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Barrick donates to COVID-19 fight in Zambia

Barrick Gold has contributed financially to Zambia’s fight against the spread of COVID-19 with a donation of US$530,000 to help combat and contain the virus.
Barrick donates to COVID-19 fight in Zambia Barrick donates to COVID-19 fight in Zambia Barrick donates to COVID-19 fight in Zambia Barrick donates to COVID-19 fight in Zambia Barrick donates to COVID-19 fight in Zambia

Barrick Gold has made a financial contribution to help Zambia's fight against COVID-19

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The company had already implemented extensive measures to protect workers and their families living in around the Lumwana copper mine against the virus, said country manager Nathan Chishimba on Tuesday.

"As a committed partner to Zambia we would also like to make a contribution to the government's fight against the pandemic. We are consequently funding the provision of medical equipment to the value of $340,000 at the national level, $100,000 for the North-Western province and $90,000 for the Kalumbila district," he said.

Barrick's chief operating officer for Africa and the Middle East, Willem Jacobs, said the company was engaging with Zambia's national COVID-19 taskforce to convert its support into immediate action. Its senior management in Zambia was already working closely with the local health authorities.

Lumwana is expected to produce 250-280Mlb copper at AISC of $2.30-$2.60/lb.

Meanwhile, FOX Business reported Tuesday CEO Mark Bristow had told it the COVID-19 pandemic could lead to a flurry of deal activity.

"There's a real opportunity that there might be some acquisition options coming out of this," Bristow told FOX Business. "We're certainly keeping very busy looking at those options."

Bristow said the opportunity created by the COVID-19 pandemic was similar to what happened following the 2008 global financial crisis, when miners found themselves in an environment that was ripe for deals as the price of gold surged from about $700-$1,900/oz before collapsing.

"You've got to be careful that you don't blow your brains out like the industry did between 2009 and the run-up to the peak in 2012," Bristow said.

The value of mergers and acquisitions in the gold industry increased by 45% to $18.2 billion in 2019, according to a report released in February by Metals Focus. That number was 43% below the 2010 peak of $32.2 billion.

Barrick Gold recently released its 10-year plan, which set out a path to reach gold output of 5Mozpa drawing on current resources.