Q1 2024 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.
Operator: Welcome to Barrick's results presentation for the first quarter of 2024. 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 1 on your telephone keypad.
This is the event operator.
Speaker Change: Welcome to Barrick's results presentation for the first quarter of 'twenty 'twenty four.
Speaker Change: Following today's presentation, a question and answer session will be conducted.
If you have a question and are joining day event by telephone. Please press Star then one on your telephone keypad.
We'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. Later today may 1st 'twenty 'twenty four.
Operator: 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, May 1st, 2024. I would now like to turn you over to Mark Bristow, President and CEO of Barrick. Please go ahead, sir.
I would now like to turn.
Speaker Change: You over to Mark Bristow, President and CEO of Barrick. Please go ahead Sir.
Thank you very much. And just before we start, let's just check the sound because there's feedback on it. How are we doing? Are you sure?
Dennis Mark Bristow: Thank you very much and just before we start let's just check the sound because it is a feedback on it how are we doing.
Are you sure.
Any concern that.
Did somebody confirm that? Okay, so with that, very good morning and good afternoon, ladies and gentlemen, and particularly for those who've made an effort to come out and join us in person, thank you very much for coming out. I thought I'd start today.
Okay.
Dennis Mark Bristow: With that very good morning, and good afternoon, ladies and gentlemen, and particularly for those who have made an effort to come out.
And join US in person. Thank you very much for coming out.
Speaker Change: So I thought I'd start.
Speaker Change: Today.
Looking across the world where we've witnessed, Change Accelerating, Uncertainty becoming more permanent, and chaotic events a lot more common, and the global pursuit of renewable energy has boosted the demand for copper and with it the price up 15 percent in the first quarter of this year. Unprecedented Conflict, plus Economic Uncertainty have driven the gold price up 15% last year and by the same margin so far this year to record highs. Confirming once again the metal status, is the ultimate safe haven asset. Disappointingly, Barrick's share price, like those of its peers, is lagging the gold price. Which raises the question?
Speaker Change: Looking across the world, where we've witnessed change accelerating.
Speaker Change: Uncertainty.
Speaker Change: Coming more permanent.
Speaker Change: And Cai I'll take events a lot more common.
Speaker Change: And the global pursuit of renewable energy has boosted the demand for copper.
Speaker Change: And with it the process up 15% in the first quarter of this year.
Speaker Change: Unprecedented conflict plus economic uncertainty have driven the gold price up 15% last year.
Speaker Change: And by the same margin so far this year to record hot.
Speaker Change: Confirming once again the mental status.
Speaker Change: Ultimate Safe Haven asset.
Speaker Change: Disappointingly barrick's share price like those all of its peers.
Speaker Change: Lagging the golf course, which raises the question.
If you believe in gold, why not invest in the producers? The investment thesis, as far as Barrick is concerned, is that our embedded ability to grow. Our copper and gold production will amplify our profitability in a rising commodity market, as I'll show you in the course of this presentation. As this presentation will include some forward-looking statements, I draw your attention to the customary cautionary statement, which can also be found on our website.
Speaker Change: If you believe in gold why not to invest in the producers.
Speaker Change: The investment thesis as far as Barrick is concerned.
Speaker Change: Is that all embedded ability to grow.
Speaker Change: Copper and gold production.
Speaker Change: Amplify our profitability.
Speaker Change: In a rising commodity market.
Speaker Change: I'll show you.
Speaker Change: In the course of this presentation.
Speaker Change: This presentation will include some forward looking statements I draw your attention to the customary cautionary statement, which can also be found.
Speaker Change: On our website.
Barrick currently directly and indirectly employs more than 50,000 people across our operation, and their health and safety are our primary concern, which is why I start the presentation with a report on our past quarter's performance on this front. Tragically, our African mines had two fatalities in January, as we announced at the time of our quarter four results.
Speaker Change: Barrick currently directly and indirectly.
Speaker Change: Please more than 50000 people.
Speaker Change: Across our operations.
Speaker Change: And their health and safety are our primary concern.
Speaker Change: Which is why I start the presentation with a report on op cost quarters performance on this front.
Speaker Change: Tragically.
Speaker Change: Fricking bonds had two fatalities in January as we announced at the time of our quarter four results.
This has intensified our ready laser focus, on eliminating fatalities as the critical component, of Our Journey to Zero, and a carefully considered fatal risk management program has been rolled out worldwide. This has been receiving an enormous amount of focus, over the past 18 months and we as an executive team are determined to achieve our goal of zero fatalities, in our operation. On a more positive note.., are various injury frequency rates, continued to decrease significantly against the same period last year, and this last quarter. 10 of our thoughts, were lost time injury-free.
Speaker Change: This has intensified our already laser focus.
Speaker Change: On eliminating fatalities as a critical component of.
Speaker Change: Our journey to zero.
Speaker Change: And a carefully considered fatal risk management program.
Speaker Change: That's being rolled out worldwide.
Speaker Change: This has been receiving an enormous amount of focus.
Speaker Change: Over the past 18 months and we as an executive team are determined to achieve our goal of zero fatalities.
Speaker Change: All operations.
Speaker Change: On a more positive note.
Speaker Change: Various injury frequency rates continued to decrease significantly against the same period last year.
Speaker Change: And this last quarter.
Speaker Change: No about thoughts were lost time injury free.
The Latin America and Asia-Pacific region has had a particularly good run in safety record, having just completed 14 consecutive months, with no last time injuries. Closely allied to health and safety is our complete commitment to sustainability, in its broadest sense. Sustainability was the DNA of our business long before what is now called ESG. It's long before that. ESG became an investment matrix. Metric.
Speaker Change: The Latin America, and Asia Pacific Region has had a particularly good rock.
Speaker Change: And recall and safety record, having just completed 14 consecutive months.
Speaker Change: With no lost time injuries.
Speaker Change: [noise] closely allied to health and safety is our complete commitment to sustainability.
Speaker Change: And its broadest sense.
Speaker Change: Sustainability, what's the DNA of our business long before.
Speaker Change: It is now called ESG.
Speaker Change: It's long before that.
Speaker Change: E S G became an investment matrix metric.
Our distinct holistic approach grounded in the concepts of partnership and stakeholder recognition has earned us our critically important social license wherever we operate. Some of the past quarter's achievements are listed here, and we'll give you a flavor of the tangible results. We are achieving. You will find a comprehensive account of our performance and targets, and our annual sustainability report scheduled for publication later this month. I urge you to look it up on our website. We turn now.
Speaker Change: Think tireless stick approach grounded on the concepts of.
Speaker Change: Partnership and stakeholder recognition.
Speaker Change: Has had earned us a critically important social license.
Speaker Change: We operate.
Speaker Change: Some of the cost Cortez achievements are listed here and we'll give you a flavor of the tangible results we.
Speaker Change: We are achieving.
Speaker Change: You will find a comprehensive account of our performance and targets.
Speaker Change: And our annual sustainability report scheduled for publication later this month I urge you to look it up on our website.
Speaker Change: We turned out.
To the overall highlights of the past quarter, as guided, it was a similar start to the year as last year. Gold production was in line with plan, but down on the previous quarter, as I'll explain in the next slide. We remain on track to meet our full year of guidance. Copper production was also in line with last year, and black gold is forecast to grow through the year. I'll also deal with the improved financial results compared to this time last year a little later.
Speaker Change: Two the overall highlights of the past quarter.
Speaker Change: Got it it was a similar start to the year as last year gold production was in line with plan, but down on the previous quarter.
Speaker Change: As I'll explain in the next slide.
Speaker Change: And then on track to meet our full year guidance copper production was also in line with a lot with last year and block called is forecast to grow through the.
Speaker Change: I will also deal with the improved financial results compared to this time last year a little later.
Speaker Change: Successful brownfields exploration.
Speaker Change: The very engine that drives barrick's unparalleled ability to replace its mine reserves continue to deliver.
Speaker Change: And the Greenfields programs are expanding our portfolio and opportunities around the globe.
Successful brownfields exploration, the very engine that drives Barrick's unparalleled ability to replace its mine reserves, continue to deliver, and the Greenfields programs are expanding our portfolio and opportunities around the globe. These are the operating results as anticipated. Seasonal maintenance.
Speaker Change: These are the operating results as anticipated seasonal maintenance.
The most important being... Pablo Verca Conveyor Rear Build and Mine Plan Sequencing resulted in lower gold production which in turn increased our cost per hour. Commissioning of PV's replacement conveyor is now complete, and the resumption of mining and processing at Porgra will also support the gold production ramp up we have planned for the rest of the year. The lower production offset by higher gold price and supported improved financial results when compared with the same period last year. Year-on-year net earnings per share increased by 143% for the quarter, while adjusted net earnings per share grew by 36%.
Speaker Change: Most important being.
Speaker Change: Tableau vehicle convey a real bold and mine plan sequencing resulted in lower gold production, which in turn increased our cost per ounce.
Speaker Change: The commissioning of Pvs replacement convert is now complete.
Speaker Change: And the resumption of mining and processing at Pall Gras will also.
Speaker Change: Support the gold production ramp up we have planned for the rest of the.
Speaker Change: The lower production offset by higher gold price and supported improved and supported improved financial results when compared with the same period last year.
Speaker Change: You are on your net earnings per share increased spot, 143% for the quarter, while adjusted net earnings per share grew by 36%.
At 19 cents per share, we were ahead of consensus for the quarter. The attributable EBITDA margin rose by 5% to 41% and the operating cash flows remain strong at $760 million. The quarter dividend was maintained at $0.10 per share, and it's worth noting that at a time when both the gold and copper sectors are ex-growth, Barrick's strong balance sheet supports its organic growth projects, enabling it to project a significant rising production profile for the next five years and beyond.
Speaker Change: At 19 cents per share we were ahead of consensus for the quarter.
Speaker Change: The attributable EBITDA margin rose by 5% to 41% and their operating cash flows remained strong at $760 million.
Speaker Change: The quarterly dividend was maintained at 10 cents per share and it's worth noting that at a time when both the gold.
Speaker Change: And copper sectors, all ex growth very strong balance sheet supports its organic growth projects.
Speaker Change: Willing to project a significant rising production profile for the next five years and beyond.
Speaker Change: Yeah.
We start the operational review in North America as usual with the ramp-up of the Gold Rush underground mine now well underway at Nevada Gold Mine. Our focus has also shifted to the nearby Barrick owned advanced four-mile target with its world-class potential. The successful permitting of Gold Rush will accelerate 4 miles progress up the value curve and a significant valuation draw program has commenced this month, testing the large inventory base and growing the mineral resources to inform a pre-feasibility study decision expected by the end of this year.
Speaker Change: We stopped the operational review in North America as usual with the ramp up of the gold Rush underground mountain now well underway at Nevada Gold mines.
Speaker Change: Focus has also shifted to the nearby Barrick and.
Speaker Change: Advanced formal tau it with its world class potential.
Speaker Change: The successful permitting of gold rush.
Speaker Change: Accelerate fall miles progress up the value curve and are significant evaluation drill program has commenced this month.
Speaker Change: Testing, the large inventory base and growing the mineral resources to inform it.
Speaker Change: Pre feasibility study decision expected by the end of this year.
In other news from Nevada, the continued greening of Barrick's global grid advanced with the commissioning of the first 100 megawatts of the TS solar power plants, which is expected to have the second hundred megawatt phase commissioned in the second quarter of this year. Nevada Gold Mines made a softer start to the year.
Speaker Change: In other news from Nevada.
Speaker Change: Continued greening of Barrick's global grid advanced with the commissioning of the first hundred megawatts of the T. S fifth the T S solar power plants.
Speaker Change: Which is expected to have the second hundred megawatt phase commissioned.
Speaker Change:
Speaker Change: In the second quarter of this year.
Speaker Change: Yeah.
Speaker Change: As guided.
Speaker Change: Nevada Gold mines made a softer start to the year.
Cortez came in ahead of plan, in fact significantly ahead of plan. Carlin was on track on a run rate through for the whole year and Turquoise Ridge is expecting a significant improvement as it addresses its backfill and development backlog following a planned shutdown in the quarter. For a supposedly mature gold district, Nevada remains a highly prospective Tier 1 terrain for our exploration team. The many substantial brownfields targets shown on this map will support its five-year reserve replacement program and the team is advancing a pipeline of exciting greenfields targets. Meanwhile, continued work on our all-body models have highlighted some significant untested potential.
Speaker Change: Cortez came in ahead of plan in fact are significantly.
Speaker Change: Significantly ahead of fed Colin was on track on our run rate through for the whole year and turquoise Ridge is expecting a significant improvement as it addresses its backfill and development backlog following a planned shutdown in the quarter.
Speaker Change: Yeah.
Speaker Change: Poorer supposedly mature gold district, Nevada remains a highly prospective tijuana terrain for our exploration team.
Speaker Change: There are many substantial brownfields targets shown on this map will support its five year reserve replacement program.
Speaker Change: And the team is advancing a pipeline of X.
Speaker Change: Saatchi Greenfields targets.
Speaker Change: Meanwhile, continued work on the ore body models have highlighted some significant untested potential.
Speaker Change: Okay.
I've spoken to you about the great illeval before, but... Another example of this work is shown in these before and after cross sections of the turquoise ridge deposit, demonstrating how the updating of geological models can drive growth. It's early days, but this process of remodeling has generated some exciting new targets as highlighted in those red circles on the right-hand section. I anticipate that these will result in substantial additions, to the already high-grade Turquoise Ridge Endowment. We move now down to the Latin America and Asia Pacific region, which had a very good quarter all round.
