Barrick Reports Fourth Quarter and Full Year 2012 Results

Barrick Reports Fourth Quarter and Full Year 2012 Results 
Disciplined Capital Allocation to Drive Future Direction 
TORONTO, ONTARIO -- (Marketwire) -- 02/14/13 --  
FOURTH QUARTER AND YEAR-END REPORT 2012 
Based on IFRS and expressed in US dollars. For a full explanation of
results, the Financial Statements and Management Discussion &
Analysis, please see the company's website, www.barrick.com. 
Barrick Gold Corporation (NYSE:ABX)(TSX:ABX) (Barrick or the
"company") today reported fourth quarter and full year 2012 results
and reinforced a model for stricter, more disciplined capital
allocation to improve shareholder returns and drive the future
direction of the company. 
"Investors are rightfully demanding fundamental change in the gold
industry, and Barrick is driving this new paradigm," said Jamie
Sokalsky, President and Chief Executive Officer of Barrick. "Rising
costs, poor capital allocation and the pursuit of production growth
at any cost in the industry have led to declining equity valuations
across the sector. The message is clear: the industry must chart a
new path forward. Barrick highlighted the need for change last year,
and we are increasingly taking strong action and re-focusing our
business based on the principle that returns will drive production,
production will not drive returns." 
FOURTH QUARTER/FULL YEAR 2012 RESULTS AND 2013 OUTLOOK 
The company reported a fourth quarter 2012 net loss of $3.06 billion
($3.06 per share), including a $4.2 billion after-tax impairment
charge primarily related to our copper business unit. Adjusted net
earnings were $1.11 billion ($1.11 per share)(1).  
For the full year 2012, Barrick reported a net loss of $0.67 billion
($0.66 per share), including after-tax impairment charges of $4.4
billion. Adjusted net earnings of $3.83 billion ($3.82 per share)
were the second highest in the company's history. 


 
--  We recorded a total after-tax asset and goodwill impairment charge of
    $3.8 billion for the copper business unit in the fourth quarter, as the
    new life-of-mine model for Lumwana reflects higher operating and
    sustaining capital costs and reduced profitability. 
    
--  Full year 2012 operating cash flow of $5.44 billion was a company
    record.
    
--  Pascua-Lama estimates confirmed: $8.0-$8.5 billion in capex and first
    production targeted for the second half of 2014. 
    
--  Pueblo Viejo now in commercial production; ramp up to full production
    expected in the second half of 2013. 
    
--  Replaced total gold reserves and doubled the resource at Goldrush in
    Nevada. 
    
--  Strong operating results with fourth quarter and full year 2012 gold
    production of 2.02 million ounces and 7.42 million ounces, respectively.
    
--  Gold all-in sustaining cash costs for the fourth quarter and full year
    2012 of $972 per ounce(1) and $945 per ounce, respectively. Total cash
    costs were $584 per ounce(1) for the fourth quarter and full year. 
    
--  2013 gold production is expected to be 7.0-7.4 million ounces at all-in
    sustaining cash costs of $1,000-$1,100 per ounce and total cash costs of
    $610-$660 per ounce. Total capex for 2013 is anticipated to be $5.7-$6.3
    billion.

 
"Barrick's strategy prioritizes shareholder value creation by
focusing on maximizing risk-adjusted rates of return and free cash
flow through a disciplined approach to capital allocation," Mr.
Sokalsky said. "The execution of this strategy will position the
company to return more capital to shareholders over time. We made
some significant initial progress in the second half of 2012 and we
are taking further action in 2013 and beyond." 
The company has taken and will undertake the following steps to
re-focus the business and adhere to the principles of its disciplined
capital allocation framework: 


 
--  Now reporting an all-in sustaining cash cost measure that is a more
    meaningful metric and better reflects the total cost of producing gold.
    This measure also reflects how we manage our business and is more
    aligned with the generation of increasing returns and free cash flow. 
--  Cut or deferred approximately $4 billion in previously budgeted capital
    spending. 
--  In today's challenging environment, Barrick has no plans to build any
    new mines. We have a number of world class ore-bodies around the world
    which hold sizeable economic potential, but which currently do not meet
    our investment criteria. In the interim, we will spend the minimum
    amount of capital required to maintain the economic potential of these
    assets. 
--  We will also continue to advance our projects in Nevada, which is home
    to our rapidly expanding Goldrush deposit where we have more than
    doubled the gold resource over the past year. Nevada is a core operating
    region for Barrick and is the cornerstone of our success. Nevada
    contributed over 40 percent of our total 2012 production and represents
    about a third of our total 2012 reserves. 
--  In light of the impairment and higher than anticipated costs at Lumwana,
    and in accordance with our rigorous investment standards, we do not
    intend to proceed at this time with mine expansion plans that were
    previously under consideration. 
--  Recalibrated long-term gold production to a higher quality, more
    profitable base of eight million ounces by 2016. 
--  Bringing in about 1.5 million ounces(2) of average annual production
    from Pueblo Viejo and Pascua-Lama at average all-in sustaining cash
    costs of $250-$350 per ounce(3) and average total cash costs of $100-
    $200 per ounce(3). Including depreciation of mine construction capital,
    costs are expected to be $600-$700 per ounce(3). Some of this new
    production is additive and contributes to our targeted production base,
    while some replaces shorter life, higher cost production. 
--  Pursuing and actively engaged in realizing opportunities to rationalize
    our portfolio, including the sale of Barrick Energy and other non-core
    assets with short mine lives and high operating costs. 
--  Launched a company-wide overhead review. As an initial step, we have
    reduced 2013 company-wide overhead costs by over $100 million and expect
    further reductions through the review process. 
 
----------------------------------------------------------------------------
2012 OPERATING HIGHLIGHTS AND 2013 GUIDANCE                                 
                                                                            
                                                2012       2013             
                                      -------------------------             
Gold                                  Fourth Quarter  Full Year     Guidance
----------------------------------------------------------------------------
Production (000s of ounces)                    2,019      7,421  7,000-7,400
All-in sustaining cash costs ($ per                                         
 ounce)                                          972        945  1,000-1,100
Total cash costs ($ per ounce)                   584        584      610-660
                                                                            
Copper                                                                      
----------------------------------------------------------------------------
Production (millions of pounds)                  130        468      480-540
C1 cash costs ($ per pound)(4)                  2.07       2.17    2.10-2.30
C3 fully allocated costs ($ per                                             
 pound)(4)                                      3.04       2.97    2.60-2.85

 
2013 is a relatively low production year for Barrick for a number of
reasons: 


 
--  Lower production from Goldstrike primarily due to lower throughput
    capacity while the autoclaves are being modified as part of the
    thiosulphate project. These modifications are expected to be completed
    in 2014 and will result in increased overall throughput for this
    flagship operation; 
--  Reduced production from Cortez as mining is restricted to a low grade
    zone of the open pit while we work through pit wall stability issues,
    which are expected to be fully resolved by late 2014; 
--  Lagunas Norte is entering a zone of lower grade and higher sulphide ore
    in 2013. Construction of a carbon-in-column circuit is anticipated to be
    completed by the end of 2013 and will allow for a better, long term
    exploitation of the mine; 
--  A transition to lower grade ore at Veladero before returning to higher
    grade ore in 2015 after completion of a significant waste stripping
    campaign; and, 
--  Lower 2013 production guidance for African Barrick Gold. 

