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Workers walk through Africa Barrick Gold’s Bulyanhulu mine in northwest Tanzania. Barrick is labouring under a $12-billion (U.S.) debt load.
Workers walk through Africa Barrick Gold’s Bulyanhulu mine in northwest Tanzania. Barrick is labouring under a $12-billion (U.S.) debt load.
(Barrick/)

Barrick and Newmont: Wounded warriors running out of options

Three years ago the merger of Barrick Gold Corp. and Newmont Mining Corp. would have created a bullion behemoth worth marvelling over.

Today the proposed combination looks more like two wounded warriors working together to find the helicopter that will airlift them out of battle.

Barrick’s woes have been analyzed to death here in Canada. The gold giant had too much debt, too many far-flung assets, and too many capital expenditures to withstand a sudden gold price correction.