Speaker Change: I've spoken to you about the greater level before that.
Speaker Change: Another example of this work has shown it needs to be falling off after cross sections of the turquoise Ridge deposit.
Speaker Change: Demonstrating how the updating of geological models can drive growth.
Speaker Change: It's early days, but there's probably still yourself remodeling has generated some exciting new targets.
Speaker Change: Highlighted in the Red circles on the right hand section.
Speaker Change: I anticipate that these will result in a substantial additions to.
Speaker Change: To the already high grade turquoise ridge and dominant.
Speaker Change: Yeah.
Highlights included the progress at Pueblavero, which I've already referred to, another strong performance from Valderra, and the restart of operations at Pogra. The Recodex feasibility study is on track for completion by year end with first production scheduled in 2028. Pablo Vieja processed lower grades while its new conveyor was being rebuilt, and this impacted production for the quarter, which also affected costs. The replacement conveyor has now been commissioned.
Speaker Change: We move now down to the Latin America, and Asia Pacific Region.
Speaker Change: Which had a very good quarter all around.
Speaker Change: Highlights included progress at Pueblo Viejo.
Speaker Change: Which I've already referred to another strong performance from valley there are.
Speaker Change: Yes.
Speaker Change: And the restart of operations at Polaris.
Speaker Change: Break codex feasibility study is on track for completion by year end with first production scheduled in 2028.
Speaker Change: Pablo.
Speaker Change: Process grades wallets, new conveyor was being rebuilt.
Speaker Change: And this impacted production for the quarter.
Speaker Change: Which also affected the cost.
Speaker Change: The replacement conveyor has now being commissioned.
And the plant is expected to ramp up during the second quarter. As production increases, we expect expect costs to come down. With the plant expansion now substantially complete, the focus has shifted to the related new tailing storage facility, where work is progressing as planned, and the feasibility study is expected to be completed in quarter three. I referred to the Puebla-Viejo expansion earlier as our flagship organic growth project. And this is why, will increase and sustain gold production at or above 800,000 ounces, for at least 20 years.
Speaker Change: The plant is expected to ramp up during the second quarter.
Speaker Change: As production increases, we express expect costs to come down.
Speaker Change: With the plant expansion now substantially complete.
Speaker Change: Focus has shifted to the related new tailing storage facility.
Speaker Change: Work is progressing as planned and the feasibility study is expected to be completed in quarter three.
Speaker Change: I referred to the Pueblo Viejo expansion earlier.
Speaker Change: Our flagship organic growth project.
Speaker Change: And this is why.
Speaker Change: The increase in sustain gold.
Speaker Change: At or above 800000 ounces.
Speaker Change: For at least 20 years.
It's worth remembering, that Pablo Vieja was on the verge of closure five years ago, when the new Barrick team figured out how to unlock its vast reserve and secure its long-term future as a Tier 1 gold mine. Shown here is a graphic illustrating the impact equipment failures had on the project last year and more importantly where we're headed now with the new structure having been rebuilt and commissioned. In Africa and the Middle East, Lulogon Kato produced its usual steady Tier 1 performance.
Speaker Change: It's worth remembering.
Speaker Change: The public vehicle was on the verge of close about five years ago.
Speaker Change: When the new Barrick team figured out how to unlock its vast reserve and secure its long term future as a tier one gold mine.
Speaker Change: Showing how is it graphically illustrated.
Speaker Change: Striking the impact of equipment failure has had on the project last year and more importantly, where are we headed now with the.
Speaker Change: The new structure, having been rebuilt and commissioned.
Speaker Change: In Africa, and the Middle East Lula, and Qatar produced its usual steady tier one performance the feasibility for the La Manana Superpotent expansion remains on track for completion by the end of the.
The feasibility for the La Moina Superpit expansion remains on track for completion by the end of the year. And the infrastructure for mining the Jabal Saeed Copper Mines Load 1 was completed. Continuing transition to renewable energy at Lulogon Kotto and Kibale also delivered significant savings. Lula Goncato increased production and kept costs partly controlled. Its second solar plant was commissioned during the quarter, replacing heavy fuel oil with solar power as an energy source, delivering a cost saving of some $6 million just this last quarter.
Speaker Change: And the infrastructure for mining.
Speaker Change: The job I'll cite copper mines loved one was completed continuing trough.
Speaker Change: Session two renewable energy at Lula on quota and Kibali also delivered significant savings.
Speaker Change: [noise] new look on Qatar.
Speaker Change: Increased production and kept costs partly controlled it.
Speaker Change: Second solar plant was commissioned during the quarter, replacing heavy fuel oil with startup par as an energy source delivering a cost saving of some $6 million just this last quarter.
Walla Walla and Marley, We are aware of press speculation, originally reported in Africa last year and recently picked up by the Canadian media, about the government's so-called intention to expropriate the Lulugon Kato complex. As we have previously disclosed, we have been in ongoing dialogue with the Government of Mali on several matters that impact our operation. As part of our engagement, the government has recently confirmed to us that they do not intend to expropriate the complex.
Speaker Change: While on moly.
Speaker Change: We are aware of press speculation.
Speaker Change: He reported in Africa last year, and recently picked up by the Canadian media.
Speaker Change: About the government so called intention to expropriate.
Speaker Change: Look on Qatar complex.
Speaker Change: As we have previously disclosed we have been in ongoing dialogue with the government of Mali on several matches that impact operations.
Speaker Change: As part of our engagement.
Speaker Change: The government has recently recently confirmed to us that they do not intend to expropriate the complex.
Like any government, Mali wishes to maximise their benefits from mining and Barrick remains committed to an equitable sharing of those economic benefits with our host country, while protecting our shareholder rights. Our engagement with the government is continuing on that base. The Lulo District remains highly prospective. Deep framework drilling is targeting the potential for the large-scale extensions on repetitions of the main high-grade ELEA system. Results confirm that the system is still open, with high-grade mineralization present at depth.
Speaker Change: Like any government body, who wishes to maximize their benefits from mining and Barrick remains committed to an equitable sharing all the others economic benefits without host country.
Speaker Change: While protecting our shareholder rights.
Speaker Change: Our engagement with the government.
Speaker Change: Just continuing on that basis.
Speaker Change: The new law district remains.
Speaker Change: Highly prospective.
Speaker Change: Deep framework drilling is targeting a potential for a large scale extensions on repetitions of the main high grade Elia system.
Speaker Change: Results confirmed that the system is still open.
Speaker Change: With high grade mineralization present at depth, while shallow drilling to the south is returning encouraging intersections from the actual main yearly our structure.
While shallower drilling to the south is returning encouraging intersections from the actual main Iliya structure, and Kabali production was down in line with lower grades from planned waste stripping at two open pits. The mine is expected to show much improved results, on the back of higher grades in the second half of the year as we complete that stripping, and exploration during the quarter around Kibale further defined a significant high-grade 10 trend immediately adjacent and similar to the massive KCD deposit on which Kibale was built.
Speaker Change: And at Kibali production was down in line with lower grades from planned waste stripping at.
Speaker Change: Two open pits.
Speaker Change: The mine is expected to show much improved results.
Speaker Change: On the back of higher grades in the second half of the as we complete that stripping.
Speaker Change: In exploration during the quarter.
Speaker Change: Around Kibali further defined a significant high grade 10.
Speaker Change: Trained immediately adjacent and similar to the massive K C D deposits on which Kibali was bolt.
We are modeling numerous high-grade intersections and potential load shapes which could deliver a substantial... Satellite Project In Tanzania, North Mara's production was lower quarter on quarter in line with its mine plan. Lower production meant higher costs. Bullion Hulu's production was flat, with higher tons processed offsetting lower grades.
Speaker Change: We are modeling numerous high grade intersections and.
Speaker Change: Potential load shapes, which could deliver a substantial.
Speaker Change: Satellite project.
Speaker Change: Yeah.
Speaker Change: In Tanzania, North virus production was lower quarter on quarter in line with its modern Plaid.
Speaker Change: Lower production meant higher costs.
Speaker Change: Bouillon, who lose production was flat with higher tons processed offsetting lower grades lower grades with the higher tons were reflected in the increase in costs for the quarter, but again, we're expecting that to come down over the next three quarters.
The lower grades, with the higher tons, were reflected in the increase in cost for the quarter, but again, we're expecting that to come down over the next three quarters. A globally significant organic copper growth project, the La Moina copper mine super pit expansion is on track for first production in 2028. The Accelerated Feasibility Study is scheduled for completion by the end of this year, with construction works expected to start in 2025. The expansion will transform Moana into a major copper mine with a life of more than 30 years. A planned shutdown and lower grades reduced production in quarter one.
Speaker Change: Okay.
Speaker Change: A globally significant organic copper growth project, the Lamont, our copper mountain Super that expansion is on track for first production in 2028.
Speaker Change: The accelerated feasibility study is scheduled for completion by the end of this year.
Speaker Change: With construction expected to start in 2020 five.
Speaker Change: The expansion will transform the water into a major copper mine with a loss of more than 30 years.
Speaker Change: A planned shutdown and lower grades reduced production in quarter one.
But again, higher grades going forward will deliver improvements through the year. Barrick also, on the back of all the rumors in the market, continues to work with SESCO to alleviate pressure on the Zambian power grid, and we do not expect any power shortages to impact production. We are in the process of finalizing a power supply agreement with SESCO which will secure offtake from Mozambique. And, in addition to this, we have implemented a co-generation program using our diesel standby generator. This will provide alternative sources of power of some 29 megawatts, which is more than 50 percent of the Lamarna's current device.
Speaker Change: But again, the higher grades going forward will deliver improvements through the year.
Speaker Change: Barry closer on the back of all the rumors in the market continues to work with Cisco.
Speaker Change: To alleviate the pressure on the Zambian power grid, and we do not expect any power shortages to impact production.
Speaker Change: We are in the process of finalizing a power supply agreement with Cisco.
Speaker Change: Which will secure offtake from Mozambique.
Speaker Change: And then in addition to this we have implemented a cogeneration program using a diesel standby generators.
Speaker Change: This will provide alternative sources of power of some 29 megawatts, which is more than 50% of the Ala Moana is current board.
I've often said, That exploration is to a mining company what R&D is to the pharmaceutical industry. Discovery and Development, are the only true drivers of value creation in the mining industry. Our teams continue their search for tier one opportunities across the world's gold and copper regions as shown on this map. In the United States we continue to advance our Nevada portfolio both in the joint venture as well as in Barrick's name itself, along with developing opportunities in a number of other prospective states. In Canada, we're developing our growing portfolio of projects, across the Superior Craton. And in Latin America, we're testing priority targets around Valderra, Pueblo Viejo, Ecuador, Peru, and more recently, Jamaica.
Speaker Change: I've often said.
Speaker Change: That exploration is to a mining company, what R&D is to the pharmaceutical industry.
Speaker Change: Discovery and development.
Speaker Change: The only true drivers of value creation in the body industry.
Speaker Change: Our teams continue their search for tier one opportunities across the worlds gold and copper regions.
Speaker Change: As shown on this map.
Speaker Change: In the United States, we continue to advance our Nevada portfolio.
Speaker Change: And the joint venture as well as in Barrick's name itself.
Speaker Change: Yeah.
Speaker Change: Along with developing opportunities in a number of other prospective states.
Speaker Change: In Canada, we are developing a growing portfolio of projects.
Speaker Change: Across the superior congrats on.
Speaker Change: And then Latin America, we testing priority targets around whether there are popular with the Ecuador, Peru and more recently Jamaica.
And in Africa, I mentioned the high potential targets around Lulugonkoto and Kobali earlier. And we're increasing our groundholding in many of the countries where we operate. And in Pakistan, our geologists are focused on unlocking the maximum value of the multiple known porphyries within the Rekha Deck project area, as well as looking for new near-mine discoveries.
Speaker Change: And in Africa mentioned, the hot potential targets around new look on Carter in Kibali earlier.
Speaker Change: And we are increasing our ground holding and many of the countries where we operate.
Speaker Change: And then Pakistan a geologist so focused on unlocking the maximum value of the multiple no in Nepal freeze within the rig could dig project area as well as looking for new near Baden.
Speaker Change: Discoveries.
And in Saudi Arabia, we've agreed with our partner Mardin to add additional ground around Jabal Saeed and Umar Damar and beyond, to the joint venture. As I touched on earlier... Our transition to clean energy, is making steady progress, and not only propels us towards our goal of a 30% reduction in greenhouse gas emissions by 2030, but also drives efficiency, and Katz Kost. Another object, of key importance to us is ensuring we have a minimum impact on our environment today and for future generations. Our support of the Grumman National Park and the DLC and the protection of the sage-grouse population in Nevada are just two examples of our approach to biodiversity.
Speaker Change: And in Saudi Arabia, we've agreed with our partner BARDA and to add additional ground around job outside and Omar double N beyond to the joint venture.
Speaker Change: As I touched on earlier.
Speaker Change: Our transition to clean energy.
Speaker Change: <unk> is making steady progress.
Speaker Change: And not only propels us towards our goal of a 30% reduction in greenhouse gas emissions by 2030.
Speaker Change: But also drives efficiency.
Speaker Change: And cut costs.
Speaker Change: Another object of key importance to us is ensuring we have a minimum impact on our environment today.
Speaker Change: And for future generations.
Speaker Change: Our support of the Grumbling National Park, and the DLC and the protection of the Sage grouse population in Nevada are just two examples of our approach to biodiversity.
