Barrick to sell Chile project for $50m


MARK BRISTOW: This is a good example of an instance where an asset we own might be better suited in the hands of others.
NYSE- and TSX-listed Barrick Mining announced on Friday it would sell its Alturas gold project in Chile to a unit of Singapore’s Boroo for $50-million in cash, plus a 0.5% net smelter return royalty on gold and silver output.
The royalty will end after two-million ounces of gold and gold-equivalent are produced, and Boroo may buy it back within four years for $10-million.
“This agreement allows Barrick to exit Alturas at an attractive valuation, while giving Boroo the opportunity to pursue the development of the project,” CEO Mark Bristow said in a statement.
“This is another good example of an instance where an asset we own might be better suited in the hands of others while we pursue our priority portfolio of Barrick-managed growth projects.”
Barrick said the sale proceeds would strengthen its balance sheet, fund future investments and support returns to shareholders. The deal, involving the sale of all shares in Barrick’s Chilean subsidiary Compañia Minera Salitrales, is expected to close in the third quarter, subject to customary conditions.
Barrick continues to own stakes in the Zaldivar copper mine, as well as the El Alto and Norte Abierto projects, in Chile.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation