Q4 2023 Barrick Gold Corp Earnings Call

[music].

Operator: Ladies and gentlemen, thank you for standing by. This is the event operator.

Ladies and gentlemen, thank you for standing by this is the event operator welcome to Barrick's results presentation for fourth quarter of 2023.

Operator: Welcome to Barrick's results presentation for the fourth quarter of 2023. Following today's presentation, a question and answer session will be conducted. If you have a question and are joining the event by telephone, please press STAR, then one on your telephone keypad.

Following today's presentation, a question and answer session will be conducted if you have a question and are joining the event of a telephone. Please press star then one on your telephone keypad they'll also be taking questions from those in the room. As a reminder, this event is being recorded and a replay will be available on barrick's website.

Mark Bristow: We will also be taking questions from those in the room. As a reminder, this event is being recorded, and a replay will be available on Barrick's website later today, February 14, 2024. I would now like to turn the call over to Mark Bristow, President and CEO of Barrick. Please go ahead, sir.

Later today February 14th 2024, I would now like to turn the.

Call over to Mark Bristow, President and CEO of Barrick.

Mark Bristow: Go ahead Sir.

Mark Bristow: Thank you very much and a very good morning and a good afternoon to everyone today. I want to start this presentation with some reflections back to the time of the merger, where we committed to a clear strategy for building the new Barrick into the world's most valued mining company. Moving on now to today, five years on, it's clear that we've come a long way in realizing that objective, as I'll show you in my presentation. Our focus on Tier 1 assets has delivered a peerless gold portfolio with meaningful potential for further growth, matched only by the significant ramp-up of our copper business over the next four years. Maintaining Barrick's unique record for replenishing our asset base. We have replaced more than 140% of our gold reserves since 2019, and more importantly, at the same rate, which is critical.

Mark Bristow: Thank you very much and saying good morning, and good afternoon to everyone.

Mark Bristow: The two day.

Mark Bristow: I wanted to start.

Mark Bristow: This presentation with some reflections back to the time of the merger.

Mark Bristow:

Well, we committed to a clear strategy.

For building, the new Barrick into the world's most valued mining company.

Mark Bristow: Yeah.

Mark Bristow: And move on now to today five years old and it's clear that we've come a long way and realizing that objective.

Mark Bristow: I'll show you through my presentation.

Mark Bristow: I'll focus on tier one.

It says delivered a peerless goalposts idea with meaningful potential for further growth.

Mark Bristow: Matched only by the significant ramp up of our copper business over the next four years.

Maintaining barrick's unique record for replenishing our asset base, we have placed more that we have replace to more than 114% of our gold reserves since 2019 and more importantly at the same great which is critical.

Mark Bristow: In Tanzania, our Twiga joint venture's success has demonstrated the power of our partnership approach, and we are aiming to replicate that at many of our other operations, including Porgera and Ricodex. Our belief that combining the best assets with the best people will yield the best returns has produced an industry-leading production profile, backed by a strong balance sheet and Sustainable Dividend and Capital Return Policy under every heading. Asset Quality, Operational Excellence, Peerless people, and Sustainable Profitability. We have now checked virtually every box on our report card.

Mark Bristow: In Tanzania, or tweak our joint Venture's success has demonstrated the power of our partnership approach and we are aiming to replicate that at many of our other operations.

Mark Bristow: Including pole Gras and Rico <expletive>.

Mark Bristow: Our belief.

That combining the best assets.

Mark Bristow: With the best people.

Well, we are equal yield the best returns has produced an industry, leading production probably fall back.

Mark Bristow: Backed by a strong balance sheet.

Mark Bristow: And sustainable dividend and capital return policy.

Mark Bristow: And every heading.

Mark Bristow: Asset quality.

Mark Bristow: Operational excellence.

Mark Bristow: Yeah those people.

Mark Bristow: And sustainable profitability, we have not checked virtually.

Every box on a report card.

Mark Bristow: Okay.

Mark Bristow: As this presentation includes some forward-looking information, I start with the usual cautionary statement, which, if you are so inclined... You can read it at your leisure on the website. Protecting the health and safety of our people.

Mark Bristow: This presentation includes some forward looking information.

Mark Bristow: I'll start with the usual cautionary statement, which if he also inclined.

You can read it at your leisure.

On the website.

Mark Bristow: Protecting the health and safety of our people.

Mark Bristow: It's Barrick's top priority, and last year we made tangible progress in what we call our journey to zero, posting the best results since the merger. As you can see here, both lagging indicators, the lost time injury frequency rate and the total recordable injury rate, continued to come down.

Mark Bristow: Cause bearish top priority and last year, we made tangible progress in what we called our journey to zero posting the best results since the merger.

Mark Bristow: As you can see.

Mark Bristow: Oh, it's lagging indicators the lost time injury frequency right.

Mark Bristow: The total recordable injury rate continued to come down.

Mark Bristow: It is, however, a lot more work to do on eliminating fatalities. Clearly, a subject where there is no room for complacency. Our focus remains fixed on the Zero Goal.

Mark Bristow: There is.

Mark Bristow: However, a lot more work to do on it.

Eliminating fatalities clearly a subject.

Mark Bristow: Where there is no problem.

Complacency.

Mark Bristow: Our focus remains fixed.

On the zero goal and the enormous progress made by our Latin America, and Asia Pacific region shows that this as well.

Mark Bristow: And the enormous progress made by our Latin America and Asia Pacific regions shows that this is well within our global reach. In 2023, we were able to significantly advance our sustainability strategy. Our commitment to real sustainability has long been the bedrock of our business, and it's based on a holistic approach, which integrates all aspects of our environmental and community responsibilities, as distinct from the siloed ESG model.

Mark Bristow: Within our global reach.

Mark Bristow: And 'twenty through 'twenty, three we were able to progress our sustainability strategy significantly.

Mark Bristow: Our commitment to real sustainability.

Mark Bristow: It has long been the bedrock carve out business and it's based on a holistic approach approach, which integrates all aspects.

Mark Bristow: Environmental and community responsibilities.

Mark Bristow: As distinct.

Mark Bristow: From the Siloed E S G model.

Mark Bristow: The numbers you can see here show the tangible benefits this strategy is delivering. As you all know... We had a slow start to the year with operational issues at NGM and Kibale. And then towards the end of the year, commissioning said back... with Pablo Viejo's plant expansion impacting on production. Notwithstanding that, we delivered a steady quarter-on-quarter improvement through the year, and despite another good fourth quarter, we fell fractionally short of our gold guidance while copper met its guidance.

Mark Bristow: The numbers you can see huh.

Mark Bristow: Show the tangible benefits this strategy.

Mark Bristow: Is delivering.

Mark Bristow: As you all know.

Mark Bristow: We had a slow start to the.

Mark Bristow: With the operational issues at N G M in Kibali.

Mark Bristow: And then towards the end of the the commissioning setbacks.

Mark Bristow: With Pablo Yeah, Hows plant expansion impacting on production.

Mark Bristow: Notwithstanding that we delivered a steady quarter on quarter improvement through the AR and the spots. Another good fourth quarter, we fell fractionally short all of our gold guidance, while copper maintenance got it.

Highlights of the year, where a sustained and an industry, leading golden copper reserve replacement.

Mark Bristow: Highlights of the year were our sustained and industry-leading gold and copper reserve replacement, which is one of the key differentiators between Barrick and its peers. Another consistent performance from the AME region and a strong financial performance, admittedly with the wind of a record gold price at our backs. Our strong balance sheet, reflected by our investment grade rating, also stands us in good stead as we navigate these uncertain times. The results for the fourth quarter reflect the improved performance from Cortez.

Mark Bristow: Which is one of the key differentiators between Barrick and its P. S.

Mark Bristow: Another consistent performance from the Mea region.

And our strong financial performance admittedly with the wind all the record gold price at our backs.

Mark Bristow: Our strong balance sheet reflected.

Mark Bristow: By our investment grade rating also stands us in good stead as we navigate these uncertain times.

Yeah.

The results for the fourth quarter reflect the improved performances from Cortez Phoenix and Pablo vein, where we have now resolved the equipment issues in the flotation circuit.

Mark Bristow: Phoenix and Pablo Viejo, where we have now resolved the equipment issues in the flotation circuit. However, costs were slightly higher than the previous quarter, mainly due to lower-grade stockpile feed processed at Lulo Goncato as a result of a pit wall failure at the Goncato open pit. Lower grades processed at Carlin, extra commissioning costs, and the impact of the tropical storm event at Pablo Viejo rather than, and this is rather than, what people jump to, a structural shift in inflation. I'll touch on all these as I go through the presentation. The financial numbers speak for themselves, but it's worth pointing out that year-on-year operating cash flow increased by 7% and free cash flow grew by 50%. Furthermore, adjusted net earnings per share increased by 12 percent, and the quarterly dividend was maintained at 10 cents per share in line with our policy.

Mark Bristow: Costs were slightly higher than the previous quarters quarter, mainly due to lower grade stockpile feed protest at Blue lagoon in Qatar as a result of the pit wall failure at the Golden Court to open pit.

The other grades processed at Carlin extra.

Mark Bristow: Extra commissioning costs and the impact of the tropical storm.

Mark Bristow: Then Ted problem.

Mark Bristow: Rather than and and this is rather than.

Mark Bristow: What people jobs to a structural shift.

Mark Bristow: And inflation.

I'll touch on all of these as I go through the presentation.

Mark Bristow: The financial numbers speak for themselves, but it's worth pointing out that your on your operating cash flow increased by 7% and free cash flow grew by 50 per se. It.

Mark Bristow: Furthermore, adjusted net earnings per share increased by 12% and the court T. D quarterly dividend was maintained at 10 cents per share in line with our policy.

Mark Bristow: We will start, as usual, with the operational review in North America, which is still a work in progress but on a much firmer foundation and under new leadership that is aligned with Barrick's DNA. At NGM, the long-awaited record of decision enabled Cortes to advance the gold rush development late in the fourth quarter of 2024. We are ramping up drilling and the evaluation of Barrick's 100% owned Four Mile project with a view to commencing a pre-feasibility study by the end of the year, and I'll cover that in more detail a little later. And in line with Barrick's continued group-wide investment in accessing skills that are in short supply in the industry, NGM has established three early learning centers to increase childcare facilities in the region, and we've also progressed our mine education system, our trial mind training centers, as we call them in South Africa, to make sure that everyone that joins us goes through a proper induction and makes sure that they really understand and are skilled enough to do the job

Mark Bristow: We as usual, we'll start with the operational review and North America.

Mark Bristow: Which is still a work in progress but.

Mark Bristow: Todd a much firmer foundation and under new leadership that is aligned with Barrick's DNA.

Mark Bristow: At N G M. The long awaited record of decision enabled Cortez to advance the gold Rush development late in the fourth quarter.

Mark Bristow: In 2024.

Mark Bristow: We are ramping up drilling and the evaluation.

Mark Bristow: Oh, barrick's, 100% and formal project.

Mark Bristow: With a few viewed to commencing a pre feasibility study by the end of the and I'll cover that in more detail a little later.

Mark Bristow: And in line with Barrick's continued group wide investment and accessing skills that are in short supply in the industry.

Mark Bristow: Jim has established three early learning centers to increase child care facilities in the region and we've also progressed.

Mark Bristow: Martin.

Mark Bristow: Uh huh.

Mark Bristow: Our education system, well trial mine.

Mark Bristow: <unk>.

Mark Bristow: Training centers as we call them in South Africa.

Mark Bristow: Too to make sure that everyone that joins us goes through a proper induction and make sure that we do.

Mark Bristow: They really understand at all skilled enough to do the job and it's an integral part of our focus on safety.

Mark Bristow: And it's an integral part of our focus on safety, because that is a big issue. You know, everyone talks about all sorts of safety procedures, but we've landed on the view that operational excellence is really the foundation of a safe environment, when people know what to do, and they do it properly, elsewhere in the group. The transition to renewable energy gathered pace with the commissioning of the substation and the first 100 megawatt solar farm in Nevada, with the second 100 megawatts to be switched on later this year.

Mark Bristow: Because that is a big issue you know everyone talks about all sorts of safety procedures, but we've landed on the on the on the view that operational excellence is really the foundation of a safe environment twin people know what to do and they do it properly.

Mark Bristow: It is elsewhere in the group.

Mark Bristow: The transition to renewable energy gathered pace with the commissioning of the substation and the first hundred megawatt solar farm in Nevada with the second hundred Mega Watts to be switched on a later this year.

Mark Bristow: This is a closer look at NGM, and the details are in the MD&A for those who want to get into the details, where the highlights include a near-record fourth quarter production from Cortez and the acceleration of the Gold Rush development, which is forecast to produce 130,000 ounces in 2024, growing to around 400,000 ounces by 2028. All in all, we see an exciting future for Cortez. And then looking forward to 2024, we are also stepping up our planned underground development and grade control drilling efforts across both open pits and underground as part of our production delivery assurance program at our tier one operations, and that does impact on the cost this year. Another noteworthy improvement during the year was the step-up in performance at Turquoise Ridge following the commissioning of its third shaft and improved performance at the Sage Auderclave.

Speaker Change: This is a closer look.

Mark Bristow: At N G M and the details are in the M. D. A nice for those who want to get into the details.

Mark Bristow: Were the highlights include a near record fourth quarter production from Cortez and the acceleration of the gold Rush development.

Mark Bristow: Which is forecast to produce 100000 ounces in 2000 830000 ounces in 2020 full growing to around 400000 ounces about 2020 eight.

Mark Bristow: All in all we see an exciting future for Cortez.

Mark Bristow: And then looking forward to 2020 four we are also stepping up our planned underground development and grade control drilling if its across.

Mark Bristow: Well, it's open pits and underground as part of our production delivery assurance program at a tier one operations and that does impact on the the the costs this year.

Mark Bristow: Another noteworthy improvement during the year was the step up in performance at Turquoise Ridge following the commissioning of its third shaft and improve.

Mark Bristow: At this age order play we've still got some work to do on the stage or the cloud, but we know very clear about what we have to do to really return that but that processing facility back to where we expect it to operate as far as availability has got.

Mark Bristow: We've still got some work to do on the Sage Auderclave, but we now are very clear about what we have to do to really return that processing facility back to where we expect it to operate as far as availabilities go. Turquoise Ridge, because of that, is beginning to live up to its full Tier 1 potential. Costs for the complex were a little higher quarter on quarter owing to the mix of production, including higher-cost stockpile material as well as some additional maintenance costs.

Mark Bristow: Turquoise ridge because of that is beginning to live up to.

Mark Bristow: Two its full tier one potential.

Mark Bristow: Costs for the EM complex were a little higher quarter on quarter, owing to the mix of production, including higher cost stockpile material as well as some additional maintenance costs.

