Barrick’s big split: what a North American IPO means for gold investors

Barrick reported its third-quarter results on 9 November and said it plans to file this month for the initial public offering of North American Barrick. The Northern Miner reports that the new company would hold interests in Nevada Gold Mines’ Carlin, Cortez and Turquoise Ridge operations and in Pueblo Viejo in the Dominican Republic. Mark Hill, Barrick’s chief executive, will lead it as well.

The quarter

From Barrick’s release, except the consensus figure, which is from The Northern Miner.

The gap between the price Barrick received and its all-in sustaining cost was about $2,330 an ounce by our subtraction. All-in sustaining cost is the industry’s measure of what it takes to keep a mine running, not the full cost of building new ones, so that is not profit, but it shows how much room high prices have given producers. Costs are rising too: AISC is up about 24% on the year. Barrick reiterated full-year guidance of 2.90–3.25 million ounces at an AISC of $1,760–$1,950, based on a $4,500 gold price. It also bought back $761mn of shares in the quarter and declared a dividend of $0.175 a share.

The Newmont deal behind it

Nevada Gold Mines is a joint venture, 61.5% Barrick and 38.5% Newmont, so the listing needed Newmont’s consent. The Northern Miner says Barrick secured it with an August agreement: Barrick contributes its Fourmile project and Newmont its Mike and Fiberline properties to the joint venture, and Newmont pays Barrick about $2bn. The ownership split stays the same.

Timing and what is still unclear

Barrick plans to file an S-1 registration statement this month and expects to complete the IPO in the fourth quarter or early 2027, subject to market conditions and approvals. “We’re still trying to get this done this year but it may slide into January,” Hill said, according to The Northern Miner, adding that the speed of feedback from the SEC will set the date. “All eyes are on the IPO,” said Jefferies analyst Fahad Tariq.

Neither source we read says how much of North American Barrick Barrick would sell, or what stake it would keep. Barrick’s results put 497,000 ounces of the quarter’s gold in its North America region and 319,000 ounces in Barrick International. Barrick International’s chief executive, Seb Bock, said the company is doing “a full review” of the Reko Diq copper-gold project in Pakistan, and Scotiabank’s Tanya Jakusconek said copper output missed her forecast by about 10%.

The appeal for investors, if the listing goes ahead, would be a company focused on Nevada and Pueblo Viejo rather than Barrick’s wider portfolio. Valuation and the stake offered are not yet known. This site does not forecast share or metal prices, and nothing here is advice. For other miners’ results this season, see Record gold, rising costs and Lundin’s record quarter.

Every figure here is as reported by the publications listed under Sources, at the time they reported it. Prices move; the live gold price has the current one. Nothing on this page is investment advice.