Barrick Mining Corporation · TSX:ABX
Barrick Mining — Barrick Gold — Corporate Update (November 2004)
57 slides from Barrick Mining's corporate update, Nov 10, 2004
Slide 1: Alto Chicama Project - Las Lagunas Norte
ALTO CHICAMA PROJECT LAS LAGUNAS NORTE Trujillo, Peru 10 November 2004 FORWARD LOOKING STATEMENT Certain statements included herein, including those regarding production, costs, development schedules and other statements that express management’s expectations or estimates of our future performance,
Slide 2: Agenda: Project Overview
LAS LAGUNAS NORTE AGENDA  Project Overview  Geology & Reserves  Construction Update – Infrastructure – Mine Division – Process Division – Administration PROJECT OVERVIEW 2
Slide 3: Project Location
PROJECT LOCATION calnaeel , eiHdamacruce eee Tui Alto:Chicama *.Pierina Huohaa: Pacific Ocean Arequipa. PROJECT LOCATION @ Huanfackuce | TuiIP\ “Alto Chicama ierina .~ La Libe 3 Huamachuco Otuzco, Alto Chicama Pacific Ocean Trujillo Ancash. Pierina Huaraz
Slide 4: History and Project Highlights
HISTORY  Barrick became interested in property in 1998  15 companies looked at the property  Barrick only company to bid  Drill program began in 2001  Initial resource calculation Apr. 2002: 3.5 Moz  Initial reserve calculation in Dec. 2002: 6.5 Moz  Current reserve calculation: 7.2 Moz PROJE
Slide 5: Construction Capital Cost and Project Highlights
CONSTRUCTION Capital Cost US$ (millions) Mining 72 Process plant and heap leach 58 Infrastructure / owner’s cost 146 Indirect cost 19 Contingency 45 Total capital cost 340 PROJECT HIGHLIGHTS Â Operating Costs (LOM Average Range) Mining : $1.07/t - $1.18/t Process : $1.51/t - $1.55/t G&A : $0.95/t –
Slide 6: Project Safety Statistics / Geology & Reserves
PROJECT SAFETY STATISTICS  Total project man-hours to date > 3.5 million  Lost time incident rate of 0.13  Total project workforce of 4,145 people  Hours worked since last LTA > 1 million GEOLOGY & RESERVES 6
Slide 7: Regional Geology
REGIONAL GEOLOGY Yanacocha Cretaceous, Sediments . Précambrian and Paleozoic Basement Tertiary Yolcanics Car Tera, Blanca Bathielittr Building Mines BARRICK cmarame | Building Value SURFACE GEOLOG Mi Late Andesitic Tuff and Flows mm Overburden lymictic Breecia Tuffaceous Mx Fine Qtz Phyric Ash Tuffs
Slide 8: Surface Geology
SURFACE GEOLOGY mm Fine Laminated Crystal Tuffs mm Dacitic Tuff mm Orr Turr and Flows i ome Sm Polymictie Breceta Tuffaceous Mx a ric Ash Tutts Building Mines BARRICK cmarame | Building Value SURFACE GEOLOGY lum Fine Laminated Crystal Tufts lum Dacitic Tutt lam QF P Tur and Flows P Dome Breccia Tuff
Slide 9: Surface Geology
SURFACE GEOLOGY mm Fine Laminated Crystal Tuffs mm Dacitic Tuff mm Orr Turr and Flows i Sm Polymictie Breceta Tuffaceous Mx ne at ric Ash Tutts mm Quart: Sandstones judstone "= Carhonaceous mudstone al Building Mines BARRICK cmarame | Building Value SURFACE GEOLOGY mm Orr Turr and Flows mmarP Dome S
Slide 10: Lithology and Mineralization
LITHOLOGY SIMBOLOGY LITHOLOGY 0 aeenetere, Pit Outline WB Overburden MMB Quartz Feldspar Porphyry = Postmineral Andesite Paleosurface Breccia Dri Hole wuicahuanga Andesite lll Sandstone i Diatreme istone, Mudstone mection 1700 Oxide/Sutfide Contact I Cartonaceous Mudstone Volcanociastic Coal itic Tu
Slide 11: In-Pit Resources & Reserves
IN-PIT RESOURCES & RESERVES (Gold ounces x 1,000) Total in pit resource (MII) 8,344 – sulphide 29 – carbonaceous + buffer zones 654 7,661 – in pit inferred 506 Current reserve 7,155 Gold grade 1.54 g/t Silver grade 3.71 g/t Cutoff: 0.36 g/t Au equivalent IN-PIT RESERVE DETAILS Material Moved  Ore t
Slide 12: Construction Update: Infrastructure
CONSTRUCTION UPDATE INFRASTRUCTURE Access Road  71 km access road upgrade from Otuzco  $11 M cost  Inaugurated August 2004 12
Slide 13: Infrastructure: Access Road
