DENVER--(BUSINESS WIRE)--
Royal Gold, Inc. (NASDAQ:RGLD; TSX:RGL, “Royal Gold”) announced that
Barrick Gold Corporation (“Barrick”) provided an update on June 28,
2013, regarding its Pascua-Lama project in Chile and Argentina. Royal
Gold holds a 0.78% to 5.23% sliding scale net smelter royalty on the
Chilean side of the Pascua Lama project and is not responsible for
capital costs or other costs of the project.
Barrick announced that it has submitted a plan, subject to review by
Chilean regulatory authorities, to construct the project's water
management system in compliance with permit conditions for completion by
the end of 2014, after which Barrick expects to complete remaining
construction works in Chile, including pre-stripping. Barrick intends to
re-sequence construction of the process plant and other facilities in
Argentina in order to target first production by mid-2016 (compared to
the previous schedule of the second half of 2014).
Barrick said it now expects to reduce capital expenditures at
Pascua-Lama for 2013 by approximately $700-$800 million to $1.8-$2.0
billion, and for 2014 by approximately $0.8-$1.0 billion to
approximately $1.0-$1.2 billion.
Barrick also indicated that it is awaiting a decision from the Copiapo
Court of Appeals with respect to a constitutional rights protection
action filed in September 2012 on behalf of four indigenous communities
seeking an order suspending construction of the project in Chile.
In their announcement, the CEO of Barrick stated that “This mine has
significant and strategic value for Barrick shareholders and the
project's host jurisdictions of San Juan Province, Argentina and the
Atacama Region of Chile.”
CORPORATE PROFILE
Royal Gold is a precious metals royalty company engaged in the
acquisition and management of precious metal royalties and similar
interests. The Company’s portfolio consists of 204 properties on six
continents, including interests in 36 producing mines and 21 development
stage projects. Royal Gold is publicly traded on the NASDAQ Global
Select Market under the symbol “RGLD,” and on the Toronto Stock Exchange
under the symbol “RGL.” The Company’s website is located at www.royalgold.com.
Cautionary “Safe Harbor” Statement Under the Private Securities
Litigation Reform Act of 1995: With the exception of historical
matters, the matters discussed in this press release include
forward-looking statements that involve risks and uncertainties that
could cause actual results to differ materially from projections or
estimates contained herein. Such forward-looking statements include
statements regarding the timing of initial production from and capital
costs related to Barrick’s Pascua-Lama project. Factors that could cause
actual results to differ materially from such forward-looking statements
include, among others, Barrick’s ability to bring the project into
production on time and with capital costs in accordance with its revised
budget, the outcome of legal and regulatory proceedings regarding the
project, precious metals prices, economic and market conditions, as well
as other factors described in our Annual Report on Form 10-K, and other
filings with the SEC. Most of these factors are beyond the Company’s
ability to predict or control. The Company disclaims any obligation to
update any forward-looking statement made herein. Readers are cautioned
not to put undue reliance on forward-looking statements.
Source: Royal Gold, Inc.