By Jamie Barrie J ust ask Toronto-based miner, Barrick Gold Corp. as lower gold production and a hit on sales from its Tan- zanian operations are being blamed for a reported net loss in the third quarter of $11 million USD or a penny per share, compared against net earnings of $175 million USD or 15 cents per share from a year earlier for the same period. Information coming from Barrick shows that overall gold production came in at 1.24 million ounces, down 140,000 ounces when compared to 1.38 million ounces for the mining giant in the third quarter last year. Barrick, which owns 64 per cent of Tanzania-focused Acacia Mining, is cur- rently embroiled in a tax and refining dispute with the gov- ernment of Tanzania that the company says has affected its gold sales. So it is good news for the company and investors that Barrick has been working on a deal to reach a resolution with the government of Tanzania that would include Acacia Mining paying $300 million USD and transferring 16 percent interest in its three gold mines to the government, allowing the company to get back into full production at the three Tanzania mines.
Any deal made would require approval by Acacia Mining’s board of directors before being finalized.
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NOVEMBER 2017 • SPOTLIGHT ON BUSINESS MAGAZINE
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