INFRASTRUCTURE Access Road Panoramic view of the commencement of the Otuzco-Alto Chicama roadway - Km 0+000 Building Min BARRIC Building Value INFRASTRUCTURE Access Road Building Mines Building Value 13
Slide 14: Infrastructure: Access Road
INFRASTRUCTURE Access Road Panoramic view of the Moche Medio Bridge Km 20+700 Building Value INFRASTRUCTURE Access Road Compacted road surface Km 23+800 14
Slide 15: Infrastructure: Power Line
INFRASTRUCTURE Power Line  97 km of 138 kV power line from Trujillo  Requires 230 towers  Estimated $7M cost  70% complete  Energize in March 2005 INFRASTRUCTURE Power Line 15
Slide 16: Infrastructure: Power Line
INFRASTRUCTURE Power Line INFRASTRUCTURE Power Line 16
Slide 17: Infrastructure: Site Map and Permanent Camp
INFRASTRUCTURE Site Map WWRF Open Pit EWRF Camp Leach Pad INFRASTRUCTURE Permanent Camp WWRF Open Pit EWRF Camp Leach Pad 17
Slide 18: Infrastructure: Permanent Camp
INFRASTRUCTURE Permanent Camp N Â Permanent camp Security Barracks sized for 477 Construction Camp people, with 262 rooms Permanent Camp INFRASTRUCTURE Permanent Camp 18
Slide 19: Mine Division: Layout and Description
MINE DIVISION Mine Layout N West Waste Dump (NAG) Open Pit East Waste Dump (PAG) Stockpile Truck Shop MINE DIVISION General Description Mine Configuration  Conventional open pit truck-shovel operation  Pit slopes range between 30o and 59o  Bench height of 10m Mining Rate  Ten year mine life  An
Slide 20: Mine Division: Material Handling
MINE DIVISION Material Handling Ore  Current mine plan considers crushing and processing of clean oxide ore  After a 3-month crushing start-up period, ore is mined at a rate of 42,000 tpd Stockpile  Used to provide storage area for both carbon/carbonaceous and sulphide material  Stockpiled mater
Slide 21: Mine Division: Equipment Requirements
MINE DIVISION Initial Equipment Requirements  9 x 190 t haul trucks (Komatsu 730E)  2 x 23 m3 hydraulic shovels (Komatsu PC4000-6)  1 x 20 m3 front-end loader (Komatsu WA1200-3)  3 x 86,000lb blasthole drills (Reedrill SKS-12)  Support equipment MINE DIVISION Equipment Erection Schedule 21
Slide 22: Mine Division: Equipment Erection
MINE DIVISION Equipment Erection Arrival to Alto Chicama of support mine equipment MINE DIVISION Equipment Erection Erection of the WA1200-3 FEL and 730E OHT 22
Slide 23: Mine Division: Equipment Erection
MINE DIVISION Equipment Erection Erection of the 730E OHT MINE DIVISION Equipment Erection Fabrication of the PC4000-6 in Germany 23
Slide 24: Mine Division: Haul Road & Platform Construction
MINE DIVISION Haul Road & Platform Construction  4.5 Km of haulage road required at 35 m width  Preparation of two production benches MINE DIVISION Haul Road & Bench Construction Removal of topsoil over ore in Alexa – Haul Road B 24
Slide 25: Mine Division: Haul Road & Bench Construction
MINE DIVISION Haul Road & Bench Construction Blast Leveling in Alexa – Haul Road B MINE DIVISION Haul Road & Bench Construction Road preparation in Alexa – Haul Road B 25
Slide 26: Mine Division: Haul Road & Bench Construction
MINE DIVISION Haul Road & Bench Construction Drilling and loading in Daphne MINE DIVISION Haul Road & Bench Construction Haul road base completed to Daphne 26
Slide 27: Process Division: Crushing Circuit
PROCESS DIVISION Crushing Circuit Primary Crusher  Capacity of 42,000 tpd  Ore size 80% - 1 ½” Secondary Crusher  1 primary giratory crusher 50 x 65  2000 t surge Surge Pile stockpile Truck Shop  2 secondary crushers MP800  Ore bin with 1,000 t Heap Leach of live capacity 27
Slide 28: Process Division: Crushing Circuit
PROCESS DIVISION Crushing Circuit Primary crusher construction PROCESS DIVISION Crushing Circuit Secondary crusher construction 28
Slide 29: Process Division: Leach Pad
