n the dark days of the commodities meltdown, mining companies turned to partnerships to lower costs and survive. Now, as prices recover, they’re hooking up for growth — or at least the possibility of it. Canada’s two biggest gold miners, Barrick Gold Corp. and Goldcorp Inc., are teaming up to develop a gold-copper deposit in Chile as part of a complex chain of transactions.
The cultures of the two companies are, in many ways, opposites. Where Goldcorp has been focused on boosting production, Barrick has repeatedly stressed that its priority is improving cash flow through better margins.
Barrick’s latest joint venture with Goldcorp means it’s off the hook for the initial development costs associated with a large project in the Maricunga mineral belt, in exchange for handing over control of part of the asset. Continue Reading →