Performance Improvement at Bulyanhulu

Kahama Mining Corporation Limited (KMCL), a wholly owned subsidiary of Barrick Gold Corporation, operates the Bulyanhulu gold mine. The operation has been in commercial production since April 2001 and is the first modern underground mine to be developed on the Lake Victoria goldfield in Tanzania. Bulyanhulu is located in a major mineralised system along an emerging gold trend. This area, the Lake Victoria Greenstone belt, has been the focus of significant exploration and development programs since 1994, with over 34 million ounces of gold having been discovered and four new mines commissioned. The Bulyanhulu project has accounted for just over a third of the gold resources discovered during this period. From an initial exploration program, which outlined a resource of 1.37 million ounces of gold, Bulyanhulu now hosts a reserve of some 12 million ounces in a resource base, the limits of which are, as yet, undefined. The Bulyanhulu property is located approximately 56 km south of Lake Victoria, in northwestern Tanzania, eastern Africa. A Mining Licence issued by the Government of Tanzania on July 23, 1999 grants to KMCL the exclusive right to mine a concession area covering 51.48 km2. The property is reached via a 75-km road from the main road to Dar es Salaam. The nearest towns are Mwanza to the north on Lake Victoria, 155 km by road and ferry, Kahama, 86 km by road to the south and Isaka, 126 km by road. Isaka is on the rail line between Mwanza and Dar es Salaam and has facilities to receive heavy equipment, and a fuel depot. A gravel airstrip, 1,700 m long has been constructed at the property.