PROCESS DIVISION Leach Pad  PLS pond (double liner, leak detection system)  Designed for no discharge  Closed circuit (MC – HL)  Environmental control points  Leaching cycle of 45 days  10 m lifts  Water diversion channels PHASES CAPACITY (159 Mt Total) (Mm3) 0 7-8 1 11 - 12 2 11- 13 3 30 - 3
Slide 30: Process Division: Leach Pad
PROCESS DIVISION Leach Pad PROCESS DIVISION Leach Pad Overliner material preparation 30
Slide 31: Process Division: Gold Plant
PROCESS DIVISION Gold Plant Merrill Crowe Plant  1,200 m3/hr nominal  2 solution pumps  4 leaf filters  1 deareator tower  4 filter presses  1 induction furnace  Automatic flux preparation system  3 retorts  Column testing installation Reagent Consumption  NaCN : 0.5 kg/t stacked  Lime :
Slide 32: Process Division: ARD Plant & Ponds
PROCESS DIVISION ARD Plant & Ponds ARD Collection East Pond Sedimentation ARD Plant Pond Sludge  Flow: 500 m3/hr Pond  Common clarifier: 1,200 m3/hr Ponds & Water Management  Ponds designed for 100 year Polishing storm event Pond  Fresh water: Well fields and rain water  Rainfall: 1450 mm/year
Slide 33: Process Division: ARD Plant & Ponds
PROCESS DIVISION ARD Plant & Ponds Process Overflow Pond PROCESS DIVISION ARD Plant & Ponds East Sedimentation Pond 33
Slide 34: ARD Plant & Ponds / Administration Organization
PROCESS DIVISION ARD Plant & Ponds Laguna Negra reservoir dike construction ADMINISTRATION Organization 34
Slide 35: Administration: Human Resources and Regional Synergies
ADMINISTRATION Human Resources  Local hiring commitment  Equal opportunity  Competencies focused selection process for new hires  Participative evaluation  Candidates with suitable profile selected ADMINISTRATION Synergies with Regional Business Unit CORPORATE Gral CENTER Gral Mgr Mgr SERVICES
Slide 36: Administration: Community Relations
ADMINISTRATION Community Relations  Obtain and maintain the social license which permits the development and operation of the Project in a climate of peaceful coexistence with its neighbors.  The Alto Chicama Project not only benefits the country from an economic perspective but becomes a strategi
Slide 37: Community Relations: Concert Mechanism and Action Lines
ADMINISTRATION Community Relations Concert Mechanism CONVOCATION AGREEMENTS PRIORITIES, SPECIFIC AGREEMENTS EXECUTION, ADMINISTRATIVE PURSUIT AND EVALUATION COMMITTEE ADMINISTRATION Community Relations Action lines starting from local problems QUALITY OF LIVING STRATEGIC IMPROVEMENT ALLIANCES CARE–W
Slide 38: Community Relations: Schools
ADMINISTRATION Community Relations The old Sauco school and the newly constructed Sauco school ADMINISTRATION Community Relations Donation of computers to the school in Coina as well as the installation of satellite connection to the internet 38
Slide 39: Community Relations: Training and Infrastructure
ADMINISTRATION Community Relations Training of inhabitants of Quiruvilca (through SENCICO) in construction trades (carpentry, welding, etc) ADMINISTRATION Community Relations Infrastructure improvements providing access to local communities 39
Slide 40: Community Relations and Environment
ADMINISTRATION Community Relations Donation of medical equipment to Community Medical Posts and a local Health Campaign ADMINISTRATION Environment Monitoring by archeologists of topsoil removal and storage for future reclamation use (1M m3 of topsoil and unsuitable construction materials stockpiled
Slide 41: Environment: Erosion Control and Plant Preservation
ADMINISTRATION Environment Erosion and sediment flow control: •100 gabion sediment ponds •494 stone masonry sediment ponds •30,000 m of silt curtains ADMINISTRATION Environment Cactus and orchid preservation program in 650 Ha of the Project. 405,981 cactus and orchids recovered and transplanted into
Slide 42: Environment: Reforestation and Mine Life View
ADMINISTRATION Environment 137,765 quenuales and pine seedlings planted to date in four nurseries developed in local communities ADMINISTRATION Environment View of Alto Chicama at end of mine life 42
