Endnote 1
In this press release of unaudited financial results, “adjusted net earnings” and “adjusted net earnings per share” are non-GAAP financial performance measures. Adjusted net earnings excludes the following from net earnings: certain impairment charges (reversals) related to intangibles, goodwill, property, plant and equipment, and investments; gains (losses) and other one-time costs relating to acquisitions or dispositions; foreign currency translation gains (losses); significant tax adjustments not related to current period earnings; unrealized gains (losses) on non-hedge derivative instruments; and the tax effect and non-controlling interest of these items. The Company uses this measure internally to evaluate our underlying operating performance for the reporting periods presented and to assist with the planning and forecasting of future operating results. Barrick believes that adjusted net earnings is a useful measure of our performance because these adjusting items do not reflect the underlying operating performance of our core mining business and are not necessarily indicative of future operating results. Adjusted net earnings and adjusted net earnings per share are intended to provide additional information only and do not have any standardized meaning under IFRS and may not be comparable to similar measures of performance presented by other companies. They should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Further details on these non-GAAP measures are provided in the MD&A accompanying Barrick’s financial statements filed from time to time on SEDAR at www.sedar.com and on EDGAR at www.sec.gov.
Reconciliation of Net Earnings to Net Earnings per Share, Adjusted Net Earnings and Adjusted Net Earnings per Share
(unaudited) ($ millions, except per
share amounts in dollars)
|
For the three months ended
|
For the years ended
|
|
12/31/19
|
9/30/19
|
12/31/19
|
12/31/18
|
12/31/17
|
Net earnings (loss)
attributable to equity holders of the Company
|
1,387
|
|
2,277
|
|
3,969
|
|
(1,545
|
)
|
1,438
|
|
Impairment charges (reversals) related to
long-lived assetsa
|
(566
|
)
|
(872
|
)
|
(1,423
|
)
|
900
|
|
(212
|
)
|
Acquisition/disposition (gains)
lossesb
|
(414
|
)
|
(1,901
|
)
|
(2,327
|
)
|
(68
|
)
|
(911
|
)
|
(Gain) loss on currency
translation
|
53
|
|
40
|
|
109
|
|
136
|
|
72
|
|
Significant tax
adjustmentsc
|
74
|
|
35
|
|
34
|
|
742
|
|
244
|
|
Other (income) expense
adjustmentsd
|
(845
|
)
|
53
|
|
(687
|
)
|
366
|
|
178
|
|
Unrealized gains (losses)
on non-hedge derivative instruments
|
0
|
|
1
|
|
0
|
|
1
|
|
(1
|
)
|
Tax effect and non-controlling
intereste
|
611
|
|
631
|
|
1,227
|
|
(123
|
)
|
68
|
|
Adjusted net
earnings
|
300
|
|
264
|
|
902
|
|
409
|
|
876
|
|
Net earnings (loss) per
sharef
|
0.78
|
|
1.30
|
|
2.26
|
|
(1.32
|
)
|
1.23
|
|
Adjusted net earnings per
sharef
|
0.17
|
|
0.15
|
|
0.51
|
|
0.35
|
|
0.75
|
|
a. |
Net impairment reversals for the current year primarily relate to non-current asset reversals at Pueblo Viejo, partially offset by impairment charges at Pascua-Lama in the fourth quarter of 2019. This was further impacted by non-current asset reversals at Lumwana in the third quarter of 2019. Net impairment charges for 2018 primarily relate to non-current asset impairments at Lagunas Norte and non-current asset and goodwill impairments at Veladero. |
b. |
Acquisition/disposition gains for the current year primarily relate to the gain on the sale of our 50% interest in Kalgoorlie in the fourth quarter of 2019 and the gain on the remeasurement of Turquoise Ridge to fair value as a result of its contribution to Nevada Gold Mines in the third quarter of 2019. |
c. |
Significant tax adjustments in 2018 primarily relate to the de-recognition of our Canadian and Peruvian deferred tax assets. |
d. |
Other expense adjustments for the current year primarily relate to the gain on the de-recognition of the deferred revenue liability relating to our silver sale agreement with Wheaton Precious Metals Corp. and the gain on a tax settlement at Lumwana, both occurring in the fourth quarter of 2019. |
e. |
Tax effect and non-controlling interest for the current year primarily relates to the impairment charges related to long-lived assets. |
f. |
Calculated using weighted average number of shares outstanding under the basic method of earnings per share. |
Endnote 2
A Tier One Gold Asset is a mine with a stated life in excess of 10 years, annual production of at least 500,000 ounces of gold and total cash costs per ounce over the mine life that are in the lower half of the industry cost curve.