So ladies and gentlemen, to wrap up my presentation today... I thought it was worth recapping all the reasons why Barrick represents a standout investment opportunity. How you can see there are many great reasons which differentiate us from our peers, including our unraveled reserve replacement track record. High Quality Asset Portfolio, and Industry Leading Balance Sheet, which will ensure we can afford our future growth, and deliver more value to our shareholders. Today, we are the most undervalued major gold and copper mining company in the industry.
Speaker Change: So ladies and gentlemen to wrap up my presentation today.
Speaker Change: I thought it was worth recapping all the reasons why Barrick represents the standouts investment opportunity.
Speaker Change: How you can see there are many great reasons, which differentiate us from our peers.
Speaker Change: Including our unrivaled reserve replacement track record.
Speaker Change: High quality asset portfolio.
Speaker Change: And industry, leading balance sheet.
Speaker Change: Will ensure we can afford our future growth.
Speaker Change: And deliver more value to our shareholders.
Speaker Change: Today, we are the most undervalued major gold and copper mining company in the industry.
But as we deliver on our operational plans and growth projects, I have no doubt that will change. Included in our portfolio, is a copper business, which is already a significant contributor, and Possessions to Grow. We have all seen the excitement around the latest BHP bid for Anglo-American.
Speaker Change: But as we deliver on our operational plans and growth projects I've no doubt that will change.
Speaker Change: Included in our portfolio.
Speaker Change: Is the copper business, which is already a significant contributor.
Speaker Change: And positioned to grow.
Speaker Change: We have all seen the excitement around the latest BHP bid for Anglo American.
And it's clear that the driver of this bid is Anglo's significant copper portfolio. You might be interested to know that when we have finished the LeMoyne expansion and the Rickerdeck Project Construction, our copper production will be on a par with Anglo's copper portfolio today. That's certainly not valued, and our stock is currently.
Speaker Change: And it's clear that the drive of this bed is Anglo significant copper portfolio.
Speaker Change: You might be interested to know.
Speaker Change: That when we have finished the la manana expansion.
Speaker Change: And the rig codec project construction.
Speaker Change: Copper production will be on a par with anglers copper portfolio today.
Speaker Change: That's certainly not valued in our stock currently.
Lawson Winder: On that note, I will end my presentation, and we would be happy to take questions starting here in Toronto with the audience and before going to those connected through the webcast. Thank you very much for the presentation, Mark Lawson Winder from Bank of America Securities. I wanted to ask two questions.
Speaker Change: On that note I will end my presentation.
Speaker Change: And we would be happy to take questions starting here in Toronto with the audience and before going to those connected through the webcast.
Speaker Change: Okay.
Speaker Change: Yeah.
Speaker Change: Yeah.
Speaker Change: Thank you very much for the presentation, Mark Lawson Winder from Bank of America Securities.
So first, the commentary on the 2024 outlook around the royalty. I just wanted to understand if you guys are concerned at meeting that cash cost guidance in the event that the gold price averages above $2,100 per ounce. So, um...
Speaker Change: I wanted to ask two questions. So first would be just about the commentary on the 2024 outlook around the royalty I just wanted to understand if you guys are concerned.
Speaker Change: At a meeting that cash cost guidance in the event that the gold price averages above $2100 per ounce.
Speaker Change: So.
I mean, Lawson, it's all in the models and the plans going forward. And as I said to you, if you look at it, I'll just step you through it. So Nevada is at a place now where we are absolutely, clear about our, Cost and our production challenges and opportunities and I've been really working on flattening that structure and getting ownership at the mine site for those that have, visited, you know, to our minds recently.
Speaker Change: I mean loss and it's it's all it's all in the models and the plans going forward and as I say to you. If you look at I'll just take a step you through it southern Nevada is at a place now where we are absolutely clear.
Speaker Change: Clear about all cost out production challenges and opportunities.
Speaker Change: We're already working on flattening that structure and getting our ownership at the mine site for those that have Vince.
And the big driver, if you look at it, in Carlin is... You know, slightly softer, as per the overall grade that we're forecasting for this year, slightly softer, uh... caught out on colin because of the great, bigger throughput, so we managed to get our gold production, but the grade starts lifting up. And so we have an opportunity to drive down the cost. There are two big drivers in Nevada, that one and Turquoise Ridge.
Speaker Change: Visited.
Speaker Change: All lines recently and.
Speaker Change: And the Big driver, if you look at it and calling us.
Speaker Change: Slightly softer.
Speaker Change: As per the overall grade that we are forecasting for this year.
Speaker Change: Slightly softer.
Speaker Change: Quarter on call and because of the grade but it's.
Speaker Change: A bigger throughput so we managed to get our gold.
Speaker Change: Gold production, but the grade starts lifting up.
Speaker Change: And so we have an opportunity to drive down the costs and so that's that's a big driver of the two big drivers in Nevada that one.
Speaker Change: And turquoise Ridge and turquoise Ridge is all about backhaul and making sure that the infrastructure to support out that full because turquoise ridge is a high grade bond low cost.
And Turquoise Ridge is all about backfilling and making sure that the infrastructure is there to support our backfill because Turquoise Ridge is a hard grade behind low cost. But it's, uh, geotech is challenging, so you've got to manage. The extraction was backfill, and we needed to really put some more redundancy into our backfill infrastructure to make sure we could meet our plans, and that's what we did. At the same time, we went down for a big planned maintenance on the Sage Mill, and so those two drivers are the ones that catch us up on the guidance and bring the cost down because they are the Turquoise Ridges. More Tons, Higher Grades, and so is Carlin, for different reasons.
Speaker Change: But it's a G O Tex is challenging so you've got to manage.
Speaker Change: The extraction with backhaul and we needed to really put some more more redundancy into our back full infrastructure to make sure. We can meet our plan. So that's that's what we did at the same time, we went out for a big plant maintenance on the Sage milk.
Speaker Change: And those are those two drivers are the ones that catch us up on the guidance and bring the cost out because.
Speaker Change: They all the turquoise ridge is.
Speaker Change: More tightens higher grade and so there's call it for different reasons.
And that's help, as you know, that's the best way to deal with costs, on a cost-per-ounce base. I would point out that the team has been really focused. As you know, I've always really.., been focused on, and that is the unit cost per ton. So we're much more comfortable that we're on top of that game on our unit cost per ton in Nevada, which is really the thing that ultimately drives, The overall cost per hour, um in latin america and Asia Pacific, the key is Validera, and again, We've now, you know, we, we would have made our guidance last year if Valdera had got the ramp up right, but we had the conveyor belt infrastructure collapse. Sorry, PV.
Speaker Change: That's helpful.
Speaker Change: That's the best way to deal with cost.
Speaker Change: On a cost per ounce base I would point out that the team has been really focused.
Speaker Change: You know I've always ready.
Speaker Change: <unk> focused on is that as the unit cost per tonne.
Speaker Change: So we're much more comfortable that we're on top of that game on a unit cost the topic in Nevada, which is really the thing that ultimately drives the overall cost per ounce.
Speaker Change: In Latin America.
Speaker Change: And Asia Pacific are the key is valid era.
Speaker Change: And again.
Speaker Change: We've now.
Speaker Change: We we we would've made a guidance last year. It fell out there I had got a ramp up rock.
Speaker Change: We had the conveyor belt infrastructure collapse.
Speaker Change: Sorry P V.
Thank you for that. So we would have made our gardens if we had got PV right, but we had that collapse right in the fourth quarter. And what I said last time we spoke is that's an engineering challenge, which we've actually addressed now. We've rebuilt it, commissioned it, it's dark. So now we're ramping up the tons, which you saw, and with that comes the fine-tuning of the.., of the flotation circuits and we need the full. ThruPod to be able to get that flotation circuit finely tuned.
Speaker Change: So we would have made our guidance if we had got P V rock, but we had that collapse rights in the fourth quarter.
Speaker Change: And what I said last time, we spoke because that's it that's it.
Speaker Change: Engineering Challenge.
Speaker Change: Which we've got to actually address now we've rebuilt that commissioned that it's so now we are ramping up the Titans, which you saw and with that comes the fine tuning of the.
Speaker Change: Of the floatation circuits, and we need the full throughput to be able to get that flotation circuit finely tuned.
That is the, that's really the driver of the overall cost, because it picks up the recovery, the grade there. It's not a high-grade mine, but the concentration, the flotation concentrates the grade, and PV is a low cost producer naturally so because a lot of the the feed we're using is stockpiled already it's already mined, So that's the other driver. And then the final driver was Kibale.
Speaker Change: That is the <unk>.
Speaker Change:
Speaker Change: That's really the driver of the overall cost because it picks up the recovery the grades they it's not a high grade mine, but the concentration the floatation concentrates the grade.
Speaker Change:
Speaker Change: And.
Speaker Change: And P V is that low cost.
Speaker Change: Cost producer naturally so because a lot of this the feed we are using is stockpiled at radius or demand.
Speaker Change: So that's the other driver and then the final driver was Kibali and again, that's a mine plan driven process. If you look at the run rates in the other bonds were in good shape.
And again, that's the mine plan-driven process. If you look at the run rates in the other mines, we're in good shape. But Kibale, we had to do those pushbacks on the two pits because Kibale is.
Speaker Change: But kibali, we had to do that was pushed back on the two pets because kibali is.
It's always relied on the flexibility that the open pits give to utilize the excess throughput capacity in the plant, and we needed to get those pits open. And so that impacted production for Quota One and Quarter two, there was a big lift in both grade and throughput. And so, and then we're at the run rate on the production profile. It's going to be more of the same for the next three quarters.
Speaker Change: It's always relied on the flexibility that the open pits give to utilize the excess throughput capacity at the plant and we needed to get those pits open.
Speaker Change: And so that impacted the production.
Speaker Change:
Speaker Change: For quarter, one and.
Speaker Change: Quota to Theres, a big lift in and both grade and throughput.
Speaker Change: And so and then we were at the run rate on the production profile of Lula's U.
Speaker Change: It's got to be more of the same for the next three quarters.
Speaker Change:
Again, we've introduced open pits into North Myra as you know. We spoke about it last year a couple of times. We've got the underground now working and it's about optimizing that and again there was some scheduled.., work to be done in North Mara which impacted, on um and we again we'll see a small pickup in grade this quarter too and then quite a big pickup in grade going out uh on the back half of of this year, and um really that's so you know you have me articulating the profile and and so when you know whereas in the beginning of last year we we were we had a catch up whereas this year we're we're on plan and and it's very clear to to us, Of course, the one thing that's good about where we are is that we've been diligently working to get that. What's the right word?
Speaker Change: The other one is north Mara again, we've we've introduced open pits into North Florida. As you know we spoke about last last year a couple of times.
Speaker Change: You've got the underground all working and it's about optimizing that and and again there was some schedule.
Speaker Change:
Speaker Change: Work to be done in north Mara which impacted.
Speaker Change: On and we again realty.
Speaker Change: Pick up in grade.
Speaker Change: This quarter too and then quite a big pickup in grade going out.
Speaker Change: Oh in the back half off.
Speaker Change: All of this year.
Speaker Change: And really that so yeah.
Speaker Change: Can you help me.
Speaker Change: Articulating the profile and.
Speaker Change: And so when you know, whereas in the beginning of last year. We were we had a catch up whereas this year.
Speaker Change: We're on plan.
Speaker Change: And it's very clear to us.
Speaker Change: Of course, the one thing that's good about where we are is that we've been diligently working to get that.
Speaker Change:
Speaker Change: That.
Inflection point on production, and it was going to be last year, but with the PV, the difference between a good and great company is that a great company can leave good luck. So when you look at the expanding margins with the higher gold price. We've got that to help us, and we've got the cost coming down, and so you know we're in a reasonable position going forward to expand our margin, which is what we work for every day.
Speaker Change: And what's the right word inflection point on the production and it was gonna be last year, but with a P V.
Speaker Change:
Speaker Change: Hesitation, we pushed that into this year.
Speaker Change: But we're really at that stage, so we've got a and and and I always say to the team.
Speaker Change: The difference between a good and great company is a great company clinics. They leave a good luck. So when you look at the.
Speaker Change: Expanding margins with a higher gold price.
Speaker Change: We've got that to help us and we've got the the costs coming down.
Speaker Change: And so you know we're in a reasonable position going forward to to expand out.
Speaker Change: Margin, which is what we what we work for every day.
Thank you very much. And it was hard not to notice in your presentation slides, a major focus on some of the exploration success and the huge amount of exploration targets that you guys have. I mean, it is a great part of the story. Maybe this is a little early in the year to be asking, but I'll try anyway.
Speaker Change: To answer your question that was perfect. Thank you very much and it was hard not to notice in your presentation slides are a major focus on some of the exploration success and the huge amount of exploration targets that you guys have I mean, it is a great part of the story.
Speaker Change: Maybe this is a little early in the year to be asking but I'll try anyway, but what are your thoughts on reserve replacement this year and in gold.
But what are your thoughts on reserve replacement this year in gold? So I think for the first time, Nevada's gonna get close, if not achieve it, eh, Simon? So in Nevada, we've got to a five-year plan now, which is a big step forward, and we've got some very exciting stuff, and we've got stuff that's still working, you know, the extensions to the Great Alevil is real, and that's not all baked into our plans.
Speaker Change: So I think for the first time.
Speaker Change: Nevada has got a get close if not achieve it tastes salmon.
Speaker Change: So Nevada, we've got to a five year plan now so which is a big step forward and we've got some very exciting stuff and they've got stuff that still working another extension to the greater Leavell, Israel. This and that's not all in baked into our plans.
