Barrick Gold Posted Robust Results in Q1 2020

SEATTLE (Scrap Monster):  All operations of Barrick Gold Corporation reported robust performance during the first quarter of 2020. The gold production and costs were in line with full-year guidance provided earlier.

The company has cut its 2020 production guidance, following temporary suspension of operations at its Porgera gold mine due to non-renewal of 20-year Special Mining Lease by the Papua New Guinea government. Barrick Gold now expects the annual gold production to range between 4.6 million and 5 million ounces of gold in 2020. This is nearly 200,000 ounces lower than the earlier estimate. Also, the company has withdrawn its full-year 2020 guidance for the PNG mine.

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Barrick Gold reported net earnings of 22 cents per share and adjusted net earnings of 16 cents per share during the quarter. The operating cash flow increased to $889 million, whereas the free cash flow too was up by $438 million. The quarterly gold production dropped from 1.439 million ounces in the prior quarter to 1.250 million ounces in Q1 this year. It reported total cash cost of $692 per ounce and all-in sustaining costs (AISC) of $954 per ounce.

The operational and financial results were in line with expectations, despite restrictive conditions imposed by various governments. Barrick Gold has donated more than $20 million to fund purchase of medical equipment and PPE, said Mark Bristow, President and CEO.