Endnote 3
Includes Tanzania on a 63.9% basis (notwithstanding the completion of the Acacia transaction on September 17, 2019, we consolidated our interest in Acacia and recorded a non-controlling interest of 36.1% in the income statement for the entirety of the third quarter of 2019 as a matter of convenience), Pueblo Viejo on a 60% basis, South Arturo on a 60% basis (36.9% from July 1, 2019 onwards as a result of its contribution to Nevada Gold Mines), and Veladero on a 50% basis, which reflects our equity share of production and sales. Also includes Loulo-Gounkoto on an 80% basis, Kibali on a 45% basis, Tongon on an 89.7% basis and Morila on a 40% basis, which reflects our equity share of production and sales, commencing January 1, 2019, the effective date of the Merger. Also removes the non-controlling interest of 38.5% Nevada Gold Mines from July 1, 2019 onwards.
Endnote 4
"Realized price" is a non-GAAP financial measure which excludes from sales: unrealized gains and losses on non-hedge derivative contracts; unrealized mark-to-market gains and losses on provisional pricing from copper and gold sales contracts; sales attributable to ore purchase arrangements; treatment and refining charges; export duties; and cumulative catch-up adjustments to revenue relating to our streaming arrangements. This measure is intended to enable Management to better understand the price realized in each reporting period for gold and copper sales because unrealized mark-to-market values of non-hedge gold and copper derivatives are subject to change each period due to changes in market factors such as market and forward gold and copper prices, so that prices ultimately realized may differ from those recorded. The exclusion of such unrealized mark-to-market gains and losses from the presentation of this performance measure enables investors to understand performance based on the realized proceeds of selling gold and copper production. The realized price measure is intended to provide additional information and does not have any standardized definition under IFRS and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Further details on these non-GAAP measures are provided in the MD&A accompanying Barrick’s financial statements filed from time to time on SEDAR at www.sedar.com and on EDGAR at www.sec.gov.
Reconciliation of Sales to Realized Price per ounce/pound
(Unaudited)
($ millions, except per ounce/pound information in dollars) |
Gold |
Copper |
Gold |
Copper |
|
For the three months ended |
For the years ended |
|
12/31/19 |
9/30/19 |
12/31/19 |
9/30/19 |
12/31/19 |
12/31/18 |
12/31/17 |
12/31/19 |
12/31/18 |
12/31/17 |
Sales |
2,758 |
|
2,585 |
|
82 |
|
45 |
|
9,186 |
|
6,600 |
|
7,631 |
|
393 |
|
512 |
|
608 |
|
Sales applicable to non-controlling interests |
(769 |
) |
(748 |
) |
0 |
|
0 |
|
(1,981 |
) |
(734 |
) |
(810 |
) |
0 |
|
0 |
|
0 |
|
Sales applicable to equity method investmentsa,b |
139 |
|
140 |
|
147 |
|
100 |
|
543 |
|
0 |
|
0 |
|
492 |
|
442 |
|
427 |
|
Realized non-hedge gold/copper derivative (losses) gains |
0 |
|
0 |
|
0 |
|
0 |
|
1 |
|
2 |
|
3 |
|
0 |
|
0 |
|
0 |
|
Sales applicable to sites in care and maintenancec |
(56 |
) |
(32 |
) |
0 |
|
0 |
|
(140 |
) |
(111 |
) |
(153 |
) |
0 |
|
0 |
|
0 |
|
Treatment and refinement charges |
0 |
|
0 |
|
25 |
|
18 |
|
0 |
|
1 |
|
1 |
|
99 |
|
144 |
|
157 |
|
Export duties |
0 |
|
0 |
|
0 |
|
0 |
|
0 |
|
(1 |
) |
0 |
|
0 |
|
0 |
|
0 |
|
Otherd |
22 |
|
0 |
|
0 |
|
0 |
|
22 |
|
12 |
|
0 |
|
0 |
|
0 |
|
0 |
|
Revenues – as adjusted |
2,094 |
|
1,945 |
|
254 |
|
163 |
|
7,631 |
|
5,769 |
|
6,672 |
|
984 |
|
1,098 |
|
1,192 |
|
Ounces/pounds sold (000s ounces/millions pounds)c |
1,413 |
|