The new modeling that we've done in Turquoise Ridge, if that is a duplication of those foals below the main horizon which is in the reserves, that's an exciting development. We haven't quantified it yet, but it's significant. Do you want to add anything else, Simon? Just speak up.
Speaker Change: We are then you are modeling that we've done in turquoise ridge, if that is a duplication all those falls.
Speaker Change: Below the main horizon, which we've.
Speaker Change: Which is in the reserves, that's an exciting development, we haven't quantified it yet, but it's it's significant.
Speaker Change:
Speaker Change: Do you want to add anything else salmon just speak up there.
Okay, yeah. So, and, and once we finish the feasibility in Pakistan, it's like 15 million ounces of gold. How much?
Salmon: Okay, so that I'll do that and and once we finish the feasibility in Pakistan, It's like 15 million ounces of gold how much.
Simon Jimenez: 13 million ounces of gold and a whole bunch of copper. So, you know, we really show a big step up in our reserves, uh... going forward. And I think, you know, Lulo... Shabbat shalom. The same, just adding the answers they want. Marcus, Greg Barnes from TD.
Speaker Change: 13 million ounces of gold and a whole bundle of copper.
Speaker Change: You know we already show a big.
Speaker Change: A step up in our reserves are going forward.
Speaker Change: And I think you know well Lula.
Speaker Change: Nobody they all.
Speaker Change: I'm, just adding the answers they want.
Greg Barnes: Couple of questions. One, a PV. We've got the ramp-up slide in terms of tons throughput, I think that's what it is without my glasses. In terms of recovery, when do you think you get that optimized? Is that through the course of the year and by 2025 you're at full run rates there both on throughput and grade and recovery? So, um, you know, the grade in PV is around 2.4, plus or minus a gram and a half, either side. And we blend the...
Speaker Change: Mark It's Greg Barnes from TD couple of questions one.
Greg Barnes: P V.
Greg Barnes: Got the ramp up slide in terms of tonnes throughput I think that's what it is without my glasses.
Greg Barnes: Terms of grade well I mean in terms of recovery when do you think you'd get that optimizes that through the course of the year and by 2025, you're at full run rates, they're both on throughput and grade and recovery.
Speaker Change: Yeah, the grade and in PV is around two point full plateau modest grabbing a half either thought and we blend the.
The oil out of the pit with the stockpiles, that's what we're doing, and we concentrate that into the autoclaves. And one of the things that we did in the ramp-up last year is that, just to remind you, we built this new flow sheet, and what it did is it added fuel to the autoclave. So we put the autoclaves into a higher temperature regime, and so we added... uh... uh... a cooling vessel, effectively a flash point so we could flash off the heat when it got hot.
Speaker Change: The all out of the pit with the stockpile. So that's what we're doing and we concentrate that into the <unk>.
Greg Barnes: Into the autoclave, so we and one of the things that we did and the ramp up last year is that just to remind you. We had we we we built this new flow sheet and what it did is it added fuel to the autoclave. So we put the order craves into a higher.
Greg Barnes: Temperature regime, and and so we added.
Greg Barnes: Technology Flash Ah.
Greg Barnes: Our cooling vessel effectively a flash point, so we could flesh off the heat when it got hot Hot.
But with the stumbling last year, we had to go back to run of mind. , , , , , , , , So to take runnermine feed and to take the higher concentrate high sulfur feed, which is much more efficient because it's at a higher temperature. So we've got a much more flexible flow sheet. We are now at that stage, to your point Greg, running up the throughput. We need that throughput to get to the sort of nameplate, to be able to optimize the float circuit.
Greg Barnes: But with the gambling last year, we had to go back to run up on feed on the autoclave. So we so we ended up having in two of our clubs times, having the ability to do both so to take run of mine feed and to take the higher concentrate hot sulfur feed which is much more efficient.
Greg Barnes: Because it's at a higher temperature so we've got a much more flexible flow sheet.
Greg Barnes: We are now at that stage to your point, Greg running up the throughput we need that throughput to get to that sort of nameplate to be able to optimize the float circuit, we are getting the float up already.
We are getting the float up already, then that's the recovery, and we've had pretty much every expert operational and metallurgical from the Barrick group and some outside help just to manage that reagent suite because that's the trick. We've done all the test work, we test all the time, we're comfortable with the targets, we've just got to settle the throughput run rate. And that's what you see in the slide, is that during that build-up, there's still a little bit of dynamic in the feed, but we're getting there. The second question is about Marley. How far apart are you?
Greg Barnes: That's the recovery.
Greg Barnes: And we've had a.
Greg Barnes: Pretty much every expert operational and metallurgical problems.
Greg Barnes: From the Barrick group and some outside help just to manage that reagent suite because that's the trick.
Greg Barnes: We've we've done all the test work, we test all the time, we comfortable with the targets. We've just got a central the throughput run rate and that's and that's what you see in the in the slide is that during that goes up there's still a little bit of a dynamic in the.
Greg Barnes: Feet, but we're getting there.
Greg Barnes: Yeah.
Greg Barnes: The second question is around Molly.
Because I know the government has approached you with new demands. Is this a wide gap, or is it something you... is this going to be a problem that can be resolved very quickly, or is this going to be a situation that drags on for some time? I think it's, you know, I've spent a lot of time there and Sebastian Bach, who runs Africa and the Middle East, has spent more. So we spent a lot of time engaging.
Speaker Change: How far apart are you because I know the government has approached you with you with new demands is is this a wide gap or is that something you can they can resolve very quickly or is this going to be a situation that drags on for some time so.
And what happened was like any sort of revolution inverted commas because it was effectively a very uncomfortable situation between the population and the civilian government, which was less than sort of efficient, to say it a lot.
Greg Barnes: There's obviously a lot of time, there and and Sebastian Bach, who runs Africa Middle East is paint more.
Greg Barnes: So we spent a lot of time engaging and what happened was like any sort of revolution embedded comments because it was effectively.
Greg Barnes: A very uncomfortable situation between the population and the civilian government, which was less.
Greg Barnes: Less than sort of.
Greg Barnes: Efficient.
Greg Barnes: Two two.
Greg Barnes: To say it politely.
And so it drove this change, as we've seen before in Mali. And so immediately the transitional government which was formed headed by the junta was looking for ways to get more out of the mining industry because that's their only lever to pull. So they did an audit, which again we supported. We're never shy of supporting orders. But the objective of that audit initially was, to try and find fault, rather than look for opportunities to build a better industry, which is what we all agreed we would do, including the people in authority.
Greg Barnes: And so it drove this change as we've seen before and body.
Greg Barnes: And so immediately that the the transitional government, which was formed headed by the junta, who was looking for ways to get more out of the mining industry because that's the only.
Greg Barnes: Leave it to poll, so they did a audit which.
Greg Barnes: Which again, we supported win win never shot of supporting orders.
Greg Barnes: But the objective of that audit initially was.
Greg Barnes: To try and find fault rather than look for.
Greg Barnes: Opportunities to build a better industry, which is what we all agreed we would do including the the people in and authority.
Anyway, it took them a long time to release that report, which we have now. So we've been able to respond to it and sit down with the Ministry of Finance at this stage, and more recently, there's a Minister of Mines that is engaging with us. So that's where we are with the engagement. And we have, just to try and explain, Marley's... Government, um... Organs are largely intact, and then you've got the junta with a sort of executive that they've appointed over... Arching the the the normal organs of government and mine is quite a bureaucratic, Structure, Bureaucratic Government, And we know all the people and we've got to know the new people in power.
Greg Barnes: Anyway, it took them a long time to release that report, which we have now so we've been able to respond to it and and sit down with the Ministry of finance at this stage and more recently, there's a minister of bonds that is engaging with us. So that's the way we all with engagement.
Greg Barnes: And and we have Oh, just to try to explain marlies.
Greg Barnes:
Greg Barnes: Government.
Greg Barnes: Hum.
Greg Barnes: Oh goodness are largely intact.
Greg Barnes: And then you've got the June to with a sort of executive that they've appointed over.
Greg Barnes: <unk>.
Greg Barnes: <unk> that the the normal organs of government in Mali has quite a bureaucratic.
Greg Barnes: The structure of bureaucratic government.
Greg Barnes: And we know all the people and we've got to know the new.
Greg Barnes: People and power.
And so some so my natural reaction is if you're coming up with, uh..., claims, you should have a model, a basis on which it is raised, and And so you should share it with us. And of course, we've got a model so we can put the two together and we can work out who's right and who's wrong or where it is and, and, and find a way forward. And as you know, I've always preferred to engage, and I've already had that conversation.
Greg Barnes: And so some modern natural reaction is.
Greg Barnes: If you're coming up with.
Greg Barnes: Claims you should have a muddle the basis on which it is raised.
Greg Barnes: And.
Greg Barnes: So you should share it with us and of course, we've got our bottles. So we can put the two together and we can work out who's right and who's wrong oil, where it is and and.
Greg Barnes: And find a way forward and as you know ive always prefer to engage in that I've already had that conversation.
Yeah, should we be looking to, find a solution together or should we be fighting because we can go to arbitration, and get a competent authority, again, as we've done in the past in Mali. And both parties agree it's much more constructive to engage. So that's where we are and the 2023 mining code which has been approved now and we're waiting for all the regulations, specifically provides for [inaudible] Old order rot, to coin a phrase, to accept the 2023 Code when the permits.., come up for renewal. We haven't come up for renewal, we've got two different permits, they're quite far apart as far as times go.
Greg Barnes: Should we be looking to.
Greg Barnes: Find a solution together or should we be farting, because we can go to arbitration.
Greg Barnes: And in and get a competent authority again as we've done in the past and body.
Greg Barnes: And both parties agree it's much more constructive to engage.
Greg Barnes: So that's the way, we are and and the 'twenty to 'twenty three mining code, which has been approved now and we're waiting for the regulations.
Greg Barnes: Specifically.
Greg Barnes: <unk> provides full.
Greg Barnes:
Greg Barnes: Hey.
Greg Barnes: Old order rot to coin a phrase.
Greg Barnes: To accept the 'twenty two 'twenty three code.
Greg Barnes: When the permits.
Greg Barnes: Come up for renewal.
Greg Barnes: We haven't come up for renewal, we've got two different permits that quite far apart as far as Tom has got.
But again, like we've done in all our countries, we would prefer to debate it, and we did it with actually the civilian government beforehand, and engage ahead of time, and our position is.., where we find good reason for us to be able to improve, you know, things like that were never in our 1991 code because the current convention is now a, it's, it's, it's morphed from the 91 code because we've accepted changes as we go and, and so it's, that's the debate. And of course, we're dealing with people that are not particularly. Competent in the Mining Industry.
Greg Barnes: But again like we've done in all our countries, we would prefer to debate it and we did it with the activity of the civilian government beforehand.
Greg Barnes: And then gauge I head up top and and and and our position is where we find good reason for us to be able to improve our you know things like that we're never in a 1991 cut because the current convention is not a.
Greg Barnes: It's it's morphed from the 91 cut because we've accepted changes as we go in and so that's the debate.
Greg Barnes: Of course, we are dealing with people that are not particularly.
Speaker Change: Got it.
Speaker Change: Competent in the mining industry.
Dennis Mark Bristow: So, and our argument is be careful you don't compromise the benefits to Marley, by taking too much and eroding the value of the all-bodies that we've defined. And it's a complicated debate and, you know, for me to say it's going to be easy, look, we've had some very engaging conversations in Mali over the last... 28 years. And that's where we are. So, and, but one thing I can tell you is that.
Speaker Change: So and at our argument is be careful you don't compromise the benefits to Bali.
Speaker Change: By taking too much and eroding the value of the ore bodies that we've defined and it's a complicated debates and you know for me to say, it's going to be easy look we've had some very engaging conversations and moly over the last.
Greg Barnes: 28, yes.
Greg Barnes: And that's where we are.
Greg Barnes: So and but one thing I can tell you is that.
Dennis Mark Bristow: We've challenged the authority about these rumors, and they have very clearly said to us in writing that they have no intention of.., expropriating their assets, so you know that's and that's all I can tell you at the moment, but it is dynamic, it is a very stressed economy, we are dealing with the all the five of the G7 countries have full embassies in the in the country, everyone's concerned about taking this this country forward particularly the Western powers, and definitely the Malian authorities are clear that they want to do something that's good for, Marley. They're not trying to sort of take Marley and, well that's certainly what they've told me directly. So, you know, I'm sorry I can't give you more granularity, but I'm actually, as I usually do, I'm just giving you the lie of the land. Mark Anderson.
Greg Barnes: In the we've challenged the authority about these rumors.
Greg Barnes: They have very clearly said to us in writing that they have no intention of.
Greg Barnes: Expropriated that's it so yeah. That's that's all I can tell you that's about it but it is dynamic it is.
Greg Barnes: Is that very stressed economy.
Greg Barnes: We are dealing with the all the five of the G. Seven countries have full embassies or in the country everyone's concerned about taking this this country forward.
Greg Barnes: Particularly the western a palace.
Greg Barnes: And and and definitely the the Bodleian authorities are you know are clear that they want to do something that's good for <unk>.
Greg Barnes: Bodies, and not trying to sort of take Marlin.
Speaker Change: Well, that's certainly what they've told me correctly.
Speaker Change: No I'm, sorry, I can't give you more granularity, but I'm actually as I, usually do I'm, just giving you the lay of the land thanks, Mark I'll hand it over.
Greg Barnes: Hum.