Mark Bristow: I always refer to our Nevada Gold Mines Complex as our value foundation and how you can see why. Far from being a mature destination, it is a world-class Goldfield, which we're successfully exploring for both greenfields and brownfields growth opportunities. We now have a five-year outlook on reserve replacement, and that's quite important.

Mark Bristow: I always refer to.

Mark Bristow: Nevada Gold mines complex as our value Foundation.

Mark Bristow: And.

Mark Bristow: You can see why.

Mark Bristow: Far from being a mature destination.

Mark Bristow: As a world class.

Mark Bristow: Oldfield, which we were successfully export exploring for both Greenfields and brownfields growth opportunities.

Mark Bristow: We now have a five year outlook garden.

Mark Bristow: Reserve replacement and that's quite important we built that.

Mark Bristow: We've built that foundation, and now, like we do in AME and LATAM, we can point to what we have to do to continue to evolve over the next five years. And the other point is that this year we're going to be spending quite a bit more of our budget, the same budget, but a little bit more, not a little bit, a substantial amount more on greenfield targets because we built the models and we're excited about the fact that, in our view, this is not a mature Goldfield. There's lots of upside to it.

Mark Bristow: Foundation and now we can like we do in our EMEA and Latam. We can we can point to what we have to do to continue to convert over the next five years.

Mark Bristow: And the other point is that this year, we gotta that'd be spending quite a bit more of a budget same budget, but a little bit more if not a little bit of a substantial amount more on greenfields targets because we both have models and we're excited about the fact that in our view this.

Mark Bristow: Not in the chair.

Mark Bristow:

Mark Bristow: Goldfield, there's lots of <unk>.

Speaker Change: Sorry, it isn't it.

Mark Bristow: And one of those is.., the recent Robertson discovery, where step-out drilling is confirming upside potential, and the importance of Robertson as it comes with the additional advantage of mostly non-refractory oxide ore, and then, of course, at Carlin, the great illegal.., hosts multiple opportunities which we expect to continue to support our reserve replacement. As I indicated earlier, I'm just going to focus a little bit on 4 Mile and share the fact that we've decided to expand the drilling and other valuation work streams at this 100% Barrick owned project, with a view to starting a pre-feasibility study at the end of 2024, and this year we're actually budgeting $40 million on this project, $25 million for drilling, and the rest will be other.., work streams to ensure that we are at a stage where we can take this towards a pre-feasibility study at the end of the year.

Speaker Change: One of those is the recent Robinson discovery, well step out drilling is confirming our upside potential and the importance of Robinson as it comes with the additional advantage of mostly non refractory oxide ore.

Speaker Change: And then of course called at calling the greater Leavell.

Speaker Change: Oh, it's multiple opportunities, which we expect to continue to support all reserve replacement.

Mark Bristow: As I indicated earlier.

Mark Bristow: Our focus a little bit on full mile.

Mark Bristow: And and share the fact that we've decided to expand the drilling and other value I shouldn't work streams at this hundred per se in Barrick owned project with.

Mark Bristow: With a view to starting a pre feasibility study.

Mark Bristow: At the end of 'twenty, 'twenty, four and and this year, we're actually budgeting $40 million on this project 25 for drilling and the rest will be either.

Mark Bristow: The work streams to ensure that we are at a stage, where we can take this.

Mark Bristow: Two towards a pre feasibility study at the end of the year we'd.

Mark Bristow: We believe that this drilling will outline the potential to more than triple the existing mineral resource base with mineralization hosted in rock units that can potentially support large-scale, long-haul, open stoping. Another key aspect of this year's program is the evaluation of the access portal locations to support development along the strike of the ore body, which would initially be used for conversion drilling and then later be reused for mine haulage in support of a potential Tier 1 production profile. Outside Nevada, Barrick is actively expanding in North America, and through generative work and land consolidation, we believe we'll now be able to start sharing with you the detail of our specific targets across the U.S. The reason we haven't got all the detail here is we're still working on consolidating some of the ground.

Mark Bristow: We believe that the drilling will outline the potential to more than triple the existing mineral resource base with mineralization hosted an Roc units that can potentially support large scale long haul open stoping.

Mark Bristow: Another key aspect of this program and this year's program includes the evaluation.

Mark Bristow:

Mark Bristow: Well the access portal locations.

Mark Bristow: To support development, along the strike of the ore body, which would initially be used full conversion drilling and then later be reused for mine haulage in support of a potential tier one production profile.

Mark Bristow: Outside Nevada, Barrick is actively expanding in North America.

Mark Bristow: And and through generate to work in land consolidation.

Speaker Change: We believe will not be able to start sharing with you the detail.

Speaker Change: Oh about a specific targets across the the U S and and the reason we haven't got all the detail. It has we're still working on consolidating some of the ground.

Mark Bristow: As you know, we are also partners in the Doddman Project in Alaska, which is... which is systematically driving up the value curve. And, as I've said many times before, I also believe we're under-invested in our home country, Canada, where we're examining opportunities in the prospective Sturgeon Lake and Patrice projects through grassroots district-scale exploration programs. And finally, at our existing Hemlo mine, we continue to advance the OpenFIT project study. We now move down south to what started as the Latin America region but has since expanded to encompass Asia and the Pacific.

Speaker Change: As you know we also have partners in the Darling Park project in Alaska, which is.

Speaker Change: Which we are systematically driving up the value curve.

Speaker Change: And as I've said many times before.

Speaker Change: I also believe were under invested in our home country, Canada, where we're examining opportunities in the prospective sturgeon like and Patrice projects through.

Speaker Change: Through grass roots, a district scale exploration programs.

Speaker Change: And finally at our existing him let him on we continue to advance the open pit projects study.

Speaker Change: We moved out no down south to what started as Latin America region, but has since expanded.

To encompass Asia and the Pacific.

Speaker Change: In Argentina that are there are some things special deliver something special in the shape of a.

Mark Bristow: In Argentina, Valdera delivered something special in the shape of a performance that beat its production and cost guidance. We've been struggling with that mine and last year we said let's stop, cut it back a bit, re-establish it, bring in a fresh set of eyes as far as leadership goes, and really the team did an excellent job in beating its guidance both on production and on costs and in fact as a product of that we've added back about two years of mining to the pit because we're much more comfortable about our ability to deliver value from that asset and of course we're all waiting for the new government to start delivering on their promises to be a lot more business friendly.

Speaker Change: Performance at Beach, its production and cost guidance and you know we've been struggling with that mind and last year, we shall we say, let's stop cut it back up that reestablish it bringing a fresh set of eyes as far as leadership goes and really it was the the team did an excellent job in beating its it's good.

Speaker Change: And it's both on production and on costs and its end and in fact as a product of that we've added back about two years of mining a to the pit because we're much more comfortable about our ability to deliver value from that asset and of course.

We're all waiting for the new government to start delivering on their promises to be a lot more.

Speaker Change: <unk> a business friendly.

Mark Bristow: Elsewhere in the region, you'll have seen years of negotiation with the government finally deliver a revived Porgyra in Papua New Guinea, and the mine is scheduled to start pouring gold again this quarter. And in Pakistan, the massive Rekordek Copper Gold project continues to advance steadily towards first production in 2028. Our flagship growth project, the expansion of Pueblo Viejo in the Dominican Republic, as I shared with you last time, suffered some setbacks in the form of premature failure of flotation gearboxes and the collapse of the new crushed or stockpile conveyor structure. But our highly committed and tenacious team overcame the challenges to deliver and improve performance in quarter four, notwithstanding. In addition to these two events, a 1 in 500 year tropical storm.

Speaker Change: Also in the region, you'll have seen the years of negotiation with the government finally delivered a revived Cobra in Papua New Guinea and the mine is scheduled to start pouring.

Speaker Change: Cold again this quarter.

Speaker Change: I Didnt, Pakistan, the massive Rick Burdick copper gold project continues to advance steadily towards first production in 'twenty 'twenty eight.

Speaker Change: Our flagship gross project the expansion of Pueblo Viejo in the Dominican Republic.

Speaker Change: Shared with you last time service suffered some setbacks in the form of premature failure of flotation gearboxes and the collapse of the Nu crushed ore stockpiled conveyor structure and and all are highly committed and tenacious team.

Speaker Change: Okay, and the challenges to deliver an improved performance in quarter four notwithstanding.

Speaker Change: In addition to these two events one in 500 year tropical storm and.

Mark Bristow: And I think it's important that you know, when we first started in 2019, we had some focus on managing the water and particularly ensuring that it stays within the footprint of the mine. And we were able to manage this massive storm event and not have any major environmental incidents. So a real tribute to the management.

Speaker Change: And I think it's important that you know when we put it back in 2019, we had some focus on managing the water and particularly ensuring that it stays within the footprint of the mine and we were able to manage this massive storm event.

Speaker Change: And and not have any major environmental incidents so a real tribute to the management.

Mark Bristow: Just to remind you, this project is designed to sustain average annual production in excess of 800,000 ounces for the life of the mine beyond 2040, and we will have, as I said earlier, we expect to have this conveyor structure reinstalled later this quarter, at the end of this quarter, in fact, and then we'll ramp up. We are currently... I'm working on the ramp-up, and I thought I'd show you this slide, which is: you can see the progress following the repetitive failures of the new flotation gearboxes, which had to be redesigned, manufactured, and reinstalled. And this, I can confirm, as I indicated last quarter, has been completed and was completed at the end of December, and then the replacement of the crushed or stockpile conveyor is underway, and we are busy operating under temporary installations and feeding the SAG mill, the second SAG mill, albeit at a reduced throughput.

Speaker Change: Just to remind you. This project is designed to sustain.

Speaker Change: Average annual production in excess of 800000 ounces of a life of mine beyond 2040, and we will have this as I said earlier, we expect to have this conveyor.

Speaker Change: Structure.

Speaker Change: We installed.

Speaker Change: Later this quarter at the end of this quarter in fact, and then we will ramp up are we all currently.

Speaker Change: Working on the ramp up and I thought I'd show you this slide which is.

Speaker Change: You can see.

Speaker Change: The the progress following the.

Speaker Change: Repetitive failures of the new flotation gearboxes.

Speaker Change: Which had to be redesigned manufactured and re installed and this I can confirm as I indicated last quarter has been completed and was completed at the end of December.

Speaker Change: And then the replacement of the crushed ore stockpile cutting VAT is underway and are and we are busy operating under a temporary installations and and and feeding the Sag mill. The second Sag mill, albeit at a reduced throughput then.

Mark Bristow: And that ramp-up will accelerate, as I said, after we install the replacement conveyor infrastructure at the end of this quarter. Elsewhere in the region, we continue to expand the Barrick footprint, and again, in LATAM, we've really cleaned up our portfolio, really refocused the exploration efforts on potential targets that have the potential to meet our Tier 1 ambitions. And as part of that, we've opened a new frontier in Ecuador and secured a high-quality portfolio, together with an exciting advanced project in Peru. And in the Valdera district, fieldwork is defining drill-ready targets.

Speaker Change: Ramp up we'll accelerate as I said after we install the replacement conveyor.

Speaker Change: Convey our infrastructure at the end of this quarter.

Speaker Change: Yeah.

Speaker Change: Elsewhere in the region, we continue to expand the Barrick footprint and again in Latam, We've we've really cleaned up our portfolio really refocused the exploration efforts on potential targets that have potential to meet at tier one ambitions and as part of that we've opened a new frontier in Ecuador.

Speaker Change: Oh and secured a high quality portfolio.

Speaker Change: Together with a an exciting advanced project in Peru.

Speaker Change: And then the valid era district fieldwork is defining drill ready target setting and.

Mark Bristow: And up in the Dominican Republic, exploration continues both within the Pueblo Viejo joint venture lease area as well as across the country. And again, I'm excited that we'll be able to show you some good results in the next couple of quarters arising from that work. For the fifth consecutive year, as I said in my introduction, in fact, ever since the merger, the Africa and Middle East region has delivered on its guidance and replaced its mined reserves. It has also become host to some of Barrick's most exciting organic growth prospects, notably the Lemoina copper mines expansion. We start at Lulogon Kato, where the results speak for themselves.

Speaker Change: Up in the Dominican Republic exploration continues both within the Pueblo Viejo.

Speaker Change: Joint venture lease area as well as across the country and again I'm excited that we'll be able to show you. Some good results in the next couple of quarters.

Speaker Change: Arising from that work.

Speaker Change: For the fifth consecutive year as I said in my introduction in fact ever since the merger the Africa and Middle East region delivered on its guidance.

Speaker Change: And replaced its mined reserves.

Speaker Change: It is also a big.

Speaker Change: To sum of barrick's, most exciting organic growth prospects, notably the Lamar on a copper mine expansion.

Speaker Change: We start at.

Speaker Change: Do you like on Qatar, where the results speak for themselves.

Mark Bristow: Production was a little lower, as I indicated earlier, and costs were higher quarter on quarter on the back of lower grades in line with the revised plan following the Gonkoto pit wall failure. As elsewhere at Barrick, the complex is transitioning to renewable energy and its second solar project, a 40-megawatt solar farm with a 36-megawatt battery energy storage system commissioned ahead of time and below the original capital cost estimates this last quarter. Kabali is Africa's largest gold mine and a leader in automation and clean energy. Much of the energy that drives Kabali is already supplied by its three hydropower stations.

Speaker Change: Production was a little as I indicated earlier and costs higher quarter on quarter on the back of lower grades in line with the revised plan following they've gotten caught a pit wall failure.

Speaker Change: As also at Barrick the complex is transitioning to renewable energy.

Speaker Change: And our second solar project, a 40 megawatt solar farm with a 36 megawatt battery energy storage system commissioned ahead of time and below the original capital cost estimates.

Speaker Change: This last quarter.

Speaker Change: Yeah.

Speaker Change: Kibali is africa's largest gold miner and a leader in automation and clean energy much of the energy that drives kibali is already supplied by its.

Speaker Change: Three hydro power stations.

Mark Bristow: And when the mine's new 16 megawatt solar power plant and battery storage system are commissioned in 2025, it'll increase its overall renewable energy penetration from 79% to 88%, and for six months of the year, its electricity demand will be met entirely from renewables. And in Tanzania, our transformative Twiga partnership with the government continues to deliver exceptional results, with North Mara and Bulian Hulu achieving the high end of their production guidance for the year, and we're also expanding our footprint in the country in the hunt for new world-class discoveries. Our strategic decision. Investing in the expansion of our copper portfolio has led to the SuperPIT expansion project at Lamana in Zambia, and this will transform Lamana into one of the world's major copper mines with projected annual production of 240,000 tonnes per year over a 30-plus-year life of the mine, and it is a key component of the Zambian government's drive to revive the country's copper industry over the next ten years. The estimated cost of the project, as I've already indicated before, is around $1.9 billion, and construction is scheduled to start early next year, with the first production targeted in 2028.

Speaker Change: And when the mines news 16 megawatt solar.

