|Bid||29.04 x 0|
|Ask||29.04 x 0|
|Day's Range||28.55 - 29.33|
|52 Week Range||15.72 - 29.93|
|Beta (5Y Monthly)||0.08|
|PE Ratio (TTM)||12.87|
|Earnings Date||Feb. 11, 2020|
|Forward Dividend & Yield||0.37 (1.31%)|
|Ex-Dividend Date||Feb. 26, 2020|
|1y Target Est||13.81|
TORONTO — Some of the most active companies traded Monday on the Toronto Stock Exchange:Toronto Stock Exchange (17,562.74, down 280.79 points.)Acerus Pharmaceuticals Corp. (TSX:ASP). Health care. Up one cent, or 20 per cent, to six cents on 14.4 million shares.Cenovus Energy Inc. (TSX:CVE). Energy, Down 65 cents, or 5.44 per cent, to $11.30 on 13.55 million shares.Bombardier Inc. (TSX:BBD.B). Industrials. Down four cents, or 3.2 per cent, to $1.21 on 11 million shares.Yamana Gold Inc. (TSX:YRI). Materials. Up two cents, or 0.33 per cent, to $6.17 on 10.1 million sharesBarrick Gold Corp. (TSX:ABX). Materials. Up 93 cents, or 3.28 per cent, to $29.30 on 9.9 million shares.Manulife Financial Corp. (TSX:MFC). Financials. Down $1.89, or 7.33 per cent, to $23.90 on 9.3 million shares. Companies in the news:Teck Resources Ltd. (TSX:TECK.B). Down 39 cents or 2.7 per cent to $14.06. Tensions over Indigenous rights, climate change and resource development that have escalated recently with the rail blockades helped push Teck Resources Ltd. to shelve its massive oilsands project, company CEO Don Lindsay said Monday. The Vancouver-based company said it will take a $1.13-billion writedown on the Frontier project, which was expected to create an estimated 7,000 construction jobs, 2,500 operating jobs and about $12 billion in federal income and capital taxes, but was also expected to produce about four million tonnes of greenhouse gas emissions per year over 40 years.Air Canada. Down $2.11 or five per cent to $40.07. Air Canada has signed two agreements for airframe maintenance in Quebec, subject to its takeover of Transat AT. The airline and AAR have signed a letter of intent for a 10-year renewable agreement for airframe maintenance of both Air Canada's and Air Transat's fleet of Airbus A330 and A320 family of aircraft in Trois-Rivieres, Que. AAR plans to make investments in Trois-Rivieres to accommodate the new wide-body A330 work of the combined Air Canada and Air Transat fleets. Air Canada has also signed a letter of intent with Avianor for a 10-year agreement for airframe maintenance of its new fleet of Airbus A220 aircraft in Mirabel, Que.Cronos Group Inc. (TSX:CRON). Down 95 cents or 10 per cent to $8.49. Cronos Group Inc. is delaying the release of its fourth-quarter and full-year financial results. The cannabis company says it has had a delay in the completion of its financial statements. It did not further explain the cause of the postponement. Cronos had been scheduled to release its results on Thursday. Marlboro maker Altria Group Inc. is the largest shareholder in the Canadian cannabis producer. The big tobacco company paid $2.4 billion for an approximately 45 per cent stake in Cronos and has the ability to increase its stake to 55 per cent for an additional $1.4 billion.MTY Food Group Inc. (TSX:MTY). Up $4.48 or nine per cent to $54.25. MTY Food Group Inc. reported a fourth-quarter profit of $20.7 million, up from $13.2 million in the same quarter a year earlier, as it said allegations by an employee that had delayed the release of its quarterly results are baseless. The owner of brands such as Thai Express, Tiki-Ming, Tutti Frutti and Valentine says the profit amounted to 83 cents per share for the quarter ended Nov. 30, up from 53 cents per share a year earlier. System sales for the quarter totalled $1.02 billion, up from $706.4 million, boosted by the acquisition of the Papa Murphy's chain which sells pizzas for customers to bake at home.This report by The Canadian Press was first published Feb. 24, 2020. The Canadian Press
In support of Nevada’s carbon-reduction objectives and in partnership with Governor Sisolak’s administration, Nevada Gold Mines (NGM) - a joint venture between Barrick Gold Corporation (61.5%) as the operator and Newmont Corporation (38.5%) - is pleased to announce that it has approved the conversion of its TS Coal Power Plant to a dual fuel process, allowing the facility to generate power from natural gas. This conversion will enable the facility to reduce carbon emissions by as much as 50 percent. NGM is currently working with the State of Nevada on final permitting to allow construction to begin near the end of 2020, with the goal of final commissioning in the second quarter of 2022.
