Barrick still on hunt for new mines
Post/wire say Barrick still on hunt for new mines
2012-08-08 07:46 MT - In the News
The Financial Post reports in its Wednesday edition that Barrick Gold is having a look at buying new mines as it completes a review to reduce costs at existing assets. A Bloomberg dispatch to the Post quotes Barrick's Mike Feehan as saying at a conference in Kalgoorlie, Australia: "Perhaps there's more M&A opportunities today than there were a year ago and as a company we're looking at those assets on a daily basis. If we could find a few million ounces of gold deposit that's probably pretty good." Barrick chief executive officer Jamie Sokalsky is revising costs and reviewing the company's other development projects after taking over last month from Aaron Regent, who was fired. After 11 straight years of gains which have seen gold rise more than fivefold, the price of the precious metal is up just 3.1 per cent this year, giving producers less room for manoeuver and pushing them to focus on returns instead of output. Demand for gold will be driven by central bank purchases for the metal as a store of value, as well as rising jewellery demand in China and India. Barrick plans to spend 20 percent of this year's $450-million to $490-million exploration budget for projects in Australia and Papua New Guinea