 
A number of these factors are transitory, and we are maintaining our
production guidance of eight million ounces by 2016. 
ADOPTING ALL-IN SUSTAINING CASH COST MEASURE 
Current operating measures used in the gold industry do not capture
all of the sustaining expenditures incurred in order to produce gold,
and therefore do not reflect a complete picture of operating
performance, the ability to generate free cash flow from operations,
or the expenditures that would be included in the valuation of a gold
mining company. For these reasons, Barrick has been working with the
members of the World Gold Council (WGC) to define an all-in
sustaining cash cost measure that better represents the total cost of
producing gold. This is a more meaningful measure and is consistent
with our goal of generating higher returns and free cash flow under
our disciplined capital allocation framework.  
A final standard to define all-in sustaining cash costs is expected
to be finalized by the members of the WGC in the middle of 2013 and
Barrick will conform its disclosure to the measure that is ultimately
approved. Our current definition of all-in sustaining cash costs
starts with total cash costs and adds sustaining capital
expenditures, general and administrative costs, mine site exploration
and evaluation costs, and environmental rehabilitation costs. We are
adopting this new measure for 2013 and expect all-in sustaining cash
costs this year of $1,000-$1,100 per ounce compared to $945 per ounce
in 2012. As part of our sharp focus on cost management, we continue
to evaluate a broad spectrum of ways to meaningfully reduce these
costs. 
DISCIPLINED CAPITAL ALLOCATION TO DRIVE FUTURE DIRECTION 
All capital allocation options, including returns to shareholders,
organic investment, acquisitions, and other expenditures, will be
ranked and prioritized under our disciplined capital allocation
framework, which includes the following key objectives: 


 
--  Returns to Shareholders:  A commitment to pass through to shareholders
    the benefits and capital inflow as a result of pursuing this model,
    including through a strong dividend policy. 
--  Returns Driving Production:  Production decisions to be made based on
    generating appropriate risk-adjusted rates of return and free cash flow
    as opposed to 'growth for growth's sake'. 
--  Aggressive Cost Management:  Reducing costs, including company-wide
    overhead costs and sustaining capital. An ongoing review of our cost
    structure is an integral part of the management of our business. 
--  Portfolio Optimization:  Scrutinizing our portfolio of assets around the
    world and divesting those that do not meet specific criteria, including
    risk-adjusted return thresholds, free cash flow generation, operating
    performance and reserve life, and investing in assets that do meet these
    criteria. 
--  Reduction of Geopolitical Risk:  Focusing on high-return, low cost
    assets in less risky geopolitical jurisdictions. 

 
PASCUA-LAMA PROJECT UPDATE 
Pascua-Lama is a world class resource with nearly 18 million ounces
of proven and probable gold reserves, 676 million ounces of silver
contained within the gold reserves, and a mine life of 25 years. It
is expected to produce an average of 800,000-850,000 ounces of gold
and 35 million ounces of silver in its first full five years of
operation at all-in sustaining cash costs of $50-$200 per ounce(5)
and total cash costs of $0 to negative $150 per ounce(5). Including
depreciation of mine construction capital, costs are expected to be
$550-$700 per ounce(6). 
During the fourth quarter, the cost estimate and schedule for the
project was finalized. Expected total mine construction capital
remains unchanged in the range of $8.0 to $8.5 billion, and includes
a contingency of 15-20 percent of remaining capital. First gold
production continues to be targeted for the second half of 2014.
Incentives for both Fluor and Techint are based on the completion of
the project in line with this estimate and schedule.  
As of December 31, 2012, approximately $4.2 billion had been spent
and construction was approximately 40 percent complete, largely in
line with plan. The four kilometer long tunnel which conveys the ore
from Chile to Argentina was approximately 70 percent complete.
Construction of the primary crusher in Chile commenced in January
2013 and in Argentina, construction of the process plant facility
advanced with approximately 60 percent of structural steel erected. 
During the fourth quarter of 2012, pre-stripping activities were
halted to address certain matters that are the subject of ongoing
legal and regulatory processes. To date, the suspension of
pre-stripping has not altered our target of first production in the
second half of 2014; however, the outcomes of these processes are
uncertain. We will continue to assess the potential for impacts on
the timing of first gold. 
FINANCIAL RESULTS 
"The first step towards increasing returns to shareholders is to have
the underlying business running well. For 2012, we delivered record
annual operating cash flow, and the second-highest adjusted earnings
per share in Barrick's history," said Mr. Sokalsky. "My overriding
objective, and that of everyone at Barrick today, is to translate our
company's strengths and results into higher rates of return, more
free cash flow, and ultimately, superior shareholder returns." 
Fourth quarter 2012 adjusted net earnings were $1.11 billion ($1.11
per share) compared to $1.17 billion ($1.17 per share) in the same
prior year period. The lower adjusted net earnings primarily reflect
higher gold and copper costs and lower realized copper prices. These
impacts were partially offset by a higher realized gold price, higher
gold and copper sales volumes and lower income tax expense. 
The net loss for the fourth quarter was $3.06 billion ($3.06 per
share) compared to net earnings of $0.96 billion ($0.96 per share) in
the same prior year quarter. The current period net loss includes the
impact of a $4.2 billion after-tax impairment charge. Significant
adjusting items include: 


 
--  $3.8 billion in after-tax impairment charges attributable to our copper
    business. 
--  $0.4 billion in after-tax asset impairment charges primarily due to
    various properties in our oil and gas business unit and to our
    investment in Reko Diq. 

