Barrick gold company (Barrick Gold) on Wednesday reported a 78% increase in first-quarter profit due to higher gold and copper prices, and said it was on track to achieve annual guidance.
Copper prices rose under massive economic stimulus, while gold rose as a hedge against inflation.
Barrick said gold prices rose 11.8 per cent to $1777 an ounce, while gold production fell from 1.25 million ounces to $1.1 million, in part because of the low grade of its Pueblo Viejo mine in the Dominican Republic.
The gold miner said production was expected to be higher in the second half of the year than in the first half, thanks in part to an increase in underground mining at the Bulyanhulu mine in Tanzania and an increase in expected production by Lumwana in Zambia.
Adjusted profit rose 78% to $507 million in the quarter ended march 31, up from $285 million a year earlier.
Revenue from Barrick's copper mines in Chile, Saudi Arabia and Zambia rose 31% from the fourth quarter because of rising prices.
Barrick announced a quarterly dividend of 9 cents a share.