Jackie Przybylowski: Hi Mark, it's Jackie Przybylowski at BMO. Maybe just to dig into that a little bit more, if you could talk about the government in Mali and its stability. I'm just not familiar with the structure of the military juncta. How stable is that, and do you expect any kind of change to the structure of that government over time? Well, I think you're asking me to say something that I'm not prepared to say. So, um, you know, this is the third... Military leadership the countries had had. The first was very short-lived. The overall intention, and by its very self-definition, it has defined itself as a transitional government.
Jackie Price: Hey, Mark it's Jackie price, we'll see at BMO, and maybe just to dig into that a little bit more if you could talk about the government in Mali, and the stability and I'm just not familiar with the the structure of our military jumped at it like how how stable is that and do you expect any kind of change to the structure of that government overtime.
Speaker Change: You're asking me to say something that I'm not prepared to say so yeah. This is the third.
Greg Barnes: Military leadership the country's head.
Greg Barnes: The one was very short lived.
Greg Barnes: The overall intention and and by its very self definition, that's defined itself as a transitional government.
Greg Barnes: The intention is moving to that two two to reintroduce normal civilian government going forward and as you know there's a lot of strength in that region, we've seen a J.
Greg Barnes: <unk> moved to a military government southern as giddy when.
Speaker Change: Yeah, they're big investments going on and I I know a part so that whole region is.
So that whole region is a challenging environment, and the enemy is ISIS, the radical Muslim movement in the Sahel. So, you know, it's very complicated, and none of them are particularly in doubt apart from... Apart from getting, Sorry, I didn't mean to try and catch you on something. On another topic, can you maybe talk about Porgra and how this startup is going there, given the mine's been down for a while? Anything I can say is going surprisingly well, but sometimes it's like running in the dark. You don't particularly know what the next challenge you're going to get.
Speaker Change: Is is is it a challenging environment and and the the enemy as office the radical Muslim movement in the Sahil. So yeah. There's a it's very complicated and none of them are particularly in doubt apart from.
Greg Barnes: From Guinea.
Speaker Change: Sorry, I didn't mean to try and catch on something Hum on another topic can you maybe talk about pork right and how old the startup is going there just given the mine has been been down for a while.
Greg Barnes: And I think what I'd say is surprisingly well.
Greg Barnes: [laughter], but sometimes its not running in the dark.
Greg Barnes: Particularly though what next challenge you Gotta get but.
But since we've since moved to the official startup, and then we engaged with the Heller province on restarting the gas, power stations which are on the next door province, re-erecting the pylons that carry the power through to the mine. We've done all that.
Greg Barnes: Since we since we moved to the official start up and then we engaged with the Hella province on restarting the the guess.
Greg Barnes: Pods.
Greg Barnes: Power stations are charting the next door province, redirecting the pylons that carry the pass through to the bottom we've done all that we've commissioned the generation facility and were feeding them on so you know and we are ramping up and we did a lot of <unk>.
We've commissioned the generation facility, and we're feeding the mine, and we're ramping up. And we did a lot of pre-work on ramping up, but so far, it's going well. So far, we're ahead of schedule. Great, thank you very much.
Greg Barnes: Pre work on on ramping up but so far it's going well. So far we are ahead of that.
Speaker Change: Great. Thank you very much.
Mark, this is Ralph Profiti from 8 Capital. I'm just wondering, as you move to this feasibility study at PV coming in Q3, is a lot of that going to be sort of the recalibration and retooling of the equipment that's happened over the past few months? And can you talk a little bit about some of the tailings facility management changes that have been going on and that are going to go into that study?
Speaker Change: Mark This is Ralph <unk> from eight capital I'm, just wondering as you move to this.
Ralph: Feasibility study at P V coming in Q3 is a lot of that going to be sort of recalibration and retooling of the equipment. That's happened over the past few months and can you talk a little bit about some of the tailings facility management changes that have been going on and that are going to go into that study.
So as far as the expansion of the processing facility, it's done. The feasibility I'm referring to is for the tailings position. We've got the permit on the back of a pre-feasibility and it will be finalized with the final feasibility study and it's all about the geotechnical. Test work on the wall and making sure that the design is as per required in a seismically active region as where PV is.
Speaker Change: So as far as the expansion of the processing facility its done.
Speaker Change: With a feasibility I'm, referring to is for the tailings position, we've we've got to put it.
Speaker Change: On the back of the pre feasibility and it'll be finalized with the feasibility final feasibility study and it's all about the CIT did geotechnical test work on the on the wall and making sure that you know the design is as per rig.
Speaker Change: Acquired in a seismically active.
Speaker Change: Our region as you know web P. V is and of course, we have the the original tailings facility, which was equally well designed as a reference in.
And of course we have the original tailings facility which was equally well designed as a reference. In the meantime, to achieve that pre-feasibility, we did all the consultations, and we've we've way down the road on engagement with the community on relocation we've I was there just a few weeks ago we are busy building the new, Towns, and they are substantial towns. I mean, they are particularly impressive towns.
Speaker Change: In the meantime, we all are we have so to achieve that pre feasibility we did all the consultations.
Speaker Change: And we've we've way down the road on engagement with the community on relocation we've.
Speaker Change: Was there just a few weeks ago, we all are busy building the nut.
Speaker Change: Towns are they are substantial town. So I mean, they're all particularly the impressive towns and and then we'll start the relocation.
And then we'll start the relocation. Some of the first relocations will happen this year, so we are progressing, we have no reason to believe that we will not complete the feasibility study and we are progressing in all the engagements and the social plans and all that sort of stuff, as well as the technical investigation to confirm the final design of the actual retaining infrastructure. And then secondly, can you just talk about delivering the pre-feasibility study at Formel and how the Newmont...
Speaker Change: Is some of the Reed rich first relocations will happen. This year. So we are progressing our.
Speaker Change: We have no reason to believe that we will not complete the feasibility study and we are progressing and all it all the engagements and the social plans and all that sort of stuff as well as the technical.
Speaker Change: Investigation to confirm the final design of the actual retaining infrastructure.
Speaker Change: And then secondly can you just talk about delivering the pre feasibility study at four ml and how the newmont gaucher patients discussions of bringing that into N. G. M. Would then kind of follow on from that so you know the right now with and I must say, it's worth just reinforcing.
Negotiations, Discussions, and bringing that into NGM would then kind of follow on from that. So, you know, the right now with the and I must say it's worth just reinforcing. I don't think people appreciate the importance of permitting.
Speaker Change: I don't think people appreciate the importance of permitting.
Gold Rush and I mean the team did an excellent job when you think of you know we started the process in 2018, and we completed it in 2023 effectively. So it's a particularly good piece of work. All the consultation, everything, as you know, it's not easy to permit mining. Projects in the United States. And we had the support of both sides of the aisle from our Senators and Congress people, that's the Federal Senate and Congress out of Nevada as well as the Nevada Governor and the Legislature in Nevada.
Speaker Change: Gold Rush and I mean, the team did an excellent job when you think of where we started the process in 2018.
Speaker Change: And we completed it in 2023 effectively.
Speaker Change: So it's a it's a particularly good piece of work.
Speaker Change: All the Consulta Asian, everything as you know, it's not easy to permit Bonnie.
Speaker Change: <unk> in United States, and we have the support of both sides of the aisle from our Senators and Congress people are the that's the federal Senate and Congress.
Speaker Change: Out of Nevada, as well as the Nevada Governor and the legislature in Nevada. So it was a and I we cut the ribbon.
So, it was, and I, we cut the ribbon, with the Governor of the States last week, so it's officially open. The four mile is an extension of that but a different style of mineralization in that you're moving the classic carlin style mineralization into a metamorphosed much more brittle rock so you get the big breccias which have been the heart of some of the famous, Super High Grades in Carlin over the years.
Speaker Change: With the governor of the state last week.
Speaker Change: Officially opened.
Speaker Change: Full body as an extension of that but a different style of mineralization that you're moving the classic Carlin style mineralization into a made up more photos much more brittle rock. So you get the big branches, which which have been at the heart of some of the famous <unk>.
Speaker Change: Our high grades and calling over the years and so you get much big a size.
And so you get much bigger size, all bodies and at a better grade. And, and so, Under the joint venture, we are... If we complete a feasibility study that proves viability... We can put it to Newmont, and there's a formula and as soon as we pass the filter on the formula we put it and there's a process of getting, calculating a market value. So not an NPV, but a market value. And also, and once that is done, Newmont are obliged to.., to either buy their share, in cash and reimburse us on all the costs that it's taken us to get there or dilute. That's the option.
Speaker Change: Uh huh ore bodies.
Speaker Change: And at a better grade.
Speaker Change: And so.
Speaker Change: Under the JV joint venture, where we all are.
Speaker Change: Uh huh.
Speaker Change: If we complete a feasibility study that proves viability.
Speaker Change: You can put it to newmont.
Speaker Change: And Theres, a formula and as soon as we pass the folks out in the Formula we put it.
Speaker Change: And there's a process of getting calculating a market value so not an NPV, but a market value.
Speaker Change: And also and once that is done newmont are obliged to.
Speaker Change: To either buy their share in.
Speaker Change: And cash and reimburse us on all the costs that has taken us to get there or dilute that's the option.
And again, as you know me, I've always been one that engages because this is a real asset. We have a good relationship with Newmont in Nevada, we've worked well together as a partnership, and so we are open to the conversation and the progress with our partners. We haven't agreed, sorry, I'm out of the office.
Speaker Change: And again as you know what I mean, I've always been one that engages them. Because this is a really a real asset and we have a good relationship with newmont in Nevada, We've worked well together as a partnership and so we haven't we we are we are open with the conversation and the.
Speaker Change: Progress with our partners, where we haven't agreed sorry I'm out of the.
So we haven't agreed, on a specific way forward, but we have agreed that we will have at the appropriate time a conversation to investigate options, because it's in everyone's interest to do that. And Newmont has some excluded ground as well, because remember this was a hostile engagement, and we had agreed that we would value the deal on the basis of the market, and there were some assets like 4Mile that wasn't valued by the market and same on their side so we've got some lower grade options that are sitting in the excluded assets but as you know in the fullness of time and mining these are real assets they come into play with the rising Oprah. In terms of formal, do you have a permit or do you have to permit, start like Gold Rush all the permitting?
Speaker Change: So we haven't agreed.
Speaker Change: On a specific way forward.
Speaker Change: But we have agreed that we will have at the appropriate time, a conversation to to investigate options because it's in everyone's oh interest to do that so that's and and Newmont has some excluded ground as well under the because if you remember this was a hostile and.
Speaker Change: Gage went.
Speaker Change: And we had agreed that we would value the deal on the basis of the market.
Speaker Change: And there were some assets lack for awhile that wasn't valued by the market and sell them on their thoughts. So we've got some.
Speaker Change: Lower grade options that are sitting in the.
Speaker Change: Excluded assets, but and as you know and in the fullness of time in mining. These are real assets that come into play with a rising oil price.
Speaker Change: In terms of a promote do you have a permit to go to you have to.
Speaker Change: Start like gold rush or the purpose of it.
It is, so there will be some permitting, but... Gold Rush helps in that permitting because of the infrastructure. We can access, is an underground mine. We can access it from a ready-permitted.., of positions. And of course, we have the under the joint venture agreement, we can also use The Installed Nevada Infrastructure, So, and right now we need to drill it out. So what we're doing in the moment is Simon's got us, we've got a focused Barrick team looking at its infrastructure layout, drilling a number of holes from surface, about a $42 million project for this year to be able to scope the project and get our head around what it's gonna entail to get a pre-feasibility study done. That's what we did. And in terms of Pueblo Viejo.
Speaker Change: There's a it's a there will be some permitting but.
Speaker Change: Gold Rush helps in that part of a team because of the infrastructure we can access.
Speaker Change: They then.
Speaker Change: The underground mine, we can access that from already permitted.
Speaker Change: Positions and of course, we have the under the joint venture agreement. We can also use.
Speaker Change: The installed Nevada infrastructure.
Speaker Change: So.
Speaker Change: And right now we need to drill it out.
Speaker Change: So what are we doing and and and and the management is Simon's got is we've got a focused barrick team.
Speaker Change: Looking at the infrastructure layer out drilling a number of holes from surface about 42 million dollar project for this year to be able to scope, the project and and and get our head around what it's gonna entail to get a free pre feasibility study that.
Speaker Change: That's what we do.
Speaker Change: And in terms of point of view.
Besides what... You know, is there any other problem that we might have, or is everything good to go and now it's just an issue of ramping it up? How long have you been in the barring industry? Nothing's perfect, but as we stand today, I mean, we set out to put this expansion in back in 2019, when we would have closed the mine in 2021, and against all opposition, or doubt we've done that and we're busy rolling that out so you know to give you an idea up until 2020, The average contribution, that Pueblo Viejo made to the corporate tax, of Dominican Republic, was 18%.
Speaker Change: Besides what.
Speaker Change: You know.
Speaker Change: Is there any other problem that we we we might have or is everything good to go.
Speaker Change: No. It's just an issue of ramping it up.
Speaker Change: [laughter], how long we've either the body industry.
Speaker Change: [laughter] that is perfect.
Speaker Change: But as we stand today I mean, we said set out to put this expansion in back in 2019, when we would have closed the bond in 2021.
Speaker Change: And and and against all opposition.
Speaker Change: Oh that we've done that and we're busy rolling that out so you got to.
Speaker Change: To give you an idea up until 'twenty 'twenty.
Speaker Change: The average contribution.
Speaker Change: That probably vehicle made to the corporate tax of Dominican Republic.
Speaker Change: It was 18%.