Speaker Change: Our plant in battery storage system, all commissioned in 'twenty, 'twenty, five, Italy, Greece, its overall renewable energy penetration from 79% to 88%.

Speaker Change: And for six months of the it's electricity demand will be met entirely from renewables.

Speaker Change: And in Tanzania.

Speaker Change: <unk> formative tweak.

Speaker Change: [noise] partnership with the government continues to deliver exceptional results with north Mara and Boolean Hulu, achieving the high end of their production guidance for the year and we're also expanding our footprint in the country in the hunt for new World class discoveries.

Speaker Change: Our strategic decision.

Speaker Change: To invest in the expansion of our copper portfolio has led to the Super pit the expansion project at <unk>.

Speaker Change: Ah in Zambia.

Speaker Change: This will transform lamont it into one of the world's major copper mines with projected annual production of 240000 tons per year over a 30 plus year life of mine.

Speaker Change: And it is a key component of the Zambian government strive to revive.

Speaker Change: The country's copper industry over the next 10 years.

Speaker Change: The estimated cost of the project has already indicated before is is around $1.9 billion and construction is scheduled to start early next year with 'twenty 'twenty I targeted for first production there.

Mark Bristow: The project has been fast-tracked with the completion of the pre-feasibility study, and we project to start ordering long-lead items towards the end of this year. And how you can see our many brownfields and greenfields growth opportunities across the region. Of particular interest is our growing presence in Egypt and Saudi Arabia, where our partners at the Jabal Saeed Copper Mine, we are rapidly progressing exploration on the very promising Umm al-Dammar permit, and we've already intersected significant VMS style mineralization at four prospects within this property. I've always said, ladies and gentlemen, to be world-class, you have to be global.

Speaker Change: Project is being fast tracked with the completion of the pre feasibility study and we project to start ordering long lead items.

Speaker Change:

Speaker Change: Towards the end of this year.

Speaker Change: And how you can see a mini brownfields and greenfields growth opportunities across the region.

Speaker Change: Of particular interest is outgrowing presence in Egypt, and Saudi Arabia.

Where our partners at the Jumbo side copper mine, where without partners at the Gib, Although side copper mine, we are rapidly progressing exploration on the very promising Omar Jamal permit them and we've already in just sick did significant Vms style mineralization at <unk>.

Speaker Change: Full prospects within this this property.

Speaker Change: I've always said, ladies and gentlemen to be world class.

Speaker Change: You have to be global.

Mark Bristow: And Barrick's presence now extends across all the world's major gold and copper districts outside Russia and China. And we've also, as I said, also rationalized our exploration portfolio, so we really have what's left is targets that have the potential to meet our investment criteria. This is a solid foundation on which we can grow our production and our value, and it's directed by our proven strategy and supported by the broad spectrum of skills we have developed to build a modern mining business. One of the key qualities that differentiates Barrick from its peers, as I noted earlier, is our ability to replace our reserves organically.

Speaker Change: And barrick's presence now extends across all the world's major gold and copper districts outside Russia and China.

Speaker Change: And and we've also as I say it also rationalized our exploration portfolio. So we really have what's left is our targets that have the potential to meet our investment criteria.

Speaker Change: This is a solid foundation on which we can grow our production and our value and is directed by our proven strategy and supported by the broad spectrum of skills. We have developed two bowls, a modern mining business.

Speaker Change: What are the key qualities that differentiates barrick from its peers.

Speaker Change: Notes it earlier is our ability to replace our reserves organically.

Mark Bristow: And since 2019, we've replaced 140% of the gold we've mined, adding on a 100% basis 44 million ounces of proven and probable reserves across our managed assets. And then last year, we did it again.

Speaker Change: And since 2019, we've replaced 140% of the gold we've mined.

Speaker Change: Adding on 100% basis.

Speaker Change: 44 million ounces of proven and probable reserves across our managed assets.

Speaker Change: And then last year, we did it again.

Mark Bristow: And I think people underestimate that. You know how I talk about M&A and, you know, when you do the same thing all the time, over and over again, and you expect different outcomes.

Speaker Change: And I think people on the estimate that you know how I talk about M&A.

Speaker Change: And you know.

Speaker Change: Well when you do the same thing.

Speaker Change: All the time over and over again and expecting a different outcome.

Mark Bristow: There's a definition for that. And, you know, paying 50% premiums for assets and not realizing the only way you can deliver is either to find more or wait for the commodity price to lift your revenue line. Finding... particularly Brownfields Reserves, really sweats the assets, sweats your capital. And again, I've demonstrated this many times throughout my career. And I have no doubt that our focus, Thank you. Thank you. Thank you.

Speaker Change: Definitions for that.

Speaker Change: And paying a 50 per se in premiums.

Speaker Change: For athletes and and and.

Speaker Change: And not realizing that any way you can deliver as you need to find more we'll wait for the commodity price.

Speaker Change: Your revenue line finding.

Speaker Change: Particularly our brownfields reserves rarely does sweat the assets sweat your capital and and and again.

Speaker Change: We have demonstrated this.

Speaker Change: Many times throughout my career and and I have no doubt that all focus.

Speaker Change:

Speaker Change: We will deliver it again.

Mark Bristow: We'll deliver again. And we, I think, have some examples in development on which we can prove our... of Strategy. So. That's why.

Speaker Change: And we I think have some examples of developing on which we can.

Speaker Change: Prove out.

Speaker Change: Oh strategy.

Speaker Change: Yeah.

Speaker Change: So.

Speaker Change: That's what.

Mark Bristow: Barrick is not forced to buy its growth, and uh... It's this growth is organically embedded in our business. And, you know, our 10-year plan, which very few mining companies present, is not there to brag about our profile, but it's to give the market a clear understanding that our focus goes beyond next year and that we are able to see challenges way ahead of, you know, down our runway and address them. And that's always been our model. And again, um...

Speaker Change: Cause not forced to buy its growth and.

Speaker Change: It's this growth is organically embedded and.

Speaker Change: In our business and our 10 year plan, which very few mining companies present. It is not there to to brag about our profile, but it's to give the market a clear understanding that our focus goes well beyond next year and and that we are able to see.

Speaker Change: Challenges way ahead.

Speaker Change: Down on it.

And down in our in our runway and address them and that's always been our model.

Speaker Change: And again.

Speaker Change: Yeah.

Mark Bristow: I think the key here is that we're still working on the back end, as I indicated, of this profile to fill in the gaps. And based on our long track record, I have no doubt we will do it in the fullness of time. And Nevada is a very good example because, you know, we're starting to get to a point where we are able to look, as I said, forward a few years and know where the transition is, the replacement is coming from. And again, we've got a long tail in Nevada, and the big challenge is how we bring it forward. And one of the big focuses this year is going to be how we schedule the development of the greater Lievel area, all those different mining sections in northern Carlin. And to support this 10-year plan, how's our detailed five-year production? and Cost Outlook looking at the next five years. There are a few aspects to note.

Speaker Change: I think the key is that we're still working on the backend as I indicated all of this profile to filling the gaps.

Speaker Change: And based on our long term long track record I have no doubt we were.

Speaker Change: We'll do it in the fullness of time and and Nevada is a very good example, because we're starting to get to a point, where we all I able to look as I've said forward, a few years and and know where the transition is the replacement is coming from.

Speaker Change: And and again, we've got a long tail.

Speaker Change: In Nevada, and the Big Challenge is how do we bring it forward and one of the Big focuses this year is gonna be how we schedule.

The development of the greater level area all of those different mining sections.

Speaker Change: And northern Collyn.

Speaker Change: And to support this 10 year plan.

Speaker Change: A detailed five year production.

Speaker Change: And cost outlook.

Looking at the next five years.

Speaker Change: There are few aspects to nudge.

Speaker Change: An increasing production profile, which always brings the cost down.

Mark Bristow: An increasing production profile, which always brings the cost down, and an increase in capital expenditure over the next three years, as we have now included capital. Estimates for the Record Deck and Lemoina Super Pit Project, after which capital starts to decline, and Gold Per Ounce Costa Flat, year-on-year in 2024 and then start declining in line with the increasing production. Also, as previously flagged, production in 2024 is a little lower than... our previous estimate, primarily due to the delay in the record of decision at Gold Rush and the slow ramp-up of the expansion project at Pablo Viejo, and NGM was always going to be a softer year in 2024. So the delay in the record of decision for Gold Rush has exacerbated this. Our track record of replacing reserves...gives us the confidence to know we can deliver on this outlook without the need for dilutionary or delusionary acquisitions. And importantly, we have the balance sheet strength and operating cash flows to fund this growth, while still maintaining our industry-leading credit rating.

Speaker Change: An increase in capital expenditure over the next three years as we have now included the capital.

Speaker Change: Estimates for the Richard and I'm on a super pit projects.

Speaker Change: After which capital starts to decline.

Speaker Change: And gold per ounce costs are flat.

Year on year, and 'twenty 'twenty, four and then start declining in line with increasing production.

Speaker Change: Also as previously flagged production in 'twenty 'twenty four is a little then.

Our previous estimate primarily due to the delay in the record of decision that gold rush and the slower ramp up of the expansion project at Pueblo Viejo.

Speaker Change: And N G M was always going to be a softer year in <unk> and 'twenty 'twenty four.

Speaker Change: So the delay in the record of decision for gold Rush has exacerbated this.

Speaker Change: Our track record of replacing reserves gives.

Speaker Change: It gives us the confidence to know we can deliver on this outlook without the need for dilution re.

Speaker Change: Paul Delusion re acquisitions.

Speaker Change: And importantly, we have the balance sheet strength and operating cash flows to fund this growth, while still maintaining our industry leading credit rating.

Mark Bristow: As I've often said... Mining is a long game, and that should not be measured by quarters. I have no doubt that our strategy and partnership approach, together with the quality of our assets, and most importantly, our people. We'll deliver real and sustainable long-term value for our shareholders and our stakeholders. Thank you, ladies and gentlemen, for your attention, and we'll be happy to take questions. Operator, over to you. What are we going to do? We're going to do the room first. Okay, there's Greg's hands up.

Speaker Change: As I've often said.

Speaker Change: Mining is a long game and that should not be measured by quarters.

Speaker Change: I have no doubt that our strategy and partnership approach together with the quality of our assets and most importantly, our people.

Speaker Change: We will deliver real and sustainable long term value for our shareholders and all stakeholders.

Speaker Change: Ladies and gentlemen for your attention and we'll be happy to take questions.

Speaker Change: Operator over to you what we're gonna do we gotta do.

Speaker Change: The room first okay.

Speaker Change: Greg's hands up.

Speaker Change: Yes.

Operator: Hi Mark, it's Greg Barnes from TD. Just a couple of questions. One: the turmoil in Pakistan over the past week.

Speaker Change: Hi, Mark it's Greg Barnes from TD, just a couple of questions one.

Speaker Change: There's been some political turmoil in Pakistan over the past week.

Greg Barnes: Do you see that having any impact on your schedule with the sort of changing government? I'm not quite sure what's going on. So, yeah, I mean... So, let me try to explain the situation. When we, when we, when we, um..., initiated the recommencement of Ricodec following the Arbitration Award, it was with Imran Khan, and he's the person who actually brought it back into play along with us, and, and then. The government changed to the Sharif government, but we signed the framework agreement with Imran's government, and we signed the final agreement with Sharif's government, which was no different. There was no change in the principles that were captured in the framework agreement.

Greg Barnes: You see that having any impact on your schedule on Rico <expletive>.

Greg Barnes: With the.

Greg Barnes: Sort of a change in government I'm not quite sure what's going on.

Greg Barnes: So yeah I mean.

Greg Barnes: So let me try to explain the situation when we when we when we.

Greg Barnes: Initiate the recommencement of our.

Greg Barnes: Recur <expletive> following the arbitration award enjoys with Enron Cod.

Greg Barnes: And and he is the person who actually brought it back into play along with us.

Greg Barnes: And then.

Greg Barnes: That that response, there then the government change to the Sharif government and so, but we signed a framework agreement with Enron's government and and we've signed the final agreement.

Greg Barnes: With Sheriff's government, which was no different there is no change on the principles that were captured in the framework agreement and then we had that whole.

Mark Bristow: And then we had that whole process endorsed by the Supreme Court. So those are the three legs of government. And, you know, a lot of people. It's an interesting political situation in Pakistan because, you know, there was a lot of speculation about what would happen at the elections. And unlike many other emerging markets, everyone was encouraged to go and vote. And they did. So no one tried to boycott the elections.

Greg Barnes: Protests endorsed by the Supreme Court. So those are the three sort of legs of government and and you know a lot of people. It is its an interesting political situation in Pakistan, because there was a lot of speculation about what would happen in elections.

Greg Barnes: And unlike many other emerging markets, everyone was encouraged to go and vote.

Greg Barnes: And they did so knowing tried a boycott the elections and the outcome was what's interesting in that it was you know it's sort of almost it was almost perfectly balanced about amongst the three big.

Mark Bristow: And the outcome was interesting in that it was, you know, sort of almost, it was almost perfectly balanced amongst the three big political entities, for want of a better word. So now, as you can imagine, there's lots of energy being put into trying to pull the government. And the key is that Whichever coalition forms, and it has to be a coalition, whatever happens, and whichever government arises from this process, any government that's formed will have a very strong opposition.

Greg Barnes: Political.

Greg Barnes:

Greg Barnes: Okay entities, two one for want of a bit of wood.

Greg Barnes: So now the as you can imagine there's lots of energy being put into.

Greg Barnes: Try to form a government.

And the and the key is that.

Greg Barnes: Whichever coalition forms and it has to be a coalition whatever happens and whichever government is it is a.

Greg Barnes: Arises from this process.

Any government that's formed will have a very strong position.

Mark Bristow: As far as REC-A-DECT goes, there's bipartisan support for that project, and we've never been partisan in anything we do. It's a bad... Bad Strategy and Emerging Markets We are working; we are continuing as usual. Some of the best progress that we have shown, and this is across the board, has been with our partners, local social programs, investment, and working with the community. So right now, as it stands, not only is it the federal government, but also the provinces are voting, and there are expected to be new chief ministers, which is essentially the provincial head of government, which is important for mining because a lot of the legislation is within the province rather than at the center.

Greg Barnes: As far as Richard It goes there's a bipartisan support for that project in and we've never been partisan and anything we do it.

Greg Barnes: Ed.

Bad strategy in emerging market. So yeah. We are working we continue as usual.

Greg Barnes: What some of the best progress that we've shown and it's across the board, but has been without them.

Greg Barnes: Local social programs and investment in working with the community. So.

Greg Barnes: Now as it stands and and you know the that.

Greg Barnes: Not only is it the federal government, but also the provinces of voting and Theres, new expected new chief.

Greg Barnes: Chief Ministers, which as I say in Chile the provincial.

Greg Barnes: Government, which is important for mining because a lot of the distillation. This is within the province, rather than at the center. So.

