Barrick Gold, Kinross Gold slash dividends but shares rise

|About: Barrick Gold Corporation (ABX)|By:, SA News Editor

Barrick Gold's (ABX +1.3%) 75% dividend cut to $0.05/share, down from $0.20, saves ~$600M/year and will help a balance sheet is loaded down with debt; analysts widely expected the reduction to help preserve liquidity at weaker gold prices.

The move comes just hours after Kinross Gold (KGC +0.2%) suspended its dividend altogether, saving ~$182M/year.

Shares of both miners open higher after posting solid results from an operational standpoint after massive impairments and cut its cost guidance for both gold and copper production. (ABX Q2 results; KGC Q2 results)