Goldcorp Inc. and Barrick Gold Corp., the largest producers of the metal by market value, are trying to sell their jointly owned Marigold mine in Nevada, according to two people with knowledge of the sale process.
Bank of Montreal is running the sale, which is expected to fetch at least $200 million, said the people, who asked not to be named because the process hasn’t been made public. Goldcorp, based in Vancouver, owns 67 percent of Marigold and Toronto-based Barrick owns the rest.
Gold miners are seeking to cut costs and focus on their most profitable operations after the metal slumped into a bear market in April. Barrick, the world’s largest producer by sales, sold three Australian mines this year and Chief Executive Officer Jamie Sokalsky said Sept. 24 the company is in talks to sell more assets.
Andy Lloyd, a Barrick spokesman, and Pav Jordan, a spokesman for Bank of Montreal’s BMO Capital Markets investment-banking unit, declined to comment on the sale. Goldcorp spokeswoman Christine Marks also declined to comment.
Barrick rose 0.4 percent to C$19.01 at 9:35 a.m. in Toronto, while Goldcorp increased 0.1 percent to C$25.93.
Marigold is located about 40 miles (64 kilometers) southeast of Winnemucca, Nevada. It produced about 81,000 ounces of gold in the first six months of this year, based on data published on Barrick’s website and in Goldcorp filings.
Goldcorp produced a total of 2.4 million ounces in 2012 while Barrick produced 7.42 million ounces.