Barrick Mining Shifts Strategy Toward Acquisitions and North American Focus Amid Production Decline
Barrick Mining Reverses Expansion Strategy, Targets Acquisitions and North American Assets After 17% Output Drop
Barrick Mining (TSX: ABX) (NYSE: B) is shifting its corporate strategy away from high-risk international expansion and back toward acquisitions, marking a significant reversal of its previous decade-long growth approach across Africa and Asia.
Chairman John Thornton outlined the strategic pivot in a shareholder letter on Wednesday, his first major public statement since the company replaced former CEO Mark Bristow in September and announced plans to restructure key North American operations.
Thornton said the company believes its shares remain undervalued and that a more focused asset base could enhance investor confidence and long-term value creation.
The Toronto-based miner, the world’s third-largest gold producer, is preparing to list a new company that will hold its Nevada joint venture, the Fourmile discovery, and the Pueblo Viejo gold mine in the Dominican Republic. The listing is expected to be completed by the end of 2026.
This restructuring follows a period of operational challenges and leadership changes, including the appointment of Mark Hill as CEO earlier this year after Bristow’s abrupt departure.
“For many years, we have viewed our shares as undervalued,” Thornton said. “North American Barrick will be the most attractive pure gold company in the world, located in the most attractive jurisdiction, with the strongest proven growth pipeline.”
Production decline and operational pressures
The strategic shift comes after a notable decline in production, with output falling 17% in 2025 to 3.26 million ounces the lowest level in at least 25 years.
The company has faced multiple headwinds, including geopolitical instability, rising operational costs, and project delays.
One of the most significant disruptions has been the seizure of a key asset in Mali by the country’s military government, underscoring the risks associated with operating in politically unstable jurisdictions.
Return to mergers and acquisitions
Barrick’s renewed focus on mergers and acquisitions marks its first major strategic shift in deal-making since its 2019 merger with Randgold Resources, which brought Bristow into leadership of the combined entity.
The company had previously explored acquiring First Quantum Minerals in 2023 and 2024, though those discussions did not result in a transaction.
Thornton indicated that future acquisitions would prioritize “tier one” assets large, long-life, low-cost operations capable of anchoring stable production and cash flow.
Scaling back high-risk exposure
The strategic repositioning also reflects a broader withdrawal from challenging jurisdictions.
Barrick has recently flagged rising costs and heightened security risks at its Reko Diq copper project in Pakistan, prompting a more cautious development approach and scaling back earlier expansion ambitions.
Industry-wide recalibration
Barrick’s pivot reflects a wider trend across the global mining sector, where major producers are reassessing geopolitical exposure, capital discipline, and portfolio quality after years of aggressive expansion into higher-risk regions.
The shift signals a renewed emphasis on asset quality, operational stability, and shareholder returns over geographic diversification.