So we dip, in the last two years because we we had to manage with stockpiles and we didn't have access to the expanded processing plot, but now that we have. It's changed the whole province, the province in which, whole COVID period as well.
Speaker Change: So it dipped.
Speaker Change: In the last two years, because we had to manage with stockpiles and we didn't have access to the expanded processing plant, but now that we have.
Speaker Change: And we drive that cost down and back up above 800000 ounces for a very long time, we go back to that very privileged.
Speaker Change: Heavy contribution to the Dominican Republic, and I would add that P V.
Speaker Change: Is the very foundation of the power infrastructure for the whole country.
Speaker Change: And and and a big taxpayer and a big employer, it's changed the whole province, the province in which.
Speaker Change: PV is located so it is a very big and and this construction when we did the big construction expansion.
Speaker Change: What we did is we had to bring in external AR partners.
Speaker Change: Partners, but we also partner does external partners with local business partner. So we already did support the economy during the whole covered period as well. So we both have a very strong license to operate in that in that country.
So we've built a very strong license to operate in that country. Okay. Let's go. Okay, can we move to the... The telephone, uh... Participants, please. To join the question queue, you may press star then 1 on your telephone keypad.
Speaker Change: Okay.
Speaker Change: Okay. We.
Speaker Change: We can remove to the.
Speaker Change: The telephone.
Speaker Change: Participants please.
Speaker Change: That Lee.
Daniel Edward Major: You will hear a tone acknowledging your request. If you are using a speakerphone, please pick up your handset before pressing any key. To withdraw your question, please press star then 2. The first question comes from Daniel Major with UBS. Please go ahead. Hi Mark, can you hear me okay? Yeah, perfectly, thanks Teddy. Hey, thanks. Yeah, a couple of questions. Yeah, the first one, and a slightly higher level one, obviously, M&A hot topic in the sector at the moment and, One of the discussions around valuation comes around complexity of portfolios, lots of assets, lots of minority interests.
Speaker Change: To join the question queue. You May Press Star then one on your telephone keypad, you will hear a tone acknowledging your request.
Speaker Change: The speakerphone, please pick up your handset before pressing any Keith did withdraw your question. Please press Star then two.
Speaker Change: Yeah.
Speaker Change: First question comes from Daniel Major UBS. Please go ahead.
Daniel Edward Major: Hi, Mark can you hear me, Okay, Yeah perfectly thing study.
Daniel Edward Major: Hey, Thanks, Yeah couple of questions, Yes, the first one.
Daniel Edward Major: And obviously M&A hot topic in the sector at the moment.
Daniel Edward Major: <unk>.
Daniel Edward Major: One of the discussions around valuation.
Daniel Edward Major: Comes around complexity of portfolios lots of asset lots of minority interests.
Daniel Edward Major:
Daniel Edward Major: Good gold price environment. Are you looking at the portfolio and thinking of any assets you could use to streamline and recycle that capital into your expansion project? So we have, uh, you know, we have a couple that you could argue are.., um... non-call um... Tongon is one.
Daniel Edward Major: Good gold price environment, you're looking at the portfolio and thinking of any assets you could use to streamline and recycle that capital into your.
Speaker Change: Pension projects.
Speaker Change: So we have a you know we have a couple that you could argue all.
Speaker Change: Non call.
Speaker Change: Tung gone as one.
The others are strategic in the form of HEMLO, and we've put a lot of effort into repositioning HEMLO, and you'll see that, and right now it's an important component of our business because it's our only asset in Canada, and whilst we are investing heavily in Canada, we don't think it's wise for us to have, to step away from Canada. We want to grow our Canadian footprint profitably. Um, you know, the Valdera asset is managed by Antofagasta. But again, I mean, sorry, the Zeldivar asset is managed by Antofagasta.
Speaker Change: The others are strategic are in.
Speaker Change: In the form of handler, and we've put a lot of effort into repositioning hemlo and you'll see that in right now it's an important component of our business because it's the only assets in Canada and whilst we all investing heavily in Canada. We we we we don't think its wise for us to have.
Speaker Change: To step away from Canada, we want to grow our Canadian footprint profitably.
Speaker Change:
Speaker Change: The the valid there as it is managed by Antofagasta, but again I mean, sorry, the Zelda Viasat is managed by <unk>.
And again, you know, the copper price is important, our copper strategy is important. So, you know, at this stage, that's our, that's where we are. And we've got some, Work in progress in Chile, which we're quite excited about. And that's it. The rest are Tier 1 essays.
Speaker Change: And if Augusta and again, you know the copper prices important copper strategy is important. So you know at this stage that's out all that's where we are and we've got some.
Speaker Change: Our work in progress in Chile, which we're quite excited about.
Speaker Change: And that set the rest all tier one assets.
Uh, you know, there's.., fitting snugly into our strategy, so. We will, at the appropriate time, as we've demonstrated, but I think the key that I would.., answer you with is, at the time of our transactions, the joint venture between the consolidation of Barrick and Rangel as one company, we sold a non-core asset. When we looked at additional opportunities and the Nevada joint venture, we dealt with the challenging assets in the form of Long Canyon and the things that were disappointing as part of the consolidation of those joint ventures. And so we don't, you know, some people are still dragging, assets with them after big premium transactions. We don't have that problem.
Speaker Change:
Speaker Change: Fitting snugly into our strategy so.
Speaker Change: We will at the appropriate time as we've demonstrated but I think the key that out.
Speaker Change: Answer you with us at the time about transactions the joint venture between the the the consolidation of Barrick and Randgold as one company, we sold a noncore asset.
Speaker Change: When we when we looked at it additional opportunities and the Nevada joint venture we dealt with the challenging assets in the form of long Canyon and the things that were disappointing as part of the the consolidation of those joint ventures, and so we don't we.
Speaker Change: You know some people are still dragging.
Speaker Change: Assets with them after a big premium transactions, we don't have that problem.
Speaker Change:
So, um... So, Dan, I can't see, no, that's my answer. Right now, we've got really fantastic world-class assets, as I said in my presentation. You know, a reference point is just look at what BHP's suggested they could pay for. For Anglo-Americans, copper assets, arguably there's a bit of other stuff with it, but it's still a big tag and we've got it organically. So, that's our focus, and we've got our growth sits in Nevada and surrounds the rest of our portfolio, particularly PV, and then it's the exploration group that's starting to, presents significant footholds, in the major gold copper regions of the world and we believe that's the future of Barrick. Brought to you by the U.S. Department of Veterans Affairs.
Speaker Change: So Dan.
Speaker Change: Dan.
Speaker Change: See that's my answer them right now, we've got really fantastic World class a assets as I said in my presentation.
Speaker Change: A reference point. This is just look at what Bhp's and suggested they could pay for.
Speaker Change: Anglo American's copper assets arguably there's a bit of other stuff with it but it's still a big tag and and and we've got it organically.
Speaker Change: So that's our focus and we've got a gross sets in Nevada and surrounds.
Speaker Change: I rest of our portfolio, particularly P V.
Speaker Change: And then it's the exploration group that's starting to.
Speaker Change: Present significant footholds.
Speaker Change: In the major.
Speaker Change: Gold copper regions of the world and and and we believe that's the.
Speaker Change: That's the future of Barrick.
Speaker Change: Right now.
Great, thanks. And then just, One other, if I may, we've, It looks like in Rekordick, there's a deal approaching on the other side of the 50%. Does that impact your funding and kind of how you're looking at financing the project? No, not at all.
Speaker Change: Great. Thanks, and then just one other if I may.
Speaker Change: Yeah.
Speaker Change: It looks like.
Speaker Change: In Reckitt <expletive>.
Speaker Change: There's a deal approaching on the other side of the 50% does that impact your funding and.
Speaker Change: Kind of how you're looking at financing the project.
Speaker Change: No not at all.
Speaker Change: Okay, great. Thanks.
Tanya M. Jakusconek: Okay, great. Thanks. The next question comes from Tanya Jakusconek with Scotiabank. Please go ahead. Oh, great. Good morning.
Speaker Change: The next question comes from Tanya disconnect with Scotiabank. Please go ahead.
Thank you so much for taking my question. Mark, can I just ask about the elections in the Dominican Republic? You know, given everything at a high gold price and everything else going on in the world. How are they going?
Tanya: Oh, great. Good morning, Thank you so much.
Tanya: Great question.
Tanya: Mark.
Tanya: Yes.
Tanya: Yes.
Tanya:
Tanya: Hi.
Tanya: Everything else going on in the World.
Are there any things we should know about with respect to changes in royalties, taxation, anything else that would impact Pueblo Viejo? So every indication at the moment is that the President, the current President will be, will have a second term. I think there's going to be real focus to it, to build it, the private sector going forward. Okay, well, that's good. That's good to hear.
Tanya: Are there any thing we should know about with respect to changes in the royalty taxation anything else.
Tanya: Yeah.
Speaker Change: So every indication at the moment is that the president the current president will be.
Speaker Change: I have a second time.
Speaker Change: You know he he meant it when he was elected he wasn't expecting COVID-19. He did he was probably as a leader goes he probably manage that crosses better than any <unk>.
Speaker Change: Any leader in any country that we have investments in.
Speaker Change: And and and and he's been here you know you stay at a very good chip he's dealt with some of the challenges that he's had the next door neighbor challenge on top of that so that's been a challenge, but I mean, we're not expecting the opinion polls that at least indicate that he's more of that.
Speaker Change: Likely to be the successful candidate and if he is we we are he's he's he's shown.
Tanya: And the highlights of the importance of investment in that.
Tanya: And and I don't believe there's going to be but it's certainly not going to be any aggressive engagement with the private sector I think theres going to be real focus to it too bold it the private sector going forward.
Tanya: Okay.
Tanya: Yeah.
If I could ask another question just on the, actually, maybe Graham would be best to answer this one. Graham, just on the, that remind me, in Chile with Pasqualama, the $430 million, that if we don't have the mine up and running and paying by 2026, we have to pay it back. Can you remind me what you can do to push that out?
Speaker Change: Thank you.
Speaker Change: Good question.
Speaker Change: Yes.
Speaker Change: Yes.
Speaker Change: Sure.
Speaker Change: Yeah.
Speaker Change: Remind me.
Speaker Change: Sure.
Speaker Change: Yeah.
Speaker Change: Okay.
Speaker Change: Hi.
Speaker Change: Yeah.
Speaker Change: Yeah.
And any work that you're doing in Pasqualama now, and I know you're doing a PEA, is that, would that be work that can help push this out? Just remind me. I forget how the procedure goes there. So Tanya, there are really two aspects to this. The first is, obviously.
Speaker Change: Okay.
Speaker Change: Yes.
Speaker Change: Yeah.
Speaker Change: Is that would that be.
Speaker Change: Yeah.
Speaker Change: Yes.
Speaker Change: Okay.
Speaker Change: Yeah.
Speaker Change: So telling you there.
Speaker Change: Really sort of two aspects to this the first is obviously.
Speaker Change: That data has previously been pushed out preview you know from its original date, so that can always be.
Speaker Change: Negotiate it but more importantly actually.
Speaker Change: When we installed the.
Speaker Change: The electricity line from.
Speaker Change: From Chile.
Speaker Change: We actually started exporting power and and that for US is important because it helps us with that that refund because it exactly be is it meets the requirements for full production and in a sense. So so that is actually really sort of dissipated the risk associated with that.
Speaker Change: Yeah that that claim.
Speaker Change: Okay.
Speaker Change: My final question.
Speaker Change: For myself.
Speaker Change: Hi, Mark.
Speaker Change: Yeah.
Speaker Change: [laughter] for Newport.
Speaker Change: Kathy.
Speaker Change: Yeah.
Speaker Change: Sure.
Speaker Change: Yes.
Speaker Change: Hi.
Speaker Change: Yeah.
Speaker Change: Hi.
Speaker Change: With a strong Q4.
[inaudible] Is that a way I should think about your production profile? Yeah, Tanya, that's a pretty good read on it. Maybe it's 46-54 or something like that, but it's there or thereabouts. It's definitely, as we've said in our guidance, it's going to be increasing production through the year, strong finish to the year. So, yeah, that's a fair read, and Nick Hopper as well. Cup is a little more second half weighted relative to the goal.
Speaker Change: Okay.
Speaker Change: Yes.
Speaker Change: Uh huh.
Speaker Change: Yes, Tanya that's a that's a pretty good read on it maybe its 46 54 or something like that but.
Speaker Change: It's it's it's there or thereabouts, it's definitely a a as we've said it all in our guidance, it's gonna be increasing production through the a strong finish to the year. So yeah. That's it that's a fair read.
Speaker Change: Wow.
Speaker Change: Okay Cup Cup is a little more second half weighted them relative to the Gulf.
Okay, and then lastly, sorry, one more. Some companies are seeing inflation pressures come back in steel and cyanide, labor seems to have quietened down. Is that what you're seeing as well?
Speaker Change: Okay.
Speaker Change: Sorry.
Speaker Change: No.
Speaker Change: Inflation pressure.
Speaker Change: Yeah.
Speaker Change: Nathan.
I'm just trying to understand what you're seeing in parts of the world you operate in. Yeah, yeah, that's relatively consistent, we need to bring them down. It's not necessarily across the whole group, it tends to be more regional.
Speaker Change: Yeah.
Speaker Change: Wow.
Speaker Change: Okay.
Speaker Change: Hi.
Speaker Change: Yeah, Yeah, that's relatively consistent.
Speaker Change: I wouldn't say, we're seeing any continuing inflation, it's more a case of some of those key commodities.
Speaker Change: Like you mentioned in the steel bowls cyanide and explosives, where you know we've been trying to wrestle those prices back down to.
