Barrick’s copper mill construction in Zambia nearing completion

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The on-schedule construction of a copper mill in Zambia by Barrick Mining as part of the Lumwana expansion project is heading for completion in the fourth quarter (Q4) of this year, the New York and Toronto-listed gold and copper producing Barrick reported on Monday, November 9.
Since inception, $795-million capital has been spent to date with total expected project capital remaining on target at $2-billion.
First copper is expected at the end of the first quarter of 2028 with the expansion project doubling production to 240 000 tons a year (t/y) from the current 117 000 t/y.
All major long-lead equipment has been procured, and the mill shells and trunnions, primary crusher, and tailings thickener are already on site.
The primary crusher's third level is nearly complete, work on the tailings storage facility is expected to commence in Q4 2026, and the last mill wall lifts are expected to be completed in in the same quarter.
Lumwana's life of mine at the expanded production levels is 30 years.
In the three months to September 30, Barrick produced 50 000 t of copper, which with the 816 000 oz of gold generated $5.07-billion in revenue, $2.49-billion in operating cash flow, $1.80-billion in attributable operating cash flow, and $0.64-billion in attributable free cash flow.
Net earnings per share for the quarter were a 5%-higher $0.80, and adjusted net earnings per share were a 41%-higher $0.82 compared with Q3 2025.
"We remain on track to achieve our full-year production guidance," Barrick president and CEO Mark Hill stated in a release to Mining Weekly.
Barrick continues to expect 2026 gold production to be 2.90-million ounces to 3.25-million ounces and copper production remains unchanged at 190 000 t to 220 000 t.
Guidance is based on an oil price assumption of $70 per barrel. For every $10 per barrel change in the oil price, the direct impact on costs associated with diesel consumption is about $12/oz across Barrick's gold operations, and $0.04/lb across its copper operations.
Total attributable capital expenditure was reduced from $3.8-billion to $4.2-billion on lower anticipated spending at the Reko Diq project, one of the largest undeveloped copper-gold projects in the world. Barrick owns 50% of Reko Diq and three federal state-owned enterprises own 25%. Of the remaining 25% owned by government of Balochistan, 15% is on a fully funded basis and 10% on a free carried basis.
THIRD-QUARTER COSTS
Gold's cost of sales for Q3 2026 was $1 950/oz, up from the $1 562/oz for the corresponding period of last year, primarily reflecting lower grades processed, higher royalties associated with increased realised gold prices, and elevated diesel prices.
Total cash costs increased to $1 386/oz from $1 137/oz and all-in sustaining costs (AISC) increased to $1 911/oz from $1 538/oz primarily reflecting the same cost pressures, as well as higher sustaining capital expenditures.
Copper's cost of sales rose to $3.65/lb, C1 cash costs to $2.76/lb and AISC to $4.52/lb on higher diesel prices, and local currency appreciation, particularly in labour costs.
Third-quarter net earnings of $1.32-billion compared with $1.30-billion last year while adjusted net earnings were $1.35-billion compared with $0.98-billion.
Revenue increased 22% year-on-year to $5.07-billion, earnings before interest tax depreciation and amortisation (Ebitda) increased 13% to $3.22-billion, and attributable adjusted Ebitda 22% to $2.47-billion. Operating cash flow totaled $2.49-billion and attributable free cash flow was $0.64-billion.