Barrick Amends, Extends Terms of $3 Billion Revolving Loan and Adds Sustainability Goals; Stocks rise
By Adriano Marchese
Shares of Barrick Gold Corp. rose in early trading Thursday after the company announced it had extended the termination date of its $3 billion revolving loan by one year to May 2027.
As of 10:01 a.m. ET, shares were up 3.8% at C$26.40.
The Canadian miner said it had completed an amendment and restatement of its $3 billion revolving credit facility, which includes an extension to May 2027.
As part of the changes, the company said it replaced the London Interbank Offered Rate, or LIBOR, with the Guaranteed Overnight Funding Rate, also known as SOFR, as the floating rate mechanism linked to the interest rate for any US dollar funds drawn.
Barrick also said it has built sustainability measures into the loan, which consist of annual environmental and social performance targets.
The targets include Scope 1 and Scope 2 greenhouse gas emissions intensity, which are the emissions created by its operations and the energy it produces.
They also include water use efficiency and total recordable injury frequency rate.
Depending on performance against its set targets, Barrick could experience positive or negative pricing adjustments to its credit spreads and fees, he said.
Write to Adriano Marchese at [email protected]