Gold on the verge of another record high? We take a closer look at Barrick Mining, LAURION Mineral Exploration, and Newmont

Barrick Mining – Why the gold giant is shining at record prices

Gold prices have recently corrected and are in the process of forming a bottom in preparation for the next jump. Barrick Mining appears to be well-positioned to benefit from rising gold prices. The Company is currently experiencing a phase of rapidly increasing profitability, confirmed by the latest quarterly figures. The adjusted profit margin climbed from 17.6% to 21.7%. A particular achievement was earnings per share of USD 0.47, the highest figure since 2013. This improved financial health allows Barrick to reward shareholders directly; in the last quarter, USD 268 million was spent on share buybacks.

While gold is the main driver, copper is emerging as a second strong pillar at Barrick. The Reko Diq project will fundamentally change the Company's product range. The deposit contains enormous resources, half of which, 26 million ounces of gold and 7.5 million tons of copper, belong to Barrick in the joint venture. At the current copper price of around USD 10,000/t, these copper deposits alone are worth around USD 37.5 billion. Since copper, as an industrial metal, often moves independently of gold, this diversification offers valuable protection for financial results should the gold market ever slump.

The long-term fundamentals for both metals remain intact. Gold is supported by ongoing fiscal imbalances and loose monetary policy by major central banks, which are diluting the value of paper money. The IMF's forecast that global government debt will reach 100% of GDP by the end of the decade underscores this trend. The outlook for copper is also robust, driven by global electrification. Electric vehicles require up to 80 kg of copper per vehicle. Despite economic risks, long-term demand drivers from emerging markets outweigh these risks. For Barrick, which benefits from both metals, this is an ideal mix. The stock is currently trading at USD 32.43.

LAURION Mineral Exploration – Gaining momentum

High gold prices are bringing explorers back into the spotlight of investors. One company that can point to concrete progress in this environment is LAURION Mineral Exploration Inc. At the end of October, the Company launched a targeted 1,700 m drill program at its 100% owned Ishkōday project in Ontario. This program focuses on the A Zone and the McLeod Zone, two areas that have been little explored to date but where promising gold and base metal mineralization has already been identified. The aim is to better understand the continuity of mineralization in this 6.0 km by 2.5 km corridor and to lay the foundation for future resource estimates.

Recent results from September and October highlight the project's potential. LAURION reported spectacular sampling results in October from the Cyril Knight Showing Zone, another part of the Ishkōday project. One sample, CK-L49, returned a whopping 32.47 g/t gold over 1.90 m, including a 0.90 m interval grading 67.80 g/t gold. This was the first modern channel sampling program in the area and not only confirms historical reports but also identifies new high-grade zones. Such results provide valuable data for the Company's growing 3D model and show that the western end of the project also has significant exploration potential.

For the coming year, the Company is already planning an expanded multi-phase drilling program of 7,000-10,000 m to more accurately define the near-surface resources. A strategic milestone beyond the project work was the listing approval for the Frankfurt Stock Exchange, announced on October 23. LAURION's shares are now traded there under the symbol "5YD," in addition to the existing listing in Toronto. This step significantly expands the Company's visibility and opens up more direct access to the European capital market. What speaks in favor of the stock is the high percentage held by management, family, and friends, which is around 73.6%. The share is currently trading at CAD 0.345.

Newmont - Strong balance sheet in a turbulent environment

Newmont Corporation demonstrated impressive financial strength in the third quarter. The Company generated quarterly cash flow of USD 1.6 billion and USD 4.5 billion over the last nine months. These record figures were achieved through strict cost control, including a 15% reduction in administrative and general expenses. In addition, Newmont has become virtually debt-free after repaying USD 2 billion in liabilities this quarter. This solid foundation, coupled with a distribution of USD 823 million to shareholders, underscores the Company's financial discipline. For investors, this is a reassuring starting point, even though gold production was down.

Gold production for the quarter was approximately 1.42 million ounces, a 15% decline year-on-year, due primarily to extensive asset sales. The new Ahafo North Mine in Ghana will make a significant difference in the long term, with a projected output of 250,000 to 300,000 ounces per year. However, its actual job is initially to compensate for the losses at the larger Ahafo South Operation. The new mine is therefore mainly holding its own rather than driving business growth. Production for 2026 is expected to be at the lower end of the forecast. It is interesting to note that management has indicated that high gold prices will not translate directly into profits, as rising taxes would eat into part of the margin.

Despite the operational headaches, Newmont's current valuation presents a paradox. The Company is trading below the sector median and appears attractive from a cash flow perspective. DCF calculations based on current analyst estimates suggest that the intrinsic value of the stock is well above the current price. The real question for investors is therefore not short-term production, but the long-term environment for gold. If the precious metal continues its upward trend, Newmont will benefit disproportionately thanks to its debt-free balance sheet and massive cash generation. The current setback could thus prove to be an entry opportunity. The share is currently trading at USD 80.19.

The gold environment remains intact with a weak US dollar and strong central bank purchases. Barrick Mining benefits from rising margins and copper diversification. LAURION Mineral Exploration is pushing ahead with exploration in Ontario with promising drill results and expanding its reach through its listing in Frankfurt. Newmont, on the other hand, impresses with a debt-free balance sheet and massive cash generation despite temporary production decline.