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Barrick Gold Corp. this week said it will use $1,100 (U.S.) an ounce to calculate its reserves of the metal – well below the current price of $1,268, even after a 28-per-cent decline in 2013.
Barrick Gold Corp. this week said it will use $1,100 (U.S.) an ounce to calculate its reserves of the metal – well below the current price of $1,268, even after a 28-per-cent decline in 2013.
(LEONHARD FOEGER/REUTERS)

Junior gold miner tie-up signals deal freeze may be thawing

The long run-up in gold prices spurred activity in the mining sector, with hundreds of junior players raising morsels of cash from starry-eyed investors to finance their exploration activities. But as prices for the metal faltered in 2012, the easy money dried up, leading to speculation that many of these firms would start merging so they could accumulate enough cash to actually bring some of their properties closer to development.