Income from Barrick down, Horsham says

Due to the dilution of its ownership position in American Barrick Resources (TSE) of Toronto, The Horsham Corp.’s (TSE) share in the gold producer’s income declined this year.

Horsham reported first quarter net earnings before extraordinary items of $1.9 million or 3 cents per share compared to $1.6 million or 3 cents per share in the same period last year.

First quarter revenues were up to $2.9 million from $1.6 million in the first three months of 1987. Revenues for the first quarter resulted from the sale of securities, the collection of interest and principal in excess of the carrying value of a mortgage and increased investment income, Horsham said.

Extraordinary items in 1988 were a $612,000 increase in the carrying value of Horsham’s investment in Barrick and the recovery of $291,000 in tax recovery carry forwards.

As a result of exploration successes at the Goldstrike mine in Nevada, Barrick’s gold reserves were up 30% to 17.5 million oz from the previous quarter. After producing 59,215 oz in the first three months of 1988, Barrick is well on the way to producing 325,000 oz this year.