Mark Bristow: You know, right now, we'll continue as we do in most other countries. The second question is around Nevada, and you can see in the final chart that there is a pickup in 25. Is there a broader turnaround happening there, Mark, or is that just gold rush finally kicking in? No, there's, you know, the Nevada team is now really starting to make progress, and, you know, we put a lot of effort in there. It was a big merger with two very distinct cultures. And then we had COVID.

Speaker Change: Yeah right now we'll continue as we do in most other countries.

Speaker Change: Second question is around Nevada, and you can see in the final chart. There was a pick up in 'twenty five is there a broader turnaround happening that mark or is that just gold rush finally kicking in no. There's a you know the Nevada team is now.

Speaker Change: Really starting to.

Speaker Change: Make progress and you know we've put a lot of effort in there it was a big merger.

Speaker Change: With two very distinct cultures.

Speaker Change: And then we had Covid and then you had this this big turnover that we saw right across the United States economy, where an analyst and effectively what people refer to as skills shortage.

Mark Bristow: And then you have this big turnover that we saw right across the United States economy, and effectively what people refer to as a skills shortage. And we really had to invest in, and then you had the lithium miners or promoters, and we're the biggest miner in the US, so we're a supplier of people to any promotional effort. But we've brought that turnover down materially in Nevada. We've got a new management team. It's much more caring because that's the way we are.

Speaker Change: And we really had to invest in and then you had the lithium mine as promoters and you know and we're the biggest monitor in the U S. So we're a supplier of people to any promotional effort.

Speaker Change: But we've brought that turned out of a down materially in Nevada, We've got a new management team, it's much more caring who because that's the way. We are you know it might be tough on standards, but were soft on people.

Mark Bristow: We might be tough on standards, but we're soft on people. And I'll just give you some examples. If you look at the roasters' performance in the last two quarters of last year, back to where we had them right in the beginning, and the Gold Quarry roaster, which we've had to spend a lot of time and money on, really starting to live up to better efficiencies. We've got the final leg in its expansion now in the middle of this year, and then we'll have that 20% increase in throughput. And we've spent a lot of time on the sage mills, the whole sage infrastructure; we are getting that back to where we wanted to be, and that is very core to our... to Turquoise Ridge, which is one of the major high-grade deposits, long-life deposits within the complex. And, actually, I was down there last week, Saturday, this last Saturday, and for me, it was really encouraging how we're We're doing now, in Turquoise Ridge, open-stopping, back-filling, and also cut and full, but on a much larger scale than they used to do it.

Speaker Change: And and and and I'll just give you. Some examples if you look at the rush to performance in the last two quarters of last year back to where we we had them right in the beginning and and the gold Quarry Road show, which we've had to spend a lot of time and money on.

Speaker Change: Really starting to live up to a better efficiencies. We've got the final leg and its expansion are in the middle of this year and then we'll have that locked 20% increase in throughput.

Speaker Change: We've spent a lot of time on.

Speaker Change: On the Sage bowls, the whole sage infrastructure, we were not getting that back to where we wanted to be and that is very core to all.

Speaker Change: To turquoise Ridge, which is one of the major high grade deposits long life deposits within the complex and actually I was down there a lot.

Speaker Change: Last week Saturday last Saturday and and for me. It was really encouraging how are we managing the rock mechanics, and and all the the way we mining and we're doing now and turquoise Ridge open stoping backfill and also cuts in full.

Speaker Change: And bet on a much larger scale than they used to do it and we're doing it safely.

Mark Bristow: And we're doing it safely and very efficiently, so I'm very confident that you'll start seeing those costs come down because it's an 11-gram ore body. And so, you know, it's got a lot going for it, and if we can get that... The autoclave is working, and we've got one more change to do in the flow sheet of the autoclaves in SAGE.

Speaker Change: And it very efficiently. So you know the the the.

Speaker Change: I'm very confident that you'll start seeing those costs come down because it's 11 gram ore body.

Speaker Change: And so you know it's got a lot going for it and if we can get that.

Speaker Change: The archives of working and we've we've we've got one more.

Speaker Change: Big.

Change to do in the flow sheets of the order claims and Sage and what we've done Greg as we've put.

Mark Bristow: And what we've done, Greg, is we've put together... We've formed a team of autoclave experts. Barrick is the biggest operator of autoclaves in the world. And what we've done is we have them all around the world, and we've put a group of process engineers together to look at all our autoclave installations and see how we can really learn from each other and lift the game to best practice. And we've really uncovered some bottlenecks in the SAGE mill where we've been depressurising the autoclaves too frequently, largely around valves, the longevity of valves. And the reason is that we haven't got or we're missing a component of being able to normalize the pressure across the valve when we turn it off and on.

Speaker Change: We've we've we've formed a team of autoclave experts Barrick has the biggest operator of auto claims in the world.

Speaker Change: And what we've done is we've got them all around the world and we've put a group of process engineers together to look at all our autoclave installations and see how we can really learn from each other and lift the game to best practice and.

Speaker Change: We've really uncovered some bottlenecks in the.

Speaker Change: In this age a.

Speaker Change: Will that that we.

We've been in deep.

Speaker Change: Pressurizing, the auto claims to free could be largely around valves. The luxury of a T O valves and the reason is that we haven't we haven't got we missing a component of being able to normalize the pressure across the valve when we turn it off and on.

Speaker Change: And so that's that's a big step forward, which which we just it's not a large expense were just about finished the design because we've got many examples and we'll put that in place and for me. That's a key step forward and we've done a lot you know in in this age and we've got a team working on.

Mark Bristow: And so that's a big step forward, which we just, it's not a large expense. We just about finished the design because we've got many examples, and we'll put that in place. And for me, that's a key step forward.

Mark Bristow: And we've done a lot, you know, in SAGE, and we've got a team now working on process optimization and automation as far as process controls go. And so we're really at the stage where the operators and the management are now up to speed, and the next step is you can use the automation because putting in automation without a competent operating team is not an efficient way to get to increase throughputs. We've got a completely new team in the roasters at Carlin, and again, we are now performing above our KPR, which has been a long time since we did that.

Speaker Change: On process optimization and automation are as far as process control has got and so we're really at the stage, where we where the operators and the management to now up to speed and the next step is you can use the automation because putting in automation without a competent.

Speaker Change: Operating team is not an efficient way to get to increase.

Speaker Change: Throughput and so and we are the same in the.

Speaker Change: We've got a completely new team and roasters.

Speaker Change: Collyn and again, we are now performing at Bob or Al K P off.

Speaker Change: Which has been a long time since we've done that so all around I mean Yo Yo Yo Yo commentary is real and I'm excited about improvements on that what what is dampening our costs at the moment is that.

Mark Bristow: So all around, your commentary is real, and I'm excited about improvements on that. What is dampening our costs at the moment is that we made a decision to bring in some contractors to get ahead of our development because of the double refractory ore which comes from our big high-grade deposit. We're process constrained as far as the roast is, or nearly processed, not quite, because we've improved the efficiency. And so the flexibility in your mind, this is a big mine, it should have flexibility. It's a big mining complex, you know, when you're producing 3.3 million ounces a year, you shouldn't be worried about catching up 1000 ounces or 2000 ounces here and there. And so...

Speaker Change: We made a decision to bring in some contractors to get ahead of our development because.

On the double refractory ore, which comes from a big high grade deposits.

Speaker Change: We protests constrained as far as the rest of it all or nearly proceeds so not quite because we've improved the efficiency.

And so the flexibility in your mind and this is a big mine that should have flexibility. It's a big mining complex you know when you're producing three 3 million ounces a year you shouldn't be worried about catching up a thousand ounces 2000 ounces held in there.

Speaker Change: And so.

Mark Bristow: So, but what we found is that we were, through a lack of flexibility underground, because we're moving the whole business underground, is that our development, and you know this better than anyone, you get behind on development, you constrain your mining flexibility, and then you've got problems, because you can't deal with a fall of ground or a sort of operational issue. So in all our underground mines, we've brought in contractors to just help the team get ahead, and it'll be a 12 to 18 month program. And that does impact the costs because it's an extra cost. And then we'll take it back from the contractors in the fullness of time. So all around, Nevada is in a better spot, and I, you know, I think you'll see, and last year we had a bad start, but we, we, and we increased our performance every quarter. We didn't quite catch up, but we did, and that will continue in this...

Speaker Change: So, but what we found is that we were.

Speaker Change: Through lack of flexibility underground because removing the whole business underground is that odd development and you know this better than anyone you get behind on development you constrain your mining flexibility and then you've got problems because you've caught deal with a fall of ground all yeah.

Speaker Change: Sort of operational issue, so we and all the underground mines we've.

Speaker Change: We brought in contract as to just help the team get ahead and it'll be a 12 to 18 months program and that does impact the costs because it's an extra cost.

Speaker Change: And they will take it back.

Speaker Change: From the contractors and in the fullness of time, so all around in Nevada is in a better spot.

Speaker Change: You know I think you'll see that last year.

Speaker Change: We had a bad start.

We didn't.

Speaker Change: We didn't we.

Speaker Change: We increased our performance every quarter.

We didn't quite catch up, but we did and that will continue in this.

Mark Bristow: This year you'll see the performance improve through the year, and, you know, as I said last year, we're largely complete with the merger challenges. It's now about... You know, focusing on efficiencies and delivery. Excuse me, Lawson Winder from Bank of America.

Speaker Change: Yeah, you'll see the performance improve through the through the year end.

Speaker Change:

Speaker Change: And I believe that we are building and as I said last year, we largely complete with a merger challenges it's now about.

Speaker Change: You know focusing on efficiencies in delivery.

Speaker Change: Hi, Mark.

Speaker Change: Excuse me Lawson Winder from Bank of America. Thank you very much for the presentation today.

Speaker Change:

Lawson Winder: I love this chart that you have up of the five-year production and gold cost forecast, and in particular the cash costs. Effectively, this chart is showing your all-in sustaining cost declining from the $1,300 range down to the $1,200 range. And my question would be, I mean, is Barrick's objective over the next five years to move from $1,300 per ounce for reserves and for planning to $1,200 per ounce in five years? And then, as a follow-up, I would ask what inflation assumptions are built in here for 2024 and then 2025 to 2028.

Lawson Winder: I Love. This chart that you have up to five year production and gold costs forecast and in particularly the the cash cost effectively. This chart is showing your all in sustaining cost declining from the 1300 dollar range down to the 1200 dollar range and my question would be I mean, it is barrick's objective over the next five years to move.

Lawson Winder: From the $1300 per ounce. It you used today for reserves and for planning to $1200 per ounce in five years, and then as a follow up I would ask you know what inflation assumptions are built in here for 24, and then and then 25 to 2028.

Mark Bristow: So the all-in sustaining costs come down to a thousand, just to correct you. [inaudible] And so you can see the flat year on year. I'll let Graham comment on the way we manage our inputs into this model, but that's exactly right, and the point here is that, you know, there are, and not to tell you how to do your work. But no one ever looks at grade; some, I think some analysts do, but a lot of people don't; they just look at the cost. And this industry is high-grading, and when you look at Barrick's grade, it's not high-grading at all. Our grades in the next five years are almost flat. And so we manage. Optimization of our old bodies

Speaker Change: The all in sustaining costs come down to a thousand just to correct you. So.

Speaker Change:

Speaker Change: And that would use them.

So you can see the flat.

Speaker Change: Year on year.

Speaker Change: I'll, let Graham comment on the way, we manage our on our inputs on the on this model, but that's exactly right and the point here is that you know there's.

Speaker Change: Uh huh.

Speaker Change: And not to to tell you how to do your work.

Graham: But no one ever looks at great. Some I think some analysts do but a lot of people does they just look at the cost.

Graham: And this industry is high grading.

Graham: And when you look at Barrick's, great. It's a great. It's not talk riding at all our grades in the next five years off of all all much flat.

Graham: And and so we manage.

Graham: Optimization of our ore bodies.

Mark Bristow: And sure, there are times when we sort of look a little different from the market, but that's why we put these charts up, and we're not different from the market. We have some cost drivers, and let me tell you what they are. The first one is PV, and PV is a low-cost operator.

Graham: Sure they are.

Graham: When we sort of look a little different to the market, but that's why we put these these charts up and.

Graham: And we're not different to the market we have some cost drivers and let me tell you what they are in there.

Graham: The first one is P V and PV is a low cost operator, so even with its current challenges of 'twenty 'twenty. Four is gonna be you know one of our lowest cost mines, but it's going to come down even further.

Mark Bristow: So even with its current challenges, 2024 is going to be one of our lowest-cost mines, but it's going to come down even further as we steady out at above 800,000 ounces. Gold Rush. We're now focused on development, which we haven't been able to do for the last..., three years. And that comes with costs. So the gold rush. Cost profile is higher in these next two years as we ramp up and put the infrastructure and get the ventilation up to standard and things like that, which is, you know, that's the big challenge there and then Paul Graa sits at $1,900 an ounce in this model because it's a ramp up. And so, you know, that's not what it's long.

Graham: As we stated out at above 800000 ounces.

Gold rush.

Graham: We're now focused on development.

Graham: Which we haven't been able to do for the loss.

Graham: Three years and.

Graham: And that comes with costs, so the gold rush.

Graham: The cost profile is higher and these next two years as we ramp up the end and put the infrastructure in and get to the the ventilation up to standard and things like that which as you know that's the Big Challenge There and then Paul graph sits at.

Graham: <unk> hundred dollars an ounce in this model.

Graham: Because it's a ramp up.

Graham: And and so you know that's not what it's long. It's also a low cost producer. So so those are the drivers and Colin has.

Mark Bristow: It's also a low-cost producer. So those are the drivers. And Carlin has, you know, we had the crossroads challenge where we had a large chunk of what we had modeled as high-grade that was faltered out. So we need to work that through and get those costs down because the way that Carlin was structured and it's a, it's a big ship. So it's, it takes a bit of time to turn. But again, we're on it, and you'll see Carlin's grades are sort of. 4.3, 4.4.

Graham: You know we had the crossroads challenge, where we where we had a large chunk of that what we had modeled as high grade that was faulted out so we need to work that through and get those costs down because the way that Colin was structured and so it's a big ship. So it's it takes a bit of.

Graham: Time to turn.

But again, we're on on it and you'll see collyn grades are sort of.

A full 0.3 or four point forward, so high grade and it's got open pits embedded in that.

Mark Bristow: So, high-grade, and it's got open pits embedded in that. So there's nothing here that... Well, let me rephrase it, we can explain these costs, and they're not systemic in our operating costs. They're driven by specifics. Decisions in a Vain.

Graham:

Graham: So you know there's nothing how that's.

Speaker Change: That Oh, well, let me rephrase it.

Speaker Change: We can explain these costs and they're not systemic and now operation operating costs. They are driven by specific.

Speaker Change: Zen events.

