Slide 1: TD Securities – Sales Desk Presentation
TD Securities – Sales Desk Presentation Toronto – April 2, 2014
Slide 2: Cautionary Statement on Forward-Looking Information
CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION Certain information contained or incorporated by reference in this presentation, including any information as to our strategy, projects, plans or future financial or operating performance, constitutes "forward-looking statements”. All statements, o
Slide 3: Reshaping Barrick's Future / 2013 Scorecard
Reshaping Barrick’s Future Disciplined capital allocation framework continues to be at the core of every decision Shift in strategy provided head start to prepare for lower gold prices Prioritizing free cash flow and profitable production Transforming T f i Barrick B i k into i t a leaner, l
Slide 4: 2013 Gold and Copper Performance vs Guidance
2013 Gold Performance vs Guidance Production (Moz) AISC(1) (US$/oz) Adjusted Operating Costs(1,2) 7.0 7.0- 7.17 1,000 ~11% 1,000- (US$/oz) 7.4 Actual 1,100 Original Original 900- 975 915 Revised Actual ~7% 610- 660 575- Original 566 600 Actual Revised 0 400 400 (1) Percentages calculated based on mi
Slide 5: Lumwana – Sustained Improvements; Portfolio Optimization
Lumwana – Sustained Improvements 2013 production of 260 Production (Mlb) C1 Costs ($/lb) $4.00 80 Mlbs at C1 cash costs of New mine p plan adopted $2.29/lb 70 $3.50 Similar production at lower C1 cash costs 60 $3.00 New leadership expected in 2014 appointed Significant Si ifi t costt 50 $2 50
Slide 6: Increased Financial Flexibility; 2013 Reserves and Resources
Increased Financial Flexibility Generated $4.2B of operating cash flow in 2013 $ ~$2.0B of reductions to 2013 capital/costs p / Termed out $3.0B in debt in 2013 p y Eliminated ~$2.5B of debt repayments over next 5 years y Post-Offering Scheduled Debt Repayments(1) 70 7.0 6.0 5.0 4.0 $1 0B $1
Slide 7: Profit Before Ounces; Highest Grade Among Peers
Profit Before Ounces Gold Reserves (Moz)(1) 140 0 13% Additions Lower 4% 2% 1% gold price Below return 2% Increased assumption threshold Costs Divestitures 6% 104 Depletion in 2013 All reserve reductions transferred to resources; preserves option to access these ounces at higher gold prices in the f
Slide 8: High Quality Portfolio
High Quality Portfolio Five Core Mines 2013: 55% of total at average AISC of <$700/oz 2014E: ~60% of total at average AISC of $750-$800/oz CORTEZ GOLDSTRIKE PUEBLO LAGUNAS VELADERO VIEJO NORTE 11 11 High Quality Portfolio 2014e: 6.0-6.5 Moz of gold at AISC of $920-$980/oz(1) ~60% 5 core mines at
Slide 9: Adding Value through Exploration; Exploration – Focused in Nevada
Adding Value through Exploration(1) Effective on every measure compared to peers: Barrick B i k isi the th only l major j tot have h a significant i ifi t (+10Moz) greenfield discovery in the past 5 years with Goldrush y Lowest cost annual exploration ($/production ounce)(2) Added the most oun
Slide 10: Pascua-Lama: Full Ramp-Down by Mid-2014; 2014 Outlook
Pascua-Lama: Full Ramp-Down by Mid-2014 Temporary suspension improves near term cash flow Expect to incur costs of ~$0.30B $0.30B(1) in 2014 Construction will resume under a phased approach when project economics improve Evaluating opportunities to improve risk-adjusted returns including str
Slide 11: 2014 Outlook; The Next Phase
2014 Outlook(1) Total capex reduced by ~$2.5 billion (1) ($ millions) 2014E 2013 Minesite sustaining 2,000-2,200 2,418 Minesite expansion 300-375 468 Projects 100-125 2,114 Capex 2,400-2,700 5,000 (2) Tax rate ~50% 50% 35% Finance costs 800-825 657 (3) p Exploration & Evaluation 200-240 215 G&A 38
Slide 12: Footnotes
Footnotes 1. All-in sustaining costs per ounce (“AISC”), adjusted operating costs per ounce, C1 cash costs per pound and C3 fully allocated cash costs per pound are non-GAAP financial performance measures with no standardized definition under IFRS. See pages 63-72 of Barrick’s Fourth Quarter 2013 Re