 
Fourth quarter operating cash flow rose 37 percent to $1.67 billion
compared to $1.22 billion in the fourth quarter of 2011. Adjusted
operating cash flow of $1.75 billion(7) for the quarter increased 35
percent from $1.30 billion in the same prior year period. The higher
operating cash flow and adjusted operating cash flow primarily
reflects higher realized gold prices, lower income tax payments, and
a decrease in net working capital outflow, partially offset by lower
net earnings. Fourth quarter adjusted EBITDA was $2.17 billion(7)
compared to $2.21 billion in the prior year period. 
Full year 2012 adjusted net earnings of $3.83 billion ($3.82 per
share) compare to $4.67 billion ($4.67 per share) in 2011. The 2012
net loss of
 $0.67 billion ($0.66 per share) includes after-tax
impairment charges of $4.4 billion and compares to net earnings of
$4.48 billion ($4.49 per share) in 2011. Operating cash flow was a
record $5.44 billion in 2012 compared to $5.32 billion in 2011 and
adjusted operating cash flow was $5.16 billion in 2012 compared to
$5.68 billion in 2011. Adjusted full year EBITDA was $7.46 billion
compared to $8.61 billion in 2011. 
OPERATING RESULTS 
Full year 2012 production of 7.42 million ounces met original
guidance for the year. All-in sustaining cash costs for the year were
$945 per ounce and total cash costs of $584 per ounce were within
recent guidance. Fourth quarter production was 2.02 million ounces at
all-in sustaining cash costs of $972 per ounce and total cash costs
of $584 per ounce. 
North America Regional Business Unit 
North America produced 0.96 million ounces at all-in sustaining cash
costs of $823 per ounce and total cash costs of $482 per ounce in the
fourth quarter. Pre-commercial production from the new Pueblo Viejo
mine in the fourth quarter was 65,000 ounces (Barrick's 60 percent
share), while plant commissioning advanced. The mine achieved
commercial production in January, 2013. For 2013, Barrick's share of
production from Pueblo Viejo is anticipated to be 500,000-650,000
ounces at all-in sustaining cash costs of $525-$575 per ounce and
total cash costs of $375-$425 per ounce(8). The mine is expected to
ramp up to full capacity in the second half of the year. Barrick's
share of average annual gold production in the first full five years
of operation is anticipated to be 625,000-675,000 ounces at all-in
sustaining cash costs of $500-$600 per ounce(9) and total cash costs
of $300-$350 per ounce(9). Including depreciation of mine
construction capital, costs are expected to be $650-$750 per
ounce(10). 
The Cortez mine produced 0.35 million ounces at total cash costs of
$242 per ounce in the fourth quarter. Cortez is expected to
contribute 1.17-1.24 million ounces in 2013 at total cash costs of
$255-$275 per ounce on lower grades and a change in the ore mix to
more heap leach tons, which have lower recoveries.  
Goldstrike produced 0.33 million ounces in the fourth quarter at
total cash costs of $506 per ounce, reflecting lower grades and lower
tonnes processed through the autoclave. Production in 2013 is
forecast to be 0.87-0.94 million ounces at total cash costs of
$680-$700 per ounce, primarily due to reduced autoclave capacity
associated with construction of the thiosulphate project, which is
expected to be completed in mid-2014. 
North America is anticipated to produce 3.55-3.70 million ounces in
2013, reflecting the ramp-up of Pueblo Viejo to full production in
the second half, partially offset by lower expected production from
Goldstrike and Cortez. All-in sustaining cash costs for 2013 are
forecast to be $820-$870 per ounce. Expected total cash costs of
$495-$545 per ounce reflect lower grades at these mines which are
anticipated to offset lower cost ounces from Pueblo Viejo, as well as
higher capitalized stripping costs. 
South America Regional Business Unit 
South America produced 0.46 million ounces at all-in sustaining cash
costs of $742 per ounce and total cash costs of $528 per ounce in the
fourth quarter. The Veladero mine contributed 0.22 million ounces at
total cash costs of $577 per ounce, reflecting improved recoveries
due to better leach pad kinetics and continued high inflation in
Argentina. In 2013, Veladero is expected to produce 0.57-0.61 million
ounces at total cash costs of $630-$670 per ounce as a result of
lower grades. 
Lagunas Norte produced 0.21 million ounces for the quarter at total
cash costs of $298 per ounce with access to higher grades following
the completion of the current phase of pit dewatering. In 2013,
Lagunas Norte is expected to contribute 0.56-0.60 million ounces at
total cash costs of $380-$420 per ounce as a result of lower grades
and lower recovery on a higher proportion of sulfide ore. 
South America is expected to produce 1.25-1.35 million ounces in 2013
at all-in sustaining cash costs of $875-$925 per ounce. Anticipated
total cash costs of $550-$600 per ounce reflect lower grades at all
mines, increased costs for consumables related to higher tonnage, a
strengthening Peruvian currency and continued high inflation in
Argentina. 
Australia Pacific Regional Business Unit 
Australia Pacific produced 0.47 million ounces at all-in sustaining
cash costs of $1,247 per ounce and total cash costs of $801 per ounce
in the fourth quarter. Production of 0.11 million ounces from Porgera
at total cash costs of $929 per ounce was impacted by pit wall
remediation activities that prevented mining in higher grade zones of
the pit. Porgera is expected to produce 0.43-0.48 million ounces in
2013 following the completion of remediation activities that will
allow full access to the underground. Total cash costs for Porgera in
2013 are anticipated to be $1,000-$1,100 per ounce, reflecting higher
mining costs associated with a full year of underground production. 
Production for Australia Pacific in 2013 is expected to be 1.70-1.85
million ounces at all-in sustaining cash costs of $1,200-$1,300 per
ounce and total cash costs of $880-$950 per ounce, which is
consistent with 2012 but with higher costs at Porgera, as well as
higher labor costs in general. 
African Barrick Gold plc 
Fourth quarter attributable production from African Barrick Gold was
0.13 million ounces at all-in sustaining cash costs of $1,302 per
ounce and total cash costs of $958 per ounce as a result of better
plant performance at Buzwagi and higher grades at both North Mara and
Buzwagi, which more than offset lower production from Bulyanhulu and
Tulawaka. Barrick's share of 2013 production from African Barrick
Gold is expected to be 0.40-0.45 million ounces at all-in sustaining
cash costs of $1,550-$1,600 per ounce and total cash costs of
$925-$975 per ounce, reflecting lower anticipated production from
Bulyanhulu, the expected closure of Tulawaka in the first half of
2013, and higher labor and power costs.  
Global Copper Business Unit 
Copper production in the fourth quarter was 130 million pounds at C1
cash costs of $2.07 per pound and C3 fully allocated costs of $3.04
per pound. For the full year 2012, production was 468 million pounds
at C1 cash costs of $2.17 per pound and C3 fully allocated costs of
$2.97 per pound. Lumwana's performance improved in the fourth quarter
with production of 56 million pounds at C1 cash costs of $2.76 per
pound. The Zaldivar copper mine in Chile had a strong quarter,
contributing 74 million pounds at C1 cash costs of $1.73 per pound. 
We have prepared a new life-of-mine (LOM) plan for Lumwana, which
reflects information obtained from the exploration and infill
drilling program that was completed late in the fourth quarter of
2012. The purpose of the drilling program was to better define the
limits of mineralization and develop an updated, more comprehensive
block model of the ore body for mine planning purposes. After this
drilling was completed, the ore body did not meet our economic
expectations. While the drilling increased reserves and defined
significant additional mineralization, some at higher grades, much of
it was deep and would require a significant amount of waste
stripping, which makes it uneconomic based on our expected operating
costs and current market copper prices. At higher copper prices,
however, much of this copper will be economic and come into reserves
and resources. 
The new LOM plan also reflects revised operating and sustaining
capital costs after results of the drill program were incorporated
into a new block model for the life-of-mine plan. The revised LOM
cost estimates - under present copper price assumptions - reduced
expected copper production and, in turn, profitability over the mine
life. As a result, we have recorded an after-tax asset impairment
charge of $3.0 billion for Lumwana in the fourth quarter. We also
recorded a goodwill impairment of $0.8 billion for the copper
business unit for a total charge of $3.8 billion. We continue to
progress a number of key initiatives to lower costs, including
improvements to operating systems and processes, and a full
transition to an owner maintained operation. A focus on higher
utilization and productivity of the mining fleet has also been
identified as one of the major opportunities to improve value. Until
we can improve mining costs, and/or copper prices increase, the
expansion opportunity to increase the throughput capacity of the
processing plant does not meet our investment criteria. The company
will only invest capital if it generates acceptable rates of return
suitable to the size of the capital investment. We will not invest
capital simply to increase production. 
"When we bought Equinox, our view was that Lumwana was a very long
life mine, with exceptional resource potential in the Chimiwungo
area," said Jamie Sokalsky. "Unfortunately, our new mining plan
projects mining costs to be higher than we anticipated, resulting in
a significant impairment. Clearly, our focus is on significant cost
reduction and with the new focused leadership team and an enhanced
understanding of the asset, we are in a better position to identify
changes that would improve free cash flow. Our 2013 guidance reflects
realistic expectations for an improvement over 2012; however, we need
to implement a significant change in the mine's future performance in
order to realize its potential. Our view of the resource potential
has been validated by the results of our exploration program -
Lumwana has an enormous mineral inventory and tremendous leverage to
higher copper prices. As copper becomes more difficult to find and
demand increases, we stand to benefit substantially from having this
asset in our portfolio." 
Our 2013 production guidance for Lumwana is 210-250 million pounds of
copper at C1 cash costs of $2.70-$3.10 per pound and C3 fully
allocated costs of $3.20-$3.60 per pound. A stronger second half is
expected following the end of the annual rainy season. The Zaldivar
mine is expected to produce 270-290 million pounds in 2013 at C1 cash
costs of $1.55-$1.65 per pound and C3 fully allocated costs of
$1.80-$1.90 per pound. 
Utilizing option collar hedging strategies, the company has protected
the downside on approximately 50 percent of its expected 2013 copper
production at an average price of $3.50 per pound and can participate
on the same amount up to an average price of $4.25 per pound(11). 
RESERVE AND RESOURCE DEVELOPMENT 
The company replaced proven and probable gold reserves for the
seventh straight year to an industry-leading 140.2 million ounces(12)
at the end of 2012, based on a $1,500 per ounce gold price(12). In
addition, measured and indicated resources were 83.0 million ounces
and inferred resources were 35.6 million ounces, based on a $1,650
per ounce gold price. Copper reserves increased to 13.9 billion
pounds based on a copper price of $3.00 per pound. Measured and
indicated resources and inferred copper resources decreased to 10.3
billion pounds and 0.5 billion pounds, respectively, based on a
copper price of $3.50 per pound, primarily due to the exclusion of
Reko Diq from our 2012 resources. 


