The Donlin Gold project in Alaska is a joint venture between Barrick (50%) and Novagold (50%).
Under our disciplined capital allocation framework, in 2013 we have continued to monitor the long term viability of our investment in Donlin Gold. Although the Donlin Gold project contains large, long life mineral resources, with significant leverage to the price of gold, it is uncertain when or if it will be able to meet our investment criteria given the required large initial capital investment.
Barrick will comply with the minimum investment commitments that we have with our co-owner of Donlin Gold to advance the permitting of the project, but within the limits established by those commitments, Barrick will be seeking to reduce the near-term expenditures on this project as much as practicable.
Donlin Gold has measured and indicated resource potential of approximately 19.5 million ounces of gold (Barrick’s share)1 and an inferred resource of 3.0 million ounces of gold (Barrick’s share)1.