasonably predict the outcome.
Writ of Kalikasan
In April 2010, the Supreme Court in the Republic of the Philippines
adopted new Rules of Procedure for Environmental Cases (the
“Environmental Rules”). The Environmental Rules purport to create a
new special civil action or remedy called a “Writ of Kalikasan” available
to persons whose constitutional right to a balanced and healthful
ecology is violated, or threatened with violation. The remedies available
under this procedure are in the nature of injunctive orders preventing
continued harm to the environment and orders for rehabilitation or
remediation of the environment. Damages are not an available remedy
under this procedure.
On February 25, 2011, a Petition for the Issuance of a Writ of
Kalikasan with Prayer for Temporary Environmental Protection
Order was filed in the Supreme Court of the Republic of the Philippines
by Eliza M. Hernandez, Mamerto M. Lanete and Godofredo L. Manoy
against Placer Dome Inc. (“Placer Dome”) and the Company
(the “Petition”). The Petition was subsequently transferred to the
Court of Appeals.
The Petition alleges that Placer Dome violated the Petitioners’
constitutional right to a balanced and healthful ecology as a result
of, amongst other things, the discharge of tailings into Calancan Bay,
the 1993 Maguila-Guila dam breach, the 1996 Boac river tailings
spill and the failure of Marcopper Mining Corporation (“Marcopper”)
to properly decommission the Marcopper mine. Placer Dome was a
minority indirect shareholder of Marcopper at all relevant times. The
Petitioners have pleaded that Barrick is liable for the alleged actions
and omissions of Placer Dome and are seeking orders requiring
Barrick to environmentally remediate the areas in and around the mine
site that are alleged to have sustained environmental impacts.
On April 4, 2011, the Company filed its Return Ad Cautelam (or
defence pleading) seeking the dismissal of the Petition with prejudice.
Barrick also filed extensive affidavit evidence as required by the
Environmental Rules. Placer Dome adopted the Company’s defence
as its own.
All appearances by the Company and Placer Dome in the Supreme
Court and the Court of Appeals in this matter have been by way of
special and limited appearance, without submitting to the jurisdiction
of either Court.
The Company filed a motion in March 2011 challenging the
constitutionality of the Environmental Rules and the jurisdiction of
the Court. On October 18, 2019, the Court of Appeals decided the
motion and rejected the Company’s constitutional objections.
The Court also held that it has jurisdiction based on a “tentative”
determination that the Company was doing business in the Philippines
made exclusively on the basis of unproved allegations made by the
Petitioners in the Petition. This “tentative” determination expressly
does not foreclose the possibility of a contrary finding on the basis of
evidence at a later date.
In November 2011, the case was suspended to permit the parties
to explore the possibility of a settlement. Settlement discussions
ended unsuccessfully in early 2014, but the proceedings were not re-
activated until March 2019 when the Court of Appeals lifted the order
suspending the proceedings.
In December 2019, depositions of all of the Company’s witnesses
were conducted. Petitioners’ counsel did not appear at these
depositions or conduct any cross-examination of the Company’s
witnesses. These transcripts now form part of the evidence in the
Court record for the merits hearing and the Petitioners have foregone
the opportunity to cross-examine the Company’s witnesses.
Since the Fall of 2019, the Petitioners have taken numerous steps
to attempt to file additional evidence and to seek to expand the case
beyond the scope of the matters pleaded in the Petition, including
to alleged maintenance and structural integrity issues supposedly
associated with Marcopper mine infrastructure.
204
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS On October 27, 2020, the Province of Marinduque (the “Province”)
filed a Motion for Leave to Intervene and a Petition-in-Intervention (the
“Intervention Motion”). On January 21, 2021, the Court of Appeals
granted the Province’s Intervention Motion and admitted the Province’s
Petition-in-Intervention. In the Petition-in-Intervention, the Province
seeks to expand the scope of relief sought within the Writ of Kalikasan
proceeding to include claims seeking rehabilitation and remediation
of alleged maintenance and structural integrity issues supposedly
associated with Marcopper mine infrastructure. On June 24, 2021, the
Company filed an urgent motion asking the Court of Appeals to clarify
whether its granting leave to the Province to intervene in the Petition
expands the scope of issues being litigated in the proceeding. This
motion is pending and has not yet been decided by the Court.
On June 25, 2021, the Company filed a Return Ad Cautelam in
response to the Province’s Petition-in-Intervention.
On November 2, 2021, the Company filed a Motion to Strike
and Reply in respect of the Province’s Petition-in-Intervention. In
the Motion to Strike and Reply, the Company seeks to strike those
portions of the Petition-in-Intervention that seek to expand the issues
or seek novel and additional relief for alleged wrongdoing that is not
pleaded in the Petitioners’ Writ of Kalikasan proceeding. This motion
is pending and has not yet been decided by the Court.