 
----------------------------------------------------------------------------
RESERVES AND RESOURCES                                                      
                                                                            
Gold (millions of ounces)                                       2012    2011
----------------------------------------------------------------------------
Proven and Probable Reserves                                   140.2   139.9
Measured and Indicated Resources                                83.0    80.4
Inferred Resources                                              35.6    40.2
                                                                            
Copper (billions of pounds)                                                 
----------------------------------------------------------------------------
Proven and Probable Reserves                                    13.9    12.7
Measured and Indicated Resources                                10.3    15.3
Inferred Resources                                               0.5    19.9
----------------------------------------------------------------------------

 
The 2013 exploration budget is $400-$440 million(13), of which
approximately 45 percent will be capitalized. The budget is weighted
towards near-term resource additions and conversion at our existing
mines, where we believe there is excellent potential to make new
discoveries and to expand reserves and resources. North America will
be allocated approximately 50 percent of the budget, the majority of
which is targeted for Nevada. Australia Pacific will receive about 18
percent of the budget, copper will be allocated about 16 percent and
South America about 14 percent, with the balance being for African
Barrick Gold. 
In Nevada, drilling in 2012 doubled and upgraded the resource base at
Goldrush. The updated measured and indicated resource of 8.4 million
ounces represents more than a 500 percent increase from 2011.
Additionally, there are 5.7 million ounces in the inferred category.
The footprint of the deposit has more than doubled to greater than
seven kilometers, and the system still remains open in multiple
directions. As this project advances through prefeasibility, a number
of development options are being considered, including open pit
mining, underground mining, or a combination of both. In addition,
shallow mineralization has been encountered to the west, and high
grade mineralization has been encountered to the north, which
provides flexibility on mining and development options. 
The greater Cortez area contains substantial district-scale
opportunities, including a new parallel exploration trend identified
to the west of Goldrush, and the northern, eastern and southern
extensions of the Goldrush system. Exploration drilling programs will
be focused on growing and upgrading the resource base, delineating
the extent of the system and exploring the potential for extensions
to the north and south. In addition, the potential of the newly
identified parallel trend to the west will be assessed. A scoping
study has been recently completed, and a prefeasibility study is
underway in parallel with continuing exploration work and technical
studies. This district is a cornerstone of Barrick's past, current
and future success, and is located in Nevada, a mining oriented state
with significant infrastructure and operational capabilities. 
CHANGE IN SENIOR MANAGEMENT 
The company announced today that Executive Vice President and Chief
Operating Officer (COO) Igor Gonzales will retire this year but
intends to remain with the company until his successor is appointed
to ensure an orderly transition. The process will begin immediately
with a global search. Mr. Gonzales joined Barrick in 1998 and has
played a key role in the growth of Barrick's South America business
unit, overseeing the development of the Pierina and Lagunas Norte
mines in Peru, before taking on responsibility for the entire region,
including the Veladero mine in Argentina and the Zaldivar copper mine
in Chile. "Igor has made an immense contribution to the growth and
success of Barrick over the past 14 years," said Jamie Sokalsky. "He
has been an outstanding leader and a role model to many at Barrick
and we will sincerely miss him. On behalf of the entire company, I
would like to extend my gratitude to Igor for his many contributions
and offer our best wishes for a fulfilling retirement." 
CORPORATE RESPONSIBILITY 
Barrick continues to be recognized for its strong corporate
responsibility culture. In 2012, the company was listed for the fifth
consecutive year on the Dow Jones Sustainability World Index and was
also ranked among the top 100 sustainable companies in the world by
NASDAQ. The CSR Advisory Board met twice during 2012 to provide input
to Barrick management on our corporate responsibility performance and
advice on a broad range of these matters. In 2012, we also continued
to implement global human rights compliance programs aligned with the
UN Guiding Principles on Business and Human Rights. We are also
conducting human rights assessments, which will be carried out for
all sites and projects over a three year period, and advanced human
rights training programs for our employees. 
OUTLOOK AND GUIDANCE 
The company anticipates 2013 gold production to be in the range of
7.0-7.4 million ounces, reflecting a change in the production mix as
higher production in North America is offset by lower production in
South America. All-in sustaining cash costs for 2013 are expected to
be $1,000-$1,100 per ounce. Total cash costs of $610-$660 per ounce
for 2013 principally reflect the impact of lower ore grades on
production levels in South America, North America and Australia
P
acific, combined with rising labor costs due to significant
inflation in certain parts of South America, and increasing power,
fuel and maintenance costs in Australia Pacific. 
Copper production in 2013 is expected to increase to 480-540 million
pounds, primarily reflecting improved production from Lumwana. Total
C1 cash costs of $2.10-$2.30 per pound anticipated for 2013 reflect
similar costs for Zaldivar and lower costs at Lumwana compared to
2012. C3 fully allocated costs are expected to be $2.60-$2.85 per
pound. 
As part of our focus on cost control, we have reduced company-wide
overhead costs for 2013 by over $100 million and expect further
reductions through the ongoing, company-wide review process. Total
capital expenditures of $5.7-$6.3 billion(14) expected for 2013
reflect accounting changes that result in higher capitalization of
operating costs related to waste stripping and capitalization of
Goldrush exploration costs. Minesite sustaining expenditures are
forecast to be lower than 2012 at $1.0-$1.1 billion. Project capital
expenditures are anticipated to be in the range of $2.7-$3.0
billion(15), reflecting the ramp-up in construction activity at
Pascua-Lama, partly offset by lower expenditures at Pueblo Viejo
following commencement of commercial production. Mine development
expenditures are expected to total $1.20-$1.30 billion. Mine site
expansion capital is anticipated to be $800-$900 million(15),
including expenditures on development projects at Goldstrike, Cortez
and Lagunas Norte. Higher project expenditures and mine expansion
expenditures are offset by a decrease in minesite sustaining
expenditures and the results of our ongoing cost reduction efforts. 
Outlook Assumptions and Economic Sensitivity Analysis 


 
                                  2013                    Impact   Impact on
                              Guidance Hypothetical     on Total      EBITDA
                            Assumption       Change   Cash Costs  (millions)
----------------------------------------------------------------------------
Gold revenue              $1,700/oz(1)       $50/oz          n/a $350 - $370
----------------------------------------------------------------------------
Copper revenue(2)          $3.50/lb(1)   + $0.25/lb          n/a $120 - $130
                           $3.50/lb(1)   - $0.25/lb          n/a   $60 - $70
----------------------------------------------------------------------------
Gold total cash costs                                                       
  Gold price effect on                                                      
   royalties                 $1,700/oz       $50/oz     $1.30/oz         $10
  WTI crude oil price(3)       $90/bbl      $10/bbl     $1.25/oz          $9
  Australian dollar                                                         
   exchange rate(3)              1 : 1           10%      $11/oz         $80
----------------------------------------------------------------------------
Copper C1 cash costs                                                        
  WTI crude oil price(3)       $90/bbl      $10/bbl           $-          $1
  Chilean peso exchange                                                     
   rate(3)                     475 : 1           10%          $-          $-
----------------------------------------------------------------------------
(1)  We have assumed a gold price of $1,700 per ounce and copper price of   
     $3.50 per pound, which are in line with current market prices.         
(2)  Utilizing option collar strategies, the company has protected the      
     downside on approximately 50 percent of its expected 2013 copper       
     production at an average price of $3.50 per pound and can participate  
     on the same amount up to an average price of $4.25 per pound.          
(3)  Due to hedging activities we are largely protected against changes in  
     these factors.                                                         

