Breaking News
0

Barrick clips 2018 copper production outlook, sees higher costs

Stock MarketsJul 11, 2018 18:00
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. Barrick clips 2018 copper production outlook, sees higher costs

By Susan Taylor

TORONTO, July 11 (Reuters) - Canada's Barrick Gold Corp ABX.TO lowered its full-year copper production forecast on Wednesday while increasing its cost estimates, saying the change reflected operational challenges and planned work at its Lumwana mine in Zambia.

Barrick, which looks likely to lose its rank as the world's biggest gold producer this year, maintained its 2018 output estimate of between 4.5 million and 5 million ounces of gold at all-in sustaining costs of $765 to $815 an ounce.

Rival Newmont Mining Corp (NYSE:NEM) NEM.N has said it expects to produce between 4.9 and 5.4 million ounces of gold in 2018.

Toronto-based Barrick lowered its 2018 copper production forecast to between 345 million and 410 million pounds, from an April estimate of 385 million to 450 million pounds. Mill shutdowns and lower grades hurt Lumwana's performance in the first quarter.

All-in sustaining production costs, an industry benchmark, are forecast between $2.55 and $2.85 per pound of copper for 2018, above its previous estimate of $2.30 to $2.60 per pound.

Barrick, which plans to report full financial results on July 25, said it produced 83 million pounds of copper in the second quarter, according to preliminary production data, a slight drop from the first quarter.

The company said it expects higher Lumwana production in the second half of the year, reflecting improved grades and crusher reliability.

Second-quarter gold production of 1.07 million ounces mirrored first-quarter output, but all-in sustaining costs were about 5 to 7 percent higher, due to planned maintenance at its Nevada roaster and stripping at its Pueblo Viejo mine in the Dominican Republic, Barrick said.

Gold production is expected to be higher in the second half of 2018 and at lower costs in comparison to the first six months, as maintenance work is completed and higher grades are mined at Barrick Nevada and Pueblo Viejo, the company said.

The average market price for its products in the second quarter was $1,306 an ounce of gold and $3.12 per pound of copper, Barrick said.

Barrick clips 2018 copper production outlook, sees higher costs
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email