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Barrick Gold (NYSE:GOLD) said Friday it was granted a special mining lease for its New Porgera joint venture in Papua New Guinea, clearing the way to restart production at the mine that has been on care and maintenance for three years.
The move follows the signing of a mining development contract and the conclusion of a fiscal stability agreement with the government.
Barrick (GOLD) said New Porgera will meet mine property landowners in the coming week to settle compensation agreements; subject to those agreements, the mine is positioned to restart before the end of this year.
Papua New Guinea stakeholders own 51% of New Porgera, while Barrick Niugini holds 49% and will operate the mine.
Barrick Gold (GOLD) +4.3% in Friday’s trading, as precious metals miners enjoy strong gains with gold climbing above $1,900/oz, riding a safe-haven demand for the metal due to the Israel-Hamas war.
