The company produced 948,000 ounces of gold and 43,000 metric tons of copper during the period, with sales figures slightly higher at 956,000 ounces of gold and 42,000 metric tons of copper.
These improvements offset planned lower production at Cortez and Phoenix. Meanwhile, the Pueblo Viejo mine’s production remained flat, although efforts to optimize recovery rates will be a focus in H2.
Compared to Q1, Barrick’s gold cost of sales per ounce and total cash costs per ounce are projected to be 0 to 2 percent higher. Total cash costs were impacted by the surge in the gold price in Q2, which led to higher royalties.
All-in sustaining costs per ounce are expected to be 1 to 3 percent higher. However, Barrick said these costs are anticipated to decline in the latter half of the year as production continues to ramp up.
Barrick’s copper production also increased in Q2, primarily due to higher grades and recoveries at Lumwana following the ramp up of stripping activities and a planned shutdown in Q1. The copper cost of sales per pound in Q2 is expected to be lower, in contrast to all-in sustaining costs per pound, which are expected to be 1 to 3 percent higher.
As with gold, copper costs are expected to drop in the second half of the year.
Barrick will provide a detailed analysis of its Q2 production and sales numbers when it reports its quarterly results on August 12, followed by a live presentation from President and CEO Mark Bristow.
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
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