On February 17, 2021, the Province filed a Motion to Implead asking
the Court of Appeals to add Marcopper as a respondent. On June 14,
2021, the Court of Appeals denied the Province’s Motion to add
Marcopper as a respondent. On July 2, 2021, the Province of Marinduque
filed a Motion for Reconsideration of the June 14, 2021 decision.
This motion is pending and has not yet been decided by the Court.
On December 2, 2020, the trial commenced. It subsequently
resumed on January 27, 2021 and again on July 6, 2021. The Petitioners
called a total of three witnesses over the three trial dates, in addition
to two of the named Petitioners (whose affidavits were accepted into
evidence on agreement without the requirement to attend in person).
On July 26, 2021, the Petitioners filed their Formal Offer of
Evidence, which formally concludes the Petitioners’ evidence portion
of the trial. On October 27, 2021, the Company filed its Comments
and Opposition to the Petitioners’ Formal Offer of Evidence dated
July 26, 2021. The Court has not yet resolved the outstanding issues
concerning the Petitioners’ Formal Offer of Evidence.
No further trial dates have been set for the Company’s evidence
portion of the trial.
On June 30, 2022 the Company filed a Motion with the Court
seeking court-ordered mediation between the Company and the
Province. On October 26, 2022 the Court granted the Motion.
This proceeding was suspended in October 2022 to allow for
court-annexed mediation to continue. Successive extensions of the
suspension were granted at the request of the parties. On January 15,
2024, the Court issued a Resolution granting a “final” extension of the
suspension to November 13, 2023, which extension had expired by
the time the Court issued its Resolution. The Court also scheduled
a hearing date of February 13, 2024 for the parties to provide an
update concerning the status of the court-annexed mediation, as well
as for the parties to present their arguments regarding the pending
motion filed by the Company on June 24, 2021 as described above.
The parties jointly requested that the suspension nevertheless be
extended for six months. During the February 13, 2024 hearing, the
Court indicated that it would consider the parties’ joint request. The
Court set the next hearing date for August 13, 2024, and confirmed
that it would not decide the pending motion at this time.
No amounts have been recorded for any potential liability
arising from this matter, as the Company cannot reasonably
predict the outcome. The Company intends to continue to defend
the action vigorously.
Porgera Special Mining Lease
On April 25, 2020, the Porgera gold mine was put on care and
maintenance, after Barrick Niugini Limited (“BNL”), the 95% owner
and operator of the Porgera joint venture, received a communication
from the Government of Papua New Guinea that its application for
a 20-year extension of Porgera’s Special Mining Lease (“SML”) had
been refused. While the Company believed the Government’s decision
not to extend the SML was tantamount to nationalization without due
process and in violation of the Government’s legal obligations to
BNL, it nevertheless engaged in discussions with Prime Minister
Marape and his Government to agree on a revised arrangement under
which the Porgera mine could be reopened, for the benefit of all
stakeholders involved.
On April 9, 2021, BNL signed a binding Framework Agreement
with the Independent State of Papua New Guinea (“PNG”) and Kumul
Minerals Holdings Limited (“Kumul Minerals”), a state-owned mining
company, setting out the terms and conditions for the reopening of
the Porgera mine. On February 3, 2022, the Framework Agreement
was replaced by the more detailed Porgera Project Commencement
Agreement (the “Commencement Agreement”). The Commencement
Agreement was signed by PNG, Kumul Minerals, BNL and its affiliate
Porgera (Jersey) Limited on October 15, 2021, and it became effective
on February 3, 2022, following signature by Mineral Resources Enga
Limited (“MRE”), the holder of the remaining 5% of the original Porgera
joint venture. The Commencement Agreement reflects the commercial
terms previously agreed to under the Framework Agreement, namely
that PNG stakeholders receive a 51% equity stake in the Porgera
mine, with the remaining 49% held by BNL or an affiliate. BNL is
jointly owned on a 50/50 basis by Barrick and Zijin Mining Group. The
Commencement Agreement also provides that PNG stakeholders and
BNL and its affiliates share the economic benefits derived from the
reopened Porgera mine on a 53% and 47% basis over the remaining
life of mine, respectively, and that the Government of PNG retains the
option to acquire BNL’s or its affiliate’s 49% equity participation at fair
market value after 10 years. Under the terms of the Commencement
Agreement, BNL remained in possession of the site and maintained
the mine on care and maintenance while the parties worked to satisfy
the conditions required for the reopening of the Porgera mine as
summarized below.