Speaker Change: 2021 process. So in a lot of other areas, we all back down to 2021 prices, but there are a few of those that have.
Speaker Change: Remain sticky and and we need to bring them down its not necessarily across the whole group tends to be more regional so north America, we have more pressure than we do in the other parts of the business and then as you say labor is not the same pressure that they once a.
So North America, we have more pressure than we do in other parts of the business. And then as you say, labor is not the same pressure that there was a year or two ago. Okay, great. Thank you so much.
Speaker Change: A year or two ago.
I'll leave it to someone else to ask, but I appreciate you taking my question. Yeah, I think just one thing about the labor in North America is, as you know, we've invested heavily in. And so that's been our focus over the last couple of years. The next question comes from Anita Soni with CIBC World Market. Please go ahead. Good morning, Mark and team.
Speaker Change: Okay, great. Thank you so much.
Speaker Change: Thanks.
Speaker Change: My question.
Speaker Change: Yeah, I think just one thing on the labor in North Americas as you know we've invested heavily in.
Speaker Change: And improving the skills of our work force in Nevada, and we starting to see those signs and so the opportunity is to lift the it's an expensive commodity are absolutely critical asset, but and and our approaches which and the team's done except.
Speaker Change: In the well and you.
Speaker Change: Driving our the skill base, so that we can improve the efficiencies and offset the cost.
Speaker Change: So that's been off that because over the last couple of years.
Speaker Change: Okay next.
Speaker Change: The next question comes from Anita Soni.
Anita Soni: Please go ahead.
Anita Soni: So a few questions mostly following on from what Tanya was asking. So firstly, Lamanna, what are the grades that were processed so much lower than what was mined? Are you pulling from stockpiles? And when will that end?
Anita Soni: Good morning, Martin so.
Anita Soni: So a few questions mostly following on what our economy was firstly romana.
Anita Soni: Great that we're close to it so much lower than what was mined are you pulling from stockpiles and when will that.
I'll let Simon answer. No, it's just a function of where we are in the pit. We're just outside the high-grade chutes, and so with the stripping at the moment, we'll open up to higher grade later in the year. Yeah, I guess the question was, though, why not feed that? Directly to the middle.
Anita Soni: So it's all of them.
Anita Soni: Tom and Bob.
Speaker Change: No. It's just a function of where we are in the pit. The we're just outside the high grade shoots and so everywhere with the stripping at the moment, we will open up the higher grade later in the year.
Speaker Change: Yeah, I guess the question was why not see that.
I thought the mind grades were much higher than that, then the process can expand, this as a long-term investment. And we'll manage that as we go, including growing some of our stockpiles. You know, that's what it is. It's going to be a back-weighted year in Lemoina, particularly. And that's what drives the point that Graham pointed out, is the Lemoina.
Speaker Change: Directly for them now I thought I thought the mine grades were much higher than that.
Speaker Change: I mean, that's great right.
Speaker Change: No I think the second just to comment the second hard off of the grade Tucson, Lynn's point because of the schedule of body does lift up and and remember we are building the base for a big expansion and so we don't want to end up.
Speaker Change: Sort of a diving down on the ore body, we need to manage this as a long term investment so.
Speaker Change: And we'll manage that as we go and including.
Speaker Change: Growing some of our stockpiles, but.
Speaker Change: Yeah. That's that's what it is it's gonna be it back.
Speaker Change: Our weighted a little more on that.
Speaker Change: Particularly and that's what drives the point that Graham.
Speaker Change: Pointed out just a little more on.
Uh, you know, much stronger back half of the, uh, in the copper side of our business. Okay, so then moving to PV, I need to get some disclosure around the about the tons that would be expected over the course of the year. Can you give a little bit of color on what kind of grades?
Speaker Change: Yeah, much stronger back half of the in the copper side of our business.
Is it pretty steady grades at 2.3 gram or will that rise or fall over the course of the year? We've got a, again, the second half of the year, and you know, this is, so the average grade for the year is about, just over 2.4. So it puts it in perspective. And then another very detailed question, at Turquoise Ridge, you mentioned the backfill situation, is that and how long will that take to, you know, to put to put right? I mean, it's obviously impacting the mining costs, underground mining costs, and I'm reading through maybe the autoclave process costs as well. But I'm just wondering when those unit costs will start to turn down.
Speaker Change: Okay. So then moving to Phoebe.
Speaker Change: Yeah.
Speaker Change: Those are around the about the time that would be expected over the course of the year can you give a little bit of color on what kind of grade is it pretty steady grades at 2.3 Gram ore.
Speaker Change: We will not rise or fall over the course of the year.
Speaker Change: Yeah, two we've got to get it.
Speaker Change: Again in the second half of the and and and and.
Speaker Change: And you know that this is so the average grade for the is about.
Speaker Change: The two point full.
Speaker Change: So it puts it in perspective right.
Speaker Change: Great.
Speaker Change: And then another very detailed question.
Speaker Change: Rich you mentioned the backfill situation.
Speaker Change: Is that and how long will that take them too cheap.
Rich: Right I mean, it's obviously impacting the mining costs are underground mine in constant and I'm reading through maybe the autoclave process cost as well, but I'm just wondering when those costs will start to trend down.
So we expect to be back up at plan, at the rolling plan at the end of quarter three. But, you know, we're working, we're now, we're ahead of the plan as far as Blackpool goes, catching up and we'll get close, but not quite on, Budget by the middle of the year, but quarter three will take us to that point. Okay, and then lastly, a similar question on Carlin.
Rich: So we expect to be back up at plan at the routing plan at the end of quarter three.
Rich: But you know we're working with now we were ahead of the plan as far as Black backfill goes catching up and and and we will get close but not quite on.
Rich: Budgets by the middle of the corridor, three will who will take us to that point.
So what can we expect in terms of, [inaudible] So grades are going to be a little lower and so they are lower in the first quarter and I'll go, I'll take you to the, so we're looking at a grade around 4.3. For the year, but it goes, you know, again, it's a, this is a very big month. And so next quarter will be better grades. And then I think the following quarter is again, a good grade.
Speaker Change: Okay, and then lastly, a similar question on Carlin.
Rich: So what can we expect in terms of.
Speaker Change: Okay, great increases over the course of the year I think that's another one where you have your grades were low in the first quarter and will rebound over the course of the year.
Speaker Change: The grades are going to be.
Speaker Change: And so they all are in the first quarter and a and I'll go I'll take you to those so we're looking at a grade around 4.3.
Speaker Change: For the but it goes.
Speaker Change: Again, it says that this is a very big mine.
Speaker Change: So next call there'll be better grades and then I think the the following quarters again, good grade and then we have a back to sort of.
And then we have a back to sort of. [inaudible] There's 10,000 to 20,000 ounces difference between H1 and H2, and, and, and, Colin's a big beast. It's, you know, you try and keep it as close to the running average as you can. And that's what it looks like on the profile.
Speaker Change:
Speaker Change: Full grams on the corner for so it's a little bit bumpy, but on average you know.
Speaker Change: There's a there's there's 10 to 20000 ounces different between H, one and H two.
Speaker Change: And and and.
Speaker Change: What was with.
Speaker Change: Collins, a big Beast. It's you know you try and keep it as close to the running average as you can and that's what it looks like on the profile.
All right, and then last and final question. Any other mill maintenance shutdowns that we should be aware of over the course of the year? Yeah, we got the big shutdown with the Gold Quarry Roadster in July, which is, we tie in the expansion, and so post-death. We will ramp up and we're forecasting this year for that back end of the year, so the last half and one quarter, we'll be up at around somewhere between 15 and 20 percent higher throughput in Gold Quarry Roaster, depending how quickly we ramp it up. And that's a big shutdown.
Speaker Change: Alright, and then last and final question.
Speaker Change: Any other mill maintenance shutdowns that we should be aware of over the course of the year.
Speaker Change: Yeah, we got the bank shutdown with the gold quarry Roaster in July.
Speaker Change: Which which is we tie in the expansion and so post that.
Speaker Change: We will ramp up and we're forecasting this year for the backend of the so the last half and and one quarter will be up there around somewhere between 15, and 20% higher throughput and gold quarry rise to depending on how quick.
Speaker Change: We ramp it up.
We're putting in, we're upgrading the converter. We're doing a whole lot of extra stuff that's really been impacting our efficiency, and we expect to bring the cost down substantially on the back of that expansion both because we got more throughput but, more importantly, because we've actually addressed some of the challenges within the ancillary equipment in that roaster.
Speaker Change: Okay. So that's a favorite round, it's a big shut down we were putting in we upgrading the convert that we do a whole lot of extra stuff, that's really being them.
Speaker Change: Impacting.
Speaker Change:
Speaker Change: Our efficiencies there and we would expect to bring the cost down substantially on the back of that is to say expansion, both because we got more throughput, but more importantly, because we've actually address some of the challenges within the.
Speaker Change: Ancillary equipment are in that roster.
Speaker Change: Alright. Thank you that's it from my questions. Thanks for taking them.
Speaker Change: Anita.
Joshua Mark Wolfson: The next question comes from Josh Rails with RFI Associates. Please go ahead. Thank you. Good afternoon, Mark. Can you hear me?
Speaker Change: The next question comes from Joshua Gale with Resi Associates. Please go ahead.
Joshua Gale: Thank you art good afternoon Mark.
Joshua Gale: Can you hear me yeah, I can tell you perfectly thank you terrific.
Yeah, I can hear you perfectly. Thank you. Oh, terrific. I was wondering if you could comment on the Donlon. Deposit in Alaska.
Joshua Mark Wolfson: Wondering if you could comment on the Don Juan.
I heard a presentation by Thomas Kaplan talking about the very high grades there and, Unknown Attendee, Unknown Shareholder, Unknown Attendee, Unknown Shareholder, Unknown Shareholder, Accelerate that potential in your mind, and then the second quick question is you mentioned that you think Barrick is the most undervalued gold company in the world. And I was wondering if you could point to a metric or two that you look at to reach that conclusion that you could share with an easy answer on Donland.
Joshua Gale: Deposits in Alaska, I heard a presentation by Thomas Kaplan.
Joshua Gale: Thinking about the very high grades there.
Speaker Change: It's just an amazing resource.
Speaker Change: Asset.
Joshua Gale: You haven't really said much about that and does the higher gold price.
Joshua Gale: Accelerate that potential in your mind.
Joshua Gale: And then the second.
Speaker Change: Quick question.
Speaker Change: You mentioned that you think Barrick is the.
Speaker Change: Cheapest gold.
Speaker Change: Most undervalued gold company in the World and I was wondering if you could point to a metric or two.
Speaker Change: You look at to reach that conclusion that you could share with us.
Speaker Change: Sure. So if you look at consensus on N. A V multiples, where I know at one time so that.
Speaker Change: Hitting on who you follow the it's around anywhere between point date, not end point not in three times, Ed I V and of course as the gold price goes above the consensus prices as the as with the copper and copper is the real driver as well is that.
Speaker Change: Expand so that's an easy answer on Dortmund.
So it's a, it's a column in a very geographically challenged area. Not geopolitical, but geographical, line item in the capital schedule. And your final note, of course, you know, rising gold prices float these types of boats. It's part of our global inventory, it's a valuable asset in our inventory. And so, you know, and we've never, said anything otherwise, so. Yeah?
Speaker Change: You know, we've always recognized that as Tom does a very large resource it is refractory to.
Speaker Change: It's Colin and varied geographic little a challenged area.
Speaker Change: Not geopolitical the geographical.
Speaker Change: Is that its a call it a deposit at 2.4 somewhere around the grams a tonne so.
Speaker Change: Infrastructure is the challenge and getting it to to.
Speaker Change: Deliver a return that meets our investment criteria has been our focus and we've been working hand in glove with another golf team are already trying to sweat every.
Speaker Change: Not to them in the capital schedule and and your final note of course, you know rising gold prices float these types of votes.
Speaker Change: Yeah, they're there.
Speaker Change: And there will be a time when another gold would would be an investment you know so that's our view it's an inventory.
Speaker Change: It's part of a global inventory, it's it's a valuable.
Speaker Change: Say it in our inventory and AR.
Speaker Change: And so you know and we've never.
Speaker Change: Third anything otherwise.
Do you want to say something, Graham? No, you said Neville Gold, but you meant Donnellan. I mean, uh, Donnellan. Yeah, but Novigold is the other part of Donlan. Absolutely, but you were referring to Donlan.
Speaker Change: Yep.
Speaker Change: No you shouldn't ever goes, but you've been doing them I mean garland.
Speaker Change: Yeah.
Speaker Change: Yeah, but nothing but Nova cold as it was the other part of it.
Speaker Change: But its yeah, you're referring to don't run it will be developed Tonight.
It will be developed. It will be developed, yes. And it is a valuable asset. Great, but not anytime soon. This is way out of the future.
Speaker Change: And it is a valuable asset.
Speaker Change: Great, but not any time soon this is way out in the future.
You try and predict the gold price. You know, Opera House is up 15, it's up 30, nearly 30. In the last 18 months, uh, yeah. Does it work at these levels if it stays, if the gold price stays here? I think it's starting to get close, yeah.
Speaker Change: You try and predict the gold price.
Speaker Change: Yes.
Speaker Change: Perhaps it was up 15, it's up 30 nearly 30.
Speaker Change: In the last 18 months.
Speaker Change: Yeah.
Speaker Change: It just didn't work at these levels if it is at stake if the gold price stays here.
Speaker Change: I think that's starting to get close yeah.
