Research Update: Barrick Gold Corp. Ratings Lowered To 'BBB+' From 'A-' On Higher Forecasted Capital Spending; Outlook Negative Jul 12
- Language: English
- Published: July 2012
The ratings on Barrick Gold Corp. reflect Standard & Poor's Ratings Services' view of the company's position as the world's largest gold producer, with a broad base of operations and below-average cash costs as well as its leading copper market position. We believe these strengths are counterbalanced somewhat by the company's narrow product diversity and its reliance on volatile gold and copper prices, cost pressures affecting all mining companies, and large capital expenditure plans. Barrick's breadth of low-cost mines supports our opinion of its satisfactory business risk profile. The company has proven and probable reserves of 140 million ounces (oz), which notionally should sustain current production for almost 20 years. Standard & Poor's expects 2011 gold output to increase to...
Companies mentioned in this report are: Barrick Gold Corp.
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Barrick Gold Corp.