Barrick Gold Corporation – Pueblo Viejo moves forward with mine life extension project
At the Pueblo Viejo mine in the Dominican Republic, the new tailings storage facility would allow operations to continue beyond 2040.
All amounts are in US dollars
Toronto – Barrick Gold Corporation (NYSE:GOLD)(TSX:ABX) today announced that the Dominican government has completed its strategic review of the location of the new tailings storage facility (TSF) for the Pueblo Viejo mine. The new TSF is part of the expansion project which is designed to extend the Tier One1 mine life beyond 2040 and support annual production in excess of 800,000 ounces2.
The government, through its process, has identified a number of alternatives for further assessment. At the same time, Barrick conducted its own evaluation of the alternatives, supplemented by a multidisciplinary team of external subject matter experts from various independent consulting firms. Several sites were initially identified and after various phases of selection, which took into account environmental, social and technical factors, potentially feasible sites were identified for further evaluation.
The two separate assessments independently identified four alternative sites, two of which, located in the province of Sanchez Ramirez, would be proposed for further investigation.
Barrick President and CEO Mark Bristow said that while these alternative sites exist, as determined by the reviews, the final location and construction of the facility would be subject to the completion of an environmental assessment. environmental and social impact (ESIA) in accordance with the legislation of the Dominican Republic. and international standards. Once completed, the ESIA would be submitted to the government for evaluation and final decision.
The ESIA will identify and implement mechanisms to mitigate potential environmental impacts as well as initiatives to improve community livelihoods. Barrick is committed to international standards and will adhere to the Global Industry Standard for Tailings Management in terms of design, construction, operation and closure of the tailings facility.
The new TSF would allow operations at Pueblo Viejo to continue beyond 2040. As a major value creator for the Dominican Republic, the project will halt the decline in production and facilitate the continued payment of taxes, export , jobs, national and local. purchases and the social benefits that the mine brings to the country.
In 2021, the Tier One mine paid $527 million in direct and indirect taxes, bringing total tax payments since 2013 to more than $3 billion.
“Our goal in the Dominican Republic, as elsewhere in the world, is to create long-term value for all our stakeholders through our sustainability strategy. The Pueblo Viejo expansion project is expected to increase total direct and indirect taxes to more than $9 billion from the start of commercial production in 2013 through the mine’s extended life beyond 20403“Bristow said.
About Pueblo Viejo
Pueblo Viejo is located in the Dominican Republic, approximately 100 kilometers northwest of the capital Santo Domingo and is operated by Pueblo Viejo Dominicana Jersey 2 Limited – a joint venture between Barrick (60%) and Newmont (40%). Development of the Pueblo Viejo project began in 2009, with first production in 2012. The company’s workforce is 97% Dominican. In 2020, the conversion of the mine’s Quisqueya 1 power plant to natural gas was successfully completed. This conversion from fuel oil to natural gas is expected to reduce greenhouse gas emissions by 30% and nitrogen oxide emissions by 85%, further reducing Pueblo Viejo’s impact on the environment. An agribusiness project is also being developed to further contribute to local communities.
Investor Relations and Media
Kathy du Plessis
+44 20 7557 7738
E-mail: [email protected]
A Tier 1 gold asset is one with reserve potential to deliver a minimum life of 10 years, annual production of at least 500,000 ounces of gold and total cash costs per ounce over the life of mine in the lower half of the industry cost curve.
On a 100% basis. See Pueblo Viejo Mine Technical Report, Sanchez Ramirez Province, Dominican Republic, dated March 19, 2018 and filed on SEDAR at www.sedar.com and EDGAR at www.sec.gov on March 23, 2018.
Future economic contribution over the extended life of mine assuming a gold price of $1,599 per ounce and a silver price of $20.96 per ounce.
Caution regarding forward-looking information
Certain information contained or incorporated by reference in this press release, including any information regarding our strategy, plans, plans or future financial or operating performance, constitutes “forward-looking statements”. All statements, other than statements of historical fact, are forward-looking statements. The words “move forward”, “design”, “support”, “commit”, “continue”, “aim”, “plan”, “develop”, “extend”, “expand”, “would “, “will”, “potential”, “create”, “plan”, “vision”, “strategy” and similar expressions identify forward-looking statements. In particular, this press release contains forward-looking statements, including, without limitation, with respect to the anticipated benefits of the Pueblo Viejo mine life extension project, including to support mine targeted production and extend mine life beyond 2040 as well as planned investments, social benefits, economic contributions and direct and indirect taxes to the Dominican Republic; expected annual production; the completion of the Independent Strategic Environmental Assessment for the new ISR and the selection of the final location and construction of this facility following the completion of an ESIA and final government decision; Barrick’s commitment to mitigate environmental impacts and improve the livelihoods of affected communities as part of the ESIA; Barrick’s adherence to the global industry standard for tailings management in TSF design, construction, operation and closure; Pueblo Viejo’s commitment to protecting the environment, biodiversity and cultural heritage and Barrick’s vision of sustainability and its partnership with its host governments, communities and other stakeholders.
Forward-looking statements are necessarily based on a number of estimates and assumptions, including significant estimates and assumptions relating to the factors set forth below which, although believed to be reasonable by the Company as of the date of this press in light of management’s experience and perception of expected conditions and developments, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements, and undue reliance should not be placed on such statements and information. These factors include, but are not limited to: fluctuations in the spot and forward price of gold, copper or certain other commodities (such as silver, diesel fuel, natural gas and electricity) ; the speculative nature of mineral exploration and development; changes in mineral production performance, mining and exploration success; the impact of inflation and the availability and increased costs associated with mining inputs and labor; risk of loss due to acts of war, terrorism, sabotage and civil unrest; risks associated with projects in the early stages of assessment and for which additional engineering and other analyzes are required; failure to comply with environmental, health and safety laws and regulations; the timing of receipt or non-compliance with necessary exploration permits and other permit approvals; uncertainty as to whether some or all of the targeted investments and projects will achieve the Company’s capital allocation objectives and hurdle rate; changes in national and local government laws, taxation, controls or regulations and/or changes in the administration of laws, policies and practices, expropriation or nationalization of property and political or economic developments in the Dominican Republic and other jurisdictions in which the Company or its affiliates do or may do business in the future; damage to the Company’s reputation due to the occurrence or perceived occurrence of a number of events, including negative publicity regarding the Company’s handling of environmental issues or relationships with community groups, whether true or not; risks associated with artisanal and illegal mining; risks associated with new diseases, epidemics and pandemics, including the effects and potential effects of the global Covid-19 pandemic; legal and administrative litigation and proceedings; employee relations, including the loss of key employees; and increased physical costs and risks, including extreme weather events and resource shortages, associated with climate change. In addition, there are risks and hazards associated with exploration, development and mining activities, including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins, floods and gold bars, copper cathodes or gold or copper concentrates. losses (and the risk of inadequate insurance or the inability to obtain insurance to cover such risks).
Many of these uncertainties and contingencies may affect our actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by or on our behalf. Readers are cautioned that forward-looking statements are not guarantees of future performance. All forward-looking statements made in this press release are qualified by these cautionary statements. Specific reference is made to the most recent Form 40-F/Annual Information Form filed with the SEC and Canadian provincial securities regulators for a more detailed discussion of some of the factors underlying the forward-looking statements and risks that could affect Barrick’s ability to achieve the expectations set forth in the forward-looking statements contained in this press release.
Barrick disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by applicable law.