Barrick Mining (TSX: ABX; NYSE: B) has filed to take its North American gold business public in New York, advancing a planned share sale that could return cash to investors while leaving the parent in control.
The new company, American Barrick Gold, expects to pay an annual base dividend of $1.25 billion (C$1.77 billion), distributed quarterly to its shareholders, the company disclosed Tuesday. Payments would remain subject to board approval and financial conditions.
Barrick’s filing “highlights American Barrick Gold as a pure-play gold producer with low geopolitical risk, producing about 2 million oz. at about $1,800 per oz. of all-in sustaining costs with a 20-year reserve life,” Scotia Capital mining analyst Tanya Jakusconec said in a note published late Tuesday.
The filing gives investors a clearer view of the assets behind Barrick’s proposed separation. Barrick’s Fourmile mine in Nevada offers future growth, but the larger development scenario carries a much higher construction bill and relies heavily on inferred resources.
Joint venture
The new company would hold Barrick’s 61.5% interest in the Nevada Gold Mines joint venture and 60% of the Pueblo Viejo mine in the Dominican Republic. Newmont (NYSE, ASX: NEM) is the partner in both operations.
Nevada Gold Mines accounted for 81% of Barrick’s 2025 attributable production. American Barrick will be based in Henderson, Nevada.
The filing follows an August agreement to contribute Barrick’s Fourmile project and Newmont’s Mike and Fiberline properties to Nevada Gold Mines. Newmont agreed to pay Barrick $1.95 billion while leaving their joint venture ownership split unchanged. The agreement also secured Newmont’s consent to the listing, Barrick said Monday.
“Today’s filing provides greater visibility into Nevada Gold Mines’ growth outlook and Fourmile’s development potential,” National Bank Financial mining analyst Shane Nagle said in a note.
Costs climb
Fourmile’s preliminary capital estimate has risen to about $2.6 billion from $1.5 billion–$1.7 billion in the 2025 assessment, according to the filing. The larger scenario envisages annual output of 750,000–850,000 oz. at full production in 2034, versus 600,000–750,000 oz. previously.
Estimated all-in sustaining costs rose to $850–$950 per ounce from $650–$750. Those figures use gold prices of $3,568 and $2,585 per oz., respectively, BMO Capital Markets mining analyst Matthew Murphy said in a note late Tuesday.
About 83% of the resources in the larger economic scenario are inferred, a category too uncertain to support mineral reserves. The assessment remains preliminary and doesn’t represent a construction commitment, American Barrick said.
Using its long-term gold price of $4,000 per oz., BMO calculates Fourmile’s net asset value at $13.5 billion on a 100% basis, above the $10 billion it carries in its model. Excluding inferred resources reduces that sensitivity value to about $1.6 billion, Murphy said.
Proceeds and control
American Barrick plans to seek a New York Stock Exchange listing under ABGC, with Barrick retaining majority ownership. The number of shares and offering price have yet to be set, and the registration statement hasn’t become effective, Barrick said.
Part of the proceeds would repay a note issued to Toronto-based parent Barrick, with the remainder for general corporate purposes. While Barrick expects to return the proceeds it receives to its shareholders, it hasn’t specified the size or form of those returns.
American Barrick also aims to pay special dividends from excess free cash flow after reinvestment and growth spending. Its framework targets $1 billion of net cash, with $2 billion of flexibility either side. Payouts remain at the board’s discretion.
2026 goal
CEO Mark Hill, who will lead American Barrick, said Monday that the offering could close this year or in early 2027, depending on the securities regulator’s review.
“We’re still trying to get this done this year but it may slide into January,” Hill told analysts on the conference call.
Goldman Sachs, Bank of America Securities, Citigroup and RBC Capital Markets will lead the IPO, according to the filing.
Barrick shares fell 0.4% to C$56.21 Wednesday morning in Toronto, valuing the company at about C$92 billion ($66 billion). The stock has traded between C$45.28 and C$74 over the past year.
Source: www.northernminer.com — article syndicated from the publisher’s feed; all rights remain with the original publisher.
