Barrick Gold Raises Dividend 33%
Investing in gold (GLD) or Barrick Gold (ABX) has proven to be smart since the recent recession. Today, Barrick released earnings and provided another reason to like the company. They raised the dividend to .20 from .15 for a 33% increase. Barrick's strong earnings and operating cash flows, combined with its positive outlook on the gold price, enables the company to continue to make high return investments in its project pipeline and also increase its dividend. Over the last six years, Barrick has been returning more capital to shareholders, increasing its dividend by more than 260%.
"We made good progress on a number of areas in the quarter," stated Aaron Regent, Barrick's President and Chief Executive Officer. "We had good operating performance, which translated into solid financial results and further advanced our projects under construction with Pueblo Viejo and Jabal Sayid to start producing this year and Pascua-Lama in the middle of next year. We also progressed our exploration program, which continues to increase our resource base, improved our liquidity and returned more capital back to shareholders with a further increase in our dividend."
Barrick is the largest gold producer. They have 26 operating mines, advanced exploration and development projects located across five continents. The Company also has the largest reserves in the gold industry, with about 140 million ounces of proven and probable gold reserves. In addition, Barrick has 12.7 billion pounds of copper reserves and 1.07 billion ounces of silver contained within gold reserves as of December 31, 2011.