Escalating Dispute with Partner Threatens Barrick's Key Listing Strategy

Barrick Gold faces a 'Notice of Default' from partner Newmont over Nevada Gold Mines, casting uncertainty on its planned 2026 spin-off of North American assets despite strong Q4 earnings.

A significant rift has emerged between Barrick Gold and its primary joint venture partner, Newmont, casting uncertainty over Barrick's strategic plans. Newmont has formally issued a "Notice of Default" concerning the partners' Nevada Gold Mines (NGM) operation, alleging mismanagement by Barrick. This conflict directly challenges Barrick's intention to spin off its North American gold assets through a public listing by the end of 2026.

Operational Success Meets Cautious Guidance

Financially, Barrick recently reported robust fourth-quarter 2025 results. Adjusted earnings per share reached $1.04, surpassing analyst expectations of $0.90. Revenue saw a substantial 65% year-over-year increase to $6 billion. The company also announced a quarterly dividend of $0.42 per share and authorized a $500 million share buyback program.

Despite these strong figures, the market reaction was tempered by the company's forward-looking statements. Barrick's 2026 production forecast indicates minimal growth, with an expected output of 2.90 to 3.25 million ounces of gold, a level roughly consistent with 2025. The company projected all-in sustaining costs (AISC) between $1,760 and $1,950 per ounce, based on an assumed gold price of $4,500 per ounce.

The Core of the Conflict: Nevada Gold Mines

The formal dispute centers on the Nevada Gold Mines joint venture, established in 2019, where Barrick holds a 61.5% controlling stake and manages daily operations, while Newmont owns 38.5%. The partnership is critically important; RBC analyst Josh Wolfson has previously labeled NGM as Barrick's "crown jewel," estimating it accounts for approximately 60% of the company's total market value.

Newmont's allegations claim that Barrick has diverted resources from the joint venture to benefit its wholly-owned Fourmile project. This accusation, if substantiated, would violate the terms of their partnership agreement and further strain an already tense relationship.

IPO Timeline Faces Potential Delays

This dispute arrives at a sensitive juncture for Barrick's corporate strategy. Following an initial board review in early December 2025, the company confirmed in early February its concrete plans to advance preparations for listing its North American gold portfolio. The targeted assets for this spin-off include stakes in Nevada Gold Mines, the Pueblo Viejo mine, and the Fourmile project.

Newmont is now invoking contractual rights from the joint venture agreement, including transfer restrictions, which could potentially block the planned separation or force a renegotiation of terms. The central question is whether Barrick can proceed with the initial public offering as scheduled. The answer hinges largely on the speed and manner in which the current disagreement with Newmont is resolved.

The path forward depends on whether the two mining giants can swiftly de-escalate this formal dispute or if contractual obstacles will significantly delay the ambitious year-end 2026 listing timeline.