Barrick Gold plans to invest US$35 million in an exploration project in Chile’s Atacama region and continues to optimize the Veladero mine in Argentina. The El Alto project aims to enhance resource potential in Chile. Veladero has exceeded production targets, reflecting effective resource management. Analysts expect gold prices to maintain an upward trend influenced by macroeconomic factors and geopolitical dynamics.
Barrick Gold Corporation, based in Canada, is set to invest US$35 million in an exploration initiative named El Alto, located in Chile’s Atacama region. This project aims to enhance resource potential in the Alto del Carmen area, where Barrick had previously engaged in the Pascua-Lama initiative until its closure in 2020 due to environmental violations. Barrick is seeking approval for deploying 43 drilling platforms in the Andes near the Argentine border, with project commencement planned for July 2026, pending approval from the relevant authorities.
At its Veladero mine in Argentina, Barrick has exceeded production expectations, yielding 505,000 ounces of gold in the previous year, significantly attributed to enhancements in recovery processes. Despite higher royalties prompted by soaring gold prices, the firm’s operational costs were maintained below estimates, showcasing effective resource management at the mine, a joint venture with China’s Shandong Gold.
With expectations for gold prices to continue on an upward trajectory, analysts suggest that geopolitical factors and the Federal Reserve’s monetary policy will play pivotal roles. Antonio Di Giacomo, a financial analyst, notes that persistent economic uncertainty may encourage gold’s demand as a safe-haven asset, particularly if interest rates are reduced.
Barrick Gold is proactively expanding its exploration and production capabilities in Chile and Argentina amidst rising gold prices. The El Alto project in Chile seeks to revitalize previously halted efforts, while Veladero in Argentina demonstrates operational success through management efficiency and production enhancements. The company’s strategies signal optimism regarding future gold market trends, hinging on external economic factors.
Original Source: www.bnamericas.com