Graham: Do you want to explain the assumptions? Yeah, sure. So the key thing here, Lawson, is energy. You know, we always say that around 20 percent of our costs are energy directly, but indirectly, when you look at energy in terms of the way it impacts our reagents and other consumables, in terms of the way it impacts the supply chain, and knock-on costs on just our suppliers and their input costs, it's probably more like 50 percent when you look at the real impact of energy across the group So that's always going to be a key driver. We were using $85 Brent as our assumption for this year, so that's pretty close to a spot price, I think it's about $82 at the moment, and that's a little higher than what the average was for 2023.

Speaker Change: Do you want to explain the assumptions yeah sure two and the key thing here loosen as the as always with the cause is energy.

Speaker Change: You know, we always say that around 20% of our cost is energy directly but indirectly when you look at energy in terms of the way it impacts on our reagents and other consumables in terms of the way it impacts of supply chain.

Speaker Change: And knock on costs on just on suppliers and their input.

Of course, it's probably more like 50% when you look at the real impact of energy across the group.

Speaker Change: So that's always going to be a key driver we were using $85. Brent is our assumption for this year. So that's pretty close to sports I think sports at about 82 at the moment and that's a little higher than that.

Speaker Change: And then what the average was for 2023.

Graham: But, you know, we're looking at where it is today. In the long term, we bring that down to about $75 for our long-term planning beyond 2024. And the other key area of input price pressure is on labor.

Speaker Change: But you know we were looking at where it is today longtime we bring that down to about $75 for a long term planning beyond 2024.

The other key area of of input price pressures on labor.

Graham: So labor makes up around 35 to 40 percent of our direct costs, and there we're seeing inflationary pressure year-on-year of around four percent. So that has a small impact on costs. Other than that, most of the other input costs are, you know, relatively similar to 2023. And, you know, we were able to bring down a lot of the costs in 2023 compared to 2022. There are some areas where it's still sticky, particularly regionally in North America, things like cement, slime, explosives, and steel.

Speaker Change: So labor makes up around 35% to 40% to about dairy costs.

Speaker Change: And there we are seeing an inflationary pressure year on year of around 4%.

Speaker Change: So that has a small impact on costs.

Speaker Change: Other than that most of the other input costs are you know relatively.

Relatively similar to 2023 and we were able to bring down.

Speaker Change: A lot of the costs in 2023 compared to 2022.

There are some areas, where it's too sticky, particularly regionally in North America things like cement lime explosives steel them, they still have a little bit of.

Graham: There's still a little bit of inflationary pressure in those areas which we're working on to bring down, but, you know, we've made a lot of progress. So, those are the key drivers. Just in terms of your first question, which was really about... You know, are we planning to reduce our long-term planning price? The answer to that is no.

Speaker Change: And inflationary pressure in those areas, which we're working on to bring down but you know we've made we've made a lot of progress.

Speaker Change: It's really those are those are the key drivers.

Speaker Change: Just in terms of your first question, which was really about you know are we planning to reduce our long term planning process centers no.

Graham: The $1,300 is where we'll continue to plan. As we've said in the past, we always look at input costs, and that's what we use for determining our long-term planning prices, and those are certainly not going lower. So $1,300 is where we'll be. It's just we'll make a lot more money, and we'll lock in that profitability. Mark, thanks. This is Ralph Profitti from A

Speaker Change: And the <unk> hundred is we will continue to to.

Speaker Change: The plan is.

Speaker Change: As we sit in the past, we always look at input costs and that's what we use for determining our long term planning process and those are certainly not going lower so 1300. Its way will be it's just will make a lot more money and then we will look at that profitability.

Speaker Change: Hum.

Speaker Change: Okay.

Speaker Change: Sure.

Speaker Change: Okay.

Speaker Change: Mark. Thanks, This is Ralph <unk> from eight capital.

Ralph Profitti: You spent some time talking about Nevada gold mines. I wanted to address reserve replacement, where you've done a lot of work on this sort of five-year plan. Do you think you're in a position to have enough data and an outlook that year-over-year reserve replacement will be consistent at a similar grade, or is the profile going to look a little bit more latent, where operating mines diminish, and some of these more towards the later end of that guidance period we see the pickup? So we're not modeling it, you know; we had a budgeted 50% replacement in Nevada this year, or North America, and we beat that replacement just because we were more efficient without drilling.

Ralph: Spent some time talking about our Nevada gold mines I wanted to address the reserve replacement, where you where you've done a lot of work on this sort of five year plan.

Ralph: Do you think you'll be in a position to have enough data and outlook that year over year reserve replacement.

Ralph: We'll be consistent at the similar grade ore, whereas the profile going to look a little bit more latent where you know operating mines are diminishing some of these more towards the later end of that guidance period, we see the pick up.

Ralph: So we are not modeling it to you know, we we had budgeted.

Ralph: 50% replacement in Nevada, This year North America.

Ralph: And we beat that replacement cost because we were.

Ralph: More efficient without drilling.

Mark Bristow: But as we go into the next five years, it is still lumpy because, in Nevada, a lot of our reserves are underground. So we build a resource inventory, and then there's a conversion behind that. But we're now, as I pointed out, able to point to you a five-year program. In those five years, in Nevada, we'll replace all the gold we mine. So the inventory is a lot more reliable,

Ralph:

Ralph: But when we as we go into the next five years. It is still a lumpy because Nevada a lot of our reserves are underground so we bold.

Ralph: Resource inventory and then there's a conversion behind that but we're not as I pointed out able to point to a five year program over those five years in Nevada will replace.

Ralph: All the the gold we mine so.

Ralph: So it's in the inventory is a lot more reliable you know them.

Mark Bristow: And then we move it through, you know, inferred, indicated, and measured. And that model is, and a lot, you know, like Leval, has been a process, a work in progress. But, and the key here is the reason we can shift some of our capital to more greenfield targets, is that we, now, in that systematic way, have caught up with the drilling. And we, well, we are catching up, because this year is quite a big expense on drilling. And with the development getting ahead, we can cover the reserves and the grade control confidence because that's all a part of, you know, good underground mining practice. But we've been able to reallocate some of that budget to more greenfield targets, and we've got a lot.

Ralph: And then we move it through you know.

Ralph: And third indicated an and and and measured and that model is and a lot. You know lock level has been approached our work in process, but and that's.

Ralph: The key is the reason we can shift some of our capital to more Greenfields Tavis.

Ralph: We know that systematic we've caught up with the drilling.

Ralph: And we will we are catching up because this year, it's quite a big expense so I'm drilling.

Ralph: And and what's the development getting ahead, we can cover the the the reserves and the and the grade control confidence because that's all a part of and you know go down underground mining practice.

Ralph: But we've been able to relocate reallocate some of that.

Ralph: Budget to more Greenfield targets and we've got a lot we have a number of great Greenfield targets and this is no when you look at full mile.

Mark Bristow: We have a number of greenfields targets and this is, now when you look at four mile and you look at the way we've managed that. That is exactly one mile away from Cortez, and it's a multi-million ounce, you know, it's 14 million ounces and gold ration is substantially more and it's.., and it's higher grade because we go into breccias from more flatter sort of planar ore bodies because we go into a big brittle halo around an intrusive so the rock is behaving differently and it gives those really chunky grades you know breccia shaped ore bodies so and and the question is how many more of those are there and I'll give you an example we shared with you at drill hall last quarter in the Mega Pit in Turquoise Ridge, and the old Twin Creeks. We drilled a hole down there. The Megapit is the only Tier 1 ore body in the Carlin area, the whole Carlin region, where no one's ever found the feeder.

Ralph: And you look at the the way we manage that.

Ralph: That is exactly one mile away from Cortez.

Ralph: And it's a multi million out and see how this 14 million ounces in gold rush and there's substantially more and its and its higher grade because we go into branches from more flat are sort of playing a.

Ralph: Oh bodies, because we got into a big brittle hailer around an intrusive. So the rock is behaving differently and it gives us really chunky grades.

Ralph: Bridget shape, Oh bodies, so and the question is how many more of those all day and.

Ralph: And I'll give you. An example, we shared with you a drill hole last quarter.

Ralph: In the Mega put in turquoise ridge.

Ralph: The old twin creeks.

Ralph: Drilled a hole down there the Mega pet is the only tier one ore body in the call an area the whole car region, where did where no one's ever found the feeder and we know the fee. There's all the ones that really deliver the value.

Mark Bristow: And we know the feeders are the ones that really deliver the value in the Carlin system. And so we drilled that hole that was significant, you know, 70 meters at ore grade grade. And so we are slowly... getting enough data to vector in just to really test that concept. So we've got the whole Little Boulder Basin, we've got the north and southern extensions now of the Turquoise Ridge underground mine. We're back and looking at Getchell because of our confidence in being able to manage the rock mechanics. You know, I have rock mechanics everywhere. When we got there, there were none.

Ralph: And then Colin system and so we drove that Hollywood was significant 70 meters at Oh grade grade.

Ralph: And so we are slowly.

Getting enough data to Victor and just to to really test that concept. So we've got that we've got the whole.

Ralph: Little Boulder Basin, we've got the north and southern extensions of the Turquoise Ridge underground mine, we went back and looking at getchell because oh.

Ralph: Our confidence in being able to manage the rock mechanics.

Ralph: Have rock mechanics everywhere.

Ralph: When we got there they want and whatnot.

Mark Bristow: And so our underground controls and being able to mine safely without, you know, really getting impacted by poor ground conditions gives us much more confidence to go back into Getchell. And then we've got an extension further north than the Lievel, what we call the Greater Lievel. The geologists have come up with like four different names.

Ralph: So underground.

<unk> controls and and being able to mine safely without.

Ralph: Ready getting impacted by poor ground conditions.

Ralph: Gives us much more.

Ralph: Confidence to go back into Getchell, and then we've got there's an extension further north in the level, what we call a greater level. The measure the jaws just come up with like four different names, but you know it's it's in my mind, it's the greater legal area and then north of that we've got.

Mark Bristow: But, you know, in my mind, it's the greater legal area. And then north of that, we've got another new target that we've shared. It's on the map and, and then, you know, trying to model the... the gold rush four-mile trend, because it's another call-in trend, and look for duplications, structural duplications is the big focus of our team now. So I said to the geology team, and again, when we got there, there were no, you know, exploration was like its own silo, and there was no MRM.

Ralph: Another new target that we've.

Ralph: Sure it's on the map and.

Ralph: And and and then you know trying to model the.

Ralph: The the gold rush full mile trained because it's another call and trained.

Ralph: And and and and look for duplications structural duplicate duplications is the big focus on our team now so I'd say to that.

Ralph: The geology team and again when we got there there were no.

Ralph: Exploration Osaka.

Ralph: Its own solar and there was no M O M.

Mark Bristow: And today we've got an integrated team that really understands what it's doing, and I challenge them to drill, I said, like 15% of your budget needs to be drill holes where there's no other drill holes within three miles. And they said, look, we've got, like, 40% of that. We're already there ahead of what I was pushing. So I think there's real opportunity, and then there's more opportunity outside the joint venture area as well in Nevada that we can chase. Hi Mark.

Ralph: And today, we've got an integrated team that really understands what it's doing and and I challenge them to drill I'll say it like 15% of your budget needs to be drill holes, where there's no other drill holes within three miles.

Ralph: And they said look we are we've got like 40%.

That was already there ahead of what I was pushing so yeah, I think there's real opportunity and then there's more opportunity outside of the joint venture area as well in Nevada that we were chasing.

Ear: Hi, Mark it's an ear from CIBC.

Anita Soni: It's Anita from CIBC. A couple of quick questions. The first one, just on Kabali. I think you guys said sorry, it was Lulu that had a pit wall failure.

Mark Bristow: A couple of quick questions. The first one just on Kibali I think he said you guys sorry, with Lulu that had a pit wall failure is that cleaned up now.

Mark Bristow: Is that cleaned up now or is that, so it shouldn't impact grades going into this year? No, no. I mean, it's impacting the profile because, you know, we're still putting the ramp down, but we knew it would slide. We just didn't expect it to go all the way to the bottom.

Mark Bristow: Shouldn't impact grade going into this year no no that's right I mean, it's a.

Impacting the profile because you know, we've we've still putting the ramp down but it's no. We knew it would slide we just didn't expect it to go all the way to the bottom.

Mark Bristow: I mean, we, you know, as you know, in open pit mining, we monitor pit walls all the time, and from time to time, they do fail. And it's best that you know about it so that no one gets injured. And we've got very focused controls on pit wall stability, so we see it coming. Okay. And then, secondly, I was going to ask about Four Mile, and you went into that a little bit.

Mark Bristow: I mean, we you know as you know in an open pit mining we monitor that.

Mark Bristow: Rolls all the time and from time to time, they do fail and it's best that you know about it so that no one gets injured and we've got very focused controls on football stability. So we see it coming okay. And then secondly, I was going to ask about four mile and you went into that a little bit but could you just.

Anita Soni: But could you just give us an idea of how much of Four Mile is in the resource, and what would be expected to be included in the PFS, in terms of, like, the base of what you'd be working with? So let me just answer the first question differently, and that is, Four Mile is now just starting to come into our 10-year plan because we've rolled it forward a year. So, just for your information.

Mark Bristow: It gives us an idea of how much of a four mile is in the resource and what would be do you expect what would be expected to be included in the PFS in terms of like the b. So you'd be working with so let me just answer the first one differently and that is for modest is now just starting to come in.

Mark Bristow: Two our 10 year plan, because we rolled it for the so just for your information and and as you know under the deal we can put full mile to.

Mark Bristow: And as you know, under the deal, we can put four-mile to a new mine. As our partner, if we get a feasibility study and it meets certain criteria, and Newmont needs to pay up or dilute. That's the agreement we have.

Mark Bristow: To newmont.

Mark Bristow: Hum.

Mark Bristow: Our partner.

Mark Bristow: If we get a feasibility study and that meet certain criteria and newmont needs to pay up or dilute that's the agreement we have.

Mark Bristow: I mean, you know, we have a good relationship with Newmont at the Nevada joint venture level. And, you know, our view is that we need to continue to show prospectivity. And I think currently the reserves are, I can't recall, about 3 million ounces. Simon, do you want to take Anita through that?

Mark Bristow: The I mean, you know we have a good relationship with newmont at the Nevada joint venture level and and you know our view is that we need to continue to show prospectively and I think currently the reserves are called recall about 3 million ounces.

Mark Bristow: Southern do you want to take it through that.

Simon: Currently, we've got 2.7 million ounces in inferred, and we've got a small amount in indicator. The resource base that we're expecting to define by the end of this year will support the initial pre-feasibility study. That pre-feasibility study we see being the first of several incremental studies as we continue to expand the ore body because through the course of this year, as well as defining the resource base, we'll still be defining significant additional inventory, which we expect to outline the growth of Formol through the next 10 years. Follow up on that, so 2.7 million ounces of inferred will be the base, and what grade is that at? No, those are our current resources. So, by the end of this year, you'll... What's the grade?

