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Reserves & Resources

Annual Report 2020

Reserves and Resources

Significant progress has been made in developing Life of Mine optimizations based on high-confidence geological models.

Armed with the introduction of onsite mineral resource management and an intensified focus on geology, Barrick has spent the two years since the Randgold merger improving knowledge of its orebodies.

At the same time, it has transferred ownership and responsibility for the orebodies to the mines, empowering and integrating the on-site mineral resource, geology and planning teams. Significant progress has been made in developing Life of Mine optimizations based on high-confidence geological models as well as operating plans, ounce profiles and cost forecasts.

As of December 31, 2020, Barrick’s proven and probable gold reserves were 68 million ounces Please see page 143 of the Annual Report 2020 for corresponding endnotes. at an average grade of 1.66g/t Au and were estimated using a gold price assumption of $1,200 per ounce, unchanged from 2019. After adjusting for the disposal of Massawa, reserve replacement was 76% of depletion with a consistent reserve grade maintained. Similarly, when excluding the impact of Massawa, the net reduction in reserves year-on-year is approximately 2%.

Attributable Contained Gold Reserves All mineral resource and mineral reserve estimates of tonnes, gold ounces and copper pounds are reported to the second significant digit. Please see page 143 of the Annual Report 2020 for corresponding endnotes.

Attributable Contained Gold Reserves

Attributable Contained Copper Reserves All mineral resource and mineral reserve estimates of tonnes, gold ounces and copper pounds are reported to the second significant digit. Please see page 143 of the Annual Report 2020 for corresponding endnotes.

Attributable Contained Copper Reserves

Reserve replenishment, net of depletion, was achieved at three of Barrick’s Tier One assets — Kibali, Loulo-Gounkoto and Pueblo Viejo. Both Hemlo and North Mara also achieved this milestone, advancing Hemlo on the path to become a Tier Two asset, and moving the Bulyanhulu and North Mara mines closer to potential Tier One status as a combined complex. Strong conversion from resources was delivered, despite the 2020 focus of exploration programs at NGM on geological model updates to drive longer-term resource growth, as well as the impact of the Covid-19 pandemic on drilling activities at Veladero.

Excluding the divestment of Massawa, Barrick’s total mineral resources grew in 2020, net of depletion. This growth in total resources is a direct reflection of Barrick’s increasing confidence in our geological models, which underpin all our operating business plans.

In particular, this includes both the open-pit and underground mines of the Gokona deposit of North Mara, the Deep West zone of Bulyanhulu and across our portfolio at NGM. This momentum will be the driver of future improvements in depletion replacement and reserve conversion in the business.

As at December 31, 2020, Barrick’s measured and indicated resources were 160 million ounces Please see page 143 of the Annual Report 2020 for corresponding endnotes. at an average grade of 1.52g/t Au. Excluding the impact of Massawa, the year-onyear net change in raw attributable measured and indicated resources is a decrease of 1.5 million ounces, with grades remaining consistent. As at December 31, 2020, Barrick’s inferred resources were 43 million ounces Please see page 143 of the Annual Report 2020 for corresponding endnotes. at an average grade of 1.4g/t Au. After adjusting for the disposition of Massawa, raw attributable inferred resources increased by 3.9 million ounces or 10% year-on-year, with grades improving by approximately 5.5% from 2019.

Copper reserves for 2020 are calculated using a copper price of $2.75 per pound and resources are calculated at $3.50 per pound, both unchanged from 2019. As at December 31, 2020, Barrick’s proven and probable copper reserves were 13 billion pounds Please see page 143 of the Annual Report 2020 for corresponding endnotes. at an average grade of 0.39%. Measured and indicated copper resources were 25 billion pounds Please see page 143 of the Annual Report 2020 for corresponding endnotes. at an average grade of 0.36%, and inferred copper resources were 2.2 billion pounds Please see page 143 of the Annual Report 2020 for corresponding endnotes. at an average grade of 0.2%.

Annual Report 2020

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