Moody’s Upgrades Barrick to Baa1 with Stable Outlook

Rhea-AI Summary

Barrick Gold Corporation (NYSE:GOLD) announced that Moody’s upgraded its senior unsecured ratings from Baa2 to Baa1, maintaining a Stable outlook. Moody's praised Barrick's excellent liquidity, which enables it to navigate gold price fluctuations effectively. CFO Graham Shuttleworth highlighted the company's strengthened balance sheet since its merger with Randgold, citing strong operating and free cash flows, enhanced liquidity, and a reduction in net debt. Barrick aims to continue building on these positive developments in the future.

Positive

• Moody’s upgraded Barrick Gold's senior unsecured ratings from Baa2 to Baa1.
• The upgrade indicates excellent liquidity, providing flexibility amid gold price volatility.
• Significant balance sheet improvements have been achieved since the Randgold merger.
• Strong operating and free cash flows noted alongside reduced net debt.

Negative

• None.

TORONTO, Oct. 29, 2020 (GLOBE NEWSWIRE) -- Barrick Gold Corporation (NYSE:GOLD)(TSX:ABX) today announced that Moody’s Investors Service (“Moody’s”) has upgraded the senior unsecured ratings of Barrick and all rated subsidiaries to Baa1 from Baa2, with a Stable outlook.

In a news release announcing the upgrade, Moody’s noted that Barrick’s liquidity is excellent, which provides significant flexibility to maneuver through gold price volatility.

Senior executive vice-president and chief financial officer Graham Shuttleworth said “this upgrade reflects the significant progress that Barrick has made in strengthening our balance sheet since the merger with Randgold. The improvements that we’ve made to our operations combined with increased gold prices have led to the generation of strong operating and free cash flows, enhanced liquidity, and a reduction in net debt, and we expect to continue to build on these achievements going forward.”

Enquiries:

President and CEO
Mark Bristow
+1 647 205 7694
+44 788 071 1386

Senior EVP and CFO
Graham Shuttleworth
+1 647 262 2095
+44 779 771 1338

Investor and Media Relations
Kathy du Plessis
+44 20 7557 7738
Email: barrick@dpapr.com

FAQ

What is the latest rating upgrade for Barrick Gold (GOLD)?

Moody’s upgraded Barrick Gold's senior unsecured ratings from Baa2 to Baa1.

How does Barrick Gold's liquidity impact its operations?

Barrick Gold's excellent liquidity allows it to effectively manage gold price volatility.

What are the key financial improvements mentioned by Barrick Gold?

Barrick Gold reported strong operating and free cash flows and a reduction in net debt.

What is the outlook for Barrick Gold after the Moody’s upgrade?

The outlook for Barrick Gold remains Stable following the upgrade.