Southern: Oh yeah.

Southern: Currently we're worried about.

Southern: 7 million ounces and in fact I'm going to go.

Southern: Small amount okay.

Southern: So the reasonable spike that we're expecting to define by the end of this year.

Southern: We'll support initial pre feasibility studies.

Southern: That pre feasibility study, we see being the faster.

Southern: Incremental studies as we continue to expand in the ore body because through the course of this year as well as defining the resource base will still be defining significant additional inventory, which we expect to outline the group's a formal through the next 10 years.

Southern: Yeah.

Southern: On that so 2.7 million ounces of inferred would be the base and what grades at that.

Southern: No that that's our current resources.

Southern: Yeah.

Speaker Change: What's the grade.

Simon: So, with 10 grand. Okay. All right. That's good. Thank you. That's it for my questions. Hi, I think I'm up. It's Jackie Przybylowski at BMO.

Speaker Change: Graham.

Graham: Okay. Okay, alright, that's good. Thank you that's it for my questions.

Graham: Okay.

Graham: Hum.

Graham: I think I think I'm not I can't keep prices landscape BMO. Thanks, very much Mark and I just had another question about four miles. So hope you don't mind.

Jackie Przybylowski: Thanks very much, Mark. I just had another question about four miles, so I hope you don't mind. You mentioned in the MD&A that you're considering a service portal to decouple the project from Gold Rush, and then I think the wording you used is but to ultimately complement the Gold Rush development. Can you talk a little bit about what that means? Would you consider keeping it outside of the joint venture, or is this still within the joint venture, just operating separately but processed through the same mill and infrastructure? Is that sort of what you mean? Well, I'll answer that. I'm clearly scared of what I'm going to say.

Graham: You you mentioned in the MD&A that you're considering a surface portal to decouple. The project from Gold Rush and then you and then I think the wording he uses but ultimately complement the gold rush development can you talk a little bit about what that means would you consider keeping it outside of the joint venture or is it still within the joint venture just operating separately, but.

Graham: Processed through through the same millen and infrastructures that sort of what you mean.

Speaker Change: Well I'll answer that so [laughter].

Speaker Change: Grabs clearly scared of whatever they say [laughter].

Mark Bristow: So there's a process that I just touched on to get it into the joint venture, and we've got to demonstrate viability. But at the same time, there are always negotiable options as we do it. But the key is, when you look at Gold Rush, it's not optimal access because we access it on the twin declines and they come out on the hill, and then you've got to get the ore to the processing facility. So what we're looking at is there are two other accesses. The one that's the most attractive is the northern access, which is a six-kilometer drive, but it brings out the ore in the valley close to the processing facility.

Speaker Change: There's a process in there that I just touched on to get it into the joint venture and and we've got to demonstrate viability at the same time, there's always no gotcha negotiable options as as we do it.

Speaker Change: But the key is when you look at gold rush.

Speaker Change: It's not the optimal access.

Speaker Change: We access it on the twin declines and they come out on the Hill and then you got to get the ore to the processing facility.

Speaker Change: What we were looking at is is there's two other axis is the one that's the most attractive is the northern access which is a six kilometer drive but it brings out the or in the valley close to the processing facility. So that makes.

Mark Bristow: So that makes good sense in just logistics. At the same time, if you drive a drive through that stock, you open up the entire area for infill drilling, and it'll be easy to move it because trying to bank all these ore bodies from the surface is a very expensive exercise. And just to give you an idea, if you just take the section from Rose to Sophia... and we can access that through the twin drives from Gold Rush, and the intention is to do that. Under our agreement, we can use Nevada joint venture infrastructure. So we can actually say that if you drooled out that area, you'd save about $500 million. So that's the difference between trying to drill closed-space holes from the surface.

Speaker Change: Good sense on just logistics at the same time, if you if.

Speaker Change: If you drive a drive.

Speaker Change: Through that struck.

Speaker Change: You opened up the entire area for infill drilling and it'll be easy easy to move it from cause try to Bang thing is all these ore bodies.

Speaker Change: <unk> from the surface is a very expensive exercise.

Speaker Change: But just to give you an idea of if you just take it.

Speaker Change: The section from rose to Sofia.

Speaker Change: And we can access that through the twin.

Speaker Change: Drives from gold rush and their intention is to do that.

Speaker Change: The agreement we can use.

Speaker Change: Nevada joint venture infrastructure.

Speaker Change: So we can access that that that would be drilled out that area, where you would save about $500 million.

Speaker Change: So that's the difference in trying to grow [laughter] close spaced holes.

Mark Bristow: So, where we are going with Simon is show the viability and the pre-feasibility. And then the question that we've got to decide is, do we take part of this, or all of this, or, you know, feasibility and pass the test? Or do we sit down with Newmont and structure a more reasonable way of bringing this asset, which is absolutely critical for the long-term profile of Nevada gold mines, in some form? We've had very high-level conversations about the concept, but we haven't engaged in any formal discussion. But from our point of view, it's very important for us to demonstrate to our shareholders the value of this world-class asset, and so we've allocated part of our global exploration budget to doing this work this year, and it's a three-year program to get this done. And just to be crystal clear, Jackie, the intention would always be that this would come into the joint venture. So that's not what we're saying. We're just saying we could access it from a separate entrance. No, I appreciate that.

Speaker Change: On the surface.

Speaker Change: So that so where are we going with salmon is what we want to do is is she.

Speaker Change: The viability and the pre feasibility and then the question that we've got to decide do we take part of this so all of this so.

Speaker Change: No to feasibility and and and and pass the test.

Speaker Change: Or do we sit down with newmont, and and and structure a more reasonable way of bringing this assay, which is absolutely critical for the long term profile of of Nevada Gold mines, and some fault, but yeah, we've had very high level conversations.

Speaker Change: The concept, but were not we havent.

Speaker Change: We haven't.

Speaker Change: <unk> engaged in any formal discussions.

Speaker Change: But the but from our point of view.

Speaker Change: It's very important for us to demonstrate to our shareholders the value of this world class assets and so.

Speaker Change: And we've allocated part of a.

Speaker Change: Global exploration Budd.

Speaker Change: Budget too.

Speaker Change: Doing this work this year and it's a three year program.

Speaker Change: To get this done.

And just to be Crystal clear Jackie.

Speaker Change: Tension would always be that it would come into the joint venture. So that's not what we're saying which is saying.

Jackie: Could access it from a separate exercise no I appreciate that thank you and one other question on a different topic. If you don't mind walking us through maybe the process of restarting Parker I just some modeling help I would expect as the year goes on and there'll be more and more ramped up but if you could maybe give us some color in terms of like what Q1 might look like would be helpful. Thank you.

Jackie Przybylowski: Thank you. And one other question on a different topic. If you don't mind walking us through maybe the process of restarting PORGRA, just some modeling help.

Mark Bristow: I would expect as the year goes on, they'll be more and more ramped up. But if you could maybe give us some color in terms of like what Q1 might look like, it would be helpful. Thank you.

Speaker Change: You know this is tough and you're getting for Jackie.

Speaker Change: [laughter] so.

Mark Bristow: So, um... So we've got 60,000 ounces in our guidance attributable this year. I think we've spent a bit of time with all of you explaining to you that, you know, what we start doing as soon as we start generating revenues, even at these high costs, we start paying back our care and maintenance costs. So we sweep all the non-landowner equity that we don't own to start repaying.

Speaker Change: So we got to 60000 ounces and our guidance attributable over this year.

Speaker Change: I think that the that we've spent a bit of time with all of you on on explaining to you that you know we what we do start doing as soon as we start generating revenues even at these higher costs, we stopped paying back off care and maintenance costs. So we sweep will.

Speaker Change: The non land other than our equity that we don't own.

Speaker Change: To start repaying so the cash flow to start moving fairly quickly.

Mark Bristow: So the cash flows start moving fairly quickly. I'll give you the hurdles, and by the end of this quarter, we'll have a better sort of, better granularity for you. So we've commissioned the plants now, and we've run non-gold material through them, and we're now starting to gear up to put gold-contained material into the process applied. It won't be our best, but we can do that and produce gold with certain oxide material, but So that's the next step, and right now, we've just deployed and secured a helicopter that can work with our team to erect the... I think there are three or four power pylons that have been toppled to put them back in place.

Speaker Change: I'll give you the hurdles and by the end of this quarter, we'll have a better.

Speaker Change: <unk> sort of been granted granularity for you, but the so the we've we've with commissioned the plant.

Speaker Change: And with Rotten Norton Gold.

Speaker Change: Payroll through it and the eye.

Speaker Change: We're now starting to gear up to put cold.

Speaker Change: Contain material into the process very black and white would be our best.

Speaker Change: And and we can do that and produce gold with certain so oxide material, but do we need the the power supply to switch on the order types.

Speaker Change: So that's the next step and right now we've just deployed a we just secured a helicopter which can work with our team to erect a.

Speaker Change: I think there are three or four of them.

Speaker Change: Pylons that all have been toppled to put them back in place and we are working with the community and the the Halo Governor, which is a different province to where we operate to make sure we secure.

Mark Bristow: And we are working with the community and the Hela Governor, which is a different province to where we operate, to make sure we secure the gas-fired power supply to the mine because we need that to be able to run the mine properly. And that's all built into this year's ramp-up. So I think by the end of the quarter, we'll have a much better outlook for you on the granularity of where we go. Yeah, I just say it's very much a second half of the year profile, Jackie.

Speaker Change: The gas fired power supply to the mine, because we need that to be able to run the mine property.

Speaker Change: And that's all built into this she is a ramp up so I think by the end of the quarter. We will have a much better outlook for you that on the granularity of where we go.

I'd just say, it's very much a second half of the year.

Mark Bristow: We'll produce some gold in the first half, but it's really about the second half where we expect to produce the majority of that guidance that Mark spoke about. And I mean, we're well on track. We've done better than we expected on employing people and ramping up the employment, but we've still got security issues that we're dealing with. I don't know how closely you follow Papua New Guinea, but they had those riots in Port Moresby the other day, and the security capacity of the government is under pressure.

Speaker Change: Jackie we will produce some gold in the first half but.

It's really about just sick.

Half the way, we expect to produce the majority of that God and said Marc spoke about.

Speaker Change: And we I mean, we are well on track we've done better than we expected unemployed people and ramping up the employment, we've still got security issues that we're dealing with.

Speaker Change: I mean, I'm I don't know how close you follow up happened in Guinea, but that those rights in Port Moresby, the other day and the security capacity of the government is under pressure but.

Mark Bristow: But we are working. And the one thing is, everyone appreciates, I mean, after all this, these couple of years, there's no doubt about the importance of Pogra to the economy of Papua New Guinea because it is a very profitable business. So it does deliver real value to the economy. Yes, Martin Pradier from Veritas Investment Research.

Speaker Change: But we all working and and the one thing as everyone appreciates I mean after all this these couple of years, there's no doubt about the importance of poor gras to the economy of Papua New Guinea, because it is a very profitable business.

Speaker Change: So it does deliver real value to the economy.

Speaker Change: Yes, Martin Pradier from Veritas investment research just two questions here, but one that we.

Martin Pradier: Just a question here on Lumuana. We were expecting some cost reduction going forward. I know that costs have been increasing a lot this year. Can you give us more detail on that? So, um... Most definitely, you'll see a short.

Martin Pradier: We're expecting some cost reduction going forward.

Martin Pradier: I know that of course has been increasing a lot this year can.

Martin Pradier: You too.

Martin Pradier: Give us more detail on that.

Martin Pradier: So.

Speaker Change: Most definitely you'll see a fish.

Speaker Change: Short.

Speaker Change: Some reduction in costs for the for the year in our gardens, you'll see it.

Mark Bristow: Some reduction in costs for the year in our gardens; you'll see it. The big focus at the moment is we're still pre-stripping, the 2042 plan, which is the plan before the Superpet. Martin, to your point, the mining costs are critical; the mining efficiencies and mining costs are the real driver of this expansion. So you will see those costs come down as we mobilize those machines and make sure that we start mining the pits so that we can mine efficiently. Simon, do you want to add anything to that?

Speaker Change:

Speaker Change: The big focus at the moment is we still pre stripping.

Speaker Change: The what we call the <unk>.

Speaker Change: Trading at 42 plan, which is the plan b for the Super pit.

Speaker Change: But.

Speaker Change: Martin to your point the mining costs are critical the mining efficiencies and mining costs or the real driver on this expansion. So you won't see those costs come down as we as.

Speaker Change: As we are.

Speaker Change: <unk> does machines and make sure that we stopped mining because the base.

Speaker Change: The.

So that we can mine efficiently.

Simon: Yeah, I would just say you're right. From 2025, there's a big step down in costs as we get those efficiencies. Simon, do you want to comment?

Speaker Change: And you want to add to that yeah, I would just I would just say you're right from 'twenty to 'twenty five is a big step down on costs and as we get those efficiencies.

Speaker Change: Robin do you want to comment.

Robin: Yeah. So I mean, obviously that those efficiencies will come with scale as we expand with the expansion rate. We're currently mining at a annual run rate of about 130 million tonnes will be incrementally over the course of about four to five years stepping up to 250 million tons per annum, so with that step up.

Simon: Yeah, so obviously, those efficiencies also come with scale as we expand. So with the expansion, we're currently mining at an annual run rate of about 130 million tons. We'll be gradually, over the course of about four to five years, stepping up to 250 million tons per annum. So with that step up, obviously, with the scales of the economy, we'll also be shifting to much larger fleets, in line with the new fleet that we've been gradually bringing into Lamarna and just started to come online at the end of last year. That is the answer, so you're right. So, in 2025, should I be thinking that you'd be like 10 or 20% lower in cost, or is that too much to ask? Do you have that number in your head?

Robin: Obviously, where it scales of economy will also be shifting to a much larger fleet.

Robin: Aligned with the new fleet that we've been gradually bringing into the water and just started to come online.

Robin: Yeah.

Speaker Change: So there's the answer so you're right.

Speaker Change: So 2025 should I be thinking that you'd be like 10, or 20% lowering cost or is that too much to us.

Speaker Change: I'm not sure if your sovereign.

Speaker Change: And number in your head that's that's not unreasonable.

Martin Pradier: Check. Right, do you want to move to... Operator, can we move to the people online, please? Certainly, to join the question queue. You may press star, then one, on your telephone keypad.

Speaker Change: Yeah Yeah.

Speaker Change: Okay.

Speaker Change: Yes.

Speaker Change: But I do want to move to operator can we move to the people of law in place.

Speaker Change: Secondly.

Speaker Change: Did you find the question queue.

Speaker Change: You May press Star then one on your telephone keypad, you will hear a tone acknowledging your request.

Operator: You will hear a tone acknowledging your request. If you are using a speakerphone, please pick up your handset before pressing any keys. To withdraw your question, please press star, then two. The first question comes from Daniel Maeser with UBS. Please go ahead. Hi Mark, Graham, can you hear me okay?