(Bloomberg) -- As gold prices rise, miners have been boosting shareholder payouts in the face of a decline in global output. That’s worrying some investors concerned about the longterm growth prospects of an industry built on a depleting resource.The value of gold, a haven commodity, is driven more by global economics than supply and demand. It’s soaring toward $1,700 an ounce now on fear the coronavirus will harm growth. Any unexpected event -- from a surprising cure for the virus to a positive trade deal -- could drop the value significantly. High prices put more gold scrap on the market, low ones boost hoarding and, if miner output remains static, so should profits.Increasingly, investors are split between their wish for higher dividends in the short run and the need to assure company stability over the long term. Finding the “best of both worlds” in allocating the rising cash pile is key for the future of the industry, according to Josh Wolfson, an analyst at RBC Capital Markets.“Miners in general are exposed to significant external factors that are out of their control,” said Simon Jaeger, a portfolio manager at Flossbach von Storch AG, a top-10 investor in both Newmont Corp. and Barrick Gold Corp. “It’s certainly a reason for not paying too much in dividends,” he said. “You want to have the cash buffer on your balance sheet in order to be financially flexible when prices get worse.”Gold prices are currently at a seven-year high as concerns mount that the coronavirus outbreak in Asia will derail global growth. In a sign that the virus is already starting to dent the world’s largest economy, business activity in the U.S. shrank in February for the first time since 2013.On Monday, spot gold was up 2.3% to $1,680.38 an ounce at 7:25 a.m. in New York.Gold producers are “gushing cash,” said John Hathaway, senior portfolio manager at Sprott Asset Management, in support of the higher dividends. “They are in a position to raise their dividend,” he said. “And there will be boardroom pressure and shareholder pressure to do that.”The industry has been blasted in the past for underspending on production, overspending on acquisitions and piling up debt. Now, though, after years of fat-trimming, miners and their investors are well-positioned to gain from the higher prices. That’s allowed companies including Barrick and Newmont to boost free-cash flow and, to varying degrees, reward shareholders.Earlier this month, though, Mark Bristow, Barrick’s chief executive officer, sent a warning shot across the bow of the industry. Even if all current projects work out, he said, gold supply will still fall 30% globally by 2029. While sinking supply would be bullish for bullion prices, margins and revenues could be hit if companies are forced to mine lower-grade or hard-to-access deposits.The divide between whether to push profits or new production has become more focused this year.Agnico Eagle Mines Ltd. offers a case in point of how closely investors are watching the issue. Despite boosting its dividend 14% and forecasting rising production through 2022, Agnico’s shares were punished after it cut its 2020 output guidance earlier this month. In an interview after the results, CEO Sean Boyd argued that dividend increases are important not just as a way of sharing the benefits of higher gold prices, but also because it demonstrates a company’s ability to maintain capital discipline.Success in the changing shareholder landscape is “going to be from the better gold-mining businesses being able to attract new generalist money,” Boyd said by telephone.‘Endless Pit’Steve Land, portfolio manager for the Franklin Gold and Precious Metals Fund, believes the next step for miners is to show the sector is “not just this endless pit of having to pour more and more money in all the time.” The trend toward higher dividends is a way of rebuilding trust and confidence, according to Land. These companies can also take the time to assess future projects, he said, but should be “in no rush to push things forward.”Newmont, meanwhile, seems to be seeking to meet a “best of both worlds” scenario.In January, Newmont said it planned to hike its dividend by 79% to $1 per share annually, effective in April, while maintaining production for the next five years. On Thursday, Chief Financial Officer Nancy Buese said the U.S.-based miner was considering “other shareholder friendly actions” it might take.One key consideration “will be to determine our appropriate level of dividend on a go-forward and sustainable basis,” she said.Barrick, meanwhile, announced a 40% dividend hike to 7 cents a share earlier this month. As it sells assets and tackles its debt, the Canada-based miner is hoping to attract generalist investors to its stock. But it also lowered its five-year production guidance and is reevaluating its portfolio mix.Generally, it appears the high-dividend strategy is helping lift gold equities. A Bloomberg Intelligence index of senior gold producers lagged the performance of gold futures for most of the past decade. But in the past 12 months, the gold group is killing it, rising 57% compared with 24% for gold.“If a company has genuine productive opportunities to invest capital in their business at high return, that is always going to be preferable versus paying a dividend,” said RBC’s Wolfson by phone. “But companies which can demonstrate overall discipline by allocating capital effectively -- plus paying out cash flow to shareholders -- I think will ultimately accomplish the best of both worlds.”\--With assistance from Maria Elena Vizcaino and Yvonne Yue Li.To contact the reporters on this story: Justina Vasquez in New York at email@example.com;Danielle Bochove in Toronto at firstname.lastname@example.org;Steven Frank in Toronto at email@example.comTo contact the editors responsible for this story: Luzi Ann Javier at firstname.lastname@example.org, Reg Gale, Joe RyanFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Vancouver, British Columbia--(Newsfile Corp. - February 24, 2020) - Japan Gold Corp. (TSXV: JG) (OTCQB: JGLDF) (the "Company") is pleased to announce the formation of a country-wide alliance with Barrick Gold Corporation (NYSE: GOLD) (TSX: ABX) ("Barrick") to jointly explore, develop and mine certain gold mineral properties and mining projects in Japan (the "Barrick Alliance"). The Company is also pleased to announce a further consolidation of its position in the Southern Kyushu Epithermal Gold ...
