NYSE- and TSX-listed Barrick Gold has met its production target for 2018, producing 4.53-million ounces of gold, 1.26-million ounces of which were produced in the final quarter of the year.
Although the production performance was in line with its 4.5-million to 5-million guidance for 2018, it fell below 2017’s production of 5.32-million ounces.
Toronto-based Barrick reported that preliminary full-year gold sales were 4.54-million ounces and that fourth quarter sales were 1.23-million ounces. The average market price for gold was $1 226/oz in the fourth quarter, but cost of sales are expected to be 15% to 17% higher than the third quarter’s, owing to a non-cash inventory impairment on Lagunas Norte’s long-term stockpile.
Full-year copper production was 383-million pounds, in line with the guidance of 345-million to 410-million pounds and full-year copper sales were 382-million pounds. In the fourth quarter, the miner produced 109-million pounds and sold 109-million pounds of copper, at an average price of $2.80/lb.
The company warned of a quarter-on-quarter increase in copper cost of sales of about 30%, as well as higher C1 cash costs and all-in sustaining costs per pound.
The Barrick results exclude production and sales from Randgold Resources, with which it merged on January 1.
Randgold produced 1.28-million ounces of gold in 2018 – 1% below its guidance of 1.30-million to 1.35-million ounces, which is attributed to industrial action at Loulo-Gounkoto, in Mali.
Barrick will announce its quarterly results to the market on February 13.