Barrick Gold Corporation, a global leader in gold and copper mining, has announced its third-quarter (Q3) production results for 2024, marking another strong period for the company. The results reveal solid gold production figures, supported by improved operations in key mines and strategic cost management, while copper production saw an uptick, setting the stage for an even stronger performance in the fourth quarter (Q4).
In Q3, Barrick Gold produced 943,000 ounces of gold and 48,000 tonnes of copper, closely aligning with its quarterly expectations. The company sold 967,000 ounces of gold and 42,000 tonnes of copper, benefiting from strong market prices.
The average market price for gold in Q3 was $2,474 per ounce, reflecting favorable conditions for gold mining. Similarly, copper prices averaged $4.18 per pound during the quarter, demonstrating steady demand for this essential industrial metal.
Several key assets in Barrick’s portfolio contributed to the strong Q3 gold production results:
Pueblo Viejo: The mine achieved a 23% sequential improvement, primarily due to ongoing plant optimization efforts. These enhancements are expected to continue driving efficiencies in the coming months.
North Mara: This mine had a standout quarter, fueled by higher ore grades. North Mara’s consistent improvement positions it as a major contributor to Barrick’s future gold output.
Carlin: At Carlin, the Gold Quarry roaster expansion was completed during a planned Q3 shutdown. This expansion is expected to deliver higher throughput and recovery rates in Q4, offering promising upside to future production.
Turquoise Ridge: Despite a planned shutdown of the Sage autoclave, the underground mining performance was robust, leading to improved production compared to Q2.
Kibali: Underground development activities at Kibali opened access to new high-grade headings. This, along with the expected increase in open-pit volumes and grades, should boost Kibali’s performance in Q4.
Barrick’s copper production for Q3 was higher than Q2, thanks to improved grades and recovery rates at the Lumwana mine. This improvement is attributed to enhanced ore access as stripping activities ramped up during the quarter. The mine’s Q4 output is expected to benefit further from these developments.
While Barrick Gold’s Q3 production figures were solid, the company experienced a slight increase in costs compared to Q2:
Gold Costs: The cost of sales per ounce of gold is projected to be 1% to 3% higher, with total cash costs expected to rise by 3% to 5%. The all-in sustaining costs (AISC) are anticipated to increase slightly, by 0% to 2%, reflecting higher royalties driven by rising gold prices.
Copper Costs: Copper production saw higher costs as well, with the cost of sales per pound of copper expected to rise by 5% to 7% and C1 cash costs projected to increase by 13% to 15%. However, all-in sustaining costs per pound are expected to fall by 2% to 4%, showing Barrick’s ability to control long-term operational expenses.
Looking ahead, Barrick Gold anticipates a stronger Q4, with increased production levels expected to bring the company’s full-year gold and copper output within its 2024 guidance. Several factors underpin this positive outlook:
The optimization efforts at Pueblo Viejo and the completion of the Gold Quarry roaster expansion are poised to boost throughput.
North Mara and Kibali’s enhanced grades and ore volumes are set to drive better performance.
Lumwana is expected to continue benefiting from improved ore access following Q2 stripping activities, further increasing copper output.
Despite the slight cost increases observed in Q3, Barrick’s ability to control all-in sustaining costs and optimize operations points toward a strong finish to the year.
Barrick Gold’s Q3 report reflects stable and robust production across its gold and copper operations, with significant improvements in key mines and operations. The company’s focus on plant optimization, underground development, and strategic cost management sets the stage for a stronger Q4, positioning Barrick well within its full-year guidance for both gold and copper production.
With gold prices remaining elevated and copper demand steady, Barrick’s outlook remains positive as it looks to capitalize on a strong finish to 2024.
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