Barrick considers sale of stake in Chilean copper mine
Barrick Gold is looking to sell its stake in a relatively small Chilean copper mine, as the company focuses on bigger and more profitable operations elsewhere, according to people with knowledge of the matter.
The firm has appointed advisors and reached out to possible buyers for its 50% holding in the Zaldivar mine, the people said, asking not to be identified because the matter is private. Antofagasta owns the other 50%. The process is at an early stage and may not lead to a deal, they added.
While the world’s No. 2 gold miner is keen to expand into copper to tap into the decarbonisation theme many investors favor, Barrick has also looked to simplify its business as its focuses on tier one assets and paying down debt.
A spokesperson for Barrick declined to comment.
The Zaldivar mine in Chile is relatively small, producing a total of about 80 000 t of copper last year. While that’s dwarfed by the large mines that dot the Andes, the project will still require sizable investments in the coming years.
Instead Barrick is focused on its huge Reko Diq copper project in Pakistan, as well as Lumwana in Zambia. In both cases, Barrick would be the operator.
Barrick has spent years working to improve its balance sheet after amassing debt from acquisitions. Mark Bristow, who joined as chief executive officer in 2019 as part of the Canadian company’s takeover of Randgold Resources, has paid down that debt while exercising restraint in dealmaking. He has also pursued diversification into copper, just as the global energy transition boosts demand for the wiring metal.
The company is also facing a major problem at one of its flagship mines in Mali. Barrick said earlier this month that it was suspending operations in the country after the government started removing gold from the nation’s biggest mine in the latest escalation of a months-long dispute.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
M and J Mining are leading suppliers of physical support systems as used by the underground mining industry. Our selection of products are not...
VISIT SHOWROOM
FlameBlock is a proudly South African company that engineers, manufactures and supplies fire intumescent and retardant products to the fire...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