1,318 |
|
91 |
|
65 |
|
5,467 |
|
4,544 |
|
5,302 |
|
355 |
|
382 |
|
405 |
|
Realized gold/copper price per ounce/pounde |
1,483 |
|
1,476 |
|
2.76 |
|
2.55 |
|
1,396 |
|
1,270 |
|
1,258 |
|
2.77 |
|
2.88 |
|
2.95 |
|
Endnote 5
“Free cash flow” is a non-GAAP financial performance measure which deducts capital expenditures from net cash provided by operating activities. Barrick believes this to be a useful indicator of our ability to operate without reliance on additional borrowing or usage of existing cash. Free cash flow is intended to provide additional information only and does not have any standardized meaning under IFRS and may not be comparable to similar measures of performance presented by other companies. Free cash flow should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Further details on this non-GAAP measure are provided in the MD&A accompanying Barrick’s financial statements filed from time to time on SEDAR at www.sedar.com and on EDGAR at www.sec.gov.
Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow
(Unaudited)
($ millions) |
For the three months ended |
For the years ended |
|
12/31/19 |
9/30/19 |
12/31/19 |
12/31/18 |
12/31/17 |
Net cash provided by operating activities |
875 |
|
1,004 |
|
2,833 |
|
1,765 |
|
2,065 |
|
Capital expenditures |
(446 |
) |
(502 |
) |
(1,701 |
) |
(1,400 |
) |
(1,396 |
) |
Free cash flow |
429 |
|
502 |
|
1,132 |
|
365 |
|
669 |
|
Endnote 6
These amounts are presented on the same basis as our guidance and include our 60% share of Pueblo Viejo and South Arturo (36.9% of South Arturo from July 1, 2019 onwards as a result of its contribution to Nevada Gold Mines), our 63.9% share of Tanzania until September 30, 2019 (notwithstanding the completion of the Acacia transaction on September 17, 2019, we consolidated our interest in Acacia and recorded a non-controlling interest of 36.1% in the income statement for the entirety of the third quarter of 2019 as a matter of convenience) and our 50% share of Zaldívar and Jabal Sayid. Also includes our 80% share of Loulo-Gounkoto, 89.7% share of Tongon, 45% share of Kibali and 40% share of Morila commencing January 1, 2019, the effective date of the Merger. Starting July 1, 2019, it also includes our 61.5% share of Nevada Gold Mines.
Endnote 7
Cost of sales applicable to gold per ounce is calculated using cost of sales applicable to gold on an attributable basis (removing the non-controlling interest of 40% Pueblo Viejo, 36.1% Tanzania until September 30, 2019 (notwithstanding the completion of the Acacia transaction on September 17, 2019, we consolidated our interest in Acacia and recorded a non-controlling interest of 36.1% in the income statement for the entirety of the third quarter of 2019 as a matter of convenience) and 40% South Arturo from cost of sales (63.1% of South Arturo from July 1, 2019 onwards as a result of its contribution to Nevada Gold Mines)), divided by attributable gold ounces. The non-controlling interest of 20% Loulo-Gounkoto and 10.3% of Tongon is also removed from cost of sales and our proportionate share of cost of sales attributable to equity method investments (Kibali and Morila) is included commencing January 1, 2019, the effective date of the Merger. Also removes the non-controlling interest of 38.5% Nevada Gold Mines from cost of sales from July 1, 2019 onwards. Cost of sales applicable to copper per pound is calculated using cost of sales applicable to copper including our proportionate share of cost of sales attributable to equity method investments (Zaldívar and Jabal Sayid), divided by consolidated copper pounds (including our proportionate share of copper pounds from our equity method investments).