TORONTO, Feb. 20, 2020 -- Barrick Gold Corporation’s attention has been drawn to media reports to the effect that the Congolese parastatal Société Minière de Kilo-Moto SA.
One of the major approvals for Barrick's (GOLD) stake sale include the formal waiver by Senegal Government to buy additional 25% interest in Massawa at market value.
(Bloomberg Opinion) -- Bullion prices are at their highest in seven years, closing in on $1,600 an ounce. Gold held by exchange-traded funds is at all-time records and rising, thanks to worries over the economic damage inflicted by the coronavirus outbreak. Reserves, meanwhile, are depleting. It’s a heady mixture for miners, but perhaps not yet an intoxicating one.Take Polyus PJSC, Russia’s largest gold digger. The $17 billion company said last week that it would pay down debt before beginning to spend seriously on its $2.5 billion Sukhoi Log project, set to add 1.6 million ounces a year to supply. That’s quite a statement. This is one of the world’s lowest-cost producers, generating plenty of cash, holding one of most impressive untapped resources globally, at a time of rising prices. The mine promises significant extra output for a company that aims to produce 2.8 million ounces this year. Even so, Polyus is resisting the urge to fast-track, with a roughly two-year “transitional period” of planning before it begins in 2023.Granted, there are circumstances peculiar to Polyus that suggest conservative timing and financing is necessary. The miner is controlled by the son of Suleiman Kerimov, one of a handful of tycoons included in Washington’s 2018 sanctions list. A planned $900 million equity sale to Chinese conglomerate Fosun Group fell apart earlier that year, too. The project itself, meanwhile, is vast, and deep inside Russia, hardly a popular jurisdiction with foreign mining investors.Polyus’s conservative approach is noteworthy, nonetheless. This is an industry that has in general become far more cautious with big-bang projects after a string of boom-time efforts a decade ago, begun in haste and regretted at leisure. Barrick Gold Corp.’s Pascua Lama in South America started in 2000 as a $1.2 billion project; by the time it was shelved in 2013, the estimated cost had soared to $8.5 billion. Polyus learned its own lessons at its Natalka mine. It was trapped by falling prices in 2013 and construction eventually paused, before resuming in 2016. Certainly Sukhoi Log, first studied by Soviet geologists in the 1970s, comes with history and plenty of challenges. The size, at some 63 million ounces and as much of a quarter of Russia’s gold reserves, means it is the largest project on the industry’s horizon, by some way. For Polyus, it adds the equivalent of the annual output of its nearest rival, Polymetal International Plc. That gargantuan scale that leaves plenty of room for costs to spill over. There is processing to resolve, all on site, and transport logistics will be complex given the mine’s location. When I visited in 2012, the airport in the nearest settlement closed if it rained.But the geology isn’t unfamiliar to Polyus, already operating nearby. It will use conventional processing. And the miner’s overall expenses are low by global standards. Its all-in sustaining cost was $594 per ounce in 2019, against Barrick’s $894. That’s a substantial margin even if bullion prices sink to the $1,050 used in Polyus’s Sukhoi Log calculations. It’s all a far cry from the mood of the 2000s bull run, when gold shot up to $1,900 an ounce from $300 in just over a decade, and miners raced behind. The resulting value destruction was immense: Billions were spent on terrible projects and worse companies. A full 80% of the transaction value of the eight largest deals between 2001 and 2011 was impaired, according to a McKinsey & Co. study published last year. The industry’s return on capital between 2010 and 2016 was a pathetic 2.6%.With the gold price trending higher after a couple of years around $1,200 to $1,300, deals have come back, and cashflows are helping exploration budgets rise. It’s notable that M&A discussions are beginning to build in prices closer to $1,500 than the $1,200 or so of recent years. It’s exuberance that hasn’t quite fed through to mega projects.Polyus’s muddy knoll in bleak eastern Siberia has enough gold beneath it to rival behemoths like Grasberg, in Indonesia. As prices climb and buccaneering projects like Newcrest Mining Ltd. and Harmony Gold Mining Co.’s Wafi-Golpu in Papua New Guinea are back in discussion, the question is whether Polyus sets a trend, or becomes the judicious exception. To contact the author of this story: Clara Ferreira Marques at email@example.comTo contact the editor responsible for this story: Matthew Brooker at firstname.lastname@example.orgThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Clara Ferreira Marques is a Bloomberg Opinion columnist covering commodities and environmental, social and governance issues. Previously, she was an associate editor for Reuters Breakingviews, and editor and correspondent for Reuters in Singapore, India, the U.K., Italy and Russia.