Speaker Change: Youre using a speakerphone please pick up your handset before pressing any keys to withdraw your question. Please press Star then two.

Speaker Change: First question comes from Daniel Major UBS. Please go ahead.

Daniel Major: Hi, Marc Greg can you hear me okay.

Daniel Maeser: Yeah, I hear you perfectly. Thanks, Daniel. Very well.

Daniel Major: How it perfectly thanks to very well.

Daniel Maeser: Thanks. Yeah, a couple of questions. Yeah, the first one, a couple are on CapEx. The first one is kind of reasonably simple.

Daniel Major: Yeah, a couple of questions.

Daniel Major: Yes, the first one a couple of Iran. On Capex first one kind of reasonably simple one how much of the guidance.

Daniel Maeser: How much of the guidance within your guidance, sorry, is included for early development spending on Lubana and Recadex? Do you want to answer that? So, um, for... On the record deck, the capital guidance for 2024 is $114 million, on all shares, is that right, please? $280 million for the project. And for Lamona, our capital spend is $100 million. Okay, thanks, very clear. And then just the second one, when I look at the slide on the five-year forecast, you see CapEx coming up to about $3.5 billion. As we head towards the sort of finalisation of the budgets for both kinds of major projects, how are you feeling in terms of the range of CapEx previously given? Obviously, you've seen continued inflation since those estimates were given.

Daniel Major: Within your guidance sorry is included for early development spend on Nevada.

Daniel Major: <unk> and <unk>.

Speaker Change: So to answer that.

Speaker Change: So too.

Speaker Change: Retro <expletive> the capital guidance for 'twenty 'twenty four is $140 million.

Speaker Change: And for insurance right.

Speaker Change: Okay.

Speaker Change: $280 million for the project.

Speaker Change: And for pneumonia or our capital spend is 100 million.

Speaker Change: Okay.

Speaker Change: Okay.

Speaker Change: Great.

Speaker Change: And then just second one on.

When I look at the slide on the 30th forecast you see Capex come out to about $3 5 billion as we head towards the.

Finalization of the budgets for Bose.

Speaker Change: Major projects, how how are you feeling in terms of the range of Capex previously given scene continued inflation since yes. It says estimates so given it is.

Mark Bristow: Are these still the right kind of ballpark, or should we expect the CapEx to edge up from the previous ranges you gave for both Rekordick and Le Moyne? I can answer that. So based on the pre-fees, the numbers are there and thereabouts. But remember, we're moving towards a feasibility study, a proper, you know, design, and so we'll expect to tidy up on those capital estimates towards the end of the year. But right now, we've got no reason to change the numbers. Yeah, that's right.

Speaker Change: Still the right kind of ballpark or should we expect the.

Speaker Change: The capex to edge up from the previous ranges you gave for voice recognition of Nomura.

Speaker Change: So I can answer that so based on the pre fees that numbers are there and thereabouts, but remember we are moving towards feasibility study proper design and so we'll expect to to tidy up on those.

Speaker Change: Capital estimates towards the end of the AR.

Speaker Change: Right now we've got no reason to change the numbers yeah. That's right I mean, I think Don the key is there's a lot of trade off studies going on at the moment. So yeah. As you would imagine that involves potentially putting in more capex, but then getting opex benefits for it and that's what the teams busy with them when they finish that work well.

Graham: I mean, I think, Dan, the key is there are a lot of trade-off studies going on at the moment. So, you know, as you would imagine, that involves potentially putting in more CAPEX but then getting OPEX benefits for it. And that's what the team's busy with.

We'll have to.

Speaker Change: We'll have the updated numbers and with that will come the the operating costs as well, but are we still in the we're still in the same ballpark and and then just just to build on that it's worth noting that Lamont.

Mark Bristow: So when they finish that work, we'll have the updated numbers, and with that will come the operating costs as well. But yeah, we're still in the same ballpark. And Dan, just to build on that, it's worth noting that, you know, Lemoine is going to be one step ahead of Ricodec because it's an expansion. But the same Lacopodium partners are working with both teams.

Speaker Change: Lamont is gonna be one step ahead of Richard <expletive>.

Speaker Change: Because that's an expansion, but the same lack of podium partners are working with both teams. So we're really looking for.

Speaker Change: For you know to lever our purchasing power the way we design things. So you have duplication in design, there's a lot of benefits.

Speaker Change: And and running it's like running a makeup modern development. So we expect to see some efficiencies will benefits of that.

Mark Bristow: So we're really looking for, you know, to lever our purchasing power, the way we design things so that you have duplication in design. There are a lot of benefits to running, it's like running a mega mine development, so we expect to see some efficiencies or benefits of that. Great, thanks. And just one more, if I could.

Speaker Change: Great. Thanks, and just one more if I could just on your reserve assumptions. Some Grammy you mentioned, you're sticking with 1300 on the gold side three Bucks is pretty conservative on the on.

Speaker Change: On the copper front and I know, there's a management team over the years, you've been conservative on the assumptions for good reasons, but.

Daniel Maeser: Just on your reserve assumptions, Graham, you mentioned you're sticking with 1300 on the gold side; three bucks is pretty conservative on the copper front. And I know, as a management team over the years, you've been conservative on these assumptions for good reasons. But is that a number that is going to stay? And if you were to move that higher, would that change in any way the design of your copper expansion?

Speaker Change: Is that a number that is going to stay and if you were to meet that higher with that change in any way the design of your copper expansion.

Speaker Change: So yeah.

I think that and this is a strategy question really.

Speaker Change: And what what you'll find is that.

The the numbers the 1300, particularly if you look at the gold or gold deposits. We've got a few outliers as you've seen in the M D and I, particularly talking about where you've got full capital repayment in your.

Mark Bristow: So, you know, Dan, this is a strategy question really, and what you'll find is that the numbers, the $1300, particularly if you look at our gold deposits, we've got a few outliers, as you've seen in the MD&A, particularly Tongan, where you've got full capital repayment and your sustaining capital is as low as it is in Tongan. We'll adjust it because we don't want to leave any gold in the ground at the end of the mine. But generally, if you look at Barrick's ore bodies... If you change the 1300, all you do is add weight. At a very low grade because the all-body shapes are still within the 1300 envelope, if you understand what I'm saying.

And your sustaining capital is as low as it is in Togo and will adjust our because we don't want to leave any gold in the ground towards the end of the month, but generally if you look at barrick's all bodies.

Speaker Change: If you change the.

Speaker Change: The 1300, all you do is add waste.

Speaker Change: You had very low grade because it is the the ore body shapes are still within the 1300 envelop.

Speaker Change: You follow what I'm, saying.

Speaker Change: And similarly for copper. So you know we we of course will look at marginal opportunities at a higher clip.

Speaker Change: Hum.

Speaker Change: This is as we've always done you know even when we use the $1000 a year old remember well, maybe you want them the big put to bed earlier, we took off the gold price went up to 1800 and 2011 and we took a whole lot of gold it was high.

Mark Bristow: And similarly for copper. So, you know, we, of course, will look at marginal opportunities at higher copper prices, as we've always done, you know, even when we used $1,000, like you all remember, or maybe you won't, the big pit at Yalea. We took our, you know, the gold price went up to $1,800 in 2011, and we took a whole lot of gold. It was high grade but had low recoveries, and we took it because we could push it back in six months, and we could access the gold.

Speaker Change: But low recoveries and we took it because we could push it back in six months and we could access the gold and wants to get paid for the strip. It was really good business. So we do have we will manage the flexibility inherent in a specific ore body, but right now.

Speaker Change: No.

Speaker Change: 1300 on the gold.

Speaker Change: Deposits really defines the geological boundaries still and and $3 on the on the copper projects as we.

Speaker Change: Grow our understanding and Rick Burdick, who you know will be reconsidering that but right now we don't have to do that and even you know I've spent a lot of top of sovereign.

Mark Bristow: And once we had paid for the strip, it was really good business. So, we do have, and we will manage the flexibility inherent in a specific ore body. But right now, the $1,300 on the gold deposits really defines the geological boundary still, and $3 on the copper projects. Grow our understanding, and we'll be reconsidering that. But right now, we don't have to do that. And even, you know, I've spent a lot of time with Simon on the Yamana stuff because, again, that $3, it's tight, but we get the whole economics..., all body, the geology into that $3 envelope. Simon, do you want to add to that?

Speaker Change: The yamana stuff because yeah, we again that $3 is it's it's tight but we get the whole thing.

Speaker Change: And I'll make.

Speaker Change: Full body the geology into that three dollar envelope.

Speaker Change: So I mean do you want to add to that.

Speaker Change: No I think you've covered it well.

Speaker Change: Yeah. The only other thing I would point to Dan is that we did lift the resource price for them.

Speaker Change: Resources machine to $4 two.

Speaker Change: To reflect them you know I guess, the point that you're making which is that the the risk on copper seems to be on the upside and we wanted to make sure that we weren't sterilizing assets and opportunities.

Speaker Change: So certainly we take onboard your viewpoint that a couple of passengers could go a lot higher than just you know the fundamental reason for that is.

Mark Bristow: I think you've covered it well. The only other thing I would point to, Dan, is that we did lift the resource price for our copper resources this year to $4 to reflect, I guess, the point that you're making, which is that the risk on copper seems to be on the upside, and we wanted to make sure that we weren't sterilizing assets and opportunities. So certainly, we take on board your point that copper prices could go a lot higher. The fundamental reason for that is...

Speaker Change: It's the same as we use a 1700 dollar resource if you want to keep the infrastructure out away from the ore body.

Speaker Change: So that salary source.

Speaker Change: And certainly a $4 is not a they are ambitious number but again when you look at the the pay ability of even the porphyry that rigor <expletive> we just wanted to make sure that we don't put infrastructure and a good example is go to Escondida and Zaldivar you fund infrastructure all over the pitch.

Mark Bristow: It's the same as we use a $1,700 resource. You want to keep the infrastructure away from the ore body. So, that's our resource, you know, and certainly $4 is not an ambitious number, but again, when you look at the payability of even the porphyries at Rigor Deck, we just want to make sure that we don't put in infrastructure, and a good example is going to Escondida and Zeldivar, and you find infrastructure all over the pit that shouldn't have been there, and it's expensive to move, like The next question comes from Bob Brackett with Bernstein Research. Please go ahead.

Speaker Change: That shouldn't Devine at.

Speaker Change: Expensive to move like railway lines and things like that.

Speaker Change: Very clear thank you very much.

Speaker Change: The next question comes from Bob Brackett with Bernstein Research. Please go ahead.

Bob Brackett: Yes. Good afternoon, you mentioned adjectives assigned to M&A that included dilution Aerie and D lose urinary what would be opposite of those adjectives look like to you.

Bob Brackett: [laughter], how do you mean like play that.

Bob Brackett: Yeah, So M&A would be neither dilution aerie to barrick or delusion Aerie to you is the team that you would contemplate.

Bob Brackett: And I can throw out.

Bob Brackett: The option if you need further.

Speaker Change: Yeah, No I got it so let's go back in history.

We acquired Bhp's assets in Mali to start Rand gold.

Speaker Change: That was a very accretionary acquisition.

Bob Brackett: Yes, good afternoon. You mentioned adjectives assigned to M&A that included dilutionary and delusionary. What would the opposite of those adjectives look like to you?

Speaker Change: We then acquired motto.

Speaker Change: And and a hostile takeover.

Speaker Change: That was equally.

Mark Bristow: How do you mean? Explain that. Yeah, so what M&A would be neither dilutionary to Barrick or delusionary for you as a team that you would contemplate? And I can throw out an option if you need further guidance. No, no, I got it.

Speaker Change: Create tree, which is kibali with you all.

Speaker Change: Which is co body and then the Randgold Barrick merger was definitely a value, creating exercise and it's a long term platform and.

Speaker Change: Most other companies that did M N day around that Tau and pay a premium for it I think you know it's not thought possible just to show.

Mark Bristow: So let's go back in history. So we acquired BHP's assets in Mali to start Rand Gold. That was a very acquisitive acquisition. We then acquired Motto in a hostile takeover. That was equally acquisitious, which is Kabali.

Speaker Change:

Speaker Change: Long term.

Speaker Change: New foundation for for those transactions and then we did.

Speaker Change: Acacia take out.

Speaker Change: Which again has been a spectacular investment and and of course, although we didn't issue paper for the Nevada joint venture.

Mark Bristow: And then the Rangold-Barrick merger was definitely a value-creating exercise, and it's a long-term platform, and most other companies that did M&A around that time and paid a premium for it, I think it's not possible to show a long-term new foundation for those transactions. And then we did Acacia Takeout, which, again, has been a spectacular investment. And of course, although we didn't issue paper for the Nevada Joint Venture, certainly, the sum of the whole is substantially more valuable than the sum of the individual parts. So those are the only transactions I've been involved in, and they all worked, and I speak on behalf of myself and the team at Barrick. So those are... are value-added transactions, and they've all come with... They're all at market, and all have organic growth embedded in the asset as well.

Speaker Change: Certainly.

Speaker Change: The some of the.

Speaker Change: The hole is substantially more valuable than the sum of the individual parts. So those are the only transactions ive been involved in and they all worked.

Speaker Change:

Speaker Change: And and and I speak on behalf of myself and the team at Barrick. So so that.

Speaker Change: Those are.

Speaker Change: Our value added transactions and they've all come with.

Speaker Change: They all at market.

Speaker Change: And all had organic growth embedded in the assets as well so.

Speaker Change: Yeah, and that's what we'd like to do them.

Speaker Change: That's why those are the opportunities that we look for.

Speaker Change: Very clear I take the point on organic growth with whatever you might acquire as being critical.

Speaker Change: Thanks Clay.

Speaker Change: Pleasure.

Speaker Change: Once again, if you have a question please.

Speaker Change: Please press Star then one.

Speaker Change: The next question comes from Tanya that disconnect with Scotiabank. Please go ahead.

Tanya: Great great. Thank you.

Tanya: So my question good afternoon, everyone.

Mark Bristow: So, you know, and we that's what we would like to do. Those are the opportunities that we look for. Very clear. I take the point on organic growth with whatever you might acquire as being critical. Thanks.

Tanya: But our China.

Tanya: Right.

Tanya: Graham.

Tanya: Okay.

Graham: Can you just give me an idea of what we need to.

Tanya: Yeah.

Tanya: Line up and running.

Tanya: <unk>.

Tanya: [noise] [noise] to I mean to answer that Scott.

Scott: Tanya, it's approximately $70 million.

Operator: Once again, if you have a question, please press star then 1. The next question comes from Tanya Jakusconek with Scotiabank. Please go ahead.

Sure.

Right.

Speaker Change: Thank you for that.

Speaker Change: Please go ahead.

Tanya: Thank you.

