Barrick Mining to sell Alturas project in Chile

Executive Summary

• Barrick Mining Corp. agreed to sell its Alturas project in Chile to a subsidiary of Boroo Pte. Ltd. for an upfront cash payment of $50 million.
• The deal includes a 0.5% net smelter return royalty on gold and silver production, terminating after 2 million ounces of gold‑equivalent are produced; Boroo may repurchase the royalty within four years for $10 million.
• Proceeds will be used to strengthen Barrick’s balance sheet, fund future investments, and support shareholder returns; transaction expected to close in Q3 2025 pending customary conditions.

Key Details

• Purchase Price: $50 million cash paid at closing.
• Royalty Terms: 0.5% net smelter return on gold and silver produced from Alturas; terminates after cumulative production of 2 million ounces Au‑eq.
• Buy‑back Option: Boroo may repurchase the royalty within four years for $10 million.
• Structure: Sale executed via acquisition of all shares of Compania Minera Salitrales SpA, Barrick’s Chilean subsidiary that holds the Alturas project.
• Use of Proceeds: Strengthen balance sheet, invest in future projects, and support shareholder return initiatives.
• Closing Timeline: Expected completion in Q3 2025, subject to customary closing conditions.
• Advisors: Southern Cone Partners (financial adviser); Davies Ward Phillips & Vineberg LLP and Dentons (Santiago) (legal counsel).
• Strategic Rationale: Aligns with Barrick’s focus on long‑life Tier 1 gold and copper operations; divestiture of non‑core asset to fund priority growth projects.

Notable Quotes

“This agreement allows Barrick to exit Alturas at an attractive valuation while giving Boroo the opportunity to pursue the development of the project… We are confident that, as demonstrated by their successful acquisition of Lagunas Norte from Barrick in 2021 and ongoing operations, Boroo will be excellent stewards of Alturas.” – Mark Bristow, President & CEO, Barrick Mining Corp.