 
Interview with Jamie Sokalsky, President and CEO 
A video interview with Jamie Sokalsky discussing 2012 results,
company strategy and 2013 outlook is available at
http://www.barrick.com/investors/CEO-results-interview. 
Barrick's vision is to be the world's best gold mining company by
operating in a safe, profitable and responsible manner. Barrick's
shares are traded on the Toronto and New York stock exchanges. 
(1) Adjusted net earnings, adjusted net earnings per share, gold
all-in sustaining cash costs per ounce and gold total cash costs per
ounce are non-GAAP financial measures. See pages 60-67 of Barrick's
Year End 2012 Report.  
(2) About 1.5 million ounces is based on the estimated cumulative
annual average production in the first full five years once both
mines are at full capacity. 
(3) Based on first full five year average once both mines are at full
capacity. 
(4) C1 cash costs per pound and C3 fully allocated costs per pound
for copper are non-GAAP financial measures. See pages 60-67 of
Barrick's Year-End 2012 Report.  
(5) Based on first full five year average and gold, silver and WTI
oil price assumptions of $1,700/oz, $30/oz and $90/bbl, respectively,
and assuming a Chilean Peso assumption of 475:1. Does not include
escalation for future inflation. 
(6) Based on first full five year average and includes mine
construction capital of $8.0-$8.5 billion. 
(7) Adjusted operating cash flow and adjusted EBITDA are non-GAAP
financial measures. See pages 60-67 of Barrick's Year-End 2012
Report. 
(8) Actual results will vary depending on the how the ramp up
progresses.   
(9) Based on first full five year average and gold and WTI oil price
assumptions of $1,700/oz and $90/bbl, respectively. Does not include
escalation for future inflation.  
(10) Based on first full five year average and includes mine
construction capital of $3.7 billion.  
(11) The realized price on all 2013 copper production is expected to
be reduced by approximately $0.04 per pound as a result of the net
premium paid on these strategies, while the remaining copper
production is subject to market prices.  
(12) Calculated in accordance with National Instrument 43-101 as
required by Canadian securities regulatory authorities. For United
States reporting purposes, Industry Guide 7 (under the Securities
Exchange Act of 1934), as interpreted by the Staff of the SEC,
applies different standards in order to classify mineralization as a
reserve. Accordingly, for U.S. reporting purposes, approximately 1.98
million ounces of reserves at Pueblo Viejo (Barrick's 60 percent
interest) is classified as mineralized material. For a breakdown of
reserves and resources by category and additional information
relating to reserves and resources, see pages 142-147 of Barrick's
2012 Year-End Report.  
(13) Barrick's exploration programs are designed and conducted under
the supervision of Robert Krcmarov, Senior Vice President, Global
Exploration of Barrick.  
(14) Represents Barrick's share of expenditures.  
(15) Excludes capitalized interest. 


 
Key Statistics                                                              
                                                                            
Barrick Gold Corporation           Three months ended    Twelve months ended
(in United States dollars)               December 31,           December 31,
                              ----------------------------------------------
(Unaudited)                          2012        2011       2012        2011
----------------------------------------------------------------------------
Operating Results                                                           
Gold production (thousands of                                               
 ounces)(1)                         2,019       1,814      7,421       7,676
Gold sold (thousands of                                                     
 ounces)                            2,027       1,865      7,292       7,550
Per ounce data                                                              
  Average spot gold price      $    1,722  $    1,688 $    1,669  $    1,572
  Average realized gold                                                     
   price(2)                         1,714       1,664      1,669       1,578
  Total cash costs(2)                 584         505        584         460
  Depreciation(3)                     208         168        191         154
  Other(4)                             12          17         12          16
  Total production costs              804         690        787         630
  All-in sustaining cash                                                    
   costs(2)                           972         826        945         752
Copper production (millions of                                              
 pounds)                              130         143        468         451
Copper sold (millions of                                                    
 pounds)                              154         135        472         444
Per pound data                                                              
  Average spot copper price    $     3.59  $     3.40 $     3.61  $     4.00
  Average realized copper                                                   
   price(2)                          3.54        3.69       3.57        3.82
  C1 cash costs(2)                   2.07        1.96       2.17        1.71
  Depreciation(3)                    0.39        0.48       0.46        0.38
  Other(5)                           0.58        0.03       0.34        0.21
  C3 fully allocated costs(2)        3.04        2.47       2.97        2.30
----------------------------------------------------------------------------
Financial Results (millions)                                                
Revenues                       $    4,189  $    3,761 $   14,547  $   14,236
Net (loss) earnings(6)             (3,062)        959       (665)      4,484
Adjusted net earnings(2)            1,108       1,166      3,827       4,666
EBITDA(2)                          (4,023)      1,998        987       8,376
Adjusted EBITDA(2)                  2,173       2,210      7,457       8,611
Operating cash flow                 1,672       1,224      5,439       5,315
Adjusted operating cash                                                     
 flow(2)                            1,752       1,299      5,156       5,680
Per Share Data (dollars)                                                    
  Net (loss) earnings (basic)       (3.06)       0.96      (0.66)       4.49
  Adjusted net earnings                                                     
   (basic)(2)                        1.11        1.17       3.82        4.67
  Net (loss) earnings                                                       
   (diluted)                        (3.06)       0.96      (0.66)       4.48
Weighted average basic common                                               
 shares (millions)                  1,001       1,000      1,001         999
Weighted average diluted                                                    
 common shares (millions)(7)        1,001       1,002      1,001       1,001
----------------------------------------------------------------------------
                                                      As at            As at
                                               December 31,     December 31,
                                             --------------   --------------
                                                       2012             2011
----------------------------------------------------------------------------
Financial Position (millions)                                               
Cash and equivalents                          $       2,093    $       2,745
Non-cash working capital                              3,132            2,335
Adjusted debt(2)                                     13,680           13,058
Net debt(2)                                          11,599           10,320
----------------------------------------------------------------------------
(1) Production includes our equity share of gold production at Highland Gold
    up to April 26, 2012, the effective date of our sale of Highland Gold.  
    Production also includes African Barrick Gold on a 73.9% basis, which   
    reflects our equity share of production.                                
(2) Realized price, total cash costs, all-in sustaining cash costs, C1 cash 
    costs, C3 fully allocated costs, adjusted net earnings, EBITDA, adjusted
    EBITDA, adjusted operating cash flow, adjusted debt, and net debt are   
    non-GAAP financial performance measures with no standard definition     
    under IFRS. See pages 60-67 of the Company's MD&A.                      
(3) Represents equity depreciation expense divided by equity ounces of gold 
    sold or pounds of copper sold.                                          
(4) Represents the Barrick Energy gross margin divided by equity ounces of  
    gold sold.                                                              
(5) For a breakdown, see reconciliation of cost of sales to C1 cash costs   
    and C3 fully allocated costs per pound on page 65 of the Company's MD&A.
(6) Net earnings represents net income attributable to the equity holders of
    the Company.                                                            
(7) Fully diluted includes dilutive effect of stock options.                
                                                                            
                                                                            
Production and Cost Summary                                                 
                                                                            
                            Gold Production (attributable ounces) (000's)   
                         ---------------------------------------------------
                               Three months ended        Twelve months ended
                                     December
 31,               December 31,
                         ------------------------   ------------------------
(Unaudited)                      2012        2011           2012        2011
-------------------------------------------------   ------------------------
Gold                                                                        
 North America                    956         761          3,493       3,382
 South America                    459         446          1,631       1,872
 Australia Pacific                470         485          1,822       1,879
 African Barrick Gold(1)          134         118            463         509
 Other(2)                           -           4             12          34
----------------------------------------------------------------------------
Total                           2,019       1,814          7,421       7,676
----------------------------------------------------------------------------
 
