* Barrick's five-year plan sees flat output
* Shares rise 2% in Toronto
* Dividend up 25% q-on-q (Updates with detail, quotes)By Arundhati Sarkar and Zandi ShabalalaBENGALURU/LONDON, Nov 6 (Reuters) - Barrick Gold Corpon Wednesday reported higher third-quarterprofits that beat analysts' estimates and raised its dividendwhile reiterating a five-year production plan.The world's second largest gold producer also said it wouldbe at the top end of its production targets for the year and thelower end of cost estimates.
In its five-year plan, Barrick plans to mine 5.1-5.6 millionounces of gold annually at an all-in-sustaining cost of atbetween $850-$950 per ounce.Helped by a stronger gold price, Barrick raised itsquarterly dividend by 25% to $0.05 per share, pushing itsToronto-listed shares up around 4%. Shares in Barrick are up 20%so far this year."We are lifting the base of our dividend strategy (with thisdividend payout)," Chief Executive Mark Bristow told Reuters,adding that this level of payout would be maintained.Barrick, which merged with Africa-focused Randgold earlierthis year, has also formed a joint venture in Nevada with theworld's largest gold producer, Newmont Goldcorp . Barrickhas also completed a takeover of its African business AcaciaMining. Gold production rose to 1.31 million ounces from 1.15million ounces a year earlier.
Spot gold prices have surged 16% so far this year,fueled by investors shifting to safe-haven assets as a prolongedU.S.-China trade war roiled financial markets and weighed onglobal economic growth.In Tanzania, where Barrick is awaiting final approval on adeal to settle a tax dispute with the government, the gold minerplans to spend $200 million over the next two years, Bristowsaid. "Gold should trade at a higher multiple than its historicalaverage, given its improved balance sheet and our view that thenew management will unlock value from under-performing legacyBarrick mines," said CFRA Research analyst Matthew Miller.
Adjusted profit rose to $264 million, or 15 cents per share,in the quarter ended Sept. 30, from $89 million, or 8 cents pershare, a year earlier. Analysts on average expected it to earn 11 cents per share,according to IBES data from Refinitiv.
Barrick cut net debt by 14% in the third quarter to $3.2billion.Elsewhere in the sector, Newmont missed profit estimates andcut its annual output target on Tuesday. (Editing by Shinjini Ganguli and Arun Koyyur. Editing by JaneMerriman)
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