Newmont and Barrick have decided to launch a joint venture (“JV”) to combine their gold production in Nevada. The state is one of the most prolific gold regions in the world and one in which, together, they currently produce about four million ounces.
The companies’ gold comes from operations scattered within a 100 x 100 mile area centered on the Interstate 80 corridor between Winnemucca and Carlin, Nevada. Within Nevada, Barrick has higher production and lower costs, while Newmont has more processing infrastructure.
We are excited by the extraordinary leadership shown by these companies and the value that this JV will unlock for all stakeholders.
Newmont Mining vs. Barrick Gold
Source: Bloomberg.
About the Author:
Joe Foster has been Portfolio Manager for the VanEck International Investors Gold Fund since 1998 and the VanEck – Global Gold UCITS Fund since 2012. Mr. Foster, an acknowledged authority on gold, has over 10 years of dedicated experience in geology and mining including as a gold geologist in Nevada. He has appeared in The Wall Street Journal, Barron's, and on Reuters, CNBC and Bloomberg TV. Mr. Foster has also published articles in a number of mining journals, including Mining Engineering and Geological Society of Nevada.
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