                                                                            
                                        Total Cash Costs ($/oz)             
                         ---------------------------------------------------
                               Three months ended        Twelve months ended
                                     December 31,               December 31,
                         ------------------------   ------------------------
(Unaudited)                      2012        2011           2012        2011
-------------------------------------------------   ------------------------
Gold                                                                        
 North America            $       482 $       498    $       500 $       426
 South America                    528         357            467         358
 Australia Pacific                801         677            803         621
 African Barrick Gold(1)          958         779            949         692
 Other(2)                           -           -              -           -
----------------------------------------------------------------------------
Total                     $       584 $       505    $       584 $       460
----------------------------------------------------------------------------
                                                                            
                          Copper Production (attributable pounds) (Millions)
                         ---------------------------------------------------
                               Three months ended        Twelve months ended
                                     December 31,               December 31,
                         ------------------------   ------------------------
(Unaudited)                      2012        2011           2012        2011
----------------------------------------------------------------------------
Total                             130         143            468         451
----------------------------------------------------------------------------
 
                                                                            
                                         C1 Cash Costs ($/lb)               
                         ---------------------------------------------------
                               Three months ended        Twelve months ended
                                     December 31,               December 31,
                         ------------------------   ------------------------
(Unaudited)                      2012        2011           2012        2011
----------------------------------------------------------------------------
Total                     $      2.07 $      1.96    $      2.17 $      1.71
----------------------------------------------------------------------------
                                                                            
                                 Total Gold Production Costs ($/oz)         
                         ---------------------------------------------------
                              Three months ended        Twelve months ended 
                                    December 31,               December 31, 
                         ------------------------   ------------------------
(Unaudited)                     2012        2011           2012        2011 
-------------------------------------------------   ------------------------
  Direct mining costs at                                                    
   market foreign                                                           
   exchange rates         $      623  $      549     $      620  $      506 
  Gains realized on                                                         
   currency hedge and                                                       
   commodity                                                                
   hedge/economic hedge                                                     
   contracts                     (58)        (53)           (51)        (53)
  Other(3)                       (12)        (17)           (12)        (16)
  By-product credits             (17)        (18)           (17)        (18)
  Royalties                       48          44             44          41 
----------------------------------------------------------------------------
Total cash costs(4)              584         505            584         460 
  Depreciation                   208         168            191         154 
  Other(3)                        12          17             12          16 
----------------------------------------------------------------------------
Total production costs    $      804  $      690     $      787  $      630 
----------------------------------------------------------------------------
All-in sustaining cash                                                      
 costs(4)                 $      972  $      826     $      945  $      752 
----------------------------------------------------------------------------
                                                                            
                                 Total Copper Production Costs ($/lb)       
                         ---------------------------------------------------
                               Three months ended        Twelve months ended
                                     December 31,               December 31,
                         ------------------------   ------------------------
(Unaudited)                      2012        2011           2012        2011
-------------------------------------------------   ------------------------
C1 cash costs(4)          $      2.07 $      1.96    $      2.17 $      1.71
Depreciation                     0.39        0.48           0.46        0.38
Other(5)                         0.58        0.03           0.34        0.21
----------------------------------------------------------------------------
C3 fully allocated                                                          
 costs(4)                 $      3.04 $      2.47    $      2.97 $      2.30
----------------------------------------------------------------------------
(1) Figures relating to African Barrick Gold are presented on a 73.9% basis,
    which reflects our equity share of production.                          
(2) Includes our equity share of gold production at Highland Gold up to     
    April 26, 2012, the effective date of our sale of Highland Gold.        
(3) Represents the Barrick Energy gross margin divided by equity ounces of  
    gold sold.                                                              
(4) Total cash costs, all-in sustaining cash costs, C1 cash costs and C3    
    fully allocated costs are non-GAAP financial performance measures with  
    no standard meaning under IFRS. See pages 62-65 of the Company's MD&A.  
(5) For a breakdown, see reconciliation of cost of sales to C1 cash costs   
    and C3 fully allocated costs per pound on page 65 of the Company's MD&A.
                                                                            
                                                                            
Consolidated Statements of Income                                           
                                                                            
Barrick Gold Corporation                                                    
For the years ended December 31 (in millions of United                      
 States dollars, except per share data)                     2012       2011 
----------------------------------------------------------------------------
Revenue (notes 5 and 6)                                $  14,547  $  14,236 
----------------------------------------------------------------------------
Costs and expenses                                                          
Cost of sales (notes 5 and 7)                              7,654      6,240 
Corporate administration                                     195        166 
Exploration and evaluation (notes 5 and 8)                   429        346 
Other expense (note 9a)                                      633        576 
Impairment charges (note 9b)                               6,470        235 
----------------------------------------------------------------------------
                                                          15,381      7,563 
Other income (note 9c)                                        69        248 
Income (loss) from equity investees (note 14a)               (13)         8 
Gain on non-hedge derivatives (note 23e)                      31         81 
----------------------------------------------------------------------------
Income (loss) before finance items and income taxes         (747)     7,010 
Finance items                                                               
Finance income                                                11         13 
Finance costs (note 12)                                     (177)      (199)
---------------------------------------------------------------
-------------
Income (loss) before income taxes                           (913)     6,824 
Income tax recovery (expense) (note 10)                      236     (2,287)
----------------------------------------------------------------------------
Net income (loss)                                      $    (677) $   4,537 
----------------------------------------------------------------------------
Attributable to:                                                            
Equity holders of Barrick Gold Corporation             $    (665) $   4,484 
Non-controlling interests (note 30)                    $     (12) $      53 
----------------------------------------------------------------------------
                                                            (677)     4,537 
Earnings per share data attributable to the equity                          
 holders of Barrick Gold Corporation (note 11)                              
Net income (loss)                                                           
  Basic                                                $   (0.66) $    4.49 
  Diluted                                              $   (0.66) $    4.48 
----------------------------------------------------------------------------
The notes to these unaudited consolidated financial statements, which are   
contained in the Fourth quarter and Year-end report, available on our       
website, are an integral part of these consolidated financial statements.   
                                                                            
                                                                            
Consolidated Statements of Comprehensive Income                             
                                                                            
Barrick Gold Corporation                                                    
For the years ended December 31 (in millions of                             
 United States dollars)                                    2012        2011 
----------------------------------------------------------------------------
Net income (loss)                                    $     (677) $    4,537 
Other comprehensive income (loss), net of taxes                             
Unrealized gains (losses) on available-for-sale                             
 ("AFS") financial securities, net of tax $6, $9            (37)        (91)
Realized (gains) losses and impairments on AFS                              
 financial securities, net of tax $6, $5                     34          36 
Unrealized gains on derivative investments                                  
 designated as cash flow hedges, net of tax $20, $41        167         370 
Realized (gains) on derivative investments                                  
 designated as cash flow hedges, net of tax $96, $93       (331)       (413)
Actuarial (losses) on post employment benefit                               
 obligations, net of tax $3, $13                             (5)        (22)
Currency translation adjustments gain (loss), net of                        
 tax $nil, $nil                                              35         (36)
----------------------------------------------------------------------------
Total other comprehensive loss                             (137)       (156)
----------------------------------------------------------------------------
Total comprehensive income (loss)                    $     (814) $    4,381 
----------------------------------------------------------------------------
Attributable to:                                                            
Equity holders of Barrick Gold Corporation           $     (802) $    4,328 
Non-controlling interests                            $      (12) $       53 
----------------------------------------------------------------------------
The notes to these unaudited consolidated financial statements, which are   
contained in the Fourth quarter and Year-end report, available on our       
website, are an integral part of these consolidated financial statements.   
                                                                            
