Barrick Gold reports $2.6B in losses

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Barrick Gold Corp., one of the world’s largest gold miners, has plans for more debt reduction and cost-cutting this year after another quarter of billion-dollar losses. The company reported a net loss of USD $2.6 billion in the fourth quarter, down from a loss of USD $2.85 billion in the same quarter of the year prior.

Barrick, which reports in U.S. dollars, notes that loss was driven by a $3.1-billion impairment charge on some of its assets. The company adds that adjusted net earnings came to $344 million for the year and $91 million for the fourth quarter, leading to adjusted per share earnings of 30 cents for the year and eight cents for the quarter.

The mining company reduced its debt by $3.1 billion last year and is targeting an additional $2 billion in debt reduction this year and $5 billion in reductions in the midterm. Additionally, it is targeting all-in sustaining costs of between $775 and $825 per ounce this year after costs came in at $831 per ounce in 2015, $29 under the bottom of its cost target.

The company said cost-cutting measures helped to generate positive free cash flow for the first time in four years, with $471 million in free cash flow for the year.

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