On April 21, 2022, the PNG National Parliament passed legislation
to provide, among other things, certain agreed tax exemptions and tax
stability for the new Porgera joint venture. This legislation was certified
on May 30, 2022. Six out of the seven pieces of legislation took effect
as of April 11 and 14, 2023, respectively, when they were published in
the National Gazette, as required under PNG Law. The remaining act
awaits publication to take effect.
On September 13, 2022, the Shareholders’ Agreement for the
new Porgera joint venture company was executed by Porgera (Jersey)
Limited, the state-owned Kumul Minerals (Porgera) Limited and MRE.
New Porgera Limited, the new Porgera joint venture company, was
incorporated on September 22, 2022, and subsequently became
a party to the Commencement Agreement and the Shareholders’
Agreement on October 13, 2023.
Under
arrangements
contemplated
the
standstill
Commencement Agreement, all
legal and arbitral proceedings
previously initiated by the parties in relation to the Porgera dispute
were suspended. These proceedings included Judicial Review actions
filed by BNL against the Government of Papua New Guinea in April
and September 2020, and international arbitration initiated by Barrick
(PD) Australia Pty Limited, the Company’s subsidiary and an investor in
the Porgera mine, before the World Bank’s ICSID in September 2020.
by
205
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS New Porgera Limited lodged an application with the Mineral
Resources Authority for a new SML on June 13, 2023, in accordance
with the Commencement Agreement. On October 13, 2023, the new
SML, Special Mining Lease 13, was granted by the Independent State
of PNG to New Porgera Limited, following the execution of the Mining
Development Contract between the Independent State of PNG and
New Porgera Limited. The granting of the new SML to New Porgera
Limited reduced Barrick’s ownership interest in the Porgera mine
from 47.5% to 24.5%. Also on October 13, 2023, the Independent
State of PNG and New Porgera Limited executed the Fiscal Stability
Agreement for the Porgera mine and New Porgera Limited and BNL
executed the Project Operatorship Agreement, pursuant to which BNL
was appointed as operator of the Porgera mine.
Following the granting of the new SML, New Porgera Limited
commenced negotiations with the Porgera mine property’s landowners
on the terms of the land compensation agreements applicable to the
new SML. The majority of landowners agreed to allow the Porgera mine
to reopen on the compensation terms that applied under the original
Porgera joint venture, and to defer substantive negotiation on new
compensation terms until after the mine reopens. The PNG National
Parliament passed legislation on November 29, 2023 to enable the
mine to reopen on this basis, and New Porgera Limited will make true-
up payments to landowners for any increase in compensation under
the new agreements from the date the new SML was granted.
The Commencement Agreement became unconditional on
December 8, 2023, and formal completion of the Commencement
Agreement was achieved on December 22, 2023. Work started on
the recommissioning of the Porgera mine on that date and mining
and processing are expected to restart at Porgera in the first quarter
of 2024. BNL is taking steps to withdraw the legal proceedings
that it initiated in relation to the Porgera dispute in accordance with
the Commencement Agreement, and the international arbitration
proceedings were formally terminated on January 25, 2024. The other
parties to the Commencement Agreement including the State of PNG
have a similar obligation to withdraw such proceedings.
Porgera Tax Audits
In April 2020, BNL received a position paper from the Internal Revenue
Commission (“IRC”) in Papua New Guinea asserting various proposed
adjustments and other tax liabilities amounting to $123 million (not
including penalties, based on the kina foreign exchange rate as at
December 31, 2023) arising from tax audits of BNL conducted for
2006 through 2015. BNL responded to the position paper on June 30,
2020. On October 2, 2020, BNL received amended assessments from
the IRC which increased the amount of proposed adjustments and
other taxes to $457 million (including penalties, based on the kina
foreign exchange rate as at December 31, 2023). BNL filed objections
to the amended assessments on November 30, 2020 in accordance
with the Papua New Guinea Income Tax Act. The Company also
filed applications to resolve certain elements of the amended tax
assessments pursuant to the Canada-Papua New Guinea Income Tax
Convention Act. These applications were subsequently withdrawn.
On June 20, 2023, the IRC, the Commissioner General, Barrick and
BNL entered into a settlement agreement to resolve the tax dispute,
satisfying one of the conditions to the reopening of the Porgera mine
as provided under the Commencement Agreement (see “Porgera
Special Mining Lease” above). The majority of the settlement amount
was paid prior to year-end 2023 with a final payment due in 2024.