                                                                            
Consolidated Statements of Cash Flow                                        
                                                                            
Barrick Gold Corporation                                                    
For the years ended December 31 (in millions of                             
 United States dollars)                                    2012        2011 
----------------------------------------------------------------------------
OPERATING ACTIVITIES                                                        
Net income                                           $     (677) $    4,537 
Adjustments for the following items:                                        
  Depreciation                                            1,722       1,419 
  Finance costs (excludes accretion)                        123         147 
Impairment charges (note 9b)                              6,470         235 
Income tax expense (note 10)                               (236)      2,287 
Increase in inventory                                      (616)       (708)
Proceeds from settlement of Australian dollar hedge                         
 contracts                                                  465           - 
Gain on non-hedge derivatives (note 23e)                    (31)        (81)
Gain on sale of long-lived assets/investments               (18)       (229)
Other operating activities (note 13a)                      (186)       (187)
----------------------------------------------------------------------------
Operating cash flows before interest and income                             
 taxes                                                    7,016       7,420 
Interest paid                                              (118)       (137)
Income taxes paid                                        (1,459)     (1,968)
----------------------------------------------------------------------------
Net cash provided by operating activities                 5,439       5,315 
----------------------------------------------------------------------------
INVESTING ACTIVITIES                                                        
Property, plant and equipment                                               
  Capital expenditures (note 5)                          (6,369)     (4,973)
  Sales proceeds                                             18          48 
Acquisitions (note 4)                                       (37)     (7,677)
Investments                                                                 
  Purchases                                                   -         (72)
  Sales                                                     168          80 
Other investing activities (note 13b)                      (301)       (233)
----------------------------------------------------------------------------
Net cash used in investing activities                    (6,521)    (12,827)
----------------------------------------------------------------------------
FINANCING ACTIVITIES                                                        
Proceeds on exercise of stock options                        18          57 
Long-term debt (note 23b)                                                   
  Proceeds                                                2,000       6,648 
  Repayments                                             (1,462)       (380)
Dividends                                                  (750)       (509)
Funding from non-controlling interests (note 30)            505         403 
Deposit on silver sale agreement (note 27)                  137         138 
Other financing activities (note 13c)                       (25)        (66)
----------------------------------------------------------------------------
Net cash provided by financing activities                   423       6,291 
----------------------------------------------------------------------------
Effect of exchange rate changes on cash and                                 
 equivalents                                                  7          (2)
----------------------------------------------------------------------------
Net decrease in cash and equivalents                       (652)     (1,223)
Cash and equivalents at beginning of year (note 23a)      2,745       3,968 
----------------------------------------------------------------------------
Cash and equivalents at the end of year (note 23a)   $    2,093  $    2,745 
----------------------------------------------------------------------------
The notes to these unaudited consolidated financial statements, which are   
contained in the Fourth quarter and Year-end report, available on our       
website, are an integral part of these consolidated financial statements.   
                                                                            
                                                                            
Consolidated Balance Sheets                                                 
                                                         As at         As at
Barrick Gold Corporation                          December 31,  December 31,
(in millions of United States dollars)                    2012          2011
----------------------------------------------------------------------------
ASSETS                                                                      
Current assets                                                              
  Cash and equivalents (note 23a)                $       2,093 $       2,745
  Accounts receivable (note 16)                            449           426
  Inventories (note 15)                                  2,695         2,498
  Other current assets (note 16)                           626           876
----------------------------------------------------------------------------
Total current assets                                     5,863         6,545
                                                                            
Non-current assets                                                          
  Equity in investees (note 14a)                           135           440
  Other investments (note 14b)                              78           161
  Property, plant and equipment (note 17)               28,717        28,979
  Goodwill (note 18a)                                    8,837         9,626
  Intangible assets (note 18b)                             453           569
  Deferred income tax assets (note 28)                     443           409
  Non-current portion of inventory (note 15)             1,692         1,153
  Other assets (note 20)                                 1,064         1,002
----------------------------------------------------------------------------
Total assets                                     $      47,282 $      48,884
----------------------------------------------------------------------------
LIABILITIES AND EQUITY                                                      
Current liabilities                                                         
  Accounts payable (note 21)                             2,265         2,083
  Debt (note 23b)                                        1,848           196
  Current income tax liabilities                            41           306
  Other current liabilities (note 22)                      261           326
----------------------------------------------------------------------------
Total current liabilities                                4,415         2,911
----------------------------------------------------------------------------
                                                                            
Non-current liabilities                                                     
  Debt (note 23b)                                       12,095        13,173
  Provisions (note 25)                                   2,812         2,326
  Deferred income tax liabilities (note 28)              2,602         4,231
  Other liabilities (note 27)                              850           689
----------------------------------------------------------------------------
Total liabilities                                       22,774        23,330
----------------------------------------------------------------------------
Equity                                                                      
Capital stock (note 29)                                 17,926        17,892
Retained earnings                                        3,142         4,562
Accumulated other comprehensive income                     463           595
Other                                                      314           314
----------------------------------------------------------------------------
Total equity attributable to Barrick Gold                                   
 Corporation shareholders                               21,845        23,363
  Non-controlling interests (note 30)                    2,663         2,191
----------------------------------------------------------------------------
Total equity                                            24,508        25,554
----------------------------------------------------------------------------
Contingencies and commitments (notes 16 and 34)                             
----------------------------------------------------------------------------
Total liabilities and equity                     $      47,282 $      48,884
----------------------------------------------------------------------------
The notes to these unaudited consolidated financial statements, which are   
contained in the Fourth quarter and Year-end report, available on our       
website, are an integral part of these consolidated financial statements.   
                                                                            
                                               
                             
Consolidated Statements of Changes in Equity                                
                                                                          
                                     Attributable to equity holders of the
Barrick Gold Corporation                            company               
--------------------------------------------------------------------------
                                                                          
                                                              Accumulated 
                              Common                                other 
                              Shares                        comprehensive 
(in millions of United           (in    Capital   Retained         income 
 States dollars)          thousands)      stock   earnings      (loss)(1) 
--------------------------------------------------------------------------
At January 1, 2012         1,000,423 $   17,892 $    4,562  $         595 
--------------------------------------------------------------------------
 Net loss                          -          -       (665)             - 
 Total other                                                              
  comprehensive loss               -          -         (5)          (132)
--------------------------------------------------------------------------
 Total comprehensive                                                      
  loss                             - $        - $     (670) $        (132)
--------------------------------------------------------------------------
 Transactions with                                                        
  owners                                                                  
  Dividends                        -          -       (750)             - 
  Issued on exercise of                                                   
   stock options                 685         18          -              - 
  Recognition of stock                                                    
   option expense                  -         16          -              - 
  Funding from non-                                                       
   controlling interests           -          -          -              - 
  Other decrease in non-                                                  
   controlling interests           -          -          -              - 
--------------------------------------------------------------------------
 Total transactions with                                                  
  owners                         685 $       34 $     (750) $           - 
--------------------------------------------------------------------------
At December 31, 2012       1,001,108 $   17,926 $    3,142  $         463 
--------------------------------------------------------------------------
                                                                          
--------------------------------------------------------------------------
At January 1, 2011           998,500 $   17,820 $      609  $         729 
--------------------------------------------------------------------------
 Net income                        -          -      4,484              - 
 Total other                                                              
  comprehensive loss               -          -        (22)          (134)
--------------------------------------------------------------------------
 Total comprehensive                                                      
  loss                             - $        - $    4,462  $        (134)
--------------------------------------------------------------------------
 Transactions with                                                        
  owners                                                                  
  Dividends                        -          -       (509)             - 
  Issued on exercise of                                                   
   stock options               1,923         57          -              - 
  Recognition of stock                                                    
   option expense                  -         15          -              - 
  Funding from non-                                                       
   controlling interests           -          -          -              - 
  Other decrease in non-                                                  
   controlling interests           -          -          -              - 
--------------------------------------------------------------------------
 Total transactions with                                                  
  owners                       1,923 $       72 $     (509) $           - 
--------------------------------------------------------------------------
At December 31, 2011       1,000,423 $   17,892 $    4,562  $         595 
--------------------------------------------------------------------------
 