Endnote 8
“Total cash costs” per ounce, “All-in sustaining costs” per ounce and "All-in costs" per ounce are non-GAAP financial performance measures. “Total cash costs” per ounce starts with cost of sales related to gold production but removes depreciation, the non-controlling interest of cost of sales, and includes by-product credits. “All-in sustaining costs” per ounce begin with “Total cash costs” per ounce and add further costs which reflect the expenditures made to maintain current production levels, primarily sustaining capital expenditures, sustaining leases, general & administrative costs, minesite exploration and evaluation costs, and reclamation cost accretion and amortization. "All-in costs" per ounce starts with "All-in sustaining costs" per ounce and adds additional costs that reflect the varying costs of producing gold over the life-cycle of a mine, including: project capital expenditures and other non-sustaining costs. Barrick believes that the use of “total cash costs” per ounce, “all-in sustaining costs” per ounce and "All-in costs" per ounce will assist investors, analysts and other stakeholders in understanding the costs associated with producing gold, understanding the economics of gold mining, assessing our operating performance and also our ability to generate free cash flow from current operations and to generate free cash flow on an overall Company basis. “Total cash costs” per ounce, “All-in sustaining costs” per ounce and "All-in costs" per ounce are intended to provide additional information only and do not have any standardized meaning under IFRS. Although a standardized definition of all-in sustaining costs was published in 2013 by the World Gold Council (a market development organization for the gold industry comprised of and funded by 25 gold mining companies from around the world, including Barrick), it is not a regulatory organization, and other companies may calculate this measure differently. Starting from the first quarter of 2019, we have renamed "cash costs" to "total cash costs" when referring to our gold operations. The calculation of total cash costs is identical to our previous calculation of cash costs with only a change in the naming convention of this non-GAAP measure. These measures should not be considered in isolation or as a substitute for measures prepared in accordance with IFRS. Further details on these non-GAAP measures are provided in the MD&A accompanying Barrick’s financial statements filed from time to time on SEDAR at www.sedar.com and on EDGAR at www.sec.gov.
Reconciliation of Gold Cost of Sales to Total cash costs, All-in sustaining costs and All-in costs, including on a per ounce basis
(Unaudited)
($ millions, except per ounce information in dollars) |
|
For the three months ended |
For the years ended |
|
Footnote |
12/31/19 |
9/30/19 |
12/31/19 |
12/31/18 |
12/31/17 |
Cost of sales applicable to gold production |
|
1,896 |
|
1,831 |
|
6,514 |
|
4,621 |
|
4,836 |
|
Depreciation |
|
(549 |
) |
(538 |
) |
(1,902 |
) |
(1,253 |
) |
(1,529 |
) |
Cash cost of sales applicable to equity method investments |
|
57 |
|
45 |
|
226 |
|
0 |
|
0 |
|
By-product credits |
|
(43 |
) |
(48 |
) |
(138 |
) |
(131 |
) |
(135 |
) |
Realized (gains) losses on hedge and non-hedge derivatives |
a |
1 |
|
1 |
|
1 |
|
3 |
|
23 |
|
Non-recurring items |
b |
(22 |
) |
(4 |
) |
(55 |
) |
(172 |
) |
0 |
|
Other |
c |
(37 |
) |
(19 |
) |
(102 |
) |
(87 |
) |
(106 |
) |
Non-controlling interests |
