Mining Plays a Vital Role in Advancing the UN’s Sustainable Development Goals, says Barrick

Rhea-AI Summary

Barrick Gold (NYSE:GOLD)(TSX:ABX) emphasized the mining sector's unique position to support the UN's Sustainable Development Goals (SDGs) during its fourth annual sustainability update. President and CEO Mark Bristow highlighted Barrick's integrated approach to sustainability, which aligns with global priorities and addresses challenges like poverty alleviation, climate change management, and biodiversity preservation.

Key achievements in 2023 include:

• Distribution of over $15 billion in economic value, with nearly $12 billion going to host countries
• Achieving the 2025 target of reducing greenhouse gas emissions by 15% against a 2018 baseline
• Attaining an 84% water reuse and recycle rate

Upcoming sustainability projects were outlined, including Environmental and Social Impact Assessments for the Lumwana expansion and Reko Diq project, resettlement projects, and the restart of Porgera.

Positive

• Distributed over $15 billion in economic value, with nearly $12 billion to host countries
• Achieved 2025 target of 15% reduction in greenhouse gas emissions ahead of schedule
• Attained 84% water reuse and recycle rate
• Upcoming expansion projects at Lumwana and Reko Diq
• Planned restart of Porgera mine

Negative

• None.

Insights

Sustainability Expert

Barrick's sustainability report highlights the mining industry's unique position to support the UN's Sustainable Development Goals (SDGs). While the company touts its achievements, it's important to analyze the broader implications:

• Economic Impact: Distribution of $15 billion in economic value, with $12 billion to host countries, is significant. This demonstrates mining's potential for economic development in emerging markets.
• Environmental Progress: Achieving the 15% greenhouse gas emission reduction target ahead of schedule and an 84% water reuse rate are commendable. However, the mining industry's overall environmental footprint remains substantial.
• Future Projects: The focus on Environmental and Social Impact Assessments for expansion projects shows awareness of potential risks, but execution will be key.

While Barrick's efforts are noteworthy, investors should monitor the company's ability to maintain these standards amid expansion and changing global regulations.

Financial Analyst

Barrick's sustainability report offers insights into the company's financial and operational strategies:

• Economic Distribution: The $15 billion economic value distribution, particularly the $12 billion to host countries, suggests strong relationships with local governments, potentially reducing political risks.
• Cost Management: Achieving environmental targets like reduced emissions and high water reuse rates can lead to operational efficiencies and cost savings in the long term.
• Growth Projects: The focus on Lumwana expansion and Reko Diq project indicates potential for future production growth. However, these projects will require significant capital expenditure.
• Porgera Restart: The planned restart of Porgera mine could boost production and cash flow, but investors should watch for execution risks.

Overall, Barrick's sustainability efforts may enhance its social license to operate and potentially lead to a valuation premium compared to less proactive peers.

All amounts expressed in US dollars

TORONTO, Aug. 02, 2024 (GLOBE NEWSWIRE) -- Barrick Gold Corporation (NYSE:GOLD)(TSX:ABX) – Given its importance to the economies of many developing countries and the proximity of its activities to people and natural habitats, the mining sector is uniquely placed to support the United Nations’ Sustainable Development Goals (SDGs), said Barrick president and chief executive Mark Bristow at the Company’s fourth annual sustainability update today.

Presenting Barrick’s recently published Sustainability Report for 2023, Bristow said Barrick’s approach to sustainability was based on an integrated and holistic strategy that seeks to deliver outcomes that are achievable, demonstrable and aligned with global priorities.

“With our alignment to the SDGs as a central framework to our sustainability reporting, we are better able to address the challenges of alleviating poverty, managing changes to the climate and preserving biodiversity concurrently, because these are inextricably linked,” he said.

“In 2023, Barrick distributed more than $15 billion in economic value with nearly $12 billion going to host countries. It also realized its 2025 target of reducing its greenhouse gas emissions by 15% against a 2018 baseline and achieved an 84% water reuse and recycle rate,” said Barrick sustainability executive Grant Beringer.  