North Mara – Ontario Litigation
On November 23, 2022, an action was commenced against the
Company in the Ontario Superior Court of Justice in respect of
alleged security-related incidents in the vicinity of the North Mara
Mine in Tanzania. The named plaintiffs purport to have been injured,
or to be the dependents of individuals who were allegedly killed, by
members of the Tanzanian Police Force. The Statement of Claim
asserts that Barrick Gold Corporation is legally responsible for the
actions of the Tanzanian Police Force, and that the Company is liable
for an unspecified amount of damages. The Company believes that
the allegations are without merit, including because the Tanzanian
Police Force is a sovereign police force that operates under its own
chain of command.
In May 2023, Barrick filed a motion to dismiss or permanently stay
the Ontario action on the grounds that the Ontario Superior Court
of Justice lacks jurisdiction and that Tanzania is a more appropriate
forum in which to litigate this matter. The hearing of the motion has
been scheduled for October 2024.
No amounts have been recorded for any potential liability
arising from this matter, as the Company cannot reasonably predict
the outcome. If the action proceeds, the Company intends to defend
it vigorously.
Loulo-Gounkoto Tax Dispute – VAT Credit Offsets
At the end of November 2023, Société des Mines de Loulo SA
(“Loulo”) and Société des Mines de Gounkoto (“Gounkoto”), which
own and operate the Loulo-Gounkoto complex, received tax collection
notices equivalent to approximately $417 million (including penalties
and interest, and based on the CFA foreign exchange rate as at
December 31, 2023). The amounts set forth in these notices relate
to previously certified VAT credit balances used to offset against
corporate income tax, mining royalties and other taxes, which have
now been retroactively disallowed by the Malian tax authority,
resulting in additional amounts allegedly owed by Loulo and Gounkoto
for accounting periods ranging from March 2017 to November 2023.
The Company has reviewed the tax collection notices and
concluded that they are without merit, as tax payments were validly
made by Loulo and Gounkoto during the relevant periods by offsetting
VAT credits certified by the tax authority in accordance with Malian law,
established custom and, in the case of the Loulo mine, as expressly
provided in the Loulo mining convention.
The Company is engaged in discussions with the Malian tax
authority with respect to this matter. In early December 2023, a 6-month
stay of enforcement of the tax collection notices was granted by the
tax authority in exchange for the payment of approximately $17 million
(based on the CFA foreign exchange rate as at December 31, 2023).
As agreed with the Malian tax authority, this payment will be refunded
to the Company if the tax collection notices are abandoned by the
tax authority or rejected by the Malian Tax Court. Alternatively, the
payment will be applied toward the total amount allegedly owed by
Loulo and Gounkoto if the tax collection notices are upheld.
The Company will vigorously defend its position that the tax
collection notices are unfounded, and no amounts have been recorded
for any potential liability arising from these claims as the Company
cannot reasonably predict the outcome.
206
Annual Report 2023 | Barrick Gold CorporationNOTES TO CONSOLIDATED FINANCIAL STATEMENTS Kibali Customs Dispute
At the end of January and in early February 2022, Kibali Goldmines
SA, which owns and operates the Kibali gold mine in the Democratic
Republic of Congo, received fifteen claims from the Direction Générale
des Douanes et Accises (“Customs Authority”) concerning customs
duties. The Customs Authority claimed that incorrect import duty
tariffs had been applied to the importation of certain consumables
and equipment for the Kibali gold mine. In addition, they claimed that
the exemption available to Kibali Goldmines SA, which was granted
in relation to the original mining lease, no longer applied. Finally, the
Customs Authority claimed that a service fee paid on the exportation
of gold was paid to the wrong government body. The claims, including
substantial penalties and interest, totaled $339 million.
The Company has examined the Customs Authority claims and,
except for certain immaterial items for which a provision has already
been made, concluded that they were without merit, as they sought to
challenge established customs practices which have been accepted
by the Customs Authority for many years and, where relevant, were in
line with ministerial instruction letters.
The Company engaged in discussions with the Customs Authority
and Ministry of Finance to resolve the customs claims. As a result of
these discussions, all of the customs claims have now been resolved
with the exception of one immaterial claim for which a provision has
already been made.
Zaldívar Water Claims
On March 30, 2022, the State Defense Council (“CDE”), an entity
that represents the interests of the Chilean state, filed a lawsuit in
the Environmental Court of Antofagasta against Compañía Minera
Zaldívar SpA (“CMZ SpA”), the joint venture company that operates
the Zaldívar mine, and two other companies with mining operations
that utilize water from a shared aquifer (Minera Escondida Ltda. and
Albermarle Ltda.). The CDE claims that the extraction of groundwater
by these companies since 2005 has caused environmental damage
to the surrounding area. The CDE’s lawsuit seeks to require the
companies to conduct a series of studies and undertake certain
actions to protect and repair the alleged environmental damage in the
area, and also to cease extracting water from the aquifer.