d |
(326 |
) |
(339 |
) |
(878 |
) |
(313 |
) |
(299 |
) |
Total cash costs |
|
977 |
|
929 |
|
3,666 |
|
2,668 |
|
2,790 |
|
General & administrative costs |
|
31 |
|
68 |
|
212 |
|
265 |
|
248 |
|
Minesite exploration and evaluation costs |
e |
24 |
|
22 |
|
69 |
|
45 |
|
47 |
|
Minesite sustaining capital expenditures |
f |
394 |
|
406 |
|
1,320 |
|
975 |
|
1,109 |
|
Sustaining leases |
|
4 |
|
5 |
|
27 |
|
0 |
|
0 |
|
Rehabilitation - accretion and amortization (operating sites) |
g |
7 |
|
28 |
|
65 |
|
81 |
|
64 |
|
Non-controlling interest, copper operations and other |
h |
(135 |
) |
(184 |
) |
(470 |
) |
(374 |
) |
(273 |
) |
All-in sustaining costs |
|
1,302 |
|
1,274 |
|
4,889 |
|
3,660 |
|
3,985 |
|
Project exploration and evaluation and project costs |
e |
60 |
|
64 |
|
273 |
|
338 |
|
307 |
|
Community relations costs not related to current operations |
|
0 |
|
1 |
|
2 |
|
4 |
|
4 |
|
Project capital expenditures |
f |
46 |
|
96 |
|
370 |
|
459 |
|
273 |
|
Rehabilitation - accretion and amortization (non-operating sites) |
g |
3 |
|
5 |
|
22 |
|
33 |
|
20 |
|
Non-controlling interest and copper operations and other |
h |
(28 |
) |
(46 |
) |
(105 |
) |
(21 |
) |
(21 |
) |
All-in costs |
|
1,383 |
|
1,394 |
|
5,451 |
|
4,473 |
|
4,568 |
|
Ounces sold - equity basis (000s ounces) |
i |
1,413 |
|
1,318 |
|
5,467 |
|
4,544 |
|
5,302 |
|
Cost of sales per ounce |
j,k |
1,046 |
|
1,065 |
|
1,005 |
|
892 |
|
794 |
|
Total cash costs per ounce |
k |
692 |
|
710 |
|
671 |
|
588 |
|
526 |
|
Total cash costs per ounce (on a co-product basis) |
k,l |
712 |
|
735 |
|
689 |
|
607 |
|
544 |
|
All-in sustaining costs per ounce |
k |
923 |
|
984 |
|
894 |
|
806 |
|
750 |
|
All-in sustaining costs per ounce (on a co-product basis) |
k,l |
943 |
|
1,009 |
|
912 |
|
825 |
|
768 |
|
All-in costs per ounce |
k |
976 |
|
1,074 |
|
996 |
|
985 |
|
860 |
|
All-in costs per ounce (on a co-product basis) |
k,l |
996 |
|
1,099 |
|
1,014 |
|
1,004 |
|
878 |
|
Endnote 9
“C1 cash costs” per pound and “All-in sustaining costs” per pound are non-GAAP financial performance measures. “C1 cash costs” per pound is based on cost of sales but excludes the impact of depreciation and royalties and production taxes and includes treatment and refinement charges. “All-in sustaining costs” per pound begins with “C1 cash costs” per pound and adds further costs which reflect the additional costs of operating a mine, primarily sustaining capital expenditures, general & administrative costs and royalties and production taxes. Barrick believes that the use of “C1 cash costs” per pound and “all-in sustaining costs” per pound will assist investors, analysts, and other stakeholders in understanding the costs associated with producing copper, understanding the economics of copper mining, assessing our operating performance, and also our ability to generate free cash flow from current operations and to generate free cash flow on an overall Company basis. “C1 cash costs” per pound and “All-in sustaining costs” per pound are intended to provide additional information only, do not have any standardized meaning under IFRS, and may not be comparable to similar measures of performance presented by other companies. These measures should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Further details on these non-GAAP measures are provided in the MD&A accompanying Barrick’s financial statements filed from time to time on SEDAR at www.sedar.com and on EDGAR at www.sec.gov.
