Slide 1: Third Quarter 2009 Results Conference Call / Webcast
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Third Quarter 2009 Results Conference Call / Webcast October 29, 2009 CAUTIONARY STATEMENT ON FORWARD‐LOOKING INFORMATION Certain information contained in this presentation, including any information as to our strat
Slide 2: Third Quarter Results
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Third Quarter Results Aaron Regent Peter Kinver Jamie Sokalsky Robert Krcmarov President and C.E.O. Executive Vice President Executive Vice President Senior Vice President and C.O.O. and C.F.O. Global Exploration Q3
Slide 3: Key Priorities and Progress
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Key Priorities and Progress Meet production and cost targets – On track to achieve Ensure low cost, advanced projects remain on track – Cortez Hills, Pueblo Viejo and Pascua-Lama on schedule and in line with cap
Slide 4: Q3 2009 Production / Cortez Hills Project Update
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Q3 2009 Production North America 712 ounces thousands 1.90 million Australia ounces Africa Pacific 213 462 Other 8 South America 509 Total cash costs $456/oz(1) Net cash costs $371/oz(1) (1) See final slide #1.
Slide 5: Pueblo Viejo and Pascua-Lama Project Updates
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Pueblo Viejo Project Update +1 Moz/yr(1) at total cash costs of $275-$300/oz(2) 600-650 Koz to Barrick’s account(1) 60% of capital committed On track for first production Q4 2011 In line with $2.7 B capita
Slide 6: Projects In Feasibility / Financial Results
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Projects In Feasibility Reko Diq, Pakistan Donlin Creek, Alaska Kabanga, Tanzania Cerro Casale, Chile Financial Results Realized gold price of $971 per ounce(1) – vs spot price of $960 per ounce Realized copper
Slide 7: Margin Expansion
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Margin Expansion Total Cash Costs(1) vs Gold Prices 931 971 Average US$ per ounce 915 Realized Price(1) 873 515 Margin 621 431 479 430 545 439 276 392 265 484 443 452 456 Total Cash Cost 180 214 345 280 212 225 04 0
Slide 8: Plan to Eliminate Gold Hedges
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Plan to Eliminate Gold Hedges Transaction Rationale: Provide investors with full leverage to the gold price on all future production Positive outlook for gold price Simplifies and strengthens capital structure
Slide 9: Plan to Eliminate Gold Hedges
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Plan to Eliminate Gold Hedges Gold Floating Hedges Contracts Total Ounces MTM Liability Liability Liability (millions) ($ billions) ($ billions) ($ billions) As at Sept. 30, 2009 2.9 1.9 3.7 5.6(1) Change in mark-to
Slide 10: Corporate Development & Exploration
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Corporate Development & Exploration Silver Wheaton El Morro Exploration Update Silver Sales Agreement To receive $625 M plus ongoing payments for: – 25% of Pascua-Lama LOM silver production – 100% of silver
Slide 11: Acquisition of 70% of El Morro / History of Reserve Growth
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Acquisition of 70% of El Morro Agreed to acquire Xstrata’s 70% interest for $465M cash Adds another high quality, advanced gold-copper asset in mining friendly district Xstrata reported gold resources of ~8.3
Slide 12: Ounces Added - Exploration / 2009 Exploration Budget
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Ounces Added ‐ Exploration (1) Gold Reserve + Resource Addition Summary – ounces millions 0 5 10 15 20 25 Goldstrike 50 Pascua-Lama Pierina Veladero Buzwagi Bulyanhulu Lagunas Norte GREENFIELDS South Arturo Cortez R
Slide 13: Nevada Land Holdings / Organization Review
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Nevada Land Holdings / Projects Goldstrike Turquoise West Button Hill Ridge South Arturo Deep North Post OREGON IDAHO NEVADA Turquoise Ridge Goldstrike Carlin Elko Marigold Humboldt River Cortez Cortez Bald Mt. Bald
Slide 14: Conclusions and Way Forward
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Conclusions and Way Forward Increased focus on strategic planning and risk management to define and ensure alignment on a clear set of priorities Roles and responsibilities to be more clearly set out and simplif
Slide 15: Outlook - Bullish on Gold
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Outlook ‐ Bullish on Gold Price supportive macroeconomic environment: – Low interest rates – Increased liquidity – Fiscal policies Growth in investment demand Diversification benefits Scarcity value Mine s
Slide 16: Footnotes
Barrick Gold Corporation Third Quarter 2009 Results Conference Call October 29, 2009 Footnotes 1. Net cash costs per ounce, net cash margin per ounce, total cash costs per ounce, adjusted net income and realized price are non-GAAP financial measures with no standardized meaning under US GAAP. See pa