                                                                            
                          Attributable to equity                            
Barrick Gold Corporation  holders of the company                            
----------------------------------------------------------------------------
                                                                            
                                     Total equity                           
                                     attributable           Non-            
(in millions of United                         to    controlling      Total 
 States dollars)           Other(2)  shareholders      interests     equity 
----------------------------------------------------------------------------
At January 1, 2012       $      314 $      23,363  $       2,191 $   25,554 
----------------------------------------------------------------------------
 Net loss                         -          (665)           (12)      (677)
 Total other                                                                
  comprehensive loss              -          (137)             -       (137)
----------------------------------------------------------------------------
 Total comprehensive                                                        
  loss                   $        - $        (802) $         (12)$     (814)
----------------------------------------------------------------------------
 Transactions with                                                          
  owners                                                                    
  Dividends                       -          (750)             -       (750)
  Issued on exercise of                                                     
   stock options                  -            18              -         18 
  Recognition of stock                                                      
   option expense                 -            16              -         16 
  Funding from non-                                                         
   controlling interests          -             -            505        505 
  Other decrease in non-                                                    
   controlling interests          -             -            (21)       (21)
----------------------------------------------------------------------------
 Total transactions with                                                    
  owners                 $        - $        (716) $         484 $     (232)
----------------------------------------------------------------------------
At December 31, 2012     $      314 $      21,845  $       2,663 $   24,508 
----------------------------------------------------------------------------
                                                                            
----------------------------------------------------------------------------
At January 1, 2011       $      314 $      19,472  $       1,745 $   21,217 
----------------------------------------------------------------------------
 Net income                       -         4,484             53      4,537 
 Total other                                                                
  comprehensive loss              -          (156)             -       (156)
----------------------------------------------------------------------------
 Total comprehensive                                                        
  loss                   $        - $       4,328  $          53 $    4,381 
----------------------------------------------------------------------------
 Transactions with                                                          
  owners                                                                    
  Dividends                       -          (509)             -       (509)
  Issued on exercise of                                                     
   stock options                  -            57              -         57 
  Recognition of stock                                                      
   option expense                 -            15              -         15 
  Funding from non-                                                         
   controlling interests          -             -            403        403 
  Other decrease in non-                                                    
   controlling interests          -             -            (10)       (10)
----------------------------------------------------------------------------
 Total transactions with                                                    
  owners                 $        - $        (437) $         393 $      (44)
----------------------------------------------------------------------------
At December 31, 2011     $      314 $      23,363  $       2,191 $   25,554 
----------------------------------------------------------------------------
(1) Includes cumulative translation adjustments as at December 31, 2012: $13
    million (2011: $22 million loss).                                       
(2) Includes additional paid-in capital as at December 31, 2012: $276       
    million (December 31, 2011: $276 million) and convertible borrowings -  
    equity component as at December 31, 2012: $38 million (December 31,     
    2011: $38 million). The notes to these unaudited consolidated financial 
    statements, which are contained in the Fourth quarter and Year-end      
    report, available on our website, are an integral part of these         
    consolidated financial statements.                                      
 

 
CORPORATE OFFICE                       TRANSFER AGENTS AND REGISTRARS       
Barrick Gold Corporation               CIBC Mellon Trust Company            
Brookfield Place, TD Canada Trust      c/o Canadian Stock Transfer Company  
Tower                                  Inc.,                                
Suite 3700                             as administrative agent              
161 Bay Street, P.O. Box 212           P.O. Box 700, Postal Station B       
Toronto, Canada   M5J 2S1              Montreal, Quebec, Canada  H3B 3K3    
Tel: (416) 861-9911   Fax: (416) 861-  or                                   
0727                                                                        
Toll-free throughout North America:    American Stock Transfer & Trust      
1-800-720-7415                         Company, LLC                         
Email: investor@barrick.com            6201 - 15 Avenue                     
Website: www.barrick.com               Brooklyn, NY   11219                 
                                       Tel: 1-800-387-0825                  
SHARES LISTED                          Toll-free throughout North America   
ABX - The New York Stock Exchange      Fax: (416) 643-5501 or 1-888-249-6189
The Toronto Stock Exchange             Email: inquiries@canstockta.com      
                                       Website: http://www.canstockta.com/  
                                                                            
INVESTOR CONTACT                       MEDIA CONTACT                        
Greg Panagos                           Andy Lloyd                           
Senior Vice President                  Director                             
Investor Relations and Communications  Media Relations                      
Tel: (416) 309-2943                    Tel: (416) 307-7414                  
Email: gpanagos@barrick.com            Email: alloyd@barrick.com            

 
CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION 
Certain information contained or incorporated by reference in this
Fourth Quarter and Year-End Report 2012, including any information as
to our strategy, projects, plans or future financial or operating
performance, constitutes "forward-looking statements". All
statements, other than statements of historical fact, are
forward-looking statements. The words "believe", "expect",
"anticipate", "contemplate", "target", "plan", "intend", "continue",
"budget", "estimate", "may", "will", "schedule" and similar
expressions identify forward-looking statements. Forward-looking
statements are necessarily based upon a number of estimates and
assumptions that, while considered reasonable by the Company, are
inherently subject to significant business, economic and competitive
uncertainties and contingencies. Known and unknown factors could
cause actual results to differ materially from those projected in the
forward-looking statements. Such factors include, but are not limited
to: fluctuations in the spot and forward price of gold and copper or
certain other commodities (such as silver, diesel fuel and
electricity); diminishing quantities or grades of reserves; the
impact of inflation; changes in national and local government
legislation, taxation, controls, regulations, expropriation or
nationalization of property and political or economic developments in
Canada, the United States and other jurisdictions in which the
Company does or may carry on business in the future; the impact of
global liquidity and credit availability on the timing of cash flows
and the values of assets and liabilities based on projected future
cash flows; increased costs, delays and technical challenges
associated with the construction of capital projects; fluctuations in
the currency markets;
changes in U.S. dollar interest rates; risks arising from holding
derivative instruments; risk of loss due to acts of war, terrorism,
sabotage and civil disturbances; business opportunities that may be
presented to, or pursued by, the Company; our ability to successfully
integrate acquisitions or complete divestitures; operating or
technical difficulties in connection with mining or development
activities; employee relations; availability and increased costs
associated with mining inputs and labor; litigation; the speculative
nature of mineral exploration and development, including the risks of
obtaining necessary licenses and permits; adverse changes in our
credit rating; contests over title to properties, particularly title
to undeveloped properties; and the organization of our previously
held African gold operations and properties under a separate listed
company. In addition, there are risks and hazards associated with the
business of mineral exploration, development and mining, including
environmental hazards, industrial accidents, unusual or unexpected
formations, pressures, cave-ins, flooding and gold bullion or copper
cathode losses (and the risk of inadequate insurance, or inability to
obtain insurance, to cover these risks). Many of these uncertainties
and contingencies can affect our actual results and could cause
actual results to differ materially from those expressed or implied
in any forward-looking statements made by, or on behalf of, us.
Readers are cautioned that forward-looking statements are not
guarantees of future performance. All of the forward-looking
statements made in this Fourth Quarter and Year-End Report 2012 are
qualified by these cautionary statements. Specific reference is made
to the most recent Form 40-F/Annual Information Form on file with the
SEC and Canadian provincial securities regulatory authorities for a
discussion of some of the factors underlying forward-looking
statements. 
The Company disclaims any intention or obligation to update or revise
any forward-looking statements whether as a result of new
information, future events or otherwise, except as required by
applicable law.
Contacts:
INVESTOR CONTACT: Greg Panagos
Senior Vice President
Investor Relations and Communications
(416) 309-2943
gpanagos@barrick.com 
MEDIA CONTACT: Andy Lloyd
Director, Media Relations
(416) 307-7414
alloyd@barrick.com
 
 
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