Pakistan’s Barrick and Balochistan agree on principles to resume the RekoDiq project of the Canadian Business Journal

Islamabad, Pakistan, March 20, 2022 (GLOBE NEWSWIRE) — Barrick Gold Corporation (NYSE: GOLD) (TSX: ABX) and the Government of Pakistan and Balochistan are in the state of Balochistan. Suspended in 2011 due to a controversy over the legality of the licensing process, the project hosts one of the world’s largest undeveloped open pit copper-gold porphyry deposits.

The restructured project is 50% owned by Barrick, 50% owned by Pakistani stakeholders, 10% free carry owned by the Balochistan government, non-contributory shares, and 15% owned by the government. I own. Twenty-five percent of Balochistan is owned by other federal state-owned enterprises. Another contract provides that Barrick’s partner Antofagasta PLC will be replaced by a Pakistani party in the project.

Barrick will be the operator of the project and will be granted mining leases, exploration licenses, superficies, and mineral contracts that stabilize the financial structure applicable to the project for a specific period of time. The process of finalizing and approving the final agreement, including the stabilization of the financial system under the Minerals Agreement, is completely transparent and involves the federal and state governments, as well as the Supreme Court of Pakistan. If a formal agreement is signed and the terms of the deal are met, the project will be first awarded by the International Center for Settlement of Investment Disputes and will be restructured, including the resolution of the damages disputed by the International Chamber of Commerce.

Mark Bristow, President and Chief Executive Officer of Barrick, marks this agreement as an important step towards the development and operation of Reko Diq, with all parties working towards mutually beneficial results in the spirit of partnership. Welcomed as a tribute to the decision.

“Barrick has successfully partnered with host countries around the world, and our philosophy of sharing the economic benefits of mines fairly with key stakeholders is evident in the new RekoDiq ownership structure. This is a unique opportunity for large foreign investments in the state of Barotistan, which will bring significant direct and indirect benefits not only to the region but also to Pakistan over the next few decades. In addition to developing skills and skills, local procurement, infrastructure upgrades, medical and educational system improvements, Reko Diq is a starting point for further exploration and other mineral discovery along the highly promising Tethyan deposit formation belt. There is a possibility that it will be.

At the end, Barrick will begin a full update of the project’s 2010 feasibility and 2011 extended feasibility studies. It envisions the open pit operation of conventional trucks and excavators with crushing and flotation facilities to produce high quality copper-gold concentrates. Bristow said Reko Diq could start production within five to six years if everything went according to plan.


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Precautions regarding future prospects

Specific information contained in or incorporated by reference in this press release, including information about our strategies, projects, plans, or future financial or operating results, constitutes a “forward-looking statement.” To do. All statements except historical facts are forward-looking statements. Expressions such as “framework,” “suggestion,” “work,” “will,” “will,” “intention,” and “future” indicate future prospects. In particular, this press release contains forward-looking statements, including but not limited to: Planned restructuring of the RekoDiq project and issuance of mining leases for it. Future development and operation of the RekoDiq project. Future ownership of the RekoDiq project. Proposed financial and governance conditions applicable to the RekoDiq project and the joint venture in which it will be implemented. Schedule and process for final agreement and joint venture restructuring to implement future development and operation of the Reko Diq project. Expectations regarding financial performance and other outlooks or guidance.

While forward-looking statements are considered reasonable by Barrick as of the date of this press release in the light of management experience and current perceptions, they are inevitably due to the factors listed below. It is based on many estimates and assumptions, including relevant important estimates and assumptions. Conditions and expected developments are subject to inherently significant business, economic and competitive uncertainties and contingencies. Known and unknown factors can cause actual results to differ materially from those predicted in forward-looking statements, and such statements and information should not be overly relied upon. Such factors include, but are not limited to: Fluctuations in spot and forward prices of gold, copper, or other specific commodities (silver, diesel fuel, natural gas, electricity, etc.). The speculative nature of mineral exploration and development. Changes in mineral production performance, development and exploration success. Risks associated with projects that are in the early stages of evaluation and development and require additional technology, engineering, or other analysis. Supply route disruptions that can cause delays in development, construction and mining activities. Decreased reserves or grade of reserves. Increased costs, delays, outages, and technical challenges associated with the construction of capital projects. Operational or technical issues related to mining or development activities, including geoengineering challenges and interruptions in the maintenance or provision of required infrastructure and information technology systems. Failure to comply with environmental, health and safety laws and regulations. Failure to obtain major licenses by government authorities, including mining leases and exploration licenses for the Reko Diq project. Changes in national and local government laws, taxes, regulations or regulations, and / or changes in the management of laws, policies and practices. Expropriation or nationalization and political or economic development of property in the Islamic Republic of Pakistan or the State of Balochistan. Timing of failure to receive or comply with the required permits and approvals. Lack of certainty regarding foreign legal systems, corruption, and other factors that contradict the rule of law. Risks associated with illegal and craftsmanship mining. Risks associated with new illnesses, epidemics, and pandemics, including the impact and potential impact of the global Covid-19 pandemic. Damage to Barrick’s reputation due to the actual or perceived occurrence of any number of events, whether factual or not, including the handling of Barrick’s environmental issues or negative publicity regarding transactions with community groups. Future exploration results may not match Barrick’s expectations. The risk that the exploration data is incomplete and may require significant additional work to complete further assessments. This includes, but is not limited to, drilling, engineering, socioeconomics research and investment. Risk of loss due to war, terrorism, sabotage, and civil war. Proceedings; dispute over ownership of real estate, especially ownership of undeveloped real estate, or access to water, electricity and other necessary infrastructure. Business opportunities that may be presented or pursued by Barrick. Risks associated with working with partners on co-managed assets. Employee relationships, including the loss of key employees. Increased costs and physical risks, such as resource depletion associated with extreme weather and climate change. Increased availability and costs associated with mining inputs and labor. In addition, there are risks and hazards associated with mineral exploration, development and mining operations, including environmental hazards, occupational accidents, anomalous or unexpected formations, pressures, depressions, floods and gold bullion, copper cathodes or gold or copper concentrates. .. Loss (and insufficient insurance to cover these risks, or the risk of not being able to get insurance).

Many of these uncertainties and contingencies may affect our actual results, and the actual results are expressed or expressed in statements regarding future prospects made by or on our behalf. It can be very different from what is implied. Readers should note that forward-looking statements do not guarantee future performance. All forward-looking statements made in this press release are qualified by these notes. The latest Form 40-F has been submitted to the SEC and Canadian State Securities Regulators for more information on some of the factors underlying the forward-looking statement and the risks that may affect Barrick’s capabilities. / Please refer to the annual information form specifically. To achieve the expectations set forth in the forward-looking statements contained in this press release.

We disclaim any intention or obligation to update or revise any forward-looking statement as a result of new information, future events, or otherwise, except as required by applicable law.

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Pakistan’s Barrick and Balochistan agree on principles to resume the RekoDiq project of the Canadian Business Journal

Source link Pakistan’s Barrick and Balochistan agree on principles to resume the RekoDiq project of the Canadian Business Journal

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