Short-term Pain? 💰💰💰Impact of lower ore grades: In Q3 2024, Barrick’s Carlin and Cortez mines in Nevada struggled with lower ore grades, leading to increased costs and reduced efficiency. This resulted in an expected rise in AISC of at least 2% over the previous quarter’s $1,498 per ounce. (Source: ‘Is Barrick Gold Stock Still the Best Gold Play in 2024? - Stocktrades’)Operational expansion: Barrick is planning an operational expansion at the Carlin mine, which could potentially boost throughput and recoveries in Q4, helping to offset some of the Q3 losses. This could impact future AISC figures. (Source: ‘Is Barrick Gold Stock Still the Best Gold Play in 2024? - Stocktrades’)Multi-year high: In Q2 2022, Barrick’s AISC spiked to a multi-year high above $1,200 per ounce due to inflationary pressures. However, the company’s guidance assumes costs will be at the high end of guidance or slightly above the top end, which may not be sustainable. (Source: ‘Barrick Gold: Solid Execution In A Difficult Environment’)
Overall, Barrick’s AISC has been relatively stable in recent years, with some fluctuations due to operational and market factors. The company’s guidance and future plans may impact AISC figures, and investors should monitor these developments closely.