Core Viewpoint - Barrick Mining Corporation has announced the divestment of its Hemlo Gold Mine in Ontario for a total transaction value of up to $1.09 billion, which includes various payment structures aimed at enhancing its financial position and shareholder returns [1][3][5]. Group 1: Transaction Details - The deal consists of an upfront cash payment of $875 million, equity in the acquiring firm valued at $50 million, and contingent payments linked to gold prices that could reach up to $165 million starting in 2027 [1][3]. - The buyer, Carcetti Capital Corp., plans to rebrand as Hemlo Mining Corp. after the acquisition [1][2]. Group 2: Management and Support - Hemlo Mining Corp. will be led by Robert Quartermain, who has significant experience in the mining sector and historical ties to the Hemlo deposit [2][3]. - The venture is backed by major resource-focused investors, including Wheaton Precious Metals and Orion Mine Finance Management [3]. Group 3: Strategic Implications - The sale is part of Barrick's broader strategy to streamline its portfolio, with total proceeds from recent asset divestments expected to exceed $2 billion this year [4]. - Barrick's president and CEO, Mark Bristow, emphasized the disciplined focus on enhancing value through a Tier One gold and copper portfolio [5]. Group 4: Next Steps and Market Reaction - The transaction is anticipated to close in the fourth quarter of 2025, subject to regulatory approvals [6]. - Following the announcement, Barrick's B shares experienced a slight decline of 0.61%, trading at $29.30 [6].
Barrick Hands Hemlo Gold Mine To New Owner In $1.09 Billion Deal - Barrick Mining (NYSE:B)