Barrick Mining misses profit estimates

BENGALURU:

Barrick Mining reported second-quarter profit below estimates as higher costs at its gold operations offset rising bullion prices, while it struck a $1.95 billion deal with Newmont to settle disputes over Nevada Gold Mines, the companies said.

Newmont consented to Barrick's planned North American gold IPO as part of the agreement, according to a release on Monday. Higher fuel costs are adding to pressure on gold miners as the US-Israeli conflict with Iran disrupts oil flows and keeps energy prices elevated. Barrick said fuel expenses, lower grades and higher royalties contributed to an 11% rise in gold all-in sustaining costs. US shares of Barrick fell nearly 6% in pre-market trading. The Canadian gold miner reported adjusted profit of 82 cents per share for the three months ended June 30.