Barrick Agrees to Sell Royalty Portfolio to Maverix Metals for Total Consideration of Up To $60 Million

All amounts expressed in US dollars

Barrick Gold Corporation (NYSE:GOLD)(TSX:ABX) ("Barrick") today announced that it has entered into a definitive agreement to sell a portfolio of royalties (the "Portfolio") to Maverix Metals Inc. ("Maverix") for total consideration of up to $60 million.

The Portfolio consists of 22 royalties on the production of minerals from mines located in North America, South America, Australia and Africa. The total consideration of $60 million consists of $50 million in cash payable on closing of the Portfolio sale, subject to the exercise of any right of first refusal or buy-down right by the counterparties under certain royalties, and three contingent payments:

  • $6 million if the operator of the Eskay Creek project in British Columbia (Skeena Resources Ltd.) obtains all material permits necessary to commence construction of the mine within six years of closing;
  • $2 million if Maverix receives cash payments from the Portfolio, excluding the Eskay Creek royalty, equal to or greater than $10 million within six years of closing; and
  • a further $2 million if Maverix receives cash payments from the Portfolio, excluding the Eskay Creek royalty, equal to or greater than $20 million within six years of closing.

The transaction is targeted to close at the end of the third quarter of this year following the satisfaction of customary closing conditions.

Barrick Enquiries

President and CEO
Mark Bristow
+1 647 205 7694
+44 788 071 1386
SEVP Strategic Matters
Kevin Thomson
+1 416 307 5150
Investor and Media Relations
Kathy du Plessis

+44 20 7557 7738
Email: barrick@dpapr.com

Website: www.barrick.com

Cautionary Statement on Forward-Looking Information

Certain information contained or incorporated by reference in this press release, including any information as to our strategy, projects, plans, or future financial or operating performance, constitutes "forward-looking statements". All statements, other than statements of historical fact, are forward-looking statements. The words "will", "contingent", "if", "expecting" and similar expressions identify forward-looking statements. In particular, this press release contains forward-looking statements including, without limitation, with respect to the consideration for the sale of the Portfolio, including the contingent payments, and the anticipated timeline for the closing of the transaction.

Forward-looking statements are necessarily based upon a number of estimates and assumptions including material estimates and assumptions related to the factors set forth below that, while considered reasonable by Barrick as at the date of this press release in light of management's experience and perception of current conditions and expected developments, are inherently subject to significant business, economic, and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements, and undue reliance should not be placed on such statements and information. Such factors include, but are not limited to: fluctuations in the spot and forward price of gold or certain other commodities; the speculative nature of mineral exploration and development; changes in national and local government legislation, taxation, controls or regulations and/ or changes in the administration of laws, policies and practices, expropriation or nationalization of property and political or economic developments in the jurisdictions where Barrick operates; risks associated with new diseases, epidemics and pandemics, including the effects and potential effects of the global Covid-19 pandemic; litigation and legal and administrative proceedings; employee relations including loss of key employees; increased costs and physical risks, including extreme weather events and resource shortages, related to climate change; and availability and increased costs associated with mining inputs and labor. In addition, there are risks and hazards associated with the business of mineral exploration, development and mining, including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins, flooding and gold bullion, copper cathode or gold or copper concentrate losses (and the risk of inadequate insurance, or inability to obtain insurance, to cover these risks).

Readers are cautioned that forward-looking statements are not guarantees of future performance. Specific reference is made to the most recent Form 40-F/Annual Information Form on file with the SEC and Canadian provincial securities regulatory authorities for a more detailed discussion of some of the factors underlying forward-looking statements and the risks that may affect Barrick's ability to achieve the expectations set forth in the forward-looking statements contained in this press release. Barrick disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law.



Primary Logo

News Provided by GlobeNewswire via QuoteMedia

ABX:CA
The Conversation (0)
Pause in Trading

Pause in Trading

Zeus Resources Limited (ZEU:AU) has announced Pause in TradingDownload the PDF here. Keep Reading...
Canadian Investment Regulatory Organization Trade Resumption - IMR

Canadian Investment Regulatory Organization Trade Resumption - IMR

Trading resumes in: Company: iMetal Resources Inc. TSX-Venture Symbol: IMR All Issues: Yes Resumption (ET): 10:30 AM CIRO can make a decision to impose a temporary suspension (halt) of trading in a security of a publicly-listed company. Trading halts are implemented to ensure a fair and orderly... Keep Reading...
iMetal Resources Intersects 16.65 Metres at 1.24 g/t Gold Within 62.25 Metres at 0.61 g/t Gold at Gowganda West

iMetal Resources Intersects 16.65 Metres at 1.24 g/t Gold Within 62.25 Metres at 0.61 g/t Gold at Gowganda West

iMetal Resources Inc. (TSXV: IMR,OTC:IMRFF) (OTCQB: IMRFF) (FSE: A7VA) ("iMetal" or the "Company") has intersected 16.65 metres at 1.25 gt gold within 62.25 metres at 0.61 gt gold at its Gowganda West Gold Project, southwest of Timmins, Ontario. Drilling in the West Zone intersected broad levels... Keep Reading...
Pile of shiny silver coins with flying eagle design.

Precious Metals Price Update: Gold, Silver, PGMs Boosted by Geopolitical and Trade Tensions

Precious metals are recovering their safe-haven demand appeal this week.Gold, silver and platinum are up this week, all still down from the all-time highs recorded in January. Escalating geopolitical tensions and US trade policy shifts are once again at center stage in this sector of the... Keep Reading...

Interactive Chart

Latest Press Releases

Related News