CMZ SpA presented its defense on June 15, 2022. On July 26, 2022,
the Court issued an order governing the evidentiary stage of the trial.
Following an agreed suspension from July through November 2022, the
proceeding resumed. On January 30, 2023, a conciliation hearing was
held to address a potential settlement proposal by Albermarle Ltda. As
of that hearing date, the proceedings were stayed for a further 60-day
period to allow settlement discussions to continue among the parties.
On April 6, 2023, the Environmental Court of Antofagasta agreed
to stay the proceedings through May 6, 2023 to allow for further
settlement discussions. The stay expired without a settlement
agreement being reached. The Court held an evidentiary hearing
during the week of July 24, 2023, and a site inspection took place on
August 16 and 17, 2023. Discussions regarding a potential settlement
are nevertheless still ongoing. The parties have jointly requested a
further site inspection for March 2024, and the Court has ordered
certain additional evidentiary measures. If the request for the site
inspection is denied, the Court is expected to issue a decision on the
basis of the existing record.
The Company intends to continue to vigorously defend its position.
No amounts have been recorded for any potential liability under this
matter, as the Company cannot reasonably predict the outcome.
Loulo-Gounkoto Mining Convention Negotiations
Each of Loulo and Gounkoto have separate
legally binding
establishment conventions with the State of Mali, which guarantee
the stability of the regime set out therein, govern applicable taxes and
allow for international arbitration in the event of disputes.
During the second quarter of 2020, an agreement was reached
whereby the Government of Mali undertook to extend for a 15-year
period the convention governing the Loulo mine at its expiration in
April 2023 in exchange for the waiver of a withholding tax exemption
and agreement to pay a priority dividend to the State. The Malian
Government has not taken any steps to implement the agreed
extension of the Loulo mining convention and in December 2023,
the Government alleged that the Loulo mining convention expired in
April 2023. The Company is continuing to engage with the Government
of Mali to resolve this matter in a manner that protects the rights of Loulo
and Gounkoto under their existing establishment conventions while
also achieving the stated objectives of the Transitional Government to
provide for the equitable sharing of economic benefits from the mining
industry. These discussions are ongoing and include engagement with
a committee established by the Transitional Government to renegotiate
mining conventions.
No amounts have been recorded for any potential liability under
this matter, as the Company cannot reasonably predict the outcome.
Zaldívar Chilean Tax Assessment
On August 28, 2019, Barrick’s Chilean subsidiary that holds the
Company’s interest in the Zaldívar mine, Compañía Minera Zaldívar
Limitada (“CMZ”), received notice of a tax assessment from the
Chilean Internal Revenue Service (“Chilean IRS”) amounting to
approximately $1 billion in outstanding taxes, including interest and
penalties (the “2015 Tax Assessment”). The 2015 Tax Assessment
primarily claims that CMZ improperly claimed a deduction relating to a
loss on an intercompany transaction prior to recognizing and offsetting
a capital gain on the sale of a 50% interest by CMZ in the Zaldívar
mine to Antofagasta in 2015. CMZ filed an administrative appeal with
the Chilean IRS on October 14, 2019. Following initial meetings with
CMZ, the Chilean IRS agreed on certain aspects with CMZ’s position
and reduced the Assessment to $678 million (including interest and
penalties as at December 31, 2021) which was mainly referring to
the deduction related to the intercompany transaction mentioned
above. CMZ continued discussions with the Chilean IRS prior to the
authority’s final decision.
On March 17, 2020, CMZ filed a claim against the Chilean IRS at
the Tax Court of Coquimbo (the “Tax Court”) to nullify the 2015 Tax
Assessment. The Chilean IRS filed their response to CMZ’s claim on
April 13, 2020.
In April 2020, the Chilean IRS initiated an audit of CMZ for 2016
relating to the same claims included in the 2015 Tax Assessment. This
audit resulted in a new tax assessment against CMZ (the “2016 Tax
Assessment”). On September 9, 2020, CMZ filed a claim at the Tax
Court to nullify the 2016 Tax Assessment and the Chilean IRS filed its
response on October 7, 2020.
On September 29, 2020, the Tax Court approved CMZ’s request
to consolidate its challenges to the 2015 and 2016 Tax Assessments
(collectively, the “Zaldívar Tax Assessments”) in a single proceeding.
On December 30, 2022, the Tax Court issued its decision,
dismissing CMZ’s claims and upholding the Zaldívar Tax Assessments
as issued by the Chilean IRS. Accordingly, as of December 31, 2023,
CMZ’s exposure, including applicable interest and penalties, amounts
to approximately $899 million. On January 20, 2023, CMZ filed an
appeal against the Tax Court’s decision, which will be heard by the
Court of Appeals of La Serena. A hearing date for the appeal is still
pending. The Company continues to engage with the Chilean IRS to
resolve this matter.