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Teranga Gold Corporation (“Teranga” or the “Company”) (TSX:TGZ; OTCQX:TGCDF) today announced that Barrick Gold Corporation (“Barrick”) (TSX:ABX; NYSE:GOLD) and Teranga have obtained certain key approvals from the Government of Senegal in order to proceed to close the previously announced acquisition of a 90% interest in the Massawa Gold Project (“Massawa”) from a wholly-owned subsidiary of Barrick and its joint venture partner, Compagnie Sénégalaise de Transports Transatlantiques Afrique de l’Ouest SA, with the Government of Senegal holding the remaining 10% interest in Massawa (the “Transaction”).
Rising free cash flow is one reason to consider adding Barrick Gold (TSX:ABX)(NYSE:GOLD) to your portfolio.
(Bloomberg) -- Asset sales and higher gold prices are creating short-term benefits for Barrick Gold Corp., and raising longer-term questions.The world’s second-largest gold producer will exceed its two-year goal of selling $1.5 billion in assets by the end of 2020, Chief Executive Officer Mark Bristow said in an interview.Those sales -- along with a strong tailwind from higher gold prices -- allowed the company to boost its dividend once again, while cutting debt. However, shedding assets also shrank the miner’s production profile, causing it to lower its five-year guidance and think seriously about whether it should add more copper to its portfolio.“My issue is, what does the our company look like in 10 years time?” Bristow said, following the release of the miner’s fourth-quarter earnings. “If you’re going to be a major player, you need to have copper in your portfolio.”Barrick announced its initial asset-sales target in the wake of its $5.4 billion acquisition of Randgold Resources Ltd. last year. The Toronto-based global miner sold a number of assets in 2019 including its 50% stake in the Kalgoorlie mine in Western Australia.“We’re going to beat it,” Bristow said Wednesday of the $1.5 billion target. “We still have some work to tidy up the portfolio.” The company has roughly $450 million in sales to go to reach the $1.5 billion mark, but expects to sell more than that this year, he said.The sales -- part of the company’s focus on “tier one” assets -- have forced Barrick to narrow its five-year annual production range to 4.8 million to 5.2 million ounces. As recently as November, the company was predicting a range of 5.1 million to 5.6 million ounces, based on its portfolio at the time. The miner is forecasting a 30% drop in global gold supply by 2029.Barrick plans to release 10-year production guidance at its annual general meeting -- which is scheduled for May 5 -- and is thinking hard about whether it should increase its copper holdings, Bristow said.“We would invest in copper where it comes with gold, or we would invest in copper where we feel that we have a strategic advantage to outperform the big copper-focused companies,” he said. Barrick’s internal hurdle for copper investments is a 15% real rate return, he said.In December, Bristow floated the possibility that Barrick could one day pursue a merger with Freeport-McMoRan Inc., the largest publicly traded copper producer, or make a play for some of its assets. On Wednesday, Bristow said the idea is just at a conceptual stage but has triggered “an interesting debate.” There are no plans “to run out there and do something” right now, he stressed. “I don’t do hostile things lightly. This is a complicated situation.”Barrick shares slipped 0.2% to close at $18.41 in New York on Wednesday, paring its gain in the past year to 38%.With help from asset sales, the company still has the potential to reach zero net debt this year, he reiterated. That would mark a dramatic turnaround for a miner that saw debt swell after its last major foray into copper in 2011, with the disastrous top-of-the-cycle acquisition of Equinox Minerals Ltd.The impact of falling global gold production on miners is being mitigated by higher prices. Spot gold averaged about $1,483 an ounce in the fourth quarter, 21% more than a year earlier, and the haven metal has extended gains this year as the coronavirus weighs on expectations for economic growth.Higher cash flows allowed Barrick to boost its quarterly dividend by 40% as it reported adjusted earnings of 17 cents a share for the fourth quarter, beating the highest analyst estimate. That followed a 25% dividend hike in the third quarter.To contact the reporter on this story: Danielle Bochove in Toronto at email@example.comTo contact the editors responsible for this story: Luzi Ann Javier at firstname.lastname@example.org, Steven Frank, Reg GaleFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