Reconciliation of Copper Cost of Sales to C1 cash costs and All-in sustaining costs, including on a per pound basis
(Unaudited)
($ millions, except per pound information in dollars) |
For the three months ended |
For the years ended |
|
12/31/19 |
9/30/19 |
12/31/19 |
12/31/18 |
12/31/17 |
Cost of sales |
80 |
|
49 |
|
361 |
|
558 |
|
399 |
|
Depreciation/amortization |
(17 |
) |
(13 |
) |
(100 |
) |
(170 |
) |
(83 |
) |
Treatment and refinement charges |
25 |
|
18 |
|
99 |
|
144 |
|
157 |
|
Cash cost of sales applicable to equity method investments |
94 |
|
59 |
|
288 |
|
281 |
|
245 |
|
Less: royalties and production taxesa |
(9 |
) |
(5 |
) |
(35 |
) |
(44 |
) |
(38 |
) |
By-product credits |
(1 |
) |
(3 |
) |
(9 |
) |
(6 |
) |
(5 |
) |
Other |
0 |
|
0 |
|
(5 |
) |
(11 |
) |
0 |
|
C1 cash cost of sales |
172 |
|
105 |
|
599 |
|
752 |
|
675 |
|
General & administrative costs |
3 |
|
5 |
|
19 |
|
28 |
|
12 |
|
Rehabilitation - accretion and amortization |
7 |
|
2 |
|
15 |
|
16 |
|
12 |
|
Royalties and production taxes |
9 |
|
5 |
|
35 |
|
44 |
|
38 |
|
Minesite exploration and evaluation costs |
2 |
|
1 |
|
6 |
|
4 |
|
6 |
|
Minesite sustaining capital expenditures |
60 |
|
48 |
|
215 |
|
220 |
|
204 |
|
Sustaining leases |
3 |
|
0 |
|
5 |
|
0 |
|
0 |
|
Inventory write-downs |
0 |
|
0 |
|
0 |
|
11 |
|
0 |
|
All-in sustaining costs |
256 |
|
166 |
|
894 |
|
1,075 |
|
947 |
|
Pounds sold - consolidated basis (millions pounds) |
91 |
|
65 |
|
355 |
|
382 |
|
405 |
|
Cost of sales per poundb,c |
2.26 |
|
2.00 |
|
2.14 |
|
2.40 |
|
1.77 |
|
C1 cash cost per poundb |
1.90 |
|
1.62 |
|
1.69 |
|
1.97 |
|
1.66 |
|
All-in sustaining costs per poundb |
2.82 |
|
2.58 |
|
2.52 |
|
2.82 |
|
2.34 |
|
Cautionary Statement on Forward-Looking Information
Barrick cautions that, whether or not expressly stated, all full year and fourth quarter figures contained in this press release reflect our expected full year and fourth quarter results as of the date of this press release. Actual audited full year and fourth quarter results are subject to management’s final review, as well as review by the Company’s independent accounting firm, and may vary significantly from those expectations because of a number of factors, including, without limitation, additional or revised information, and changes in accounting standards or policies, or in how those standards are applied. For a complete picture of the Company’s financial performance, it will be necessary to review all of the information in the Company’s full year and fourth quarter financial report and related MD&A as filed on SEDAR at www.sedar.com and on EDGAR at www.sec.gov. Accordingly, readers are cautioned not to rely solely on the information contained herein.