The Company continues to believe that the Zaldívar Tax
Assessments are without merit and intends to continue to vigorously
defend its position.
No amounts have been recorded for any potential liability arising
from the Zaldívar Tax Assessments as the Company cannot reasonably
predict the outcome.
207
Barrick Gold Corporation | Annual Report 2023NOTES TO CONSOLIDATED FINANCIAL STATEMENTS SHAREHOLDER
INFORMATION
Shares are traded on two stock exchanges
New York
Toronto
TICKER SYMBOL
NYSE: GOLD
TSX: ABX
NUMBER OF REGISTERED SHAREHOLDERS AT
DECEMBER 31, 2023
15,399
CLOSING PRICE OF SHARES
December 31, 2023
NYSE
TSX
SHARE TRADING INFORMATION
New York Stock Exchange
Quarter
First
Second
Third
Fourth
Toronto Stock Exchange
Quarter
First
Second
Third
Fourth
208
2023 DIVIDEND PER SHARE
US$0.40 (paid in respect of the 2023 financial year)
COMMON SHARES
(millions)
Outstanding at December 31, 2023
Weighted average in 2023
Basic
Fully diluted
1,756
1,755
1,755
The Company’s shares were split on a two-for-one basis in 1987, 1989
and 1993.
VOLUME OF SHARES TRADED
US$18.09
C$23.94
(millions)
NYSE
TSX
2023
4,042
971
2022
5,341
1,643
Share Volume
(millions)
2023
1,184
940
835
1,083
4,042
2022
1,444
1,156
1.417
1,324
5,341
High
Low
2023
2022
2023
2022
US$20.19
US$26.07
US$15.48
US$17.93
20.75
17.90
18.55
25.99
18.18
17.93
15.86
14.40
13.82
17.64
13.97
13.01
Share Volume
(millions)
High
Low
2023
2022
2023
2022
2023
2022
390
219
171
191
971
301
315
542
485
1,643
C$26.79
C$33.50
C$21.43
C$22.75
28.19
23.62
24.54
32.78
23.81
24.06
20.94
19.51
19.04
22.70
19.02
17.88
Annual Report 2023 | Barrick Gold Corporation PERFORMANCE DIVIDEND POLICY
At the February 15, 2022 meeting, the Board of Directors approved a
performance dividend policy that enhances the return to shareholders
when the Company’s liquidity is strong. In addition to our base
dividend, the amount of the performance dividend on a quarterly basis
is based on the amount of cash, net of debt, on our consolidated
balance sheet at the end of each quarter as per the schedule below.
This performance dividend calculation commenced after our March 31,
2022 consolidated balance sheet, with payment in the second quarter
of 2022.
Performance
Dividend
Level
Level I
Level II
Level III
Level IV
Threshold
Level
Net cash
<$0
Net cash
>$0 and
<$0.5B
Net cash
>$0.5B
and <$1B
Net cash
>$1B
Quarterly
Base
Dividend
$0.10
per share
$0.10
per share
Quarterly
Performance
Dividend
Quarterly
Total
Dividend
$0.00
per share
$0.05
per share
$0.10
per share
$0.15
per share
$0.10
per share
$0.10
per share
$0.20
per share
$0.10
per share
$0.15
per share
$0.25
per share
The declaration and payment of dividends is at the discretion of the
Board of Directors, and will depend on the company’s financial results,
cash requirements, future prospects, the number of outstanding
common shares, and other factors deemed relevant by the Board.
DIVIDEND PAYMENTS
In 2022, Barrick paid an aggregate cash dividend of $0.65 per common
share – $0.10 on March 15; $0.20 on June 15 (including a $0.10 per
share performance dividend), $0.20 on September 15 (including a
$0.10 per share performance dividend); and $0.15 on December 15
(including a $0.05 per share performance dividend).
In 2023, Barrick paid an aggregate cash dividend of $0.40 per
common share – $0.10 on March 15; $0.10 on June 15, $0.10 on
September 15; and $0.10 on December 15.
SHARE BUYBACK PROGRAM
At its February 13, 2023 meeting, the Board of Directors authorized
a share buyback program for the repurchase of up to $1.0 billion
of the Company’s outstanding common shares over the subsequent
12 months. Barrick did not repurchase any shares under this program.
