Barrick Mining Corporation · TSX:ABX

Barrick Mining — Bank of America Merrill Lynch 20th Annual Canada Mining Conference 2014

19 slides from Barrick Mining's conference presentation, Sep 4, 2014

  1. Slide 1: Bank of America Merrill Lynch 20th Annual Canada Mining Conference

    Bank of America Merrill Lynch 20th Annual Canada Mining Conference Toronto - September 4, 2014 1

  2. 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

  3. Slide 3: First Half 2014 Highlights

    First Half 2014 Highlights  Adjusted net earnings of $397M ($0.34/share)(1)  Net loss of $181M ($0.16/share) includes $514M impairment charge for Jabal Sayid in Q2  Operating / adjusted operating cash flow of $1.1B(1)  Reduced 2014 guidance for capex, adjusted operating costs and AISC for second

  4. Slide 4: Operational Excellence is Top Priority

    Operational Excellence is Top Priority  H1 Gold production  Portfolio review underway 3.1 Moz  Cost reductions sourced from: AISC(1) ($/oz) – optimized capital spending $922 8% – improved contracts – in-sourcing/fewer contractors $849 – reductions to inventory and working capital – better mainten

  5. Slide 5: Improvements to 2014 Guidance

    Improvements to 2014 Guidance(1)  Lowest AISC of senior peers AISC ($/oz) Adj. Op. Costs(2) CAPEX ($B) ($/oz) 980 2.7 Guidance 940 2.5 Range 640 920 630 2.4 900 2.2 590 580 Original Revised Original Revised Original Revised 2014 2014 2014 2014 2014 2014 700 400 1.0 (1) See final slide #2. (2) See f

  6. Slide 6: High Quality Cornerstone Mines

    High Quality Cornerstone Mines CORTEZ PUEBLO VIEJO LAGUNAS NORTE VELADERO GOLDSTRIKE 6

  7. Slide 7: Cortez

    Cortez  2014E production: low end of 925,000-975,000 ounce range  2014E AISC: high end of $750-$780 per ounce range 7

  8. Slide 8: Goldstrike

    Goldstrike  2014E production: high end of 865,000-915,000 ounce range  2014E AISC: low end of $920-$950 per ounce range  Patented thiosulfate process on schedule for Q4 2014 8

  9. Slide 9: Pueblo Viejo

    Pueblo Viejo  2014E production: 600,000-700,000 ounces  2014E AISC: high end of $510-$610 per ounce range  Autoclaves have achieved targeted and sustainable run rates 9

  10. Slide 10: Lagunas Norte

    Lagunas Norte  2014E production: high end of 570,000-610,000 ounce range  2014E AISC: low end of $640-$680 per ounce range  Higher grades and recoveries expected in H2 10

  11. Slide 11: Veladero

    Veladero  2014E production: high end of 650,000-700,000 ounce range  2014E AISC: low end of $940-$990 per ounce range 11

  12. Slide 12: Copper Operations

    Copper Operations LUMWANA ZALDIVAR  Conveyor repaired and  Steady generator of free processing re-started ahead cash flow with first quartile of schedule in early July costs  2014E total production guidance: 410-440 million pounds(1)  2014E C1 cash costs: $1.90-$2.10 per pound(1,2) (1) See final

  13. Slide 13: Jabal Sayid – 50/50 JV Agreement

    Jabal Sayid – 50/50 JV Agreement  Agreement allows project to advance  Production anticipated to begin in late 2015  100-130 Mlbs of copper in concentrate at first quartile C1 cash costs expected in first full five years 13

  14. Slide 14: Growth Opportunities in Nevada

    Growth Opportunities in Nevada  Deep pipeline with strong potential to exceed risk- adjusted hurdle rates of return  Advancing several projects in Nevada through the prefeasibility stage (PFS) Near Mine Orebody Mine Third Party Exploration(1) Extensions Expansions Opportunities  Maximize  Excell

  15. Slide 15: Cortez Camp / Goldrush

    Cortez Camp / Goldrush Cortez Camp 18 Moz production to date 11 Moz reserves(1) 4.9 Moz M&I resources(1) 0.9 Moz inferred resources(1) Portal Cortez Hills Open and Conceptual untested Exploration Decline Goldrush 10 Moz M&I resources(1) 5.6 Moz inferred resources(1) (1) See final slide #4. 15

  16. Slide 16: Pascua-Lama: Ramp-Down Completed

    Pascua-Lama: Ramp-Down Completed  Expect to incur costs of ~$0.3B(1) in 2014  Continuing to evaluate options to improve risk-adjusted returns (strategic partnerships, royalty/streaming deals)  MoU with Chilean indigenous groups signed in May (1) See final slide #5. 16

  17. Slide 17: Improving Financial Flexibility

    Improving Financial Flexibility  Focused on debt reduction to further enhance balance sheet flexibility  Only $0.3B of debt maturing through 2015 and $1.0B through 2017 Scheduled Debt Repayments(1) 7.0 6.0 5.0 4.0 $1.0B 3.0 2.0 $0.3B 1.0 0 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023+ (1) As

  18. Slide 18: A Stronger, More Flexible Barrick

    A Stronger, More Flexible Barrick  Focus on operational excellence has resulted in lower cost guidance two years in a row  Disciplined capital allocation framework continues to guide every decision  Optimized portfolio has some of the world’s best assets  Excellent pipeline of development projec

  19. Slide 19: Footnotes

    Footnotes 1. Adjusted net earnings, adjusted net earnings per share, adjusted operating cash flow, all-in sustaining costs per ounce (“AISC”), adjusted operating costs per ounce and C1 cash costs per pound are non-GAAP financial performance measures with no standardized definition under IFRS. See pa

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