Barrick Mining Corp. Q3 FY2026 earnings call

• Safety: Recordable injury rate decreased to 0.71 from 0.77 QoQ. Conducted over 24,000 critical control verifications.
• Financial Results: Adjusted net earnings of $0.82 per share (up 41% YoY). Consolidated adjusted EBITDA of $3.5 billion. Free cash flow of $1.2 billion.
• North America Operations: Record throughput at Gold Quarry Roaster. Gold Rush Underground ramp-up progressing. PV resettlement 99% accepted; TSF construction on schedule. Evaluating infrastructure optimization at NGM (Cortez processing, rail) for long-term step-change.
• Barrick International Operations: Lulu Goncato up 16%; Kabali up 20%. Valadero and Porguera impacted by El Niño weather events. North Mara recovered despite plant shutdown.
• Growth Projects: Lumwana expansion remains on budget ($2 billion total capex), with mill building completion scheduled for Q4. IPO of North American assets expected by year-end/early next year.

North America: Produced approximately 500,000 ounces of gold. Nevada Gold Mines (NGM) and Pueblo Viejo (PV) generated EBITDA margins of 67% and 72%, respectively. Copper production was flat combined across operations, with higher grades at Jabal Sahed offsetting lower throughput at Zaldívar.

Barrick International: Produced 319,000 ounces of gold, up 6% sequentially. Generated over $800 million in attributable adjusted EBITDA from gold operations, representing a 59% EBITDA margin. Copper production was 50,000 tonnes for the quarter.

• Production: Full-year gold and copper production guidance remain unchanged. Q4 gold production expected to be slightly higher than Q3. Copper production expected to increase in Q4 due to stockpiled material at Lumwana.
• Costs: Expect to remain within full-year cost guidance ranges. North American costs well controlled; International costs facing pressure from fuel, royalties, and FX but managed within portfolio targets.
• Capital Returns: Targeting 50% of attributable free cash flow via dividends and buybacks. $3.2 billion returned YTD.

• Operational Disruptions: Weather events (El Niño, severe storms, drought) impacting Valadero and Porguera, causing downtime and water shortages.
• Cost Pressures: Rising diesel prices, local currency appreciation, and higher royalties affecting international unit costs.
• Project Execution: Pueblo Viejo recovery rates lagging technical report expectations; third flotation train engineering still in progress.
• Regulatory/Market: IPO timing subject to market conditions and regulatory review.

Q: Analyst asks if strong Q4 production implies higher 2027 guidance or extrapolation.

A: CEO stated no, advising against extrapolation. Guidance will be provided separately for 2027. CapEx focus remains on disclosed projects like Lumwana and sustaining capital, with NGM optimization not expected to lift CapEx profile significantly in 2027.

Q: Analyst questions PV recovery rate timelines and interim vs. long-term figures.

A: Management confirmed the technical report timeline remains valid. Long-term recovery is low-to-mid 80s. Interim fluctuations are due to feed mix changes. Updated SK 1300 reports with precise numbers will be filed with the S-1 this month.

Q: Analyst asks about the pace of capital returns given potential Newmont cash inflow.

A: CFO clarified that current buyback execution is based on existing plans and FCF generation, not anticipated Newmont proceeds. Any additional proceeds from asset sales/IPO would be considered for future returns pending board approval, separate from the 50% FCF payout policy.

Q: Analyst inquires about the strategic review of Andean assets (Alcoy, Albertio, Lama) and Rico Dick.

A: CEO explained these reviews aim to unlock value in a changed environment (higher prices, better governance). For Rico Dick, spend remains at current run rate until a decision is made mid-next year. The goal is to determine optimal development or monetization paths rather than letting assets sit idle.

Q: Analyst asks about the scope and timing of NGM infrastructure optimization (Cortez roaster, rail).

A: Management emphasized this is a complex, holistic optimization of the entire NGM complex, not just Four Mile. It involves re-routing ore through new processing capacities (e.g., Cortez freeing Carlin roaster capacity). These improvements are targeted for implementation post-2030.