Slide 43: Thank you
ADMINISTRATION Environment View of Alto Chicama after closure Thank you 43
Slide 44: Alto Chicama & Peru Exploration
BARRICK GOLD CO. PERU EXPLORATION Trujillo, Nov-10/ 2004 ALTO CHICAMA & PERU EXPLORATION A es Laguna Norte deposit June, 2001 Alto Chicama District Alto Chicama district + 1,510 sq. Kim in mining rights + $5 projects drilled in 2004 to date Tres Cruces, Piedra Grande, Vizeachas, Lagunas Oeste, Leono
Slide 45: Exploration Projects
Exploration Projects | HS epithermal (EER Pornyry auc | LSAS epithermal § [2] clacial deposits Exploration Projects | HS epithermal HS epithermali4u-Cu porphyry [EB Pownyry au-cu | LSAS epithermal ‘ Ee 1c Glacial deposits * 5 projects drilled in 2004 to date + Tres Cruces ‘9 drill holes for 6962m +
Slide 46: Laguna Sur Project
DHL-034 DHL-048 DHL-084 @ Holes Drilled in 2004 ALTO CHICAMA Mineralized Zones YCLOING: SUR PROJECT LES ALTO CHICAMA LAGUNA SUR PROJECT
Slide 47: Alto La Bandera
ALTO LA BANDERA 1ON i I Argilica Avanzadil : Propilitica Goal Wi Silica cap Silice Geoquimica Au_pp Falla Z| dvanced argillic alteration zone with Au values up to 3¢/ urface mapping, sampling, geophysics completed +9 drill holes for 2500m planned (50% completed) +Adjacent post mineral dome — similar
Slide 48: Alto Chicama District: Alluvial Gold Deposits
ALTO CHICAMA DISTRICT ALLUVIAL GOLD DEPOSITS Vizcachas Laguna Negra Rio Negro Laguna Oeste ez
Slide 49: Vizcachas
VIZCACHAS Floats sampling Geological mapping Seismic survey (3.10) Electrical drill hole survey 4 RC conventional holes( 142m) 3 RC Barber drilling 12 inches diam. (143m) 6 DDH holes PQ,3 cm diam (224.40m) Legend Cobertura Glaciar in| athe terres MEoUaILGS 29 [| Sedimentos Chima ROYECTO VIZDACHAS: T
Slide 50: Lagunas West
LAGUNAS WEST ‘AREA LAGUNASW
Slide 51: Leonor
100 - 250 250 - 500 500 - 1,000 1,000 - 5,000 Leonor + Extension to the north of Lagunas Norte + 5 drill holes for 1020m + No significant mineralisation cut by drilling Proyecto Lecnier DDH Ekcttados 24
Slide 52: Porphyry Au-Cu target, Alto Chicama District, Peru
Porphyry Au-Cu target, Alto Chicama District, Peru 00% Barrick) : E | = J ; *Strong coincident Au, Cu, Mo anomalies SIE |- Single drill hole in 2004 *Preliminary metallurgical testing + Sericite-pyrophyllite altered volcanic rocks Genusa, Alto Chicama District, Peru (100% Barrick) * Volcanic and sed
Slide 53: Alto la Bandera, Alto Chicama District, N. Peru
Alto la Bandera, Alto Chicama District, N. Peru (100% Barrick) las LAGUNAS-NOR} AREA of INTEREST ALTO Ia BANDERA GE LAQINAS $18, * Volcanic and sediment-hosted HS epithermal target * Similar geology to LLN + Chimu Fm sandstones + Andesitic to dacitic domes minor phreatomagmatic breccias + Anomalous
Slide 54: Lagunas, Peru (100% Barrick)
Lagunas, Peru (100% Barrick) iy \ Proposed work \ * Detailed surface mapping 2 ‘ sampling at IS occurrences - Extend gravity coverage *Integrating geological mapping and Ph.D research program results * Conceptual target generation Lagunas, Peru (100% Barrick) 11
Slide 55: Lagunas NW, Peru (100% Barrick)
Lagunas NW, Peru (100% Barrick) _ee ¢ 2005 program to address endowment, mineralisation, alteration * Geological mapping, sampling * Follow-up of stream sediment anomalies + NE-trending, parallel structure * Follow-up of targets defined by magnetic and gravity interpretations Lagunas, Peru (100% Bar
Slide 56: Pipeline 2005
PIPELINE 2005 (PORPHYRY Au-Cu) DESEADA 2 LAGUNAS ALUMBRE Ry LAGUNAS NW PELON & 8 new targets ALTO CHICAMA PROJECT GENERATION ALTO CHICAMA DISTRICT SOUTHERN PERU (100% Barrick) «Located in the Andean Tertiary volcanic arc at the Inflection of Abancay. Target Delineation & Drill testing projects «Targ
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