John Charles Tumazos: Terrific. Thank you. Appreciate all your hard work and commitment. Thank you. The next question comes from John Tumazos with John Tumazos Very Independent Research. Please go ahead.
Speaker Change: Terrific. Thank you I appreciate all your hard work and commitment.
Speaker Change: Thank you.
Speaker Change: The next question comes from John Tumazos, with John Tumazos, very independent research. Please go ahead.
Thank you very much, in a similar vein. You have three or four potential projects in Chile, and Copper is rebounded along with gold as well as in Alaska as well as, The Four Mile and Dorothy and other extensions of Cortez and the Nevada Gold Draveed. As you evaluate these projects, Do you assume that industry costs will rise half as much as the gold and copper prices or? Will you estimate the... Three quarters of the incremental revenue comes home to the project. How do you?
John Charles Tumazos: Thank you very much.
John Charles Tumazos: Similar.
John Charles Tumazos: You have three or four potential projects in Chile.
John Charles Tumazos: And copper has rebounded along with schools.
Speaker Change: It's where it was in Alaska, where I was.
Speaker Change: The four mile Endorsee and other extensions at Cortez in Nevada Gold.
Speaker Change: Okay.
Speaker Change: These projects.
Speaker Change: Do you assume that these discrete costs will rise.
Speaker Change: The gold and copper prices or.
Speaker Change: Well, you're asking me to it.
Speaker Change: Three quarters of the incremental revenue that comes home to the project or.
Speaker Change: Oh, how are you.
evaluates, These economics and the rising gold and copper price climate. So John, uh... Let me answer that in sort of presenting a scenario, go back to... 2020. So 2008, 2006 was the run up in the goal process, from 4.50 it was in 2005 to about $1,000 in 2009 and $1,800 in 2011.
Speaker Change: Evaluate.
Speaker Change: These economics in a rising gold and copper price environment Mark.
Speaker Change: So John.
John: Let me maybe answer that in and sort of presenting a scenario I go back to Trey.
John: 'twenty 'twenty.
John: So 2008 2006 was the run up in the gold price.
Speaker Change: Fall 50, it was in 2005 two.
Speaker Change: About $1000 in 2000, and not an $1800 in 'twenty 11th.
And if you recall, very similar to the last 24 months, where the market did some big deals on a rapidly rising gold price and um, and paid a significant premium, and that's what happened. The difference is that everyone did it because there were more majors than there are today. And then the gold price came off, and there was inflation. From 2005, from the time that China joined the global economy, it drove inflation, you know, the oil price went up, everything went up, but commodity prices routinely outperformed, so it wasn't like we've seen now, where we had inflation without the rising gold price and a big filling up as we've witnessed over the last 18 months.
Speaker Change: And if you recall them very similar to the last 24 months you've seen.
Speaker Change: Where the market has gotten some big deals.
Speaker Change: On a rapidly rising gold price.
Speaker Change: And and.
Speaker Change: And paid significant premium.
Speaker Change: And that's what happened then it's the difference so as everyone did it because they were more majors than they are today.
Speaker Change: And then they're in the gold price came off and there was inflation.
Speaker Change: From 2005 from the time that China joined the global economy. It drove that inflation you know the oil price went up everything went up but the commodity prices.
Speaker Change: Routinely outperform so it wasn't like we've seen now where.
Speaker Change: Where we had inflation without the rising gold price in a big fill up at the Ed as we've witnessed over the last 18 months. So.
The question is... And sure, that marginality, that you can make money on the margin, has traditionally been an attraction in the gold industry, but you know, you're the expert. The problem with the mining industry is taking that margin with the gold price to keep its shareholders believing that they're adding reserves. But they haven't really, so that's a challenge for our industry.
Speaker Change: And the question is.
Speaker Change: And sure they they they that marginality that that you can make money on the margin as it is a real it is always traditionally been an attraction in the gold industry, but you know you're the expert.
Speaker Change: The problem with the mining industry has taken that margin with the gold price to keep its shareholders, believing that they're adding reserves, but they havent ready so.
Speaker Change: That's a challenge for our industry, it's equally it's an equal challenge for the copper industry.
It's an equal challenge for the copper industry. And so, what we have.., work to position Barrick is a contrarian to that approach in that we focused in on the right assets, we've invested in them, and we've made sure that we've replaced the gold we've mined with the same same quality reserve we'll take that because it comes in at a very similar margin because of the infrastructure. So if you've got a $1,000 margin and you're developing the infrastructure on a $1,300 model, you can take marginal.
Speaker Change: And so what we have.
Speaker Change: Work to position.
Speaker Change: The Bakken is a contrarian to that approach and that we focused in on the right assets. We've invested in them and we've made sure that we've replaced the gold we bond with the same.
Speaker Change:
Speaker Change: Same quality AR reserve.
Speaker Change: And we do have that marginal flexibility because of our discipline on the 1300 dollar adult so if you take some of that as its not all of them because a lot of them are constrained geologically within the 1300, Edinburgh, but there are some that have.
Speaker Change: Lower grade halos around the 1300 envelop so we take that.
Speaker Change: When there's a high gold price, we'll take that because it comes in at a very similar margin because of the infrastructure. So have you got a thousand dollar margin and you're developing their infrastructure on a 1300 model you can take marginal.
Marginal in our definition, not in anyone else's, gold on that basis, and it's good business. So we do that. We've done it. We did it back in 2011.
Speaker Change: General and our definition not in anyone else's.
Speaker Change: Our goals on that basis, and that's good business. So we do that we've done it we did it back in 2011, we pushed back the Lula pets and took a whole pile of.
We pushed back the Lulo pit and took a whole pile of, a high-grade, low-recovery oil, and it was, you know, and we could do that. So we do that, but, and, you know, Dodlin is a very different asset to... Four Mile. Four Mile is a Tier 1, world-class.., opportunity and it'll make money in any gold price you can forecast realistically. It's a matter of banking it, which we do, again, diligently. We're not going to take a risk on that.
Speaker Change: A high grade low recovery all and it.
Speaker Change: It was you know in it and we could do that.
Speaker Change: So, we do that but and and you know.
Speaker Change: Donlin is a very different asset too.
Speaker Change: For MA full vial as a tier one.
Speaker Change: We'll clos.
Speaker Change: Opportunity and it'll make money in any gold price you can forecast realistically, it's a matter of banking it which we dude again diligently we are not going to take it.
Speaker Change: Risk on that.
On the Chile side, you know, the copper prices certainly helped on Zeldivar. Um, the, uh, Valderra mine is, I think we fixed that, rather than got saved by the gold price. It's a gold mine. It's not a copper mine.
Speaker Change: On the Chile side, you know the copper prices certainly helped on Zelle deval.
Speaker Change: The valid there a mine is I think we fixed that.
Speaker Change: Rather than got saved by the Gulf crossing a goldmine and it's not a copper mine.
Pascua-Lama, we are working on a preliminary economic model for Pascua. It's also really, it's a gold and silver mine, of which there's a big silver stream, as you know. Um, but, you know, we don't hedge, so... We would have to see. You know, we have to be confident, and we set up our reserve gold price based on input costs. We don't set it against the spot gold price.
Speaker Change: Pascua Lama, we are working on are on them on them.
Speaker Change: And a preliminary economic model for full pass glut it's.
Speaker Change: It's also really its a gold and silver mine of which there's a big silver stream as you know.
Speaker Change:
Speaker Change: But you know we.
Speaker Change: We we don't hedge.
Speaker Change: We would have to see.
Speaker Change: You know we'd be have to be pumped and and we set up a reserve gold price based on input costs, we don't set it against the spot gold price, we'll exploit if it makes sense, John we'll exploit a high gold price and.
We'll exploit... If it makes sense, John, we'll exploit the high gold price in our mining plans, but we won't change our reserves on that basis. So that's, so that, so for us, you know, the opportunities for us are the expansion in Leval, the whole Carlin, the expansion in Turquoise Ridge. The Gold Rush ramp-up, which is already there. There is an expansion opportunity, more complex than four-mile. We've got some very exciting upside in Kibale and Lulogon Kato.
Speaker Change: In our mining plans, but we won't change our reserves on that basis. So that's so that so for us the opportunities for us all the expansion and leave all the whole collyn.
Speaker Change: The expansion in turquoise ridge.
Speaker Change: The gold rush ramp up which is already there.
Speaker Change: As an expansion opportunity more complex than in full mile. We've got some very exciting upside in kibali and new logo Cotter P. V is about delivering 20 years any further additions as laugh.
PV is about delivering 20 years, so any further additions is last, rather than Profile. And it's a, you know, it's 800 to a million ounce producer. And then the real excitement is some of our copper plays in our new jurisdictions. And as we go through this year, I'm confident we'll be able to share more with you as we grow it. We're still consolidating some of the titles in those areas. And then, of course, the gold play.
Speaker Change: Rather than profile and it's yeah, it's the 802 million ounce producer.
Speaker Change:
Speaker Change: And then the real excitement is some of our copper plays and our new jurisdictions.
Speaker Change: And as we go through this year I'm confident we'll be able to split.
Speaker Change: Share more with you as we grow that we've we're still consolidating some of the titles in those areas and then and then of course, the gold play and and you know this.
Our very solid relationships in Zambia and DRC offer us significant opportunities again, which we're cautiously optimistic we're going to grow those positions. I hope that answers your question. That's great, Mark. Some of your projects have been in hand over 10 years, and they're rigorously analyzed and engineered by Barrick, if for example. Four mile is at the head of the pack or something else is at the head of the pack, and there's other companies that don't have enough projects that are willing to pay premiums. Would you let somebody pay you a premium and buy one of your projects from you?
Speaker Change: The are all very solid relationships in Zambia, and DRC offer us significant opportunities again, which we've you know we are cautiously optimistic we're going to grow those those positions.
Speaker Change: I hope that answers your question.
Speaker Change: That's great Mark some of your projects have been.
Speaker Change: For 10 years, and they're rigorously analyzed and engineered by Barrick.
Speaker Change: Yes.
Speaker Change: For example.
Speaker Change: Morale is at the head of the pack or something else is at the head of the pack.
Speaker Change: And there's other companies that don't have enough projects and are willing to pay premiums where do you what somebody paid.
Speaker Change: Premium by one of your projects.
pay you a billion dollars or more. So we would be very happy to sell somebody an asset if they're going to pay us more than we think it's worth. But our business fundamentally is mining. And as you see, if you take Lula, we started at a million ounces, it's now got what, seven, Simon? Seven million of reserves still today after more than 10 years of mining. So by 2005, so that's 15, 22 years of mining.
Speaker Change: Hey, you're a $1 billion or more.
Speaker Change: So we'd be very happy to sell somebody a the assay to if they're going to pay us more than we think it gets worse.
Speaker Change: But our business fundamentally is mining.
Speaker Change: And as you see if you take Lula, we started at a million ounces. It's now got what seven.
Speaker Change: Seven 7 million of reserves still today after more than 10 years of money. So.
Speaker Change: 2005, so that 15 22 years of Bonnie.
So we, you know, when you're in these tier one jurisdictions with these big assets, they last for a long time. And we're in that, you know, we're Nevada is a, is a exciting place. You know, when you find assets in Nevada like, Like FOMAL, they're all massive asses, you know, capable of, delivering value, and we paid a lot of, Dividends out and other capital returns to our shareholders already while we fix the business.
Speaker Change: So we you know when you're in these tier one jurisdictions, where these big assets that last for a long time and we're in that you know in Nevada.
Speaker Change: It is a exciting place when you find assets in Nevada.
Speaker Change: Like a formal they all massive asset.
Speaker Change: So you know we're not in this game for the short term, it's a long game and it's been good for our shareholders at the time you know I think if you look at the Randgold shareholders, they've done very well out of this deal. If you look at the Parex shareholders, but we've still got some work to do to deliver them.
Speaker Change: Value of the others that are still in from back in <unk> and 'twenty, a teen and but we are building a great company with you know are capable of.
Speaker Change: Delivering value and we've paid a lot of.
Speaker Change: Dividends out and and other capital returns to our shareholders already while we fix that business.
Speaker Change: Thank you.
Thank you. There are currently no more questions from the conference call. And we're, as you know, always available to take questions going forward. We look forward to talking to you again and we are having an analyst visit into our Kabali and Tanzania mines starting on Monday. And we'll be releasing the presentations and that on the website, so I urge you to follow the trip, virtually, and we're always available to help you out if you've got any questions.
Speaker Change: There are currently no more questions from the conference call.
Speaker Change: Alright, well. Thank you very much everyone I appreciate the questions and thank you again for those who came.
Speaker Change: To join us on a one on one basis and.
Speaker Change: Well as you know always available to take questions going forward, we look forward to talking to you again, and we are having our analyst visit into Kibali and Tanzania mine, starting on Monday, and then we'll be releasing the presentations and that on the website.
Speaker Change: Due to follow the trip.
Speaker Change: Virtually and and we're always available to to help you out if you've got any questions. Thanks again.
Speaker Change: Okay.
Thanks again. This concludes today's event. Should you have additional questions, please contact the Barrick Investor Relations Department. You may disconnect your lines. Thank you for participating and have a pleasant day. ?? ?? ?? ?? ?? Copyright © 2020, New Thinking Allowed Foundation, Unknown Executive, Unknown Shareholder, Unknown Shareholder, Unknown Shareholder, Unknown
Speaker Change: This concludes today's event. So do you have additional questions. Please contact the Barrick Investor Relations Department you may disconnect. Your lines. Thank you for participating and have a pleasant day.
Speaker Change: [music].