Barrick ups 1st-quarter earnings and production

Thus far into 1994, American Barrick’s (TSE) earnings statement shows every sign of outshining that of last year.

For the first quarter, revenues were US$187.3 million compared with US$144.1 million in the same period in 1993. Earnings rose as well, by 31%, to US$60.4 million or US21 cents a share, compared with US$46.1 million or US16 cents a share in the 1993 first quarter. And production increased by 27% to 451,981 oz. from 354,839 oz.

A hedging program enabled the company to realize an average price of $US403 per oz. gold compared with an average spot price of US$384 for the quarter. The rise in revenues and production is largely due to developments at the low-cost Betze-Post mine on the Goldstrike property in Nevada. Higher production — a function of higher-than-planned sulphide grade and autoclave throughput — led to an operating cost of US$160 per oz., compared with US$174 for the same period last year.

Among Barrick’s operational highlights is a shaft-sinking program at the Meikle mine on the Goldstrike property. The mine is scheduled to enter full production in 1996 at more than 400,000 oz. per year.

Also under way is an exploration program on the Corona gold-copper property in northern Peru, where drillers have intersected oxide and sulphide mineralization to a depth of 1,300 ft.

This year, the company expects to produce more than 1.8 million oz. gold from its four producing mines in Nevada, Utah and Ontario. By 1995, it hopes to be producing 2 million oz.