Barrick Agreed to Sell Tongon Mine Interests to Atlantic Group

The deal is expected to close later during the year. It is subject to regulatory approvals and satisfaction of customary closing conditions.

SEATTLE (Scrap Monster): Barrick announced that it has signed an agreement to sell its interests in the Tongon gold mine and certain of its exploration properties in Cote d’Ivorie to the Atlantic Group for a total consideration of up to $305 million.

The $192 million cash payment for the transaction includes prospective cash payments of up to $113 million and a $23 million shareholder loan repayment that is due within six months of closing.

It is anticipated that the deal will close later this year. Regulatory clearances and the fulfillment of standard closure requirements are prerequisites.

Barrick Announced Strategic Step to Strengthen Pueblo Viejo Mine Operations

The revenues from the transaction will be utilized to further improve the company's balance sheet and support its commitment to continue providing support to its shareholders, according to a news statement from Barrick.

The purchase, meantime, is a significant move for Atlantic Group since it will enable the business to increase its stake in the lucrative Cote d'Ivoire mining sector.

In 2020, Barrick had initially intended to shut down the Tongon mine. Nevertheless, continued exploration success prolonged the mine's life. In the previous year, the mine produced about 148,000 ounces of gold. According to statistics, the mine now has 700,000 ounces of measured and indicated resources and 620,000 ounces of proved and probable reserves.