The Canadian mining company Barrick Gold has been involved in...

The Canadian mining company Barrick Gold has been involved in major merger and acquisition operations in recent years, which have made it the second largest gold miner in the world in terms of production volume, behind the U.S.-based Newmont. However, its current focus is on acquiring new deposits that will allow it to increase its profits, rather than on new corporate operations.

Much of the responsibility for this aggressive corporate strategy lies with Barrick Gold CEO Mark Bristow, who has now assured that the company will focus on acquiring new mines to increase profits and create shareholder value.

At the moment, the Canadian company's objectives are focused on new exploration projects underway in Egypt, Nevada (USA), Guyana and other countries.

As Mark Bristow told Reuters during the MINExpo international conference being held these days in Las Vegas (Nevada, USA), "the real foundation of our future has to be our team of geologists, and that is what we are investing in. Organic growth has always been seen as a winning strategy".Despite its production levels, Barrick executives have been pressured by the falling value of its shares, which lag behind rival Newmont and below the annual average of the U.S. S&P 500 index.

As a result, Bristow is betting on financing exploration rather than reaching agreements to buy other companies, to reduce costs and boost profit.

To this end, he has asked investors for patience, as this strategy of investing capital in exploration has a long-term horizon.

This new bet by Barrick is an important change, as Bristow has been a staunch advocate of corporate operations. In fact, last fall he called for industry consolidation as the best method to avoid the "serious reserves crisis" threatening the sector.

It should be remembered that Barrick was one of the architects of today's Barrick Gold, after it acquired Randgold Resources, a company with assets mostly in Africa and whose CEO was Mark Bristow himself, in 2019.Just a few months later, and with Bristow already at the helm, Barrick Gold launched a hostile takeover bid of u$s 18,000 M on its rival Newmont. A transaction that did not come to fruition but, nevertheless, did not prevent both companies from forming a joint venture with their assets in Nevada. According to Bristow, the integration of these different corporate cultures has been very complicated, but the process is almost complete, which should help the miner to focus on growth.Source: Oro Informacióm


Source : http://www.elinversorenergetico.com/barrick-gold-quiere-comprar-nuevas-minas-de-oro/
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