Barrick Mining (ABX.TO) announced on Monday that it will sell its interests in the Tongon gold mine and other related assets in Ivory Coast to Abidjan-based Atlantic Group in a deal valued at up to $305 million.
The Canadian mining giant makes this move as part of its ongoing effort to strengthen its balance sheet.
Following the announcement, Barrick’s shares rose 3% in morning trading on the Toronto Stock Exchange.
The agreement with Atlantic Group forms part of Barrick’s broader plan to monetize non-core assets in regions where operational costs have been rising, a strategy the company has pursued since its 2019 merger with Africa-focused Randgold Resources.
In recent years, Barrick has been shifting its portfolio toward high-margin, long-life assets, with increasing emphasis on copper and key operations in Africa and the Middle East.
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The deal comes as gold prices remain strong, hovering around $3,900 per ounce, supported by safe-haven demand amid global economic uncertainty and expectations of further interest rate cuts by the US Federal Reserve, according to Reuters.
Tongon, which began production in 2010, has seen its mine life extended beyond the initially planned 2020 closure thanks to successful exploration efforts by Barrick.
The company stated that the agreement includes a cash payment of $192 million, which also covers a $23 million shareholder loan repayment to be made within six months after the transaction closes.
The proceeds from the deal will help Barrick further reinforce its financial position. The transaction is expected to be finalized in late 2025.
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Image Credit: Business Insider Africa