FORM 40-F
The Company’s Annual Report on Form 40-F is filed with the
United States Securities and Exchange Commission. This report is
available on Barrick’s website www.barrick.com and will be made
available to shareholders, without charge, upon written request to the
Secretary of the Company at the Head Office at corporatesecretary@
barrick.com or at 416-861-9911.
SHAREHOLDER CONTACTS
Shareholders are welcome to contact the Investor Relations Department
for general information on the Company at investor@barrick.com or
at 416-861-9911.
For more information on such matters as share transfers, dividend
cheques and change of address, inquiries should be directed to the
Company’s Transfer Agents.
TRANSFER AGENTS AND REGISTRARS
TSX Trust Company
301 – 100 Adelaide Street West,
Toronto, Ontario, Canada M5H 4H1
or
Equiniti Trust Company, LLC
6201 – 15th Avenue
Brooklyn, New York 11219, USA
Telephone: 1-800-387-0825
Toll-free throughout North America
Fax: 1-416-595-9593
Email: shareholderinquiries@tmx.com
Website: www.tsxtrust.com
AUDITORS
PricewaterhouseCoopers LLP
Toronto, Canada
ANNUAL MEETING
The Annual Meeting of Shareholders will be held on
Tuesday, April 30, 2024 at 10:00 am (Toronto time).
Please visit www.barrick.com/investors/AGM for meeting details.
209
Barrick Gold Corporation | Annual Report 2023SHAREHOLDER INFORMATION CAUTIONARY STATEMENT ON FORWARD-
LOOKING INFORMATION
Certain information contained or incorporated by reference in this
Annual Report 2023, including any information as to our strategy,
projects, plans or
future financial or operating performance,
constitutes “forward-looking statements”. All statements, other
than statements of historical fact, are forward-looking statements.
The words “believe”, “expect”, “anticipated”, “aim”, “strategy”,
“target”, “plan”, “opportunities”, “guidance”, “forecast”, “outlook”,
“project”, “develop”, “progress”, “continue”, “committed”, “estimate”,
“potential”, “prospective”, “future”, “focus”, “ongoing”, “following”,
“subject to”, “scheduled”, “may”, “will”, “can”, “could”, “would”,
“should” and similar expressions identify forward-looking statements.
In particular, this Annual Report 2023 contains forward-looking
statements including, without limitation, with respect to: Barrick’s
forward-looking production guidance, including our five and ten year
outlooks for gold and copper including for Reko Diq, the Lumwana
Super Pit and Porgera, and anticipated production growth from
Barrick’s organic project pipeline and reserve replacement; estimates
of future cost of sales per ounce for gold and per pound for copper,
total cash costs per ounce and C1 cash costs per pound, and all-
in-sustaining costs per ounce/pound; cash flow forecasts; projected
capital, operating and exploration expenditures; the share buyback
program and performance dividend policy, including the criteria
for dividend payments; mine life and production rates; anticipated
development of the Goldrush Project and targeted first production;
the planned updating of the historical Reko Diq feasibility study
and targeted first production; our plans and expected completion
and benefits of our growth projects, including the Goldrush Project,
Fourmile, Pueblo Viejo plant expansion and mine life extension project,
Lumwana Super Pit expansion, Veladero Phase 7 leach pad project,
solar power project at NGM, Donlin Gold, and the Jabal Sayid Lode 1
project; the potential for Lumwana to extend its life of mine through
the development of a Super Pit and expected capital costs, timing of
the feasibility study and targeted first production; capital expenditures
related to upgrades and ongoing management initiatives; Barrick’s
global exploration strategy and planned exploration activities; Barrick’s
copper strategy; the resumption of operations at the Porgera mine; our
pipeline of high confidence projects at or near existing operations; our
ability to identify new Tier One assets and the potential for existing
assets to attain Tier One status; potential mineralization and metal
or mineral recoveries; our ability to convert resources into reserves
and future reserve replacement; asset sales, joint ventures and
partnerships; Barrick’s strategy, plans, targets and goals in respect
of environmental and social governance issues, including climate
change, greenhouse gas emissions reduction targets (including with
respect to our Scope 3 emissions and our reliance on our value chain to
help us achieve these targets within the specified time frames), safety
performance, TSF management, including Barrick’s conformance with
the GISTM, community development, local hiring and procurement,
responsible water use, biodiversity and human rights initiatives;
Barrick’s engagement with local communities; and expectations
regarding future price assumptions, financial performance and other
outlook or guidance.