During the webinar, Bristow outlined Barrick’s upcoming key sustainability projects, including the Environmental and Social Impact Assessments for the Lumwana expansion and Reko Diq project, the conclusion of a number of resettlement projects, the restart of Porgera, the roll out of Barrick’s biodiversity assessment tool and the consolidation of standards between leading mining frameworks.

“Our holistic approach to sustainability is entrenched throughout our global operations, and our long-term, scientific and measured strategy is delivering great results on the ground. But last year’s performance doesn’t mean we can rest on our laurels. We need to do even better as we chase continuous improvement,” said Bristow.

Enquiries
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 “committed”, “vision”, “strategy”, “target”, “roadmap”, “strive”, “objective”, “goals”, “seeks”, “will”, “can” and similar expressions identify forward-looking statements. In particular, this press release contains forward-looking statements including, without limitation, with respect to: Barrick’s sustainability strategy and vision; Barrick climate strategy and approach to managing climate risks; Barrick’s greenhouse gas emission reduction targets and ultimate aim to achieve net zero emissions by 2050, including by implementing the projects set out in its 2023 Sustainability Report; and Barrick’s environmental, health and safety, corporate social responsibility and human rights programs, policies and performance, including regarding local community relations, economic contributions and education and employment initiatives.

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 the Company 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: failure to comply with environmental and health and safety laws and regulations; increased costs and physical and transition risks related to climate change, including extreme weather events, resource shortages, emerging policies and increased regulations related to greenhouse gas emission levels, energy efficiency and reporting of risks; non-renewal of key licences by governmental authorities; 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 Canada, the United States and other jurisdictions in which the Company or its affiliates do or may carry on business in the future; timing of receipt of, or failure to comply with, necessary permits and approvals; lack of certainty with respect to foreign legal systems, corruption and other factors that are inconsistent with the rule of law; risks associated with illegal and artisanal mining; risks associated with new diseases, epidemics and pandemics; damage to the Company’s reputation due to the actual or perceived occurrence of any number of events, including negative publicity with respect to the Company’s handling of environmental matters or dealings with community groups, whether true or not; risk of loss due to acts of war, terrorism, sabotage and civil disturbances; the impact of inflation, including global energy cost increases following the invasion of Ukraine by Russia and conflicts in the Middle East; litigation and administrative proceedings; contests over title to properties, particularly title to undeveloped properties, or over access to water, power and other required infrastructure; risks associated with working with partners in jointly controlled assets; and employee relations including loss of key employees. 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).

Many of these uncertainties and contingencies can affect our actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, us. Readers are cautioned that forward-looking statements are not guarantees of future performance. All of the forward-looking statements made in this press release are qualified by these cautionary statements. 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.

We disclaim 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.

FAQ

What were Barrick Gold's (NYSE:GOLD) key sustainability achievements in 2023?

In 2023, Barrick Gold distributed over $15 billion in economic value, achieved its 2025 target of reducing greenhouse gas emissions by 15% against a 2018 baseline, and attained an 84% water reuse and recycle rate.

What upcoming sustainability projects did Barrick Gold (NYSE:GOLD) announce in its 2023 report?

Barrick Gold announced Environmental and Social Impact Assessments for the Lumwana expansion and Reko Diq project, the conclusion of several resettlement projects, the restart of Porgera mine, and the roll out of a biodiversity assessment tool.

How does Barrick Gold (NYSE:GOLD) align its sustainability strategy with the UN's Sustainable Development Goals?

Barrick Gold uses the UN's Sustainable Development Goals as a central framework for its sustainability reporting, addressing challenges such as poverty alleviation, climate change management, and biodiversity preservation concurrently.

What was Barrick Gold's (NYSE:GOLD) economic contribution to host countries in 2023?

In 2023, Barrick Gold distributed nearly $12 billion to host countries as part of its total economic value distribution of over $15 billion.