TORONTO — The formation of the Nevada Gold Mines joint venture last year, along with strong performances from Latin American, Asia Pacific and Africa/Middle East operations, helped Barrick Gold Corp. beat analyst expectations in the fourth quarter.The Toronto-based miner reported Wednesday gold production of 5.465 million ounces in 2019, at the top end of its guidance range, while copper production of 432 million pounds beat guidance.In 2018, it produced 4.527 million ounces of gold and 383 million pounds of copper."In the year since the completion of Barrick's merger with Randgold Resources, we have transformed the new company while creating the world’s largest gold mining complex in Nevada in a transaction that had been unsuccessfully pursued for two decades," said CEO Mark Bristow.Barrick closed its US$6-billion acquisition of African-focused Randgold Resources Ltd. about a year ago. The deal resulted in Bristow, Randgold's founder, becoming chief executive.Barrick forged a joint venture agreement with Newmont Corp. in Nevada last July that is expected to result in substantial cost savings.Barrick raised its dividend on Wednesday to seven cents per share, up from a nickel per share, as it reported a fourth-quarter profit of nearly US$1.39 billion.The company, which keeps its books in U.S. dollars, said it earned 78 cents per share in the quarter ended Dec. 31 compared with a profit of nearly $2.28 billion or $1.30 per share in its third quarter.On an adjusted basis, Barrick earned 17 cents per share in the three months ended Dec. 31, up from 15 cents per share in its third quarter, and well ahead of analyst expectations of 14 cents per share, according to financial markets data firm Refinitiv.Strong results allowed Barrick to cut debt net of cash to US$2.2 billion, down 47 per cent from 2018, it said.Barrick's realized gold price averaged $1,483 per ounce in the fourth quarter, boosting the 2019 average to $1,396, up from $1,270 in 2018.The company said it expects to produce between 4.8 million and 5.2 million ounces of gold in 2020 with total cash costs of $650 to $700 per ounce.Copper production is expected to be 440 million to 500 million pounds in 2020 with cash costs of US$1.50-1.80 per pound.This report by The Canadian Press was first published Feb. 12, 2020.Companies in this story: (TSX:ABX)The Canadian Press
Barrick Gold (GOLD) delivered earnings and revenue surprises of 21.43% and 0.84%, respectively, for the quarter ended December 2019. Do the numbers hold clues to what lies ahead for the stock?
All amounts expressed in U.S. dollars unless otherwise indicated(Unaudited) TORONTO, Feb. 12, 2020 -- Barrick Gold Corporation’s gold production for 2019 of 5,465,000 ounces.
Barrick’s annual reserve and resource declaration, published today as part of its fourth quarter 2019 results, shows an attributable gold mineral reserve increase of approximately 14.5% in ounces at a 7.7% higher grade after depletion from mining, reflecting a busy year which included the incorporation of Randgold Resources, the formation of the Nevada Gold Mines joint venture with Newmont and the disposal of KCGM. Attributable reserves now stand at 1,300 million tonnes at 1.68 g/t for 71 million ounces of gold.1 This has been achieved through reserve additions greater than mining depletion at a number of the principal assets including Kibali, Loulo-Gounkoto, Veladero, Porgera, Goldstrike underground mine, the Leeville/Portal underground mines, Mega Pit, Turquoise Ridge underground mine and Phoenix.
Senior executive vice-president and chief financial officer Graham Shuttleworth said this was the third dividend increase this year and reflected the excellent performance for the year and Barrick’s profitability and financial strength. “The board believes the dividend increase is justified by the significant reduction in net debt and strong balance sheet, together with the growth in free cash flow supported by a robust 5-year plan which we have shared with the market,” said Shuttleworth.