Tanya: The Cortez, where you aren't going to be in production in 24 hours or 23 do you get the crossroads resource model changing reducing outside now can you just explain to me what's exactly happening at crossroads.

Tanya Jakusconek: A great thank you for taking my questions. Good afternoon, everyone. Hi, I just wanted to ask Graham, in the capital for Porgera, can you just give me an idea of what we need to spend this year to get this mine up and running? Thank you. Do you want me to search for it, Kev? Tanya, it's approximately $70 million. I'll share.

Tanya: So at Crossroads, we had yeah, what we've been doing since 2019 is spinning our wheels to bank.

The deposits and I'll just give you the on the newmont side most of the.

Tanya: The models are the the business plans are.

Tanya: 12, or 18 months old.

Mark Bristow: Okay, thank you for that. And then Lars, I have two questions for you on Nevada Gold Mine. I just wanted to ask the Cortez where you are going to be seeing lower production in 24 over 23 due to the crossroad resource model change in the reducing oxide mill. Can you just explain to me what's exactly happening at Crossroads?

Tanya: And on Barrick's side it was.

Tanya: Almost.

Current.

Tanya: Because back was focused on high grading and and Newmont was focused on survival.

Tanya: And so when we put the two together as we pointed out at the time there was a lot of chatter that it wasn't a mineral resource management department, even if we had to catch up and we have caught up a lot, we still catching up a bit because with.

Mark Bristow: So at Crossroads, we had, you know, what we've been doing since 2019 is spinning our wheels to bank on deposits, and I'll just give you, you know, on the Newmont side, most of the models, the business plans were... 12 all, 18 months old. And on Barrick's side, it was, you know, almost... Current, because Barrick was focused on high grading, and Newmont was focused on survival. And so when we put the two together, as we pointed out at the time, there were a lot of challenges. There wasn't even a mineral resource management department, either.

Tanya: The pressure on them.

Tanya: I think people are we've we brought in the contracts because we just weren't getting on top of the development. We had pushed it ahead, but not enough.

Tanya:

Tanya: And so.

Crossroads.

Tanya: When we as we drilled it out there was a high grade when we were there the Atlas on the last visit we we were right in the high grade of the of the ore body.

Tanya: But what we didn't hadn't seen as I felt.

That slots part of that talk right off at depth. So when we went down another bench when we drill the holes we ended up modeling a.

Tanya: Salt, which cut off the ore body, which reduce the.

Mark Bristow: We had to catch up, and we have caught up a lot. We're still catching up a bit because with the pressure on accessing people, we've brought in contractors because we just weren't getting on top of the development. We had pushed it ahead, but not enough. And so, um... Crossroads, when we drilled it out, there was a high grade when we were there, the analysts on the last visit, we were right in the high grade of the ore body. But what we hadn't seen was a fault that slashed part of that high grade off at depth.

Tanya: The volume of high grade material and and if you recall there was always a bit of a spike in our production and Cortez in our forecast so.

Tanya: So that's the reason we've now drilled the ore body at this we what we're doing now is pushing back the crossroads pit and it'll come back in to a to.

Tanya: To the schedule.

Tanya: Next year.

Tanya: But not at the grade that we were expecting and I bet on top of that the team has also been able to.

Tanya: And the other oxide material from them from.

Mark Bristow: So when we went down another bench, when we drilled the holes, we ended up modeling a fault which cut off the ore body, which reduced the volume of high-grade material. And if you recall, there was always a bit of a spark in our production in Cortez in our forecast. So that's the reason.

Tanya: Some of the other pets and the expansions to those but which will help us feed but not at the grade that we had originally planned that's that's the story for the oxide drop in this year.

Speaker Change: Okay. So did we lose out.

Mark Bristow: We've now drilled the ore body out. What we're doing now is pushing back the crossroads pit, and it'll come back on the schedule next year, but not at the grade that we were expecting. And on top of that, the team has also been able to get other oxide material from some of the other pits and the expansions to those pits, which will help us feed but not at the grade that we had originally planned. That's the story for the oxide drop this year. Okay, so did we lose ounces at the crossroads? Is that what it says on the pulse?

Speaker Change: Yeah.

Yes, yeah okay.

Speaker Change: Okay. Thank you for that and then maybe it gets better.

Speaker Change: Yeah, just to do the complaint that we lost ounces and the delay in our Rod you know because once we got the record of decision we rarely have to read.

Speaker Change: Focus.

Speaker Change: The gold rush to ramp up so you know we have to get the ventilation shaft in place. We've got it there's a whole lot of infrastructure that we need to put in place to be able to get that long term ramp up in the mine. So those are both of those impacted on 2020 four.

Speaker Change: Oh, okay.

Speaker Change: Yeah.

Speaker Change: Nevada Gold mines.

Tanya Jakusconek: Yes. Okay, thank you for that. And then, maybe just my last question.

Speaker Change: The work that you're doing there.

Speaker Change: And I guess.

Speaker Change: I'm trying to understand the labor you mentioned.

Speaker Change: Turnover.

Mark Bristow: So Tanya, just to complete that, we lost answers and the delay on the rod. You know, because once we got the record of decision, we really had to re... Focus on the gold rush to ramp up. So, you know, we have to get the ventilation shafts in place. We've got to, there's a whole lot of infrastructure that we need to put in place to be able to get that long-term ramp up in the mine. So those, both those impacted in 2024.

Speaker Change: Hum.

Speaker Change: Decrease can you just give me an idea of what the China.

Speaker Change: Right right.

Speaker Change: I know when we were that you were looking for modest.

Speaker Change: It sounds like where are we on that.

Speaker Change: Whereas the training programs going for these underground miner.

Speaker Change: Okay.

Speaker Change: Where we're below 15% turnover now which is substantial.

Speaker Change: What's the.

Speaker Change: 14th so.

Speaker Change: We are below 14% and it's interesting training mines people that go through the training them on so far we haven't got a lot of data, but they stay there.

Mark Bristow: Okay, and maybe I could just ask about just Nevada Gold Mines in general. There's a lot of work that you're doing there, and I just am trying to understand the labor. You mentioned that the turnover has, you know, decreased. Can you just give me an idea of what the turnover rate is right now at Nevada Gold Mines? And I know when we were there that you were looking for a lot of positions to be filled. Like, where are we on that? And where are the training programs going for these underground miners? I'm just trying to get an understanding of labor.

Speaker Change: They generally stay because now we've got properly skilled people and there's no stress in their lives they know what to do and yeah, and and and and and and the other thing too is.

Speaker Change: You know the first phase of of putting these two mines together.

Speaker Change: And and and and it's important this conversation about people because you can go and smash two different cultures, together and full set for awhile, but if you're building a business and our mining industry doesn't have that if you look across the mining industry and you look at the executive groups, There's no executive.

Tanya Jakusconek: We're below 15% turnover now, which is substantial. What's it? Forty. Forty. So...

Speaker Change: Group in the mining industry that is entrenched as much as as the Barrick team and because we've put an enormous amount of time and effort into into our skill base.

Mark Bristow: So we are below 14% and it's interesting, our training mines, people that go through the training mines so far, we haven't got a lot of data, but they stay. They generally stay because now we've got properly skilled people and there's no stress in their lives, they know what to do and, you know, and, and, and, and, and I, the other thing too is... You know, the first phase of putting these two minds together... And it's important, this conversation about people, because you can go and smash two different cultures together and force it for a while. But if you're building a business, and our mining industry doesn't have that. If you look across the mining industry and you look at the executive groups, there's no executive group in the mining industry that is entrenched as much as the Barrick team. And because we put an enormous amount of time and effort into our skill base.

Speaker Change: So.

Speaker Change: So that's so what do we with first one under Greg walk US we need to get everyone together and iron out the discrepancies in disparities and all that sort of stuff and bring the union and because theres a unionized workforce embedded in the call the knife and cost side of the business.

And then in 'twenty two 'twenty three of you.

Speaker Change: End of 'twenty to 'twenty, two and Greg left it was specifically designed to change the culture. Another step in that as we moved our ownership from al cut back to the operations.

Speaker Change: Because when you when you're transitioning you've got to have more control and and we changed all the general managers and the end of 2020, two and we shifted the the control back reduced and we still reducing that.

Speaker Change: Holdco a footprint.

Speaker Change: And and and we brought in some new senior management to lead the team and that management was not.

Mark Bristow: Ben So, So the first one under Greg Walker is we need to get everyone together and iron out the discrepancies and disparities and all that sort of stuff and bring the union in because there's a unionized workforce embedded in the carbon open cost side of the business. And then in 2023, end of 2022, when Greg left, it was specifically designed to change the culture another step, and that is we move the ownership from ALCO back to the operation, um because when you when you're transitioning you've got to have more control and and we changed all the general managers in the end of 2022 and we shifted the the control back reduced and we're still reducing that Elko Footprint, and we brought in some new senior management to lead the team and that management was not, It didn't come from Barrick, we brought it from outside, and so the results that you see, and I've got no doubt you're going to continue to see it, is a product of that, human capital engineering, effectively, to get it, as I say in the MD&A and in my presentation, ready to align it with the Barrick DNA.

Speaker Change: It didn't come from Barrick, we brought it from outside and and so the results that you see and I've got no doubt you're going to continue to see it is a product of that.

Speaker Change: Yeah human capital.

Speaker Change: Nearing effectively to get it as I say in our MD&A and in my presentation ready to align it with the Barrick DNI and and I you know I've spent a lot of personal time there.

Speaker Change: Leading that's a process because its people.

Speaker Change: And and I'm, you know I'm more comfortable today than I've ever been that we're making real progress with the people in and that's always if you want sustainable change you've got it.

Speaker Change: You've gotta get people aligned.

Speaker Change: I mean, it's like this.

Speaker Change: When you look at this.

Speaker Change: Head office.

Speaker Change: Got it covers this corporate office 48 people and if you take out the big wigs, it's probably 38.

Speaker Change:

Speaker Change: And it does.

Speaker Change: Double the amount of work that in.

Speaker Change: Three times that people did before they're.

Speaker Change: The young.

Speaker Change: Very energetic super efficient in what they do and they fully plugged into our organization and a rider and a in fact, we have rotations now with these young fun into our operations and they are all analysts.

Mark Bristow: And I've, you know, I've spent a lot of personal time there, leading this process, because it's people, and I'm more comfortable today than I've ever been that we're making real progress with the people. And that's always, if you want sustainable change, you've got to get people aligned. I mean, it's like this, you know, when you look at this, head office. This corporate office has 48 people. If you take out the bigwigs, it's probably 38. And it does double the amount of work three times what the people did before. They're young, very energetic, super efficient in what they do, and they're fully plugged into our organization. In fact, we have rotations now with these young folk here into our operations. Our analysts, because we've got financial analysts, this is financial as in analyzing our efficiencies embedded here under Bruce. It's very efficient. We're using our data platforms so that we're fully connected across the organization around the world, and we can consolidate, too.

Speaker Change: Analysts because we've got financial engines. This is financial as in analyzing our efficiencies embedded here and Bruce and I mean, it's a you know it's just it's a very efficient we using a day.

Speaker Change: Data platform is to show that we are fully connected across the organization around the world and we can consolidate too and I ask questions. Now we can consolidate the financials. Even income statements you know across the group, there's still them or look at.

Speaker Change: Marking and Ms.

Speaker Change: The measure of the way the one company will run.

Speaker Change: <unk>.

Speaker Change: Lamont and now with a drive to get these costs down on the on the big plot. So.

Speaker Change: It really is a motivating thing to get people aligned with their business rather than just coming in to do it.

Speaker Change: A task.

Speaker Change: Okay, I'm, just trying to benchmark how.

Mark Bristow: When I ask questions now, we can consolidate the financials, even income statements across the group, distill them, or look at benchmarking and measure the way the one company will run, particularly like Lamona now with our drive to get these costs down on the big plot. It really is a motivating thing to get people aligned with the business rather than just coming in to do it. I think we are done. Okay, I'm just trying to benchmark how it's 14%. Is that an average for Nevada itself? That seems a bit high. So I'm just trying to benchmark the turnout. I mean, in America, if you're an American, that's low.

Speaker Change: Jean.

Speaker Change: Rich.

Speaker Change: Oh.

Speaker Change: I'm, just trying to benchmark turnover.

Speaker Change: So that I mean in America, if you have a very good.

Speaker Change: That's.

Speaker Change: Very low.

So we got to get it right you know the.

Speaker Change: 0.2 is when you tip.

Speaker Change: When you tipped us when you when you create the trust between the workforce and the leadership you tip. It and then you become as a winning team when you become a winning team everyone gets bonuses.

Speaker Change: We are yeah, it becomes it it it feeds on itself.

Speaker Change: And.

Speaker Change: Was you'll always have it and and and and Tonya.

The first time in my entire career 40 years.

Speaker Change: The first time I found people scared of being fire it wasn't Nevada.

Mark Bristow: Very low. We've got to get it lower, you know. The point is, when you tip... When you do this, when you create trust between the workforce and the leadership, you do this, and then you become a... A winning team. When you become a winning team, everyone gets bonuses, you know, it becomes, it feeds on itself, and otherwise, you'll always have it, and Tanya... For the first time in my entire career, 40 years. The first time I found people scared of being fired was in Nevada. You know, there was fear because it was a style of management which was very... non-confrontational but quite tough and didn't augur well for inclusivity, and Barrick is a caring organization.

Yeah, you know there was a fear because it was a style of management, which was very.

Speaker Change: Our non confrontational, but quite tough.

Speaker Change: Didn't didn't all go well for inclusivity.

Speaker Change: And Barrick is that carrying over and audacious, we care about our people and our team in there and and and you do that you start getting the benefits and are we seeing that.

Speaker Change: Hi, Thank you.

Speaker Change: Okay.

Speaker Change: Yeah.

Speaker Change: There are no more questions.

Speaker Change: Yeah.

Speaker Change: Well. Thank you very much everyone. Thanks for coming and those particularly made the effort to come out I think we've got some.

Speaker Change: Some snacks and.

Yeah.

Speaker Change: So join US a next door if you if you wish to welcome and for.

Speaker Change: For those on the call sorry about that but.

Mark Bristow: We care about our people and our team, and when you do that, you start getting the benefits, and we're seeing that. All right, thank you. OK. There are no more questions. Well, thank you very much, everyone. Thanks for coming, and especially those who made the effort to come out here. I think we've got some... some snacks and drinks. So join us next door if you wish, you're welcome, and for those on the call, sorry about that, but... Bon Appetit wherever you are. Thank you. This concludes today's call. You may disconnect your lines. Thank you for participating and have a pleasant day.

Speaker Change: Bought up a T. Whoever you all thank you.

Speaker Change: This concludes today's call you may disconnect. Your lines. Thank you for participating and have a pleasant day.

Speaker Change: Yeah.

Speaker Change: [music].

Speaker Change: Yeah.

Speaker Change: [music].