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 Annual
Report 2023 in light of management’s experience and perception of
current conditions and 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); risks associated with projects in the early stages of
evaluation and for which additional engineering and other analysis is
required; risks related to the possibility that future exploration results
will not be consistent with the Company’s expectations, that quantities
or grades of reserves will be diminished, and that resources may not
be converted to reserves; risks associated with the fact that certain
of the initiatives described in this Annual Report 2023 are still in the
early stages and may not materialize; changes in mineral production
performance, exploitation and exploration successes; 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; the speculative nature of mineral exploration and
development; lack of certainty with respect to foreign legal systems,
corruption and other factors that are inconsistent with the rule of
law; changes in national and local government legislation, taxation,
controls or regulations and/or changes in the administration of laws,
policies and practices; the potential impact of proposed changes to
Chilean law on the status of value added tax refunds received in Chile
in connection with the development of the Pascua-Lama project;
expropriation or nationalization of property and political or economic
developments in Canada, the United States or other countries in which
Barrick does or may carry on business in the future; risks relating
to political instability in certain of the jurisdictions in which Barrick
operates; timing of receipt of, or failure to comply with, necessary
permits and approvals; non-renewal of key licenses by governmental
authorities; failure to comply with environmental and health and safety
laws and regulations; increased costs and physical and transition
risks related to climate change, including extreme weather events,
resource shortages, emerging policies and increased regulations
relating to related to greenhouse gas emission levels, energy
efficiency and reporting of risks; contests over title to properties,
particularly title to undeveloped properties, or over access to water,
power and other required infrastructure; the liability associated with
risks and hazards in the mining industry, and the ability to maintain
insurance to cover such losses; 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
210
Annual Report 2023 | Barrick Gold Corporation 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 Annual Report 2023 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 Annual Report 2023. We disclaim 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.
true or not; risks related to operations near communities that may
regard Barrick’s operations as being detrimental to them; litigation
and legal and administrative proceedings; operating or technical
difficulties in connection with mining or development activities,
including geotechnical challenges, tailings dam and storage facilities
failures, and disruptions in the maintenance or provision of required
infrastructure and information technology systems; increased costs,
delays, suspensions and technical challenges associated with the
construction of capital projects; risks associated with working with
partners in jointly controlled assets; risks related to disruption of supply
routes which may cause delays in construction and mining activities,
including disruptions in the supply of key mining inputs due to the
invasion of Ukraine by Russia and conflicts in the Middle East; risk of
loss due to acts of war, terrorism, sabotage and civil disturbances;
risks associated with artisanal and illegal mining; risks associated
with Barrick’s infrastructure, information technology systems and the
implementation of Barrick’s technological initiatives, including risks
related to cyber-attacks, cybersecurity breaches, or similar network or
system disruptions; 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 ongoing global supply chain
disruptions, global energy cost increases following the invasion of
Ukraine by Russia and country-specific political and economic factors
in Argentina; adverse changes in our credit ratings; fluctuations in the
currency markets; changes in U.S. dollar interest rates; risks arising
from holding derivative instruments (such as credit risk, market
liquidity risk and mark-to-market risk); risks related to the demands
placed on the Company’s management, the ability of management to
implement its business strategy and enhanced political risk in certain
jurisdictions; uncertainty whether some or all of Barrick’s targeted
investments and projects will meet the Company’s capital allocation
objectives and internal hurdle rate; whether benefits expected from
recent transactions are realized; business opportunities that may be
presented to, or pursued by, the Company; our ability to successfully
integrate acquisitions or complete divestitures; risks related to
competition in the mining industry; employee relations including loss
of key employees; availability and increased costs associated with
mining inputs and labor; risks associated with diseases, epidemics
and pandemics, including the effects and potential effects of the global
Covid-19 pandemic; risks related to the failure of internal controls; and
risks related to the impairment of the Company’s goodwill and assets.
211
Barrick Gold Corporation | Annual Report 2023CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION Corporate Office and
General Inquiries
Barrick Gold Corporation
161 Bay Street, Suite 3700
Toronto, Ontario M5J 2S1
Canada
Telephone: +1 416 861-9911
Toll Free (North America): 1-800-720-7415
www.barrick.com
212
Annual Report 2023 | Barrick Gold Corporation Printed on elemental-chlorine and acid-free wood fibre from well-managed forests; a fully renewable
and sustainable resource, including 10% recycled fibre, with 70% of the energy used during the
paper manufacturing derived from renewable sources. Responsible environmental management is
a crucial aspect of Barrick’s sustainability vision. By choosing to use 10% recycled paper instead
of standard stock, we have made the following environmental savings:
54 trees
9,000 lbs of greenhouse gas emissions
9 million BTUs of total energy
BARRICK GOLD CORPORATION
Corporate Office:
TD Canada Trust Tower
161 Bay Street, Suite 3700
Toronto, Canada M5J 2S1
Tel: +1 416 861-9911
Toll-free throughout North America:
1 800 720-7415
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