Barrick Gold Corporation
Swiss : ABX

Barrick Gold Corporation

September 15, 2005 09:38 ET

Barrick pours gold at another new mine: Veladero in Argentina

TORONTO, ONTARIO--(CCNMatthews - Sept. 15, 2005) - Barrick Gold Corporation (NYSE:ABX)(TSX:ABX)(LSE:BGD)(SWX:ABX)(BOURSE:ABX):

All amounts in United States dollars

Barrick Gold Corporation announced today that its Veladero Mine in San Juan province, Argentina, has poured its first gold earlier than previously forecast. Gold production for 2005 is expected to be 50,000 to 55,000 ounces, and is expected to average approximately 700,000 ounces per year over the first three full years of operation.

"We are very excited about this event as Veladero will be a significant contributor to Barrick's growing production profile," said Greg Wilkins, President and Chief Executive Officer. "With three projects in production this year and a fourth expected to come on-stream in the first quarter of 2006, Barrick has demonstrated that development expertise is a core competency of the Company."

The mine is in the final stages of commissioning and is expected to commence operations in early October. Veladero's construction costs are expected to be in line with the company's estimate of $540 million. The mine has proven and probable gold reserves of 12.8 million ounces(1), and is located in the Frontera District that straddles the border of Argentina and Chile. Barrick's 3,000 square-kilometer land position in that district has over 30 million ounces of gold in proven and probable reserves.

Barrick is bringing into production a new generation of mines around the globe and has the lowest total cash costs per ounce among the major gold producers. Its vision is to be the world's best gold company by finding, developing and producing quality reserves in a profitable and socially responsible manner. Barrick shares are traded on the Toronto, New York, London and Swiss stock exchanges and Euronext Paris.

(1) Mineral reserves ("reserves") have been calculated as at December 31, 2004. Calculations have been prepared by employees of Barrick under the supervision of Rene L. Marion, P.Eng., Vice-President, Technical Services of Barrick. For a more detailed description of the methods used in calculating Barrick's reserves and resources, see Barrick's most recent Annual Information Form/Form 40-F on file with Canadian provincial securities regulatory authorities and the U.S. Securities and Exchange Commission.

Certain statements included herein, including those regarding production, costs and other statements that express management's expectations or estimates of future performance, constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. The words "expect", "will", "schedule", and similar expressions identify forward-looking statements. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management are inherently subject to significant business, economic and competitive uncertainties and contingencies. The Company cautions the reader that such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual financial results, performance or achievements of Barrick to be materially different from the Company's estimated future results, performance or achievements expressed or implied by those forward-looking statements and the forward-looking statements are not guarantees of future performance. These risks, uncertainties and other factors include, but are not limited to: changes in the worldwide price of gold or certain other commodities (such as fuel and electricity) and currencies; legislative, political or economic developments in the jurisdictions in which Barrick carries on business; operating or technical difficulties in connection with mining or development activities; the speculative nature of gold exploration and development, including the risks of diminishing quantities or grades of reserves; and the risks involved in the exploration, development and mining business. These factors are discussed in greater detail in Barrick's Management's Discussion and Analysis contained in its 2004 Year End Report and its most recent Form 40-F/Annual Information Form on file with the US Securities and Exchange Commission and Canadian provincial securities regulatory authorities.

Contact Information

  • Barrick Gold Corporation
    Vincent Borg
    Vice President, Corporate Communications
    (416) 307-7477
    (416) 861-1509 (FAX)