Barrick Gold Corp. said it’s on track to meet its full-year production goal after third-quarter output edged up from the previous period.

The world’s second-largest gold miner lowered its 2020 guidance in May to a range of 4.6 million to five million ounces because of a conflict with the government of Papua New Guinea over its Porgera mine. Barrick said it remains “on track” to achieve its full-year production as overall gold production climbed to 3.6 million ounces in the first nine months of 2020.

Key Insights

Even though there was no output recorded from Porgera, overall third-quarter gold production rose mainly due to stronger performances from Carlin in Nevada and Pueblo Viejo in Dominican Republic.

Gold production for the third quarter was 1.16 million ounces, based on preliminary data, falling just short of analysts’ expectations of 1.2 million.

All-in sustaining costs fell five per cent to seven per cent in the quarter from the prior period, preliminary data shows.

Gold prices have climbed this year, providing a tailwind for producers of the metal. A Bloomberg Intelligence index of senior gold miners has gained over 50 per cent in 2020.

Spot gold prices were up 30 per cent on average in the third quarter from a year earlier, and in August they shot past the record set in September 2011.

Market Reaction

Barrick shares in New York have climbed 52 per cent this year.

--With assistance from Joe Richter.