Certain information contained or incorporated by reference in this press release, including any information as to our strategy, projects, 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 “believe”, “expect”, “anticipate”, “target”, “plan”, “objective”, “assume”, “intend”, “intention”, “project”, “goal”, “continue”, “budget”, “estimate”, “potential”, “may”, “will”, “can”, “could”, “would” and similar expressions identify forward-looking statements. In particular, this press release contains forward-looking statements including, without limitation, with respect to: Barrick’s goal to be the world’s most valued gold mining business; our strategies and plans with respect to environmental, sustainability and governance issues; mine life and production rates; potential mineralization and metal or mineral recoveries; expected replacement of mineral reserves and resources; our future plans, growth potential, financial strength, investments and overall strategy; our plans and expected completion and benefits of our projects, including automation initiatives, Pueblo Viejo plant expansion, projects at Loulo Gounkoto (including the development of the complex’s third underground mine, exploration program, solar power project and the Ramjack Newtrax automation and monitoring project) and the grid stabilizer project at Kibali; progress with respect to the settlement of tax disputes with the Malian government and our future working relationship as long-term partners; future investments in community projects and contributions to local economies; and long-term value creation for the stakeholders of Barrick’s Tanzanian operations.
Forward-looking statements are necessarily based upon a number of estimates and assumptions including material estimates and assumptions related to the factors set forth below that, while considered reasonable by the Company as at the date of this press release in light of management’s experience and perception of current conditions and expected 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. Such 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, exploitation and exploration successes; risks associated with projects in the early stages of evaluation and for which additional engineering and other analysis is required ; the Company’s ability to successfully re-integrate Acacia’s operations; whether benefits expected from recent transactions are realized; disruption of supply routes which may cause delays in construction and mining activities at Barrick’s more remote properties; diminishing quantities or grades of reserves; increased costs, delays, suspensions and technical challenges associated with the construction of capital projects; operating or technical difficulties in connection with mining or development activities, including geotechnical challenges and disruptions in the maintenance or provision of required infrastructure and information technology systems; failure to comply with environmental and health and safety laws and regulations; timing of receipt of, or failure to comply with, necessary permits and approvals; uncertainty whether some or targeted investments and projects will meet the Company’s capital allocation objectives and internal hurdle rate; the impact of global liquidity and credit availability on the timing of cash flows and the values of assets and liabilities based on projected future cash flows; adverse changes in our credit ratings; the impact of inflation; fluctuations in the currency markets; changes in U.S. dollar interest rates; risks arising from holding derivative instruments; changes in national and local government legislation, 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 Canada, the United States and other jurisdictions in which the Company or its affiliates do or may carry on business in the future; lack of certainty with respect to foreign legal systems, corruption and other factors that are inconsistent with the rule of law; risks associated with illegal and artisanal mining; the risks of operating in jurisdictions where infectious diseases present major health care issues; damage to the Company’s reputation due to the actual or perceived occurrence of any number of events, including negative publicity with respect to the Company’s handling of environmental matters or dealings with community groups, whether true or not; the possibility that future exploration results will not be consistent with the Company’s expectations; risks that exploration data may be incomplete and considerable additional work may be required to complete further evaluation, including but not limited to drilling, engineering and socioeconomic studies and investment; risk of loss due to acts of war, terrorism, sabotage and civil disturbances; litigation; contests over title to properties, particularly title to undeveloped properties, or over access to water, power and other required infrastructure; business opportunities that may be presented to, or pursued by, the Company; risks associated with the fact that certain of the initiatives described in this press release are still in the early stages and may not materialize; our ability to successfully integrate acquisitions or complete divestitures; risks associated with working with partners in jointly controlled assets; employee relations including loss of key employees; increased costs and physical risks, including extreme weather events and resource shortages, related to climate change; and availability and increased costs associated with mining inputs and labor. In addition, there are risks and hazards associated with the business of mineral exploration, development and mining, including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins, flooding and gold bullion, copper cathode or gold or copper concentrate losses (and the risk of inadequate insurance, or inability to obtain insurance, to cover these risks).
Many of these uncertainties and contingencies can 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 behalf of, us. Readers are cautioned that forward-looking statements are not guarantees of future performance. All of the 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 on file with the SEC and Canadian provincial securities regulatory authorities for a more detailed discussion of some of the factors underlying forward-looking statements and the risks that may affect Barrick’s ability to achieve the expectations set forth in the forward-looking statements contained in this press release. We disclaim any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law.