12 Feb 2014

Based on IFRS and expressed in US Dollars (US$)

African Barrick Gold plc ("ABG") reports full year 2013 results

"2013 was a year of significant change within ABG as we undertook a major Operational Review to ensure the business was set up to deliver increasing value in a lower gold price environment," said Brad Gordon, Chief Executive Officer of African Barrick Gold. "We achieved production ahead of guidance and cash costs 10% below guidance with a US$500 per ounce reduction in our all-in sustaining cost ("AISC") compared to Q4 2012. As a result of mine planning changes and lower gold price assumptions we have incurred non-cash impairment charges at a number of our assets, but we expect positive cash flow generation at each of our sites going forward. For 2014 we expect increased production of 650,000 to 690,000 ounces of gold at reduced cash costs of US$740 to US$790 per ounce sold and reduced AISC of US$1,100 to US$1,175 per ounce sold driven by sustainable cost savings and updated mine plans."

Full Year Operational 2013 Highlights

  • Production of 641,931 ounces with full year sales of 649,742 ounces, 3% and 7% respectively, higher than 2012
  • Cash costs2 of US$827 per ounce sold, 12% below 2012
  • All-in sustaining costs2 of US$1,362 per ounce sold, down 14% on 2012
  • Operational Review delivered US$129 million in cost reductions by the end of 2013
  • Rescheduled Buzwagi life of mine plan to enable positive cash flow generation
  • Deferred Gokona Cut 3 at North Mara whilst investigating opportunity to mine underground
  • Bulyanhulu CIL Expansion project construction close to completion, commissioning continuing through Q2 2014
  • As a result of revised life of mine plans and lower future gold price assumptions our total reserve base has reduced by 3.9 million ounces to 12.7 million ounces

Full Year Financial Highlights

  • Revenue of US$929 million and EBITDA2 of US$240 million
  • Deferral of Gokona Cut 3 to drive cash flow led to a year-end non-cash impairment charge of US$96 million at North Mara
  • Total impairment charges of US$823 million for 2013 leading to a net loss of US$781 million for the year
  • Adjusted net earnings2 of US$106 million (US25.9 cents per share)
  • Cash position of US$282 million as at 31 December 2013
  • Proposed final dividend of US2.0 cents per share; total dividend for 2013 of US3.0 cents per share

Results Conference Call
African Barrick Gold ("ABG") will host a presentation for analysts and investors on Wednesday 12 February 2014 at 12:00am GMT.

Downloads FY2013 Preliminary Results
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